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HomeMy WebLinkAboutPRE 2024-0009; ALICANTE APTS - SB 330; Preliminary Review (PRE)... -..( Ccityof Carlsbad DENSITY BONUS Community Development Planning Division SU PP LEM ENT AL CH EC"~l~Jr-CARLSBAD 1635 Faraday Avenue (760) 602-4610 P-l(H) www .ca rlsbadca .gov FEB 1 5 20~formational Bulletin IB-112 !-'Li-I\ NING DJVlSJON The information listed in this checklist is required to be completed for all residential development applications being processed under Government Code §65915 -65918 (State Density Bonus Law). Please prepare the required materials/information described in this checklist and submit in one document entitled "Supplemental Application - Density Bonus Program". Refer to Information Bulletin 18-112 for additional information. )( PROJECT LOCATION Include the street address and APN(s) of the subject property. )( PROPERTY DESCRIPTION Include information about the property and immediate area such as general location, prior uses on-site, site characteristics (i.e., slopes, habitat, drainage), neighborhood setting, General Plan designation, zoning designation, and maximum density allowed by zoning. )( PROJECT DESCRIPTION Describe the proposed project. Please make sure to include the following information. • Total number of lots/units proposed (maximum density and density bonus units) • Type of housing proposed and any anticipated construction phasing • Number, location and income level of the proposed affordable units • Project access, infrastructure, and any proposed amenities/open space X DENSITY CALCULATIONS State Density Bonus. Indicate the number of lots proposed and how many are proposed to be designated as affordable, consistent with state density bonus law. Include the following information: • Show all density calculations (base and density bonus units) • Income levels of the affordable units lnclusionary Housing. Show how the project complies with the city's lnclusionary Housing Ordinance (CMC 21.85), including the following information (refer to Info-Bulletin IB-157): • Show all density calculations • Income levels of the affordable units • Alternative means of compliance, if proposed, consistent with Council Policy Statement No 57. )( CONCESSION(S)/INCENTIVE(S), if requested1 P-1 (H) Identify the applicable development standard(s), describe the deviation from the development standard(s) being requested, and provide evidence demonstrating that the requested concession/incentive results in identifiable, financially sufficient, and actual cost reductions that contribute significantly to the economic feasibility of the reserved affordable units. Please include the following in the response. • Provide specific information on and discussion of each concession/incentive proposed Page 1 of 3 Revised: 08/23 • Include discussion u •... 1y the findings to deny grant of the pro,. ... _·.::d concession/incentive are not supportable for the proposed project: o Why the concession/incentive is required to provide for affordable housing costs, or for rents to targeted units to be set as provided under state law? o Would the grant of the concession/incentive have a specific adverse impact upon public health and safety or the physical environment or listed historical property? If yes, are there feasible methods to mitigate or avoid such impacts without rendering the development unaffordable? )( WAIVERS(S), if requested2 Identify the applicable development standard(s), describe the deviation from the development standard(s) being requested, provide evidence demonstrating that the requested Waiver from a required development standard is necessary in order for development to be physically feasible. Please include the following in the response. • Provide specific information on and discussion of each concession/incentive proposed • Provide specific information on and discussion of each waiver/reduction proposed. Include discussion of why the findings to deny grant of the proposed waivers/reductions are not supportable for the proposed project: o How would application of the development standard proposed to be waived/reduced physically preclude the construction of the development at the density proposed or with proposed concessions/incentives? o Would the waiver or reduction have a specific adverse impact upon public health and safety or the physical environment or listed historical property? If yes, are there feasible methods to mitigate or avoid such impacts without rendering the development unaffordable? 1 Cities are required to grant concessions or incentives (referred to as concessions) to a developer that seeks and agrees to include affordable units in their development. One to three concessions are available for each development depending on the percentage of affordable housing that will be included within the development. A concession is one of three things (Gov. Code §65915, subd. (k)(l)-(3)): • A reduction in site development standards or a modification of zoning code requirements or architectural design requirements that exceed minimum building standards that result in identifiable, financially sufficient and actual costs reductions. Development Standard" includes a site or construction condition, including, but not limited to, a height limitation, a setback requirement, a floor area ratio, an onsite open-space requirement, or a parking ratio that applies to a residential development pursuant to any ordinance, general plan element, specific plan, charter, or other local condition, law, policy, resolution, or regulation. (Gov. Code §65915, subd. (o)(l)). • Approval of mixed use zoning in conjunction with the housing project if commercial, office, industrial, or other land uses will reduce the cost of the housing development and if such uses are compatible with the housing project and the existing or planned development in the area. • Other regulatory concessions proposed by the developer or city that result in identifiable, financially sufficient and actual cost reductions. The City shall grant the concession unless one or more of the following written findings can be made (Gov. Code §65915, subd, (d)(l)(A)-(C)): • The concession is not required in order to provide for affordable housing costs, or for rents for the targeted units. • The concession would have a "specific adverse impact upon public health and safety or the physical environment or on any real property that is listed in the California Register of Historical Resources and for which there is no feasible method to satisfactorily mitigate or avoid the specific ai:!verse impact without rendering the development unaffordable to low and moderate income households." • The concession would be contrary to state and federal law. 2 In addition to concessions, an applicant may submit a proposal for a waiver or reduction (referred to as waiver) of development standards. (Gov. Code §65915, subd. (e)(l)). In no case may a city apply any development standard that will have the effect of physically precluding the construction of a development at the density or concessions permitted. The City shall grant the waiver unless one or more of the following written findings can be made (Gov. Code §65915, subd. (e)(l)): • The waiver will have a specific adverse impact upon health, safety, or the physical environment and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact. • The waiver will have a specific adverse impact on any real property listed in California Register of Historical Resources. • The waiver would be contrary to state and federal law. P-1(H) Page 2 of 3 Revised: 08/23 DENSITY BQNl~1 _I TABLE - % of Total Units Reserved Very Low Income Affordable Density Bonus Ill 5% 20% 6% 22.5% 7% 25% 8% 27.5% 9% 30% 10% 32.5% 11% 35% 12% 35% 13% 35% 14% 35% 15% 35% 16% 35% 17% 35% 18% 35% 19% 35% 20% 35% 21% 35% 22% 35% 23% 35% 24% 35% 25% 35% 26% 35% 27% 35% 28% 35% 29% 35% 30% 35% 31% 35% 31% 35% 33% 35% 34% 35% 35% 35% 36% 35% 37% 35% 38% 35% 39% 35% 40% 35% (1) Government Code §65915(/)(2) (2) Government Code §65915(/)(1) {3) Government Code §65915(/)(4) (4) Government Code §65915{g){l) Low Income Density Bonus !Zl - - - - - 20% 21.5% 23% 24.5% 26% 27.5% 29% 30.5% 32% 33.5% 35% 35% 35% 35% 35% 35% 35% 35% 35% 35% 35% 35% 35% 35% 35% 35% 35% 35% 35% 35% 35% Moderate Land Donation Income Density Bonus l3l Density Bonus l4l -- -- -- -- -- 5% 15% 6% 16% 7% 17% 8% 18% 9% 19% 10% 20% 11% 21% 12% 22% 13% 23% 14% 24% 15% 25% 16% 26% 17% 27% 18% 28% 19% 29% 20% 30% 21% 31% 22% 32% 23% 33% 24% 34% 25% 35% 26% 35% 27% 35% 28% 35% 29% 35% 30% 35% 31% 35% 32% 35% 33% 35% 34% 35% 35% 35% (5) Government Code §65915(/)(3); No affordable units are required for senior housing units to receive a density bonus. P-1(H) Page 3 of 3 ("cityof Carlsbad -- Senior Density Bonus l5l 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% .20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% Revised: 08/23 P-l(H) DENSITY BONUS SUPPLEMENTAL CHECKLIST EXPLANATIONS I. GENERAL INFORMATION a. Project Name: Alicante Apts. b. Case Numbers: --------- II. PROJECT LOCATION a. Street Address: None Known b. General Location: Northwest Corner of Altiva Place and Alicante Road Carlsbad, Ca 92009 c. APN: 215-240-36-00 Ill. PROPERTY DESCRIPTION #1 a. General Info: The site is approximately 3.68 gross acres wedged in between 3 roads and two (2) condominium communities. There is drainage course running through the site . b. Existing Condition: Undeveloped c. General Plan Designation = RMH d. Zoning = RD-M e. Maximum density allowed by zoning= 56 (3.68 acres x 15 du/ac; rounded up). Per State of CA HCD, the gross acreage shall be used in determining the maximum density vs. calculating a net acreage. f. Maximum density allowed with State of CA Density Bonus laws = 106. IV. PROPERTY DESCRIPTION #2 a. General Description: The project is a 106-unit rental apartment project clustered in the southwest portion of the site. No PUD proposed. b. Total number of units proposed: The developer is proposing 106 units which matches the maximum allowed. Base Units Density Bonus Units Total Units Allowed 56 50 106 c. Type of Housing/ Phasing: The proposed project consists of one (1) building with four stories of residential over a two-level podium parking garage. It will likely be built in one phase, but to the extent the building department allows staggered move-ins while units are being finished, the developer would like to explore this. d. Number, location and income level of proposed affordable units: i. Number: The project shall provide income restricted units based upon the greater of the number of units calculated under: (i) the State of California density bonus law (Sections 65915-65918), or (ii) City of Carlsbad lnclusionary Housing Ordinance (CMC 21.85). Both scenarios result in fourteen (14) income-restricted units for the project (see calculations below). ii. Income Level: The developer is proposing to provide very low income units for the fourteen (14) income-restricted units. The balance of the project's units will be market.rate rentals. iii. Location: The affordable units will be scattered in various locations throughout the building and will not be clustered in one area. The developer will work with the City of Carlsbad Housing Department to determine the exact location of the units. e. Project Access, Infrastructure and Amenities: In order to maximize the number of parking spaces, each level of parking has its own access point. The bottom level shall be accessed off of Alicante Road (on the South), while level 2 shall be accessed from Altisma Way (on the west). The lobby can be accessed from Altisma Way. A water study has been completed and the project will access water from Altisma Way. A sewer study has been completed as well and the project will sewer through a manhole on the property approximately 75' east of the building (see Utility Exhibit). Amenities include: (1) an interior workout room on level 2, (2) a rooftop gathering area with lounge chairs, firepits, BBQs and kitchen features, (3) an interior courtyard with sitting areas, and (4) a meandering walking path to the north of the building. This is a rental project and is not subject to the for-sale PUD requirements. f. Parking: State Code Section 65915 provides parking requirements for State Density Bonus projects (vs. City code). The project provides 195 spaces which exceeds the State requirement of 136 spaces. Section 65915 allows tandem parking spaces to count towards the total. State State Requirement Total UnitType Units/ SF Requirement (Guest) Required Leasing Office 1,000SF +/-1/ 250SF 0 4 Studio/lBR 55 1.0/Unit 0 55 2BR/ 3BR 51 1.5/Unit 0 n Total 106 + 1,000 SF 136 Total Spaces Provided 195 -----Surplus Pkg. Spaces +59 ===== V. DENSITY CALCULATIONS a. Legislation: On January l5t, 2024, new state density bonus legislation (AB 1287) became effective allowing for an additional density bonus. Exhibit A is a table summarizing the density bonus required by Government Code section 65915 (f)(2) plus the additional density bonus required by Government Code section 65915 (v). This project utilizes both bonuses. Below is a summary of the percentages under current law. Very Low Income Density Bonus Granted Per Units Provided Density Bonus 15% Add'I Density Bonus 10% Total 25% b. Density Calculation (Summarized): Base Units 56 =D-=-e.:....:.ns=it=yc....:B::....:o:c...:.n.:..=u=s-=U:....:.n.:..:..it=s---=5-=-0 ( 88. 7 5%) Total Units Allowed 106 c. Density Calculation (Detail): Ref. A B C D E F G H Formula Description , Gross Acreage Units Per Acre Base Density AxB=C (Unrounded) Base Density =Roundup( C,O) (Rounded) Density Bonus Amount Density Bonus DxE=F (Unrounded) Density Bonus =Roundup(F,O) (Rounded) Total Allowable =O+F=H Units Very-Low Income =Roundup(D x 25%,0 Restricted Units -# 3.68 15 55.2 56 88.75% 49.70 50 106 14 Sections 65915 -65918 50% 38.75% 88.75% Notes Site is 160,338 SF. Per State HCD, Gross acreage shall be used Maximum density in RD-M is 15 DU/ Ac. Per California Code Section 65915(a), all sums are rounded up. Per State law, by providing 25% very- low income restricted units (i.e. 15% + 10%), the Developer is entitled to a denstiy bonus of 88.75% (SO%+ 38.75%) Round up per state density bonus law. Providing 25% very-low income units, rounded up d. Income Level: The current calculation contemplates providing 25% of the base units as "Very-Low Income." e. Number of Concessions/ Incentives allowed: 4 (per State of CA DBL as amended via AB 1287, Gov. Code 65915 (d)(2)(F).) f. Number of Concessions/ Incentives requested: 2. Additional concessions/incentives may be requested based on information received or modifications to the project during or as a result of the environmental review process. g. Number of Waivers requested: 1. Additional waivers may be requested based on information received or modifications to the project made during or as a result of the environmental review process. VI. CONCESSIONS/ INCENTIVES: a. Height i. City Development Standard: The maximum height allowed is 35'. ii. Request: The developer is requesting to exceed the City height limit. The building is 79' tall, as calculated from the lowest point (on the east side of the building) and using Zoning Ordinance Section 21.04.065. Developing within a smaller footprint would result in cost reductions. iii. Adverse effects on physical environment? None. Clustering the density into a smaller footprint than the previous approval is better for the environment as it increases open space. iv. Adverse impact on public health and safety? None v. Adverse Impact on Historical Property? None b. Setbacks i. City Development Standard: See Below City Requirement Frontyard --· ~ ·-20' (Altisma Way} Sideyard -E~erior 10' (Alicante Road} Interior Sideyard 5' Backyard 10' Proposed <5' 10' 5'+ 100'+ ii. Request: The Developer is requesting a reduced front yard setback along Altisrria Way. Reduced setback requirements would reduce costs associated with environmental impacts by locating development closer to Altisma Way. iii. Adverse effects on physical environment? None. Shifting the building closer to Altisma Way is better for the environment as it increases open space. iv. Adverse impact on public health and safety? None v. Adverse Impact on Historical Property? None c. Deferral of City Fees i. City Development Standard: Various fees are due at different times. ii. Request: The Developer to delay the payment of City fees until the Certificate of Occupancy/ Building Final. Delaying