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Home My WebLink About09 LICENSE AGREEMENT FOR USE OF PARKING SPACES-~--~ • Agenda Item 9 AGENDA REPORT Reviewed: ~~~ `: `~ __- City Manager Finance Director MEETING DATE: SEPTEMBER 21, 2010 TO: WILLIAM A. HUSTON, CITY MANAGER FROM: CHRISTINE SHINGLETON, ASSISTANT CITY MANAGER SUBJECT: LICENSE AGREEMENT FOR USE OF PARKING SPACES AT THE TUSTIN MAIN STREET RESERVOIR PARKING LOT SUMMARY Council approval is requested of a license agreement to permit the non-exclusive use of eight (8) parking spaces owned by the City of Tustin located at the Tustin Main Street Water Reservoir parking lot at the southeast corner of Prospect Avenue and Third Street. RECOMMENDATION It is recommended that the City Council approve and authorize the City Manager and/or Assistant City Manager to execute a License Agreement for Parking by and between the City of Tustin and Silverado Senior Living Tustin, Inc. for the non-exclusive use of eight (8) parking spaces owned by the City of Tustin at the Tustin Main Street Reservoir parking lot. FISCAL IMPACT The provision of anon-exclusive License Agreement for Parking has a de minimis value. BACKGROUND Silverado Senior Living Tustin, Inc. ("Licensee") is the owner of Silverado Senior Living - Tustin Hacienda, an assisted living facility for Alzheimer patients, at 240 East Third Street in Tustin. Licensee operates the facility under Conditional Use Permit (CUP) 05- 015, approved by the City on August 8, 2005 through Planning Commission Resolution No. 3984. While the CUP required a License Agreement for Parking, the new property Page 2 owner never modified the original License Agreement for Parking that was granted to the previous owner of the rest home who was originally granted anon-assignable License for use of eight (8) parking spaces at the northeasterly portion of the Water Reservoir Parking Lot in 1998 when the Water Department parking lot was acquired by the City. While refinancing the subject property, the Licensee's mortgage lender has requested a license agreement that updates the License Agreement for Parking to more specifically apply to Silverado Senior Living Tustin, Inc. The attached License Agreement for Parking has been reviewed and prepared in conjunction with the City Attorney's Office. It is not transferable and only benefits Silverado Senior Living Tustin, Inc. The License is similar to other non-exclusive License Agreements for Parking granted within the the Water Reservoir parking lot. It provides for termination upon ninety days written notice without cause provided the City complies with alll procedures, rules and findings required by Ordinance 1323 (which designates public parking areas within the City). The Licensee has signed the Agreement, agreeing to the terms and conditions as outlined in the License Agreement. It is recommended that the City Council approve and authorize the City Manager to execute the attached license agreement for the non-exclusive use of eight (8) parking spaces owned by the City of Tustin located at the Tustin Main Street Reservoir parking lot. ~~~ ~~~~~ Christine Shingleton Assistant City Manager CITY OF TUSTIN OFFICIAL BUSINESS REQUEST DOCLIMEN'I' TO BE RECORDED AND TO BE EXEMPT FROM RECORDING FEES PER GOVERNMENT CODE G103 AND 27383 Recording requested by and When recorded mail to: City of Tustin Attention: Assistant Ciry Manager Redevelopment Agency 300 Centennial Way Tustin, CA 92780 LICENSE AGREEMENT FOR PARHING A. This License Agreement for Parking (this "Agreement") is made this day of , 2010, by and between the City of Tustin, a municipal corporation ("City"), and Silverado Senior Living Tustin, Inc., a California corporation ("Licensee"), collectively the Parties. RECITALS B. Licensee is the owner of the premises located at 240 East Third Street, Tustin, California, as legally described on Exhibit "A" attached hereto (the "Property"), which Licensee currently occupies as a rest home for Alzheimer patients pursuant to Conditional Use Permit OS-015 approved by the City on August 8, 2005 by Planning Commission Resolution No. 3984 ("Use Permit OS-015") C. The City is the owner of the adjacent Main Street Reservoir parking lot, a portion of which parking lot is located immediately west of the Property in the City of Tustin, California (herein the "City Property"). D. Use Permit OS-015 requires use of the Property be limited to a maximum of patients at any given time not to exceed forty two (42) persons on the Property provided that the existing six (6) on- site parking spaces on the Property and eight (8) non-exclusive parking spaces on the City Property remain available to serve the rest home for Alzheimer patients. Use Permit OS-015 did not provide any parking rights on City Property, which would be required by separate instrument. D. Accordingly, Licensee has requested that the City provide Licensee the non-exclusive right to use of eight (8) parking spaces located on the City Property (collectively, the "Licensed Spaces"). E. Parties acknowledge that parking in the Old Town area of the City is typically provided on private or public parking facilities at no cost to the general public, thus, the provision of a non- exclusive license for parking has a de-minimus value in the Licensee's utilization of its Property in its current use and ownership, other than satisfying the conditions set forth in Use Permit OS-015. F. Parties acknowledge that the City Property in which the Licensed Spaces are located are located in a "designated public parking area" pursuant to Ordinance No. 1323, Article 7, Chapter 9 of the Tustin City Code. AGREEMENT NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: 1. The City grants to Licensee and Licensee accepts from the City, a license for the non-exclusive use of the Licensed Spaces as more fully set forth in this Agreement (the "License"). The Parties hereby agree that the Licensee, its guests, business invitees and employees may, pursuant to the terms of this Agreement, have anon-exclusive right to access the City Property and use the Licensed Spaces in the locations as shown on Exhibit B to this Agreement, and upon the terms and conditions contained. in this Agreement. 