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HomeMy WebLinkAbout07-14 CC Ordinance I I I ORDINANCE NO. 07.14 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TEMECULA APPROVING THE FIRST AMENDMENT TO DEVELOPMENT AGREEMENT BETWEEN THE CITY OF TEMECULA AND WINCHESTER HILLS I, LLC THE CITY COUNCIL OF THE CITY OF TEMECULA DOES HEREBY ORDAIN AS FOLLOWS: Section 1. The City Council of the City of Temecula does hereby find, determine and declare that: A. The City of Temecula ("City"), a general law City in the State of California, Lennar Homes, Inc., A California Corporation and Winchester Hills I LLC, a California limited liability company ("Winchester"), entered into a Development Agreement dated August 28, 2001 for the development of the Harveston Specific Plan ("Development Agreement"). B. On August 29,2007, Winchester Hills I LLC, filed Planning Application No. PA07-0252, a Development Agreement Amendment, in a manner in accord with the City of Temecula General Plan and Development Code. C. Government Code Section 65864 authorizes the City to enter into binding development agreements with persons having legal or equitable interests in real property for the development of such property in order to, among other matters: ensure high quality development in accordance with comprehensive plans; provide certainty in the approval of development projects so as to avoid the waste of resources and the escalation in the cost of housing and other development to the consumer; provide assurance to the applicants for development projects that they may proceed with their projects in accordance with existing policies, rules and regulations and subject to Conditions of Approval, in order to strengthen the public planning process and encourage private participation in comprehensive planning and reduce the private and public economic costs of development; and provide for economic assistance to Owner for the entitlements authorizing development related improvements. D. On October 3, 2007, the Planning Commission of the City of Temecula held a duly noticed public hearing on the proposed First Amendment to the Development Agreement ("First Amendment") as prescribed by law at which time all persons interested in the proposed First Amendment had the opportunity to and did address the Planning Commission on this matter. E. Following consideration of the entire record of information received at the public hearings and due consideration of the proposed First Amendment, the Planning Commission adopted Resolution No. 2007-39 recommending to the City Council approve the proposed First Amendment. R:/Ords 2007/0rds 07-14 I I I F. On October 9, 2007 the City Council of the City of Temecula held a duly noticed public hearing on the proposed First Amendment as prescribed by law at which time all persons interested in the proposed First Amendment to the Development Agreement had the opportunity and did address the City Council on this matters. G. Following due consideration of the testimony received at the public hearing and the administrative record, the City Council adopted this Ordinance. Section 2. Environmental Compliance Findinas. The City Council further finds, determines and declares that: A. On August 28, 2001, the City Council approved and certified Final Environmental Impact Report ("FEIR") for the Harveston Specific Plan. Pursuant to California Environmental Quality Act ("CEQA") Guidelines section 15164(a) (14 Cal. Code of Regs. ~15000 et. seq.), the City of Temecula has prepared an Addendum to make a minor change to a previously certified EIR in connection with the proposed First Amendment and the construction of a motor vehicle dealership within the Specific Plan. B. The City prepared an Initial Study to determine whether the First Amendment or construction of the motor vehicle dealership within the Specific Plan triggered any of the conditions described in Sections 15162 and 15163 of the CEQA Guidelines which require the preparation of a subsequent or supplemental ErR. The Initial Study evaluated the impacts of the proposed First Amendment and the motor vehicle dealership on Land Use and Planning, Public Services, Utilities and Service Systems, Population and Housing, Transportation/Circulation, Water, Biological Resources, Energy and Mineral Resources, Cultural Resources, Recreation, Aesthetics, Geophysical, Hazards, Noise, Air