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HomeMy WebLinkAboutCT 2022-0001; HOPE APARTMENTS; Engineering ApplicationCity of Carlsbad APPLICATION ENGINEERING PLANCHECK E-23 Development Services Land Development Engineering 1635 Faraday Avenue 442-339-2750 www.carlsbadca.gov Complete all appropriate information. Write NIA when not applicable. Project Name: Hope Apartments Date: 12/21/2023 Project Description: Demotion of existing structures and improvements (not including the Carls Jr. portion of the site) for the construction of a multi-family development w/ utility and surface improvements typical to the type of development and the extension of the water main in Grand Avenue Project Address: 1006 Carlsbad Village Drive Lot No(s).: Map No.: APN(s): 203-320-02, -20, -4o, -41, -48, & -51 Number of Lots: Number of Acres: 2•95 Miles of Trails: Owner: Carlsbad Village II, LLC Applicant: Richard Lemme! Mailing Address: 9191 Towne Centre Drive #180 Mailing Address: 5120 SHOREHAM PLACE i San Diego CA 92122 SAN DIEGO, CA 92122 Phone Number: 858-535-1475 Phone Number: (949} 812-0274 Fax Number: Fax Number: E-mail: chris@wermersproperties.com E-mail: chris@wermers12ro12erties. c< I certify that I am the legal owner and that all the above information is true and correct to the best of my knowledge. Signature: Richard Lammel~ Date: 12114123 Signature: Richard Lemme! '" Date: 12114123 Civil Engineer: Tyler Lawson Soils Engineer: .Christopher Livesey Firm: Pasco Lare! Suiter & Associates Firm: Geotek, Inc. Mailing Address: 1911 SAN DIEGO AVENUE Mailing Address: 1384 POINSETTIA AVENUE SAN DIEGO, CA 92110 VISTA, CA 92081 Phone Number: (858) 259-8212 Phone Number: (760) 599-0509 Fax Number: Fax Number: E-mail: TLAWSON@PLSAENGINEERING.COM E-mail: CLIVESEY@GEOTEKUSA.COM State Registration Number: 80356 State Registration Number: 2733 Additional Comments: IMPROVEMENT VALUATION 1. What water district is the proposed project located in? (check one) 0 Carlsbad Municipal Water District 0 Olivenhain D Vallecitos 2. If in the Carlsbad Municipal Water District, what is the total cost estimate, including the 15% contingency fee, for water and reclaimed water improvements, sewer (for Carlsbad Municipal Water District only), street, public (median) landscape and irrigation, and drainage improvements (if applicable)? $ GRADING QUANTITIES cut 47,500 cy fill 650 cy remedial 1-200 cy import 0 cy export 46,850 cy E-23 Page 1 of 2 REV 03/23 APPLICATION ENGINEERING PLANCHECK E-23 Development Services Land Development Engineering 1635 Faraday Avenue 442-339-2750 www.carlsbadca.gov E-23 Page 2 of 2 REV 03/23 APPLICATION ACCEPTED BY: DATE STAMP APPLICATION RECEIVED Complete all appropriate information. Write N/A when not applicable. APPLICATION FOR (check all that apply) FOR CITY USE ONLY Project I.D.Drawing Number Deposit /Fees Paid Comments Adjustment Plat (ADJ) Certificate of Compliance (CE) Dedication of Easement (PR) Type: Type: Encroachment Permit (PR) Final Map (FM) Grading Plancheck (DWG) Improvement Plancheck (DWG) Parcel Map (PM) Quitclaim of Easement (PR) Type: Reversion to Acreage (RA) Street Vacation (STV) Tentative Parcel Map (MS) Certificate of Correction (CCOR) Covenant of Easement (PR) Substantial Conformance Exhibit (SCE) Trails < mile >mile Other 4 4 4 ( City of C_arlshad APPLICATION GRADING PERMIT E-24 Development Services Land Development Engineering 1635 Faraday Avenue 442-339-2750 www.carlsbadca.gov PERMIT NUMBER: GR 2023-0044 Project Name: Hope Apartments Project Number: CT 2022-0001 Project Location: 1006 Carlsbad Village Drive Drawing Number: 546-4A Assessor Parcel Number(s): 230-320-02, -20, -40, -41, -48 & -51 Project Description: Demolition and construction of improvements for a new multi-family development with a subterranean parking garage requiring shoring and various surface improvements. Owner: Carlsbad Village II, LLC Address: 9191 Towne Centre Drive, Suite: #180 City: San Diego State: CA Zip: 92122 Phone Number: 858-623-4962 Email: chris@wermersproperties.com I certify that I am the legal owner of this property and I aut~h-l/4e~1 rading associated with this permit. OWNER SIGNATURE: o-/: V~llas ?l?clf'lo'?tN--s, 1,s ¾t:.J'\ DATE: 10/14/24 Civil Engineer: Tyler Lawson Address: 1911 San Diego Avenue Suite: City: San Diego State: CA Zip: 92110 Phone Number: 858-259-8212 Email: Tlawson@plsaengineering.com Soils Engineer: Edwin Cunningham Address: 1384 Poinsettia Avenue Suite: A City: Vista State: CA Zip: 92081 Phone Number: 760-599-0509 Email: ecunningham@geotekusa.com Grading Contractor: Wermers Multi-Family Corp State License No.: 733553 City Business License No.: BLOS0066-13-10-2019 Address: 5120 Shoreham Place Suite: 150 City: San Diego State: CA Zip: 92122 Grading Quantities: cut 47,500 cy fill 650 cy import 0 cy remedial 7,200 cy export 46,850 cy Qualified contact person trained in NPDES requirements: Michael Slably / Pure Effect, Inc. Phone Number: 714-459-4302 Email: mslaby@pureeffect.com Basis of Permit Fees: cy Total Permit Fees: $ Verified By: Balance Due: $ I hereby acknowledge that I have read the application and information provided is correct. I agree to comply with all federal, state, and city laws, ordinances, regulations and policies relating to excavation and grading including, but not limited to, the Federal Endangered Species Act of 1973 and any amendments thereto. I will also comply with OSHA Permit requirements for trenches over five feet deep and the provisions and conditions of any permit issued pursuant to this application. Applicant Name: Wermers Properties Address: 5120 Shoreham Place Suite: 150 City: San Diego State: CA Zip: 92122 Phone Number: 858-623-4962 ,1 I • I n Email: chris@wermersproperties.com APPLICANT'S SIGNATURE: llO--l lu.J. DATE: 10/14/24 E-24 Page 1 of 1 REV 04/23 First American Title Insurance Company National Commercial Services First American Title Insurance Company October 04, 2024 Richard Lemmel Wermer's Properties 9191 Towne Centre Dr Ste 180 San Diego, CA 92122-6205 Phone: (858)535-1475 Customer Reference: Tract Map (Carlsbad Village II) Title Officer: Kimberly Delpolito Phone: (909)510-6202 Email: kdelpolito@firstam.com Order Number: NCS-1203111-ONT1 (kD) Escrow Number: NCS-1203111-ONT1 Property: 955, 945 Grand Ave, 2944, 2946 Hope Ave, 950, 1006 Carlsbad Village Drive Carlsbad, CA Attached please find the following item(s): Guarantee Thank You for your confidence and support. We at First American Title Insurance Company maintain the fundamental principle: Customer First! Form No. 14 Order Number: NCS-1203111-ONT1 CLTA Subdivision Guarantee (4-10-75) Page Number: 2 First American Title Insurance Company National Commercial Services SUBDIVISION GUARANTEE Fee: $250.00 Subdivision: City of Carlsbad Tract 2022-0001 First American Title Insurance Company, a Nebraska corporation GUARANTEES The County of San Diego and any City within which said subdivision is located in a sum not exceeding $1,000.00. That, according to those public records which, under the recording laws, impart constructive notice of matters affecting the title to the land included within the exterior boundary shown on the map of the above referenced subdivision, the only parties having any record title interest in said land whose signatures are necessary, under the requirements of the Subdivision Map Act, on the certificates consenting to the recordation of said map and offering for dedication any streets, roads, avenues and other easements offered for dedication by said map are: Carlsbad Village II, LLC, a Delaware limited liability company JP Morgan Chase Bank, N.A., Successor-in-Interest by the purchase of the loan from the Federal Deposit Insurance Corporation as Receiver for First Republic Bank, San Francisco, CA under Deed of Trust recorded March 28, 2022 as Document No. 2022-136987, of Official Records. SIGNATURE OMISSION STATEMENT THE SIGNATURES OF THE PARTIES LISTED BELOW, OWNERS OF EASEMENTS AS PER DOCUMENTS NOTED BELOW, HAVE BEEN OMITTED UNDER THE PROVISIONS OF SECTION 66436 SUBSECTION (a)(3)(A)(i) OF THE SUBDIVISION MAP ACT. THEIR INTEREST IS SUCH THAT IT CANNOT RIPEN INTO A FEE TITLE AND SAID SIGNATURES ARE NOT REQUIRED BY THE GOVERNING BODY. SAN DIEGO GAS & ELECTRIC COMPANY, HOLDER OF AN EASEMENT FOR PUBLIC UTILITIES, INGRESS, EGRESS AND INCIDENTAL PURPOSES, RECORDED NOVEMBER 26, 1974 AS INST. NO. 74- 310756, O.R.; HOLDER OF AN EASEMENT FOR RIGHT OF WAY, RECORDED SEPTEMBER 19, 1972 AS INST. NO. 250705, O.R.; HOLDER OF AN EASEMENT AND RIGHT OF WAY, RECORDED OCTOBER 6, 1982 AS INST. NO. 82-307670, O.R.; HOLDER OF AN AERIAL EASEMENT AND RIGHT OF WAY, RECORDED OCTOBER 6, 1982 AS INST. NO. 82-0307671, O.R. HOLDER OF AN EASEMENT AND RIGHT OF WAY, RECORDED OCTOBER 6, 1982 AS INST. NO. 82-307669, O.R. ; HOLDER OF AN EASEMENT FOR RIGHT OF WAY, RECORDED SEPTEMBER 13, 2019 AS INST. NO. 2019-0399833, O.R. CARL KARCHER ENTERPRISES, INC., HOLDER OF EASEMENTS FOR PARKING AND INGRESS AND EGRESS, RECORDED MARCH 31, 1975 AS INST. NO. 75-72461, O.R. GREGORY W. LOSA, TRUSTEE OF THAT CERTAIN DECLARATION OF TRUST DATED SEPTEMBER 25, 1985, HOLDER OF AN ACCESS EASEMENT AGREEMENT RECORDED JANUARY 7, 1994 AS INST. NO. 94-15920, O.R. PARCEL 'A', HOLDER OF A COVENANT OF PRIVATE EASEMENT FOR ACCESS PURPOSES, RECORDED SEPTEMBER 11, 2018 ON PARCEL MAP 21619, O.R. Form No. 14 Order Number: NCS-1203111-ONT1 CLTA Subdivision Guarantee (4-10-75) Page Number: 3 First American Title Insurance Company National Commercial Services CARLSBAD VILLAGE PARTNERS, LP, HOLDER OF A RECIPROCAL ROADWAY GRANT OF EASEMENT AND EASEMENT AGREEMENT, RECORDED SEPTEMBER 14, 2018 AS INST. NO. 2018-0384167, O.R. The map hereinbefore referred to is a subdivision of: A PORTION OF PARCELS 1 AND 2 OF PARCEL MAP 2868 IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, JULY 22, 1974, ALL OF PARCEL B OF PARCEL MAP NO. 21619, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE COUNTY RECORDER OF SAN DIEGO COUNTY ON SEPTEMBER 12, 2018 AS FILE NO. 2018-7000347 OF OFFICIAL RECORDS, AND A PORTION OF TRACT 117 OF CARLSBAD LANDS, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 1661, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, MARCH 1, 1915 Dated: 09/20/2024 at 7:30 A.M. Form No. 14 Order Number: NCS-1203111-ONT1 CLTA Subdivision Guarantee (4-10-75) Page Number: 4 First American Title Insurance Company National Commercial Services SCHEDULE OF EXCLUSIONS FROM COVERAGE OF THIS GUARANTEE 1. Except to the extent that specific assurance are provided in Schedule A of this Guarantee, the Company assumes no liability for loss or damage by reason of the following: (a) Defects, liens, encumbrances, adverse claims or other matters against the title, whether or not shown by the public records. (b) (1) Taxes or assessments of any taxing authority that levies taxes or assessments on real property; or, (2) Proceedings by a public agency which may result in taxes or assessments, or notices of such proceedings, whether or not the matters excluded under (1) or (2) are shown by the records of the taxing authority or by the public records. (c) (1) Unpatented mining claims; (2) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (3) water rights, claims or title to water, whether or not the matters excluded under (1), (2) or (3) are shown by the public records. 