Loading...
HomeMy WebLinkAboutCUP 2024-0008; PICKLEBALL CUP; Conditional Use Permit (CUP)Docusign Envelope 10: 05O23EA0-167~3E7-r -"'B-EEE0F8O9E314 Develooment Services 'li"' ~ City of Carlsbad AUTHORIZATION, CONSENT, AND DISCLOSURE STATEMEN TYO Planning Division CARLSB '65 FaradavAvenue 442-339-2600 P-1(A) SEP 1 g 2024 www.earlsbadca.gov -.!.. II II II I e ~ =, APPLICATION AND ACKNOWLEDGEMENT INFORMATION This submittal form (Port A through Port F) must be completed as port of your application with the City of Carlsbad. Your project cannot be reviewed until this Information is completed. PART A. Ow ner Authorization and Consent NOTE: This Consent and Disclosure Form must list the name of the prlndpol owners (1096 or greater} and attach a copy of the current corporate articles, partnership agreement, or trust document, as oppllcab/e. Provide nome(s) of the person(s} authorized to sign on behalf of the organization. (A separate page may be attached I/ 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 penaltv of perjury that the undersigned is/are the record owner(s) of the property known as: As sessor's Map Book, Page and Parcel (APN/APNs): 21 3-261 -25·00 ---------------- ______________________________ ;and Street Address (If applicable): 6131 Innovation Way, Carlsbad San Diego , CA 92009 (Su jte 100) that I/we (full legal name of all record owners) consent to the flllng of the Land Use Review Application on our property for processing by the City of Carlsbad Planning Division. I/We dedare under penalty of perjury that I/we have reviewed this Affidavit and the Information Is true and correct. Rexford Industrial Realty , L.P., a Maryland limited partnership 1. Name: __________ Signature: ___________ _ 2. By: Rexfor1i~dustrial Realty, Inc. a Maryland corporation, Its General Partner Signature: P c/........one-- David Lanzer, General Counsel . . Phone Number: __________ Email: Dlanzer@rexfordmdustnal.com 310-966-1680 abusalacch1@ rexfordmdustria l.com Contact Address: 1620 i shire B levard 10th Floor Los An les CA 0025 Name: __________ Signature: ___________ _ Phone Number: __________ Email: _________ _ Contact Address: ____________________ _ NOTE: For additional names, please use a separate sheet of paper. Page 1 of6 P-1(A) Form Rev 412024 Docusign Envelope ID: O5O23EA0-167B"'43E7-!t -"'3--EEE0F8O9E31◄ 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 flied. 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 recordatlon of a Covenant and Agreement for Offslte 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 121 No If yes, attach adjacent owner authorization. PART B. Owner Declarations (to be signed by Property Owner) I/We hereby certify that I/we 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 unpennltted 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 proj ct approval and restrictions. 4. If this Land Use Review Application Is approved or conditionally approved, I/we hereby certify that I/we wlll 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 pursuant to the permit issued, all conditions of approval (if any) will be completed or secured In the manner as stated or required. Rexford Industria l Realty, LP., a Maryland limited partnership Property Owner Slgnature(s): By: Rex:f-OFc:t lnaustFial Realty Inc., a Maryland coFporation 1'~ ~ Its General Partner s 13 2024 1 2 56 PM PDT Name(s): ___ P'_~_----_ (!,---------------Date: ep ' : David Lanzer, General Counsel Page 2 of 6 P-1(A) Form Rev ◄12024 Docusign Envelope ID: D5D23EA0-1678-43E7-P~<18-EEEOF8D9E314 PART C. Project Team Information (complete all applicable fields) Applicant: □ Same as Owner '21 Different from Owner Name (if different from Owner): _P_a_u_l_D_a_n ___________________ _ Company or Firm: _H_WL __________________________ _ Phone Number: 760-929-2288 Email: pdan@hwl-pe.com Contact Address: 2888 Loker E, STE 217 City: Carlsbad State: CA Zip Code: 92010 Agent or Representative: 121 Same as Applicant D Different from Applicant ON/A Name (if different from Applicant): _____________________ _ Company or Firm: ___________________________ _ Phone Number: ___________ Email: _______________ _ Contact Address: __________ City: _____ State: __ Zip Code: ___ _ Other (specify Architect, Engineer, CEQA Consultant, etc.): ______________ _ Name: ______________________________ _ Company or Firm: ___________________________ _ Phone Number: ___________ Email: _______________ _ Contact Address: __________ City: _____ State: __ Zip Code: ___ _ NOTE: A Letter of Authorization (LOA} from the Property Owner empowering a person or persons to act on the behalf of the Property, Is required ff anyone other than the Property Owner sfgns the Land Use Review Application as the App/leant or Agent. The authorized person (App/leant or Agent) on the LOA must correspond with the name and signature, above. PART D. Single "Point of Contact" Designation A single "point of contact" is on 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 point of contact is to be the single Individual elected on the Land Use Review Appl/cation 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: 0 Applicant D Property Owner D Agent D Other _______ _ Page 3 of6 P-1(A) Form Rev -412024 Docusign Envelope ID: D5D23EA0-167B-43E7-!' 9-EEE0F8D9E314 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? D Yes 0 No If yes, indicate person(s): __________________ _ NOTE: Attach additional sheets if necessary. PART F. Applicant Declarations (to be signed by Applicant) I hereby certify that I have read the infonnation 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 flied 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. 5. 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 certify that the description of the development and all the plans and supporting documentation are accurate In all material respects as of the date when made. I understand that it is my responsibility to ensure that statements and representations are not misleading. Furthermore, I agree to promptly remove, correct, or add Information as needed to correct any misleading or materially Inaccurate Information. I understand that any misstatement or omission of the requested information or of any Information subsequently requested might be Page4 of6 P-1 (A) Form Rev 412024 Docusign Envelope ID: D5D23EA0-1678-43E7-"1-EEE0F8D9E314 grounds for rejecting the appllcation, deeming the application incomplete, denying the application, suspending or revoking a permit issued on the basis of these or subsequent representations, or for the seeking of such other and further relief as deemed appropriate by the City of Carlsbad. 7. 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. 8. 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. 9. I understand there are no assurances at any time, implicitly or otheiwlse, whether provided to me in writing or by oral communications regarding fina l staff recommendations to the decision- making body about this application or the determination of any decision-making body. 10. I understand that the overall design process consists of several steps, each with increasingly more detail. The planning phase is one of the first steps in the design process. A Land Use Review Application (or "planning application") consists only of a schematic design package. If the project is approved or conditionally approved, the schematic design phase is immediately followed by a design development phase (with construction drawings). Construction drawings, such grading and drainage plans, are much more comprehensive and provide additional detail, specificity, and instructions on how to build and implement the project. Review comments, statements, or approvals from the City of Carlsbad concerning a Land Use Review Application are based on the representations of the intent of design and construction. City comments and statements are believed to be accurate; however, such accuracy is not guaranteed when implementing the Intended design solution. I understand that the approval or conditional approval of a land Use Review Application does not replace the more thorough review of the construction drawings by the city or another agency during the design development phase; or services or recommendations provided by design professionals, such as architects, engineers, code profess ionals, etc. Furthermore, the approval or conditional approval of a Land Use Review Application does not relieve the Applicant of the obligation from complying with all applicable regulations, standards, policies, and guidelines applicable to the design development phase. Therefore, the ultimate design solutions required in construction drawings may differ from the project's initial schematic design. 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. Page S of 6 P-1(A) Fonn Rev 412024 1, Docuslgn Envelope ID: D5D23EA0-167B-43E7-" -1-EEE0F8D9E314 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. 11. Should any proponent of the project fall 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. 12. As part of this application, the Applicant hereby agrees to defend, Indemnify, and hold harmless the Oty 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. By signing below, I acknowledge that I have completely read, understand, and agree to the declarations above and accept all terms s~. -, Applicant Signature: __ ~--4.---~---------------------- Name: _]3_.__~--'---L_,,~..___..,__. __________ Date: ~ '71. • 2-L{ 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) Fonn Rev4/2024 I • Docusign Envelope iD: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 Rexford Industrial REXFORD INDUSTRIAL REALTY STANDARD INDUSTRIAL MULTI-TENANT LEASE-NET This Lease ("Lease"), dated September 11, 2024, is made by and between Rexford Industrial Realty, L.P ., a Maryland limited partnership ("Landlord") and the Tenant named below (collectively the "Parties," or individually a "Party"). 1. A. 8. C. D. E. F. G. H. I. J. K. L. M. N. BASIC LEASE PROVISIONS Tenant: Premises: Parking Spaces: Commencement Date: Lease Term: Security Deposit: Base Rent: Tenant's Share: Current estimate of Tenant's Share of estimated monthly Operating Expenses (estimate only and subject to adjustment based on actual costs and expenses according to the provisions of this Lease) Base Rent and other Monies Due Upon Execution by Cashier's Check (and delivery of Letter of Credit): Early Possession Date (if applicable): Permitted Use: Broker(s): Guarantor: Rally House Pickleball, LLC, a California limited liability company An approximately 32,441 rentable square foot portion of the building located at the street address of 6131 Innovation Way, Suite 100, located in the City of Carlsbad, County of San Diego, State of California, with zip code 92009, as shown on Exhibit "A" attached hereto ("Premises"). In addition to Tenant's rights to use and occupy the Premises as hereinafter specified, Tenant shall have non-exclusive rights to any Common Areas (as defined in Section 3.A. below) of the building containing the Premises ("Building") but shall not have any rights to the roof, or exterior walls of the Building or to any other buildings in the Project. The Premises, the Building, the Common Areas, the land upon which they are located, along with all other buildings and improvements thereon, are here in collectively referred to as the '1Project." Eighty -Seven (87) unreserved vehicle parking spaces. November 1 , 2024 Seventy-Five (75) full calendar months following the Commencement Date and ending on 't January 31, 2031 ("Expiration Date"). $550,000.00, which shall be held in the Form of a Letter of Credit, pursuant to the terms of Section 5 below. From To November 1, 2024 October 31, 2025 ." Nov.ember 01, 2025 October 31, 2026 November 01, 2026 October 31, 2027 November 01, 2027 October 31, 2028 November 01, 2028 October 31, 2029 November 01, 2029 January 31, 2031 *Subiect to Base Rent Credit as set forth In Section 4.D. below. 28.26% of the Project Base Rent $48,661.50* $50,607.96 $52,632.28 $54,737.57 $56,927.07 $59,204.15 $13,710.08 (which is comprised of: (i) Common Area maintenance costs, estimated to be $5,093.91 per month; (ii) Premises Insurance cost, estimated to be $1,301.82 per month; and (iii) Real Property Taxes, estimated to be $7,314.35 per month.) Base Rent (11/01/2024 -11/30/2024) $48,661.50 Security Deposit as a Letter of Credit $550,000.00 Estimated Operating Expenses $13,710.08 (11/01/2024 -11/30/2024) Total Amount Due on Lease Execution $612,371.58 None Pickleball club, and related retail shop, offering beer and/or wine, and other related legal uses incidental thereto, subject to Legal Requirements. Tenant's Permitted Use shall remain within the Premises at all times. Jones Lang LaSalle representing Landlord ("Landlord's Broker''). Cresa representing Tenant ("Tenant's Broker''). None CITY 6F CARLSBAD Page 1 of 23 JAN 3 0 2025 PLANNING Dl\/:SlO,\J fltf; INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 0. Exhibits: P. Addenda: Exhibit "fl!' -Site Plan Depicting the Premises and Project; Exhibit "B" -Rules and Regulations; Exhibit "C" -Tenant Contact Information Form; Exhibit "D" -Form of Letter of Credit Option To Extend; Move-In/Move-Out Checklist 2. Granting and Acceptance of Premises. A. Grant of Premises and Term. In consideration of the obligation ofTenant to pay Rent as herein provided and in consideration of the other terms. covenants, and conditions hereof, Landlord leases to Tenant, and Tenant takes from Landlord, the Premises, to have and to hold for the Lease Term, subject to the terms, covenants and conditions of this Lease. Base Rent set forth in this Lease is not subject to adjustment should the actual size of the Premises be determined to be different than the approximate size described in the Basic Lease provisions. In the event that the size of the Premises and/or the Project are modified during the Lease Term, Landlord may recalculate Tenant's Share to reflect such modification. B. Condition. Tenant shall accept the Premises in its condition as of the Commencement Date, AS-IS AND WITH ALL ITS FAULTS, subject to all applicable laws, ordinances, regulations, covenants and restrictions. Landlord has made no representation or warranty as to the suitability of the Premises for the conduct of Tenant's business, and Tenant waives any implied warranty that the Premises are suitable for Tenant's intended purposes. In no event shall Landlord have any obligation for any defects in the Premises or any limitation on its use. Tenant is advised to verify the actual size prior to executing this Lease. Tenant acknowledges that it has had the opportunity to inspect the suitability of the Premises for Tenant's intended use (including but not limited to the electrical, the heating, ventilating and air conditioning systems ("HVAC") and fire sprinkler systems, security, environmental aspects, and compliance with any building codes, applicable laws, covenants or restrictions of record, regulations, ordinances, and Environmental Requirements (defined below) ("Legal Requirements"), including the Americans with Disabilities Act), and to measure the Premises. NOTE: Tenant is responsible for determining whether or not the Legal Requirements, and, including, without limitation, the zoning, are appropriate for Tenant's intended use, and acknowledges that past uses of the Premises may no longer be allowed. Tenant represents and warrants that it has obtained (or will obtain prior to taking possession of the Premises) all required occupancy permits from the applicable municipality and other agencies having jurisdiction over the Premises, if necessary. However, Tenant shall not apply for any change of use from what is permitted under the current Certificate of Occupancy or engage in any activities that would require an application for a change of use to be submitted without the express prior written approval of Landlord, in Landlord's sole discretion, at all times during Tenant's occupancy of the Premises. The taking of possession of the Premises shall be conclusive evidence that Tenant accepts the Premises and that the Premises were in good condition at the time possession was taken except for items that are Landlord's responsibility under Section 7 .B. and any punchlist items agreed to in writing by Landlord and Tenant. No later than 1 O days after written demand is made therefor by Landlord of Tenant, Tenant shall execute and deliver to Landlord a Tenant Contact Information Sheet in the form of Exhibit "C", each as attached to and hereby made a part of this Lease. Landlord shall deliver the Premises contained within the Building to Tenant broom clean and free of debris on the Commencement Date or any Early Possession Date, whichever first occurs. Except as otherwise disclosed to Tenant in writing and so long as the required service contracts described in Section 7.A(2) below are obtained by Tenant and in effect within 30 days following the Commencement Date, Landlord warrants (i) the HVAC serving the office portion of the Premises only, for a period of 6 months following the Commencement Date, and (ii) the existing electrical, plumbing, fire sprinkler, lighting, loading doors, sump pumps, if any, and all other such Building systems serving the Premises for a period of 6 months; provided, however, that such warranty shall not be effective for any maintenance, repairs or replacements necessitated due to the misuse of, or damage caused by, Tenant, its employees, contractors, agents, subtenants, or invitees. Landlord does not warranty any existing HVAC or cooling systems at the Premises, Building or Project other than what is intended to exclusively serve the applicable office portion of the Premises. !!Tenant does not give Landlord the required notice within the appropriate warranty period, correction of any such non-compliance, malfunction or failure shall be the obligation of Tenant at Tenant's sole cost and expense. No person acting on behalf of Landlord is authorized to make, and Tenant acknowledges and agrees that Landlord has not made and specifically negates and disclaims, any representations, warranties, promises, covenants, agreements or guaranties of any kind or cl;laracter whatsoever, whether express or implied, oral or written, past, present or future, of, as to, concerning or with respect to the Premises, except as e,cpressly set forth herein. C. Compliance. Except as provided in Section 7.8. below, in no event shall Landlord have any obligation for any defects in the Premises or any limitation on its use. If the Legal Requirements are hereafter changed so as to require during the term of this Lease the co~truction of an addition to or an alteration of the Premises and/or Building, the remediation of any Hazardous Material, or other physical modification 'of the Premises and/or Building ("Capital Expenditure"), Landlord and Tenant shall allocate the cost of such work as follows: ( 1) Subject to subsection 3 below, if such Capital Expenditures are required as a result of the specific and unique use of the Premises by Tenant as compared with uses by tenants in general, Tenant shall be fully responsible for the cost thereof. (2) If such Capital Expenditure is not the result of the specific and unique use of the Premises by Tenant (such as, governmentally mandated seismic modifications), then Landlord shall pay for such Capital Expenditure and Tenant shall only be obligated to pay, each month during the remainder of the term of this Lease (including any extensions or renewals thereof), on the date on which the Base Rent is due, an amount equal to 11144th of the portion of such costs reasonably attributable to the Premises. Tenant shall pay interest of ten percent (10%) per annum on the unamortized balance but may prepay its obligation at any time. If, however, such Capital Expenditure is required during the last 2 years of this Lease or if Landlord reasonably determines that it is not economically feasible or is commercially impracticable to pay its share thereof, Landlord shall have the option to terminate this Lease upon 90 days prior written notice to Tenant unless Tenant notifies Landlord, in writing, within 10 days after receipt of Landlord's termination notice that Tenant will pay for the entire cost of such Capital Expenditure in immediately available funds. (3) Notwithstanding the above, the provisions concerning Capital Expenditures are intended to apply only to non-voluntary, unexpected, and new Legal Requirements. If the Capital Expenditures are instead triggered by Tenant as a result of an actual or proposed change in use, change in intensity of use, or modification to the Premises then Tenant shall either: (i) immediately cease such changed use or intensity of use and/or take such other steps as may be necessary to eliminate the requirement for such Capital Expenditure, or (ii) following Landlord's written demand, complete such Capital Expenditure at its own expense. Tenant shall not have any right to terminate this Lease in accordance with this Section. D. Tenant as Prior Owner/Occupant. Intentionally omitted. E. Early Possession. Any provision herein granting Tenant Early Possession of the Premises is subject to and conditioned upon (i) the Premises being available for such possession prior to the Commencement Date, (ii) upon full payment of monies due by cashier's check, and (iii) Landlord's receipt of certificates of insurance as required in this Lease. Any grant of Early Possession only conveys a non-exclusive right to occupy the Premises subject to the terms of the Lease. During such Early Possession, Tenant shall be bound by its obligations under the Lease but shall not be obligated to pay the Monthly Base Rent or Operating Expenses payable by Tenant to Landlord as set forth in the Lease. F. Delay In Possession. Landlord agrees to use commercially reasonable efforts to deliver possession of the Premises to Tenant by the Commencement Date. If, despite said efforts, Landlord is unable to deliver possession by such dale, Landlord shall not be subject to any liability therefor, nor shall such failure affect the validity of this Lease or change the Expiration Date. Tenant shall not, however, be obligated to pay Rent until Landlord delivers possession of the Premises and any period of rent abatement that Tenant would otherwise have enjoyed shall run from the date of delivery of possession and continue for a period equal to what Tenant would otherwise have enjoyed under the terms hereof, but minus any days of delay caused by the acts or omissions of Tenant. G. Tenant Compliance. Landlord shall not be required to tender possession of the Premises to Tenant until Tenant complies with its obligation to provide evidence of insurance (Section 8.8.). Pending delivery of such evidence, Tenant shall be required to perform all of its obligations under this Lease from and after the Commencement Date, including the payment of Rent, notwithstanding Landlord's election to withhold possession pending receipt of such evidence of insurance. Further, if Tenant is required to perform any other conditions prior to or concurrent with the Commencement Date, the Commencement Date shall occur but Landlord may elect to withhold possession until such conditions are satisfied. Tenant shall be required to obtain all necessary permits and licenses for Tenant's Permitted Use as a pickleball club showing that Tenant has complied with all applicable Legal Requirements necessary for its Permitted Use as a pickleball club ("Permits") within 6 months following the Commencement Date ("Termination Option Period"). Either Party shall have a one-lime option (the "Termination Option") to terminate this Lease with respect to the entire Premises (but not only a portion thereof) if Tenant is unable to secure the Permits for a pickleball club required under this Section by April 30, 2025, by delivering written notice to either Party (the "Termination Notice") no later than May 1, 2025 ("Final Notice Date"). In order for Tenant to exercise its Termination Option it must: (i) provide proof to Landlord that it used commercially reasonable efforts to obtain such Permits from all applicable governmental authorities; (ii) provide proof of denial of the necessary permits; and (iii) provide its Termination Notice on or before the Final Notice Date. Subject to the Page 2of23 -ES" ~ INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 terms of this paragraph and providing no Event of Default exists, the Lease shall terminate three (3) days following receipt of the Termination Notice by either Party (the "Termination Date"). For sake of clarification, the Termination Option only applies to Tenant's inability to secure the Permits for its pickleball club during the Termination Option Period and not permits or approvals for its other Permitted Uses such as offering beer or wine etc. At Tenant's request, Landlord will reasonably cooperate with Tenant as may be required for Tenant to obtain, maintain, or modify any approvals or permits (including cooperation in Tenant's filing of applications) or to perform its obligations under this Lease, provided such cooperation efforts do not expose Landlord to additional costs, liability or increased obligations ("Cooperation Efforts"). Landlord, may, at no cost or expenses to Landlord, reasonably cooperate with Tenant in obtaining approvals to any CUP to the extent the .same requires cooperation of Landlord only if: 1) the same does not result in any additional obligation or liability to Landlord; 2) Tenant, in addition to Section 8.D below, agree to indemnify, protect, and hold harmless the Premises and Landlord Parties ( defined in Section 8.D below) in writing, in a form acceptable to Landlord, from any claims in connection with the any CUP, approvals, licenses, or other documents required by the state, city, county, ABC, health department, or other agency; and 3) Tenant agree in writing that at the earlier expiration or termination of the Lease, each agree to (i) execute and deliver a document to Landlord, in a form reasonably acceptable to Landlord, in which Tenant acknowledges the abandonment and discontinuing of any CUP or other related documents, signed by an authorized signatory of Tenant, (ii) shall cooperate with Landlord in having any CUP or other related document to be discontinued ~r terminated by the city or other applicable agency, and (iii) cause a release of any such CUP or other recorded document to be executed and recorded in the Recorder's Office so that it will be removed from title, at Tenant's sole cost and expenses. Tenant shall provide to Landlord copies of any CUP or other permits or licenses obtained within five (5) days after receiving such CUP or other permits or licenses. In the event either Party timely and properly exercises the Termination Option in accordance with all the terms of this Section, the Lease shall terminate effective as of the Termination Date, Base Rent and all other monetary obligations under the Lease shall be paid through and apportioned as of the Termination Date, and neither Landlord nor Tenant shall have any rights, liabilities or obligations accruing under the Lease after the Termination Date, except for such rights and liabilities which, by the terms of the Lease are obligations of the Tenant or Landlord which expressly survive the expiration of the Lease. Upon the Termination Date, Tenant shall surrender the Premises in broom-clean condition with NO WEAR AND TEAR and otherwise as required by the Lease and shall deliver all keys, parking passes, access cards and other such items to the Premises to Landlord. Prior to the expiration of the Termination Option Period, Landlord retains the right to market the Premises, and Tenant shall cooperate with Landlord to provide access for tours with prospective tenants. 3. Common Areas. A. Common Areas. "Common Areas" shall mean all areas of the Project for the common use or benefit of the tenants of the Project and their employees, agents, and other invitees, including, without limitation: all parking areas, pedestrian walkways, driveways and access roads, and entrances and exits. B. Common Areas -Tenant's Rights. Landlord grants to Tenant, for the benefit of Tenant and its employees, suppliers, shippers, contractors, customers and invitees, during the term of this Lease, the non-exclusive right to use, in common with others entitled to such use, the Common Areas as they exist from time to time, subject to any rights, powers, and privileges reserved by Landlord under the terms hereof or under the terms of any Rules and Regulations or restrictions governing the use of the Project. Under no circumstances shall the right herein granted to use the Common Areas be deemed to include the right to store any property (including, without limitation, pallets), temporarily or permanently, in the Common Areas, nor shall Tenant conduct any business from the Common Areas at any time, including without limitation, loading or unloading materials or supplies within or from the Common Areas (unless Landlord has designated loading areas within such Common Areas). Any such storage shall be permitted only by the prior written consent of Landlord, which consent may be revoked at any time. In the event that any unauthorized storage shall occur, then Landlord shall have the right, without notice, in addition to such other rights and remedies that it may have, to remove the property and charge the cost to Tenant, which cost shall be immediately payable upon demand by Landlord. C. Common Areas -Rules and Regulations. Tenant shall, at all times during the Lease Term and any extension thereof, comply with all reasonable rules and regulations at any time or from time to time established by Landlord covering use of the Premises and the Project. The current Project Rules and Regulations are attached hereto as Exhibit "B." In the event of any conflict between said Rules and Regulations and other provisions of this Lease, the other terms and provisions of this Lease shall control. Landlord shall not have any liability or obligation for the breach of any Rules or Regulations by other tenants in the Project. Tenant shall use its best efforts to cause its employees, suppliers, shippers, customers, contractors and invitees to so abide and conform. Tenant will make use of all of the Common Areas (including, without limitation, all loading and unloading areas) in a cooperative, harmonious fashion, and shall not block or unreasonably interfere with access by others in the Project to their premises or loading areas. D. Common Areas -Changes. Landlord shall have the right, in the Landlord's sole discretion, from time to time, to make changes to the Project, including, without limitation, granting easements, making public dedications, designating and modifying Common Areas and creating restrictions on or about the Project; changing the location, size, shape and number of driveways, entrances, parking spaces and the number of assigned parking spaces proportionately if reduced or reallocated at the Project, parking areas, loading and unloading areas, ingress, egress, direction of traffic, landscaped areas, walkways and utility raceways; temporarily closing any of the Common Areas for maintenance purposes so long as reasonable access to the Premises remains available; designating other land outside the boundaries of the Project to be a part of the Common Areas; adding additional buildings and improvements to the Common Areas; using the Common Areas while making additional improvements, repairs or alterations to the Project; and performing such other acts and making such other changes in, to or with respect to the Common Areas and Project as Landlord may deem to be appropriate. E. Vehicle Parking. Tenant shall be entitled to use only the number of Parking Spaces specified in the Basic Lease Provisions on those portions of the Common Areas designated from time to time by Landlord for parking. Said parking spaces shall be used for parking by vehicles no larger than full-size passenger automobiles or pick-up trucks, herein called "Permitted Size Vehicles." Landlord may regulate the loading and unloading of vehicles by adopting Rules and Regulations as provided in this Lease. No vehicles other than Permitted Size Vehicles may be parked in the Common Area without the prior written permission of Landlord. The parking areas of the property shall be used for parking of Permitted Size Vehicles and, subject to Landlord's rules and regulations, the loading and unloading of trucks only. The use by Tenant of those areas for storage material (including pallets) is expressly prohibited. If parking or storage of containers or trailers is permissible at the Project under Legal Requirements, Tenant must utilize outrigger jack pads, cribbing or similar equipment designed to spread the point loads over broader areas. Tenant shall be solely responsible for the full cost of repairing any damage to the Project caused by parking or storage of such containers/trailers. All material shall be stored within the Building. Landlord may allocate and assign parking spaces among Tenant and other tenants in the Project if Landlord reasonably determines that such parking facilities are becoming crowded. Landlord shall not be responsible for enforcing Tenant's parking rights against any third parties. In addition: (1) Tenant shall not permit or allow any vehicles that belong to or are controlled by Tenant or Tenant's employees, suppliers, shippers, customers, contractors or invitees to be loaded, unloaded, or parked in areas other than those designated by Landlord for such activities. (2) Tenant shall not service or store any vehicles in the Common Areas. (3) Tenant shall not park any vehicles overnight in the Parking Spaces, the Common Areas, or anywhere else in the Project. (4) lfTenant permits or allows any of the prohibited activities described in this Section, then Landlord shall have the right, without notice, in addition to such other rights and remedies that it may have, to remove or tow away the vehicle involved and charge the cost to Tenant, which cost shall be immediately payable upon demand by Landlord. 