Quality and Mandatory Findings of Significance. C. The Initial Study compared the environmental impacts of the proposed First Amendment and motor vehicle dealership with the identified environmental impacts of the approved Development Agreement evaluated in the previously certified Harveston Specific Plan EIR. The analysis in the Initial Study indicates that no new significant effects will be caused by the First Amendment and subsequent construction of a motor vehicle dealership within the Specific Plan. Nor will the proposed First Amendment and motor vehicle dealership increase the severity of any previously identified significant impact. The impacts will remain the same as analyzed in the Harveston Specific Plan EIR. D. The Initial Study also analyzed whether new circumstances would result in new significant effects or increase the severity of previously identified effects. The Initial Study found that no new circumstances exist that introduce new significant effects or increase the severity of previously identified significant effects. E. Further, the Initial Study analyzed whether new information exists that indicates that the project would introduce new significant effects or increase the severity of previously identified significant effects, or whether any new information suggests new mitigation measures or shows that the mitigation measures previously identified as R:/Ords 2007/0rds 07-14 2 I I I infeasible are in fact feasible. The Initial Study found no new information that suggested new significant effect or increased the severity of previously identified effects. Nor did any new information suggest new mitigation measures or suggest that mitigation measures previously identified as infeasible were in fact feasible. F. Because the Initial Study finds no new significant effects, no increase in the severity of previously identified effects, no new mitigation measures and no change in the mitigation measures previously discussed, the Planning Commission finds that a supplemental or subsequent EIR need not be prepared, and that the City may rely on the Addendum to approve the Development Agreement Amendment and the construction of the motor vehicle dealership within the Specific Plan. G. The City Council finds that the Initial Study and Addendum were prepared in compliance with CEQA. The City Council certifies and approves the Initial Study and Addendum prepared for the Development Agreement Amendment and the construction of a motor vehicle dealership within the Specific Plan. The Planning Commission further finds that the conclusions reached in the Initial Study and Addendum represents the independent judgment of the Commission. H. The custodian of records for the Initial Study, Addendum and all other materials, which constitute the record of proceedings upon which the Planning Commission's decision is based, is the Planning Department of the City of Temecula. Those documents are available for public review in the Planning Department located at Planning Department of the City of Temecula, 43200 Business Park Drive, Temecula, California. that: Section 3. Further Findinas. The City Council hereby finds and determines A. The First Amendment is consistent with the objectives, policies, general land uses, and programs specified in the City of Temecula General Plan and each of its elements in that the Development Agreement makes reasonable provision for the use of certain real property for industrial, commercial and residential development. B. The First Amendment complies with the goals and objectives of the Circulation Element of the General Plan. C. The First Amendment is in conformity with the public convenience, general welfare, and good land use practice because it makes reasonable provision for a balance of land uses compatible with the remainder of the City. D. The First Amendment will not be detrimental to and will promote the health, safety, or general welfare of the community because it provides adequate assurances for the protection thereof. E. All legal reconditions to the adoption of this Ordinance has occurred. R:/Ords 2007/0rds 07-14 3 I I I Section 4. Approval. The City Council of the City of Temecula hereby approves that certain agreement entitled "First Amendment to Development Agreement by and between the City of Temecula, Lennar Homes, Inc., a California corporation, and Winchester