2. Notwithstanding any specific assurances which are provided in Schedule A of this Guarantee, the Company assumes no liability for loss or damage by reason of the following: (a) Defects, liens, encumbrances, adverse claims or other matters affecting the title to any property beyond the lines of the land expressly described in the description set forth in Schedule (A), (C) or in Part 2 of this Guarantee, or title to streets, roads, avenues, lanes, ways or waterways to which such land abuts, or the right to maintain therein vaults, tunnels, ramps, or any structure or improvements; or any rights or easements therein, unless such property, rights or easements are expressly and specifically set forth in said description. (b) Defects, liens, encumbrances, adverse claims or other matters, whether or not shown by the public records; (1) which are created, suffered, assumed or agreed to by one or more of the Assureds; (2) which result in no loss to the Assured; or (3) which do not result in the invalidity or potential invalidity of any judicial or non-judicial proceeding which is within the scope and purpose of the assurances provided. (c) The identity of any party shown or referred to in Schedule A. (d) The validity, legal effect or priority of any matter shown or referred to in this Guarantee. GUARANTEE CONDITIONS AND STIPULATIONS 1. Definition of Terms. The following terms when used in the Guarantee mean: (a) the "Assured": the party or parties named as the Assured in this Guarantee, or on a supplemental writing executed by the Company. (b) "land": the land described or referred to in Schedule (A) (C) or in Part 2, and improvements affixed thereto which by law constitute real property. The term "land" does not include any property beyond the lines of the area described or referred to in Schedule (A) (C) or in Part 2, nor any right, title, interest, estate or easement in abutting streets, roads, avenues, alleys, lanes, ways or waterways. (c) "mortgage": mortgage, deed of trust, trust deed, or other security instrument. (d) "public records" : records established under state statutes at Date of Guarantee for the purpose of imparting constructive notice of matters relating to real property to purchasers for value and without knowledge. (e) "date": the effective date. 2. Notice of Claim to be Given by Assured Claimant. An Assured shall notify the Company promptly in writing in case knowledge shall come to an Assured hereunder of any claim of title or interest which is adverse to the title to the estate or interest, as stated herein, and which might cause loss or damage for which the Company may be liable by virtue of this Guarantee. If prompt notice shall not be given to the Company, then all liability of the Company shall terminate with regard to the manner or matters for which prompt notice is required; provided, however, that failure to notify the Company shall in no case prejudice the rights of any Assured under this Guarantee unless the Company shall be prejudiced by the failure and then only to the extent of the prejudice. 3. No Duty to Defend or Prosecute. The Company shall have no duty to defend or prosecute any action or proceeding to which the Assured is a party, notwithstanding the nature of any allegation in such action or proceeding. 4. Company's Option to Defend or Prosecute Actions; Duty of Assured Claimant to Cooperate. Even though the Company has no duty to defend or prosecute as set forth in Paragraph 3 above: (a) The Company shall have the right, at its sole option and cost, to institute and prosecute any action or proceeding, interpose a defense, as limited in (b), or to do any other act which in its opinion may be necessary or desirable to establish the title to the estate or interest as stated herein, or to establish the lien rights of the Assured, or to prevent or reduce loss or damage to the Assured. The Company may take any appropriate action under the terms of this Guarantee, whether or not it shall be liable hereunder, and shall not thereby concede liability or waive any provision of this Guarantee. If the Company shall exercise its rights under this paragraph, it shall do so diligently. (b) If the Company elects to exercise its options as stated in Paragraph 4(a) the Company shall have the right to select counsel of its choice (subject to the right of such Assured to object for reasonable cause) to represent the Assured and shall not be liable for and will not pay the fees of any other counsel, nor will the Company pay any fees, costs or expenses incurred by an Assured in the defense of those causes of action which allege matters not covered by this Guarantee. (c) Whenever the Company shall have brought an action or interposed a defense as permitted by the provisions of this Guarantee, the Company may pursue any litigation to final determination by a court of competent jurisdiction and expressly reserves the right, in its sole discretion, to appeal from an adverse judgment or order. (d) In all cases where this Guarantee permits the Company to prosecute or provide for the defense of any action or proceeding, an Assured shall secure to the Company the right to so prosecute or provide for the defense of any action or proceeding, and all appeals therein, and permit the Company to use, at its option, the name of such Assured for this purpose. Whenever requested by the Company, an Assured, at the Company's expense, shall give the Company all reasonable aid in any action or proceeding, securing evidence, obtaining witnesses, prosecuting or defending the action or lawful act which in the opinion of the Company may be necessary or desirable to establish the title to the estate or interest as stated herein, or to establish the lien rights of the Assured. If the Company is prejudiced by the failure of the Assured to furnish the required cooperation, the Company's obligations to the Assured under the Guarantee shall terminate. 5. Proof of Loss Damage. In addition to and after the notices required under Section 2 of these Conditions and Stipulations have been provided to the Company, a proof of loss or damage signed and sworn to by the Assured shall be furnished to the Company within ninety (90) days after the Assured shall ascertain the facts giving rise to the loss or damage. The proof of loss or damage shall describe the matters covered by this Guarantee which constitute the basis of loss or damage and shall state, to the extent possible, the basis of calculating the amount of the loss or damage. If the Company is prejudiced by the failure of the Assured to provide the required proof of loss or damage, the Company's obligation to such Assured under the Guarantee shall terminate. In addition, the Assured may reasonably be required to submit to examination under oath by any authorized Form No. 14 Order Number: NCS-1203111-ONT1 CLTA Subdivision Guarantee (4-10-75) Page Number: 5 First American Title Insurance Company National Commercial Services representative of the Company and shall produce for examination, inspection and copying, at such reasonable times and places as may be designated by any authorized representative of the Company, all records, books, ledgers, checks, correspondence and memoranda, whether bearing a date before or after Date of Guarantee, which reasonably pertain to the loss or damage. Further, if requested by any authorized representative of the Company, the Assured shall grant its permission, in writing, for any authorized representative of the Company to examine, inspect and copy all records, books, ledgers, checks, correspondence and memoranda in the custody or control of a third party, which reasonably pertain to the loss damage. All information designated as confidential by the Assured provided to the Company, pursuant to this Section shall not be disclosed to others unless, in the reasonable judgment of the Company, it is necessary in the administration of the claim. Failure of the Assured to submit for examination under oath, produce other reasonably requested information of grant permission to secure reasonably necessary information from third parties as required in the above paragraph, unless prohibited by law or governmental regulation, shall terminate any liability of the Company under this Guarantee to the Assured for that claim. 