fees until Certificate of Occupancy/ Building Final will result in cost reductions. iii. Adverse effects on physical environment? None. iv. Adverse impact on public health and safety? None v. Adverse Impact on Historical Property? None vi. VII. WAIVERS: a. Stepback i. City Development Standard: Per the City Objective Design Guidelines, the gross floor area of upper floors must not exceed 90% of the ground floor. ii. Request: Developer requests a waiver as the proposed project falls short of the 90% rule, and complying with the rule would have the effect of physically precluding the construction at the density and with the concessions/incentives permitted. iii. Adverse effects on physical environment? None iv. Adverse impact on public health and safety? None v. Adverse Impact on Historical Property? None EXHIBIT A (Revisions to 65915-65918 Effective January 1, 2024) Percentage Very LOYl Income Units Percentage Density Bonus 5 20 6 23.75 7 27.5 8 31.25 9 35 10 38.75 Percentage Moderate-Income Units Percentage Densrty Bonus 5 20 6 22.5 7 25 8 27.5 9 30 10 32.5 11 35 12 38.75 13 42.5 14 46.25 15 so ,. {city of Carlsbad . Community Development Dept. Preliminary Housing Development Planning Division CITY OF CARLSBAD (SB-330) Pre-Application 1635 Faraday Avenue FEB 1 5 2024 (442) 339-2600 P-32 [[fil SUBMITTAL INFORMATION www.carlsbadca.gov Refer to 1B-132 for information DI /I r>.!t\111\11'"' r-111 t11"'1,..._,-, - ••••• • • ~-_,. \: • ........,1......,1'11 All forms must be completed, signed, and submitted as a PDF attachment to your submittal. Please refer to info- bulletin IB-132 for additional information. APPLICATION & PAYMENT Application & Materials Provide an electronic copy of your application and required documents on a flash drive or a CD. All items, including additional pages, supporting documents, studies, plans, and reports, must be saved as individual PDFs and labeled accordingly'._,-• • □ Fees Payment of fees is required for all pre-applications. Payment via check, electronic check, or credit card is required before project review or processing. Once the application is submitted, city staff will follow up electronically with an invoice for the total fee amount. Fees may be paid online, in-person or dropped off at 1635 Faraday Avenue for processing. PHOTOGRAPHS Aerial Site Photograph Provide aerial photographs showing existing site conditions of environmental site features that would be subject to regulations by a public agency, including creeks and wetlands. LEGAL DESCRIPTION Legal Description Include a legal description of the specific location. The best place to find a legal description is usually the most recent deed to the property. PLANS Condensed Site Plan Provide a site plan showing the location on the property. Show the location of any recorded public easement, such as easements for storm drains, water lines, and other public rights of way. Indicate location of any stream or other resource that may be subject to a stream bed alteration agreement pursuant to Chapter 6 (commencing with Section 1600} of Division 2 of the Fish and Game Code. Please attach a separate site plan and elevations on a digital sheet size of minimum 8 ½ -inches by 11-inches and maximum 11-inches by 17-inches. Condensed Elevations Provide elevations showing design, color, and material, the building height and massing, and approximate square footage of each building. P-32_Preliminary Housing Development Pre-Application (11/2021) Page 1 of 5 ,. • PRELIMINARY At'PLICATION FORM APPLICATION TYPE (CHOOSE ONE) )( Preliminary Housing Development (SB-330) □ Affordable Housing Streamlined Approval (SB-35) PROPERTY INFORMATION Property Address: North side of Alicante Road, between Altisma Way and Altiva Place Assessor Parcel Numbers (APN): 215-240-36 Project Data # Existing # to be Demolished If so, # Occupied Residential Units -Number: 0 0 Residential Units -Floor Area (Sq. Ft.): n/a n/a Nonresidential -Floor Area (Sq. Ft.): n/a n/a Existing Uses/Site conditions (Describe in detail existing uses/physical conditions on the site.) Raw Land PROPOSED PROJECT INFORMATION Please attach additional pages/supporting documentation that help completely answer the questions listed below. Proposed Project (Describe in detail scope of the proposed project and major physical alterations to the property) Approximately 106 total apartment units Subdivision (any approvals under the Subdivision Map Action being requested and if so, describe) )! YES □ NO The site will be split into two (2) lots. Housing Units Market-Rate lnclusionary Density Bonus1 Below Market2 Project Total Total number: 92 14 10.6 ..................... Unit size (sf min): __ 6.6.8. ____ .......... --···········--··°-6.8 6..6Ji_ ___ Unit size (sf max): 1 472 1 47? 1~_I2__._ Affordability level: N/A Verv Low N/A TOTAL SQ. FT. 92 0OI 13 390 105 390 1If Density Bonus being utilized, include completed form P-l{H). Please refer to IB-112 for additional information on requested incentives, concessions, waivers, or parking reductions; 2Affordbale units in excess of inclusionary standards. Non-Residential (does the project include non-residential uses and if so, provide use categories under the city's zoning, floor area and square footage of all structures) )( YES □ NO Small leasing office of approximately 1,000 square feet. Standard Parking Stall Count Electric Vehicle Parking Stall Count Residential Non-Residential TOTAL 3 113 116 I Any parking reductions __ ___,.._ _____ __._ __ '-'-"'-----' requested pursuant to Section Residential Non-Residential TOTAL 65915[p] need to be included in 79 I Form P-l(H). See Gov. Code§ ___________ 7_9_~_ 65941.l(a)(ll) 0 P-32_Preliminary Housing Development Pre-Application (11/2021) . Page 2 of 5 f\\~ ~\'I'\ \(\~ CJll'"' -z,?' f.) SPECIFIC SITE,i-tATURES Indicate if any portion of the property includes any of the following environmental, historic, or cultural resources. Submittal must include supporting documentation, reports and/or analysis. SITE CONSTRAINTS Does the site contain any of the following (provide documentation for "yes" responses): YES NO N/A 1. A very high fire hazard severity zone, as determined by the Department of Forestry and □ ~ □ Fire Protection pursuant to Gov. Code Section 51178? 2. Wetlands, as defined in the US Fish and Wildlife Service Manual, Part 660 FW 2? ~ □ □ A hazardous waste site that is listed pursuant to Section 65962.5 or a hazardous waste 3. site designated by the Department of Toxic Substances Control pursuant to Section □ )r □ 25356 of the Health and Safety Code? A special flood hazard area subject to inundation by the 1 percent annual chance flood 4. (100-year flood) as determined by the Federal Emergency Management Agency in any □ )( □ official maps published by the Federal Emergency Management Agency? A delineated earthquake fault zone as determined by the State Geologist in any official maps published by the State Geologist, unless the development complies with applicable 5. seismic protection building code standards adopted by the CA Building Standards □ )r □ Commission under the CA Building Standards Law (Part 2.5 (commencing with Section 18901) of Division 13 of the Health and Safety Code), and by any local building department under Chapter 12.2 (Section 8875) of Div. 1 ofTitle 2? A stream or other resource that may be subject to a stream bed alteration agreement )( 6. pursuant to Chapter 6 (Section 1600) of Division 2 of the Fish and Game Code (Attach a □ □ biological technical report prepared by a qualified biologist? 7. Any proposed point sources of air or water pollutants? □ ~ □ 8. Any species of special concern known to occur on the property? □ )( □ Any historic or cultural resources known to exist on the property (Attach a cultural and 9. historic resources report prepared by a qualified professional (historian and/or □ )( □ archaeologist) COASTAL ZONE If located within the coastal zone, indicate if the site contains any of the following: YES NO N/A Wetlands, as defined in subdivision (b) of Section 13577 of Title 14 of the California Code 1. of Regulations. A Wetlands Delineation Report my be required following the filing of the □ □ □ application requesting approval of a discretionary action in the Coastal Zone if the site contains a defined wetland. Environmentally sensitive habitat areas, as defined in Section 30240 of the Public· 2. Resources Code □ □ □ 3. A tsunami run-up zone □ □ □ 4. Use of the site for public access to or along the coast □ □ □ P-32_Preliminary Housing Development Pre-Application (11/2021) Page 3 of 5 0 PROPERTY OWNER/APPLICANT AFFIDAVIT Under penalty of perjury the following declarations are made: 1. I hereby certify, that all statements contained in this pre-application and any accompanying documents are true and correct, with full knowledge that all statements made in this pre-application are subject to investigation and that any false or dishonest answer to any question may be grounds for denial or subsequent revocation of the deemed complete status. 2. I understand this pre-application is not a development application that authorizes an entitlement and is strictly for the purposes of Senate Bill 330, the Housing Crisis Act of 2019; or Senate Bill 35, the Affordable Housing Streamlined Approval Process of 2017. 3. I understand and agree that any report, study, map or other information submitted to the city in furtherance of this pre- application will be treated by the city as public records which may be reviewed by any person and if requested, that a copy will be provided by the city. 4. I understand that if this pre-application cannot be submitted and deemed complete by staff atthe submittal appointment, there is no refund of fees paid. 5. I understand and agree to defend, indemnify, and hold harmless, the City of Carlsbad, its officers, agents, employees, and volunteers (collectively "city"), from any and all legal actions, claims, or proceedings (including administrative or alternative dispute resolution and Public Records Act requests (collectively "actions"), arising out of any city process or approval prompted by this Action, either in whole or In part. Such actions include but are not limited to: actions to attack, set aside, void, or otherwise modify, an entitlement approval, environmental review, or subsequent permit decision; actions for personal or property damage; actions based on an allegation of an unlawful pattern and practice; inverse condemnation actions; and civil rights oran action based on the protected status of the petitioner or claimant under state or federal law (e.g. ADA or Unruh Act). I understand and agree to reimburse the city for any and all costs incurred in defense of such actions. This Includes, but it not limited to, the payment of all costs (including litigation costs, administrative record preparation, public records act responses) and attorneys' fees, all judgments or awards, damages, and settlement costs. The indemnity language in this paragraph is intended to be interpreted to the broadest extent permitted by law and shall be in addition to anyother indemnification language agreed to by the applicant. 6. If the applicant is not the Property Owner, both the Property Owner and Applicant must sign this affidavit. By signing this affidavit, the Property Owner authorizes the Applicant listed in this application to act as the Property Owner's agent on all matters in connection with this application. The city requires original signatures below -the signatures do not need to be notarized. PROPERTY OWNER Name: Address: Matt Nelson, Membe APPLICANT )( same as above Name: Address: Email: Phone: Email: Phone: Signature: _________________ Date: matt@ikonlimited.com 1-310-293-8831 February 14, 2024 City Staff Only App. Vesting Date: Project No, PRE. 'lo3.f-OGo9 , Development No.: DE. v io ii-~Q J9 St;iff Signature: AIV Date:1/JS"/~ P-32_Preliminary Housing Development Pre-Application (11/2021) Page4 of 5 • DISCLOSURE DOCUMENTS Before the application can be accepted, the owner of each property involved must provide a signature to verify the pre-application is being filed with their consent. Staff will confirm ownership based on the records of the city or county assessor. In the case of partnerships, corporations, LLCs or trusts the agent for service of process or an officer of the ownership entity so authorized may sign as stipulated below. ■ Ownership Disclosure. Include current signature authorization for the person or persons signing the application. For a corporation, a chairman, president or vice-president AND a secretary, assistant secretary, CFO or assistant treasurer must sign. Otherwise, the corporation must attach a resolution certified by the secretary or assistant secretary under corporate seal empowering the officer(s) signing to bind the corporation. For an LLC, attach an official paper listing the individual as a Member of the LLC with sole authority to bind the organization. For a partnership, attach an official document identifying the individual as a general partner with sole authority to execute documents on behalf • of the limited partnership. A letter of authorization, as described below, may be submitted provided the signatory of the letter is included in the Ownership Disclosure. Include a copy of the current partnershipagreement, corporate articles, or trust document as applicable. ■ Letter of Authorization (LOA). A LOA from a property owner granting someone else permission to sign the pre-application form may be provided if the property is owned by a partnership, corporation, LLC or trust or in rare circumstances when an individual property owner is unable to sign the pre-application form. To be considered for acceptance, the LOA must indicate the name of the person being authorized to file, their relationship to the owner or project, the site address, a general description of the type of application being filed and must also include the language in items a-c below. In the case of partnerships, corporations, LLCs or trusts the LOA must be signed by the authorized signatory as shown on the Ownership Disclosure or, in the case of private ownership, by the property owner. Proof of Ownership for the signatory of the LOA must be submitted with said letter. ■ Grant Deed. Provide a copy of the Grant Deed if the ownership of the property does not match city or county assessor records. The Deed must correspond exactly with the ownership listed on the application. ■ Multiple Owners. If the property is owned by more than one individual (e.g. John and Jane Doe or Mary Smith and Mark Jones) signatures are required of all owners. a. I hereby certify that I am the owner of record of the herein previously described property located in the City of Carlsbad which is involved in this pre-application or have been empowered to sign as the owneron behalf of a partnership, corporation, LLC or trust as evidenced by the documents attached hereto. b. I hereby consent to the filing of this pre-application on my property for processing by the City of Carlsbad Planning Division for the sole purpose of vesting the proposed housing project subject to the zoning ordinances, policies, and standards adopted and in effect on the date that this pre-application is deemed complete. Further, I understand that this pre-application will be terminated and vesting will be forfeited if the housing development project is revised such that the number of residential units or squarefootage of construction increases or decreases by 20 percent or more, exclusive of any increase resulting fromthe receipt of a density bonus, incentive, concession, waiver, or similar provision, and/or an application requesting approval of an entitlement is not filed with the City of Carlsbad Planning Division within 180 days ofthe date that this pre-application is deemed complete. P-32_Preliminary Housing Development Pre-Application (11/2021) Page 5 of 5 Ccicyof Carlsbad Development Ser-vices AUTHORIATION, CONSENT, A~~Y OF Planning Division DISCLOSURE STATEMENT CARL[G~;fi')adayAvenue 442-339-2600 p .. 