Hills I LLC, a California limited liability company" ("First Amendment") between the City of Temecula and Winchester Hills I LLC in substantially the form attached hereto as Exhibit A, with such changes to the First Amendment as may be mutually agreed upon by Winchester Hills I LLC and the City Manager and which are in substantial conformance with the form of such First Amendment attached hereto. The Mayor is hereby authorized to execute the First Amendment, including related exhibits and attachments on behalf of the City. A copy of the final First Amendment when executed by the Mayor and the other parties shall be placed on file in the Office of the City Clerk. Section 5 Authoritv of Citv Manager. The City Manager (or his designee), is hereby authorized, on behalf of the City, to take all actions necessary and appropriate to carry out and implement the First Amendment and to administer the City's obligations, responsibilities and duties to be performed under the First Amendment, including but not limited to, approval and execution on behalf of the City of acceptances, certificates, certificates of completion and such other implementing agreements and documents as contemplated, necessary or described in the Development Agreement. Section 6. Certification. The City Clerk shall certify to the adoption of this Ordinance. This Ordinance shall take effect upon its adoption. PASSED, APPROVED, AND ADOPTED by the City Council of the City of Temecula this 23'd day of October, 2007. uck Washington, Mayor ATTEST: [SEAL] R:/Ords 2007/0rds 07-14 4 I I I STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss CITY OF TEMECULA ) I, Susan W. Jones, MMC, City Clerk of the City of Temecula, do hereby certify that the foregoing Ordinance No. 07-14 was duly introduced and placed upon its first reading at a meeting of the City Council of the City of Temecula on the 9th day of October, 2007, and that thereafter, said Ordinance was duly adopted by the City Council of the City of Temecula at a meeting thereof held on the 23rd day of October, 2007, by the following vote: AYES: 5 COUNCIL MEMBERS: NOES: 0 COUNCIL MEMBERS: ABSENT: 0 COUNCIL MEMBERS: COUNCIL MEMBERS: ABSTAIN: 0 R:/O'ds 2007/0rds 07-14 Comerchero, Edwards, Naggar, Roberts, Washington None None None , , " . Jones, MMC City Clerk 5 DRAFf: SEPTEMBER 28, 2007 I RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: City of Temecula 43200 Business Park Dr. Post Office Box 9033 Temecula, CA 92589-9033 Attn: Susan Jones, MMC City Clerk I Exempt from recording fees pursuant to GoV!. Code Section 27383 (Space above for recorder's use) FIRST AMENDMENT TO DEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF TEMECULA AND LENNAR HOMES, INC., A CALIFORNIA CORPORATION AND WINCHESTER HILLS I LLC, A CALIFORNIA LIMITED LIABILITY COMPANY This First Amendment to Development Agreement is made and entered into as of October 23,2007, by and between the CITY OF TEMECULA, a California municipal corporation ("City") WINCHESTER HILLS I LLC, a California limited liability company ("Winchester") pursuant to the authority of Section 65864 through 65869.5 of the California Government Code and Article XI, Section 2 of the California Constitution. Pursuant to said authority and in consideration of the mutual covenants set forth in this First Amendment, the parties hereto agree as follows: I. Recitals. This First Amendment is made with respect to the following purposes and facts which the parties agree to be true and correct: I 985430.4 September 28, 2007 I DRAFf: SEPTEMBER 28, 2007 I A. On August 28, 2001, the City Council of the City ofTernecula approved that certain agreement entitled "Development Agreement By And Between The City Of Temecula And Lennar Homes, Inc., A California Corporation And Winchester Hills I LLC, A California Limited Liability Company" by the adoption of Ordinance No. 01-08 (the "DeveloDment A2reement"). B. The Development Agreement was recorded on January 16,2002 as Document No. 2002-026470 in the Official Records of the County of Riverside. C. The real property which is subject to the Development Agreement and this First Amendment is comprised of two components. The first is the Lennar Property described in the Development Agreement ("Lenoar ProDertv"). The second is the Winchester Hills I LLC Property which is specifically described in Exhibit A to this First Amendment