6. Options to Pay or Otherwise Settle Claims: Termination of Liability. In case of a claim under this Guarantee, the Company shall have the following additional options: (a) To Pay or Tender Payment of the Amount of Liability or to Purchase the Indebtedness. The Company shall have the option to pay or settle or compromise for or in the name of the Assured any claim which could result in loss to the Assured within the coverage of this Guarantee, or to pay the full amount of this Guarantee or, if this Guarantee is issued for the benefit of a holder of a mortgage or a lienholder, the Company shall have the option to purchase the indebtedness secured by said mortgage or said lien for the amount owing thereon, together with any costs, reasonable attorneys' fees and expenses incurred by the Assured claimant which were authorized by the Company up to the time of purchase. Such purchase, payment or tender of payment of the full amount of the Guarantee shall terminate all liability of the Company hereunder. In the event after notice of claim has been given to the Company by the Assured the Company offers to purchase said indebtedness, the owner of such indebtedness shall transfer and assign said indebtedness, together with any collateral security, to the Company upon payment of the purchase price. Upon the exercise by the Company of the option provided for in Paragraph (a) the Company's obligation to the Assured under this Guarantee for the claimed loss or damage, other than to make the payment required in that paragraph, shall terminate, including any obligation to continue the defense or prosecution of any litigation for which the Company has exercised its options under Paragraph 4, and the Guarantee shall be surrendered to the Company for cancellation. (b) To Pay Otherwise Settle With Parties Other Than the Assured or With the Assured Claimant. To pay or otherwise settle with other parties for or in the name of an Assured claimant any claim Assured against under this Guarantee, together with any costs, attorneys' fees and expenses incurred by the Assured claimant which were authorized by the Company up to the time of payment and which the Company is obligated to pay. Upon the exercise by the Company of the option provided for in Paragraph (b) the Company's obligation to the Assured under this Guarantee for the claimed loss or damage, other than to make the payment required in that paragraph, shall terminate, including any obligation to continue the defense or prosecution of any litigation for which the Company has exercised its options under Paragraph 4. 7. Determination and Extent of Liability. This Guarantee is a contract of Indemnity against actual monetary loss or damage sustained or incurred by the Assured claimant who has suffered loss or damage by reason of reliance upon the assurances set forth in this Guarantee and only to the extent herein described, and subject to the Exclusions From Coverage of This Guarantee. The Liability of the Company under this Guarantee to the Assured shall not exceed the least of: (a) the amount of liability stated in Schedule A or in Part 2; (b) the amount of the unpaid principal indebtedness secured by the mortgage of an Assured mortgagee, as limited or provided under Section 6 of these Conditions and Stipulations or as reduced under Section 9 of these Conditions and Stipulations, at the time the loss or damage Assured against by this Guarantee occurs, together with interest thereon; or (c) the difference between the value of the estate or interest covered hereby as stated herein and the value of the estate or interest subject to any defect, lien or encumbrance Assured against by this Guarantee. 8. Limitation of Liability. (a) If the Company establishes the title, or removes the alleged defect, lien or encumbrance, or cures any other matter Assured against by this Guarantee in a reasonably diligent manner by any method, including litigation and the completion of any appeals therefrom, it shall have fully performed its obligations with respect to that matter and shall not be liable for any loss or damage caused thereby. (b) In the event of any litigation by the Company or with the Company's consent, the Company shall have no liability for loss or damage until there has been a final determination by a court of competent jurisdiction, and disposition of all appeals therefrom, adverse to the title, as stated herein. (c) The Company shall not be liable for loss or damage to any Assured for liability voluntarily assumed by the Assured in settling any claim or suit without the prior written consent of the Company. 9. Reduction of Liability or Termination of Liability. All payments under this Guarantee, except payments made for costs, attorneys' fees and expenses pursuant to Paragraph 4 shall reduce the amount of liability pro tanto. 10. Payment of Loss. (a) No payment shall be made without producing this Guarantee for endorsement of the payment unless the Guarantee has been lost or destroyed, in which case proof of loss or destruction shall be furnished to the satisfaction of the Company. (b) When liability and the extent of loss or damage has been definitely fixed in accordance with these Conditions and Stipulations, the loss or damage shall be payable within thirty (30) days thereafter. 11. Subrogation Upon Payment or Settlement. Whenever the Company shall have settled and paid a claim under this Guarantee, all right of subrogation shall vest in the Company unaffected by any act of the Assured claimant. The Company shall be subrogated to and be entitled to all rights and remedies which the Assured would have had against any person or property in respect to the claim had this Guarantee not been issued. If requested by the Company, the Assured shall transfer to the Company all rights and remedies against any person or property necessary in order to perfect this right of subrogation. The Assured shall permit the Company to sue, compromise or settle in the name of the Assured and to use the name of the Assured in any transaction or litigation involving these rights or remedies. If a payment on account of a claim does not fully cover the loss of the Assured the Company shall be subrogated to all rights and remedies of the Assured after the Assured shall have recovered its principal, interest, and costs of collection. 12. Arbitration. Form No. 14 Order Number: NCS-1203111-ONT1 CLTA Subdivision Guarantee (4-10-75) Page Number: 6 First American Title Insurance Company National Commercial Services Unless prohibited by applicable law, either the Company or the Assured may demand arbitration pursuant to the Title Insurance Arbitration Rules of the American Arbitration Association. Arbitrable matters may include, but are not limited to, any controversy or claim between the Company and the Assured arising out of or relating to this Guarantee, any service of the Company in connection with its issuance or the breach of a Guarantee provision or other obligation. All arbitrable matters when the Amount of Liability is $1,000,000 or less shall be arbitrated at the option of either the Company or the Assured. All arbitrable matters when the amount of liability is in excess of $1,000,000 shall be arbitrated only when agreed to by both the Company and the Assured. The Rules in effect at Date of Guarantee shall be binding upon the parties. The award may include attorneys' fees only if the laws of the state in which the land is located permits a court to award attorneys' fees to a prevailing party. Judgment upon the award rendered by the Arbitrator(s) may be entered in any court having jurisdiction thereof. The law of the situs of the land shall apply to an arbitration under the Title Insurance Arbitration Rules. A copy of the Rules may be obtained from the Company upon request. 13. Liability Limited to This Guarantee; Guarantee Entire Contract. (a) This Guarantee together with all endorsements, if any, attached hereto by the Company is the entire Guarantee and contract between the Assured and the Company. In interpreting any provision of this Guarantee, this Guarantee shall be construed as a whole. (b) Any claim of loss or damage, whether or not based on negligence, or any action asserting such claim, shall be restricted to this Guarantee. (c) No amendment of or endorsement to this Guarantee can be made except by a writing endorsed hereon or attached hereto signed by either the President, a Vice President, the Secretary, and Assistant Secretary, or validating officer or authorized signatory of the Company. 14. Notices, Where Sent. All notices required to be given the Company and any statement in writing required to be furnished the Company shall include the number of this Guarantee and shall be addressed to the Company at 2 First American Way, Bldg 2, Santa Ana, California, 92707. Order Number: NCS-1203111-ONT1 Page Number: 1 First American Title Insurance Company Update 5 First American Title Insurance Company National Commercial Services 11175 Azusa Court #100 Rancho Cucamonga, CA 91730 Richard Lemmel Wermer's Properties 9191 Towne Centre Dr Ste 180 San Diego, CA 92122-6205 Customer Reference: Tract Map (Carlsbad Village II) Property: 955, 945 Grand Ave, 2944, 2946 Hope Ave, 950, 1006 Carlsbad Village Drive, Carlsbad, CA PRELIMINARY REPORT In response to the above referenced application for a policy of title insurance, this company hereby reports that it is prepared to issue, or cause to be issued, as of the date hereof, a Policy or Policies of Title Insurance describing the land and the estate or interest therein hereinafter set forth, insuring against loss which may be sustained by reason of any defect, lien or encumbrance not shown or referred to as an Exception below or not excluded from coverage pursuant to the printed Schedules, Conditions and Stipulations of said Policy forms. The printed Exceptions and Exclusions from the coverage and Limitations on Covered Risks of said policy or policies are set forth in Exhibit A attached. The policy to be issued may contain an arbitration clause. When