4. Rent. A. Rent Defined. Any payments or charges due from Tenant (other than the Security Deposit) to Landlord hereunder shall be considered rent for all purposes of this Lease ("Rent"). B. Operating Expenses. During each month of the Lease Term, on the same date that Base Rent is due, Tenant shall pay Landlord an amount equal to 1/12 of the annual cost, as estimated by Landlord from time to time, of Tenant's Share of all Operating Expenses for the Project. Payments thereof for any fractional calendar month shall be prorated. The term "Operating Expenses" means all costs and expenses incurred by Landlord with respect to the ownership, maintenance, and operation of the Project including, but not limited to, costs of any of the following Wat the Project: (1) Costs relating to the operation, replacement, repair, maintenance and energy efficiency, in neat, clean, good order and condition, of any of following if incurred by Landlord: Page 3of 23 -es-rv:;g- lNITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 (a) The Common Areas and Common Area improvements, including parking areas, loading and unloading areas, trash areas, roadways, parkways, walkways, driveways, landscaped areas, bumpers, irrigation systems, Common Area lighting facilities, fences and gates, elevators, roofs, exterior walls of the buildings, building systems and roof drainage systems. (b) Exterior signs and any tenant directories. (c) Any fire sprinkler systems. (d) All other areas and improvements that are within the exterior boundaries of the Project but outside of the Premises and/or any other space occupied by a tenant. (2) The cost of water, gas, electricity and telephone to service the Common Areas and any utilities not separately metered. (3) The cost of pest control services, property management, security services, owner's association dues and fees, the cost to repaint the exterior of any structures and the cost of any environmental inspections. (4) The cost of trash disposal for any trash receptacles located in the Common Areas and/or available for the use of tenants (if Landlord operates the Project in a manner such that tenants do not direcfly contract for trash collection services). (5) Reserves set aside for maintenance and repair of Common Areas and Common Area equipment. (6) Any deductible portion of an insured loss concerning the Building or the Common Areas. (7) Auditors', accountants' and attorneys' fees and costs related to the operation, maintenance, repair and replacement of the Project. (8) The cost of any capital improvement (as opposed to maintenance, repair or replacements) to the Building or the Project not covered under the provisions of Section 2.C; provided, however, that Landlord shall allocate the cost of any such capital improvement over a 12 year period and Tenant shall not be required to pay more than Tenant's Share of 11144th of the cost of such capital improvement in any given month. (9) Operating Expense. (10) (11) The cost of any other services to be provided by Landlord that are stated elsewhere in this Lease to be a Common Area Real Property Taxes (as defined in this Section 10.A. below). The cost of the premiums for the insurance policies carried by Landlord pursuant to Section 8 below. Any Operating Expenses and Real Property Taxes that are specifically attributable to the Premises, the Building or to any other building in the Project or to the operation, repair and maintenance thereof, shall be allocated entirely to such Premises, Building, or other building. Notwithstanding any contrary provision contained in this Lease, Landlord shall have the right, from time to time; to equitably allocate some or all of the Operating Expenses for the Project into separate cost pools as described below (the "Operating Expense Pools"), in Landlord's sole discretion. If any line item(s) ofTenant's Share of Operating Expenses are incurred or assessed with respect to a portion of the Project that includes the Premises but does not include the entire Project, the denominator for the purpose of calculating Tenant's Share of the applicable line item(s) of Tenant's Share of Operating Expenses will be adjusted to exclude the square footage of the portions of the Project to which such line item(s) do not relate, thereby creating separate Operating Expense Pools and different Tenant's Shares with respect to each such Operating Expense Pool. Each Operating Expense Pool denominator and, consequently, Tenant's Share, shall be subject to modification each year of the Lease Term, as reasonably determined by Landlord. Once a year or within 60 days after written request (but not more than once each year upon written request), Landlord shall deliver to Tenant a reasonably detailed statement showing Tenant's Share of the actual Operating Expenses for the preceding year. If Tenant's payments during such year exceed Tenant's Share, Landlord shall credit the amount of such over-payment against Tenant's future payments of Operating Expenses. If Tenant's payments during such year were less than Tenant's Share, Tenant shall pay to Landlord the amount of the deficiency within 10 days after delivery by Landlord to Tenant of the statement. Operating Expenses shall not include any expenses paid by any tenant directly to third parties, or as to which Landlord is otherwise reimbursed by any third party, other tenant, or insurance proceeds. C. Payment. Tenant shall pay Base Rent in the amount set forth in the Basic Lease Provisions of this Lease. The Total Amount Due on Lease Execution, as shown in Section 1.K, shall be due and payable on the date hereof by cashier's check, and Tenant promises to pay to Landlord in advance, without demand, deduction·or set-off, monthly installments of Base Rent on or before the first day of each calendar month succeeding the Commencement Date. Payments of Base Rent and estimated Operating Expenses for any fractional calendar month shall be prorated based on the actual days of said month. All payments required to be made by Tenant to Landlord hereunder (or to such other party as Landlord may from time to time specify in writing) shall be made by check or by Electronic Fund Transfer ("EFT") of immediately available federal funds before 5:00 p.m., Pacific Time at such place, as Landlord may from time to time designate to Tenant in writing. The obligation of Tenant to pay Base Rent and other sums to Landlord and the obligations of Landlord under this Lease are independent obligations. Tenant shall have no right at any time to abate, reduce, or set-off any rent due hereunder except as may be expressly provided in this Lease. If Tenant is delinquent in any monthly installment of Base Rent or of estimated Operating Expenses for more than 5 days after the due date, Tenant shall pay to Landlord on demand a late charge equal to the greater of seven percent (7%) of such delinquent sum or $100. Tenant shall not be obligated to pay the late charge until Landlord has given Tenant 5 days written notice of the delinquent payment (which may be given at any time during the delinquency); provided, however, that such notice shall not be required more than twice in any 12- month period. The provision for such late charge shall be in addition to all of Landlord's other rights and remedies hereunder or at law and shall not be construed as a penalty. D. Base Rent Credit Notwithstanding anything herein to the contrary but subject to Tenant not being in default and all prior rental payments having been received by Landlord not later than the fifth (5th) of each month, the Base Rent (and only the Base Rent) for the calendar months of January 2025, February 2025, March 2025, May 2025, June 2025, and July 2025 shall be discounted by fifty percent (50%) per month (cumulatively, the "Base Rent Credit"). Tenant understands and agrees that the foregoing Base Rent Credit is conditioned upon Tenant's not being in breach under this Lease. Accordingly, upon the occurrence of any breach under this Lease, the foregoing Base Rent Credit shall immediately become null and void. 5. Security Deposit. A. Security Deposit Terms. The Security Deposit shall be held by Landlord as security for the performance of Tenant's obligations under this Lease. Should the Permitted Use be amended to accommodate a material change in the business of Tenant or to accommodate a sublessee or assignee, Landlord shall have the right to increase the Security Deposit to the extent necessary, in Landlord's reasonable judgment, to account for any increased wear and tear that the Premises may suffer as a result thereof. If a change in control of Tenant occurs during this Lease and following such change the financial condition of Tenant is, in Landlord's reasonable judgment, significantly reduced, Landlord shall have the right to increase the Security Deposit to the extent necessary, in Landlord's reasonable judgment, to cause the Security Deposit to be at a commercially reasonable level based on such change in financial condition. Tenant waives any limitations set forth in California Civil Code Section 1950.7 which may limit the use or application (including application against future rent damages) of any proceeds from the Letter of Credit or any other security deposit under the Lease in the event of a default under the Lease or a termination of the Lease. B. Letter of Credit. (1) The Security Deposit under the Lease shall be in the form of an unconditional, irrevocable letter of credit from a bank reasonably acceptable to Landlord and in substantially similar form as shown in Exhibit "D" attached hereto ("Letter of Credit''). The Letter of Credit shall be issued by a money-center bank (a bank which accepts deposits, maintains accounts, has a local Los Angeles office which will negotiate a letter of credit, and whose deposits are insured by the FDIC) reasonably acceptable to Landlord, with a short term Fitch Rating currency rating which is not less than "F2", and a long term Filch Rating currency rating which is not less than "BBB+" (an "Approved Bank"). The Letter of Credit shall either provide that it does not expire until sixty (60) days following the end of the Term or, if it is for less than the full Term of the Lease, shall be renewed by Tenant at least sixty (60) days prior to its expiration during the Term of the Lease and the final expiration date shall not occur until sixty (60) days after the expiration of the Term of the Lease. Tenant shall pay all expenses, points and/or fees incurred in obtaining, renewing, amending, transferring or drawing upon the Letter of Credit. Tenant and Landlord (a) acknowledge and agree that in no event or circumstance shall the Letter of Credit or any renewal thereof or substitute therefor or any proceeds thereof be deemed to be or treated as a "security deposit" under any law applicable to security deposits in the commercial context including, but not limited to, Section 1950.7 of the California Civil Code, as such Section now exists or as it may be hereafter amended or succeeded (the Page4 of23 tt,ve INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 "Security Deposit Laws"), (b) acknowledge and agree that the Letter of Credit (including any renewal thereof or substitute therefor or any proceeds thereof) is not intended to serve as a security deposit, and the Security Deposit Laws shall have no applicability or relevancy thereto, and (c) waive any and all rights, duties and obligations that any such party may now, or in the future will, have relating to or arising from the Security Deposit Laws. (2) Landlord shall have the immediate right to draw upon the Letter of Credit, in whole or in part and without prior notice to Tenant, at any time and from time to time: (i) upon the occurrence of any facts or circumstances which would constitute a default by Tenant under this Lease, regardless of whether Landlord has provided (and without Landlord having any obligation to provide) a notice of default to Tenant, (ii) for Tenant's repair obligations, including without limitation, the obligation to restore the Premises to the condition required under this Lease, (iii) if Tenant files a voluntary petition, an involuntary petition is filed against Tenant by an entity other than Tenant, under any chapter of the Federal Bankruptcy Code, or Tenant executes an assignment for the benefit of creditors, (iii) if Tenant fails to renew the Letter of Credit at least sixty (60) days before its expiration, or (iv) if Tenant fails to transfer the Letter of Credit to Landlord's successors or any lender holding a security instrument against the Property within ten (10) days following Landlord's written request to do so. No condition or term of this Lease shall be deemed to render the Letter of Credit conditional, thereby justifying the issuer of the Letter of Credit in failing to honor a drawing upon such Letter of Credit in a timely manner. The Letter of Credit and its proceeds shall constitute Landlord's sole and separate property (and not Tenant's property or, in the event of a bankruptcy filing by or against Tenant, property ofTenanl's bankruptcy estate) and Landlord may immediately upon any draw (and without notice to Tenant) apply or offset the proceeds of the Letter of Credit: (a) against any amounts payable by Tenant under this Lease that are not paid when due, after the expiration of any applicable notice and cure period; (b) against all losses and damages that Landlord has suffered or may reasonably estimate that it may suffer as a result of any default by Tenant under this Lease, including any damages arising under Section 1951.2 of the California Civil Code for rent due following termination of this Lease; (c) against any costs incurred by Landlord in connection with this Lease (including attorneys' fees); (d) against any other amount that Landlord may spend or become obligated to spend by reason of Tenant's default under this Lease but in no event in excess of amounts to which the Landlord would be entitled under the law and (e) against any amount for which Landlord could apply a security deposit in accordance with the Lease. Landlord may apply the proceeds of the Letter of Credit in any order Landlord shall elect, notwithstanding the numerical order of application contained in the immediately preceding sentence. The use, application or retention of the Letter of Credit, or any portion thereof, by Landlord shall not (x) prevent Landlord from exercising any other right or remedy provided by this Lease or by law, it being intended that Landlord shall not first be required to proceed against the Letter of Credit, nor (y) operate as a limitation on any recovery to which Landlord may otherwise be entitled. If any portion of the Letter of Credit is drawn upon, Tenant shall, within five (5) business days after written demand therefor, reinstate the Letter of Credit to the amount then required under this Lease, and Tenant's failure to do so shall be an immediate Event of Default under this Lease. Tenant waives any limitations set forth in California Civil Code Section 1950.7 which may limit the use or application (including application against future rent damages) of any proceeds from the Letter of Credit or any other security deposit under the Lease in the event of a default under the Lease or a termination of the Lease. Tenant acknowledges that Landlord has the right to transfer or mortgage its interest in the Property and in this Lease and Tenant agrees that in the event of any such transfer or mortgage, Landlord shall have the right to transfer or assign the Letter of Credit to the transferee or mortgagee, and in the event of such transfer, Tenant shall look solely to such transferee or mortgagee for the return of the Letter of Credit. The Letter of Credit shall not be mortgaged, assigned or encumbered in any manner whatsoever by Tenant without the prior written consent of Landlord, which may be withheld in Landlord's sole discretion. (3) Provided Tenant has performed all of its obligations under this Lease, Landlord agrees to return the Letter of Credit to Tenant within sixty (60) days following the expiration of the Term, including any extensions thereto, and pay the amount of any proceeds of the Letter of Credit received by Landlord and not applied as allowed above; provided, however, that if, prior to the expiration of the Term, including any extensions thereto, a voluntary petition is filed by Tenant, or an involuntary petition is filed against Tenant by any ofTenant's creditors other than Landlord, under the Federal Bankruptcy Code, or Tenant executes an assignment for the benefit of creditors, then Landlord shall not be obligated to return the Letter of Credit or any proceeds of the Letter of Credit until all statutes of limitations for any preference avoidance statutes applicable to such bankruptcy or assignment for the benefit of creditors have elapsed or the bankruptcy court or assignee, whichever is applicable, has executed a binding release releasing the Landlord of any and all liability for preferential transfers relating to payments made under this Lease, and Landlord may retain and offset against any remaining Letter of Credit proceeds the full amount Landlord is required to pay to any third party on account of preferential transfers relating to this Lease. (4) Provided that no Event of Default shall then exist or has existed at any time during the Lease Term or would exist but with the passage of time or the giving of notice or both, then the Letter of Credit shall decrease by $100,000.00 on November 1, 2028 and shall further decrease by $100,000.00 on November 1, 2029. The remaining balance of the Letter of Credit in the amount of $350,000.00 shall continue to be held in the manner set forth hereinabove. 6. Use; Hazardous Materials; Compliance. A. Use. Tenant shall use and occupy the Premises only for the Permitted Use (or a related legal use), and for no other purpose. Tenant shall not use or permit the use of the Premises in a manner that is unlawful, creates damage, waste or a nuisance, or that disturbs occupants of or causes damage to neighboring premises or properties. Landlord shall not unreasonably withhold or delay its consent to any written request for a modification of the Permitted Use, so long as the same will not impair the structural integrity of the Building or the mechanical or electrical systems therein, and/or is not significantly more burdensome to the Project. (1) Alcohol Sales. So long as Tenant complies with the terms and conditions of this Lease, Legal Requirements, and Tenant is not in default under the Lease, Tenant may serve beer (including malt beverages) and wine at the Premises. Tenant shall not be permitted to sell hard liquor at the Premises. For sake of clarification, the term "Legal Requirements" in Section 2.8 of the Lease includes any federal, state, city, county or Alcoholic Beverage Control ("ABC") rules codes, regulations, laws, permits, conditional use permits, conditions agreements, and licensing requirements relating to the service of alcoholic beverages. Tenant shall only be permitted to sell such beverages to its customers of the pickleball club, but not solely for the retail of alcohol to the public. Tenant is each responsible for determining whether or not Legal Requirements, and, including, without limitation, the zoning, are appropriate for Tenant's intended use. Tenant shall conduct its business and control its employees, agents, affiliates, members, guests, customers and invitees so as not to create any nuisance or unreasonably interfere with other tenants, invitees, or Landlord in its management of the Project. Tenant shall not conduct any business from the Common Areas of the Project any time. Tenant shall not be allowed to serve, sell or offer any liquor or alcoholic beverages in the Common Areas of the Project or permit its members, customers, guests, employees; suppliers or invitees to consume alcohol outside the Premises or in the Common Areas of the Project. Tenant shall use its best efforts to ensure that its members, customers, guests, employees, suppliers, contractors and invitees do not consume any liquor or alcohol beverages outside the Premises or in the Common Areas of the Project or otherwise use the Common Areas of the Project in connection with Tenant's business. Notwithstanding anything contained herein, Landlord reserves the right to adjust or eliminate Tenant's right to serve and/or sell alcoholic beverages at the Premises if: (i) the Tenant does not comply with Legal Requirements or obtain the required permits and approvals, (ii) there is an alcohol related casualty at the Project, (iii) Tenant fail to maintain the required insurance, (iv) Tenant serves, sells or allows alcohol to be consumed outside the Premises or in the common areas, (v) Tenant sells alcohol to members of the public or engages in retail sales of alcohol; or (vi) Landlord or any other tenants of the Project suffer material harm, damages or significant inconvenience due to Tenant's service of alcohol. (2) Exclusive Use. For the Term of the Lease, and any extensions thereof, Landlord shall not lease any space at the Project to any tenant that intends to offer membership, facilities, services, or retail products related to pickleball, racquetball, indoor tennis, or padel. B. Hazardous Materials. (1) Reportable Uses Require Consent. Except for (a) Hazardous Materials contained in products used by Tenant in de minimis quantities for ordinary cleaning and office purposes, (b) propane used in Tenant's forklifts in the normal course of its business, and (c) Hazardous Materials contained in products stored and/or distributed during Tenant's normal course of business in their original, sealed, and unopened containers, Tenant shall not permit or cause any party to bring any Hazardous Materials upon the Premises or transport, store, use, generate, manufacture or release any Hazardous Material in or about the Premises without Landlord's prior written consent. The term "Environmental Requirements" means all applicable present and future statutes, regulations, ordinances, rules, codes, permits, judgments, orders or other similar enactments of any governmental authority or agency regulating or relating to health, safety, or environmental conditions on, under, or about the Premises or the environment, including without limitation, the following: the Comprehensive Environmental Response, Compensation and Liability Act; the Resource Conservation and Recovery Act; and all state and local counterparts thereto, and any regulations or policies promulgated or issued thereunder. The term "Hazardous Materials" means and includes any substance, material, waste, pollutant, or contaminant listed or defined as hazardous or toxic, under any Environmental Requirements, asbestos and petroleum, including crude oil or any fraction thereof, natural gas liquids, liquefied natural gas, or synthetic gas usable for fuel (or mixtures of natural gas and such synthetic gas). As defined in Environmental Requirements, Tenant is and shall be deemed to be the "operator'' of Tenant's "facility" and the "owner'' of all Hazardous Materials brought on the Premises by Tenant, its agents, employees, contractors or invitees, and the wastes, Page Sof23 At,e INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 by-products, or residues generated, resulting, or produced therefrom. Under South Coast Air Quality Management District ("SCAQMD") Rule 2305, Tenant is and shall be deemed to be the "warehouse operator" of the Premises and shall be solely responsible for compliance with such rule and any and all fees assessed thereunder. No cure or grace period provided in this Lease shall apply to Tenant's obligations to comply with the terms and conditions of this Section. (2) Duty to Inform Landlord. If Tenant knows, or has reasonable cause to believe, that a Hazardous Material has come to be located in, on, under or about the Premises, other than as previously consented to by Landlord, Tenant shall immediately give written notice of such fact to Landlord, and provide Landlord with a copy of any report, notice, claim or other documentation which it has concerning the presence of such Hazardous Material. (3) Tenant Remediation. Tenant, at its sole cost and expense, shall operate its business in the Premises in strict compliance with all Environmental Requirements and shall investigate, mitigate and remediate in a manner satisfactory to Landlord any Hazardous Materials or per- and polyfluoroalkyl substances introduced or released on or from the Project by Tenant, its agents, employees, contractors, subtenants or invitees during the Lease Term. Tenant shall complete and certify to disclosure statements as requested by Landlord from time to time relating to Tenant's transportation, storage, use, generation, manufacture or release of Hazardous Materials on the Project. (4) Tenant Indemnification for Hazardous Materials and Limitation of Liability. Tenant shall indemnify, defend, and hold Landlord harmless from and against any and all losses (including, without limitation, diminution in value of the Premises or the Project and loss of rental income from the Project), claims, demands, actions, suits, damages (including, without limitation, punitive damages), expenses 0ncluding, without limitation, remediation, removal, repair, corrective action, or cleanup expenses), and costs (including, without limitation, actual attorneys' fees, consultant fees or expert fees and including, without limitation, removal or management of any asbestos or per-and polyfluoroalkyl substances brought into the property or disturbed in breach of the requirements of this Section, regardless of whether such removal or management is required by law) which are brought or recoverable against, or suffered or incurred by Landlord as a result of any release of Hazardous Materials for which Tenant is obligated to remediate as provided above or any other breach of the requirements under this Section by Tenant, its agents, employees, contractors, subtenants, assignees or invitees, regardless of whether Tenant had knowledge of such noncompliance. The obligations of Tenant under this Section shall survive any termination of this Lease. Notwithstanding anything to the contrary in this subsection, Tenant shall have no liability of any kind to Landlord as to Hazardous Materials on the Premises (i) caused by (a) Landlord or its agents, or (b) any other tenants in the Project or their agents, employees, contractors, subtenants, assignees or invitees; or (ii) present at the Premises prior to the date Tenant takes occupancy of the Premises, unless disturbed by Tenant in violation of this Lease. (5) Investigations and Remediation. Landlord shall have access to, and a right to perform inspections and tests of, the Premises to determine Tenant's compliance with Environmental Requirements, its obligations under this Section, or the environmental condition of the Premises. Access shall be granted to Landlord upon Landlord's prior notice to Tenant and at such times so as to minimize, so far as may be reasonable under the circumstances, any disturbance to Tenant's operations. Such inspections and tests shall be conducted at Landlord's expense, unless such inspections or tests reveal that Tenant has not complied with any Environmental Requirement, in which case Tenant shall reimburse Landlord for the reasonable cost of such inspection and tests. Landlord's receipt of or satisfaction with any environmental assessment in no way waives any rights that Landlord holds against Tenant. In addition, Tenant shall provide to Landlord copies of all material safety data sheets (MSDS) for Hazardous Materials used, handled, stored, or generated at the Premises prior to the Commencement Dale, with regular updates if and when necessary to reflect current use, handling, storage or generation. (6) Landlord Termination Option. If a condition involving the presence of, or a contamination by, a Hazardous Material at the Premises that requires remediation (a "Hazardous Material Condition") occurs or is discovered during the Lease Term and is not Tenant's responsibility under this Lease or the Legal Requirements (in which case Tenant shall make the investigation and remediation thereof required by this Lease and/or the Legal Requirements and this Lease shall continue in full force and effect, but subject to Landlord's rights under Section 6.8(4) and Section 9), and if Landlord elects to remediate such condition and the estimated cost therefor exceeds 12 limes the then monthly Base Rent or $100,000, whichever is less, Landlord may, at Landlord's sole discretion, give written notice to Tenant of Landlord's desire to terminate this Lease as of the date 60 days following the date of such notice. In the event Landlord elects to give a termination notice, Tenant may, within 10 days thereafter, give written notice to Landlord of Tenant's commitment to pay the amount by which the cost of the remediation of such Hazardous Material Condition exceeds an amount equal to 12 times the then monthly Base Rent or $100,000, whichever is less. Tenant shall provide Landlord with said funds or satisfactory assurance thereof within 30 days following such commitment. In such event, this Lease shall continue in full force and effect, and Landlord shall proceed to make such remediation as soon as reasonably possible after the required funds are available. If Tenant does not give such notice and provide the required funds or assurance thereof within the time provided, this Lease shall terminate as of the date specified in Landlord's notice of termination. C. Tenant's Compliance with Legal Requirements. Except as otherwise provided in this Lease, Tenant shall, at Tenant's sole expense and regardless of the cost therefor or the time remaining on the Lease Term, fully, diligently and in a timely manner, materially comply with all Legal Requirements, including without limitation all SCAQMD rules and more specifically SCAQMD Rule 2305, the requirements of any applicable fire insurance underwriter or rating bureau, and the recommendations of Landlord's engineers and/or consultants which relate in any manner to the Premises, without regard to whether said Legal Requirements are now in effect or become effective after the date of this Lease. Further, Tenant agrees to provide any documentation requested by Landlord necessary for Landlord's regulatory compliance with, any applicable laws, ordinances and/or statutes, existing as of the date hereof or those which may exist in the future, related to energy and emissions benchmarking, energy management, building environmental performance labeling and/or other related regulation. Tenant shall, within 10 days after receipt of Landlord's written request, provide Landlord with copies of all permits, licenses (including but not limited to a valid business license) and other documents, and other information evidencing Tenant's compliance with any Legal Requirements specified by Landlord, and shall immediately upon receipt, notify Landlord in writing (with copies of any documents involved) of any threatened or actual claim, notice, citation, warning, complaint or report pertaining to or involving the failure of Tenant or the Premises to comply with any Legal Requirements. Likewise, Tenant shall immediately give written notice to Landlord of: (i) any water damage to the Premises and any suspected seepage, pooling, dampness or other condition conducive to the production of mold; or (ii) any mustiness or other odors that might indicate the presence of mold in the Premises. D. Inspection; Compliance. Landlord and Landlord's "Lender" (as defined in Section 29) and consultants shall have the right to enter into the Premises at any lime, in the case of an emergency, and otherwise at reasonable limes after reasonable notice, for the purpose of inspecting the condition of the Premises and for verifying compliance by Tenant with this lease. The cost of any such inspections shall be paid by landlord, unless a violation of Legal Requirements or Environmental Requirements is found to exist or be imminent, or the inspection is requested or ordered by a governmental authority. In such case, Tenant shall upon request reimburse Landlord for the cost of such inspection, so long as such inspection is reasonably related to the violation or contamination. 