1 (A) FEB' 1 5 20u11ww.carlsbadca.gov ~ APPLICATION AND ACKNOWLEDGEMENT INFORMATION This submittal form (Part A through Part F) must be completed as part of your application with the City of Carlsbad. Your project cannot be reviewed until this information is completed. PART A. Owner Authorization and Consent NOTE: This Consent and Disclosure Form must list the name of the principal owners (10% or greater) and attach a copy of the current corporate articles, partnership agreement, or trust document, as applicable. Provide name(s) of the person(s) authorized to sign on behalf of the organization. (A separate page may be attached if necessary.) IF NO INDIVIDUALS OWN MORE THAN 10% OF THE SHARES, PLEASE INDICATE NOT-APPLICABLE (N/A) IN THE SPACE BELOW. This is to certify under penalty of perjury that the undersigned is/are the record owner(s) of the property known as: Assessor's Map Book, Page and Parcel (APN/ APNs): __ 2_15_._24_o_.3_6 ___________ _ _______________________________ ; and Street Address (if applicable): ______________________ _ that I/we (full legal name of all record owners) consent to the filing of the Land Use Review Application on our property for processing by the City of Carlsbad Planning Division. I/We declare under penalty of perjury that I/we have reviewed this Affidavit and the information is true and correct. Name: MATT NELSON,. QO~, ANAGER, LANSHIRE HOUSING PARTNERS, LLC Name: _________________________ _ Signature: ________________________ _ Name: _________________________ _ Signature: ________________________ _ (For additional names, please use a separate sheet of paper) Page 1 of 6 P-1 (A) Form Rev 6/2023 IMPORTANT: A Grant Deed is required if the ownership does not match city records. Ownership on the deed must correspond exactly with the ownership listed. If the owner noted on the Grant Deed does not match the person signing_ as Property Owner, provide paperwork documenting the person signing is authorized to sign as a Property Owner. Whenever any excavation, fill, or other project-related improvement requires entry onto adjacent property for any reason, the Land Use Review Application shall include the written consent or legal easements or other property rights of the adjacent property owner or their authorized representative, and shall include such consent with the application package. The application will not be deemed complete unless and until all necessary consent documents are so filed. The consent shall be in a form acceptable to the City Planner. If the proposed improvements on the adjacent property change the nature of the property's development rights (or implied bundle of rights), the city might require recordation of a Covenant and Agreement for Offsite Improvements and Release of Liability as a condition of project approval. Does the project's limits of disturbance encroach on property not owned by the Property Owner? D Yes IKl No If yes, attach adjacent owner authorization. PARTB. Owner Declarations (to be signed by Property Owner) I/We hereby certify under penalty of perjury that I have read the information below and that: 1. I/We understand that it is the responsibility of the Applicant to substantiate the request through the requirements of the application. 2. I/We understand that if there is a zoning violation on the property, application review may be delayed. Any unpermitted structures or uses must either be removed or legalized at part of this application. 3. I/We understand that if this application is approved, I/we may,be required to record a covenant with the County Recorder's Office, the form and content that is satisfactory to the City and its City Attorney, to notify future owners of the project approval and restrictions. 4. If this Land Use Review Application is approved or conditionally approved, I/we hereby certify that I/we will comply with all conditions attached to the approval action. I/We understand that the failure to comply with any conditions shall constitute grounds for the revocation or modification of the approval, permit, or other authorizations provided. 5. Prior to any use of the project site pur.~1r(tto the permit issued, all conditions of approval (if" any) will be completed or secur~\4t~ . • 'fner as stated or required. Property Owner Signature(s): '\JJJ · ~ C 1 MATT NELSON l -I-tu Name(s): __________________ Date: _....,_\4 ,""',cs\___._ ~·-'-,_ Page 2 of 6 P-1(A) Form Rev 6/2023 PART C. Project Team Information (complete all applicable fields) Applicant: IKI Same as Owner D Different from Owner Name (if different from Owner): ________________________ _ Company or Firm: __ L_.A_N_S_H_IR_E_H_O_U_S_IN_G_PA_RT_N_E_R_S_,_L_L_C ___________ _ ContactAddress:_P_o_s_o_x_2_6_7_1 ______________________ _ CARLSBAD CA 92018 City: ____________ State:. ___________ Zip Code: Agent or Representative: □ Same as Applicant !XI Different from Applicant □ N/A Name (if different from Applicant): __ T_O_D_D_G_U_S_T_A_F_s_o_N ______________ _ OWNERS' REP/PROJECT MANAGER Company or Firm: _____________________________ _ Contact Address: ___ 1_1_oo_A_v_1A_R_A_P_A_R_K_W_A_Y_, 1_s_1_s_a_s _____________ _ City: __ C_A_R_L_S_B_A_D _____ State: __ C_A ________ Zip Code: __ 92_0_1_3 __ Other (specify Architect, Engineer, CEQA Consultant, etc.): ______________ _ Name: ________________________________ _ Company or Firm: .. -~---------------------------- Contact Address: _____________________________ _ City: ____________ State: ___________ Zip Code: _____ _ NOTE: A Letter of Authorization {LOA) from the Property Owner empowering a person or persons ta act on the behalf of the Property, is required if anyone other than the Property Owner signs the land Use Review Application as the Applicant or Agent. The authorized person (Applicant or Agent) on the WA must correspond with the name and signature, above. PART D. Single "Point of Contact" Designation A single "point of contact" is an individual that handles all communications with the city and its review team for the purposes of sending and receiving application-materials, information, reports, etc. The paint of contact is to be the single individual elected on the Land Use Review Application form for all communications and to remain as the primary contact for all status updates relating to the Land Use Review Application. Single Point of Contact: □ Applicant □ Property Owner !XI Agent D Other ________ _ Page 3 of 6 P-1 (A) Form Rev 6/2023 PART E. Contribution Disclosure Has the Property Owner, Applicant, or Agent had more than $900 worth of business transacted with any member of city staff, Boards, Commissions, Committees and/or Council within the past 12 months? □ Yes Kl No If yes, indicate person(s): ___________________ _ NOTE: Attach additional sheets if necessary. PART F. Applicant Declarations (to be signed by Applicant) I hereby certify under penalty of perjury that I have read the information below and that: 1. I have carefully reviewed and prepared the application and plans in accordance with the instructions. 2. I understand that the specific information needed to initiate planning case processing corresponds to those items listed in the application form's "Minimum Submittal Intake Requirements Checklist." I also understand that even if the application is duly filed and accepted for intake processing, each application submitted to the Planning Division is required to have specified information included in the application packet before it is determined to be complete. The specific information to determine completeness is in "Completeness Determination Requirements Checklist." 3. The Planning Division has developed policies to help ensure that discretionary permit applications are timely processed. The Permit Streamlining Act shot clock starts on the intake date the Planning staff accepts a duly filed application. 4. I understand_ that once an application is determined to be complete, project or design changes that will increase the number of units, add uses that were not previously listed, substantially change the site plan, or other changes that trigger the need for additional discretionary approvals will require a new application, or the filing of other application permit types, which would restart the review "clock" and extend processing timelines. S. I understand that upon city review, additional information, documents, reports, entitlements and fees might be required, including any referral fees. I understand that all fees and deposits submitted with this application will be refunded only as provided for by the ordinances, regulations, or policies in effect at the time of the application submittal. 6. I understand that it is my responsibility to ensure that statements are true, that discrepancies do not exist between the project's description on the application, the architectural plans and the structural plans. If discrepancies exist between the architectural plans and the structural plans, the architectural plans shall take precedence. Ultimately, the scope of work, as described on the permit that authorizes construction, takes precedence over the plans. If there is a discrepancy between the plans and the description on the permit, the permit governs. Page 4 of 6 P-1 (A) Form Rev 6/2023 7. I understand that all materials submitted in connection with this application might become public record subject to inspection and copying by the public. I acknowledge and understand that the public might inspect and copy these materials and that some or all of the materials might be posted on the city website or elsewhere online, outside of the city's control. 8. I understand there are no assurances at any time, implicitly or otherwise, whether provided to me in writing or by oral communications regarding final staff recommendations to the decision- making body about this application or the determination of any decision-making body. 9. If the project is approved or conditionally approved, the approved plan set of project drawings, civil plans/grading, sections, site plans, floor plans, architectural elevations, and landscape plans shall not be altered without express authorization by the City Planner. Once a permit has been issued, the Applicant may request permit modifications. "Minor" modifications might be granted if found by the City Planner to be in substantial conformity with the approved plan set, including all exhibits and permit conditions. Modifications beyond the scope described in the approved plan set might require submittal of an amendment to the permit and approval by the authorized review body. 10. Should any proponent of the project fail to file a timely and valid appeal of the permit within the applicable appeal period, such inaction shall be deemed to constitute acceptance of the permit by the Applicant; and agreement by the Applicant to be bound by, to comply with, and to do all things required of or by the Applicant pursuant to all of the terms, provisions, and conditions of the issued permit or other approval. 11. As part of this application, the Applicant hereby agrees to defend, indemnify, and hold harmless the City of Carlsbad, its Council, boards and commissions, officers, employees, volunteers, and agents from any claim, action, or proceeding against the City of Carlsbad, its Council, boards and commissions, officers, employees, volunteers and agents, to attack, set aside, void or annul an approval of the application or related decision, including environmental documents, or to challenge a denial of the application or related decisions. This indemnification shall include, but not be limited to, damages awarded against the city, if any, costs of suit, attorneys' fees, and other expenses incurred in connection with such claim, action, causes of action, suit or proceeding whether incurred by Applicant, city, and/or the parties initiating or bringing such proceeding. The Applicant shall indemnify the city for all of the city's costs, attorneys' fees, and damages that the city incurs in enforcing the indemnification provisions set forth herein. The Applicant shall pay to the city upon demand any amount owed to the city pursuant to the indemnification requirements prescribed. Page 5 of 6 P-1(A) Form Rev 6/2023 By signing below, I hereby agree to defend, indemnify and hold harmless the city and I certify that the application I am submitting, including all additional required information, is complete and accurate to the best of my knowledge. I understand that any misstatement or omission of the requested information or of any information subsequently requested might be grounds for rejecting the application, deeming the application incomplete, denying the application, suspending or revoking a permit issued on the basis of these • r subse . ent representations, or for the seeking of such other and further relief as deemed by the C II ( • This form must be stapled/attached to the application and shall be effective until replaced or revoked in writing. Page 6 of6 P-1 (A) Form Rev 6/2023 LIMITED LIABILITY COMPANY REGULATIONS OF LANSHIRE HOUSING PARTNERS, LLC. TABLE OF CONTENTS ARTICLE I: Purpose ARTICLE II: Members; Membership Interests ARTICLE III: Management and Control of Business AR TI CLE IV: Accounting and Records ARTICLE V: Allocations; Distributions; Interests AR TI CLE VI: Changes in Members AR TI CLE VII: Dissolution AR TI CLE VIII: Indemnification ARTICLE IX: Miscellaneous REGULATIONS OF LANSHIRE HOUSING PARTNERS LLC The members of the Lanshire Housing Partners LLC, (the "Company"), a limited liability company created under the Texas Limited Liability Company Act (the "Act"), adopt the following Regulations in order to regulate the Company's affairs, conduct its business, and establish the relations of its members: DEFINITIONS "Act" means the Texas Limited Liability Company Act, as it may be amended from time to time. "Additional Member" means any person or entity admitted as a Member pursuant to Section 2.8 of these Regulations. "Affiliate" means any individual, partnership, corporation, limited liability company, trust,-or__other__ Entity. or .. association,-directlr-or .indirectly,-tbrough _one...._or__more --. intermediaries, controlling, controlled by, or under common control with a Member. The term "control," means, with respect to a corporation the right to exercise, directly or indirectly, more than 50 percent of the voting rights attributable to the controlled corporation, and, with respect to any individual, partnership, trust, other entity or association, the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of the controlled Entity. "Available Cash" of the Company means all cash funds of the Company on hand from time to time ( other than cash funds obtained as contributions to the capital of the Company by the Members and cash funds obtained from loans to the Company) after (i) payment of all operating expenses of the Company as of that time, (ii) provision for payment of all outstanding and unpaid current obligations of the Company as of that time, and (iii) provision for a working capital reserve in accordance with Section 5.2, below. "Bankruptcy" means, and a Member is deemed a "Bankrupt Member'' on (i) the entry of a decree or order for relief against the member by a court of competent jurisdiction in any involuntary case brought against the Member under any bankruptcy, insolvency, or other similar law (collectively, "Debtor Relief Laws") generally affecting the rights of creditors and relief of debtors now or hereafter in effect, (ii) the appointment of a receiver, liquidator, assignee, custodian, trustee, sequestrator or other similar agent under applicable Debtor Relief Laws for the Member or for any substantial part of its assets or property, (iii) the ordering of the winding up or liquidation of the Member's affairs, (iv) the filing of a petition in any such involuntary bankruptcy case that remains undismissed or suspended pursuant to Section 305 of the Federal Bankruptcy Code (or any corresponding provision of any future United States bankruptcy law), (v) the commencement by the Member of a voluntary case under any applicable Debtor Relief Law now or hereafter in effect, (vi) the consent by the Member to the entry of an order Lanshire Housing Partners LLC Page 1 of 18 for relief in an involuntary case under any such law or to the appointment of or the taking of possession by a receiver, liquidator, assignee, trustee, custodian, sequestrator or other similar agent under any applicable Debtor Relief Laws for the Member or for any substantial part of its assets or property, or (vii) the making by a Member of any general assignment for the benefit of its creditors. "Capital Account" means the individual accounts established and maintained pursuant to Section 2.6(b) of these regulations. "Capital Contribution" means the total value of cash and agreed fair market value of property contributed and agreed to be contributed to the Company by each Member, as shown in Exhibit