the Amount of Insurance is less than that set forth in the arbitration clause, all arbitrable matters shall be arbitrated at the option of either the Company or the Insured as the exclusive remedy of the parties. Limitations on Covered Risks applicable to the CLTA and ALTA Homeowner's Policies of Title Insurance which establish a Deductible Amount and a Maximum Dollar Limit of Liability for certain coverages are also set forth in Exhibit A. Copies of the policy forms should be read. They are available from the office which issued this report. Please read the exceptions shown or referred to below and the exceptions and exclusions set forth in Exhibit A of this report carefully. The exceptions and exclusions are meant to provide you with notice of matters which are not covered under the terms of the title insurance policy and should be carefully considered. It is important to note that this preliminary report is not a written representation as to the condition of title and may not list all liens, defects, and encumbrances affecting title to the land. This report (and any supplements or amendments hereto) is issued solely for the purpose of facilitating the issuance of a policy of title insurance and no liability is assumed hereby. If it is desired that liability be assumed prior to the issuance of a policy of title insurance, a Binder or Commitment should be requested. Order Number: NCS-1203111-ONT1 Page Number: 2 First American Title Insurance Company Dated as of October 10, 2024 at 7:30 A.M. The form of Policy of title insurance contemplated by this report is: Subdivision Guarantee A specific request should be made if another form or additional coverage is desired. Title to said estate or interest at the date hereof is vested in: Carlsbad Village II, LLC, a Delaware limited liability company The estate or interest in the land hereinafter described or referred to covered by this Report is: Fee as to Parcels 1, 2, 3 and 5; and easement as to Parcels 4 and 6 through 11 The Land referred to herein is described as follows: (See attached Legal Description) At the date hereof exceptions to coverage in addition to the printed Exceptions and Exclusions in said policy form would be as follows: 1. General and special taxes and assessments for the fiscal year 2024-2025. First Installment: $11,927.79, OPEN Penalty: $0.00 Second Installment: $11,927.79, OPEN Penalty: $0.00 Tax Rate Area: 09098 A. P. No.: 203-320-02-00 1a. General and special taxes and assessments for the fiscal year 2024-2025. First Installment: $10,491.39, OPEN Penalty: $0.00 Second Installment: $10,491.39, OPEN Penalty: $0.00 Tax Rate Area: 09098 A. P. No.: 203-320-20-00 1b. General and special taxes and assessments for the fiscal year 2024-2025. First Installment: $24,327.97, OPEN Penalty: $0.00 Second Installment: $24,327.97, OPEN Penalty: $0.00 Tax Rate Area: 09098 A. P. No.: 203-320-40-00 Order Number: NCS-1203111-ONT1 Page Number: 3 First American Title Insurance Company 1c. General and special taxes and assessments for the fiscal year 2024-2025. First Installment: $16,764.71, OPEN Penalty: $0.00 Second Installment: $16,764.71, OPEN Penalty: $0.00 Tax Rate Area: 09098 A. P. No.: 203-320-41-00 1d. General and special taxes and assessments for the fiscal year 2024-2025. First Installment: $65,997.27, OPEN Penalty: $0.00 Second Installment: $65,997.27, OPEN Penalty: $0.00 Tax Rate Area: 09098 A. P. No.: 203-320-48-00 1e. General and special taxes and assessments for the fiscal year 2024-2025. First Installment: $19.21, OPEN Penalty: $0.00 Second Installment: $19.21, OPEN Penalty: $0.00 Tax Rate Area: 09098 A. P. No.: 203-320-51-00 2. The lien of supplemental taxes, if any, assessed pursuant to Chapter 3.5 commencing with Section 75 of the California Revenue and Taxation Code. 3. An easement for public highway and incidental purposes in the document recorded September 14, 1956 as Book 6256, Page 550 of Official Records. The above document was re-recorded October 10, 1956 in/as Book 6292, Page 217 of Official Records. (Affects Parcels 1 and 2) 4. An easement for public utilities, ingress and egress and incidental purposes, recorded September 19, 1972 as Instrument No. 250705 of Official Records. In Favor of: San Diego Gas and Electric Company Affects: Parcel 5, as described therein The location of the easement cannot be determined from record information. 5. A lease dated February 21, 1974, executed by Gregory William Losa as lessor and Carl Karcher Enterprises, Inc., a california corporation as lessee, recorded March 15, 1974 as Instrument No. 74- 65803 of Official Records. Document(s) declaring modifications thereof recorded December 01, 2021 as Instrument No. 2021- 819781 of Official Records. Order Number: NCS-1203111-ONT1 Page Number: 4 First American Title Insurance Company Defects, liens, encumbrances or other matters affecting the leasehold estate, whether or not shown by the public records are not shown herein. (Affects Parcel 1 of Parcel 3) 6. An easement for public utilities, ingress and egress and incidental purposes, recorded November 26, 1974 as Instrument No. 74-310756 of Official Records. In Favor of: San Diego Gas & Electric Company Affects: Parcel 1 of Parcel 3, as described therein The location of the easement cannot be determined from record information. 7. An easement for parking and ingress and egress and incidental purposes in the document recorded March 31, 1975 as Instrument No. 75-72461 of Official Records. (Affects Parcel 2 of Parcel 3) 8. An easement for street and incidental purposes, recorded September 10, 1982 as Instrument No. 82- 281118 of Official Records. In Favor of: The City of Carlsbad Affects: Parcel 5, as described therein 9. Terms and provisions of an unrecorded lease dated July 19, 1982, by and between John H. and Mary C. Grant and Sixpence Inns of America, Inc. as lessor and Sixpence Inn of Carlsbad, Ltd. as lessee, as disclosed by a Memorandum of Lease recorded September 16, 1982 as Instrument No. 82-288347 of Official Records. Said document does not contain a legal description Defects, liens, encumbrances or other matters affecting the leasehold estate, whether or not shown by the public records are not shown herein. (Affects Parcel 5) 10. An easement for aerial and underground public utilities, ingress and egress and incidental purposes, recorded October 06, 1982 as Instrument No. 82-307671 of Official Records. In Favor of: San Diego Gas and Electric Company Affects: as described therein (Affects Parcels 1 and 2) 11. The terms, provisions and easement(s) contained in the document entitled "Easement Agreement" recorded January 07, 1994 as Instrument No. 1994-15920 of Official Records. (Affects Parcels 3 and 5) 12. The terms and provisions contained in the document entitled "City of Carlsbad Housing and Redevelopment Commission Parking in-lieu Fee Program Participation Agreement" recorded June 06, 2006 as Instrument No. 2006-398652 of Official Records. Order Number: NCS-1203111-ONT1 Page Number: 5 First American Title Insurance Company (Affects Parcel 1) 13. This item has been intentionally deleted. 14. The terms and provisions contained in the document entitled "Tenants-in-Common Agreement" recorded June 23, 2017 as Instrument No. 2017-286109 of Official Records. (Affects Parcel 3) 15. Terms, conditions and provisions as disclosed by the Notice of Affordability Restrictions on Transfer of Property executed by City of Carlsbad, a municipal corporation and Carlsbad Village partners, LP, a California limited partnership dated September 28, 2017, recorded Instrument No. 2017-446115 as Instrument Number in the Office of the County Recorder No insurance will be given to either the contemplated transaction or to any resale or refinance in the future until satisfactory evidence of compliance with the provisions of said covenant or agreement, in the form of written and specific certification of compliance, has been furnished to the Company. The terms and provisions contained in the document entitled "Regulatory Agreement and Declaration of Restrictive Covenants" recorded August 20, 2021 as Instrument No. 2021-595517 of Official Records. (Affects Parcels 1 and 2) 16. This item has been intentionally deleted. 17. This item has been intentionally deleted. 18. The terms, provisions and easement(s) contained in the document entitled "Reciprocal Roadway Grant of Easement and Easement Agreement" recorded September 14, 2018 as Instrument No. 2018-0384167 of Official Records. (Affects Parcel 5) 19. This item has been intentionally deleted. 20. This item has been intentionally deleted. 21. The terms, provisions and easement(s) contained in the document entitled "Sign Easement Agreement" recorded September 17, 2018 as Instrument No. 2018-0384406 of Official Records. (Affects Parcel 5) 22. The terms, provisions and easement(s) contained in the document entitled "Utility Easement Agreement (For Benefit of Motel 6 JV Owners)[Sanitary Sewer]" recorded September 14, 2018 as Instrument No. 2018-0384169 of Official Records. (Affects Parcel 5) Order Number: NCS-1203111-ONT1 Page Number: 6 First American Title Insurance Company 23. The terms, provisions and easement(s) contained in the document entitled "Drainage Easement Agreement (For Benefit of Motel 6 JV Owners)" recorded September 14, 2018 as Instrument No. 2018-0384170 of Official Records. (Affects Parcel 5) 24. This item has been intentionally deleted. 25. This item has been intentionally deleted. 