and incorporated herein as though set forth in full ("Winchester Propertv"). D. Winchester proposes to develop Parcel A and Parcel B within the Winchester Property as one or more motor vehicle dealerships. Parcel A and Parcel B are specifically described in Exhibit B to this First Amendment and incorporated herein as though set forth in full ("Parcels A and B"). I E. City and Winchester continue to work diligently with Caltrans to define and convey the Interchange Improvement Area to Caltrans as provided in Section 4.3.3 and 4.3.4 of the Development Agreement, but have not yet completed the process of identifYing the Interchange Improvement Area and the conveyance of the land to Caltrans despite these efforts. F. Winchester desires to develop Parcels A and B with one or more motor vehicle dealerships. Development of a motor vehicle dealership on Parcels A and B will benefit the City by providing many quality jobs, enhancing the motor vehicle sales market in the City, and providing increased tax revenue to the City. G. Winchester and City desire to provide for the development of Parcels A and B for the benefit of both parties while continuing to provide for the conveyance of the Interchange Improvement Area to Caltrans and the development regulations described in the Development Agreement, and particularly Section 4.3.4, enabling Winchester to work around the uncertainties surrounding the identification and conveyance to Caltrans of the Interchange Improvement Area. H. This First Amendment modifies certain provisions of the Development Agreement which affect the Winchester Property. No provisions of this First Amendment are intended to nor shall be construed to affect the Lennar Property or any portion thereof. I I. The Planning Commission of the City of Temecula held a duly noticed public hearing on October 3, 2007 and by Resolution No. 07,_ recommended to the City Council that this First Amendment be approved. 985430.4 September 28, 2007 2 DRAFf: SEPTEMBER 28, 2007 I J. On October 9,2007, the City Council of the City of Temecula held a duly noticed public hearing on the proposed First Amendment and the CEQA documentation at which time all persons had the opportunity to testify in support of or opposition to the proposed First Amendment and Addendum. K. On October 9,2007 the City Council of the City of Temecula adopted Ordinance No. 07-_ approving this First Amendment. 2. Amendment of Section 2.3 of Develooment Al!reement. Section 2.3, Term, of the Development Agreement is hereby amended to read as follows: "2.3 Term. This Agreement shall become effective on the Effective Date. Unless terminated pursuant to Section 2.4, with respect to the Lennar Property, this Agreement shall terminate at 11:59 p.m. on the tenth (lOth) anniversary of the earlier of either (i) the date the CITY issues either the first (1st) building permit for a residential dwelling unit other than a model unit or for a commercial structure within the Lennar Property or (ii) the second (2d) anniversary of the Effective Date. The termination shall occur subject to specific extensions, force majeure, revisions, and termination provisions of this Agreement. Unless terminated pursuant to Section 2.4, with respect to the Winchester Property, this Agreement shall terminate at II :59 p.m. on the fifteenth (15th) anniversary of the later of either: (i) the date the CITY issues the first (1st) building permit for a non-residential building on the Winchester Property, other than for motor vehicle dealerships or ancillary uses thereto on Parcels A and B; or (ii) the date the limitations on development imposed by Section 4.3.4 hereof terminate." I 3. Entire All1eement. This First Amendment contains the entire understanding between the parties relating to the subject matter hereof, all prior or contemporaneous agreements, understandings, representations and statements, oral or written, concerning the subject matter hereof, except for the Development Agreement, Operating Memoranda, are merged into this Agreement and shall be of no further force or effect. I 4. Effective Date of First Amendment. This First Amendment shall be effective upon the date a bona fide escrow closes on the sale of Parcels A and B for development of automobile dealerships. Winchester shall notify the City of the date such escrow closes and shall provide City with reasonable documentation of the close of escrow. Within thirty (30) days following such notice, City and Winchester shall approve and execute an Operating Memorandum to be recorded confirming the effective date of this First Amendment. 