A, as may be amended from time to time. Reference in these Regulations to the Capital Contribution of a present Member includes a Capital Contribution previously made by any prior Member for the interest of the present Member, reduced by any distribution to the Member in return of "Capital Contribution" as contemplated herein. Additional Capital Contributions may be made only by a Member with that Member's consent and with the consent of all other Members. "Company" refers to Lanshire Housing Partners LLC. "Entity" means any association, corporation, general partnership, limited partnership, limited liability partnership, limited liability company, joint stock association, joint venture, firm, trust, business trust, cooperative, and foreign associations of like structure. "Interest" in the Company means the entire ownership interest of a Member in the Company at any particular time, including the right of the Member to any and all benefits to which a Member may be entitled as provided in these Regulations and under the Act, together with the obligations of the Member to comply with all of the terms and provisions of these Regulations. "Percentage Interests" of a Member means the percentage of a Member set forth opposite the name of the Member under the column "Percentage Interest" in Exhibit A to these regulations, as that percentage may be adjusted from time to time. "Person" includes an individual, partnership, limited partnership, limited liability partnership, limited liability company, foreign limited liability company, trust, estate, corporation, custodian, trustee, executor, administrator, nominee or entity in a representative capacity. "Principal Office" means the office of the Agent as shown in the Articles, or the other address as may be established pursuant to these Regulations. "Pro Rata Part" means the proportion that a Percentage Interest of a Member bears to the aggregate Interest in the Company of all Members. Lanshire Housing Partners LLC Page2of 18 "Regulations" means these Regulations, as originally executed and as amended from time to time. "Substitute Member" means any person or Entity who or which is admitted into Membership on the written consent of all Members pursuant to Section 6.4. ARTICLE I PURPOSE 1.1. Company Purpose. The general purposes of the Company are as set forth in the Articles. The Company may exercise all powers reasonable or necessary to pursue its purpose. In addition, the Company may engage in and do any act concerning any or all lawful businesses for which limited liability companies may be organized according to the Act which purposes have been specifically authorized by all Members. ARTICLE II MEMBERS; MEMBERSHIP INTERESTS 2.1. Names, Addresses and Initial Capital Contributions of Members. Members, their respective addresses, their initial Capital Contributions to the Company, and their respective Percentage Interest in the Company are set forth on Exhibit A, attached and made part of these Regulations. Each Member agrees to make the initial contribution set out in Exhibit A within 60 days. 2.2. Future Contributions. Subsequent contributions must be in the amounts and may be in any type of property as agreed on by all of the Members. No Member is required to make a Capital Contribution to the Company other than the Capital Contribution required to be made by that Member under Section 2.1 without the Member's prior express consent. 2.3. Member Loans or Services. Loans or services by a Member to the Company may not be treated as a contribution to the capital of the Company. 2.4. Units of Membership Interests. The membership interest of the Company may be divided into Units, each Unit to represent the amount of capital contributed as the Members unanimously determine. 2.5. Certificates for Membership Interests. The Member's Interest in the Company may be represented by a Certificate of Membership. The contents of a Certificate of Membership are determined by the Members. Lanshire Housing Partners LLC Page3of18 ' I 2.6. Capital and Capital Accounts. (a) The initial Capital Contribution of each Member is as set forth in Exhibit A. No interest may be paid on any Capital Contribution. (b) An individual capital account (the "Capital Account") must be established and maintained on behalf of each Member, including any additional or substituted Member who hereafter receives an futerest in the Company. The Capital Account of each Member consists of (i) the amount of cash the Member has contributed to the Company, plus (ii) the agreed fair market value of any property the Member has contributed to the Company, less any liabilities assumed by the Company or to which the property is subject, plus (iii) the amount of profits or income (including tax-exempt income) allocated to the Member, less (iv) the amount of losses and deductions allocated to the Member, less (v) the amount of all cash distributed to the member, less (vi) the fair market value of any property distributed to the Member, net of any liability assumed by the Member or to which the property is subject, less (vii) the Member's share of any __ ____ _ other _ __expenditures __ thaLare __ noLdeductible__b-¥-the __ Cempany_for_federaLinc.ome___tax ____ _ purposes or which are not allowable as additions to the basis of Company property, and (viii) subject to other adjustments that may be required under the Code. The Capital Account of a Member is not affected by adjustments to basis made pursuant to Section 743 of the futernal Revenue Code but must be adjusted with respect to adjustments to basis made pursuant to Section 734 of the Code. (c) No Member may withdraw his, her or its Capital Contribution or demand and receive property of the Company or a distribution in return for his, her or its Capital Contribution, except as is specifically provided in these Regulations or required by law. No Member may receive out of Company property any part of his, her or its Capital Contribution until (i) all liabilities of the Company, except liabilities to Members on account of their loans have been paid or sufficient Company property remains to pay them, and (ii) all Members consent, unless the return of the Contribution to Capital is rightfully demanded as provided in the Act. (d) Subject to the provisions of subsection (c) of this section, a Member may rightfully demand the return of his, her or its Capital Contribution (i) on the dissolution of the Company, or (ii) as may otherwise be provided in the Act. A Member may demand and receive only cash in return for the Member's Capital Contribution. ( e) Except as is specifically provided otherwise in these Regulations or in the Act, no Member has any liability or obligation to restore a negative or deficit balance in that Member's Capital Account. 2.7. Admission of Additional Capital. Additional capital may be contributed to the Company, but only on the written consent of all Members. 2.8. Admission of Additional Members. As provided in the Articles, the Members may Lanshire Housing Partners LLC Page 4 of 18 admit to the Company additional Member(s) to-participate in the profits, losses, available cash flow, and ownership of the assets of the Company on terms determined by all of the Members. Admission of any Additional Member(s) requires the written consent of all Members then having any Interest in the Company. Any Additional Members are allocated gain, loss, income or expense by the method provided in these Regulations, and if no method is specified, then as may be permitted by Section 706(d) of the Internal Revenue Code. 2.9. Limitation on Liability. No Member is liable under a judgment, decree or order of the court, or in any other manner, for a debt, obligation or liability of the Company, except as provided by law. No Member is required to loan any funds to the Company. Except as is expressly provided otherwise in these Regulations, no Member is required to make any contribution to the Company by reason of any negative balance in his, her or its capital account, nor does any negative balance in a Member's capital account create any liability on the part of the Member to any third party. 2.10. No Individual Authority. Unless expressly provided in Article III, no Member, acting.alone, has-any. authority to act.-for,-or-to undertake or assume, any-obligation, debt, duty or responsibility on behalf of, any other Member or the Company. 2.11. No Member Responsible for Other Member's Commitment. In the event that a Member (or a Member's shareholders, partners, members, owners, or Affiliates) has incurred any indebtedness or obligation prior to the execution date of these Regulations that relates to or otherwise affects the Company, neither the Company nor any other Member has any liability or responsibility with respect to the indebtedness or obligation unless the indebtedness or obligation is assumed by the Company pursuant to a written instrument signed by all Members. Furthermore, neither the Company nor any Member is responsible or liable for any indebtedness or obligation that is hereafter incurred by any other Member (or a Member's shareholder, partners, members, owners, or Affiliates). In the event that a Member (or a Member's shareholders, partners, members, owners, or Affiliates (collectively, the "liable Member")), whether prior to or after the date of execution of these Regulations, incurs ( or has incurred) any debt or obligation for which neither the Company nor any of the other Members is responsible or liable, the liable Member must indemnify and hold harmless the Company and the other Members from any related liability or obligation they may incur. ARTICLE III MANAGEMENT AND CONTROL OF BUSINESS 3 .1. Overall Management Vested in Members. (a) Except as expressly provided otherwise in these Regulations or otherwise agreed, management of the Company is vested in the Members in proportion to their initial Capital Contributions. Except as provided in Section 3.3, below, all powers of the Company are exercised by or under the authority of the members and the business and Lanshire Housing Partners LLC Page5 of 18 affairs of the Company are managed under the direction of the Members. The Members or any of their Affiliates may engage in other activities of any nature. 3 .2. Meetings of the Members. (a) Meetings of Members may be called by Members representing in the aggregate more than 50 percent of the Percentage Interests in the Company. (b) The Company must deliver or mail written notice stating the date, time, and place of any meeting of Members and, when otherwise required by law, a description of the purposes for which the meeting is called, to each Member of record entitled to vote at the meeting, at the address that appears in the records of the Company. The notice is to be mailed at least seven (7), but not more than ninety (90), days before the date and time of the meeting. A Member may waive notice of any meeting, before or after the date of the meeting, by delivering a signed waiver to the Company for inclusion in the minutes of the Company. A Member's attendance at any meeting, in person or by proxy (i) waives objection to lack of notice or defective notice of the meeting, unless the Member at the beginning-of -the-meeting. objects-to-holding .the-meeting or .transacting-business at .the meeting, and (ii) waives objection to consideration of a particular matter at the meeting that is not within any purposes described in the meeting notice, unless the Member objects to considering the matter when it is presented. (c) The record date for the purpose of determining the Members entitled to notice of a Members' meeting, for demanding a meeting, for voting, or for taking any other action is the tenth (10th) day prior to the date of the meeting or other action. ( d) A Member may appoint a proxy to vote or otherwise act for the Member pursuant to a written appointment form executed by the Member or the Member's duly authorized attorney-in-fact. An appointment of a proxy is effective when received by the Company. The general proxy of a fiduciary is given the same effect as the general proxy of any other Member. A proxy appointment is valid for eleven (11) months unless otherwise expressly stated in the appointment form. (e) At any meeting of Members, each Member entitled to vote has a number of votes equal to the number of Units issued to the Member pursuant to Section 2.4, if any, and if none, to the product of (i) the Member's Percentage Interest as set forth on Exhibit A (or subsequent amended exhibits) times (ii) one hundred (100). At any meeting of Members, presence of Members entitled to cast at least 51 percent of the total votes of all Members entitled to vote at the meeting constitutes a quorum. Action on a matter is approved if the matter receives approval by at least 51 percent of the total number of votes entitled to be cast by all Members in the Company entitled to vote at the meeting or the greater number as may be required by law or the Articles for the particular matter under consideration. On the occurrence of a Dissolution Event, a Former Member is not entitled to a vote in determining whether the Company will purchase the interest of the Former Member as permitted in Section 6.1. Also, any assignee of a Member's Interest in the Company is Lanshire Housing Partners LLC Page 6 of 18 not entitled to vote or participate on any matters at any meeting unless the assignee becomes a Substitute Member as contemplated in Section 6.4. (f) Any action required or permitted to be taken at a Members' meeting may be taken without a meeting if the action is taken by all of the Members entitled to vote on the action. The action must be evidenced by one or more written consents describing the action to be taken, signed by all the Members entitled to vote on the action, and delivered to the Company for inclusion in the minutes. The record date for determining Members entitled to take action without a meeting is the first date a Member signs the consent to the action. (g) Any or all Members may participate in a Members' meeting by, or through the use of, any means of communications by which all Members participating may simultaneously hear each other during the meeting. A Member so participating is deemed to be present in person at the meeting. (h) At any Members' meeting the Members must appoint a person to preside at the _ meeting and a person to act .as . secretary of the .. meeting. __ The_ secretar.y_of the_meeting must prepare minutes of the meeting which are placed in the minute books of the Company. 