7. Maintenance; Repairs; Trade Fixtures and Tenant-Made Alterations. A. Tenant's Obligations. (1) In General. Subject to the provisions of Sections 2.B. (Condition), 2.C. (Compliance), 6.C. (Tenant's Compliance with Legal Requirements), 7.B. (landlord's Obligations), 9 (Damage or Destruction), and 14 (Condemnation), Tenant shall, at Tenant's sole expense, keep the Premises and Tenant-Made Alterations in good order, condition and repair including, but not limited to, all equipment or facilities, such as plumbing, HVAC equipment, electrical, lighting facilities, boilers, pressure vessels, fixtures, interior walls, interior surfaces of exterior walls, ceilings, floors, windows, doors, plate glass, loading doors and skylights but excluding any items which are the responsibility of Landlord pursuant to Section 7.B .. Tenant, in keeping the Premises in good order, condition and repair, shall exercise and perform good maintenance practices, specifically including the procurement and maintenance of the service contracts below. Tenant's obligations shall include restorations, replacements or renewals when necessary to keep the Premises and all improvements thereon or a part thereof in good order, condition and state of repair. (2) Service Contracts. Tenant shall, at Tenant's sole expense, procure and maintain contracts, with copies to landlord, in customary form and substance for HVAC equipment, boiler and pressure vessels, clarifiers, janitorial and trash removal services, and with qualified and experienced contractors. However, Landlord reserves the right, upon notice to Tenant, to procure and maintain any or all of such service contracts, and Tenant shall reimburse landlord, upon demand, for the cost thereof, not to exceed reasonable market rate for such service(s). The contract for HVAC maintenance shall be performed by a licensed and qualified HVAC contractor, and a copy of the contract must be provided to Landlord upon occupancy of the Premises. The service contract must become effective within 60 days of occupancy, and service visits shall be performed on a quarterly basis. Page 6of23 rv._,e INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 (3) Failure to Perform. If Tenant fails to perform Tenant's obligations under this Section, Landlord may enter upon the Premises after 10 days' prior written notice to Tenant (except in the case of an emergency, in which case no notice shall be required), perform such obligations on Tenant's behalf, and put the Premises in good order, condition and repair. and Tenant shall promptly, upon providing written documentation of the expenses reasonably incurred, pay to Landlord a sum equal to 110% of the cost thereof. (4) Replacement. Subject to Tenant's indemnification of Landlord as set forth in Section 8 below, without relieving Tenant of liability resulting from Tenant's failure to exercise and perform good maintenance practices and so long as such repair or replacement _is not necessitated due to Tenant's negligence, willful misconduct or any Tenant-Made Alterations, if the HVAC cannot be repaired other than at a cost which is in excess of the greater of (i) $5,000.00 or (ii) 50% of the cost of replacing such HVAC, then such HVAC shall be replaced by Landlord, on a one time basis, during the initial Lease Term only, at Landlord's sole cost and expense. Landlord shall have the right to have its own contractor determine whether replacement is needed. Landlord shall not be responsible for any repairs or replacements that are necessitated due to Tenant's negligence, willful misconduct or any Tenant-Made Alterations. B. Landlord's Obligations. Subject to the provisions of Sections 2.A. (Condition), 2.C. (Compliance), 4.8. (Operating Expenses), 6 (Use), 7.A. (Tenant's Obligations), 9 (Damage or Destruction) and 14 (Condemnation), Landlord shall, subject to reimbursement pursuant to Section 4.8, keep in good order, condition and repair the foundations, structural elements of the exterior walls, structural condition of interior bearing walls, exterior roof including skylights. fire sprinkler system (excluding fire sprinkler systems, if any, installed by or on behalf ofTenant, for which Tenant shall be responsible), Common Area fire alarm and/or smoke detection systems, fire hydrants, parking lots, walkways, parkways, driveways, landscaping, fences, signs and utility systems serving the Common Areas and all parts thereof. Landlord shall not be obligated to paint the exterior or interior surfaces of exterior walls nor shall Landlord be obligated to maintain, repair or replace windows, doors or plate glass of the Premises. Tenant expressly waives the benefit of any statute now or hereafier in effect to the extent it is inconsistent with the terms of this Lease, including, without limitation, California Civil Code Sections 1941 and 1942, and any other statute providing a right to make repairs and deduct the cost thereof from the rent. C. Tenant-Made Alterations; Trade Fixtures. Any alterations, additions, or improvements made by or on behalf of Tenant to the Premises ("Tenant-Made Alterations"), which are interior, non-structural Tenant-Made Alterations shall be subject to Landlord's prior written consent, not to be unreasonably withheld, delayed or conditioned provided that such alteration does not materially affect the structure or the roof of the Building, modify the exterior of the Building, or modify the utility or mechanical systems of the Project. Tenant shall have the right to perform interior, non-structural Tenant-Made Alterations which cost less than $10,000 per Alteration without obtaining Landlord's prior written consent, by providing a written notice of such Tenant-Made Alterations to Landlord containing sufficient and complete information regarding such Tenant-Made Alterations, provided that such alteration does not materially affect the structure or the roof of the Building, modify the exterior of the Building, or modify the utility or mechanical systems of the Building, and provided further that it shall be the responsibility of Tenant to determine the applicability of Legal Requirements for any such Tenant- Made Alterations, including without limitation laws related to the presence of asbestos containing materials. Tenant shall not perform structural Tenant- Made Alterations without Landlord's prior written consent, which consent may be withheld in Landlord's sole and absolute discretion. Tenant shall give Landlord not less than 10 days' notice prior to the commencement of any work in, on or about the Premises. Tenant shall cause, at its expense, all Tenant- Made Alterations to comply with insurance requirements and with Legal Requirements and shall construct at its expense any alteration or modification required by Legal Requirements as a result of any Tenant-Made Alterations. All Tenant-Made Alterations shall be constructed in a good and workmanlike manner by contractors reasonably acceptable to Landlord and only good grades of materials shall be used. All plans and specifications for any Tenant- Made Alterations shall be submitted to Landlord for its approval. Landlord may monitor construction of the Tenant-Made Alterations. Tenant shall reimburse Landlord for its out-of-pocket costs in reviewing plans and specifications and in monitoring construction, not to exceed $3,000.00. Landlord's right to review plans and specifications and to monitor construction shall be solely for its own benefit, and Landlord shall have no duty to see that such plans and specifications or construction comply with applicable laws, codes, rules and regulations. Tenant shall provide Landlord with the identities and mailing addresses of all persons performing work or supplying materials, prior to beginning such construction, and Landlord may post on and about the Premises notices of non-responsibility pursuant to applicable Legal Requirements. Tenant shall furnish security or make other arrangements satisfactory to Landlord to assure payment for the completion of all work free and clear of liens and shall provide certificates of insurance for worker's compensation and other coverage in amounts and from an insurance company satisfactory to Landlord protecting Landlord against liability for personal injury or property damage during construction. Upon completion of any Tenant-Made Alterations, Tenant shall deliver to Landlord sworn statements setting forth the names of all contractors and subcontractors who did work on the Tenant-Made Alterations and final lien waivers from all such contractors and subcontractors. Upon surrender of the Premises, all Tenant-Made Alterations and any leasehold improvements constructed by Landlord or Tenant shall remain on the Premises as Landlord's proP,erty, except to the extent Landlord requires removal at Tenant's expense of any such items or Landlord and Tenant have otherwise agreed in writing in connection with Landlord's consent to any Tenant-Made Alterations. Tenant shall repair any damage caused by the removal of such Tenant-Made Alterations upon surrender of the Premises. Tenant, at its own.cost and expense and without Landlord's prior approval, may erect such shelves, racking, bins, machinery and trade fixtures (collectively "Trade Fixtures") in the ordinary course of its business provided that such items do not alter the basic character of the Premises, do not overload or damage the Premises, and may be removed without injury to the Premises, and the construction, erection, and installation thereof complies with all Legal Requirements and with Landlord's requirements set forth above. Tenant shall remove its Trade Fixtures and shall repair any damage caused by such removal upon surrender of the Premises. Notwithstanding anything contained herein to the contrary but subject to, Tenant not being in a monetary default and all prior rental payments having been received by Landlord not later than the fifth (5th) of each month, Landlord shall contribute up to a maximum amount of $50,000.00 (the "Tl Allowance"), towards certain initial Tenant-Made Alterations to the Premises consisting of installation of lighting for the Premises, installation of an HVAC system and fans, and painting the walls of the Premises, which such payment shall be made by Landlord to Tenant within 60 days following (i) completion of the initial Tenant-Made Alterations, (ii) Landlord's receipt of Tenant's invoice substantiating the costs related thereto, (iii) proof of payment by cancelled check or credit card statement etc., (iv) Landlord's receipt of final lien waivers from all contractors and subcontractors who did work on the initial Tenant-Made Alterations, and (v) Landlord's receipt of a copy of the final permit approved by the applicable governing authority to the extent required for such Tenant- Made Alterations. Landlord shall be under no obligation to pay for any Tenant-Made Alterations to the Premises in excess of the Tl Allowance. Further, such Tl Allowance shall only be available for Tenant's use through October 31, 2025, and Tenant hereby waives any and all rights to any unused portion of the Tl Allowance remaining as of November 1, 2025. For sake of clarity, the Tl Allowance is not to be used towards painting, building or constructing the pickleball courts. Notwithstanding the foregoing or anything contained herein to the contrary, Tenant shall not be permitted to begin any Tenant-Made Alterations within the Premises until Permits have been received, and Tenant's Termination Option Period expires or has been waived by the Parties. In addition, in the event Tenant is required by the City of Carlsbad to stripe any parking spaces in connection with its Permitted Use and the necessary Permits related thereto, Landlord conditionally pre-approves that Tenant may, at its sole cost and expense, stripe up to seven (7) parking spaces, the location of which is shown on the Site Plan attached hereto as Exhibit "A, subject to Landlord's review and approval of all plans and specifications which shall not be unreasonably withheld, conditioned or delayed) for such Tenant-Made Alterations and Tenant's compliance with all applicable Legal Requirements (such Tenant-Made Alterations, the "Conditionally Approved Tenant-Made Alterations"). Notwithstanding anything to the contrary, upon termination of the Lease Term or earlier termination of Tenant's right of possession, Tenant shall be required .to restore the parking lot/spaces back to its/their prior condition that existed before the construction of the Conditionally Approved Tenant-Made Alterations, unless otherwise agreed by Landlord in writing. (1) Liens; Bonds. Tenant has no express or implied authority to create or place any lien or encumbrance of any kind upon, or in any manner to bind the interest of Landlord or Tenant in, the Premises or to charge the rentals payable hereunder for any claim in favor of any person dealing with Tenant, including those who may furnish materials or perform labor for any construction or repairs. Tenant covenants and agrees that it will pay or cause to be paid all sums legally due and payable by it on account of any labor performed or materials furnished in connection with any work performed on the Premises and that it will save and hold Landlord harmless from all loss, cost or expense based on or arising out of asserted claims or liens against the leasehold estate or against the interest of Landlord in the Premises or under this Lease. Tenant shall give Landlord immediate written notice of the placing of any lien or encumbrance against the Premises and cause such lien or encumbrance to be discharged within 20 days of the filing or recording thereof; provided, however, Tenant may contest such liens or encumbrances as long as such contest prevents foreclosure of the lien or encumbrance and Tenant causes such lien or encumbrance to be bonded or insured over in a manner satisfactory to Landlord within such 20 day period. (2) Surrender; Restoration. Upon termination of the Lease Term or earlier termination of Tenant's right of possession, Tenant shall surrender the Premises to Landlord in the same condition as received (with all Tenant-Made Alterations (including, without limitation, any inilial Tenant-Made Alterations), improvements and Trade Fixtures removed except as otherwise expressly agreed in writing by Landlord) ordinary wear and tear, casualty loss and condemnation covered by Sections 9 and 14 excepted and otherwise in accordance with this Section. Without limiting the foregoing, Tenant shall remove any odor which may exist in the Premises resulting from Tenant's occupancy of the Premises upon the termination of the Lease Term Page 7of23 llt,e INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 or earlier termination of Tenant's right of possession. Any Trade Fixtures, Tenant-Made Alterations and property not so removed by Tenant as permitted or required herein shall be deemed abandoned and may be stored, removed, and disposed of by Landlord at Tenant's expense, and Tenant waives all claims against Landlord for any damages resulting from Landlord's retention and disposition of such property. All obligations of Tenant hereunder not fully performed as of the termination of the Lease Term shall survive the termination of the Lease Term, including without limitation, indemnity obligations, payment obligations with respect to Operating Expenses and all obligations concerning the condition and repair of the Premises. Without limiting Tenant's obligations under the Lease, Tenant acknowledges that it shall have the affirmative obligation to remove all racking and floor striping from the Premises by or before the expiration or earlier termination of the Lease Term. As guidance to the parties, removal of the aforementioned racking shall include, without limitation, removal of the bolts in concrete associated therewith, all of which cut flush at the surface and pushed into the concrete one inch or more below the slab. Tenant shall clean all resulting holes and shall fill the same with epoxy flush to the floor's surface. Tenant understands that the holes created for any anchor bolts placed by or on behalf of Tenant must be drilled one inch deeper than the length of the anchor bolts themselves to permit removal in the manner provided above. Furthermore, if Tenant places (or causes to be placed) any floor striping in the Premises, then following removal of any such floor striping (i) there shall be no residual staining or other indication that such striping existed and (ii) Tenant must re-seal the floor with a sealant reasonably acceptable to Landlord. If Tenant elects to stripe the floor of the Premises, then Tenant shall utilize a floor striping material which can be removed and which will not permeate into the flooring. The foregoing does not constitute Landlord's consent to Tenant's placement of any racking and/or floor striping in the Premises, which placement shall be governed by the provision of the Lease. Additionally, without limiting Tenant's obligations under the Lease, Tenant acknowledges that it shall have the affirmative obligation to cause all office, warehouse, emergency and exit lights to be fully operational with all bulbs and ballasts functioning; all truck doors, service doors, roll up doors and dock levelers serviced and placed in good operating order (including replacement of any dented truck door panels and adjustment of door tension to insure proper operation, with all door panels that have been replaced painted to match the building standard); dock seals/dock bumpers to be free of tears and broken backboards; all structural steel columns in the warehouse and office to be inspected for damage, with repairs of this nature pre-approved by Landlord prior to implementation; sheetrock (drywall) damage to be patched and fire-taped so that there are no holes in either office or warehouse; walls, carpet and vinyl tiles to be in a clean condition without any holes or chips in them (Landlord will accept normal wear on these items provided they appear to be in a maintained condition); any Tenant-installed equipment to be removed from the roof and roof penetrations properly repaired by licensed roofing contractor approved by Landlord; all exterior signs to be removed and holes patched and paint touched-up as necessary; HVAC systems to be placed in good wor1<ing order, including the necessary replacement of any parts to return the unit to a well maintained condition; and all electrical and plumbing equipment to be returned in good condition and repair and conforming to code. Insurance; Indemnity. A. Landlord's Insurance. Landlord shall maintain all risk or special form property insurance covering the full replacement cost of the Building, or the amount required by any Lender (as defined in Section 29), and commercial general liability insurance on the Project and rent loss insurance for one year with an extended period of indemnity for an additional 180 days, all in forms and amounts customary for properties substantially similar to the Project, subject to customary deductibles (collectively, the "Premises Insurance"). If available and commercially appropriate such property insurance policy or policies shall insure against all risks of direct physical loss or damage, including coverage for debris removal and the enforcement of any Legal Requirements requiring the upgrading, demolition, reconstruction or replacement of any portion of the Premises as the result of a covered loss. Landlord may, but is not obligated to, maintain such other insurance and additional coverages as it may deem necessary, including, but not limited to earthquake insurance. All such insurance costs shall be included as part of the Operating Expenses charged to Tenant. The Project or Building may be included in a blanket policy (in which case the cost of such insurance allocable to the Project or Building will be determined by Landlord based upon the total insurance cost calculations). Tenant shall also reimburse Landlord for any increased premiums or additional insurance which Landlord reasonably deems necessary as a result of Tenant's use of the Premises. Tenant shall not be named as an additional insured in such policies. Landlord shall not be required to insure Tenant's improvements, property, Trade Fixtures or Tenant-Made Alterations. B. Tenant's Insurance. Tenant, at its expense, shall maintain during the Lease Term the following insurance, at Tenant's sole cost and expense: (1) commercial general liability insurance (and, if necessary, commercial excess liability insurance) applicable to the Premises and its appurtenances providing a minimum combined single limit of not less than $2,000,000 per occurrence with an annual aggregate of not less than $2,000,000; (including $2,000,000 Products-Comp Op Aggregate; $1,000,000 Personal & Advertising Injury; $50,000 Damage to Rented Premises; $5,000 Medical Payments for Each Person) and including Food Liability insurance, if applicable; and if Tenant stores property of others for a fee, Tenant shall maintain warehouse operator's legal liability insurance for the full value of the property of such customers as determined by the warehouse contract between Tenant and its customer; (2) all risk or special form property insurance covering the full replacement cost of all property, Tenant-Made Alterations, Trade Fixtures, and improvements installed or placed in the Premises by Tenant with a deductible not to exceed $1,000 per occurrence (unless otherwise agreed in writing by Landlord); (3) business interruption insurance with a limit of liability representing loss of at least approximately 6 months of income; (4) workers' compensation insurance as required by the state in which the Premises is located and in amounts as may be required by applicable statute; (5) employers liability insurance of at least $1,000,000; and (6) business automobile liability insurance (and, if necessary, commercial excess liability insurance) having a combined single limit of not less than $2,000,000 per accident insuring Tenant against liability arising out of the ownership maintenance or use of any owned, hired or non-owned automobiles, containing cross liability and severability of interest clauses. If applicable to the Permitted Use, Tenant shall provide a Product's Liability/Completed Operations endorsement, as part of their Certificate of Insurance. Such policies shall be for a term of at least one year, or the length of the remaining term of this Lease, whichever is less. Any company writing any of Tenant's insurance shall have an A.M. Best rating of not less than A-VII and the general liability policy shall be endorsed to provide primary and noncontributory coverage to Landlord (any policy issued to Landlord providing duplicate or similar coverage shall be deemed excess over Tenant's policies). All commercial general liability and, if applicable, warehouse operator's legal liability insurance policies shall name Tenant as a named insured and Landlord, its property manager, and other affiliates of Landlord as the interest of such designees shall appear, as additional insureds. The policy shall not contain any intra-insured exclusions as between insured persons or organizations, but shall include (a) a waiver of subrogation endorsement and (b) coverage for liability assumed under this Lease as an "insured contract" for the performance of Tenant's indemnity obligations under this Lease. If the general liability insurance contains a general aggregate limit, it shall apply separately to this Premises. The limits and types of insurance maintained by Tenant shall not limit Tenant's liability under this Lease. Tenant shall provide Landlord with certificates of such insurance (including copies of all required endorsements) as required under this Lease prior to the earlier to occur of the Commencement Date or the date Tenant is provided with possession of the Premises, and thereafter upon renewals at least 10 days prior to the expiration of the insurance coverage. Acceptance by Landlord of delivery of any certificates of insurance does not constitute approval or agreement by Landlord that the insurance requirements of this section have been met, and failure of Landlord to identify a deficiency from evidence provided will not be construed as a waiver of Tenant's obligation to maintain such insurance. In the event any of the insurance policies required to be carried by Tenant under this Lease shall be cancelled prior to the expiration date of such policy, or if Tenant receives notice of any cancellation of such insurance policies from the insurer prior to the expiration date of such policy, Tenant shall: (a) immediately deliver notice to Landlord that such insurance has been, or is to be, cancelled, (b) shall promptly replace such insurance policy in order to assure no lapse of coverage shall occur, and (c) shall deliver to Landlord a certificate of insurance (including copies of all required endorsements) for such replacement policy. The insurance required to be maintained by Tenant hereunder are only Landlord's minimum insurance requirements and Tenant agrees and understands that such insurance requirements may not be sufficient to fully meet Tenant's insurance needs. At least ten (10J° days before the commencement of the service and sale of alcohol at the Premises and continuously thereafter, Tenant shall deliver to Landlord a policy of dram shop/liquor liability insurance in form, substance and with insurers satisfactory to Landlord, with total limits of liability for bodily injury, loss of means of support, and property damage because of each occurrence of not less than $5,000,000, or such greater amounts as Landlord may reasonably require, indemnifying Landlord, its beneficiaries, and such other persons as Landlord may designate, against any and all liability by virtue of Legal Requirements or legislation concerning the serving, sale, use, or giving away of alcoholic beverages. During any time that the required dram shop/liquor liability insurance is for any reason not in force, then, during all and any such times, no merchandising, transfer, selling, giving away, serving or exchange of alcoholic beverages shall be made by Tenant in, upon or from any part of the Premises. Should Tenant fail to provide such required liability insurance coverage, such failure shall constitute a default by Tenant under the Lease, and in addition to other remedies afforded to Landlord under the Lease, Tenant shall no longer be allowed to serve or sell alcohol beverages in or from the Premises unless otherwise agreed to by Landlord in its sole discretion. The limit and type of insurance maintained by Tenant shall not limit Tenant's liability under the Lease. C. Waiver of Subrogation. Without affecting any other rights or remedies, Tenant and Landlord each hereby release and relieve the other, and waive their entire right to recover damages against the other, for loss of or damage to its property arising out of or incident to the perils required to be insured against herein. The effect of such releases and waivers is not limited by the amount of insurance carried or required, or by any deductibles applicable hereto (except as otherwise expressly set forth in this Lease). The Parties agree to have their respective property damage insurance carriers waive any right to subrogation that such companies may have against Landlord or Tenant, as the case may be, so long as the insurance is not invalidated thereby. Page 8 of 23 At,e INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 D. Indemnity. Except to the extent of Landlord's gross negligence or willful misconduct, Tenant shall indemnify, protect, defend and hold harmless the Premises, Landlord and its agents, Landlord's master or ground Landlord, partners and Lenders, from and against any and all claims, loss of rents and/or damages, liens, judgments, penalties, attorneys' and consultants' fees, expenses and/or liabilities arising out of, involving, or in connection with, the use and/or occupancy of the Premises by Tenant. If any action or proceeding is brought against Landlord by reason of any of the foregoing matters, Tenant shall upon notice defend the same at Tenant's expense by counsel reasonably satisfactory to Landlord and Landlord shall cooperate with Tenant in such defense. Landlord need not have first paid any such claim in order to be defended or indemnified. E. Exemption of Landlord and its Agents from Liability. Except to the extent of Landlord's gross negligence or willful misconduct, but subject in all cases to the Waiver of Subrogation set forth in Section B(C) above, neither Landlord nor its agents shall be liable for injury or damage to the person or•goods, wares, merchandise or other property of Tenant, Tenant's employees, contractors, invitees, customers, or any other person in or about the Premises, whether such damage or injury is caused by or results from fire, steam, electricity, gas, water or rain, indoor air quality, the presence of mold or from the breakage, leakage, obstruction or other defects of pipes, fire sprinklers, wires, appliances, plumbing, HVAC or lighting fixtures, or from any other cause, whether the said injury or damage results from conditions arising upon the Premises or upon other portions of the Building, or from other sources or places. Notwithstanding the foregoing, neither Landlord nor its agents shall be liable under any circumstances (pursuant to any legal or equitable remedy) for: (i) any damages arising from any act or neglect of any other tenant of Landlord or from the failure of Landlord or its agents to enforce the provisions of any other lease in the Project, (ii) injury to Tenant's business or for any loss of income or profit therefrom, or (iii) consequential or punitive damages. Instead, it is intended that Tenant's sole recourse in the event of such damages or injury be to file a claim on the insurance policy(ies) that Tenant is required to maintain pursuant to the provisions of this Section. F. Failure to Provide Insurance. Tenant acknowledges that any failure on its part to obtain or maintain the insurance required herein will expose Landlord to risks and potentially cause Landlord to incur costs not contemplated by this Lease, the extent of which will be extremely difficult to ascertain. If Tenant shall fail to procure and maintain the insurance required to be carried by it, Landlord shall charge Tenant $50.00 per day for every day that Tenant fails to provide a Certificate of Insurance to Landlord, after Landlord has issued Tenant with a written request, with all the insurance requirements in compliance with the Lease. G. Insurance for Vendors. All vendors, movers and contractors engaged by or on behalf of Tenant to perform work in or about the Premises shall deliver proof of insurance to Landlord before said person or entity will be permitted to commence work, which insurance must name Landlord as an additional insured thereunder and be otherwise reasonably acceptable to Landlord. 