2. The parking rights granted by this Agreement shall be only for vehicular parking and for vehicular and pedestrian ingress and egress to the Licensed Spaces by Licensee and its guests, 2 business invitees, and employees only and not for truck or delivery parking for the Property, or for any other use. 3. Vehicles parked on the City Property in the Licensed Spaces by Licensee, or its guests, business invitees or employees, shall be parked only in accordance with any time frame or hourly restrictions, signage and designations or any other regulations adopted by the City with regards to the City Property. 4. Licensee shall notify Licensee's guests, business invitees, or employees of the terms and restrictions of this Agreement and the availability of the Licensed Spaces on the City Property and shall provide signage on its Property indicating the provisions and restrictions under this Agreement. 5. This License is personal to the Licensee and its specific use of the Property which is restricted pursuant to Use Permit OS-O15 and all applicable provisions of the Tustin City Code and other applicable codes. This Agreement and the parking rights granted hereunder shall only benefit Licensee except to the extent that any mortgagee who comes into possession of the Property, or any part thereof, pursuant to a foreclosure of a mortgage or deed of trust, or deed in lieu of foreclosure, shall be considered an involuntary successor or assignee of the Licensee provided said successor and assignee continues to comply with the terms of this Agreement and Use Permit OS-015. Mortgagee for purposes of this Agreement shall mean a mortgagee, a beneficiary under a deed of trust or any other security- device lender, and their successors and assigns. Subject to the provisions of this Section 5 of the Agreement, Licensee shall not otherwise voluntarily assign or encumber its interest in the License, or allow any other person or entity except those expressly prescribed herein to occupy or use all or any part of the Licensed Spaces, without obtaining written approval of the City of Tustin. 6. Licensee and its guests, business invitees, and employees, and any involuntary mortgagee successor shall be bound to all terms and conditions of this Agreement. 7. The City may terminate this Agreement and the parking rights granted 3 hereunder, (1) provided that the City first complies with all procedures, rules, and makes all findings required by Ordinance No. 1323 for de-designation of the Licensed Spaces as a "designated public parking area," the City may then terminate this Agreement and the parking rights hereunder upon ninety (90) days written notice without cause; or (2) upon any occurrence of default by Licensee, or (3) upon termination, revocation, expiration, or abandonment of Use Permit OS-015. 8. The failure to perform any provision of this Agreement if not cured within ten (10) days after notice has been given by the City shall constitute a default by Licensee. 9. If this Agreement is terminated by either party, Licensee shall have ninety (90) days in which to secure and replace the parking spaces provided for in this License, or such fewer spaces as may be required for occupancy of the Property based on any modifications to Use Permit 05- 015. Such spaces shall be located in an area which conforms to City of Tustin parking requirements and shall be subject to the written approval of the City. The Licensee and for benefit of any mortgagee 4 successor or assignee agrees and acknowledges that it is their obligation to provide such replacement parking and not the City's. IN WITNESS WHEREOF, the Parries hereto have executed this Agreement the day and year first above written. ATTEST: By Pamela. Stoker City Clerk APPROVED AS TO FORM: By: Douglas Holland, CitS~ Attorney "CITY" Ciry of Tustin By: City Manager/or Assistant City Manager "LICENSEE" Silverado Senior 'wing, Tustin ~L-~ .~rl G. Name: Tide: ~,C~U~ G~~ /~ ~~ Name: Title: STATE OF CALIFORNIA ) ss. COUNTY OF On 2010, before me, Notary Public, personally appeared ,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. NOTARY PUBLIC STATE OF CALIFORNIA ) ss. COUNTY OF ~ ) On ~e4kP1(Y1Ya(,tr' ~ 3~= 2010, before me, 7~~ ~ ~ ~ ~1P~(1V1 Notary Public, personally appeared L o r Q.tn Sln n D IS ,who proved to me on the basis of satisfactory evidence to be the person{-~j whose name(s.) is,!a~e subscribed to the within instrument and acknowledged to me that ham executed the same in his~r authorized capacity~~, and that by his~~~ signature f s} on the instrument the person(-s~, or the entity upon behalf of which the persons 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. ~DORINE REAGAN COMM.# 1780153 rA ' N NOTARY PUBLIC-CALIFORNIA N ORANGE COUNTY Mr CGNM. EXP. NGV,18, so» -' NOTARY PUBLIC 6 EXHIBIT A LICENSE AGREEMENT FOR PARKING LEGAL DESCRIPTION OF PROPERTY LOT(S) 4, 5 AND 6 IN BLOCK 46 OF A PART OF TUSTIN, IN THE CITY OF TUSTIN, COUNTY OF ORANGE, STATE OF CALIFORNIA, AS SHOWN ON A MAP THEREOF RECORDED IN BOOK 13, PAGE(S) 81, MISCELLANEOUS RECORDS OF LOS ANGELES COUNTY, CALIFORNIA, TOGETHER WITH THAT PORTION OF "F" STREET, ADJOINING SAID LOT 6 AS VACATED AND ABANDONED TO PUBLIC USE BY RESOLUTION NO. 454 OF THE CITY COUNCIL OF THE CITY OF TUSTIN, ON NOVEMBER 3, 1958, A CERTIFIED COPY OF WHICH WAS RECORDED NOVEMBER 19, 1958 IN BOOK 4487 PAGE 226, OFFICIAL RECORDS. EXHIBIT B LICENSE AGREEMENT FOR PARKING CITY PROPERTY Legal Description Portion of Main Street Reservoir Parking Lot PORTION OF LOT 3, OF BLOCK 46, AS SHOWN ON A MAP OF A "PART OF TUSTIN" RECORDED IN BOOK 13, PAGE 8 ] OF MISCELLANEOUS RECORDS OF LOS ANGELES COUNTY, CALIFORNIA Main Street Reservoir Parking Lot Location ofNon-Exclusive Licensed Parking Spaces