3.3. Members to Make Joint Decisions. (a) Major Decisions. No act may be taken, sum expended, decision made or obligation incurred by the Company except by the unanimous consent of all Members with respect to a matter within the scope of any of the major decisions enumerated below (the "Major Decisions"). The Major Decisions include (i) the sale of all or substantially all assets of the Company, (ii) mortgage or encumbrance on all or substantially all assets of the Company, (iii) any matter which could result in a change in the amount or character of the Company's contributions to capital, (iv) a change in the character of the business of the Company, (v) borrowing or lending of money, (vi) commission of an act which would make it impossible for the Company to carry on its ordinary business, or (vii) contravene these Regulations. (b) Alteration of Management Responsibilities. Management responsibilities as set forth in this Section may not be altered except by the action of a majority in interest of all Members at a meeting called on written notice expressly describing alternation of management responsibilities as one of the purposes of the meeting. ( c) Managing Member Compensation. Members may receive compensation as determined by all Members for services provided in the management of the Company. In all events, Members may be reimbursed for all expenses advanced by Members on behalf of the Company. Lanshire Housing Partners LLC Page 7 of 18 3.4. Powers of Members as Managers. (a) Except as expressly provided in Section 3.3, above, each of the Members has all necessary powers to carry out the purposes, business, and objectives of the Company, including, but not limited to, the right to enter into and carry out contracts of all kinds; to employ employees, agents, consultants and advisors on behalf of the Company; to lend or borrow money and to issue evidences of indebtedness; to bring and defend actions in law or at equity; to buy, own, manage, sell, lease, mortgage, pledge or otherwise acquire or dispose of Company property. Each Member may deal with any related Affiliate or other related person, firm or Entity on terms and conditions that would be available from an independent responsible third party that is willing to perform. (b) The Members may employ a competent person to be responsible for authenticating the records of the Company, including keeping correct and complete books of account that show accurately at all times the financial condition of the Company; safeguarding all funds, notes, securities, and other valuables that may from time to time come into .possession of .the _Company; .depositing_all.. funds .. of the._Company_.with __ depositories designated by the Members. This competent person may have such other duties as the Members may from time to time jointly prescribe, but under no circumstances does the employee have any of the rights, powers, responsibilities or duties of a Member of the Company as prescribed herein or by law. Any person responsible for the above-described duties may be terminated at any time by a Member, and any Member may restrict the duties and/or authority of the person responsible for these duties at any time. ( c) Every contract, deed, mortgage, lease and other instrument executed by a Member is conclusive evidence in favor of every person relying on or claiming under the fact that, at the time of its delivery, (i) the Company was in existence, (ii) neither these Regulations nor the Articles had been amended in any manner to restrict the delegation of authority among the Members, and (iii) the execution and delivery of the instrument was duly authorized by the Members. Any person may always rely on a certificate addressed to him and signed by any Member regarding the following: (i) The identity of the Members; (ii) The existence or non-existence of any fact that constitutes a condition precedent to acts by the Member or in any other manner germane to the affairs of the Company; (iii) Identity of person who is authorized to execute and deliver any instrument or document of the Company; (iv) The authenticity of any copy of the Articles, these Regulations, and any other document relating to the conduct of the affairs of the Company; and (v) Any act or failure to act by the Company or as to any other matter whatsoever involving the Company or any Member in the capacity as a Member of the Company. Lanshire Housing Partners LLC Page8 of 18 3.5. Reimbursement of Expenses. Each Member is entitled to reimbursement from the Company of all expenses of the Company reasonably incurred and paid by the Member on behalf of the Company. 3.6. Organization Expenses. The Company must pay all expenses incurred in the organization of the Company. ARTICLE IV ACCOUNTING AND RECORDS 4.1. Records and Accounting. The books and records of the Company must be kept, and the financial position and the results of its operations recorded, in accordance with the accounting methods elected to be followed by the Company for federal and state tax purposes. The books and records of the Company must reflect all Company transactions and must be appropriate and adequate for the Company's business. The fiscal year of the Company for financial reporting and for federal income tax purposes is the calendar year. 4.2. Access to Accounting Records. All books and records of the Company must be maintained at any office of the Company or at the Company's principal place of business, and each Member, and his, her or its duly authorized representative, must have access to them at the office of the Company and the right to inspect and copy them at reasonable times. 4.3. Annual and Tax Information. The Members must use their best efforts to cause the Company to deliver to each Member, within forty-five (45) days after the end of each fiscal year, all information necessary for the preparation of the Member's federal income tax return. The Members must also use their best efforts to cause the Company to prepare, within thirty (30) days after the end of each fiscal year, a financial report of the Company for the fiscal year, which contains a balance sheet as of the last day of the year then ended, an income statement for the year then ended, a statement of sources and applications of funds, and a statement of reconciliation of the Capital Accounts of the Members. 4.4. Accounting Decisions. All decisions regarding accounting matters, except as otherwise specifically set forth in these Regulations, must be made by the Members. The Members may rely on the advice of their accountants as to whether the decisions are in accordance with accounting methods followed for federal and state tax purposes. 4.5. Income Tax Elections. The Company may make all elections for federal income tax purposes, including, but not limited to, the following: (a) To the extent permitted by applicable law and regulations, elect to use an accelerated depreciation method on any depreciable unit of the assets of the Company; and (b) In case of a transfer of all or part of the Company Interest of any Member, the Lanshire Housing Partners LLC Page 9of 18 Company may elect, pursuant to Sections 734, 743, and 754 of the Internal Revenue Code, as amended (or corresponding provisions of future law) to adjust the basis of the assets of the Company. ARTICLEV ALLOCATIONS; DISTRIBUTIONS; INTERESTS 5.1. Allocation of Net Income, Net Loss or Capital Gains. Except as may be expressly provided otherwise in this Article and subject to the provisions of Section 704( c) of the Internal Revenue Code, the net income, net loss or capital gains of the Company for each fiscal year of the Company is allocated to the Members, pro rata in accordance with their Percentage Interest. 5.2. Distribution of Available Cash. Periodically, but not less frequently than at the end of each calendar quarter, the Available Cash of the Company, if any, must be distributed to the Members, pro rata in accordance with their Percentage Interest. For any calendar quarter, Available.Cash of the Company nee.d.nothe distributed to the .. extent thaLthe.cash is required for a reasonable working capital reserve for the Company, the amount of reasonable working capital reserve to be determined by the Members. 5.3. Allocation of Income and Loss and Distributions in Respect of Interests Transferred. (a) If any Interest in the Company is transferred, or is increased or decreased by reason of the admission of a new Member or otherwise, during any fiscal year of the Company, each item of income, gain, loss, deduction, or credit of the Company for the fiscal year must be assigned pro rata to each day in the particular period of the fiscal year to which such item is attributable (i.e., the day on or during which it is accrued or otherwise incurred) and the amount of each item so assigned to any day is allocated to the Member based on his, her or its respective Interest in the Company at the close of the day. For the purpose of accounting convenience and simplicity, the Company may treat a transfer of, or an increase or decrease in, an Interest in the Company which occurs at any time during a semimonthly period ( commencing with the semimonthly period including the date hereof) as having been consummated on the first day of the semimonthly period, regardless of when during the semimonthly period the transfer, increase, or decrease actually occurs (i.e., sales and dispositions made during the first 15 days of any month are deemed to have been made on the 16th day of the month). (b) Distributions of Company assets in respect of an Interest in the Company are made only to the Members who, according to the books and records of the Companr, are the holders of record of the Interests in respect of which the distributions are made on the actual date of distribution. Neither the Company nor any Member incurs any liability for making distributions in accordance with the provisions of the preceding sentence, whether or not the Company or the Member has knowledge or notice of any transfer or purported transfer of ownership of Interest in the Company which has not been approved Lanshire Housing Partners LLC Page JO of 18 by unanimous vote of the Members. Notwithstanding any provision above to the contrary, gain or loss of the Company realized in connection with a sale or other disposition of any of the assets of the Company must be allocated solely to the parties owning Interests in the Company as of the date the sale or other disposition occurs. ARTICLE VI CHANGES IN MEMBERS 6.1. Death, Dissolution, Retirement or Bankruptcy of Member. (a) The death, retirement, resignation, bankruptcy or dissolution of a Member, or the expiration of the period for the duration of the Company, or the occurrence of any other event which terminates the continued membership of a Member in the Company (a "Dissolution Event"), dissolves the Company unless the remaining Member(s) unanimously consent to the continuation of the business of the Company ("Unanimous Consent"). If the Member whose actions or conduct result in the Dissolution Event ("Former _Member";) _or .. the .Former_ Member~s-repres.entatLv:e, _ rightfull}L_demands__the. return of his Interest by a written notice to the remaining Member(s), the Company (if the remaining Member(s) unanimously consent in writing) or remaining Member(s), to avoid dissolution of Company, must within sixty (60) days following the written notice, purchase the Former Member's Interest as provided in the subsections to this Article. (b) On the occurrence of the Dissolution Event, and the Unanimous Consent, and if applicable, the rightful demand for the return of the Former Member's Interest by the Former Member or the Former Member's representative, the Company has first option to purchase the Interest of the Former Member by giving notice of the intent to purchase within sixty (60) days following occurrence of the Dissolution Event or the demand for return of contribution. If the Company elects to give notice within sixty (60) days, the purchase and sale obligation accrues one hundred and twenty (120) days after the Dissolution Event or rightful demand for return of contribution. After the Company has given notice of its election and prior to the date on which the purchase and sale obligation accrues, the parties must take all necessary steps to determine the price and terms of the purchase and sale obligation as provided below. (c) If the Company does not exercise its first option to purchase the Interest of a Former Member within sixty (60) days as provided above, for 30 days thereafter, that is, between the sixty-first (61 st) and ninetieth (90th) day after the Dissolution Event or the rightful demand for withdrawal of contribution, the remaining Members have an option to purchase the interest. Between the sixty-first (61 st) and ninetieth (90th) day, the remaining Member(s) must notify the Former Member and all other Members in writing of their desires to purchase a portion of the Former Member's Interest. The failure of a Member to submit a notice within the applicable period constitutes an election on the part of the remaining Member not to purchase any of the Former Member's Interest. Each remaining Member may purchase a portion of the Former Member's Interest based on the remaining Lanshire Housing Partners LLC Page 11 of 18 Member's Pro Rata Part on the date of the Unanimous Consent or the date of receipt of the rightful demand for the return of its Interest by the Former Member. (d) If the remaining Member(s) elects not to purchase any or to purchase less than all of the remaining Member's Pro Rata Part of the Former Member's Interest, the Company may at its election purchase the portion of the Former Member's Interest. In the event the Company elects not to purchase the Former Member's Interest, the unpurchased portion may be purchased by those remaining Members that elected to purchase more than their Pro Rata Part. (e) If the remaining Members fail to purchase the entire interest of the Former Member, the interest passes by operation of law to any assignee or remains with the Former Member, subject to any right of the holder of the interest to demand payment therefor according to Texas law. (f) Notwithstanding any other provision in Article VI, to the contrary, the remaining Members may mutually agree to an allocation of the Former Member's Interest to be . purchased. by each-of-them. .. . -.. . -----. .. . . . .-. -------.... --. -.. ---. (g) The Former Member's Interest must be valued according to its book value for federal income tax purposes, provided, however, a party to a purchase of the Interest pursuant to this Article VI who deems the value to vary from fair market value (as defined below) by more than twenty-five (25) percent, may request and receive an appraisal. In that event, the Former Member's Interest must equal the fair market value of that Interest as determined by agreement between the Former Member or the representatives of the Former Member and the purchaser or purchasers no less than twenty-one (21) days prior to the date on which the purchase and sale obligation accrue, or in case of failure to agree within the time period, as determined by three appraisers, one selected by the Former Member or the Former Member's representative, one selected by the remaining Member(s), and one selected by the two appraisers so named. The appraiser shall be instructed to appraise the net fair market value of the underlying assets of the Company and multiply the value by the Former Member's Percentage Interest, which is then further discounted by the appraiser to reflect lack of marketability, loss of counsel of the Former Member, absence of control for a minority interest, and other factors that the appraiser may reasonably believe to affect the value of an Interest in the Company. The fair market value of the Fonner Member's Interest in the Company is the average of the two appraisals closest in amount to each other. In the event the fair market value is determined to be within the twenty-five (25) percent of book value, the party requesting the appraisal must pay all expense of the same otherwise incurred by the parties offering to enter into the transaction at the book valuation. (h) The purchase and sale obligation for all purposes under Section 6.1 accrues one hundred and twenty (120) days after the Dissolution Event, assuming the Unanimous Consent has been obtained. In the case of a rightful demand for withdrawal of contribution to capital by any Member, the purchase and sale obligation accrues one hundred and eighty (180) days after the demand. Lanshire Housing Partners LLC Page 12 of 18 (i) The purchase price must be paid by the Company (if all Members consent in writing) or the remaining Member(s), as the case may be, either (i) in three (3) equal annual installments of principal together with interest, commencing to accrue from the date of closing, at the then current Mid-Term Applicable Federal Rate (the "AFR") under Section 1274(d) of the Internal Revenue Code for the month in which the first payment is made ( or a rate per annum equal to what the AFR would be for the month under Section 1274(d) if the AFR is no longer published) to fully amortize the purchase price over the three (3) payments with the first payment being due and payable when the purchase and sale obligation shall accrue, or (ii) without interest when the purchase and sale obligation accrue, as the Company and/or the remaining Member(s), as the case may be, elect in their sole discretion. G) Closing of any sale transaction pursuant to this Section occurs on the date the purchase and sale obligation is to accrue as provided herein, or the next previous business day if the same falls on a weekend or holiday. At the closing, documents evidencing the payment obligation(s) must be delivered by the purchasers, and any certificates, duly endorsed, must be delivered by the Former Member or the representatives of the Former -Member. . .. -----------.. --------------------------------------------------------- (k) This Article does not prohibit Members from agreeing on terms and conditions for the purchase by the Company or any Member(s) of the Interest of any Member in the Company desiring to retire, withdraw or resign, in whole or in part, as a Member ( on such terms and conditions as are agreed on by the selling Member and the Company or the remaining Member(s)), nor does anything herein limit or otherwise affect the ability of a Member to demand a return of his, her or its contribution to the Company as provided in the Act. 6.2. Transfer and Assignment of Member's Interest. No Member may assign, convey, sell, encumber or in any way alienate all or any part of his, her or its Interest in the Company as a Member without the prior written unanimous consent of all the other Members, which consent may be given or withheld, conditioned or delayed (as allowed by these Regulations or the Act), as the remaining Members may determine in their sole discretion. 