9. Damage or Destruction. A. Restoration. If at any time during the Lease Term the Premises are damaged by a fire or other casualty covered by insurance carried by Landlord, Landlord shall notify Tenant within 60 days after such damage as to the amount of time Landlord reasonably estimates it will take to restore the Premises. If the restoration time is estimated to exceed 12 months from the casualty date or if Landlord is unable to obtain the necessary permits for restoration within 6 months from the casualty date (a "Premises Total Destruction"), either Landlord or Tenant may elect to terminate this Lease upon notice to the other party given no later than 30 days after Landlord's notice; provided, however, if the damage or destruction was caused by the gross negligence or willful misconduct of Tenant, Landlord shall have the right to recover Landlord's damages from Tenant, except as provided in Section 8.C., and Tenant shall have no right to terminate this Lease. If neither party elects to terminate this Lease or if Landlord estimates that restoration will take 12 months or less, then, subject to receipt of sufficient insurance proceeds, Landlord shall diligently pursue the necessary permits and promptly restore the Premises excluding Trade Fixtures and the improvements installed by Tenant or by Landlord and paid by Tenant, subject to delays arising from the collection of insurance proceeds or from Force Majeure events (as defined in Section 47). Tenant at Tenant's expense shall promptly perform, subject to delays arising from the collection of insurance proceeds, or from Force Majeure events, all repairs or restoration not required to be done by Landlord and shall promptly re-enter the Premises and commence doing business in accordance with this Lease. Notwithstanding the foregoing, either party may terminate this Lease if the Premises are damaged during the last 6 months of the Lease Term and Landlord reasonably estimates that it will take more than one month to repair such damage. Notwithstanding the foregoing, if Tenant at that time has an exercisable option to extend this Lease, then Tenant may preserve this Lease by exercising such option and providing Landlord with any shortage in insurance proceeds (or adequate assurance thereof) needed to make the repairs within 1 0 days after Tenant's receipt of Landlord's written notice purporting to terminate this Lease. Base Rent and Operating Expenses shall be abated for the period of repair and restoration of an insured casualty commencing on the date of such casualty event in the proportion which the area of the Premises, if any, which is not usable by Tenant bears to the total area of the Premises. Such abatement shall be the sole remedy of Tenant, and except as provided herein, Tenant waives any right to terminate the Lease by reason of damage or casualty loss, including without limitation those available under California Civil Code Sections 1932 and 1933(4). Notwithstanding anything contained in the Lease to the contrary, to the extent the damage to the Project is attributable to Tenant, Tenant shall pay to Landlord with respect to any damage to the Project the amount of the commercially reasonable deductible under Landlord's insurance policy, within 30 days after presentment of Landlord's invoice. B. Partial Damage • Uninsured Loss. If at any time during the Lease Term the Premises are damaged by a casualty that is not covered by the Premises Insurance carried required to be carried by Landlord hereunder and Landlord estimates that the restoration time is estimated to be 12 months or less from the casualty date ("Premises Partial Damage"), unless caused by a negligent or willful act of Tenant (in which event Tenant shall make the repairs at Tenant's expense), Landlord may either: (i) repair such damage as soon as reasonably possible at Landlord's expense (subject to reimbursement pursuant to the Operating Expenses provisions), in which event this Lease shall continue in full force and effect, or (ii) terminate this Lease by giving written notice to Tenant within 30 days after receipt by Landlord of knowledge of the occurrence of such uninsured Premises Partial Damage. Such termination shall be effective 60 days following the date of such notice. In the event Landlord elects to terminate this Lease, Tenant shall have the right within 10 days after receipt of the termination notice to give written notice to Landlord of Tenant's commitment to pay for the repair of such damage without reimbursement from Landlord. Tenant shall provide Landlord with said funds or satisfactory assurance thereof within 30 days after making such commitment. In such event this Lease shall continue in full force and effect, and Landlord shall proceed to make such repairs as soon as reasonably possible after the required funds are available. If Tenant does not make the required commitment, this Lease shall terminate as of the date specified in the termination notice. Premises Partial Damage due to flood or earthquake shall be subject to this subsection, notwithstanding that there may be some insurance coverage, but the net proceeds of any such insurance shall be made available for the repairs if made by either Landlord or Tenant. 10. Real Property Taxes. A. Real Property Taxes. As used herein, the term "Real Property Taxes" shall include any form of assessment; real estate, general, special, ordinary or extraordinary, or rental levy or tax (other than inheritance, personal income or estate taxes); improvement bond; and/or license fee imposed upon or levied against any legal or equitable interest of Landlord in the Project, Landlord's right to other income therefrom, and/or Landlord's business of leasing, by any authority having the direct or indirect power to tax and where the funds are generated with reference to the Project address. The term "Real Property Taxes" shall also include any tax, fee, levy, assessment or charge, or any increase therein: (i) imposed by reason of events occurring during the term of this Lease, including but not limited to, a change in the ownership of the Project, (ii) a change in the improvements thereon, and/or (iii) levied or assessed on machinery or equipment provided by Landlord to Tenant pursuant to this Lease. In the event the so-called "split roll" property tax ballot initiative passes in California thereby .removing certain Proposition 13 tax protections applicable to commercial properties (the "Split Roll Initiative"), Real Property Taxes will include the reassessment triggered by the Split Roll Initiative. B. Payment of Taxes. Except as otherwise provided in Section 1 0.C., Landlord shall pay the Real Property Taxes applicable to the Project, and said payments shall be included in the calculation of Operating Expenses in accordance with the provisions of Section 4.8. C. Additional Improvements. Operating Expenses shall not include Real Property Taxes specified in the tax assessor's records and work sheets as being caused by additional improvements placed upon the Project by other tenants or by Landlord for the exclusive enjoyment of such other tenants. Notwithstanding Section 1 0.B. hereof, Tenant shall, however, pay to Landlord at the time Operating Expenses are payable under Section 4(8), the entirety of any increase in Real Property Taxes if assessed solely by reason ofTenant-Made Alterations, Trade Fixtures placed upon the Premises by Tenant or at Tenant's request or by reason of any alterations or improvements to the Premises made by Landlord subsequent to the execution of this Lease by the Parties. • D. Joint Assessment. If the Building is not separately assessed, Real Property Taxes allocated to the Building shall be an equitable proportion of the Real Property Taxes for all of the land and improvements included within the tax parcel assessed, such proportion to be determined by Landlord from the respective valuations assigned in the assessor's work sheets or such other information as may be reasonably available. Landlord's reasonable determination thereof shall be conclusive. Page 9of23 fv..f, INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 E. Personal Property Taxes. Tenant shall pay prior to delinquency all taxes assessed against and levied upon Tenant-Made Alterations, Trade Fixtures, furnishings, equipment and all personal property of Tenant contained in the Premises. When possible, Tenant shall cause its Tenant-Made Alterations, Trade Fixtures, furnishings, equipment and all other personal property to be assessed and billed separately from the real property of Landlord. If any of Tenant's said property shall be assessed with Landlord's real property, Tenant shall pay Landlord the taxes attributable to Tenant's property within 10 days after receipt of a written statement setting forth the taxes applicable to Tenant's property. 11. Utilities, Services and Trash. Tenant shall pay for all water, gas, electricity, heat, light, power, telephone, sewer, sprinkler services, and other utilities and services used on the Premises, all maintenance and metering charges for utilities, and any storm sewer charges or other similar charges for utilities imposed by any governmental entity, utility provider or metering service, together with any taxes, penalties, surcharges or the like pertaining to Tenant's use of the Premises. Notwithstanding the foregoing, in the event Landlord contracts directly for any of the above-mentioned utilities, the cost will be passed through to Tenant as an Operating Expense. Tenant shall pay for refuse and trash collection services for the Premises if Landlord operates the Project in a manner such that tenants contract directly for trash collection services, otherwise trash collection services shall be billed by Landlord to Tenant as a monthly expense. Landlord may cause at Tenant's expense any utilities to be separately metered or charged directly to Tenant by the provider in the event Landlord reasonably determines that Tenant's use of such jointly metered utility materially exceeds the use of such jointly metered utility by other tenants in the Building. Tenant shall pay its share of all charges for jointly metered utilities based upon consumption, as reasonably determined by Landlord. No interruption or failure of utilities shall result in the termination of this Lease or the abatement of rent. Tenant agrees to limit use of water and sewer for normal restroom use. Tenant shall not use the trash bins of the Project other than for disposal of ordinary refuse. In no event shall Tenant use the bins for the disposal of large items, such as (but not limited to) carpet, packing crates, furniture, cardboard shipping boxes and storage pallets. 12. Assignment and Subletting. Without Landlord's prior written consent, which shall not be unreasonably withheld, conditioned or delayed, Tenant shall not assign this Lease or sublease the Premises or any part thereof or mortgage, pledge, or hypothecate its leasehold interest or grant any concession or license within the Premises and any attempt to do any of the foregoing shall be void and ofno effect. It shall be reasonable for the Landlord to withhold, delay or condition its consent, where required, to any assignment or sublease in any of the following instances: (i) the assignee or sublessee does not have a net worth calculated according to generally accepted accounting principles at least equal to the greater of the net worth ofTenant immediately prior to such assignment or sublease or the net worth of the Tenant at the lime it executed the Lease; (ii) occupancy of the Premises by the assignee or sublessee would, in Landlord's opinion, violate any agreement binding upon Landlord or the Project with regard to the identity of tenants, usage in the Project, or similar matters; (iii) the identity or business reputation of the assignee or sublessee will, in the good faith judgment of Landlord, tend to damage the goodwill or reputation of the Project; (iv) the assignment or sublease is to another tenant in the Project (or an affiliate thereof) and is at rates which are below those charged by Landlord for comparable space in the Project, or is to a prospective tenant that has been in discussions with Landlord regarding space within the Project; or (v) in the case of a sublease, the subtenant has not acknowledged that the Lease controls over any inconsistent provision in the sublease. The foregoing criteria shall not exclude any other reasonable basis for Landlord to refuse its consent to such assignment or sublease. Any approved assignment or sublease shall be expressly subject to the terms and conditions of this Lease. Tenant shall provide to Landlord all information concerning the assignee or sublessee as Landlord may reasonably request. Landlord may revoke its consent immediately and without notice if, as of the effective date of the assignment or sublease, there has occurred and is continuing any default under the Lease. For purposes of this Section, a transfer of the ownership interests controlling Tenant shall be deemed an assignment of this Lease unless such ownership interests are publicly traded. Notwithstanding the above, Tenant may assign or sublet the Premises, or any part thereof, to any entity controlling Tenant, controlled by Tenant or under common control with Tenant (a "Tenant Affiliate"), without the prior written consent of Landlord; provided the transaction does not result in the reduction of the net worth of Tenant by an amount greater than 15% of such net worth as it was represented at the time of the execution of this Lease. Tenant shall reimburse Landlord for all of Landlord's reasonable expenses in connection with any assignment or sublease not to exceed $3,000.00. This Lease shall be binding upon Tenant and its successors and permitted assigns. Upon Landlord's receipt of Tenant's written notice of a desire to assign or sublet the Premises, or any part thereof (other than to a Tenant Affiliate), Landlord may, by giving written notice to Tenant within 30 days after receipt of Tenant's notice, terminate this Lease with respect to the space described in Tenant's notice, as of the date specified in Tenant's notice for the commencement of the proposed assignment or sublease. Notwithstanding any assignment or subletting, Tenant and any guarantor or surety of Tenant's obligations under this Lease shall at all times remain fully responsible and liable for the payment of the rent and for compliance with all of Tenant's other obligations under this Lease (regardless of whether Landlord's approval has been obtained for any such assignments or sublettings). If Landlord consents to any assignment or subletting of Tenant's interest in this Lease, as a condition thereto which the parties hereby agree is reasonable, Tenant shall pay to Landlord fifty percent (50%) of all rent, additional rent or other consideration (including, without limitation, key money or other cash consideration if applicable) payable by such assignee or sublessee in connection with an assignment or subletting in excess of the Base Rent and Operating Expenses payable by Tenant under this Lease during the term of the applicable assignment or subletting on a per rentable area square foot basis if less than all of the Premises is transferred (unless all or a portion of the subject space is subject to different Base Rent and Operating Expenses terms, in which case, to the extent applicable, such different terms shall be applicable), after deducting the reasonable brokerage and improvement costs (including improvement allowances) payable to third parties as necessary to conclude the applicable assignment or subletting. If this Lease be assigned or if the Premises be subleased (whether in whole or in part) or in the event of the mortgage, pledge, or hypothecation of Tenant's leasehold interest or grant of any concession or license within the Premises or if the Premises be occupied in whole or in part by anyone other than Tenant, then upon a default by Tenant hereunder Landlord may collect rent from the assignee, sublessee, mortgagee, pledgee, party to whom the leasehold interest was hypothecated, concessionee or licensee or other occupant and, except to the extent otherwise set forth herein, apply the amount collected to the next rent payable hereunder; and all such rentals collected by Tenant shall be held in trust for Landlord and immediately forwarded to Landlord. No such transaction or collection of rent or application thereof by Landlord, however, shall be deemed a waiver of these provisions or a release ofTenantfrom the further performance by Tenant of its covenants, duties, or obligations hereunder. Tenant hereby waives and releases its rights under Section 1995.310 of the California Civil Code or under any similar law, statute or ordinance now or hereafter in effect. If Tenant shall be subjected to the provisions of the United States Bankruptcy Code or other law of the United States or any state thereof for the protection of debtors as in effect at such time (each a "Debtor's Law") Tenant, Tenant as debtor-in-possession, and any trustee or receiver of Tenant's assets (each a "Tenant's Representative") shall have no greater right to assume or assign this Lease or any interest in this Lease, or to sublease any of the Premises than accorded to Tenant this Section of the Lease, except to the extent Landlord shall be required to permit such assumption, assignment or sublease by the provisions of such Debtor's Law. In such case, Tenant's Representative shall (a) remain subject to all of the terms and requirements of this Section; (b) shall have deposited with Landlord as security for the timely payment of rent an amount equal to the larger of: (1) three (3) months' Rent and other monetary charges accruing under this Lease; and (2) any sum specified in Section 1 (Basic Lease Provisions) of this Lease; and (c) shall have provided Landlord with adequate other assurance of the future performance of the obligations of Tenant under this Lease. In the event that an attorney is employed or expenses are incurred to pursue, protect, enforce or litigate the obligations hereunder, whether by suit, action or other proceeding, Tenant's Representative promises to pay all such expenses and reasonable attorneys' fees, including, without limitation, reasonable attorneys' fees incurred in or with respect to any bankruptcy proceeding. 13. Events of Default; Remedies. A. Event of Default: Each of the following events shall be an event of default ("Event of Default") by Tenant under this Lease: (1) Tenant shall fail to pay any installment of Base Rent or any other payment required herein when due, and such failure shall continue for a period of 5 days from the date such payment was due. (2) Tenant or any guarantor or surety of Tenanfs obligations hereunder shall (A) make a general assignment for the benefit of creditors; (B) commence any case, proceeding or other action seeking to have an order for relief entered on its behalf as a debtor or to adjudicate it as bankrupt or insolvent, or seeking reorganization, arrangement, adjustment, liquidation, dissolution or composition of it or its debts or seeking appointment of a receiver, trustee, custodian or other similar official for it or for all or of any substantial part of its property (collectively a "proceeding for relief'); (C) become the subject of any proceeding for relief which is not dismissed within 60 days of its filing or entry; or (D) die or suffer a legal disability (if Tenant, guarantor, or surety is an individual) or be dissolved or otherwise fail to maintain its legal existence (if Tenant, guarantor or surety is a corporation, partnership or other entity). (3) Any insurance required to be maintained by Tenant pursuant to this Lease shall be cancelled or terminated or shall expire or shall be reduced or materially changed, except, in each case, as permitted in this Lease, which is not reinstated within three (3) days following notice to Tenant. (4) Tenant shall cease to occupy or shall vacate the Premises whether or not Tenant is in monetary or other default under this Lease. Tenant's vacating of the Premises shall not constitute an Event of Default if, prior to vacating the Premises, Tenant has made arrangements reasonably acceptable to Landlord to: Page 10 of23 l\,ve INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 (a) ensure that Tenant's insurance for the Premises will not be voided or cancelled with respect to the Premises as a result of such vacancy, (b) ensure that the Premises are secured and not subject to vandalism, and (c) ensure that the Premises will be properly maintained after such vacation, including, but not limited to, keeping the healing, ventilation and cooling systems maintenance contracts required by this Lease in full force and effect and maintaining the utility services. Tenant shall inspect the Premises at least once each month and report monthly in writing to Landlord on the condition of the Premises. (5) Tenant shall attempt or there shall occur any assignment, subleasing or other transfer of Tenant's interest in or with respect to this Lease except as otherwise permitted in this Lease. (6) Tenant shall fail to discharge any lien placed upon the Premises in violation of this Lease within 20 days after any such lien or encumbrance is filed against the Premises. (7) Tenant shall fail to provide to Landlord (i) reasonable written evidence of compliance with Legal Requirements, (ii) the service contracts required under this Lease, (iii) an estoppel certificate or financial statements as required hereunder, (iv) a requested subordination, (v) evidence concerning any guaranty and/or Guarantor, (vi) any document requested under Section 38 (Reservations), (vii) material data safety sheets (MSDS), or (viii) any other documentation or information which Landlord may reasonably require o!Tenant under the terms of this Lease, where any such failure continues for a period of 10 days following written notice to Tenant. (8) Tenant shall fail to comply with any provision of this Lease other than those specifically referred to in this Section 13.A., and except as otherwise expressly provided herein, such default shall continue for more than 30 days after Landlord shall have given Tenant written notice of such default (said notice being in lieu of, and not in addition to, any notice required as a prerequisite to a forcible entry and detainer or similar action for possession of the Premises). Tenant agrees that any notice given by Landlord pursuant to this Section of the Lease shall satisfy the requirements for notice under California Code of Civil Procedure Section 1161, and Landlord shall not be required to give any additional notice in order to be entitled to commence an unlawful detainer proceeding. (9) Tenant shall be delinquent by more than 15 days in the payment of Rent on 3 separate occasions in any 12 month period, or Tenant or Tenant's employees, agents or representatives fail to comply with any of the rules and regulations for the Project after written notice from Landlord to Tenant (which such written notice may be provided by e-mail) of such rule violation provided, however, that Landlord shall not be obligated to provide written notice of the same rule violation more than three (3) times during the Lease Term, and any subsequent failure of Tenant to comply with the same rule violation that Tenant was provided notice of shall constitute an Event of Default by Tenant under this Lease without the opportunity to cure. Landlord and Tenant agree to meet in good faith to resolve any issues regarding compliance with the rules and regulations to avoid a default where possible. Tenant agrees that any notice given by Landlord pursuant to this Section of the Lease shall satisfy the requirements for notice under California Code of Civil Procedure Section 1161, and Landlord shall not be required to give any additional notice in order to be entitled to commence an unlawful detainer proceeding. Tenant hereby waives any and all rights under California Code of Civil Procedure Section 1174, California Civil Code Section 1511 and Section 1993. 8. Remedies. Upon each occurrence of an Event of Default and so long as such Event of Default shall be continuing, Landlord may at any time thereafter at its election: terminate this Lease or Tenant's right of possession (but Tenant shall remain liable as hereinafter provided), and/or pursue any other remedies at law or in equity. Upon the termination of this Lease or termination of Tenant's right of possession, it shall be lawful for Landlord, without formal demand or notice of any kind, to re-enter the Premises by summary dispossession proceedings or any other action or proceeding authorized by law and to remove Tenant and all persons and property therefrom. If Landlord re-enters the Premises, Landlord shall have the right to keep in place and use, or remove and store, all of the furniture, fixtures and equipment at the Premises. Except as otherwise provided in the next paragraph, if Tenant breaches this Lease and abandoned the Premises prior to the end of the term hereof, or if Tenant's right to possession is terminated by Landlord because of an Event of Default by Tenant under this Lease, this Lease shall terminate. Upon such termination, Landlord may recover from Tenant the following, as provided in Section 1951.2 of the Civil Code of California: (i) the worth at the time of award of the unpaid Base Rent and other charges under this Lease that had been earned at the lime of termination; (ii) the worth at the time of award of the amount by which the reasonable value of the unpaid Base Rent and other charges under this Lease which would have been earned after termination until the time of award exceeds the amount of such rental loss that Tenant proves could have been reasonably avoided; (iii) the worth at the lime of award by which the reasonable value of the unpaid Base Rent and other charges under this Lease for the balance of the term of this Lease after the lime of award exceeds the amount of such rental loss that Tenant proves could have been reasonably avoided; and (iv) any other amount necessary to compensate Landlord for all the detriment proximately caused by Tenant's failure to perform its obligations under this Lease or that in the ordinary course of things would be likely to result therefrom. As used herein, the following terms are defined: (1) The "worth at the time of award" of the amounts referred to in clauses (i) and (ii) above is computed by allowing interest at the lesser of 18 percent per annum or the maximum lawful rate. The "worth at the lime of award" of the amount referred to in clause (iii) above is computed by discounting such amount at the discount rate of the Federal Reserve Bank of San Francisco at the lime of award plus one percent; (2) competent jurisdiction; The "time of award" as used in clauses (i), (ii), and (iii) above is the date on which judgment is entered by a court of (3) The "reasonable value" of the amount referred to in clause (ii) above is computed by determining the mathematical product of (i) the "reasonable annual rental value" (as defined herein) and (ii) the number of years, including fractional parts thereof, between the date of termination and the time of award. The "reasonable value" of the amount referred to in clause (iii) above is computed by determining the mathematical product of (1) the annual Base Rent and other charges under this Lease and (2) the number of years including fractional parts thereof remaining in the balance of the term of this Lease after the lime of award. Tenant acknowledges and agrees that the term "detriment proximately caused by Tenant's failure to perform its obligations under this Lease" includes, without limitation, the value of any abated or tree rent given to Tenant. Even though Tenant has breached this Lease and abandoned the Premises, this Lease shall continue in effect for so long as Landlord does not terminate Tenant's right to possession, and Landlord may enforce all its rights and remedies under this Lease, including the right to recover rent as it becomes due. This remedy is intended to be the remedy described'in California Civil Code Section 1951.4, and the following provision from such Civil Code Section is hereby repeated: ''The Lessor has the remedy described in California Civil Code Section 1951.4 (lessor may continue lease in effect after lessee's breach and abandonment and recover rent as it becomes due, if lessee has right to sublet or assign subject only to reasonable limitations)." Any such payments due Landlord shall be made upon demand therefor from time to time and Tenant agrees that Landlord may file suit to recover any sums falling due from time to time. Notwithstanding any such reletting without termination, Landlord may at any time thereafter elect in writing to terminate this Lease for such previous breach. Exercise by Landlord of any one or more remedies hereunder granted or otherwise available shall not be deemed to be an acceptance of surrender of the Premises and/or a termination of this Lease by Landlord, whether by agreement or by operation of law, it being understood that such surrender and/or termination can be effected only by the written agreement of Landlord and Tenant. Any law, usage, or custom to the contrary notwithstanding, Landlord shall have the right at all limes to enforce the provisions of this Lease in strict accordance with the terms hereof; and the failure of Landlord at any time to enforce its rights under this Lease strictly in accordance with same shall not be construed as having created a custom in any way or manner contrary to the specific terms, provisions, and covenants of this Lease or as having modified the same. Tenant and Landlord f~rther agree that forbearance or waiver by Landlord to enforce its rights pursuant to this Lease or at law or in equity, shall not be a waiver of Landlord's right to enforce one or more of its rights in connection with any subsequent default. A receipt by Landlord of rent or other payment with knowledge of the breach of any covenant hereof shall not be deemed a waiver of such breach, and no waiver by Landlord of any provision of this Lease shall be deemed to have been made unless expressed in writing and signed by Landlord. To the greatest extent permitted by law, Tenant waives the service of notice of Landlord's intention to re-enter as provided for in any statute, or to institute legal proceedings to that end, and also waives all right of redemption in case Tenant shall be dispossessed by a judgment or by warrant of any court or judge. The terms "enter," "re-enter," "entry" or "re-entry," as used in this Lease, are not restricted to their technical legal meanings. Any reletting of the Premises shall be on such terms and conditions as Landlord in its sole discretion may determine (including without limitation a term different than the remaining Lease Term, rental concessions, alterations and repair of the Premises, lease of less than the entire Premises to any tenant and leasing any or all other portions of the Project before reletting the Premises). Landlord shall not be liable, nor shall Tenant's obligations hereunder be diminished because of, Landlord's failure to relet the Premises or collect rent due in respect of such reletting. Tenant hereby waives any and all rights under California Civil Code Section 1951.7. • Page 11 of23 N._f; INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 C. Interest. Any amount not paid by Tenant within 5 days after its due date in accordance with the tenms of this Lease, regardless of whether an Event of Default exists, shall bear interest from such due date until paid in full at the lesser of the highest rate penmitted by applicable law or ten percent (10%) per year. It is expressly the intent of Landlord and Tenant at all times to comply with applicable law governing the maximum rate or amount of any interest payable on or in connection with this Lease. If applicable law is ever judicially interpreted so as to render usurious any interest called for under this Lease, or contracted for, charged, taken, reserved, or received with respect to this Lease, then it is Landlord's and Tenant's express intent that all excess amounts theretofore collected by Landlord be credited on the applicable obligation (or, if the obligation has been or would thereby be paid in full, refunded to Tenant), and the provisions of this Lease immediately shall be deemed refonmed and the amounts thereafter collectible hereunder reduced, without the necessity of the execution of any new document, so as to comply with the applicable law, but so as to penmit the recovery of the fullest amount otherwise called for hereunder. D. Breach by Landlord. Landlord shall not be in default hereunder unless Landlord fails to perfonm any of its obligations hereunder within 30 days after written notice from Tenant specifying such failure (unless such perfonmance will, due to the nature of the obligation, require a period of time in excess of 30 days, then after such period of time as is reasonably necessary). All obligations of Landlord hereunder shall be construed as covenants, not conditions; and, except as may be otherwise expressly provided in this Lease, Tenant may not terminate this Lease or offset any Rent due under this Lease for breach of Landlord's obligations hereunder. 