26. The terms and provisions contained in the document entitled "Memorandum of Agreement" recorded September 17, 2018 as Instrument No. 2018-0384408 of Official Records. The terms and provisions contained in the document entitled "Memorandum of Termination of Agreements" recorded January 21, 2020 as Instrument No. 2020-0031396 of Official Records. (Affects Parcel 5) 27. The terms and provisions contained in the document entitled "Local Improvement District Agreement" recorded October 23, 2018 as Instrument No. 2018-442715 of Official Records. (Affects Portion of Parcel 5) 28. An easement for right of way in, upon, over, under and across the lands, to erect, construct, change the size of, improve, reconstruct, relocate, repair, maintain and use facilities consisting of underground facilities and appurtenances for the transmission and distribution of electricity and Communication facilities and appurtenances and right of ingress and egress and incidental purposes, recorded September 13, 2019 as Instrument No. 2019-0399833 of Official Records. In Favor of: San Diego Gas & Electric Company, a Corporation Affects: Parcel 5, as described therein The location of the easement cannot be determined from record information. 29. The terms and provisions contained in the document entitled "Hold Harmless Agreement Geological Failure " recorded October 01, 2019 as Instrument No. 2019-0436243 of Official Records. (Affects Parcel 5) 30. The terms and provisions contained in the document entitled "Hold Harmless Agreement Drainage" recorded October 01, 2019 as Instrument No. 2019-0436244 of Official Records. (Affects Parcel 5) 31. The terms and provisions contained in the document entitled "Permanent Stormwater Quality Best Management Practice Maintenance Agreement" recorded October 01, 2019 as Instrument No. 2019- 0436245 of Official Records. (Affects Parcel 5) Order Number: NCS-1203111-ONT1 Page Number: 7 First American Title Insurance Company 32. A Deed of Trust to secure an original indebtedness of $9,855,000.00 recorded March 28, 2022 as Instrument No. 2022-136987 of Official Records. Dated: February 22, 2022 Trustor: Carlsbad Village II, LLC, a Delaware limited liability company Trustee: Chicago Title Insurance Company, a Nebraska Corporation Beneficiary: First Republic Bank According to the public records, the beneficial interest under the deed of trust was assigned to JPMorgan Chase Bank, National Association by assignment recorded April 4, 2024 as Instrument No. 2024-0082915 of Official Records. A document entitled "Assignment of Leases" recorded March 28, 2022 as Instrument No. 2022- 136988 of Official Records, as additional security for the payment of the indebtedness secured by the deed of trust. A document entitled "Assignment of Assignment of Leases and Rents" recorded April 4, 2024 as Instrument No. 2024-0082916 of Official Records, as additional security for the payment of the indebtedness secured by the deed of trust. Document(s) declaring modifications thereof recorded October 9, 2024 as Instrument No. 2024- 0272338 of Official Records. (Affects Parcels 3 and 5) 33. An easement for poles, wires cables and appurtenances for the transmission and distribution of electricity and incidental purposes, recorded October 6, 1982 as Instrument No. 82-307669 of Official Records. In Favor of: San Diego Gars & Electric Company, a corporation Affects: as described therein The location of the easement cannot be determined from record information. 34. An easement for poles, wires cables and appurtenances for the transmission and distribution of electricity and incidental purposes, recorded October 6, 1982 as Instrument No. 82-307670 of Official Records. In Favor of: San Diego Gars & Electric Company, a corporation Affects: Parcels 1, 2 and 5 35. An easement for public right-of-way and incidental purposes, recorded May 1, 1990 as Instrument No. 90-235538 of Official Records. In Favor of: City of Carlsbad Affects: as described therein The above referenced document contains and erroneous legal description. Said document will need to be re-recorded with the correct legal description. Order Number: NCS-1203111-ONT1 Page Number: 8 First American Title Insurance Company 36. An easement for public right-of-way and incidental purposes, recorded May 1, 1990 as Instrument No. 90-235539 of Official Records. In Favor of: City of Carlsbad Affects: as described therein 37. Any rights, interests or claims which may exist or arise by reason of the following matters disclosed by an inspection or survey. A) The fact that there is a fire hydrant located on the northwest corner of said land. B) The fact that there are power lines and pole lines located on the southeasterly and northeasterly boundary of said land. C) The fact that a wood fence and Erick Wall sets over eastern and southern boundaries, as disclosed by prior title evidence. (Affects Parcel 2) 38. The terms and provisions contained in the document entitled "Notice of Restriction on Real Property" recorded August 28, 2024 as Instrument No. 2024-0230183 of Official Records. 39. The terms, provisions and easement(s) contained in the document entitled "Private Drainage and Water Quality Treatment Easement Agreement" recorded September 06, 2024 as Instrument No. 2024-0240461 of Official Records. (Affects Parcel 5) 40. Water rights, claims or title to water, whether or not shown by the public records. 41. Rights of parties in possession. 42. This report is preparatory to the issuance of a subdivision guarantee and is intended solely for the use of those parties directly involved in the preparation and checking of said map. Note: Prior to issuing a subdivision guarantee, we require that a copy of the final map be provided to our office for review at least one month prior to scheduled approval by the governing body. Order Number: NCS-1203111-ONT1 Page Number: 9 First American Title Insurance Company INFORMATIONAL NOTES ALERT - CA Senate Bill 2 imposes an additional fee of $75 up to $225 at the time of recording on certain transactions effective January 1, 2018. Please contact your First American Title representative for more information on how this may affect your closing. 1. Taxes for proration purposes only for the fiscal year 2023-2024. First Installment: $11,868.46, PAID Second Installment: $11,868.46, PAID Tax Rate Area: 09098 APN: 203-320-02-00 2. Taxes for proration purposes only for the fiscal year 2023-2024. First Installment: $10,439.09, PAID Second Installment: $10,439.09, PAID Tax Rate Area: 09098 APN: 203-320-20-00 3. Taxes for proration purposes only for the fiscal year 2023-2024. First Installment: $24,208.78,, PAID Second Installment: $24,208.78,, PAID Tax Rate Area: 09098 APN: 203-320-40-00 4. Taxes for proration purposes only for the fiscal year 2023-2024. First Installment: $16,682.88, PAID Second Installment: $16,682.88, PAID Tax Rate Area: 09098 APN: 203-320-41-00 5. Taxes for proration purposes only for the fiscal year 2023-2024. First Installment: $65,671.76, PAID Second Installment: $65,671.76, PAID Tax Rate Area: 09098 APN: 203-320-48-00 6. Taxes for proration purposes only for the fiscal year 2023-2024. First Installment: $18.99, PAID Second Installment: $18.99, PAID Tax Rate Area: 09098 APN: 203-320-51-00 7. According to the latest available equalized assessment roll in the office of the county tax assessor, there is located on the land a(n) Single Family Residence known as 955 and 945 Grand Avenue, Carlsbad, CA. (Affects Parcels 1 and 2) Order Number: NCS-1203111-ONT1 Page Number: 10 First American Title Insurance Company 8. According to the latest available equalized assessment roll in the office of the county tax assessor, there is located on the land a(n) Multiple Family Residence known as 2944 and 2946 Hope Avenue, Carlsbad, CA. (Affects Parcel 2 of Parcel 3) 9. According to the latest available equalized assessment roll in the office of the county tax assessor, there is located on the land a(n) Commercial Structure known as 950 and 1006 Carlsbad Village Drive, Carlsbad, CA. (Affects Parcel 1 of Parcel 3 and Parcel 5) 10. This preliminary report/commitment was prepared based upon an application for a policy of title insurance that identified land by street address or assessor's parcel number only. It is the responsibility of the applicant to determine whether the land referred to herein is in fact the land that is to be described in the policy or policies to be issued. NOTE to proposed insured lender only: No Private transfer fee covenant, as defined in Federal Housing Finance Agency Final Rule 12 CFR Part 1228, that was created and first appears in the Public Records on or after February 8, 2011, encumbers the Title except as follows: None 11. Should this report be used to facilitate your transaction, we must be provided with the following prior to the issuance of the policy: A. WITH RESPECT TO A LIMITED LIABILITY COMPANY: 1. A copy of its operating agreement and any amendments thereto; 2. If it is a California limited liability company, a certified copy of its articles of organization (LLC-1) and any certificate of correction (LLC-11), certificate of amendment (LLC-2), or restatement of articles of organization (LLC-10) to be recorded in the public records; 3. If it is a foreign limited liability company, a certified copy of its application for registration (LLC-5) to be recorded in the public records; 4. With respect to any deed, deed of trust, lease, subordination agreement or other document or instrument executed by such limited liability company and presented for recordation by the Company or upon which the Company is asked to rely, such document or instrument must be executed in accordance with one of the following, as appropriate: (i) If the limited liability company properly operates through officers appointed or elected pursuant to the terms of a written operating agreement, such documents must be executed by at least two duly elected or appointed officers, as follows: the chairman of the board, the president or any vice president, and any secretary, assistant secretary, the chief financial officer or any assistant treasurer; (ii) If the limited liability company properly operates through a manager or managers identified in the articles of organization and/or duly elected pursuant to the terms of a written operating agreement, such document must be executed by at least two such managers or by one manager if the limited liability company properly operates with the existence of only one manager. 