985430.4 September 28, 2007 3 DRAFf: SEPTEMBER 28, 2007 I 5. Lender Consent. Winchester warrants and represents to the City that the following persons hold recorded deeds of trust upon or other beneficial interests in the Winchester Property and that each has duly executed a "Lender's Consent And Subordination To Development Agreement And First Amendment To Development Agreement" which are attached hereto as Exhibit C: (I) ; (2) 6. Authoritv to Enter Into First Amendment. Winchester warrants and represents to the City that its approval of this First Amendment will not violate any agreements it may have with other persons. The person or persons executing this First Amendment on behalf of Winchester warrant and represent to the City that this First Amendment has been duly approved by Winchester and that all applicable notices, approvals and procedures were complied with and that he or she is duly authorized by Winchester to execute this First Amendment on behalf of Winchester and has been duly authorized to do so. 7. Other Terms Remain. Except as specifically set forth herein, all other terms and conditions of the Development Agreement shall remain in full force and effect. I I 985430.4 September 28, 2007 4 DRAFT: SEPTEMBER 28, 2007 I IN WITNESS WHEREOF, the parties hereto have executed this Covenant as of the day and year first above written. CITY OF TEMECULA, a municipal corporation Chuck Washington Mayor Attest: Susan W. Jones, MMC City Clerk I Approved As to Form: Peter M. Thorson City Attorney I 985430.4 September 28, 2007 5 DRAFf: SEPTEMBER 28, 2007 I WINCHESTER HILLS I LLC, a California limited liability company Name: Title: Name: Title: I I 985430.4 September 28, 2007 6 DRAFf: SEPTEMBER 28, 2007 I State of California ) ) ss ) County of On before me, personally appeared . personally known to me or proved to rne 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 helshe/they executed the same in hislher/their authorized capacity(ies), and that by hislher/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person( s) acted, executed the instrument. Witness my hand and official seal. Signature of Notary I I 985430.4 September 28, 2007 7 DRAFT: SEPTEMBER 28, 2007 I State of California ) ) ss ) County of On before me, , personally appeared , personally known to me or 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 hislher/their authorized capacity(ies), and that by hislher/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person( s) acted, executed the instrument. Witness my hand and official seal. Signature of Notary I I 985430.4 September 28, 2007 8 I I I 1002666.1 EXHIBIT A LEGAL DESCRIPTION OF WINCHESTER PROPERTY RBF CONSULTING 27555 YNEZ ROAD, SUITE 400 TEMECUIA, CA 9".591 Revise<! July 19, 2001 May 10, 2001 . m 15100181.M2 Page I of 2 EXHIBIT "8" LEGAL DESCIUP'l10N WINCHESTER lULLS I LLC PROPERTY That ccnain parcel of land silllated iDlhe Oty of Temccula, County of Riverside, Slate of California, beina those portions of Lou 109, 110, 120 and 121 (together with those portions ofvacated Date Street, Monroe Avenue and Jackson A.enue adjoining said lots), all as shown on a Map of the Te.mecula Land and Water Company med in Book 8, Page 359 of Maps, Rccorll.S of San Diego County, Califomia, tocetber witb a portion of Parcel 4 of Parcel Map No. 19677 (together with that portion of ynez Road adjoining said Parce14), aU as shown on a map filed in Book 135, Pages 85 and 86 of Parcel Maps, Records of Riversicle County, California, described as a wbole as follows: BEGINNING at the most northerly comer of said Lot 121, said comer beins a poiDt on the centerline of said Jackson Avenue; thence along said centerline South 41'S8W East 1290.73 feet to the most northerly comer of said Lot 120; thence continuing along said centerline South 42'14'33" Easll290. 