14. Condemnation. If any part of the Premises or the Project should be taken for any public or quasi public use under governmental law, ordinance, or regulation, or by right of eminent domain, or by private purchase in lieu thereof (a "Taking" or "Taken"), and the Taking would materially interfere with or impair Landlord's ownership or operation of the Project, then upon written notice by Landlord this Lease shall terminate and Base Rent shall be apportioned as of said date. If part of the Premises shall be Taken, and this Lease is not terminated as provided above, the Base Rent payable hereunder during the unexpired Lease Tenm shall be reduced to such extent as may be fair and reasonable under the circumstances. In the event of any such Taking, Landlord shall be entitled to receive the entire price or award from any such Taking without any payment to Tenant, and Tenant hereby assigns to Landlord Tenant's interest, if any, in such award. Tenant shall have the right, to the extent that same shall not diminish Landlord's award, to make a separate claim against the condemning authority (but not Landlord) for such compensation as may be separately awarded or recoverable by Tenant for moving expenses and damage to Tenant's business, goodwill, and Trade Fixtures, if a separate award for such items is made to Tenant. Tenant hereby waives any and all rights under California Code of Civil Procedure Section 1265.130. 15. Brokerage Fees. Tenant and Landlord each represent and warrant to the other that it has had no dealings with any person, finm, broker or finder (other than the Brokers, if any, set forth in the Basic Lease Provisions) in connection with this Lease, and that no one other than said named Brokers is entitled to any commission or finde(s fee in connection with this leasing transaction. Tenant and Landlord do each hereby agree to indemnify, protect, defend and hold the other harmless from and against liability for compensation or charges which may be claimed by any such unnamed broker, finder or other similar party by reason of any dealings or actions of the indemnifying party, including any costs, expenses, attorneys' fees reasonably incurred with respect thereto. 16. Estoppel Certificates; Financial Statements. A. Tenant agrees, from time to time, within 10 business days after request of Landlord, to execute and deliver to Landlord, or Landlord's designee, any estoppal certificate requested by Landlord, stating that this Lease is in full force and effect, the date to which rent has been paid, that Landlord is not in default hereunder (or specifying in detail the nature of Landlord's default), the termination date of this Lease and such other matters pertaining to this Lease as may be requested by Landlord. Tenant's obligation to furnish each estoppal certificate in a timely fashion is a material inducement for Landlord's execution of this Lease. No cure or grace period provided in this Lease shall apply to Tenant's obligations to timely deliver an estoppal certificate. B. If Landlord desires to finance, refinance, or sell the Premises, or any part thereof, or if there is an Event of Default, or if Tenant requests permission to assign the Lease, or if Tenant exercises any renewal/extension option hereunder, Tenant and all Guarantors shall within 15 days after written notice from Landlord deliver to Landlord, any potential lender or purchaser designated by Landlord if applicable, such financial statements as may be reasonably required by such lender or purchaser, including but not limited to Tenant's financial statements for the past 3 years. All such financial statements shall be received by Landlord and any such lender or purchaser in confidence and shall be used only for the purposes herein set forth. 17. Definition of Landlord. The tenm "Landlord" as used herein shall mean the owner or owners at the time in question of the fee title to the Premises, or, if this is a sublease, of the tenant's interest in the prior lease. In the event of a transfer of Landlord's title or interest in the Premises or this Lease, Landlord shall deliver to the transferee or assignee (in cash or by credit) any unused Security Deposit held by Landlord. Upon such transfer or assignment and delivery of the Security Deposit, as aforesaid, the prior Landlord shall be relieved of all liability with respect to the obligations and/or covenants under this Lease thereafter to be perfonmed by the Landlord. Subject to the foregoing, the obligations and/or covenants in this Lease to be perfonmed by the Landlord shall be binding only upon the Landlord as hereinabove defined. 18. Severability. If any clause or provision of this Lease is illegal, invalid or unenforceable under present or future laws, then and in that event, it is the intention of the parties hereto that the remainder of this Lease shall not be affected thereby. II is also the intention of the parties to this Lease that in lieu of each clause or provision of this Lease that is illegal, invalid or unenforceable, there be added, as a part of this Lease, a clause or provision as similar in tenms to such illegal, invalid or unenforceable clause or provision as may be possible and be legal, valid and enforceable. 19. Days. Unless otherwise specifically indicated to the contrary, the word "days" as used in this Lease shall mean and refer to calendar days. 20. Limitation on Liability. Any obligation or liability whatsoever of Landlord which may arise at any time under this Lease or any obligation or liability which may be incurred by it pursuant to any other instrument, transaction, or undertaking contemplated hereby shall not be personally binding upon, nor shall the enforcement thereof be against the property of, its trustees, directors, shareholders, officers, employees or agents, regardless of whether such obligation or liability is in the nature of contract, tort, or otherwise. Any liability of Landlord under this Lease shall be limited solely to its interest in the Premises, and in no event shall any personal liability be asserted against Landlord in connection with this Lease nor shall any recourse be had to any other property or assets of Landlord. For purposes of detenmining the value of Landlord's interest in the Premises, the Project shall be deemed to be encumbered by a loan in an amount equal to the greater of the actual encumbrance amount or seventy percent (70%) of the fair market value of the Project, as detenmined as of the date Tenant's claim arises. 21. Time of Essence. Time is of the essence with respect to the perfonmance of Tenant's and Landlord's obligations under this Lease. 22. Entire Agreement. This Lease constitutes the complete agreement of Landlord and Tenant with respect to the subject matter hereof. No representations, inducements, promises or agreements, oral or written, have been made by Landlord or Tenant, or anyone acting on behalf of Landlord or Tenant, which are not contained herein, and any prior agreements, promises, negotiations, or representations are superseded by this Lease. This Lease may not be amended except by an instnlment in writing signed by both parties hereto. 23. Notice. All notices required or penmitted by this Lease or applicable law shall be in writing and may be delivered in person (by hand or by courier) or may be sent by certified or registered mail or U.S. Postal Service Express Mail or other nationally or regionally recognized overnight courier, with postage prepaid, and shall be deemed sufficiently given if served in a manner specified in this Section. The addresses noted adjacent to a party's signature on this Lease shall be that party's address for delivery or mailing of notices. Either party may by written notice to the other specify a different address for notice, except that upon Tenant's taking possession of the Premises, the Premises shall constitute Tenant's address for notice. A copy of all notices to Landlord shall be concurrently transmitted to such party· or parties at such addresses as Landlord may from time to time hereafter designate in writing. Exc,ept where otherwise expressly provided to the contrary, notice shall be deemed given upon delivery. If notice is received on a Saturday, Sunday or legal holiday, it shall be deemed received on the next business day. 24. Waivers. No waiver by Landlord of the breach of any term, covenant or condition hereof by Tenant or Event of Default, shall be deemed a waiver of any other tenm, covenant or condition hereof, or of any subsequent Event of Default or Tenant breach of any other tenm, covenant or condition hereof. Landlord's consent to, or approval of, any act shall not be deemed to render unnecessary the obtaining of Landlord's consent to, or approval of, any subsequent or similar act by Tenant, or be construed as the basis of an estoppal to enforce the provision or provisions of this Lease requiring such consent. The acceptance of Rent by Landlord shall not be a waiver of any Event of Default by Tenant. Any payment by Tenant may be accepted by Landlord on account of monies or damages due Landlord, notwithstanding any qualifying statements or conditions made by Tenant in connection therewith, which such statements and/or conditions shall be of no force or effect whatsoever unless specifically agreed to in writing by Landlord at or before the time of deposit of such payment. THE PARTIES AGREE THAT THE TERMS OF THIS LEASE SHALL GOVERN WITH REGARD TO ALL MATTERS RELATED Page 12 of23 tS (vve INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 THERETO AND HEREBY WAIVE THE PROVISIONS OF ANY PRESENT OR FUTURE STATUTE TO THE EXTENT THAT SUCH STATUTE IS INCONSISTENT WITH THIS LEASE. 25. No Right To Holdover. If Tenant retains possession of the Premises after the termination of the Lease Term, unless otherwise agreed in writing, such possession shall be subject to immediate termination by Landlord at any time, and all of the other terms and provisions of this Lease (excluding any expansion or renewal option or other similar right or option) shall be applicable during such holdover period, except that Tenant shall pay Landlord from time to time, upon demand, as Base Rent for the holdover period, an amount equal to 150% of the Base Rent in effect on the termination date for the first 30 days of the holdover period and 200% of the Base Rent in effect on the termination date from the 31st day of such holdover period and thereafter, computed on a monthly basis for each month or part thereof during such holding over. All other payments shall continue under the terms of this Lease. In addition, Tenant shall be liable for all damages incurred by Landlord as a result of such holding over. No holding over by Tenant, whether with or without consent of Landlord, shall operate to extend this Lease except as otherwise expressly provided, and this Section shall not be construed as consent for Tenant to retain possession of the Premises. For purposes of this Section, "possession of the Premises" shall continue until, among other things, Tenant has delivered all keys to the Premises to Landlord, Landlord has complete and total dominion and control over the Premises, and Tenant has completely fulfilled all obligations required of it upon termination of the Lease as set forth in this Lease, including, without limitation, those concerning the condition and repair of the Premises. Tenant acknowledges that Landlord utilizes a rental collection system involving the direct deposit of monies received through a financial institution selected by Landlord, which precludes Landlord's ability to exercise rejection of a rental payment before Tenant's check is cashed. Tenant agrees that as a condition of Landlord granting this Lease, Landlord shall have the option of rejecting Tenant's payment by refunding to Tenant the rental amount paid by Tenant, adjusted as set forth in this Lease, and enforcing the termination provisions of this Lease. 26. Cumulative Remedies. No remedy or election hereunder shall be deemed exclusive but shall, wherever possible, be cumulative with all other remedies at law or in equity. 27. Covenants and Conditions; Construction of Agreement. All provisions of this Lease to be observed or performed by Tenant are both covenants and conditions. In construing this Lease, all headings and titles are for the convenience of the Parties only and shall not be considered a part of this Lease. Whenever required by the context, the singular shall include the plural and vice versa. This Lease shall not be construed as if prepared by one of the Parties, but rather according to its fair meaning as a whole, as if both Parties had prepared it. 28. Binding Effect; Choice of Law. This Lease shall be binding upon the parties, their personal representatives, successors and assigns and be governed by the laws of the State of California. Any litigation between the Parties hereto concerning this Lease shall be initiated in the county in which the Premises are located. 29. Subordination; Attornment. A. Subordination. This Lease and Tenant's interest and rights hereunder are and shall be subject and subordinate at all times to the lien of any first mortgage ("Lender"), now existing or hereafter created on or against the Project or the Premises, and all amendments, restatements, renewals, modifications, consolidations, refinancing, assignments and extensions thereof, without the necessity of any further instrument or act on the part of Tenant. Tenant agrees, at the election of the Lender, to attorn to any such holder. Tenant agrees upon demand to execute, acknowledge and deliver such instruments, confirming such subordination and such instruments of attornment as shall be requested by any such Lender. Notwithstanding the foregoing, any such Lender may at any time subordinate its mortgage to this Lease, without Tenant's consent, by notice in writing to Tenant, and thereupon this Lease shall be deemed prior to such mortgage without regard to their respective dates of execution, delivery or recording and in that event such Lender shall have the same rights with respect to this Lease as though this Lease had been executed prior to the execution, delivery and recording of such Lender and had been assigned to such Lender. The term "mortgage" whenever used in this Lease shall be deemed to include deeds of trust, security assignments and any other encumbrances, and any reference to the "Lender'' of a mortgage shall be deemed to include the beneficiary under a deed of trust. B. Attornment. In the event that Landlord transfers title to the Premises, or the Premises are acquired by another upon the foreclosure or termination of a mortgage to which this Lease is subordinated (i) Tenant shall, subject to the non-disturbance provisions hereof, attom to such new owner, and upon request, enter into a new lease, containing all of the terms and provisions of this Lease, with such new owner for the remainder of the term hereof, or, at the election of the new owner, this Lease shall automatically become a new lease between Tenant and such new owner, and (ii) Landlord shall thereafter be relieved of any further obligations hereunder and such new owner shall assume all of Landlord's obligations, except that such new owner shall not: (a) be liable for any act or omission of any prior Landlord or with respect to events occurring prior to acquisition of ownership; (b) be subject to any offsets or defenses which Tenant might have against any prior landlord, (c) be bound by prepayment of more than one month's rent, (d) be liable for the return of any security deposit paid to any prior Landlord which was not paid or credited to such new owner, or (e) be bound by any amendment or modification to this Lease not executed by such new owner, if such new owner previously had a lien secured by the Premises. C. Self-Executing. The agreements contained in this Section shall be effective without the execution of any further documents; provided, however, that, upon written request from Landlord or a Lender in connection with a sale, financing or refinancing of the Premises, Tenant and Landlord shall execute such further writings as may be reasonably required, in a form required by Lender, to separately document any subordination, attornment and/or Non-Disturbance Agreement provided for herein. 30. Attorneys' Fees. In the event either party hereto initiates litigation to enforce the terms and provisions of this Lease, the non-prevailing party in such action shall reimburse the Prevailing Party for its reasonable attorney's fees, filing fees, and court costs. Such fees may be awarded in the same suit or recovered in a separate suit, whether or not such action or proceeding is pursued to decision or judgment. The term, "Prevailing Party" shall include, without limitation, a party who substantially obtains or defeats the relief sought, as the case may be, whether by compromise, settlement, judgment, or the abandonment by the other party of its claim or defense. The attorneys' fees award shall not be computed in accordance with any court fee schedule, but shall be such as to fully reimburse all attorneys' fees reasonably incurred. In addition, Landlord shall be entitled to reasonable attorneys' fees, costs and expenses incurred in the preparation and service of notices of Event of Default and consultations in connection therewith, whether or not a legal action is subsequently commenced in connection with such Event of Default or resulting breach ($200 is a reasonable minimum per occurrence for such services and consultation). 31. Landlord's Access; Showing Premises; Repairs; Solar. Landlord and Landlord's agents shall have the right to enter the Premises at any time, in the case of an emergency, and otherwise at reasonable times after reasonable prior notice (of not less than 24 hours) for the purpose of showing the same to prospective purchasers, lenders, or tenants (for a period commencing 9 months prior to the end of the Lease Term), and making such alterations, repairs, improvements or additions to the Premises as Landlord may deem necessary or desirable and the erecting, using and maintaining of, among other things desired by Landlord, utilities, services, security systems, communication systems, fire sprinklers or detection systems, solar power systems, pipes and conduits through the Premises and/or other premises as long as there is no material adverse effect on Tenant's use of the Premises. All such activities shall be without abatement of rent or liability to Tenant. Landlord shall use commercially reasonable efforts to minimize interference with Tenant's access and quiet use of the Premises. Without limiting the generality ofIthe foregoing, Tenant agrees and understands that Landlord shall have the right (provided that the exercise of Landlord's rights does not adversely affect Tenant's use and occupancy of the Premises or subject Tenant to additional costs), without Tenant's consent, to place a solar electric generating system, a satellite system and/or other system and/or equipment on the roof of the Building (together with appurtenances within the Premises as reasonably required) or enter into a lease(s) for the roof of the Building whereby such roof tenant(s) shall have the right to install any such systems on the roof of the Building, and Landlord and its agents shall have access to the Premises and roof to accomplish the foregoing. 32. Signs; Press Releases. Tenant shall not make any changes to the exterior of the Premises, install any exterior lights, decorations, balloons, flags, pennants, banners, or painting, or erect or install any signs, windows or door lettering, placards, decorations, or advertising media of any type which can be viewed from the exterior of the Premises, without Landlord's prior written consent, which consent may be withheld in Landlord's sole discretion. Notwithstanding the foregoing, Tenant shall have the right to install signage on the exterior wall of the Building at its sole cost and expense and subject to Landlord's approval of the design, size and location of such signage and provided such signage is in accordance with Legal Requirements. Any signage shall be at Tenant's sole cost and expense. Upon surrender or vacation of the Premises, Tenant shall have removed all signs and repair, paint, and/or replace the building facia surface to which its signs are attached. Tenant shall obtain all applicable governmental permits and approvals for sign and exterior treatments. All signs, decorations, advertising media, blinds, draperies and other window treatment or bars or other security installations visible from outside the Premises shall be subject to Landlord's approval and conform in all respects to Landlord's requirements. Landlord may have Landlord's logo and color scheme on the Building and throughout the Project. Landlord may place on the Premises ordinary "For Sale" signs at any time and ordinary "For Lease" signs during the last 6 months of the term hereof. Landlord may erect a suitable sign on the Premises stating the Premises are available to let or that the Project is available for sale. Except for ordinary "For Sublease" signs which may be placed only on the Premises, Tenant shall not place Page 13 of23 flt:t; INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 any sign upon the Project without Landlord's prior written consent. All signs must comply with all Legal Requirements. Landlord shall have the right to publicize Landlord and Tenant's relationship regarding this Lease. 33. Termination; Merger. Unless specifically stated otherwise in writing by Landlord, the voluntary or other surrender of this Lease by Tenant, the mutual termination or cancellation hereof, or a termination hereof by Landlord for breach by Tenant, shall automatically terminate any sublease or lesser estate in the Premises; provided, however, that Landlord may elect to continue any one or all existing subtenancies. Landlord's failure within 10 days following any such event to elect to the contrary by written notice to the holder of any such lesser interest, shall constitute Landlord's election to have such event constitute the termination of such interest. 34. Consents. Except as otherwise provided herein, wherever in this Lease the consent of a party is required to an act by or for the other party, such consent shall not be unreasonably withheld or delayed. Landlord's actual reasonable costs and expenses (including but not limited to architects', attorneys', engineers' and other consultants' fees) incurred in the consideration of, or response to, a request by Tenant for any Landlord consent, including but not limited to consents to an assignment, a subletting or the presence or use of a Hazardous Material or a so-called "landlord-lender" agreement, shall be paid by Tenant upon receipt of an invoice and supporting documentation therefor. The failure to specify herein any particular condition to Landlord's consent shall not preclude the imposition by Landlord at the time of consent of such further or other conditions as are then reasonable with reference to the particular matter for which consent is being given. 35. Guarantor. A. Execution. The Guarantors, if any, shall each execute Landlord's standard guaranty form. B. Event of Default. It shall constitute an Event of Default of the Tenant if any Guarantor fails or refuses, upon request to provide: (a) evidence of the execution of the guaranty, including the authority of the party signing on Guaranto~s behalf to obligate Guarantor, and in the case of a corporate Guarantor, a certified copy of a resolution of its board of directors authorizing the making of such guaranty, (b) current financial statements, (c) an Estoppel Certificate, or (d) written confirmation that the guaranty is still in effect. 36. Quiet Possession. If Tenant shall perform all of the covenants and agreements herein required to be performed by Tenant, Tenant shall, subject to the terms of this Lease, at all times during the Lease Term, have peaceful and quiet enjoyment of the Premises against any person claiming by, through or under Landlord. 37. Security Measures. Tenant hereby acknowledges that Landlord shall have no obligation whatsoever to provide guard service or other security measures. Tenant assumes all responsibility for the protection of the Premises, Tenant, its agents and invitees and their property from the acts of third parties. Tenant acknowledges and agrees that, if Landlord patrols the Project and/or has security cameras at the Project, Landlord is not providing any security services with respect to the Premises and that Landlord shall not be liable to Tenant for, and Tenant waives any claim against Landlord with respect to, any loss by theft or any other damage suffered or incurred by Tenant in connection with any unauthorized entry into the Premises or any other breach of security with respect to the Premises. 38. Reservations. Landlord reserves the right: (i) to grant, without the consent or joinder of Tenant, such easements: rights and dedications that Landlord deems necessary, (ii) to cause the recordation of parcel maps and restrictions, and (iii) to create and/or install new utility raceways, so long as such easements, rights, dedications, maps, restrictions, and utility raceways do not unreasonably interfere with the use of the Premises by Tenant. Tenant agrees to sign any documents reasonably requested by Landlord to effectuate such rights. 39. Authority; Multiple Parties; Execution. A. If either Party hereto is a corporation, trust, limited liability company, partnership, or similar entity, each individual executing this Lease on behalf of such entity represents and warrants that he or she is duly authorized to execute and deliver this Lease on its behalf. Each Party shall, within 30 days after request, deliver to the other Party satisfactory evidence of such authority. B. If and when included within the term "Tenant," as used in this instrument, there is more than one person, firm or corporation, each shall be jointly and severally liable for the obligations of Tenant. Additionally, if there be more than one Tenant, then each Tenant hereunder agrees that (i) the act of any one Tenant, acting alone, shall be sufficient to bind all Tenants with respect to their respective rights and obligations under this Lease and (ii) Landlord shall have the unconditional right to rely upon the act of any one Tenant as being binding upon all Tenant's without any obligation to inquire as to the authority of the Tenant with whom Landlord is dealing. C. This Lease may be executed in any number of counterparts, each of which shall be deemed to be an original, and all of such counterparts shall constitute one Lease. Execution copies of this Lease may be delivered by facsimile or email, and the parties hereto agree to accept and be bound by facsimile signatures or scanned signatures transmitted via email hereto, which signatures shall be considered as original signatures with the transmitted Lease having the same binding effect as an original signature on an original Lease. At the request of either party, any facsimile document or scanned document transmitted via email is to be re-executed in original form by the party who executed the original facsimile document or scanned document. Neither party may raise the use of a facsimile machine or scanned document or the fact that any signature was transmitted through the use of a facsimile machine or email as a defense to the enforcement of this Lease. Further, the Parties hereto expressly consent and agree that this Lease may be electronically signed. The Parties agree that electronic signatures appearing on this Lease shall be treated, for purposes of validity, enforceability and admissibility, the same as hand-written signatures. 40. Conflict. Any conflict between the Basic Lease Provisions of this Lease and the other Sections of this standard base Lease, the Basic Lease Provisions shall control. All exhibits and addenda attached hereto are hereby incorporated into this Lease and made a part hereof. In the event of any conflict between such exhibits or addenda and the other terms of the standard base Lease, such exhibits or addenda shall control. 41. Offer. This Lease is not intended to be binding until executed and delivered by all Parties hereto. The submission by Landlord to Tenant of this Lease shall have no binding force or effect, shall not constitute an option for the leasing of the Premises, nor confer any right or impose any obligations upon either party until execution of this Lease by both parties. 42. Amendments. This Lease may be modified only in writing, signed by the Parties in interest at the time of the modification. As long as they do not materially change Tenant's obligations hereunder, Tenant agrees to make such reasonable non-monetary modifications to this Lease as may be reasonably required by a Lender in connection with the obtaining of normal financing or refinancing of the Premises. 43. Waiver of Jury Trial. THE PARTIES HEREBY WAIVE THEIR RESPECTIVE RIGHTS TO TRIAL BY JURY IN ANY ACTION OR PROCEEDING INVOLVING THE PROPERTY OR ARISING OUT OF THIS AGREEMENT. 44. Accessibility; Americans with Disabilities Act. A. CASp Statement. Landlord makes the following statement based on Landlord's actual knowledge in order to comply with California Civil Code Section 1938: The Building and Premises have not undergone an inspection by a Certified Access Specialist (CASp). B. No Representation or Warranty. Since compliance with the Americans with Disabilities Act (ADA) is dependent upon Tenant's specific use of the Premises, Landlord makes no warranty or representation as to whether or not the Premises comply with ADA or any similar legislation/ In the event that Tenant's use of the Premises requires modifications or additions to the Premises in order to be in ADA compliance, Tenant agrees to make any such necessary modifications and/or additions at Tenant's expense. C. California Law Disclosure. A Certified Access Specialist (CASp) can inspect the subject premises and determine-whether the subject premises comply with all of the applicable construction-related accessibility standards under state law. Although state law does not require a CASp inspection of the subject premises, the commercial property owner or lessor may not prohibit the lessee or tenant from obtaining a CASp inspection of the subject premises for the occupancy or potential occupancy of the lessee or tenant, if requested by the lessee or tenant. The parties shall mutually agree on the arrangements for the time and manner of the CASp inspection, the payment of the fee for the CASp inspection, and the cost of making any repairs necessary to correct violations of construction-related accessibility standards within the premises. D. Acknowledgement. Landlord and Tenant hereby mutually agree that in the event a CASp inspection is requested by Tenant, the fee for the CASp inspection and the cost of making any repairs necessary to correct violations of construction-related accessibility standards noted in the CASp inspection shall be paid by Tenant. Page 14 of23 fttt; INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 45. REIT Provisions. Tenant understands that, in order for an indirect owner of Landlord to qualify as a REIT, the following requirements (the "REIT Requirements") must be satisfied: A. Subleasing. Anything contained in this Lease to the contrary notwithstanding, Tenant shall not sublet the Premises on any basis such that the rent or other amounts to be paid by the sublessee thereunder would be based, in whole or in part, on either (i) the net income or profits derived by the business activities of the proposed sublessee, or (ii) any other formula such that any portion of the Rent would fail to qualify as "rents from real property'" within the meaning of Section 856(d) of the Internal Revenue Code, or any similar or successor provision hereto. B. Personal Property Limitation. Anything contained in the Lease to the contrary notwithstanding, the average of the fair market values of the items of personal property that are leased to Tenant under the Lease at the beginning and at the end of any year shall not exceed fifteen percent (15%) of the average of the aggregate fair market values of the leased property at the beginning and at the end of such year (the "Personal Property Limitation"). If Landlord reasonably anticipates that the Personal Property Limitation will be exceeded with respect to the leased property for any year, Landlord shall notify Tenant, and Tenant either (i) shall purchase at fair market value any personal property anticipated to be in excess of the Personal Property Limitation ("Excess Personal Property") either from Landlord or a third party or (ii) shall lease the Excess Personal Property from a third party. In either case, Tenant's Base Rent obligation shall be equitably adjusted. Notwithstanding anything to the contrary set forth above, Tenant shall not be responsible in any way for detem,ining whether Tenant has exceeded or will exceed the Personal Property Limitation and shall not be liable to Landlord or any of its shareholders in the event that the Personal Property Limitation is exceeded, as long as Tenant meets its obligation to acquire or lease any Excess Personal Property as provided above. This section is intended to ensure that the Rent qualifies as "rents from real property," within the meaning of Section 856(d) of the Internal Revenue Code, or any similar or successor provisions thereto, and shall be interpreted in a manner consistent with such intent. C. REIT Requirements. Tenant agrees to use its reasonable efforts to cause its affiliates, to cooperate in good faith with Landlord to ensure that the tem,s of this Section are satisfied. Tenant agrees to use reasonable efforts to cause its affiliates, upon request by Landlord to take reasonable action necessary to ensure compliance with all REIT Requirements. If Tenant becomes aware that the REIT Requirements are not, or will not be, satisfied, Tenant shall notify, or use reasonable efforts to cause its affiliates to notify Landlord of such noncompliance. Notwithstanding anything herein to the contrary, in the event that Tenant defaults in its obligations under this Section with respect to the REIT Requirements and fails to cure the same within 30 days after written notice from Landlord, then Landlord's sole remedy for Tenant's breach of its obligations under this Section shall be to terminate the Lease (provided, however, that the preceding shall not limit Landlord's right to pursue all other available remedies in connection with an Event of Default by Tenant of any other obligations or provisions under the Lease other than those set forth in this Section). 