5. A certificate of revivor and a certificate of relief from contract voidability issued by the Franchise Tax Board of the State of California. 6. Requirements which the Company may impose following its review of the above material and other information which the Company may require. Order Number: NCS-1203111-ONT1 Page Number: 11 First American Title Insurance Company The map attached, if any, may or may not be a survey of the land depicted hereon. First American Title Insurance Company expressly disclaims any liability for loss or damage which may result from reliance on this map except to the extent coverage for such loss or damage is expressly provided by the terms and provisions of the title insurance policy, if any, to which this map is attached. Order Number: NCS-1203111-ONT1 Page Number: 12 First American Title Insurance Company LEGAL DESCRIPTION Real property in the City of Carlsbad, County of San Diego, State of California, described as follows: TENTATIVE TRACT NO. (CARLSBAD VILLAGE II), BEING A SUBDIVISION OF THE FOLLOWING: PARCEL 1: (APN: 203-320-02-00) THAT PORTION OF TRACT 117 OF CARLSBAD LANDS, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 1661, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, MARCH 1, 1915, DESCRIBED AS FOLLOWS: COMMENCING AT THE INTERSECTION OF THE NORTHWESTERLY LINE OF ELM AVENUE, WHICH IS ALSO THE SOUTHEASTERLY LINE OF SAID TRACT 117, WITH THE WESTERLY LINE OF TRACT NO. 119 OF SAID CARLSBAD LANDS AS SHOWN ON SAID MAP NO. 1661; THENCE SOUTH 55° 27’ WEST ALONG THE SOUTHEASTERLY LINE OF SAID TRACT NO. 117, A DISTANCE OF 1380.91 FEET TO A POINT; THENCE NORTH 34° 33’ WEST, A DISTANCE OF 450.00 FEET TO A POINT IN THE SOUTHEASTERLY LINE OF THAT CERTAIN TRACT OF LAND CONVEYED TO AUGUSTA ASMUS BY DEED RECORDED JULY 20, 1920 IN BOOK 824, PAGE 17 OF DEEDS, RECORDS OF SAID COUNTY; THENCE SOUTH 55° 27’ WEST ALONG THE SOUTHEASTERLY LINE OF SAID LAND SO CONVEYED TO SAID ASMUS, A DISTANCE OF 56.26 FEET TO THE TRUE POINT OF BEGINNING; THENCE CONTINUING SOUTH 55° 27’ WEST ALONG SAID SOUTHEASTERLY LINE OF SAID ASMUS LAND 56.25 FEET; THENCE SOUTH 34° 33’ EAST 140 FEET; THENCE NORTH 55° 27’ EAST, 56.25 FEET TO INTERSECTION WITH A LINE WHICH BEARS SOUTH 34° 33’ EAST FROM THE POINT OF BEGINNING; THENCE NORTH 34° 33’ WEST 140 FEET TO THE TRUE POINT OF BEGINNING. PARCEL 2: (APN: 203-320-20-00) ALL THAT PORTION OF TRACT 117 OF CARLSBAD LANDS, IN THE COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 1661, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, MARCH 1, 1915, DESCRIBED AS FOLLOWS: BEGINNING AT THE INTERSECTION OF THE CENTER LINE OF GRAND AVENUE WITH THE SOUTHWESTERLY BOUNDARY OF TRACT 117, AS SHOWN ON SAID MAP, SAID POINT BEING ALSO AN ANGLE POINT IN THE SOUTHEASTERLY LINE OF THE LAND CONVEYED BY SOUTH COAST LAND COMPANY, A CORPORATION TO AUGUSTA ASMUS, BY DEED DATED APRIL 13, 1920 AND RECORDED IN BOOK 824, PAGE 17 OF DEEDS; THENCE SOUTH 34° 33' EAST ALONG THE SOUTHWESTERLY LINE OF SAID TRACT 117, DISTANCE OF 140 FEET; THENCE NORTH 55° 27' EAST 50 FEET; THENCE NORTH 34° 33' WEST 140 FEET TO INTERSECTION WITH THE SOUTHEASTERLY LINE OF SAID LAND CONVEYED TO ASMUS ABOVE REFERRED TO; THENCE SOUTH 55° 27' WEST ALONG SAID LINE 50 FEET TO THE POINT OF BEGINNING. EXCEPTING THEREFROM THAT PORTION OF TRACT 117 DESCRIBED AS FOLLOWS: BEGINNING AT INTERSECTION OF THE CENTERLINE OF GRAND AVENUE WITH THE SOUTHWESTERLY BOUNDARY OF TRACT 117, AS SHOWN ON SAID MAP NO. 1161; THENCE SOUTH 34° 33' EAST 15.00 FEET TO THE TRUE POINT OF BEGINNING; THENCE CONTINUING SOUTH 34° 33' EAST 3.21 FEET TO A POINT ON THE ARC OF A CURVE CONCAVE SOUTHEASTERLY, HAVING A RADIUS OF 5.50 FEET; THENCE NORTHEASTERLY ALONG SAID CURVE, THROUGH A CENTRAL ANGLE OF 65° 22' 48" FEET, AN ARC DISTANCE OF 6.28 FEET; THENCE SOUTH 55° 27' WEST 5.00 FEET TO THE TRUE POINT OF BEGINNING AS GRANTED TO THE CITY OF CARLSBAD, A MUNICIPAL CORPORATION, BY DEED RECORDED MAY 23, 1967 AS FILE NO. 72888 OF OFFICIAL RECORDS. Order Number: NCS-1203111-ONT1 Page Number: 13 First American Title Insurance Company PARCEL 3: (APN: 203-320-40-00 AND 203-320-41-00) PARCELS 1 AND 2 OF PARCEL MAP 2868 IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, JULY 22, 1974. EXCEPTING THEREFROM ALL THAT PORTION OF PARCEL 1 AND 2 OF PARCEL MAP 2868 THAT WAS GRANTED TO THE CITY OF CARLSBAD BY FINAL ORDER OF CONDEMNATION RECORDED JUNE 2, 1994, AS INSTRUMENT NO. 1994-0376671 OF OFFICIAL RECORDS. PARCEL 4: (APN: 203-320-48-00 AND 203-320-51-00) A NON-EXCLUSIVE EASEMENT FOR INGRESS-EGRESS AND DRIVEWAY PURPOSES OVER THAT PORTION OF TRACT NO. 117 OF CARLSBAD LANDS, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP NO. 1661, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, MARCH 01, 1915, DESCRIBED AS FOLLOWS: BEGINNING AT THE POINT OF INTERSECTION OF THE NORTHWESTERLY LINE OF ELM AVENUE, WHICH IS ALSO THE SOUTHEASTERLY LINE OF SAID TRACT 117 WITH THE WESTERLY BOUNDARY LINE OF TRACT NO. 119 OF SAID CARLSBAD LANDS, AS SHOWN ON SAID MAP; THENCE SOUTH 55°27' WEST ALONG THE SOUTHEASTERLY LINE OF SAID TRACT 117 A DISTANCE OF 1330.91 FEET TO THE SOUTHEASTERLY CORNER OF A RECTANGLE PARCEL KNOWN AS PARCEL #5; THENCE CONTINUING ALONG THE NORTHWESTERLY LINE OF SAID ELM STREET SOUTH 55°27' WEST A DISTANCE OF 7.0 FEET TO THE NORTHEASTERLY LINE OF A PAVED DRIVEWAY; THENCE ALONG SAID LINE NORTH 34°33' WEST, A DISTANCE OF 2.31 FEET TO THE TRUE POINT OF BEGINNING; SAID POINT BEING ON THE PROPOSED NORTHWESTERLY RIGHT-OF-WAY LINE OF CARLSBAD VILLAGE DRIVE, (PREVIOUSLY KNOWN AS ELM AVENUE), AS SAID LAST MENTIONED LINE IS REFERRED TO IN VARIOUS PLANS AND DOCUMENTS RELATING TO THAT CERTAIN CITY PROJECT KNOWN AS STREETSCAPE PHASE V; THENCE, CONTINUING NORTH 34°33' WEST, A DISTANCE OF 96 FEET TO A POINT; THENCE SOUTH 55°27' WEST A DISTANCE OF 43 FEET TO THE NORTHEASTERLY LINE OF PARCEL NO. 2 OF PARCEL MAP NO. 2868, FILED IN THE OFFICE OF THE COUNTY RECORDER; THENCE ALONG SAID LINE SOUTH 34°33' EAST, A DISTANCE OF APPROXIMATELY 96 FEET TO A POINT ON THE PROPOSED RIGHT-OF- WAY LINE OF CARLSBAD VILLAGE DRIVE; THENCE ALONG SAID LINE NORTH 55°27' EAST, A DISTANCE OF 43 FEET TO THE TRUE POINT OF BEGINNING. PARCEL 5: PARCEL B OF PARCEL MAP NO. 21619, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE COUNTY RECORDER OF SAN DIEGO COUNTY ON SEPTEMBER 12, 2018 AS FILE NO. 2018-7000347 OF OFFICIAL RECORDS. SAID PARCEL B BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE CENTERLINE OF HOPE AVENUE AND GRAND AVENUE, SAID POINT BEING MARKED WITH A SPIKE WITH PUNCH AS SHOW ON THAT CERTAIN RECORD OF SURVEY, 22249, RECORDED JANUARY 2016 FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY; THENCE, LEAVING SAID POINT RUNNING ALONG THE CENTERLINE OF GRAND AVENUE NORTH 55°26’30” EAST A DISTANCE OF 353.76 FEET TO A POINT, SAID POINT BEING THE NORTH EAST CORNER OF PARCEL B, SAID POINT ALSO BEING THE TRUE POINT OF BEGINNING; Order Number: NCS-1203111-ONT1 Page Number: 14 First American Title Insurance Company THENCE, LEAVING SAID POINT SOUTH 34°31’03” EAST A DISTANCE OF 209.99 FEET TO THE BEGINNING OF A TANGENT CURVE; THENCE, ALONG A TANGENT CURVE BEING CONCAVE WESTERLY HAVING A RADIUS OF 60.00 FEET, RUNNING SOUTHERLY ALONG THE ARC OF SAID CURVE A DISTANCE OF 47.12 FEET, HAVING A CENTRAL ANGEL OF 45°00’00”, TO THE BEGINNING OF A TANGENT LINE; THENCE, SOUTH 10°28’57” WEST A DISTANCE OF 137.60 FEET TO THE BEGINNING OF A TANGENT CURVE; THENCE, ALONG A TANGENT CURVE BEING CONCAVE EASTERLY HAVING A RADIUS OF 55.00 FEET, RUNNING SOUTHERLY ALONG THE ARC OF SAID CURVE A DISTANCE OF 43.20 FEET, HAVING A CENTRAL ANGEL OF 45°00’00”, TO THE BEGINNING OF A TANGENT LINE; THENCE, SOUTH 34°31’03” EAST A DISTANCE OF 61.92 FEET TO A POINT ON THE NORTHERLY LINE OF CARLSBAD VILLAGE DRIVE, AS SHOWN ON THAT CERTAIN PARCEL MAP 21619, RECORDED SEPTEMBER 12, 2018, SAID POINT BEING DISTANCE THEREFROM SOUTH 55°26’50” WEST A DISTANCE OF 220.26 FEET FROM THE INTERSECTION OF THE EAST LINE OF PARCEL ‘A’ OF SAID PARCEL MAP AND THE NORTHERLY LINE OF CARLSBAD VILLAGE DRIVE; THENCE, RUNNING WESTERLY ALONG THE NORTHERLY LINE OF CARLSBAD VILLAGE DRIVE SOUTH 55°26’50” WEST A DISTANCE OF 35.00 FEET TO A POINT; THENCE, LEAVING THE NORTHERLY LINE OF CARLSBAD VILLAGE DRIVE RUNNING ALONG THE WESTERLY LINE OF SAID PARCEL ‘B’ NORTH 34°31’03” WEST A DISTANCE OF 310.01 FEET TO AN ANGLE POINT; THENCE, SOUTH 55°34’59” WEST A DISTANCE OF 56.29 FEET TO AN ANGLE POINT; THENCE, NORTH 34°29’33” WEST A DISTANCE OF 140.28 FEET TO A POINT ON THE CENTER LINE OF GRAND AVENUE, SAID POINT BEING DISTANCE THEREFROM NORTH 55°26’30” EAST A DISTANCE OF 131.55 FEET THE INTERSECTION OF THE CENTER LINE OF HOPE AVENUE AND GRAND AVENUE, SAID POINT ALSO BEING THE NORTHWESTERLY CORNER OF SAID PARCEL ‘B’; THENCE, RUNNING ALONG THE CENTER LINE OF GRAND AVENUE NORTH 55°26’30” EAST A DISTANCE OF 222.21 FEET TO THE TRUE POINT OF BEGINNING. PARCEL 6: A 24' WIDE EASEMENT FOR PEDESTRIAN AND VEHICULAR ACCESS AND INGRESS AND EGRESS FOR THE BENEFIT OF PARCEL B OF PARCEL MAP NO. 21619, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE COUNTY RECORDER OF SAN DIEGO COUNTY ON SEPTEMBER 12, 2018 AS FILE NO. 2018-7000347 OF OFFICIAL RECORDS. SAID EASEMENT IS OVER A PORTION OF PARCEL A OF PARCEL MAP 21619 AND IS FULLY SET FORTH AND SUBJECT TO THE TERMS AND PROVISIONS CONTAINED IN THAT CERTAIN RECIPROCAL ROADWAY GRANT OF EASEMENT AND EASEMENT AGREEMENT RECORDED SEPTEMBER 14, 2018 AS INSTRUMENT NO. 2018-0384167 OF OFFICIAL RECORDS. PARCEL 7: INTENTIONALLY DELETED Order Number: NCS-1203111-ONT1 Page Number: 15 First American Title Insurance Company PARCEL 8: INTENTIONALLY DELETED PARCEL 9: AN EASEMENT FOR THE PLACEMENT, OPERATION, ILLUMINATION AND USE OF EXISTING MONUMENT