79 feet to the most easterly comer of said Lot 120; thence continuing alona said OCDterline South 41'52'47' East 794.56 feet to the centerline of said Ynez Road; thence a100a said centerline ofYncz Road South 30'07'20" Wes1432.14 feet to the beginniDg of a tangent c:urve concave southeasterly and haviDg a radius of 1675.00 feet; thence along said curve southwesterly 699.71 feet through a central angle of 23'56'04' to the easterly prolongation of a C01I\'SC in the lOutheasterly line of said Parcel 4 shown as "North 83'48'37' West" on said Parcel Map; thence radially from said CUIVC, along said course and prolongation North 83'48'44" West 14282 feet to an angle point in said southeasterly line; I I I I 1002666.1 EXHIBIT A LEGAL DESCRIPTION OF WINCHESTER PROPERTY Exhibit "B" Legal description Winchester Hills 1 UC Propeny Revised July 19, 2001 May 10, 2001 JN 15100181.M2 Page 2 of 2 thence along said southeasterly liDe South 63'31'52" West 962.68 feet to the most southerly comer of said Parcel 4 and a point in the northeasterly line of Interstate 215; thence along said northeasterly line through the following courses: North 29'26'02" West 376.97 feel; thence North 30'35'46" West 450.40 feet; thence North 28-41'12" West 758.78 feet; thence North 18"40'57" West 346.24 feet; thence North 28'39'30" West 199.91 feet; thence North 37'45'11" West 153.17 feet; thence North 29'58'20" West 449.97 feet; thence North 21"49'02" West 151.95 feet; thence North 28'24'39' West 519.02 feet to the nonhweslerly line of said Lot 121; thence along said northwesterly line North 48'10'42" East 1190.56 feet to the POINT OF BEGINNING. CONTAINING: 135.24 Acres, more or le~. SUBJEcr To aD covenanu, righu, rights-of-way and easements of record. EXHIBIT "B-1" attached hereto and made a part hereof. This description was prepared by me or under my direction. Raymond L Mathe, P.LS. 6185 My license expires 3131/02. H:\PDATAIISIOOI81\Ol'FlCElWPWlN\l8IJa1OOl.WPD 2 EXHIBIT A I LEGAL DESCRIPTION OF WINCHESTER PROPERTY I ~ooo . 0 ~ 1000 2000 l I GRAPH i ( SCALE e .. ;;; ,>; ~ ., <:. .. o CCNBUl-TING Di!S'" fIJ.tO, SJ'1'!: eo 1!!leCII.A. c.....-. .........,. .....,...... "1tA a.t7l.12AO. ......,GCll'Il ~ ~ .'" a; ~ i ~ . OilS IaN . CO".TiIIl1.,C'fIaN ~ a; ~ or. ;; .. ~ . E ~ J N 15100'81~ EXHIBIT 'B-1' ATTACHMENT NO. 2 LEGAL DESCRIPTION OF In NCHESTER HILLS I LC PROPERTY SHEET ~ llfo..,ANNIHO REVISED AV 19. 2001 MAY 10. 2001 SCALE ,-.,000' rtELD BQOI( I 1002666.1 3 DRAFf: SEPTEMBER 28, 2007 I EXHIBIT B LEGAL DESCRIPTION OF PARCELS A AND B PARCEL A: Parcel A is described as Parcel A of Lot Line Adjustment No. PA07-0249 recorded as Document No. 07- in the Official Records of Riverside County. PARCEL B: Parcel B is described as Parcel B of Lot Line Adjustment No. PA07-0249 recorded as Document No. 07- in the Official Records of Riverside County. I I 985430.4 September 28, 2007 10 DRAFf: SEPTEMBER 28, 2007 I EXHffiIT C LENDER'S CONSENT LENDER'S CONSENT AND SUBORDINATION TO DEVELOPMENT AGREEMENT AND FIRST AMENDMENT TO DEVELOPMENT AGREEMENT I. _ ("Lender") holds a security interest in a portion of the Property described in the First Amendment to Development Agreement set forth above between Winchester Hills I LLC, a California limited liability company ("Owner"), and the CITY OF TEMECULA, a municipal corporation ("City"). I 2. Lender acknowledges that the Development Agreement and the First Amendment to the Development Agreement are integral parts of the Owner's land use entitlements for the Property and provide significant benefits to the Owner and to the Property as well as vesting Owner's land use entitlements pursuant to the terms of the Development Agreement and the First Amendment to the Development Agreement. 3. In consideration of the rights and benefits conferred upon the Owner by the terms of the Development Agreement and the First Amendment to the Development Agreement and in recognition of the accrual of those benefits to the Lender in the event Lender takes possession of the Property, Lender hereby consents to the Development Agreement and the First Amendment to the Development Agreement and their recordation and further agrees that Lender's interests in the Property are subject to, and made subordinate to, the rights and interests of the City as set forth in the Development Agreement and the First Amendment to the Development Agreement. 4. The City agrees to provide notice of any default to Lender pursuant to Section 10 of the Development Agreement at the following address: I 985430.4 September 28, 2007 II I DRAFf: SEPTEMBER 28, 2007 IN WITNESS WHEREOF the Lender has executed this Consent and Subordination as of ,2007. I I 985430.4 September 28, 2007 Lender: Name: Title: Name: Title: 12