6.3. Further Restrictions on Transfer. No Member may assign, convey, sell, encumber or in any way alienate all or any part of his, her or its Interest in the Company (i) without registration under applicable securities laws, or unless he, she or it delivers an opinion of counsel satisfactory to the Company that registration is not required; or (ii) if the Interest to be sold or exchanged, when added to the total of all other interests sold or exchanged in the preceding twenty-four (24) consecutive months prior thereto, would result in the termination of the Company under Section 708 of the Internal Revenue Code. 6.4. Substitute Members. A transferee may become a substitute Member if (i) the requirements of Sections 6.2 and 6.3 are met, (ii) the person or entity executes an instrument satisfactory to the remaining Members accepting and adopting the terms and Lanshire Housing Partners LLC Page 13 of 18 provisions of these Regulations, and (iii) the person or entity pays all reasonable expenses in connection with his, her or its admission as a remaining Member. 6.5. Effect of Transfer. Any permitted transfer of all or any portion of a Member's Interest in the Company takes effect on the first day of the month following receipt by the Members of written notice of transfer. Any transferee of an Interest in the Company takes subject to the restrictions on transfer imposed by these Regulations and to the Texas Limited Liability Company Act. 7.1. Dissolution of the Company. ARTICLE VII DISSOLUTION (a) The Company is dissolved, its assets are disposed of, and its affairs wound up on the first of the following to occur: (i) A determination by Members owning more than 50 percent of the interests in the Company that the Company should be dissolved; (ii) A Dissolution Event, and the Company's or remaining Members' failure to purchase the Interest of the Former Member as provided in Section 6.1; (iii) The expiration of the Company term as stated in its Articles; or (iv) At any earlier time as provided by applicable law. (b) In settling accounts of the Company after dissolution, the liabilities of the Company must be paid in the following order, all as required by the Act: (i) Liabilities to creditors, in the order of priority as provided by law; except those to Members of the Company on account of their contributions; (ii) Liabilities to Members of the Company in respect of their share of the profits and other compensation by way of income on their contributions; and (iii) Liabilities to Members of the Company in respect of their contribution to capital. ARTICLE VIII INDEMNIFICATION 8.1. Indemnification of Members. (a) To the greatest extent not inconsistent with the laws and public policies of Texas, the Lanshire Housing Partners LLC Page 14 of 18 Company indemnifies, as a matter of right, any Member ( any Member who is a person, and any responsible officer, partner, shareholder, director, or manager of the Member which is an Entity, referred to as the indemnified "individual") made a party to any proceeding because he or she is or was a Member, against all liability incurred by the individual in connection with any proceeding; provided that it is determined in the specific case according to subsection ( d) of this Section, that indemnification of the individual is permissible in the circumstances because the individual has met the standard of conduct for indemnification set forth in subsection ( c) of this Section. The Company will pay for or reimburse the reasonable expenses incurred by a Member in connection with any such proceeding in advance of final disposition thereof if (i) the individual . furnishes the Company a written affirmation of the individual's good faith belief that he or she has met the standard of conduct for indemnification described in subsection ( c) of this Section, (ii) the individual furnishes the Company a written undertaking, executed personally or on that individual's behalf, to repay the advance if it is ultimately determined that the individual did not meet the standard of conduct, and (iii) a determination is made in accordance with subsection ( d) that based on facts then known to those making the determination, indemnification would not be precluded under this Section. The undertaking .described in subsection (a)(ii), above, must .. be a. general obligation of the individual, subject to the reasonable limitations as the Company may permit, but need not be secured and may be accepted without reference to financial ability to make repayment. The Company must indemnify a Member who is wholly . successful, on the merits or otherwise, in the defense of any such proceeding, as a matter of right, against reasonable expenses incurred by the individual in connection with the proceeding without the requirement of a determination as set forth in subsection ( c) of this Section. On demand by a Member for indemnification or advancement of expenses, the Company must expeditiously determine whether the Member is entitled to indemnification in accordance with this Section. The indemnification and advancement of expenses provided for under this Section is applicable to any proceeding arising from acts or omissions occurring before or after the adoption of this Section. (b) The Company may, but need not, indemnify an individual who is or was an employee or agent of the Company to the same extent as if the individual were a Member. ( c) Indemnification of an individual is permissible under these Regulations only if this individual (i) conducted himself or herself in good faith, (ii) reasonably believed that his or her conduct was in or at least not opposed to the Company's best interest; (iii) in the case of any criminal proceeding, had no reasonable cause to believe his or her conduct was unlawful; and (iv) the individual is not adjudged in any such proceeding to be liable for negligence or misconduct in the performance of duty. The termination of a proceeding by judgment, order, settlement, conviction or on a plea of nolo contendere or its equivalent is not, of itself, determinative that the individual did not meet the standard of conduct described in this subsection ( c ). ( d) The determination whether indemnification or advancement of expenses 1s permissible must be made in any one of the following manners: (i) By a majority vote of the Members who are not parties to the proceeding; or Lanshire Housing Partners LLC Page 15 of 18 (ii) By special legal counsel selected by a majority vote of the Members who are not parties to the proceeding. ( e) A Member of the Company who is a party to a proceeding may apply for indemnification from the Company to the court, if any, that is conducting the proceeding or to another court of competent jurisdiction. (f) These Regulations do not limit or preclude the exercise or exclude any right under the law, by contract or otherwise, relating to indemnification of or advancement of expenses to any individual who is or was a Member of the Company or is or was serving at the Company's request as a director, officer, partner, manager, trustee, employee, or agent of another foreign or domestic company, partnership, association, limited liability company, corporation, joint venture, trust, employee benefit plan, or other enterprise, whether for- profit or not. Nothing contained in these Regulations limits the ability of the Company to otherwise indemnify or advance expenses to any individual. The intent of the parties making these Regulations is to provide indemnification to Members to the fullest extent -now -or hereafter-permitted -by-the -law-consistent---with -the-terms-and-conditions-of-this Section. Indemnification is provided in accordance with this, without regard to the nature of the legal or equitable theory on which a claim is made including without limitation negligence, breach of duty, mismanagement, waste, breach of contract, breach of warranty, strict liability, violation of federal or state securities law, violation of the Employee Retirement Income Security Act of 197 4, as amended, or violation of any other state or federal law. (g) For purposes of this Section, the following apply: (i) The tenn "expenses" includes all direct and indirect costs (including without limitation counsel fees, retainers, court costs, transcripts, fees of experts, witness fees, travel expenses, duplicating costs, printing and binding costs, telephone charges, postage, delivery service fees and all other disbursements or out-of-pocket expenses) actually incurred in connection with the investigation, defense, settlement or appeal of a proceeding or establishing or enforcing a right to indemnification under this Section, applicable law or otherwise. (ii) The term "liability" means the obligation to pay a judgment, settlement, penalty, fine, excise tax (including an excise tax assessed with respect to an employee benefit plan), or reasonable expenses incurred with respect to a proceeding. (iii) The tenn "party" includes an individual who was, is, or is threatened to be made a named defendant or respondent in a proceeding. (iv) The tenn "proceeding" means any threatened, pending, or completed action, suit, or proceeding, whether civil, criminal, administrative, or investigative and whether fonnal or informal. Lanshire Housing Partners LLC Page 16 of 18 (v) The Company may purchase and maintain insurance for its benefit, the benefit of any individual who is entitled to indemnification under this section, or both, against any liability asserted against or incurred by the individual in any capacity or arising out of the individual's service with the Company, whether or not the Company would have the power to indemnify the individual against liability. ARTICLE IX MISCELLANEOUS 9.1. Complete Agreement. These Regulations and the Articles constitute the complete and exclusive statement of agreement among the Members with respect to the subject matter described. These Regulations and the Articles replace and supersede all prior agreements by and among the Members with respect to the subject matter described. These Regulations and the Articles supersede all prior written and oral statements and no representation, statement, or condition or warranty not contained in these Regulations or the Articles is binding-on the Members or has any.-force or-effectwhatsoever.-. --. ----- 9.2. Governing Law. These Regulations and the rights of the parties hereunder are governed by, interpreted, and enforced in accordance with the laws of the State of Texas. 9.3. Binding Effect. Subject to the provisions of these Regulations relating to transferability, these Regulations are binding on and inure to the benefit of the Members, and their respective distributees, successors, and assigns. 9.4. Severability. If any provision of these Regulations is held to be illegal, invalid, or unenforceable under the present or future laws, these Regulations shall be construed and enforced as if the illegal, invalid, or unenforceable provision had never comprised a part of these Regulations; and the remaining provisions of these Regulations will remain in full force and effect and will not be affected by the illegal, invalid, or unenforceable provision, and there will be added automatically as a part of these Regulations a provision as similar in terms to the illegal, invalid, or unenforceable provision as may be possible and be legal, valid and enforceable. 9.5. Additional Documents and Acts. Each Member agrees to execute and deliver additional documents and instruments and to perform all additional acts necessary or appropriate to effectuate, carry out and perform all of the terms, provisions, and conditions of these Regulations and the transactions contemplated hereby. 9.6. No Third Party Beneficiary. These Regulations are made solely and specifically among and for the benefit of the parties hereto, and their respective successors and assigns subject to the express provisions hereof relating to successors and assigns, and no other person has or will have any rights, interest, or claims hereunder or be entitled to any benefits under or on account of these Regulations as a third party beneficiary or otherwise. Lanshire Housing Partners LLC Page 17 of 18 ,( . ' . I \ .Lf'IUII LIU •. ~ I.JV 1/VV I From:S.O.S MANAGEMENT 8582788808 05/04/2005 12:18 #004 P.001/001 9.7. Notices.. ~y 110tice to be given or to bo served on tb.e Company or any Member, ma.nag~, or officer, in connection widi th.ese Regulations must be in writing and is deemed to have beim given and received when delivered to the ad.dress speoi.fied by the party to regeive the notice. Notices muat be given to a Member a.t the address specified in Exhibit A. Any Member or the Company may. at any time, designate any other address in subiititution of the foregoing address to whic.h the notice will be given by giving written notice to the other Members and the Company thirty (30) days prior to tha diite of delivery of the notice. 9.8, Amendments. All amendments ta theiie Regulations must be in writing and signed by all the Members. ~.9. Title to CompBny Property. Legal title to all property of the Company must be held _______ and conveyed in theinameoftheCompany. _________________________________________________ _ 9.10. Reliance un Authority of Person Signing Re2ulatlons. In the event that a Member is not a natural perso~ neither tho Company nor any Member will (a.) be required to determine the au'Chori'C}" of the individual signing these Regulations to make any c:ommi~ent or undertaking on behalf of the Bntity or to detennine any fact or circumstance bearing on the existence ofth11 authority of the indi'Yidual or (b) be requited to see to the application er distribution of proceeds paid or omiited to individuals signing these Regulations on behalf of th~ Entity, These. RegulationsJ to be effective as of the date the company's existence begins, a.re executed on £/ ¥~ ., 2005. Mau~k 11916 Ocean Pa.rkBlvd. Los Angeles, CA 90064 Silver Oak Holdings, LLC (a Califumia Limited Liability Compmy), :MEMBER 4901 Morena B~vd .• #1 1 -San Diego, CA 921· · · __ ' . . ~ By: . --•• Michaal Kootchi~k~ ·MMJht.r,&6-M.