46. Interpretation. This Lease shall be deemed to have been drafted by both parties and shall not be interpreted against any person as drafter. In addition, prior drafts of this Lease or any letters of intent regarding the same shall not be used in any way to interpret the provisions hereof. 47. Force Majeure. Landlord shall not be held responsible for delays in the performance of its obligations hereunder when caused by strikes, lockouts, labor disputes, acts of God, inability to obtain labor or materials or reasonable substitutes therefor, governmental restrictions, governmental regulations, governmental controls, delay in issuance of pem,its, enemy or hostile governmental action, civil commotion, fire or other casualty, and other causes beyond the reasonable control of Landlord ("Force Majeure"). 48. Arbitration. A. Subject to (B) below, in the event of any dispute or disagreement between the parties as to the validity, construction, enforceability or performance of this Lease which cannot be resolved by the mutual agreement of the parties, and mindful of the high cost of litigation, not only in dollars but time and energy as well, the parties intend to and do hereby establish a quick, final and binding out-of-court dispute resolution procedure to be followed in the unlikely event any controversy should arise out of or concerning the perfom,ance of this Lease. Accordingly, the parties do hereby covenant and agree as follows: (1) Any controversy, dispute, or claim of whatever nature arising out of, in connection with, or in relation to the interpretation, perfom,ance or breach of this Lease, including any claim based on contract, tort, or statute, shall be detem,ined, at the request of any party to this Lease by binding arbitration before a retired judge of the applicable court of jurisdiction affiliated with Judicial Arbitration & Mediation Services, Inc. ("J.AM.S,") conducted at a location detem,ined by an arbitrator in the County of San Diego, State of California administered by and in accordance with the then existing Rules of Practice and Procedure of Judicial Arbitration & Mediation Services (J.AM.S.), and judgment upon any award rendered by the arbitrator(s) may be entered by any state or federal Court having jurisdiction thereof. (2) The provisions of California Code of Civil Procedures Section 1283.05 or its successor section(s) are incorporated in and made a part of this Lease. Depositions may be taken and discovery may be obtained in any arbitration under this Lease in accordance with such section(s). (3) The arbitrator shall detem,ine which is the prevailing party and may include in the award that party's costs and reasonable attorneys' fees. (4) As soon as practicable after selection of the arbitrator, the arbitrator or such arbitrato~s designated representative shall detem,ine a reasonable estimate of anticipated fees and costs of the arbitrator, and render a statement to each party setting forth that party's pro rata share of such fees and costs. Thereafter each party shall, within 10 days of receipt of such statement, deposit such sum with the arbitrator. Failure of any party to make such a deposit shall not otherwise serve to abate, stay or suspend the arbitration proceedings. B. Any party shall have the right to apply for and obtain a temporary restraining order or other temporary or permanent injunctive or equitable relief from a court of competent jurisdiction to enforce the provisions hereof or to otherwise protect its rights under this Section. Notwithstanding the foregoing, the following claims, disputes or disagreements under this Lease are expressly excluded from the arbitration procedures set forth herein: (i) disputes for which a different resolution detemiination is specifically set forth in this Lease; (ii) all claims by either party which (1) seek anything other than enforcement or determination of rights under this Lease or (2) are primarily founded upon matters of fraud, willful misconduct, bad faith or any other allegations of tortious action, and seek the award of punitive or exemplary damages; (iii) claims relating to (1) Landlord's exercise of any unlawful detainer rights pursuant to applicable Legal Requirements or (2) rights or remedies used by Landlord to gain possession of the Premises or tem,inate Tenant's right of possession to the Premises, all of which disputes shall be resolved by suit filed in the applicable court of jurisdiction, the decision of which court shall be subject to appeal pursuant to applicable Legal Requirements; and (iv) any claim or dispute that is within the jurisdiction of Small Claims Court. C. The provisions of this Section shall not limit, require the postponement of, or in any other way preclude the exercise of any right or remedies otherwise enjoyed by any party to this Lease under the provisions hereof. 49. Miscellaneous. A. Neither this Lease nor a memorandum of lease shall be filed by or on behalf of Tenant in any public record. Landlord may prepare and file, and upon request by Landlord Tenant will execute, a memorandum of lease. B. For so long as Landlord maintains the contract for any of the utilities at the Project, Landlord, or a third-party benchmarking consultant engaged by Landlord (the "Benchmarking Consultant"), shall have access to the Utility Data (defined below) and shall collect Utility Data on Tenant's behalf annually. In the event Landlord is not the intem,ediary for utilities at the Project and Tenant obtains its own utility contracts, annually Tenant, upon Landlord's request, at Tenant's sole cost and expense, shall deliver to Landlord data regarding the electricity, gas, water consumed in the operation of the Premises and the amount of waste (trash) that is being removed from the Premises, this shall include any and all data derived from energy providing mechanisms or technologies which may not be in existence at the Premises as of the date hereof but which may in the future be designed and installed to service the Premises (the "Utility Data") for purposes of regulatory compliance, manual and automated benchmarking, energy management, building environmental perfomiance labeling and other related purposes, including but not limited, to the Environmental Protection Agency's Energy Star rating system and other Utility benchmarking systems. Tenant shall have the option to utilize Landlord's Benchmarking Consultant to share such Utility Data Page 15 of23 /l,t£ INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 with Landlord, including, but not limited to, providing the Benchmarking Consultant authorization to contact the utility companies directly to obtain Tenant's Utility Data. Notwithstanding the foregoing Tenant's decision ·not to engage with Landlord's Benchmarking Consultant shall not relieve Tenant of its obligation to share its Utility Data with Landlord. Tenant agrees to update such benchmarking information for Tenant's operations conducted during the year. Landlord shall use commercially reasonable efforts to utilize automated data transmittal services offered by utility companies to access the Utility Data, including but not limited to its engagement with the Benchmarking Consultant. Upon written request by Tenant, Landlord shall provide the Utility Data for the Building from the previous calendar year, within sixty (60) days of such request. Additionally, Tenant shall be responsible, at Tenant's sole cost and expense, upon Landlord's request, to provide any required information necessary for Landlord to comply with SCAQMD rules related to Tenant's use of the Premises. Landlord and Tenant acknowledge and agree that any Utility Data shared with Landlord's Benchmarking Consultant shall not be sold to any other party and shall be subject to the terms of Section 50 below and Landlord's Privacy Policy: For any information or inquiries related to sustainability and energy usage, please contact: Valerie Leith, Senior Paralegal 11620 Wilshire Boulevard, Suite 1000 Los Angeles, CA 90025 vieith@rexfordindustrial.com 424-256-2108 (d) 310-966-1690 (f) C. Words of any gender used in this Lease shall be held and construed to include any other gender, and words in the singular number shall be held to include the plural, unless the context otherwise requires. D. Tenant acknowledges receipt of the Tenant Sustainability Guide and Landlord's Supplier Code of Conduct and agrees to comply with its terms, a current copy of which can be found at www.rexfordindustrial.com/esg. 50. CCPA Disclosure. In accordance with the California Consumer Privacy Act ("CCPA"), Landlord makes the following disclosure: Landlord collects certain categories of personal information about tenants including identifiers (such as names, email addresses and telephone numbers) and commercial information as set forth on the Tenant Contact Information form attached hereto. Such personal information is collected by Landlord for use in providing services under the Lease and for other internal business purposes. Landlord does not sell personal information. To learn more about Landlord's Privacy Policy please visit https:l/www.rexfordindustrial.com/privacy-policy. 51. OFAC. Tenant hereby represents and warrants that, to the best of its knowledge, Tenant is not, nor any of its subsidiaries or affiliates, nor any persons or entities holding any legal or beneficial interest whatsoever in such parties, are a person or entity who: (a) is the target of any laws, sanctions or executive orders administered by the United States, the United Nations, the European Union or the United Kingdom, including without limitation, the U.S. Department of the Treasury's Office of Foreign Asset Control ("OFAC") or any other governmental entity imposing economic sanctions, trade embargoes or anti-money laundering laws (collectively, "Asset Controls"), (b) is located, organized, or resident in a country or territory that is, or whose government is, the target of Asset Controls, {c) is directly or indirectly owned or controlled by any person or entity currently included on OFAC's Specially Designated Nationals and Blocked Persons List or the Consolidated Sanctions List maintained by OFAC or other Asset Controls, including, without limitation, lists maintained by the United Nations Security Council, the Foreign Sanctions Evaders list and the US Department of Commerce's Entity List, or (d) is directly or indirectly owned or controlled by any person or entity who is located, organized, or resident in a country or territory that is, or whose government is, the target of Asset Controls. If the foregoing representation is untrue at any time during the Lease Term, an Event of Default will be deemed to have occurred, without the necessity of notice to Tenant, and Landlord shall have all available remedies. [SIGNATURE PAGE FOLLOWS] Page 16 of23 fltf; INITIALS Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 The parties hereto have executed this Lease on the dates specified about their respective signatures. Landlord: REXFORD INDUSTRIAL REAL TY, L.P., a Maryland limited partnership By: Rexford Industrial Realty, Inc., a Maryland corporation, Its General Partner By: ~ f:L.rudA- Printed: Matt Ehrlich TiUe: Senior Vice President Leasing Date: Sep 13' 2024 I 5:31 PM PDT Address: 11620 Wilshire Boulevard, Suite 1000 Los Angeles, California 90025 Telephone: +1 (310) 966-1680 With a Copy to: Attn: General Counsel C/0: Rexford Industrial Address: 11620 Wilshire Boulevard, Suite 1000 Los Angeles, California 90025 Page 17 of 23 Tenant: RALLY HOUSE PICKLEBALL, LLC, a California limited liability company By: 111.iM: Spvi~ Printed: El 1 iot springer Title: Managing Member Date: Sep 13, 2024 I 11:07 AM PDT 6965 El Camino Real suite 105-543 Address: earl sbad, CA 92009 Telephone: 8587528354 Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 L_ EXHIBIT "A" SITE PLAN ATTACHED TO AND A PART OF THE LEASE AGREEMENT DATED SEPTEMBER 11 , 2024 BETWEEN REXFORD INDUSTRIAL REALTY, LP., A MARYLAND LIMITED PARTNERSHIP and RALLY HOUSE PICKLEBALL, LLC, A CALIFORNIA LIMITED LI ABILITY COMPANY PRQr'lRTY LIN( ------ 6131 IN 0\IA~l0111 ----------------GATEWAY ROAD -- -- LOCATION FOR STRIPED PARKING (IF REQUIRED) SUBJECT PREMISES I I ~ il' I >-<( 3! z 0 I-<( > 0 z z Not to scale. Does not constitute a representation or warranty regarding the Project or any portion thereof, and Landlord reserves the right to modify any portion of the Project in its sole discretion as provided in the Lease. Page 18 of 23 Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 EXHIBIT"B" PROJECT RULES AND REGULATIONS ATTACHEDfTO AND A PART OF THE LEASE AGREEMENT DA ED SEPTEMBER 11, 2024 BETWEEN REXFORD INDUSTRIAL REALTY, L.P., A MARYLAND LIMITED PARTNERSHIP and RALLY HOUSE PICKLEBALL, LLC, A CALIFORNIA LIMITED LIABILITY COMPANY Rules and Regulations 1. The sidewalk, entries, driveways and drive aisles of the Project shall not be obstructed by Tenant, or its agents, or used by them for any purpose other than ingress and egress to and from the Premises. 2. Tenant shall not place any objects, including antennas, outdoor furniture, etc., in the parking areas, landscaped areas or other areas outside of its Premises, or on the roof of the Project without Landlord's prior written consent. 3. Except for guide, signal, or seeing-eye dogs, no animals shall be allowed in the offices, halls, or corridors in the Project. 4. Tenant shall not disturb the occupants of the Project or adjoining buildings by the use of any radio or musical instrument or by the making of loud or improper noises. 5. If Tenant desires telegraphic, telephonic or other electric connections in the Premises, Landlord or its agent will direct the electrician as to where and how the wires may be introduced; and, without such direction, no boring or cutting of wires will be permitted. Any such installation or connection shall be made at Tenant's expense. 6. Tenant shall not install or operate any steam or gas engine or boiler, or other mechanical apparatus in the Premises, except as specifically approved in the Lease. The use of oil, gas or inflammable liquids for heating, lighting or any other purpose is expressly prohibited. Explosives or other articles deemed extra hazardous shall not be brought into the Project. 7. Parking any type of recreational vehicles is specifically prohibited on or about the Project. Further, parking any type of trucks, trailers or other vehicles in the Building is specifically prohibited. In the event that a vehicle is disabled, it shall be removed within 48 hours. There shall be no "For Sale" or other advertising signs on or about any parked vehicle. All vehicles shall be parked in the designated parking areas in conformity with all signs and other markings. All parking will be open parking, and no reserved parking, numbering or lettering of individual spaces will be permitted except as specified by Landlord or in the Lease. 8. Tenant shall maintain the Premises free from rodents, insects and other pests. 9. Landlord reserves the right to exclude or expel from the Project any person who, in the judgment of Landlord, is intoxicated or under the influence of liquor or drugs or who shall in any manner do any act in violation of the Rules and Regulations of the Project. 10. Tenant shall not cause any unnecessary labor by reason of Tenant's carelessness or indifference in the preservation of good order and cleanliness. Landlord shall not be responsible to Tenant for any loss of property on the Premises, however occurring, or for any damage dohe to the effects of Tenant by the janitors or any other employee or person. 11. Tenant shall give Landlord prompt notice of any defects in the water, lawn sprinkler, sewage, gas pipes, electrical lights and fixtures, heating apparatus, or any other service equipment affecting the Premises. 12. Tenant shall not permit storage outside the Premises, or dumping of waste or refuse or permit any harmful materials to be placed in any drainage system or sanitary system in or about the Premises. 13. All moveable trash receptacles provided by the trash disposal firm for the Premises must be kept in the trash enclosure areas, if any, provided for that purpose. 14. No auction, public or private, will be permitted on the Premises or the Project. 15. No awnings shall be placed over the windows in the Premises except with the prior written consent of Landlord. 16. The Premises shall not be used for lodging, sleeping or cooking or for any immoral or illegal purposes or for any purpose other than that.specified in the Lease. No gaming devices shall be operated in the Premises. 17. Tenant shall ascertain from Landlord the maximum amount of electrical current which can safely be used in the Premises, taking into account the capacity of the electrical wiring in the Project and the Premises and the needs of other tenants, and shall not use more than such safe capacity. Landlord's consent to the installation of electric equipment shall not relieve Tenant from the obligation not to use more electricity than such safe capacity. 18. Tenant assumes full responsibility for protecting the Premises from theft, robbery and pilferage. 19. Tenant shall not install or operate on the Premises any machinery or mechanical devices of a nature not directly related to Tenant's ordinary use of the Premises and shall keep all such machinery free of vibration, noise and air waves which may be transmitted beyond the Premises. 20. Tenant shall not permit smoking in the office areas of the Premises. 21. Tenant shall not permit the use of space heaters on the Premises. 22. Tenant shall not conduct any loading or unloading of materials or supplies outside of the areas specifically designated by Landlord for such activities. 23. Tenant shall restrict the use of janitorial work during non-business hours. Notwtthstanding the foregoing, Tenant shall be permitted to utilize janitorial services during business hours as long as such services do not create any nuisance or unreasonably interfere or disturb other Tenants. Page 19 of 23 Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 EXHIBIT"C" FORM OF TENANT CONTACT INFORMATION SHEET Rexford Industrial Tenant Contact Information Please complete and return this form immediately to: Rexford Industrial Realty, L.P. 11620 Wilshire Boulevard, Suite 1000 Los Angeles, California 90025 Tenant Contact Information Tel (310) 966-1680 E-Fax (310) 405-7646 1. Tenant Full Legal Name: Rally House Pickleball, LLC Office Main: ( N/ A ) N/ A Mobile: ~0~8_5_8 __ 7_5_2_8_3_54 __ Email Address: e 11 i ot@keho l dings. net 2. Emergency Contact: _N_i-,-c_k_oa__,w,-s_o_n _____ _ Emergency Email:. __ n_i_c_k_@_n_i_ck_d_a_w_s_o_n_._c_o_m ___________________ _ Emergency Phone Number ( 858 ) 3536425 3. Leased Premises Address: __ 6_1_31_I_n_n_o_v--'a~t--'i..:.o....cn_w_a-y~,~s_u_i--'t_e_10.:..0~, _c_a_r_l_s_b_a_d~,_CA __ 9_2_0_0_9 4. On-Site Contact NamefTitle:._ccN..:.i..cc:..:.k--'D:..:a::cw.:.cs:..:o:..:.n:.._ ___________________ _ Office Main: ( N/A } N/A Mobile: -< ~8=5~8-~~3 5=3~6~4=2=5- Email Address: ni ck@ni ckdawson. com 5. Accounts Payable Contact Name:_E"'"l-'-l-'-1~· o:..:tc......=sccp.:..r..:.i~ng.,_e=-r'------------------- Office Main: ( N/A ) N/A Mobile:-< =8=5=8-~-7~5=2=8~3=5~4 __ Email Address: e 11 i ot@keho l dings. net Mailing Address (if different):.~N~A'--------------------------- 6. Annual Kingsley Tenant Satisfaction Survey Contact Name: N/A Email Address: _N~/_A ___________________________ _ 7. Insurance Contact Name (when new COis are needed/please no agent info): N/A Email Address: N/A Phone Number: N/A 8. Preventive Maintenance (HVAC/Roof/Fire/Tree Trimming if applicable) Contact Name: Ni ck Dawson Email Address: ni ck@ni ckdawson. com Phone Number: 8583536425 Tenant Business Information 9. Nature of Business:,--'-P--'i-=c.:.ck..:.l=eb=-a"'-1'-l;__ ______ NAICS (6-digit) Code for Business:~ 10. Total Number of Employees at this location:"'5 __ _ 11. Product or Service is Used by Consumers or by other Businesses (circle one) consumers 12. Is any portion of your business involved in producing or selling goods or services via the Internet or Amazon/ eBay/ Craigslist? Yes or No (circle one) No If yes, approximately what percent is sold to consumers _N--'/_A __ _ If yes, approximately what percent is sold to businesses _N~/_A __ _ 13. Is any portion of your business involved in manufacturing/warehousing any products/services that are eventually sold via the Internet? Yes or No (circle one) No If yes, approximately what percent_N..;_/_A __ _ 14. What percentage of your business do you expect to experience sales growth due to the lnternet/e-commerce over the next 1-2 years--'-□--------- 15. Where does the Product/Service Originate From?_:..:.N/'--'A-=-------------------- 16. Percent of Product or Service that is Sourced in CA _N~/:...A _____ ....,... __ _ 17. Percent of Product or Service that is Sourced in USA but outside CA _N/_A ________ _ 18. Percent of Product or Service that is Imported from outside USA _N/:...A _________ _ 19. Where is the Product/Service distributed to? ~N~A'-----------,--------- 20. Percent of Product or Service that is distributed to or consumed in CA _N.:.../ A ____ _ 21. Percent of Product or Service that is distributed to or consumed in USA, but outside of CA~ 22. Percent of Product or Service that is exported to outside of USA _N_/ A ______ _ Signature: __ ~f1li~-~=t_\'"'if~Vl=·IAfY-~---------Date: Sep 13, 2024 I 11:07 AM PDT Page 20 of 23 Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 EXHIBIT"D" FORM OF LETTER OF CREDIT ATTACHED TO AND A PART OF THE LEASE AGREEMENT DATED SEPTEMBER 11, 2024 BETWEEN REXFORD INDUSTRIAL REAL TY, LP., A MARYLAND LIMITED PARTNERSHIP and RALLY HOUSE PICKLEBALL, LLC, A CALIFORNIA LIMITED LIABILITY COMPANY [NAME OF BANK] IRREVOCABLE STANDBY LETTER OF CREDIT Date of Issue: ____ _ APPLICANT: Rally House Pickleball. LLC AMOUNT: $550,000.00 No. ____ _ BENEFICIARY: Rexford Industrial Realty, LP., a Maryland limited partnership 11620 Wilshire Blvd., Suite 1000 Los Angeles, CA 90025 Attn: Victor Ramirez At the request and for the account of __________ ~ (the "Account Party"), we hereby establish in your favor our Irrevocable Letter of Credit no. ___ in the amount of five hundred fifty thousand and 00/100 Dollars ($550,000.00. This Letter of Credit is issued with respect to that certain lease agreement, by and between you, as Landlord, and the Account Party, as Tenant. Said lease agreement, and any amendments or modifications thereof, is hereinafter referred to as the "Lease." Our obligations under this Letter of Credit are solely as set forth herein and are completely independent of the obligations of the Account Party under the Lease. We do not undertake any obligation under the Lease, nor do we undertake any responsibility to ascertain any facts, or to take any other action, with respect to the Lease, and we acknowledge that our obligations under this Letter of Credit shall not be affected by any amendment or modification to the Lease, any circumstance, claim or defense of any party as to the enforceability of the Lease or any dispute as to the accuracy of the Statement (as defined below). The references to the Lease in this Letter of Credit are solely to describe the required contents of the Statement. Funds under this Letter of Credit are available to you against presentation of the following documents at our office at -,--,-----;-=-.,,-,--,--------------------------prior to close of business on the expiration date set forth below: 1. The original of this Letter of Credit. 2. Your sight draft drawn on us in an amount not exceeding the amount of this Letter of Credit (less sums previously paid by us hereunder) executed by the person executing the Statement (as defined below) and bearing the number of this Letter of Credit; and 3. A statement (the "Statement") stating that the person drawing on this Letter of Credit is your duly authorized representative, and that you are entitled to draw upon this Letter of Credit. Facsimile demands are permitted by the delivery to us of facsimile copies of the documents described in 1 through 3 above. Facsimile demands shall be sent to us at the following facsimile number: ______ . If a demand is made by facsimile, the original letter of credit is not required. The expiration date of this Letter of Credit is-----~ provided, however, that the expiration date of this Letter of Credit shall be automatically extended, without notice of amendment, for successive one (1) year periods, unless we give you written notice of our election not to extend the expiration date ("Notice of Non-Renewal") not later than sixty (60) days prior to the date this Letter of Credit is scheduled to expire. In the event that we elect not to renew the Letter of Credit, you may immediately draw down on the full amount of the Letter of Credit by presentation of your drawing request. Further, in the event that a voluntary petition is filed by the Account Party, or an involuntary petition is filed against the Account Party by any of the Account Party's creditors other than Beneficiary, under the Federal Bankruptcy Code, or the Account Party executes an assignme'nt for the benefit of creditors, you may immediately draw down on the Letter of Credit, in full or from time-to-time in part, by presentation of your drawing request. This Letter of Credit is transferable in its entirety through us. Multiple transfers shall be permitted. There will be no charge to Beneficiary or any transferee for the transfer of this Letter of Credit. All bank charges and commissions incurred in the issuance of this Letter of Credit are for the Account Party's account. We will honor complying drafts presented hereunder by a transferee (and cease to honor drafts presented hereunder by you) upon our receipt of the fully executed transfer form attached hereto as Annex 1 attached hereto. We will not reduce or curtail any terms or conditions of this Letter of Credit upon a transfer. Transfers of this Letter of Credit shall be on the terms of this Letter of Credit as the same may be amendment. This Letter of Credit may be drawn upon in one or more drafts not exceeding in the aggregate, the amount available hereunder. Partial draws shall be permitted. We hereby issue this Letter of Credit in your favor, and we hereby undertake to honor all drafts drawn under and in compliance with the terms of this Letter of Credit. To the extent not inconsistent with the terms and conditions of this Letter of Credit, this Letter of Credit shall be governed by and construed in accordance with the Uniform Customs and Practices for Documentary Credits ( __ Revision) International Chamber of Commerce Publication 590 and the laws of the State of California. Authorized Signature Page 21 of23 Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 Notice Of Transfer ______ ,, 20_ [Name & address of issuing bank] Annex 1 RE: Irrevocable Transferable Letter Of Credit No. ________ _ The undersigned (the "Beneficiary"), hereby notifies-~~---~~--(the "Issuer") that it has irrevocably transferred the above-referenced Letter Of Credit to _____ (the "Transferee") with an address at __________ effective as of the date the Issuer receives this Notice Of Transfer. The Transferee acknowledges and agrees that the Letter Of Credit Amount may have been reduced pursuant to the terms thereof, and that the Transferee is bound by any such reduction. IN WITNESS WHEREOF, the undersigned has duly executed and delivered this Notice Of Transfer this __ day of ____ _ 20_. Agreed: [Transferee] By: __________ _ Name: __________ _ Its: ____________ _ REXFORD INDUSTRIAL REAL TY, L.P., a Maryland limited partnership By: Rexford Industrial Realty, Inc., a Maryland corporation, Its General Partner By: __________ _ Name: ___________ _ Title: ____________ _ Page 22 of23 Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 ADDENDUM ONE OPTION TO EXTEND ATTACHED TO AND A PART OF THE LEASE AGREEMENT DATED SEPTEMBER 11, 2024 BETWEEN REXFORD INDUSTRIAL REAL TY, L.P., A MARYLAND LIMITED PARTNERSHIP and RALLY HOUSE PICKLEBALL, LLC, A CALIFORNIA LIMITED LIABILITY COMPANY (a) Provided that as of the time of the giving of the Extension Notice and the Commencement Date of the Extension Tenn, (x) Tenantis the Tenant originally named herein, (y) Tenant actually occupies all of the Premises initially demised under this Lease and any space added to the Premises, and (z) no Event of Default exists or would exist but for the passage of time or the giving of notice, or both; then Tenant shall have the right to extend the Term of the Lease for an additional tenn of five (5) years (such additional tennis hereinafter called the "Extension Term") commencing on the day following the expiration of the initial Tenn (hereinafter referred to as the "Commencement Date of the Extension Term"). In order to properly exercise Tenant's rtght to the Extension Term, Tenant shall give Landlord written notice (hereinafter called the "Extension Notice") of its election to extend the Tenn of the Lease at least 9 months, but not more than 12 months, prior to the scheduled expiration date of the initial Tenn. (b) The Base Rent payable by Tenant to Landlord during the first year of the Extension Tenn shall be the greater of (i) an amount equal to 104% of the Base Rent applicable to the last year of the initial Tenn and (ii) the then prevailing market rate for comparable space in the Project and comparable buildings in the market area of the Project, taking into account the size of the space, the length of the renewal tenn, market escalations and the credit of Tenant. The Base Rent shall not be reduced by reason of any costs or expenses saved by Landlord by reason of Landlord's not having to find a new tenant for such premises (including, without limitation, brokerage commissions, costs of improvements, rent concessions or lost rental income during any vacancy period). In the event Landlord and Tenant fail to reach an agreement on such rental rate and execute the Amendment (defined below) prior to the expiration of the Lease, then Tenant's exercise of the renewal option shall be deemed withdrawn and the Lease shall tenninate on its original expiration date. Upon each anniversary of the Commencement Date of the Extension Term, the Base Rent shall be increased by no less than 4%. (c) The detennination of Base Rent does not reduce the Tenant's obligation to pay or reimburse Landlord for Operating Expenses, Insurance Cost Increases, Increases above the Base Real Property Taxes and other reimbursable items as set forth in the Lease, and Tenant shall reimburse and pay Landlord as set forth in the Lease with respect to such Operating Expenses, Insurance Cost