SIGNAGE FOR THE BENEFIT OF PARCEL B OF PARCEL MAP NO. 21619, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE COUNTY RECORDER OF SAN DIEGO COUNTY ON SEPTEMBER 12, 2018 AS FILE NO. 2018-7000347 OF OFFICIAL RECORDS. SAID EASEMENT IS OVER A PORTION OF PARCEL A OF PARCEL MAP 21619 AND IS FULLY SET FORTH AND SUBJECT TO THE TERMS AND PROVISIONS CONTAINED IN THAT CERTAIN SIGN EASEMENT AGREEMENT RECORDED SEPTEMBER 17, 2018 AS INSTRUMENT NO. 2018-0384406 OF OFFICIAL RECORDS. PARCEL 10: AN EASEMENT FOR THE USE, REPAIR AND MAINTENANCE OF SANITARY SEWER PURPOSES FOR THE BENEFIT OF PARCEL B OF PARCEL MAP NO. 21619, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE COUNTY RECORDER OF SAN DIEGO COUNTY ON SEPTEMBER 12, 2018 AS FILE NO. 2018-7000347 OF OFFICIAL RECORDS. SAID EASEMENT IS OVER A PORTION OF PARCEL A OF PARCEL MAP 21619 AND IS FULLY SET FORTH AND SUBJECT TO THE TERMS AND PROVISIONS CONTAINED IN THAT CERTAIN UTILITY EASEMENT AGREEMENT (FOR BENEFIT OF MOTEL 6 JV OWNERS) [SANITARY SEWER] RECORDED SEPTEMBER 14, 2018 AS INSTRUMENT NO. 2018-0384169 OF OFFICIAL RECORDS. PARCEL 11: AN EASEMENT FOR DRAINAGE, FOR THE BENEFIT OF PARCEL B OF PARCEL MAP NO. 21619, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE COUNTY RECORDER OF SAN DIEGO COUNTY ON SEPTEMBER 12, 2018 AS FILE NO. 2018-7000347 OF OFFICIAL RECORDS. SAID EASEMENT IS OVER A PORTION OF PARCEL A OF PARCEL MAP 21619 AND IS FULLY SET FORTH AND SUBJECT TO THE TERMS AND PROVISIONS CONTAINED IN THAT CERTAIN DRAINAGE EASEMENT AGREEMENT (FOR THE BENEFIT OF MOTEL 6 JV OWNERS) RECORDED SEPTEMBER 14, 2018 AS INSTRUMENT NO. 2018-0384170 OF OFFICIAL RECORDS. APN: 203-320-02-00; 203-320-20-00; 203-320-40-00; 203-320-41-00; 203-320-48-00; 203-320-51-00 (referenced for informational purposes only) Order Number: NCS-1203111-ONT1 Page Number: 16 First American Title Insurance Company NOTICE Section 12413.1 of the California Insurance Code, effective January 1, 1990, requires that any title insurance company, underwritten title company, or controlled escrow company handling funds in an escrow or sub-escrow capacity, wait a specified number of days after depositing funds, before recording any documents in connection with the transaction or disbursing funds. This statute allows for funds deposited by wire transfer to be disbursed the same day as deposit. In the case of cashier's checks or certified checks, funds may be disbursed the next day after deposit. In order to avoid unnecessary delays of three to seven days, or more, please use wire transfer, cashier's checks, or certified checks whenever possible. If you have any questions about the effect of this new law, please contact your local First American Office for more details. Order Number: NCS-1203111-ONT1 Page Number: 17 First American Title Insurance Company Privacy Policy We Are Committed to Safeguarding Customer Information In order to better serve your needs now and in the future, we may ask you to provide us with certain information. We understand that you may be concerned about what we will do with such information - particularly any personal or financial information. We agree that you have a right to know how we will utilize the personal information you provide to us. Therefore, together with our parent company, The First American Corporation, we have adopted this Privacy Policy to govern the use and handling of your personal information. Applicability This Privacy Policy governs our use of the information which you provide to us. It does not govern the manner in which we may use information we have obtained from any other source, such as information obtained from a public record or from another person or entity. First American has also adopted broader guidelines that govern our use of personal information regardless of its source. First American calls these guidelines its Fair Information Values, a copy of which can be found on our website at www.firstam.com. Types of Information Depending upon which of our services you are utilizing, the types of nonpublic personal information that we may collect include:  Information we receive from you on applications, forms and in other communications to us, whether in writing, in person, by telephone or any other means;  Information about your transactions with us, our affiliated companies, or others; and  Information we receive from a consumer reporting agency. Use of Information We request information from you for our own legitimate business purposes and not for the benefit of any nonaffiliated party. Therefore, we will not release your information to nonaffiliated parties except: (1) as necessary for us to provide the product or service you have requested of us; or (2) as permitted by law. We may, however, store such information indefinitely, including the period after which any customer relationship has ceased. Such information may be used for any internal purpose, such as quality control efforts or customer analysis. We may also provide all of the types of nonpublic personal information listed above to one or more of our affiliated companies. Such affiliated companies include financial service providers, such as title insurers, property and casualty insurers, and trust and investment advisory companies, or companies involved in real estate services, such as appraisal companies, home warranty companies, and escrow companies. Furthermore, we may also provide all the information we collect, as described above, to companies that perform marketing services on our behalf, on behalf of our affiliated companies, or to other financial institutions with whom we or our affiliated companies have joint marketing agreements. Former Customers Even if you are no longer our customer, our Privacy Policy will continue to apply to you. Confidentiality and Security We will use our best efforts to ensure that no unauthorized parties have access to any of your information. We restrict access to nonpublic personal information about you to those individuals and entities who need to know that information to provide products or services to you. We will use our best efforts to train and oversee our employees and agents to ensure that your information will be handled responsibly and in accordance with this Privacy Policy and First American's Fair Information Values. We currently maintain physical, electronic, and procedural safeguards that comply with federal regulations to guard your nonpublic personal information. Order Number: NCS-1203111-ONT1 Page Number: 18 First American Title Insurance Company CLTA/ALTA HOMEOWNER'S POLICY OF TITLE INSURANCE (02-03-10) EXCLUSIONS In addition to the Exceptions in Schedule B, You are not insured against loss, costs, attorneys' fees, and expenses resulting from: 1. Governmental police power, and the existence or violation of those portions of any law or government regulation concerning: (a) building; (d) improvements on the Land; (b) zoning; (e) land division; and (c) land use; (f) environmental protection. This Exclusion does not limit the coverage described in Covered Risk 8.a., 14, 15, 16, 18, 19, 20, 23 or 27. 2. The failure of Your existing structures, or any part of them, to be constructed in accordance with applicable building codes. This Exclusion does not limit the coverage described in Covered Risk 14 or 15. 3. The right to take the Land by condemning it. This Exclusion does not limit the coverage described in Covered Risk 17. 4. Risks: (a) that are created, allowed, or agreed to by You, whether or not they are recorded in the Public Records; (b) that are Known to You at the Policy Date, but not to Us, unless they are recorded in the Public Records at the Policy Date; (c) that result in no loss to You; or (d) that first occur after the Policy Date - this does not limit the coverage described in Covered Risk 7, 8.e., 25, 26, 27 or 28. 5. Failure to pay value for Your Title. 6. Lack of a right: (a) to any land outside the area specifically described and referred to in paragraph 3 of Schedule A; and (b) in streets, alleys, or waterways that touch the Land. This Exclusion does not limit the coverage described in Covered Risk 11 or 21. 7. The transfer of the Title to You is invalid as a preferential transfer or as a fraudulent transfer or conveyance under federal bankruptcy, state insolvency, or similar creditors' rights laws. LIMITATIONS ON COVERED RISKS Your insurance for the following Covered Risks is limited on the Owner's Coverage Statement as follows: For Covered Risk 16, 18, 19, and 21 Your Deductible Amount and Our Maximum Dollar Limit of Liability shown in Schedule A. Your Deductible Amount Our Maximum Dollar Limit of Liability Covered Risk 16: 1% of Policy Amount or $2,500.00 (whichever is less) $10,000.00 Covered Risk 18: 1% of Policy Amount or $5,000.00 (whichever is less) $25,000.00 Covered Risk 19: 1% of Policy Amount or $5,000.00 (whichever is less) $25,000.00 Covered Risk 21: 1% of Policy Amount or $2,500.00 (whichever is less) $5,000.00 ALTA RESIDENTIAL TITLE INSURANCE POLICY (6-1-87) EXCLUSIONS In addition to the Exceptions in Schedule B, you are not insured against loss, costs, attorneys' fees, and expenses resulting from: 1. Governmental police power, and the existence or violation of any law or government regulation. This includes building and zoning ordinances and also laws and regulations concerning: (a) and use (b) improvements on the land (c) and division (d) environmental protection This exclusion does not apply to violations or the enforcement of these matters which appear in the public records at Policy Date. This exclusion does not limit the zoning coverage described in Items 12 and 13 of Covered Title Risks. 