<Z1i1sl;JL (title) Page }8ofJB Initial Members and Addresses Matt Nelson 11916 Ocean Park Blvd. Los Angeles, CA 90064 Silver Oak Holdings, LLC 4901 Morena Blvd. #121 San Diego, CA 92117 EXIDBITA Capital Contribution $500,000 $500,000 Percerit of Ownership 50% 50% J.T. KRUER & COMPANY Real Estate Development Services San Diego Office 10251 Vista Sorrento Parkway, Suite 150 I San Diego, CA 92121 Phone (858) 550-0044 I Fax (858) 550-0404 I www.jtkruerco.com CASCADA VERDE CARLSBAD, CA OPINION OF COST Prepared For: Lanshire Development Carlsbad, California, 92018 October 13, 2022 I I I v, CA LSBAD FEB 1 5 2024 I L J1NG DI 1 ('ION Limitations of Investigation This report was developed using the degree of care and skill ordinarily exercised, under similar circumstances, by reputable consultants practicing in this or similar localities. No other warranty, expressed or implied, is made as to the conclusions and opinions made in this report. The information provided and used for this report is believed to be representative of the project site. The findings and statements found in this report were developed from historical information and documents supplied by the Client, as well as our gross observations at the site during the time of our engagement by the Client. The findings of this report are valid as of the date this report was prepared. Changes in the condition of a property can occur with the passage of time, whether due to natural processes, the work of man , activity on this site or impacts from activities on adjacent properties. Changes or modifications in local or regional construction standards may alter applicable or appropriate standards of practice. This would also include the evolution or broadening of knowledge as it relates to erosion control, geotechnical , engineering and construction means and methods or best management practices. Therefore, the statements or findings of this report may be invalidated wholly or in part by changes outside our control. This report is issued with the understanding that it is the responsibility of the Client or of his representative, to ensure that the information, recommendations , qualifications and limitations contained herein are brought to the attention of all interested parties. Table of Contents 1. Location Map 2. Site Development Budget Assumptions 3. Budget Summary 3.1 Project Budget 3.2 Project Schedule 4 Appendix A 4.1 Exhibits • Earthwork Bulk/ Shrink Analysis • Earthwork Exhibits • Plans • f 1. LOCATION MAP Location Map 2. SITE DEVELOPMENT BUDGET ASSUMPTIONS ' ' J.T. KRUER & COMPANY Real Estate Development Services 10251 Vista Sorrento Pkwy, Ste. 150 I San Diego, CA 92121 Phone (858) 550-0044 I Fax (858) 550-0404 License No. 777345 I www.jtkruerco.com October 13, 2022 Lanshire Development Carlsbad, CA 92018 Project: Cascada Verde Project/ City of Carlsbad, California Subject: Opinion of Cost -Site Development Budget This preliminary report represents our analysis and opinion of the costs related to the site development of the subject property. The costs presented in this report have been extrapolated from the information, drawings and other documents provided by the Client, as well as our experience with projects of similar land use, design character, size and geologic setting. If additional information relevant to the findings contained in this report are presented or developed subsequent to this report, J T Kruer & Co. shall reserve the right to amend this document based on our review of the additional information. PROJECT DESCRIPTION The property consists of approximately 3.1 acres located on the north side of Alicante Road in the City of Carlsbad, CA Residential single-family housing and Altiva Place bound the property on the east and attached residential and Altisma Way on the west. To the north of the property is a wooded canyon and drainage course. The primary access to the site will be from Altiva Place (see Location Map). The site topography varies from gentle to moderately steep . Vegetation ranges from grassy areas, dense brush , and large trees . GEOLOGIC SETTING & EXCAVATION CHARACTERISTICS The site is underlain by Santiago Formation, a sandstone bedrock. Overlying the bedrock is alluvium, and non-structural fills. Though not encountered by the soils engineer in their investigation, meta-volcanic rock is map in this area. The excavation will be performed with conventional heavy equipment; such as bulldozers, loaders, excavators and articulated haul trucks. There are likely zones of saturated material that will require processing and mixing, as well as areas in the deeper excavations that will likely require dewatering. SITE DEVELOPMENT BUDGET ASSUMPTIONS The following is a list of qualifications and assumptions that were employed in the development of the budget: • General 1. At the end of this section, we have included a list of the source documents we have used to development this report. 2. The pricing used in this report is based on the current market prices for engineering construction in the general vicinity of the project. Fuel, labor and material costs have been checked with local suppliers. 3. A standard 10% contingency was used for the purpose of this estimate. 4. Cost impacts due to prevailing wage are not reflected in the pricing provided in this report. 5. This estimate is based on the April 2022 budget and includes unit price updates due to cost escalation . The following is a list of qualifications and assumptions specific to the referenced item of work: • Earthwork & Demolition 1. Based on the information provided, our findings and assumptions are as follows: Based upon the current grading concept, our analysis shows that the site is short by approximately 9,581 CY (see Bulk & Shrink Analysis). Depending on possible variations in the site elevation , due to the heavy vegetation , there may be opportunities to adjust the grading to balance. Please note that quantities of excavation may change from those used in this report due to topo variations or variations in the in-place density of the material. The bulk and shrink analysis included in this report does not consider spoil material generated during utility installation or building construction. Bulk and shrink factors used in this report are representative of other projects of similar scope and geologic setting. 2. The purchase of construction water is broken out as a line item in the grading section of the budget. The amount of construction water per cubic yard of material does not account for variables related to factors of weather, temperature, time-of-year or the in-place moisture content of the soils. Pricing for the purchase of construction water is based on a quote received from the Carlsbad Municipal Water District, as of the date of this report. 2 3. The Remedial Excavation quantities were determined from information provided from the Draft Geocon, Inc. Report, dated 10-7-2017. The remedial unit price includes the slot cut excavation required by the soils engineer. Per the new soils report the remedial operation will remove as much of the alluvium as possible while staying above the groundwater table. An allowance for handling wet material is included. 4. With the updated remedial management, the need for soldier piles was eliminated. 5. The soils report requires that the remedial fills be allowed to 'settle' for 90 day prior to the final grading. There is no direct hard cost included for this item but production time will be affected. (see attached schedule) Settlement monuments are included in the budget. 6. Transition grading quantities represent excavation to mitigate differential settlement where areas to receive structures are in both cut and fill. The transition grading should be determined once the pad grades are set. 7. Mass excavation quantities include a 1.5' chokered core section within the street rig ht of way. • Erosion Control 1. An Erosion Control Plan is not included in the reference documents. 2. The cost of erosion control is subject to change based on the modification of local policy, ordinances and the interpretations of "Best Management Practices". The erosion control costs provided in this report should only be used as a guide and is not intended to provide "long-term" erosion control maintenance costs related to the proposed site development. Further cost evaluation should take place once the project SWPPP documents are prepared. 3. Course of construction erosion control costs, related to the activities of the contractors are typically stipulated to be the responsibility of the contractor during the course of their construction activities. 4. An application of Hydro-seed for the slopes and Tackifier for the pads is included in this report for temporary protection from erosion. 5. Gravel bags are included for installation as chevron check dams within the street right-of-way and pad areas. 6. Stabilized Construction Entrances are included to minimize tracking dirt offsite into the public right-of-way. 7. The cost of preparing the Erosion Control SWPPP plan and maintenance and monitoring costs are not included in this report. 3 8. A $5,000.00 per acre Erosion Control Allowance is included for the implementation of BMP's (Best Management Practices) during site development. • Storm Drain: 1. The Storm Drain system is budgeted as shown on the Grading Plan 2. Video inspection of storm drain pipe 30" or smaller is included in the pricing. 3. Pricing includes adjusting all clean outs, two times, to allow access to the structures at all times. One adjustment after the AC base course and one adjustment after the final AC cap. 4. Inlet Filter baskets are not included for the project Inlets. 5. An existing 72" RCP storm drain pipe extends from the southwest side of the project at existing Alicante Road and goes under the roadway to an existing concrete drainage channel on the south side of the street. The plans show the removal of this storm drain and replacement with a 96" RCP pipe. As per the engineer, this will be an open trench operation as the existing conditions provide too many constraints for a Bore & Jack procedure. Costs are included to remove the existing RCP and headwalls, then install the new 96" pipe and related structures. The existing pavement, sidewalks, landscaping, curb & gutter within the replacement prism will be removed to accommodate the storm drain replacement and restored once it is installed. A traffic Control allowance is shown as a separate line item to cover all offsite storm drain work. 6. Two storm drain lines will be installed in the existing offsite streets. Line A shows a 24" RCP pipe to be installed in existing Altisma Way. Line B is a 24" RCP to be installed in existing Altiva Place. Costs are included to install the RCP in the existing road, remove and replace existing pavement in the pipe alignment. 7. Bio-Retention Basins are budgeted to include HOPE liner, a sand layer, 12" rock layer, a 24" Engineered soil layer and 4" perf drain pipe. 8. Costs for a double 9' x 5' box culvert are included below private driveway "D" to allow crossing of the drainage channel. Line items are included for associated headwalls and rip rap. 9. Underground StormTrap system costs include excavation, placing materials, backfilling and haul off of spoils. • Gravity Sewer: 1. All gravity sewer is budgeted as shown on the improvement plan 2. There is an existing 12" VCP sewer that runs through the property. It will be removed from an existing manhole on the north end of the project to just south of where private driveway "C" meets Altiva Place. The proposed onsite 12" 4 sewer will connect at these locations. A new manhole on existing will be placed at the southern location. 3. The 12" sewer is called out on the plan view as PVC, but is shown as VCP on the cross sections provided. For the purposes of this budget 12" PVC is used. The 12" sewer is budgeted as 'deep' sewer as indicated the plans. 4. All sewer manholes are budgeted as 48" manholes on the 8" sewer and 60" manholes for the 12" sewer. Manholes are lined and coated. Two drop manholes are shown on the plan are included in the budget. 5. Pricing includes adjusting all manholes two times to allow access to the junction structures at all times. One adjustment after the AC base course and one adjustment after the final AC cap are required. 6. Each dwelling unit will receive one 4" sewer lateral. • Water (Potable): 1. Potable Water line quantities for the project are based on the improvement Plan. 2. Three valves are included at every water line "tee" and four valves are included at every water line "cross". Valve and water appurtenance locations are not shown clearly on the plans and are included as an allowance. 3. All bends, elbows, tees, thrust blocks, and end caps are included in the water line unit pricing. Chlorination and hydrostatic pressure testing are included in the water line unit pricing. 4. Pricing includes adjusting all valves and appurtenances two times to allow access to the water valves. One adjustment after the AC base course and one adjustment after the final AC cap are required. 5. One_ 2" inch potable water services are budgeted for each building cluster as shown on the plan. Water meters or backflow preventers are not included. 6. Fire Hydrant assemblies are budgeted per the plan. 7. Allowances are included for blow offs and air vacs based on the size of the associated water main. 8. All pricing is based on "normal" operating pressures and additional costs related to high pressure systems are not included. • Dry Utilities & Street Lighting 1. There were no dry utility or street lighting plans available for the project. The joint trench quantity is based on street centerline length with an additional 20% added for crossings. 5 2. Joint trench costs are based on projects of similar scope and reflect current market pricing. SDG&E and AT&T installation costs, energizing costs and fees are not included in this report. 3. Street Light locations are not shown on the plans provided. Street light conduit is assumed to be installed as a part of the Joint Trench package. 4. Allowances are included for meter pedestals to service the irrigation controllers. • Surface Improvements: 1. All roadway base paving has been priced at preliminary structural section: i. 2.5" AC on 1 O" Recycled Class 2 Base ii. 2.5" AC on 16" Recycled Class 2 Base 2. A final seal / sand / sweep seal coat is included for all paving areas. 3. Allowances are included for survey monuments, striping and regulatory street signage. 4. Street name signs, stop signs and stop bars costs have been approximated based on the number of intersections in the various project areas. 5. All concrete improvements are based on standard grey concrete. 6. On buildings A-2 and B-1 where the rear wall of the building serves as a retaining wall the associated stairs on the adjacent slope are not included. These stairs will need to be built after the homes are constructed. Additionally the stairs on the path between B-1 and C-2 are also excluded. • Walls and Fences 1. Walls and fences are quantified from the Grading Plans 2. Segmental Retaining(MSE) and CMU walls are budgeted with tan block color. Fence above walls is a separate item. Wall pricing includes structural geogrid, 4" drain line and ¾" crushed rock. 3. Shoring walls are included per retaining wall sheets of the grading plan. 4. Two small entry monuments are included. No design was available. 5. Decorative tubular steel fence is budgeted around the spa area. One pedestrian gate is included. • Landscaping 1. Landscaping is not included in this budget as it will be installed during the building construction for the project 6 DOCUMENTS, RESOURCES, & EXHIBITS UTILIZED 1. Cascada Verde (Altisma Condominiums) A Townhome Project by Lanshire Housing Partners, LLC -Carlsbad, California -Grading Plans, Sheets 1 through 47, Prepared by Lattitude 33, owner signed September 16, 2021 2. Cascada Verde (Altisma Condominiums) A Townhome Project by Lanshire Housing Partners, LLC -Carlsbad, California -Improvement Plans, Sheets 1 through 12, Prepared by Lattitude 33, engineer signed September 1, 2021 3. Cascada Verde Landscape plans -2416 Altisma Way, Carlsbad, CA. Sheets 1 through 20, prepared by Howard Associates, Updated July 12, 2021 4. Geotechnical Evaluation -Cascada Verde, Carlsbad, California, Pages 1 through 133, Prepared by Geocon, Inc., Project No.: 82056-11-02, Dated October 7, 2017. 5. Biological Resources Technical Report, Cascada Verde Residential Development Project -City of Carlsbad, San Diego County, California, Pages 1 through 99, Prepared by LSAAssociates, Inc., Project No.: IKN1301, Dated March 2015. 6. Site Reconnaissance. 7. Correspondence with the Soils Engineer 8. Google Earth Aerial Photography. 