Increases, Increases above the Base Real Property Taxes and other items with respect to the Premises during the Extension Term without regard to any cap on such expenses set forth in the Lease. (d) Except for the Base Rent as detennined above, Tenant's occupancy of the Premises during the Extension Tenn shall be on the same tenns and conditions as are in effect immediately prior to the expiration of the initial Term; provided, however, Tenant shall have no further right to any allowances, credits or abatements or any options to expand, contract, renew or extend the Lease. (e) If Tenant does not give the Extension Notice within the period set forth in paragraph (a) above, Tenant's right to extend the Lease Tenn shall automatically tenninate. Time is of the essence as to the giving of the Extension Notice. (I) Landlord shall have no obligation to refurbish or otherwise improve the Premises for the Extension Tenn. The Premises shall be tendered on the Commencement Date of the Extension Tenn in "as-is" condition. (g) If the Lease is extended for the Extension Term, then Landlord shall prepare and Tenant shall execute an amendment to the Lease confinning the extension of the Lease Tenn and the other provisions applicable thereto (the "Amendment"). (h) lfTenant exercises its right to extend the Term of the Lease for the Extension Tenn pursuantto this Addendum, the tenn "Term" as used in the Lease, shall be construed to include, when practicable, the Extension Term except as provided in (d) above. Page 23 of 23 Docusign Envelope ID: 4D76FFCD-7F76-4353-88DF-4C9C5ECAE969 Rexford Industrial ENTITY NAME: TENANT NAME: PREMISES ADDRESS: MOVE-IN DATE: MOVE-OUT DATE: TENANT MOVE-IN/MOVE-OUT CHECKLIST Unless otherwise noted, the premises are clean, in good working order and undamaged. Occupant accepts the Premises as-is with the exceptions listed below. This inspection form is made a part of and is subject to the terms and conditions of the Commercial Lease for the above referenced Premises. OFFICE AREAS MOVE-IN CONDITION MOVE-OUT CONDITION CARPET FLOORING CEILING DOORS HVAC LIGHTS WALLS WINDOW COVERINGS KITCHEN AREA RESTROOMS MOVE-IN CONDITION MOVE-OUT CONDITION FLOORING CEILING DOORS LIGHTS WALLS FIXTURES MIRRORS PLUMBING FANS WAREHOUSE MOVE-IN CONDITION MOVE-OUT CONDITION FLOORINGf---------------------4------------------1 CEILING 1----------------------1,-------------------1 MAN DOORSl----------------------lf-------------------1 LOADING DOORS LIGHTS 1----------------------1,-------------------1 1----------------------1,-------------------1 WALLSf--------------------4-----------------1 SKYLIGHTS COLUMNS i---------------------t------------------1 i---------------------t------------------1 DOCK EQUIPMENTf---------------------4------------------1 FIRE SPRINKLERS ELEC PANEL/DISTRIBUTIONi---------------------t------------------1 MOVE-IN CONDITION MOVE-OUT CONDITION LANDSCAPE I-·-------------------+--------------------! SINGLE TENANT BUILDING I PAVING /YARD AREAf--------------------4------------------1 EXTERIOR MISC ~--------------------'-----------------~ ADDITIONAL COMMENTS MOVE-IN CONDITION MOVE-OUT CONDITION DATE LOCKSMITH REKEYED: NUMBER OF KEYS GIVEN TO TENANT: The "Move-In Condition" portion of this form is to be completed ot the time of initial possession of the Premises. Receipt of a copy of this inspection form is hereby acknowledged. TENANT SIGNATURE: DATE: LANDLORD SIGNATURE: DATE: The "Move-Out Condition" portion of this form is to be completed at the time of Tenant move-out of the Premises. Receipt of a copy of this inspection form is hereby acknowledged. TENANT SIGNATURE: DATE: LANDLORD SIGNATURE: DATE: Land Use: 491 Racquet/Tennis Club Description A racquet/tennis club is a privately-owned facility that caters primarily to racquet sports (tennis, racquetball, pickleball, handball, squash) both indoor and outdoor. This land use may also provide ancillary facilities, such as a whirlpool, sauna, spa, weight room, snack bar, or retail store. Some sites offer daycare. Some sites offer competitive team sports. These facilities are membership clubs that may allow access to the general public for a fee. Time-of-Day Distribution for Parking Demand The current database for this land use does not have sufficient data to produce a detailed, hour-by- hour distribution of parking demand from which the analyst can determine a peak period of parking demand. Based on the time periods for which data were collected for this land use and on a review of comparable land uses with hour-by-hour parking demand data, the presumed peak period for parki,ng demand for this land use is between late-afternoon and early-evening. Additional Data The average parking supply ratio for the four study sites with parking supply information is 1.1 spaces per 1,000 square feet GFA. The average peak parking occupancy at these four sites is 96 percent. The sites were surveyed in the 1990s in Oregon. Source Numbers 275,276 Land Use Descriptions and Data Plots 281 282 Racquet/Tennis Club (491) Peak Period Parking Demand vs: 1000 Sq. Ft. GFA On a: Weekday (Monday -Friday) Setting/Location: General Urban/Suburban Number of Studies: 2 Avg. 1000 Sq. Ft. GFA: 63 Peak Period Parking Demand per 1000 Sq. Ft. GFA Average Rate Range of Rates 33rd / 85th Percentile 95% Confidence Standard Deviation Interval (Coeff. of Variation) 0.94 0.80 -1.03 ***I*** *** *** ( *** ) Data Plot and Equation Caution -Small Sample Size (/) Q) "i3 :c: ~ -0 ~ l1l a. II a. 80 60 40 ,, ,, ,, ,, ,, ,, ,, ,, ,, X - - -. --·-....... --........................ -~ -. - - - - - - - - -........ -.. -. - - - - - - - -~-. -.. --~ ................ -.. . ,, ,, ,, ,, ,, ,, ,, ,, ' ,, :,, ,,: ,, ••••••••••••••••••••••••• ·••••••••••••••••••••·••·•••·•••··•••·••··••••••••··•··•• ····X···························· .................................. •' ......... -. -. -... -. -............... ~ . . . . . . . . . . . . - - - - - - -.............................. -.. --- - - - - - - ---.... . 20 0 0 20 40 60 80 X = 1000 Sq. Ft. GFA X Study Site - - - - -Average Rate Fitted Curve Equation: *** R'= *** Parking Generation Manual, 6th Edition Racquet/Tennis Club (491) Peak Period Parking Demand vs: 1000 Sq. Ft. GFA On a: Saturday Setting/Location: General Urban/Suburban Number of Studies: 1 Avg. 1000 Sq. Ft. GFA: 18 Peak Period Parking Demand per 1000 Sq. Ft. GFA Average Rate Range of Rates 1.33 1.33 -1.33 Data Plot and Equation "' Cl) 0 :i:: ~ '"C ~ co a. II a. 30 20 33rd / 85th Percentile ***I*** ········-------········--------······· ···············-··----··············-· 10 10 X = 1000 Sq. Ft. GFA X Study Site Fitted Curve Equation: *** 95% Confidence Standard Deviation Interval (Coeff. of Variation) *** *** ( *** ) Caution -Small Sample Size X 20 - - - - -Average Rate R•= *** Land Use Descriptions and Data Plots 283 284 Racquet/Tennis Club (491) Peak Period Parking Demand vs: Courts On a: Weekday (Monday -Friday) Setting/Location: General Urban/Suburban Number of Studies: 2 Avg. Num. of Courts: 15 Peak Period Parking Demand per Court Average Rate Range of Rates 3.93 3.08 -4.59 Data Plot and Equation 80 60 u, Q) 0 :c ~ 'O 40 Q) ~ ra Q. II Q. 20 0 0 X Study Site Fitted Curve Equation: ••• Parking Generation Manual, 6th Edition 33rd / 85th Percentile ***I*** 95% Confidence Standard Deviation Interval (Coeff. of Variation) *** *** ( *** ) Caution -Small Sample Size .,, .,, .,, X .,, .,, ---·-··························-· __ ,! .,, .,, .,, .,, .,, .,, .,, .,, ----X----------------------------------------------- 10 20 X = Number of Courts -----Average Rate Racquet/Tennis Club (491) Peak Period Parking Demand vs: Courts On a: Saturday Setting/Location: General Urban/Suburban Number of Studies: 1 Avg. Num. of Courts: 12 Peak Period Parking Demand per Court Average Rate Range of Rat~s 2.00 2.00 -2.00 Data Plot and Equation Ul Q) 0 i: ~ 'O ~ Cll a. II a. 30 20 10 0 0 X Study Site Fitted Curve Equation:*** 33rd / 85th Percentile ***I*** 10 X = Number of Courts 95% Confidence Standard Deviation Interval (Coeff. of Variation) *** *** ( *** ) Caution -Small Sample Size X 20 -----Average Rate R•= *** Land Use Descriptions and Data Plots 285 286 Racquet/Tennis Club (491) Peak Period Parking Demand vs: Members (100s) On a: Weekday (Monday -Friday) Setting/Location: General Urban/Suburban Number of Studies: 2 Avg. Num. of Members (100s): 5.5 Peak Period Parking Demand per 100 Members Average Rate Range of Rates 10.73 8.00 -13.00 Data Plot and Equation 80 60 U) Q) 13 :c: Q) > ""C 40 Q) -l: t1l a. ,II a. 20 0 0 2 X Study Site Fitted Curve Equation: *** Parking Generation Manual, 6th Edition 33rd / 85th Percentile ***I*** 95% Confidence Standard Deviation Interval *** : , .... : ,, . ,, (Coeff. of Variation) *** ( *** ) Caution -Small Sample Size - - - -.. ~ ....... - - -. - - - -.......... ·/. -_, - -.. -........... . ,, ,, ,, ,, ,, . ---.. ----.... -.. ----" .... --x-" --" -.. --" -_,_ ... " . "." ..... " ......... " .. . 4 6 8 X = Number of Members (100s) - - - - -Average Rate R•= *** ite: Racquet/Tennis Club (491) Peak Period Parking Demand vs: 1000 Sq. Ft. GFA On a: Weekday (Monday -Friday) Setting/Location: Dense Multi-Use Urban Number of Studies: 1 Avg. 1000 Sq. Ft. GFA: 26 Peak Period Parking Demand per 1000 Sq. Ft. GFA Average Rate Range of Rates 1.15 1.15-1.15 Data Plot and Equation "' Q) 0 :c ~ "O ~ m Q. II Q. 40 30 20 33rd / 85th Percentile 95% Confidence Standard Deviation Interval (Coeff. of Variation) ***I*** *** *** ( *** ) Caution -Small Sample Size ··•···••····•·· ·········X·················· ······--·······---··················--·······---······--·················-········-······ --··············· -----------····· ----············ 10 0 0 10 20 30 X = 1000 Sq. Ft. GFA X Study Site - - - - -Average Rate Fitted Curve Equation: *** R'= ••• Land Use Descriptions and Data Plots 287 288 Racquet/Tennis Club (491) Peak Period Parking Demand vs: Courts On a: Weekday (Monday -Friday) Setting/Location: Dense Multi-Use Urban Number of Studies: 1 Avg. Num. of Courts: 10.0 Peak Period Parking Demand per Court Average Rate Range of Rates 33rd / 85th Percentile 95% Confidence Standard Deviation Interval (Coeff. of Variation) 3.00 3.00 -3.00 ***I*** *** *** ( *** ) Data Plot and Equation Caution -Small Sample Size Cl) Q) 'i3 :i:: ~ 'C ~ cu 0.. II 0.. 40 30 ••·•••••··•••••··•••••··•••••·•··••··· ··············X···· ·••··••••···•••····•••••·••••···••••···•••··•·••••···••••···••·· 20 ... - - -.... - -...... - -.... - -...... -.... - -..... - -..... -.... - - -..... - -... ~ ..... - - -... - -..... - -... -- - -.... - - -.... - - -..... - - -.. -- - -..... - -... - -10 0 0 10 20 X = Number of Courts X Study Site -----Average Rate Fitted Curve Equation: *** R'= *** Parking Generation Manual, 6th Edition ilc: Racquet/Tennis Club (491) Peak Period Parking Demand vs: Members (1 00s) On a: Weekday (Monday -Friday) Setting/Location: Dense Multi-Use Urban Number of Studies: 1 Avg. Num. of Members (100s): 20 Peak Period Parking Demand per 100 Members Average Rate Range of Rates 33rd / 85th Percentile 95% Confidence Standard Deviation Interval (Coeff. of Variation) 1.50 1.50-1.50 ***I*** *** *** ( *** ) Data Plot and Equation Caution -Small Sample Size 40 30 ··••·•••···•··•••·••·•··••···••··••····•··•··• ...... ·······•··•••··•••••••··• ·············X················· ···•·••••••••••···•·•·· :fl u :E ~ ~ ~ ro D.. II D.. 20 10 0 0 X Study Site Fitted Curve Equation: *** 10 20 30 X = Number of Members (1 ODs) - - - - -Average Rate R•= *** Land Use Descriptions and Data Plots 289 Racquet/Tennis Club (491) Peak Period Parking Demand vs: Courts On a: Weekday (Monday -Friday) Setting/Location: General Urban/Suburban Number of Studies: 2 Avg.Num.ofCourts: 15 Peak Period Parking Demand per Court Average Rate Range of Rates 3.93 3.08 -4.59 Data Plot and Equation 80 60 43 33rd 185th Percentile *** I *** 1/) Cl) u :.c: --------------------------------~ ~ "C ~ ro Cl. II Cl. 40 20 X Study Site Fitted Curve Equation: *** ,11 5 10 X = Number of Courts 95% Confidence Interval *** Standard Deviation (Coeff. of Variation) *** Caution -Small Sample Size X X 15 20 Average Rate Parking Generation Manual, 6th Edition • Institute ofTransportation ~Hgin'fuJJ F CA R LS 8 /'-, D JAN 3 0 2025 PLANNING 01\/l~'Oi ! PART A. Project Summary Information NAME OF PROJECT: Pickleball CUP ------------------------------ APPLICATION PERMIT TYPES REQUESTED: Minor Conditional Use Permit ----------------------- ACCESSOR PARCEL NUMBERS: 213-261-25-00 --------------------------- PROPERTY ADDRESS: 6131 Innovation Way, Carlsbad CONTACT: 121 Applicant □ Property Owner □ Agent Signature: ______________________________ _ Name: Paul Dan Date: 08/21/24 Fully describe the proposed project by application type. Include any details necessary to adequately explain the scope and/or operation of the proposed project. You may also include any background information and supporting statements regarding the reasons for, or appropriateness of, the application. Use an addendum sheet if necessary. Please see attached Project Description. Page 2 of 4 P-1 (8) Fonn Rev 412024 PART B. Supplemental Information Denote whether the following items are applicable to the project or if any portion of the property located within any of the following? Use an addendum sheet to further describe all items marked "yes" in this list (attach additional sheets as necessary). 1. A very high fire hazard severity zone, as determined by the Department of Forestry and Fire Protection pursuant to Government Code§ 51178 for State Responsibility Areas; or any official local maps published pursuant to Government Code§ 51178 for Local Responsibility Areas. 2. Wetlands, as defined in the United States Fish and Wildlife Service Manual, Part 660 FW 2 (June 21, 1993). 3. A hazardous waste site that is listed pursuant to Government Code § 65962.5 or a hazardous waste site designated by the Department of Toxic Substances Control pursuant to Health and Safety Code§ 25356 of the Health and Safety Code. NOTE: Certification of compliance required on Form P-l(C). 4. A special flood hazard area subject to inundation by the 1 percent annual chance flood (100-year flood) as determined by the Federal Emergency Management Agency in any official maps published by the Federal Emergency Management Agency. 5. A delineated earthquake fault zone as determined by the State Geologist in any official maps published by the State Geologist. 6. Any historic or cultural resources known to exist on the property. 7. The project requires any approvals under the Subdivision Map Act, such as a parcel map, a tentative map, or a condominium map. NOTE: If "yes," you may need to complete Form P-l(E) and Form P-l{F). 8. Any existing residential use on the site (units or structures)? NOTE: If "yes, 11 you must complete Form P-38. 9. The project require a Density Bonus Approval. NOTE: If "yes," you must complete Forms P-l{H). Yes □ □ □ □ □ □ □ □ □ No I&] Kl ~ [Zj Page 3 of 4 P-l(B) Fonn Rev 4/2024 10. The project site located within the Coastal Zone. □ NOTE: If "yes," you may need to complete Form P-6 and/or Form P-7. a. If "yes," does any portion of the property contain wetlands, as defined in ntle D 14 of the California Code of Regulations§ 13577. b. If "yes," does any portion of the property contain environmentally sensitive D habitat areas, as defined in Public Resources Code § 30240. NOTE: If "yes," you may need to complete Form P-17 or Form P-18. c. If "yes," does any portion of the property contain a tsunami run-up zone or D mapped inundation area. d. If "yes," does any portion of the property contain any public access to or along D the coast. 11. The project impacts a stream or other resource that may be subject to a D stream bed alteration agreement pursuant to Chapter 6 (commencing with Fish and Game Code § 1600. 12. Any portion of the property is subject to any recorded public easement, such D as easements for storm drains, water lines, and other public rights of way. I/We declare under penalty of perjury that I/we have reviewed this Affidavit and the information furnished is true and correct. Name : Paul Dan Signature: --~"-9,,-~"""--;a.,,.-===::::a,"=..::.::-_-:;_-..,,.1 _________________ _ This form must be stapled/attached to the application and shall be effective until replaced or revoked in writing. NOTE: The Applicant, Property Owner, or Agent should use this form when submitting project revisions to update the information provided in response to issues raised by during the course of the city's review. Page 4 of 4 P-1(8) Fonn Rev 4/2024 August30,2024 tW HO\NES I WEILER I LANDY PLANNING & ENGINEERING Subject: Project Description P-1(8) Attachment Pickleball CUP Proiect Description: This application is for the creation of a pickleball operation in Carlsbad. The applicant is requesting a minor conditional use permit through the city of Carlsbad to allow the use of pickleball courts and operations within an existing light industrial building located at 6131 Innovation Way. The pickleball project would occupy approximately 32,441 sq .ft. of the existing 56,915 sq.ft light industrial building. The building was previously approved by the City of Carlsbad under SDP 15-09, PUD 15-09, MS 15-06, referred to as Shea Industrial. Of the 32,441 sq.ft. of the 26,559 square feet is warehouse, 3,393 sq.ft. is ground floor lobby, bathroom and office, and a 2,489 sq.ft. mezzanine all prior approved under the mentioned entitlements. The applicant is proposing to utilize the 26,559 sq.ft. warehouse space for 13 pickleball courts, the 2,489 sq.ft. mezzanine would be utilized as a patron lounge and ground floor as a lobby and entry and office space that is less than 500 sq.ft. Absolutely, no new development to the exterior or interior is involved. Additionally, no walls or interior space will be changed. The existing building and function is an ideal design for the operation for pickleball courts to operate. The warehouse where the pickle ball courts will be located adequate lighting and ventilation that is conducive to operate such use. Hours of Operation The proposed project is seeking to ope rate between 6AM and 1 0PM Monday-Sunday. Being in a light industrial area, except for some restaurant uses such as Eureka and Del Lusso Pizza , these hours would not be impactful to the surrounding area. In addition, the location of the use is in an area which typically decreases in occupation around 5PM, making this use less than significant on noise, traffic and surrounding uses. Employees The project proposes to function on three employees per day. This use does not require a lot of staff given that pickleball is self-serving and functioning. One employee for the front desk check-in/reception area located in the lobby on the first floor, an employee at the snack bar which is location within the mezzanine, and an employee in the office. Parking The tenant space is allotted 87 parking spaces. Below is a breakdown of all the parking usage and how the project will be below the allotted 87 parking spaces, and then assembled in a table to account for the complete tenant space. Pickleball Courts Usage 26,559 sq.ft.: 4 players/court X 13 courts= 52 maximum. Office: 500 sq.ft. of existing office, per CMC Section 21.44 Table A, Office is 1 parking space/ 250 sq.ft. requiring 2 parking spaces. The rest of the ground floor area will be utilized as a lobby that also provides a bathroom, this usage will be calculated as warehouse which would be 1 parking space/ 1,000 sq.ft. 3,393 ground floor-500 sq.ft. office= 2,893/1,000 = 2.89 parking spaces, or 3 parking spaces. Employees: Three employees per day. This use does not require a lot of staff to function. Requiring two parking spaces, since the office space is already allotted for. The mezzanine area will be used as an area for patrons to sit and utilize with a small snack shop already existing in the building. The closest use per the parking ordinance would be individual retail which is 1/300 sq.ft. Existing mezzanine 2,489 sq.ft./ 300 sq.ft.= 8.3 parking spaces, or rounded down to 8 parking spaces. Parking Cales Table Use Square Footage Occupied Required Parking Spaces Pickleball Courts 26,559 sq.ft. 52 parking spaces Ground Floor Office 500 sq.ft. 2 parking spaces Ground floor 2,893 sq.ft 3 parking spaces lobby/restroom Employees 3/day 2 parking spaces (1 occupied office) Mezzanine/Lounge 2,489 sq.ft. 8 parking spaces Total 67 parking spaces demand With approximately 67 parking space occupied at maximum the proposed use would be well below the allotted 87 parking spaces provided to the tenant space. Surrounding Uses Located at 6131 Innovation Way, Suite 100, the proposed project is located in an ideal area. The neighboring property located at 6133 Innovation Way, is a trampoline park that has functioned as such for years within the city. The proposed use is a less intensive use than the trampoline park, yet compatible with the surrounding uses that are permitted by the City of Carlsbad. Consistency with Carlsbad Municipal Code The zoning for the site is Planned Community (P-C,) and within the Bressi Ranch Master Plan MP 178(K.) Within the Master Plan, the site is located in Planning Area 3, which defers to the Planned Industrial (P-M) zoning. Within the P-M zone, Athletic clubs, gymnasiums, health clubs, and physical conditioning businesses are permitted through the approval of a minor Conditional Use Permit, CMC Section 21 .34.020 Table A. This use is considered an athletic club, or health club by allowing the sport of pickle ball. Therefore, by approval of a minor conditional use permit would be consistent with Master Plan 178(K), the zoning ordinance, and general plan. PART A. Re quested Environmental Clearance (All Projects) 0 DON'T KNOW/ UNKOWN. It Is unknown how CEQA applies to this project. 0 CEQA APPLICABILITY -NOT A PROJEO. The requested activity associated with the application package is NOT a Nproject" as defined by CEQA (Public Resources Code§ 21065; CEQA Guidelines § 15378. Applicable Public Resource Code or CEQA Guidelines Sec.: ____________ _ EXEMPT FROM ENVIRONMENTAL REVIEW. An Applicant, Property Owner, or Agent contemplating using a CEQA exemption should carefully review both the Public Resources Code and the State CEOA Guidelines to determine whether specific criteria apply that may or may not be applicable to their proposed project. To assist the city in assessing whether the proposed project is exempt from further review, the Applicant, Property Owner, or Agent may be asked to provide written explanation and substantiate the requested exemption (see below). □ Ministerial. The requested activity is exempt from further CEQA review because it is specifically excluded from CEOA consideration as defined by the State Legislature. These exemptions are delineated in Public Resource Code §§ 21080 et seq. and CEQA Guidelines. Applicable section: ___________________ _ categorical. The requested activity is e.xempt from further CEQA review because It belongs to a 11st of classes of projects that generally are considered not to have potential Impacts on the environment. Categorical exemptions are identified by the State Resources Agency and are defined In the CEQA Guidelines §§ 15300- 15333. ADDITIONAL DOCUMENTATION MUST BE ATTACHED. Written evidence must include why the quested exemption Is not negated by some sort of an ~xception to the exemption, pursuant to CEQA Guidelines §15300.2 and Chapter 19.04 of the carlsbad Municipal Code. D Other type of exemption, such as Agricultural Housing, Affordable Housing, and exemption for residential projects In a specific plan, etc. (Article 12.5 of the CEQA Guidelines;§ 15182; § 15183; Public Resources Code§ 21155.1; etc.)ADDmONAL DOCUMENTATION AND/OR CHECKUST MUST BE ATTACHED. □ ENVIRONMENTAL DOCUMENTATION REQUIRED. Environmental review Is required under CEQA because the project does not qualify for an exemption. This Environmental Information Form wlll be used to assist staff in determining what type of environmental documentation (I.e., Environmental Impact Report, Mitigated Negative Declaration, or Negative Declaration) will be required to be prepared, per CEQA and Chapter 19.04 of carlsbad's Municipal Code. The city will typically complete its initial environmental study thirty days after an application Is determined complete, consistent with Public Resources Code§ 21080.2; CEQA Guidelines§ 15102, unless the t lmeframe is extended. Page 2 of 5 P-l(D)Fonn ReY 61.2023 PART B. Property and Project Screening Information (If Applicable) This section is to be completed only if further environmental review and documentation Is required (such as an Environmental Impact Report, Mitigated' Negative Declaration, or Negative Declaration. After your Land Use Review Application Is complete, the City Planner will request the preparation of an Initial Study, which will rely, in part, on the lnformotlon provided In this form. If you believe that a previously completed CEQA document adequately addresses the environmental impacts of the proposed project, a Petition for Use of Prior CEQA Document or tiering checklist (as required by CEQA) may be filed which wlll be reviewed ond considered. It Is Important to note that the details of the request must be carefully evaluated and Planning staff's recommendation or decision for environmental review may change. NOTE: if you have any questions regarding what constitutes an environmental resource of concern, Planning staff may be contacted for further Information. The clarity and accuracy of the information you provide is critical for purposes of quickly determining the specific environmental effects of your project. 1. Describe each item as it relates to the PROJECT SITE: a. Existing land uses/ structures: Light industrial building approximately 62,000 sq.ft. b. Topography/ slope: _fl_a_t l_o_t ___________________ _ c. Vegetation: prior approved landscpaing d. Wildlife: No ---------------------------- e. Surface waters: _N_o ________________________ _ f. Cultural / historical resources: No --------------------- g. Other: ___________________________ _ 2. Describe each item as It relates to the SURROUNDING AREA: a. Existing land uses/ structures: _L....:ig::....h_t_in_d_u_st_r_ia_l _b_u_ild_i_ng::..s ___________ _ b. Topography/ slope: _fl_a_t _____________________ _ c. Vegetation: prior approved landscaping d. Wildlife: No ---------------------------- e. Surface waters: No ------------------------- f. Cultural/ historical resources: No --------------------- g. Other: ___________________________ _ Page 3 of 5 P-I(D) Fonn Rev 6/2023 3. Describe the whole action involved, including but not limited to later phases of the project, and any secondary, support, or off-site features necessary for Its Implementation. Existing building, applicant is interested in creating 1J pickleball courts in tenant space 4. What steps can be taken to mitigate any adverse effects that may result from this project? List the adverse effect first, then the mitigation measure(s) to reduce that effect. N/A Are the following items applicable to the project or its effects? Discuss all items checked "yesu (attach additional sheets as necessary). 5. 6. 7. 8. 9. 10. 10. 11. 12. 13. 14. 15. Yes No Change in existing features of any bays, tidelands, beaches, or hills, or substantial □ [g] alteration of ground contours. Change in scenic views or vistas from existing residential areas or public lands or □ ~ roads. Change in pattern, scale or character of general area of project. □ K] Significant amounts of solid waste or litter. □ 00 Change in dust, ash, smoke, fumes or odors in vicinity. □ lg] Change in ocean, bay, lake, stream or ground water quality or quantity, or □ Ii] alteration of existing drainage patterns. Substantial change in existing noise or vibration levels In the vicinity. □ ~ Site on filled land or on slope of 10 percent or more. □ ~ Use of disposal of potentially hazardous materials, such as toxic substances, □ ~ flammables or explosives. Substantial change in demand for municipal services (police, fire, water, sewage, □ 00 etc.). Substantially increase fossll fuel consumption (electricity, oil, natural gas, etc.). □ ~ Relationship to a larger project or series of projects of the same type in the same □ I&] general area. Page 4 of S P-l(D) Form Rev 6/2023 Yes No 16. Site with tree groves, rock outcroppings, or similar resources. □ !xi 17. Site with sensitive plant or animal habitats, defined by the California Endangered □ IKJ Special Act (Fish and Game Code §§ 2050 et. seq.) or the Federal Endangered Species Act (16 U.S.C. §§ et. seq.); or sensitive, rare, candidate species of special concern; endangered or threatened biological specials or their habitat (specifically including sage scrub habitat for the California Gnatcatcher); or the site Is immediately adjacent to a corridor or larger area which has wildlife movement. 18. Site has known archaeological or cultural resources from either historic or □ 00 prehistoric periods. 