2. The right to take the land by condemning it, unless: (a) a notice of exercising the right appears in the public records on the Policy Date (b) the taking happened prior to the Policy Date and is binding on you if you bought the land without knowing of the taking 3. Title Risks: Order Number: NCS-1203111-ONT1 Page Number: 19 First American Title Insurance Company (a) that are created, allowed, or agreed to by you (b) that are known to you, but not to us, on the Policy Date -- unless they appeared in the public records (c) that result in no loss to you (d) that first affect your title after the Policy Date -- this does not limit the labor and material lien coverage in Item 8 of Covered Title Risks 4. Failure to pay value for your title. 5. Lack of a right: (a) to any land outside the area specifically described and referred to in Item 3 of Schedule A OR (b) in streets, alleys, or waterways that touch your land This exclusion does not limit the access coverage in Item 5 of Covered Title Risks. 2006 ALTA LOAN POLICY (06-17-06) EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys' fees, or expenses that arise by reason of: 1. a. Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating to i. the occupancy, use, or enjoyment of the Land; ii. the character, dimensions, or location of any improvement erected on the Land; iii. the subdivision of land; or iv. environmental protection; or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage provided under Covered Risk 5. b. Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 6. 2. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8. 3. Defects, liens, encumbrances, adverse claims, or other matters a. created, suffered, assumed, or agreed to by the Insured Claimant; b. not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy; c. resulting in no loss or damage to the Insured Claimant; d. attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 11, 13, or 14); or e. resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Insured Mortgage. 4. Unenforceability of the lien of the Insured Mortgage because of the inability or failure of an Insured to comply with applicable doing-business laws of the state where the Land is situated. 5. Invalidity or unenforceability in whole or in part of the lien of the Insured Mortgage that arises out of the transaction evidenced by the Insured Mortgage and is based upon usury or any consumer credit protection or truth-in-lending law. 6. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws, that the transaction creating the lien of the Insured Mortgage, is a. a fraudulent conveyance or fraudulent transfer, or b. a preferential transfer for any reason not stated in Covered Risk 13(b) of this policy. 7. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching between Date of Policy and the date of recording of the Insured Mortgage in the Public Records. This Exclusion does not modify or limit the coverage provided under Covered Risk 11(b). The above policy form may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above Exclusions from Coverage, the Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage: EXCEPTIONS FROM COVERAGE This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses) that arise by reason of: 1. (a) Taxes or assessments that are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the Public Records; (b) proceedings by a public agency that may result in taxes or assessments, or notices of such proceedings, whether or not shown by the records of such agency or by the Public Records. 2. Any facts, rights, interests, or claims that are not shown by the Public Records but that could be ascertained by an inspection of the Land or that may be asserted by persons in possession of the Land. 3. Easements, liens or encumbrances, or claims thereof, not shown by the Public Records. 4. Any encroachment, encumbrance, violation, variation, or adverse circumstance affecting the Title that would be disclosed by an Order Number: NCS-1203111-ONT1 Page Number: 20 First American Title Insurance Company accurate and complete land survey of the Land and not shown by the Public Records. 5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water, whether or not the matters excepted under (a), (b), or (c) are shown by the Public Records. 6. Any lien or right to a lien for services, labor or material not shown by the public records. 2006 ALTA OWNER'S POLICY (06-17-06) EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys' fees, or expenses that arise by reason of: 1. a. Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating to i. the occupancy, use, or enjoyment of the Land; ii. the character, dimensions, or location of any improvement erected on the Land; iii. the subdivision of land; or iv. environmental protection; or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage provided under Covered Risk 5. b.Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 6. 2. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8. 3. Defects, liens, encumbrances, adverse claims, or other matters a. created, suffered, assumed, or agreed to by the Insured Claimant; b. not Known to the Company, not recorded in the Public Records at Date of Policy, but known to the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy; c. resulting in no loss or damage to the Insured Claimant; d. attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 9 and 10); or e. resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Title. 4. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors’ rights laws, that the transaction vesting the Title as shown in Schedule A, is a. a fraudulent conveyance or fraudulent transfer; or b. a preferential transfer for any reason not stated in Covered Risk 9 of this policy. 5. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching between Date of Policy and the date of recording of the deed or other instrument of transfer in the Public Records that vests Title as shown in Schedule A. The above policy form may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above Exclusions from Coverage, the Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage: EXCEPTIONS FROM COVERAGE This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses) that arise by reason of: 1. (a) Taxes or assessments that are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the Public Records; (b) proceedings by a public agency that may result in taxes or assessments, or notices of such proceedings, whether or not shown by the records of such agency or by the Public Records. 2. Any facts, rights, interests, or claims that are not shown by the Public Records but that could be ascertained by an inspection of the Land or that may be asserted by persons in possession of the Land. 3. Easements, liens or encumbrances, or claims thereof, not shown by the Public Records. 4. Any encroachment, encumbrance, violation, variation, or adverse circumstance affecting the Title that would be disclosed by an accurate and complete land survey of the Land and not shown by the Public Records. 5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water, whether or not the matters excepted under (a), (b), or (c) are shown by the Public Records. 6. Any lien or right to a lien for services, labor or material not shown by the public records. ALTA EXPANDED COVERAGE RESIDENTIAL LOAN POLICY (07-26-10) EXCLUSIONS FROM COVERAGE Order Number: NCS-1203111-ONT1 Page Number: 21 First American Title Insurance Company The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys' fees, or expenses that arise by reason of: 1. a. Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating to i. the occupancy, use, or enjoyment of the Land; ii. the character, dimensions, or location of any improvement erected on the Land; iii. the subdivision of land; or iv. environmental protection; or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage provided under Covered Risk 5, 6, 13(c), 13(d), 14 or 16. b. Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 5, 6, 13(c), 13(d), 14 or 16. 2. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8. 3. Defects, liens, encumbrances, adverse claims, or other matters a. created, suffered, assumed, or agreed to by the Insured Claimant; b. not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy; c. resulting in no loss or damage to the Insured Claimant; d. attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 11, 16, 17, 18, 19, 20, 21, 22, 23, 24, 27 or 28); or e. resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Insured Mortgage. 4. Unenforceability of the lien of the Insured Mortgage because of the inability or failure of an Insured to comply with applicable doing-business laws of the state where the Land is situated. 5. Invalidity or unenforceability in whole or in part of the lien of the Insured Mortgage that arises out of the transaction evidenced by the Insured Mortgage and is based upon usury or any consumer credit protection or truth-in-lending law. This Exclusion does not modify or limit the coverage provided in Covered Risk 26. 6. Any claim of invalidity, unenforceability or lack of priority of the lien of the Insured Mortgage as to Advances or modifications made after the Insured has Knowledge that the vestee shown in Schedule A is no longer the owner of the estate or interest covered by this policy. This Exclusion does not modify or limit the coverage provided in Covered Risk 11. 7. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching subsequent to Date of Policy. This Exclusion does not modify or limit the coverage provided in Covered Risk 11(b) or 25. 8. The failure of the residential structure, or any portion of it, to have been constructed before, on or after Date of Policy in accordance with applicable building codes. This Exclusion does not modify or limit the coverage provided in Covered Risk 5 or 6. 9. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws, that the transaction creating the lien of the Insured Mortgage, is a. a fraudulent conveyance or fraudulent transfer, or b. a preferential transfer for any reason not stated in Covered Risk 27(b) of this policy.