3. BUDGET SUMMARY Cascada Verde -I~~ Budget Summary !.l:.:l'W!i,~·.,/ Opinion of Cost -Site Development Budget I 11 I ". ~ J.T. Kruer & Company ') I I ~ l, ' 10/13/2022 JTK/ SC I CB ' I J.T. KRUER & COMPANY Llcu,se No. 7773-15 % Increase I Earthwork $ 1,081,557.66 4% !Erosion Control $ 43,345.82 6% !storm Drain $ 1,867,881.53 8% !Bio-Retention Basin I 291615.45 8°Jo !sewer $ 458,913.23 7% !water -Potable $ 570,951.70 8% IDry Utilities $ 238,781.50 6% !surface Improvements $ 511,374.75 10% !walls & Fences $ 2,436,614.50 6% I Landscape & Amenities $ 1,035,793.75 9% Project Hard Cost Total Hard Cost Total $ 8 274.829.89 Project Hard Cost Total with 10% Contingency $ 9 102 312.87 Page 1 of 1 3.1 PROJECT BUDGET . i I Cascada Verde Grading and Improvements Preliminary Opinion of Cost -Site Development Budget J.T. Kruer & Company 10/13/2022 JTK / SC / CB Earthwork Item Quantity Unit Mobilization & Water Distribution 1 LS Construction Water (1 unit= 748 Gallons) 2,291 UNIT Site Prep., Clear, Grub & Trash Removal 1 LS Orange Protection Fence 2,720 LF Dewatering (Allowance) 1 LS Remedial Grading, including slot-cut excavation at Buildings A-2, B-1, E-2 and F 45,688 CY Processing Wet Material (Allowance) 1 LS Mass Excavation 9,853 CY Rock Excavation 359 CY Rock Over -Excavation -Pad 190 CY Drill & Shoot 549 CY Pre-Blast Inspections 38 EA Secondary Breaking 55 CY Oversized Material Special Handling (Allowance) 30 CY ----------------------------- Over Ex for Transition 1,538 CY Settlement Monuments 2 EA Brow Ditch -Incl Mobilization 774 LF --------- -. ------------Finish Grade Pads / Contour Areas 55,549 SF Finish Streets 34,411 SF Finish Grade Slopes 48,659 SF Total w/out Contingency: Import Cost Based on Current Desian* Item Quantitv Unit Import Material (Average 1 Hour Round Trip)-lncludes Placement 9,581 CY Total w/out Contingency: *Not included in hard cost totals Erosion Control Item Quantity Unit Bonded Fiber Matrix (Slopes) 48,659 SF Tackifier (Pads) 55,549 SF BMP Allocation 3.1 AC Fiber Roll 1,860 LF Silt Fence 3,787 LF Gravel Bags 200 EA Stabilized Construction Entrance 1 EA Total w/out Contingency: Page 1 of 6 J.T. l<RUER & COMPANY llcmso No. n7J-t5 Unit Price Extension $ 44,518.00 $ 44,518.00 $ 4.36 $ 9,988.76 $174,720.00 $ 174,720.00 $ 2.91 $ 7,915.20 $ 39,520.00 $ 39,520.00 $ 12.97 $ 592,573.36 $ 15,625.00 $ 15,625.00 $ 6.56 $ 64,635.68 $ 9.22 $ 3,309.98 $ 9.22 $ 1,751.80 $ 15.52 $ 8,520.48 $ 1,019.00 $ 38,722.00 $ 14.34 $ 787.27 $ 3.81 $ 114.30 . -· $ 6.56 $ 10,089.28 $ 4,992.00 $ 9,984.00 $ 36.00 $ 27,864.00 .. -- $ 0.19 $ 10,554.31 $ 0.21 $ 7,226.31 $ 0.27 $ 13,137.93 $ 1,081,557.66 Unit Price Extension $ 19.36 $ 185,488.16 $ 185,488.16 Unit Price Extension $ 0.095 $ 4,622.61 $ 0.Q75 $ 4,166.18 $ 5,300.00 $ 16,430.00 $ 2.01 $ 3,738.60 $ 2.12 $ 8,028.44 $ 2.65 $ 530.00 $ 5,830.00 $ 5,830.00 $ 43,345.82 Cascada Verde Grading and Improvements Preliminary Opinion of Cost -Site Development Budget J.T. Kruer & Company 10/13/2022 JTK /SC/ CB Storm Drain Item Quantity Unit 15" RCP -To Be Removed 41 LF 18" RCP -To Be Removed 42 LF 24" RCP -To Be Removed 268 LF 72" RCP -To Be Removed (In Exist. Street) 199 LF 72" Headwalls -To Be Removed 2 EA 18" Headwall -To Be Removed 1 EA 15" Headwall -To Be Removed 1 EA Type B Inlet/ Cleanout -To Be Removed 2 EA 24" RCP-WTJ 173 LF 24" RCP -In Exist Street -WT J 698 LF 30" RCP -WT J -Deep 47 LF 12" HOPE 322 LF 18" HOPE 324 LF 18" HOPE -Deep 173 LF 96" RCP -!n Exist. Street -WT J 148 LF --------------------------·--------------Modified G-1 Catch Basin 2 EA 5' Type B Curb Inlet -Deep 1 EA 6' Type B-2 Curb Inlet 1 EA 11' Type B-2 Curb Inlet 1 EA Type I Catch Basin 1 EA Type F Catch Basin 2 EA BMP 1 DA -Stormtrap Vault 1 EA BMP 20A -Stormtrap Vault 1 EA BMP 30A -Stormtrap Vault 1 EA Modular Welland System L-8-8-C 1 EA 48" Nyloplast Cleanouts 4 EA 48" Nyloplast Cleanout -Connect to Existing 1 EA 12" Straight Headwall@ Retaining Wall 2 EA 12" Wing Type Headwall 2 EA 18" Straight Headwall @ Retaining Wall incl Cone. Collar 3 EA 24" Straight Headwall @ Retaining Wall 1 EA 96" Wing Type Headwall -Inlet 1 EA 96" Wing Type H_eadwall -Outl~t _ 1 EA ·------·----------------------------------Double Box Culvert (9'x5') 42 LF Double Box Culvert (9'x5') Headwall 2 EA D-40 1/4 Ton Type 2 Rip Rap 22 TN D-40 No. 2 Backing Rip Rap 74 TN Connect to Exist. Type B Inlet 1 EA Connect to Exist. Cleanout -In Exist. Street (Altisma) 1 EA Connect Ex. Storm Drain to new 96" RCP 1 EA Type A-4 Cleanout 2 EA Type A-4 Cleanout in Existing Street 3 EA Type A-4 Cleanout on Existing Storm Drain 1 EA Adjust Cleanouts to Grade 11 EA Page 2 of 6 J.T. l{RUER & COMPANY Unit Price Extension $ 37.80 $ 1,549.80 $ 37.80 $ 1,587.60 $ 37.80 $ 10,130.40 $ 97.20 $ 19,342.80 $ 5,184.00 $ 10,368.00 $ 1,944.00 $ 1,944.00 $ 1,944.00 $ 1,944.00 $ 2,700.00 $ 5,400.00 $ 145.80 $ 25,223.40 $ 289.50 $ 202,071.00 $ 153.30 $ 7,205.10 $ 70.25 $ 22,620.50 $ 77.75 $ 25,191.00 $ 180.25 $ 31,183.25 $ 2,805.00 ~---41_5,1~0.0_0 $ 6,264.00 $ 12,528.00 $ 10,260.00 $ 10,260.00 $ 7,236.00 $ 7,236.00 $ 8,370.00 $ 8,370.00 $ 9,720.00 $ 9,720.00 $ 5,180.00 $ 10,360.00 $ 53,460.00 $ 53,460.00 $ 82,620.00 $ 82,620.00 $ 113,400.00 $ 113,400.00 $ 81,000.00 $ 81,000.00 $ 9,072.00 $ 36,288.00 $ 10,260.00 $ 10,260.00 $ 5,185.00 $ 10,370.00 $ 3,350.00 $ 6,700.00 $ 5,625.00 $ 16,875.00 $ 5,625.00 $ 5,625.00 $ 59,400.00 $ 59,400.00 $ 59,400.00 $ __ ~9,1_09.Q0 ---- $ 2,475.00 $ 103,950.00 $ 37,800.00 $ 75,600.00 $ 130.00 $ 2,860.00 $ 130.00 $ 9,620.00 $ 8,100.00 $ 8,100.00 $ 8,100.00 $ 8,100.00 $ 3,780.00 $ 3,780.00 $ 6,575.00 $ 13,150.00 $ 9,400.00 $ 28,200.00 $ 10,575.00 $ 10,575.00 $ 1,025.00 $ 11,275.00 Cascada Verde Grading and Improvements Preliminary Opinion of Cost -Site Development Budget J.T. Kruer & Company 10/13/2022 JTK /SC/ CB Storm Drain Continued: Video Inspection 30" or Smaller 1,737 LF Sawcut Existing Surface Improvements 165 LF Remove and Replace Existing Curb and Gutter 48 LF Remove & Replace Existing Sidewalk 269 SF Remove and Replace Existing Parkway Landscaping 1 LS Restore Paving in Existing Streets incl. Base 6,000 SF Traffic Control -Allowance 1 LS Total w/out Contingency: Bio-Retention Basin Item Quantitv Unit Excavate for Basin Subgrade CY Bio Retention Material Incl. HOPE Liner/ 2" Sand Layer/ 12" Rock Layer I 24" Engineered Soil// 4" perf 1 LS 12' Chain Link Gate -Allowance 2 EA Total w/out Contim:iencv: Sewer Item Quantity Unit 8" PVC Sewer -Deep 1,021 LF 12" PVC -Deep Sewer in Existing Street 147 LF 12" PVC -Deep Sewer 611 LF 4" PVC Sewer Lateral 36 EA Exist. 12" VCP Sewer -To Be Removed 721 LF Exist. Sewer Manhole -To Be Removed 2 EA 4' Sewer Manhole -Lined and Coated 7 EA 5' Sewer Manhole-Lined and Coated 4 EA 5' Sewer Manhole -On Exist. 12" VCP -Lined and Coated 1 EA 5' Drop Sewer Manhole-Lined and Coated 1 EA Connect to Exist. Sewer Manhole and Coat 2 EA Sewer Cleanout 1 EA Adjust Manholes/Cleanouts to Grade -(Two Times) _______ ·-13 EA ---------------·-I.F Video Inspection 1,779 Total w/out Continaencv: Page 3 of 6 T KDIIJ:'D .R. $ 1.89 $ 3,282.93 $ 5.20 $ 858.00 $ 44.25 $ 2,124.00 $ 12.95 $ 3,483.55 $ 16,200.00 $ 16,200.00 $ 25.95 $ 155,700.00 $ 37,800.00 $ 37,800.00 $ 1,867,881.53 Unit Price Extension $ -incl. in Earthwork $ 22,055.45 $ 22,055.45 $ 3,780.00 $ 7,560.00 $ 29,615.45 Unit Price Extension $ 63.25 $ 64,578.25 $ 283.50 $ 41,674.50 $ 156.25 $ 95,468.75 $ 1,725.00 $ 62,100.00 $ 30.00 $ 21,630.00 $ 3,100.00 $ 6,200.00 $ 8,025.00 $ 56,175.00 $ 10,485.00 $ 41,940.00 $ 19,525.00 $ 19,525.00 $ 13,925.00 $ 13,925.00 $ 8,560.00 $ 17,120.00 $ 1,925.00 $ 1,925.00 $ 1,025.00 $ 13,325.00 $ 1.87 $ 3,326.73 $ 458,913.23 Cascada Verde Grading and Improvements Preliminary Opinion of Cost -Site Development Budget J.T. Kruer & Company 10/13/2022 JTK / SC / CB Water -Potable Item Quantitv Unit Exist. 14" ACP Water -To Be Abandoned 74 LF Remove Existing 14" ACP Water 1,048 LF Remove Existing 8" ACP Water 15 LF 3" PVC Sch. 40 -Pvt 981 LF 4" PVC, C-900 DR18 -Pub 144 LF 6" PVC C-900 -Fire Main 61 LF 8" PVC C-900 -Fire Main 1,192 LF 8" PVC C-900 -Fire Main -In Existing Road 49 LF 15" PVC Sleeve for 8" Fire 21 LF 6" PVC Sleeve for 3" Water 21 LF 3" Gate Valve Assembly 5 EA 6" Gate Valve Assembly 1 EA 8" Gate Valve Assembly 8 EA 3" Backflow Assembly 2 EA 2" Manual Air Release 5 EA 2" Blow Off Assembly -Allowance 8 EA 2" Domestic Water Service 5 EA 2" Irrigation Service 1 EA 6" Fire Service to Buildings 4 EA 3" Endcap with 2" MAR 1 EA Unit Price $ 37.80 $ 91.75 $ 70.25 $ 43.25 $ 55.00 $ 73.50 $ 91.75 $ 128.50 $ 135.00 $ 86.50 $ 1,944.00 $ 2,430.00 $ 3,132.00 $ 3,455.00 $ 3,885.00 $ 4,225.00 $ 4,860.00 $ 4,860.00 $ 6,265.00 $ 540.00 -------------~~ ----~--- 8" Endcap with 2" MAR 1 EA $ 865.00 14" Endcap with Blow Off 1 EA $ 920.00 8" DDCA 2 EA $ 14,580.00 Fire Hydrant Assembly 3 EA $ 14,150.00 Connect to Existing 14" ACP 1 EA $ 12,960.00 Connect to Existing 8" ACP 4 EA $ 11,340.00 Adiust Valves / Hvdrants to Grade 17 EA $ 705.00 Total w/out Continaencv: Dry Utilities Item Quantitv Unit Unit Price Joint Trench 1,842 LF $ 100.75 Street Lights 6 EA $ 7,950.00 lrriqation Meter Pedestals 1 EA $ 5,500.00 Total w/out Continaencv: Page 4 of 6 J.T. KRUER & COMPANY Extension $ 2,797.20 $ 96,154.00 $ 1,053.75 $ 42,428.25 $ 7,920.00 $ 4,483.50 $ 109,366.00 $ 6,296.50 $ 2,835.00 $ 1,816.50 $ 9,720.00 $ 2,430.00 $ 25,056.00 $ 6,910.00 $ 19,425.00 $ 33,800.00 $ 24,300.00 $ 4,860.00 $ 25,060.00 $ 540.00 --- $ 865.00 $ 920.00 $ 29,160.00 $ 42,450.00 $ 12,960.00 $ 45,360.00 $ 11,985.00 $ 570,951.70 Extension $ 185,581.50 $ 47,700.00 $ 5,500.00 $ 238,781.50 Cascada Verde Grading and Improvements Preliminary Opinion of Cost -Site Development Budget J.T. Kruer & Company 10/13/2022 JTK / SC / CB Surface Improvements Item Quantity Unit Balance Street/ Parkways from Utility Spoils 495 CY Fine Grade & Compact Subgrade 38,750 SF Curb Grade & Backfill 1,475 LF Demo/Removal -Exist. Sidewalk 263 SF Demo/Removal -Exist. Curb & Gutter 121 LF 6" Curb Only 1,500 LF 6" G-2 Curb & Gutter 1,480 LF Cross Gutter and Swales 1,030 SF Base Under Curbs & Ribbon Gutter 2,118 LF Place & Compact 4" AC on 1 O" RCLI I Base 5,010 SF Place & Compact 4" AC on 16" RCLI I Base 31,935 SF 2" Grind & Overlay 45,926 SF 4' -4" PCC Sidewalk 13,000 SF Traffic Control -Asphalt 1 LS Survey Monument (Allowance) 12 EA ------------------------------- Striping & Signage (Allowance) 1 LS Pedestrian Ramps -Finish Only 14 EA Total w/out Continaencv: Walls & Fences Item Quantity Unit CMU Masonry Wall -Tan Split Face 13,659 SF Fence on top of Walls (CMU and Segmental) 3,073 LF Segmental Retaining Wall -Tan 15,470 SF Shoring Walls 1 LS Unit Price $ 13.15 $ 0.44 $ 2.75 $ 3.05 $ 45.00 $ 19.80 $ 25.25 $ 9.57 $ 2.75 $ 4.50 $ 5.50 $ 2.50 $ 4.40 $ 6,380.00 $ 523.00 $ 6,050.00 $ 418.00 Unit Price $ 61.50 $ 47.75 $ 29.55 $916,370.00 TLibul?r_ ~_teel F.en_ce_§!_~f:l? P.rea 175 LF J 58.25 -·------------• Tubular Steel Gate at Spa Area 1 EA $ 1,600.00 ADA Handrail 117 LF $ 144.00 Entry Monument -Allowance 1 LS $ 47,700.00 Total w/out Contingency: Page 5 of 6 J.T. KRUER & COMPANY Extension $ 6,509.25 $ 17,050.00 $ 4,056.25 $ 802.15 $ 5,445.00 $ 29,700.00 $ 37,370.00 $ 9,857.10 $ 5,824.50 $ 22,545.00 $ 175,642.50 $ 114,815.00 $ 57,200.00 $ 6,380.00 $ 6,276.00 $ 6,050.00 $ 5,852.00 $ 511,374.75 Extension $ 840,028.50 $ 146,735.75 $ 457,138.50 $ 916,370.00 $ 10,193.75 $ 1,600.00 $ 16,848.00 $ 47,700.00 $ 2,436,614.50 Cascada Verde Grading and Improvements Preliminary Opinion of Cost -Site Development Budget J.T. Kruer & Company 10/13/2022 JTK / SC / CB Landscape & Amenities Item Quantity Unit Mobilization 1 LS Irrigation Allow~u~ce 1 LS Landscape: Trees, Shrubs and Groundcover (mulc:h -ncitinclf --·-.- 1 LS Artificial Turf 1 LS Restoration of Disturbed Areas -Onsite Mitigation 1 LS Mow Curb 1 LS Putting Green w/Artificial Turf 1 LS Tot Lot with Rubberized Surface 1 LS Concrete @ Spa/BBQ Area 1,016 SF BBQ Area 2 EA BBQ Counter 1 EA Spa (149 SF) -Excludes Gas & Electric 1 EA Tables (7 Ea. -Various) 1 LS Benches (5 Ea -Various) 1 LS Masonry Seat Walls 1 LS Bike Rack 1 EA Game Table 1 EA Chairs (5 Ea. -Various) 1 LS J.T. KRUER & COMPANY Unit Price Extension $ 9,205.00 $ 9,205.00 $257,075.00 -~---257,075.00 $185,841.cfo---$ 185,841.00 $ 20,224.75 $ 20,224.75 $175,164.00 $ 175,164.00 $ 22,426.00 $ 22,426.00 Included $ 78,290.70 $ 78,290.70 $ 19.65 $ 19,964.40 $ 9,556.95 $ 19,113.90 $ 7,793.50 $ 7,793.50 $ 59,950.00 $ 59,950.00 $ 3,970.00 $ 3,970.00 $ 16,511.00 $ 16,511.00 $ 5,450.00 $ 5,450.00 $ 1,450.75 $ 1,450.75 $ 3,995.00 $ 3,995.00 $ 6,410.00 $ -----6,410.00_ --------------$---Bar Stools 4 EA 737.25 $ 2,949.00 Lounge Chairs 4 EA $ 794.00 $ 3,176.00 Land Structures Shade Umbrella "Cooltopper" 1 EA Included Freight for Site Furnishings 1 LS $ 4,630.25 $ 4,630.25 Trash Recepticles 2 EA $ 2,462.90 $ 4,925.80 Decorative Boulders 1 LS $ 3,956.45 $ 3,956.45 Restroom Facility 300 SF $ 385.00 $ 115,500.00 90 Day Maintenance (Slooe Landscaoina\ 1 LS $ 7,821.25 $ 7,821.25 Total Increase w/out Contingency: $ 1,035,793.75 Gradina & lmorovements Hard Cost Total Hard Cost Total : $ 8 274 829.89 Hard Cost Total With 10% Contingency: $ 9,102,312.87 Page 6 of 6 3.2 PROJECT SCHEDULE . ; . " , ... CASCADA VERDE / SITE DEVELOPMENT ID TaskName 1 • TOTAL PROJECT Earthwork 14'1 days Wed 6/1122 Tue 12113/22 Mobilaatlon 4days WedS/1122 Mon616l22 Tree Removal Bdays Tue6/7/22 ThuG/161223 -~,c~1ea°',•ao•0,~,,~--------l---3i1ays-Fii&fm2-i'ue6J21f224•----I------; Dcwatering 30days Wod6/22121. Tuc8/2/2.25 MassE•cavation Sdays Frl7122122 Thu7/28/227 Orlll&BlastRock 3days Frl7/29122 Tue812122B RockExcava!Jon -4diys ~Wed 8/3/22 Man 6/8122 9 Sur-Charge Period 90days Wed8J10/22 Tue12113J2210 11 12 13 14 Finish Grading --~Sdays Tue8/9122 Tue9/13/2210 17 We!Ulihties Storm Drain, Structures & Water Quahty Basin I NotinSur-ChageArea Storm Drain, Structures & Water Quality Basin f In Sur-Charge Arca Sewer & Manholes I Nol in Sur-Chago Area 197 days? Wed 9114122 Thu 6115123 52days Wed9/14122 Thu11124J2212 49daysWed12/14122-Mon2120/2311 14days Fri11125/22Wcd12/14/2214 18 -~,~,-~,~,.M.~ao'ho'le'o"lla'S'o,'.c"h•-~-,·.,-eo---t-~34=,,~,,t-.r,·,·21~21~12aa1-~F,l~417-n"'3"'1·s---f--------1 19 water, Including Testing I In Sur-Charge Area 20 • Dry Utilities 21 Joint Trench 22 Pull Cable & Install Equfprnont 23 Surface Improvements 24 25 26 • 27 Street Balancing & Curb Grade Pour Curb Backfill Curb & Fine Grade Base&Pave 28 PCC Sidewalk & Driveway Approaches 29 • Landscaping 30· Irrigation 31 ---SodPrcp 32 Planting 49days 26days 16days 10days 22 days Sdays Sdays 4days 3days Sdays 31 days 11days -·7daya 13days Mon411G'23 Thu6r'1512318 Frl6f16f23 Frl7/21/23 Frle.'16123 Fri7n/Z3 Mon711G'2: Fri7/2112321 Mon7/10123 TueB/8/23 Mon711CV2; Frl7/1412321 Mon7/17/23 Frl7121/2324 Mon7/24123 Thu7f27/2325 Frl712BJ23 TueS/1/2326 Wed8J2/23 TueS/812327 WedB/2/23 Wed9/13J23 WedS/2/23 WedB/16/2327 -ThuS/17123 --F'rlS/2512330 MonBJ28123 Wed9/13/2331 ~---------+-----1 • -Qtr3.202J ... Jul. _Aug_i.SeP .. Oct --• ,,..._ Kruer Engineering Construction / Schedule Date 4-14-2022 4. APPENDIX A ,, I , ,, . 4.1 EXHIBITS Cascada Verde Earthwork Analysis & Bulk/ Shrink Study J. T. Kruer & Co. 4/19/2022 Total Excavation Description Raw Volume Unit Bulk Remedial Excavation 44,763 CY NIA Remedial Excavation: Wet 5,687 CY NIA Mass Excavation 9,853 CY 3% Rock Excavation 359 CY 18% Over-Excavation: Transition 1,538 CY 0% Over-Excavation: Rock Pad 190 CY 18% Total 62,390 CY NIA Total Fill Description Raw Volume Unit Bulk Clearing Loss 1,159 CY NI A Fill per Plan 11 ,461 CY NIA Fill to Over-Excavation 1,728 CY NI A Remedial Fill 50,450 CY NIA Total 64,798 CY NIA Summary Description Cut Unit Fill Raw Quantities 62,390 CY 64,798 Adjusted Quantities 55,217 CY 64,798 Shrink Adjusted Volume Unit 15% 38,049 CY 15% 4,834 CY NIA 10,149 CY NIA 424 CY NIA 1,538 CY NIA 224 CY NIA 55,217 CY Shrink Adjusted Volume Unit NIA 1,159 CY NIA 11,461 CY NIA 1,728 CY NIA 50,450 CY NIA 64,798 CY Unit Surplus I (Shortfall) Unit CY (2,408) CY CY (9,581) CY Cascada Verde Mass Ex. Exhibit J.T. Krurer & Co . Jobslte Ramp Regions Total Total 132,948 Rock 579 Rock 133,527 Rock Job: Cascada Verde Units: Ft-CY Wed Apr 6, 2022 13:21:33 Page 1 Volume Report Design vs Existing Area Volume Cut FIii OnGrade Cut FIii 60,790 66,592 5,566 9,483 11,459 3,794 354 Jobslte Total: 9,837 11 ,459 422 85 72 11 2 226 5 Ramp Total: 16 2 61,212 66,677 5,638 9,494 11 ,461 4,020 359 Regions Total: 9,853 Comp/Ratio Compact Export Change Cut FIii Cut FIii -lm!!ort Per 0.1 ft 1.00 1.00 9,483 11,459 -1,976 26.50 9,381 9,381 18,864 11,459 7,405 492 1.00 1.00 11 2 9 26.50 132 132 143 2 141 2 11,461 -1,967 494 9,513 11,461 7,546 494 Cascada Verde Remedial Exhibit J.T. Krurer & Co. Jobsite Ramp Job: Cascada Verde layer Units: Ft-CY Wed Apr 6, 2022 13:27:03 Page 1 Volume Report Removals vs Lowest Area Volume Comp/Ratio Compact Export Change Total Cut Fill OnGrade Cut Fill Cut Fill Cut Fill -lmoort Per0.1 ft 132,952 122,798 9,721 433 50,257 2,676 1.00 1.00 50,257 2,676 47,581 492 579 579 0 0 193 0 1.00 1.00 193 0 193 2 ~=1.~r~or-•uor~ I ~~~~--~=;ri.;::=e"'Non I -t/T-"""MR,rrr JIJDfl/l --r--r,1'1( eiw.-..-ctrC wni-r,--.i:m r_.o, ___ usv_..,.ll<ll'.,.• f'Cl"/llfl!:IINl:J~l'C'CIIQIClltll•-1-~ __ ......,...,._If_ l ,,,.,_,..__0<¥r_ .. ...., N --Ol----~ 'IJll~-C-~ --1M1"'91'1 ---~ •1 IUll'llVSO'l1-•~, S..Wt'llblll,.OTr~ffl/l-• . .,,, ~~ - ·~~=~~W.'!:'.":.:-~ I. fl'J --·--Oll-"'lf.rDIOfWIO/fY.M Non ___ ,r-, ,. ~=~ ;:;~::;,:3:~=-== • ~~~,£!~:ti~"r::. :"'1:: • -.,._ -...U. at.Ol4" N_,,, 0, "'I Cl'l"---•r 11COi,- "'IIC-."'-'--•11tOl!Dl"'IIIIUC7 --..r CUGIMI$ ff ~---... __ ., ___ ......... , .. :i~~?~~~~ , ~~::~:~:~!L:!! 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'I .. ;-::_~t:J I CITY OF CARLSBAD LEGAL DESCRIPTION C/1Y OF CARLSBAD FEB 152024 rL•\NNfNG D/V/S/ON ?ARCEL 4 OF' PARCEL MAP NO. 13158. IN THE CITY OP CARLSBAD, CO!JNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE OFF'[CE Or THE COUNTY RECORDER OF SAN DIEGO COUNTY, FEBRUARY 2!, 1984 AS INSTRUMENT NO. 84-061796 OF OFFICIAL RECORDS. APN: 215-240-36