19. Site has buildings or structures, Including houses, garages, barns, commercial □ structures, etc. with extant architecture that are usually more than 45 years old. NOTE: The city requires completion of this form for informational purposes. An affirmative response to any of the Items does not necessarily trigger special or additional CEQA review. Any environmental studies (i.e., biological, cultural resource, traffic, noise) that are necessary to substantiate a "no impact" or "'yes impactn determination should be submitted as an attachment to this Environmental Information Form to help expedite the city's environmental review but IS NOT required to complete your application. Formal environmental review does not begin the Land Use Review Application is determined to be complete. A few statutes or ordinances require agencies to make decisions on pennits within time limits that are so short that review of the project under CEQA time limits would be difficult. To enable the city to comply with the Permit Streamlining Act and CEQA, the case planner will deem an application for a project not received for filing under the statute or ordinance until such time that progress toward completing the environmental documentation required by CEQA is sufficient to enable the city to finish the CEQA process within the shorter permit time limit. This form must be stapled/attached to the application and shall be effective until replaced or revoked in writing. Page 5 of 5 P, I (D) .Form Rev 6/2023 , .. ( City of Carlsbad TIME LIMITS ON Development services DISCRETIONARY Planning Division PROJECTS CITY OF CARLSBADt63s F::,a;~~;;~~ P-1 (E) SEP 1 g 2024 www.carlsbadca.gov PLANNING DIVISION Ulj ACKNOLWEDGEMENT INFORMATION nme limits on the processing of discretionary projects established by State law do not start until a project application is determined to be complete by the city. The city has thirty calendar days from the date of application submittal to determine whether an application Is complete or incomplete. The State law, called the Permit Streamlining Act (California Government Code §§ 65920 et seq.), applies to "development projects," which include subdivision maps and most discretionary development permit applications. It does not apply to ministerial actions (such as building permits, lot line adjustments, etc.) and does not apply to legislative actions (such as zoning district or map changes). Permit application intake and project review must not begin unless a "dulyfiledH application package has been submitted and all required elements are accepted by the Planning Division. For the Planning Division to consider a project application duly filed, the application must be accompanied by all forms, documents and other relevant requirements specified in the Minimum Intake Submittal Requirements Checklist. If Planning staff finds that the checklist submittal requirements have been provided, the application must be considered duly filed and accepted for intake. The application is assigned a case number, the customer informed that application has been accepted for processing as of the date of intake, and the application routed to Planning Division management for assignment. Under the Permit Streamlining Act, within thirty days of submittal of a duly filed development permit application, you will receive a letter stating whether the Land Use Review Application Is complete or Incomplete. The case planner must deem an application "complete" pursuant to Government Code § 65943 If the applicant provides all the required information in the Completeness Determination Requirement Checklist. If it is determined "incomplete," the case planner will transmit a letter to the applicant and will state what is needed to make this application complete. When the application is determined "complete," the processing period will start upon the date of the completion letter. The californla Environmental Quality Act (CEQA) works together with the Permit Streamlining Act by commencing its environmental review after project application is complete. Development project applications that are not exempt from CEQA and are subject to environmental review are also subject to environmental review processing time limits pursuant to CEQA Guidelines. The State guidelines establish time llmits for the three main components of environmental review: 1) the Initial Study; 2) Negative Declaration completion; and 3) Environmental Impact Report completion. These processes and time limits are separate from the time limit and processes of Plannlng Department review of development project permit applications although the projects go through both processes unless they are categorically exempt. After CEQA review, the Permit Streamlining Act controls again through project decision. If you have any questions regarding application submittal requirements (i.e., clarification regarding a specific requirement or whether all requirements are necessary for your particular application) please call please call (442) 339-2600 or email planning@carlsbadca.gov. Page 1 of 2 P-1(A) Form Rev 612023 A few statutes or ordinances require agencies to make decisions on permits within time limits that are so short that review of the project under CEQA would be difficult. To enable the city to comply with both the Permit Streamlining Act statute and CEQA, the case planner must deem an application for a project not received for filing under the statute or ordinance until such time as progress toward completing the environmental documentation required by CEQA Is sufficient to enable the city to finish the CEQA process within the short permit time limit. BY SIGNING BLEOW, I/We understand that this form must be completed as part of the application and documents that I/we have been informed of process requirements and timelines including: 1) time limits on determining application comp.leteness; 2) notifying applicants In writing if their applications are complete; 3) time limits for environmental review; and, 4) disclosure to applicants about these time limits and certain aspects of the application review process . Each city review letter will include a project processing schedule and estimated decision date that Incorporates the dme limits for processing projects. I/We also understand that tf there are any concerns about the progression on the development application (e.g., the notice, review, or decision schedule) the Applicant, Property Owner, or Agent should immediately contact the case planner to discuss project processing, upcoming milestones, and/or timellne concerns. Time periods may be extended by mutual consent, within limits. NAME OF PROJECT: Pickleball CUP ------------------------------ BRIEF SUMMARY OF PROJECT: creating 1' pickleball courts in existing light industrial building LOCATION: 6131 Innovation Way, Carlsbad CONTACT: 0 Applicant □ Property Owner D Agent Signature: __ ~-----"'-------------------------- Name: Paul Dan Date: 08/21/24 This form must be stapled/attached to the oppllcatlon and shall be effective until replaced or revoked in writing. NOTE: Not all discretionary projects ore subject to the 30-doy review period. And there might be circumstances that dictate a different processing timeline pursuant to state law. Page 2 of 2 P-1(A) Fonn Rev612023 2. All costs incurred by the city in processing said application, including overhead, whether within or over the is the Financially Responsible Party's personal obligation and shall not be affected by sale or transfer of the property subject to the application, changes in Financially Respons ible Party's business organization, or any other reason. "Costs incurred by the city" as identified in this paragraph may include costs for the services of an outside contractor for third party review, including environmental evaluation. Where the City Planner determines it is necessary to engage the services of an outside contractor to assist with application processing, costs for such services are to be paid by the Financially Responsible Party in the same manner identified above. 3. If the Financially Responsible Party withdraws an application, the City Planner will cease processing of the application within one day and will proceed with the case closure process. The Financially Responsible Party is responsible for all case closure costs. Case closure costs will be minimized to the maximum extent practicable. The Financially Responsible Party is a (check one): □ Applicant □ Property Owner □ Agent '21 Other: ____________ _ Financially Responsible Party's Legal Name: _N_i_c_k_D_a_w_s_o_n ___________ _ Address: 6131 Innovation Way, Carlsbad City: Carlsbad State: _C_A __ Zip Code: _9_2_0_09 ___ _ Phone: ______________ Cell Phone: ___________ _ Email: nickbdawson@gmail.com By signing below, I/We have read this form and agree to all terms and limitations provided for application intake and processing. I understand and agree that as the Financially Responsible Party, I/We are responsible for payment of all fees associated with this project including all hourly or other fees which might accrue during the review and/or post-issuance whether the permit issued or whether the application is canceled or denied before the permit is issued. Financially Responsible Party Signature:--~-~~--~------Date: 9/17/2024 Print Name: Nick Dawson The information about the Financially Responsible Party provided above must be 100% accurate. If there is a refund, the check will be mailed to the name and address stated below. If the information stated on this form is inconsistent with our system, the Financially Responsible Party must clarify and correct before the application can be deemed complete. Also, a Letter of Authorization (LOA) is requ ired if the Financially Responsible Party is a "company", stating that the Agent has the authority to complete and sign this form. Page 2 of 3 P-1 (J) Form Rev 7/2023 PART B. Change in Assignment (New Responsible Party) This portion of the submittal form is to be completed when the Financially Responsible Person changes during the course of processing the application with the City of Carlsbad. Transferring from (to be completed by current Financially Responsible Party): I, hereby assign and transfer all rights and financial -----------------~ responsibilities for the following application: PROJECT NAME: ________________________ _ BRIEF PROJECT SUMMARY: _____________________ _ PROJECT LOCATION : _______________________ _ PLANNING CASE NOS.: ______________________ _ Current Financially Responsible Party Signature: _______________ _ Print Name: __________________ Date: _______ _ Acceptance ofTransfer (to be completed by the new Financial Responsible Party): I,------------~ hereby accept financial responsibility for the above-mentioned project from ___________ (FRP, Part A.), effective date _____ _ New Financially Responsible Party's legal Name: _______________ _ Address: ____________________________ _ City: ______________ State: ___ Zip Code : ______ _ Phone: _____________ Cell Phone: ____________ _ Email: _____________________________ _ New Financially Responsible Party Signature: ________________ _ To be stapled/attached with receipt to the application and shall be effective until replaced or revoked in writing. Page 3 of 3 P-1(J) Form Rev 7/2023 ----------~,-------------~A----------'.;:.>' Development Services Planning Division 1635 Faraday Avenue (442) 339-2610 www.carlsbadca.gov PURPOSE CLIMATE ACTION PLAN CONSISTENCY CHECKLIST P-30 CfTYOF CARLSBAD SEP 1 9 2024 PLANNING DIVISION ( City of Carlsbad In September 2015, the City of Carlsbad adopted a Climate Action Plan (CAP) that outlines actions that the city will undertake to achieve its proportional share of state greenhouse gas (GHG) emissions reductions. This checklist contains measures that are required to be implemented on a project-by-project basis to ensure that the specified emissions targets identified in the Climate Action Plan (CAP) are achieved. Implementation of these measures will ensure that new development is consistent with the CAP's assumption for re levant CAP strategies toward achieving the identified greenhouse gas (GHG) reduction targets. In this manner, a project's incremental contribution to a cumulative GHG emissions effect may be determined not to be cumulatively considerable if it complies with the requirements of the CAP, in accordance with CEQA Guidelines Sections 15O64(h)(3), 1513O(d), and 15183(b).* *City staff are currently not assessing the greenhouse gas impacts of California Environmental Quality Act projects by using the Climate Action Plan as a qualified GHG reduction plan under CEQA section 15183.S(b). Please consult with the Planning Department for further guidance. Additional information may be found on the Climate Action Plan Update and Vehicle Miles Traveled calculations staff report. This checklist is intended to assist project applicants in identifying CAP ordinance requirements and demonstrate how their project fulfills those requirements. This checklist is to be completed and included in applications for new development projects that require discretionary review. The specific applicable requirements outlined in the checklist shall be required as conditions of project approval for CAP compliant projects with streamlined GHG emissions assessments. This checklist (i.e. Form P-3O) is complementary to the checklist provided in Form 8-50, which is specific to building permits and required for building permit applications. APPLICATION SUBMITTAL REQUIREME NTS The completed checklist must be included in the project submittal package or building permit application. Application submittal procedures can be found on the City of Carlsbad website. This checklist is designed to assist the applicant in identifying the minimum CAP-related requirements specific to their project. However, it may be necessary to supplement the completed checklist with supporting materials, calculations or certifications, to demonstrate full compliance with CAP requirements. For example, projects that propose or require a performance approach to comply with energy-related measures will need to attach to this checklist separate calculations and documentation as specified by the ordinances. • If an item in the check list is deemed to be not applicable to a project, or is less than the minimum required by ordinance, an explanation must be provided to the satisfaction of the Planning Division or building official. • The requirements in the checklist will be included in the project's conditions of approval or issuance of building permit. • Details on CAP ordinance requirements are available on the city's website. P-30 Page 1 of 8 Revised 6/22 City of Carlsbad Climate Action Plan Consistency Checklist STEP 1: LAND USE CONSISTENCY The first step in determining CAP consistency for discretionary development is to assess the project's consistency with the growth projections used in the development of the CAP. This section allows the city to determine a project's consistency with the land use assumptions used in the CAP. Projects found not to be consistent with the CAP's land use assumptions and that are projected to emit at or above the CAP screening threshold of 900 metric tons of CO2 equivalent (MTCO2e) GHG will be subject to a project-specific analysis of GHG emissions' impact on the environment in accordance with the requirements of the California Environmental Quality Act (CEQA). This may result in GHG-reducing mitigation measures applied as a condition of project approval in addition to compliance with the CAP ordinance requirements Identified in Step 2 of this checklist. .--. -_. ----...,, •: • • • • I Checklist Item (Check the appropriate box and provide an explanation and supporting documentation for your answer) A. Is the proposed project consistent with the existing General Plan land use and specific/master plan or zoning designations? OR, If the proposed project is not consistent with the existing land use plan and 2oning designations, does the project include a land use plan and/or specific plan, master plan or zoning designation amendment that would result in an equivalent or less GHG-intensive project when compared to the existing designations? Yes No □ If "Yes", proceed to Step 2 of the checklist. For the second option under Question A above, provide estimated project-related GHG emissions under both existing and proposed designation(s) for comparison. GHG emissions must be estimated in accordance with the City of Carlsbad Guidance to Demonstrating Consistency with the Oimate Action Plan. If-No•, proceed to Question B. 8. The CAP established a screening threshold of 900 MTCOie/year for new development projects to assist in determining consistency with the CAP. The types and sizes of typical projects listed below have been determined to correspond to the CAP screening threshold. Will the proposed land use change result in the construction of less than any one of the following? • Single-Family Housing: 50 dwelling units • Multi-Family Housing: 70 dwelling units • Office: 3S,OOO square feet • Retail Store: 11,000 square feet • Grocery Store: 6,300 square feet • Other: If the proposed project is not one of the above types, provide a project-specific GHG emissions analysis to determine whether it is below the 900 MTCChe/year screening threshold. If "Yes", proceed to~ of the checklist. □ □ If NNo#, the project's GHG impact is potentially significant and must be analyzed in accordance with CEOA. Applicant must prepare a Self-developed GHG emissions red uction program in accordance with the City of Carlsbad Guidance to Demonstrating Consistency with the Climate Action Plan to demonstrate how it would offset the increase in emissions over the existing designations. The project must incorporate each of the applicable measures identified in Step 2 to mitigate cumulative GHG emissions impacts unless the decision maker finds that a measure is infeasible in accoolance with California Environmental Quality Act Guidelines Section 15091. Mitigation in lieu of or in addition to the measures in Step 2 may be required, depending on the results of the project-specific GHG impact analysis. Proceed and complete a project-specific Self-developed GHG emissions reduction program and Step 2 of the Checklist. P-30 Page 2 of 8 Revised 06/22 TRANSPORTATION IMPACT ANALYSIS GU IDELI NES City of Carlsbad ------------------------------------------<:•I I Io r n I a Apri/2018 D. Study Intersections: ( NOTE: Subject to revision after other projects, trip generation and distribution are determined, or comments) 1. n/a 2. 3. 4. 5. 5. 7. 8. ----------------- ----------------- ----------------- ----------------- E. Study Roadway Segments: (NOTE: Subject to revision after other projects, trip generation and distribution are determined, or comments) 1. Innovation Wy (PAR and Gateway Rd) s. z. Pedestrian/8icycle MM LOS (west side only for Pedestrian) 3. 4. F. Other Jurisdictional Impacts 6. 7. 8. ----------------- ----------------- ----------------- Is this project within any other Agency's Sphere of Influence or one-mile radius of boundaries? □Yes 12] No If so, name of Jurisdiction: n/a ---------------------------- G. Site Plan (Attach a legible 11'X17' copy} H. Specific Issues to be adressed in the Study (in addition to the standard analysis described in the Guidelines) [To be filled out by Engineering Devision) Level I LMA Recommended by: Walter B. Musial, PE RSP Consultant's Representative Scoping Agreement Submitted on Scoping Agreement Resubmitted on Approved Scoping Agreement: ~ Qtyofcartsbad Traffte £n,fneerl.ng OMslon 01/21/2025 Date 01/21/2025 Date 01 /24/2025 Date 01 /26/25 Date www.cL-mobility.com 36 I Page (City of Carlsbad Community Devc.,opment Department -Planning Division Project Facility Avai lability -Water DISTRICT CASHIER'S USE OM.Y Org/ Account: Date/Amount: _____ _ (Form P-99W; Refer to Info-Bulletin 1B-116 for processing instructions) Approved By: _____ _ APPLICANT & PROJECT INFORMATION (COMPLETED BY APPLICANT) -. --... Pickleball CUP 6131 Innovation Way/ APN 213-261-25-00 Project Name Project Address and Assessor Parcel Number{s) ~i::o 1 a ?n,, A. Project scope (Respond to all seven items) V -----.- 1. Is a draft site plan attached to this Project Facility Availability Form: □Yes Iii No PLANNING DIVISION 2. Project type (select all that apply): D Single-family ( ___ total units) D Multi-family ( ___ total units) D Office ( total square footage) D Commercial ( total square footage) ii Industrial (56,915 total square footage) 3. ls the project proposing use of reclaimed/recycled water? D Yes iiiiiil No 4. Property is served by the following water district: ii Carlsbad Municipal □ Olivenhaln Municipal D Vallecitos 5. Location of nearest existing public water main: Innovation Way Water main size: _8 __ inches 6. Proposed connection point(s) to existing water main: N(i~~1i;rf-'lllrullit111Z,flllillin9111.ikllifig.ari-dlit-. 7. Was a water study prepared for this project? □Yes il No (If yes, attach a copy of the report) What was the estimated maximum day demand? >.i:::uu \..:Jt-'U What was the peak hour demand? 11AM 8. Was a copy of the completed & signed P-99F form attached? ii Yes 0 No (District will !!Qt process P-99W without o P-99F attached} a. Declaration By signing below, the applicant acknowledges that the information provided is accurate and ocknowledges that any significant modification of the proposed project may result in changes to the CFD's draft conditions/availabillty to serve. Paul Dan Dlgllalt~ aigf,lld by Pi&ul Din Paul Dan 8/21/24 011ti, 2024.08.21 15:28:40 ·01"00' Applicant Signature Applicant Name Date 714-580-8275 pdan@hwl-pe.com 2888 Loker Ave E, Carlsbad Phone Number Email Address Malling Address Once completed and signed, present this frxm to the serving water district for processing FACILITY AVAILABILITY (COMPLETED BY SERVING WATER DISTRICT) The information below is based on a cursory review of the information provided on this form (pre-filing of a formal land use development application). Changes or modification in use, construction type or site design may impact water requirements. The applicant is encouraged to process an updated form if the project changes. District Name: Carlsbad Municipal Water District 1. ii! Project is entirely within the district D Project is not entirely within the district, and a potential boundary issue exists with the following district: ________ _ D Project is not in the district, but within the sphere of influence boundary (owner must apply for annexation) D Project is not in the district and not within the sphere of influence boundary 2. i!i Facilities to service the proposed project iiiiiil ARE D ARE NOT reasonably expected to be available within the next five years If not available, reason:------------------------------------- 3. iiiiiil Project conditions not required D Draft district conditions for the project attached. Total number of sheets attached: ___ _ D Conditions will be provided after the project has been submitted and deemed complete by the Planning Division D If checked, th e Planning Division Is instructed to route submitted application/plans to district for further review. 4. i!i Applicant will be required to prepare a water system analysis: D Yes ii No (Note: Upsizing may be required based on flow, velocity, and pressure requirements) This Project Facility Availability Form is valid until final discretionary action is taken pursuant to the application far the proposed project unless a shorter expiration date is otherwise noted. This docum,nt is not a commitment of s,ryicc or fqdlitlfs of the District. The completed form is to be submitted to the Community Development Department (1635 Faraday Avenue) as part of the discretionary permit application. Zackry Taylor Digitally ~-by Zatl<ry Toylo< 0818: 2024.08.21 16:01:56 -07'00" District Staff Signature Utilities Assistant Engineer Title PFA Form Water_p-99W_Jan. 2023 Zac Taylor District Staff Name (Printed) zac.taylor@cartsbadca.gov Email 8/21/2024 Date (760)271-0122 Phone number Community Development Department -Planning Division {city of Carlsbad Project Facility Availability -Wastewater DISTRICTCASHIER'S USE OMV 01'1/Aa:ollnt: ----- Date/Amount: ----- (Form P-99S; Refer to Info-Bulletin 18-116 for processing Instructions) ApprOYN By: ____ _ APPLICANT & PHOJtCT INFORMATION ( cor.1Pl[T[D UY Al'l'Ll(AN I) Plck.leball CUP 6131 Innovation Way/ APN 213-261-25--00 CITY OF CA BLSB80 Project Name Project Address and Assessor Parcel Number(s) A. Protect scope (Respond to all four Items) Sf-P 1 Cl 707/. 1. Is a draft site plan attached to this Project Faclllty Avallability Form: □Yes MNo 2. Project type (select all that apply): PLANNING DIVISION D Single-family ( __ total units) □ Multl-famlly( __ total units) □ Office ( t.otal square footage) D Commercial ( total square footage) ii Industrial ( _56,915 __ total square footage) 3. Location of nearest existing public sewer main: _Innovation Way Sewer main size: _12_ Inches 4. Proposed connection polnt(s) to existing sewer main: __ Ex~Ang !~ .. ~~U\,nj development 5. Property Is served by the following wastewater district: ii Qi1 ~-hi 1ld!Jal □ Leucadia □ Vallecltos B,Dedaratlon By signing below, the applicant acknowledges that the Information provided Is accurate and acknowledges that ony significant modification of the proposed project may result In changes to the CFD's droft conditlons/availobllity to serve. Paul Dan ~..,...to,_Don Paul Dan 08/21/24 Doll: lll24.la21 15'&4:16-0MIO' Applicant Signature Applicant Name Date 760-929-2288 pdan@hwl-pe.com 2888 Loker Ave E, Carlsbad Phone Number Email Address Malllng Address OnGe i;ompleted and signed, present /Ii$ /bnn lo the Slll'Vinr, w.lllr dalnct for procmslnr, F11CILITY AVAILABILITY (COMPLETED BY SrHVING WAS TEWA Tl R DISTRICT) The Information below Is based an a cursory review of the information provided on this form (pre-filing of a formal land use development app//c:.crtlon). Changes or modification In use, construction type or site design may Impact water requirements. The applicant Is encouraged to process on updated form If the project changes. District Name: City of Carlsbad 1. Iii Project Is entirely within the district D Project ls not entirely within the district, and a potential boundary Issue exists with the following district: ________ _ □ Project Is not In the district, but within the sphere of influence boundary (owner must apply for annexation) 0 Project is not In the district and not within the sphere of Influence boundary 2. Iii Facllltles to service the proposed project Ii ARE O ARE NOT reasonably expected to be available within the next five years If not available, reason:---------------------------------- 3. Iii Project conditions not required D Draft district conditions for the project attached. Total number of sheets attached: ___ _ 0 Conditions will be provided after the project has been submitted and deemed complete by the Planning Division D If chetked, the Planning Division Is Instructed to route submitted application/plans to district for further review. 11-,,s/c-... '""' 4. iiii Applicant will be required to prepare a water-system analysis: D Yes ii No (Note: Upslzlng may be required based on flow, velocity, and pressure requirements) This Project Facility Aval/ability Form Is valld until final discretionary action Is token pursuant to the application for the proposed project unless a shorter eKplrotlon date Is otherwise noted. This doann,nt Is not a commitment ofHfldq or fadlltfes of the Dl5frict. The completed form Is to be submitted to the Community Development Department (1635 Faraday Avenue) as part of the dlsa~tionary p~rmlt appllcat/on. Zackry Taylor ~-1>1'1-T-Dlill: 2CQA,Ol.2:11fi::O'l:31..01"DO' District Staff Signature Utilities Assistant Engineer Title PFA Form Wastewater_P-99S_Jan. 2023 Zac Taylor District Staff Name (Printed) zac.taylor@carlsbadca.gov Email 8/21/2024 Date (760)271-0122 Phone number STEP1 TO BE COMPLETED FOR AU PROJECTS To determine if your project is a "development project", please answer the following question: YES NO Is your project LIMITED TO routine maintenance activity and/or repair/improvements to an existing building f81 □ or structure that do not alter the size (See Section 1.3 of the BMP Design Manual for guidance)? If you answered "yes" to the above question, provide justification below then go to Step 6, mark the box stating "my project is not a 'development project' and not subject to the requirements of the BMP manual" and complete applicant information. Justification/discussion: (e.g. the project includes only interior remodels within an existing building): The proposed project is a conditional use within an existing light-industrial building, no additions, no new development, no exterior modifications are proposed with this project. If you answered "no" to the above question, the project is a 'development project', go to Step 2. STEP2 TO BE COMPLETED FOR ALL DEVELOPMENT PROJECTS To determine if your project is exempt from PDP requirements pursuant to MS4 Permit Provision E.3.b.(3), please answer the following questions: Is your project LIMITED to one or more of the following: YES NO 1. Constructing new or retrofitting paved sidewalks, bicycle lanes or trails that meet the following criteria: a) Designed and constructed to direct storm water runoff to adjacent vegetated areas, or other non- erodible permeable areas; OR □ □ b) Designed and constructed to be hydraulically disconnected from paved streets or roads; OR c) Designed and constructed with permeable pavements or surfaces in accordance with USEPA Green Streets guidance? 2. Retrofitting or redeveloping existing paved alleys, streets, or roads that are designed and constructed in □ □ accordance with the USEPA Green Streets guidance? 3. Ground Mounted Solar Array that meets the criteria provided in section 1.4.2 of the BMP manual? □ □ If you answered 'yes" to one or more of the above questions, provide discussion[justification below, then go to Step 6, mark the second box stating "my project is EXEMPT from PDP ... " and complete applicant information. Discussion to justify exemption (e.g. the project redeveloping existing road designed and constructed in accordance with the USEPA Green Street guidance): If you answered "no" to the above questions, your project is not exempt from PDP, go to Step 3. E-34 Page 2 or 4 REV 04/23 STEP4 TO BE COMPLETED FOR REDEVELOPMENT PROJECTS THAT ARE PRIORITY DEVELOPMENT PROJECTS (POP) ONLY Complete the questions below regarding your redevelopment project (MS4 Permit Provision E.3.b.(2)): YES NO Does the redevelopment project result In the creation or replacement of impervious surface in an amount of less than 50% of the surface area of the previously existing development? Complete the percent impervious calculation below: Existing impervious area (A) = sq. ft. □ [gl Total proposed newly created or replaced impervious area (B) = sq. ft. Percent impervious area created or replaced (B/A)*100 = % If you answered "yes·, the structural BMPs required for PDP apply only to the creation or replacement of impervious surface and not the entire development. Go to step 5, complete the trash capture question. If you answered "no," the structural BMP's required for PDP apply to the entire development. Go to step 5, complete the trash capture question. STEP5 TO BE COMPLETED FOR AU DEVELOPMENT PROJECTS Complete the question below regarding your Project (SDRWQCB Order No. 2017-0077): YES NO Is the Project within any of the following Priority Land Use (PLU) categories? R-23 (1 5-23 du/ac), R-30 (23-30 du/ac), Pl (Planned Industrial), CF (Community Facilities), GC (General 181 □ Commercial), L (Local Shopping Center), R (Regional Commercial), V-B (Village-Barrio), VC (Visitor Commercial), 0 (Office}, VC/OS (Visitor Commercial/Open Space), Pl/O (Planned Industrial/Office), or Public Transoortation Station If you answered "yes·, the 'PROJECT' is subject to TRASH CAPTURE REQUIREMENTS. Go to step 6, check the first box stating, "My project is subject to TRASH CAPTURE REQUIREMENTS ... • and the second or third box as determined in step 3. If you answered "no", Go to step 6, check the second or third box as determined in step 3. STEP& CHECK THE APPROPRIATE BOX(ES) AND COMPLETE APPLICANT INFORMATION □ My project is subject to TRASH CAPTURE REQUIREMENTS and must comply with TRASH CAPTURE REQUIREMENTS of the BMP Manual. I understand I must prepare a Storm Water Quality Management Plan (SWQMP). 181 My project is a 'STANDARD PROJECT' OR EXEMPT from PDP and must only comply with 'STANDARD PROJECT' stormwater requirements of the BMP Manual. As part of these requirements, I will submit a • Standard Project Requirement Checklist Form E-36" and incorporate low impact development strategies throughout my project. If my project is subject to TRASH CAPTURE REQUIREMENTS, I will submit a TRASH CAPTURE Storm Water Quality Management Plan (TCSWQMP) per E-35A . D My project is a PDP and must comply with PDP stormwater requirements of the BMP Manual. I understand I must prepare a Storm Water Quality Management Plan (SWQMP) per E-35 template for submittal at time of application. Note: For projects that are close to meeting the PDP threshold, staff may require detailed impervious area calculations and exhibits to verify if 'STANDARD PROJECT' stormwater requirements apply. 181 My project is NOT a 'development project' and is not subject to the requirements of the BMP Manual. Applicant Information and Signature Box Applicant Name: Paul Dan Applicant Title: Planner Applicant Signature: /J au,t D a;t,, Date: 11/04/2024 E-34 Page 4 of4 REV04123 PRELIMINARY REPORT (61 TICOR TITLE COMPANY 2275 Rio Bonito Way, Suite 160 San Diego, CA 92108 Prellm Number: TT2010942 Issuing Policies of Chicago Title Insurance Company Order No.: TT2010942-CC New Venture Escrow Inc 3638 Camino Del Rio North, Suite 300 (2nd Floor) San Diego, CA 92108 Attn: Anisa Bruce Email: teamab@newventureescrow.com Ref No.: 213339AB Escrow/Customer Phone: (619) 327-2288 Title Officer.: Candy Church Phone No.: (619)260-0015 Fax No.: (619)839-3623 Email: churchteam@ticortitl-"~', ..... " OF CARLSBAD Property: 6131 Innovation Way, Carlsbad , CA 92009-1745 SEP 1 ·9 2024 PLANNING DIVISION In response to the application for a policy of title insurance referenced herein, Ticor Title Company of California 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 a defect, lien or encumbrance not shown or referred to as an exception herein or not excluded from coverage pursuant to the printed Schedules, Exclusions from Coverage, and Conditions of said policy forms. With respect to any contemplated owner's policy, the printed Exceptions and Exclusions from the coverage and limitations on Covered Risks of said policy or policies are set forth in Attachment One. 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 Cl TA/ALTA Homeowners Policy of Title Insurance, which establish a Deductible Amount and a Maximum Dollar Limit of liability for certain coverages are also set forth in Attachment One. 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 herein and the exceptions and exclusions set forth in Attachment One 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. Countersigned By: t/21z 717~ Authorized Officer or Agent Carol Burton CL TA Preliminary Report Form (02/03/2023) Page 1 Printed: 08.13.24 @ 11:02AM CA-TTC-FASD-0131 D.06<1051-SPS-1-24-TT2010942 TICOR TITLE COMPANY OF CALIFORNIA PRELIM NO. TT2010942 Effective date: August 6, 2024 at 07:30 AM The form of Policy or Policies of Tille Insurance contemplated by this Report is: ALTA Loan Policy 2021 1. The estate or interest in the Land hereinafter described or referred to covered by this Report is: A Fee as to Parcel(s) A Easement(s) more fully described below as to Parcel(s) B 2. Title to said estate or interest at the date hereof is vested in: REXFORD INDUSTRIAL REAL TY, LP., a Maryland limited partnership 3. The Land referred to in this Report is described as follows: SEE EXHIBIT "A" ATTACHED HERETO AND MADE A PART HEREOF CL TA Preliminary Report Form (02/0312023) Page 2 Printed: 08.13.24 @ 11;02 AM CA-TTC-FASD-01310.064051•SPS-1-24-TT2010942 For APN/Parcel ID(s): 213-261-25-00 EXHIBIT A Legal Description THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA AND IS DESCRIBED AS FOLLOWS: PARCEL A: PARCEL 2 OF PARCEL MAP NO. 21308, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY , DECEMBER 17, 2015 AS INSTRUMENT NO. 2015-7000509, OF OFFICIAL RECORDS. PARCEL B: A PERPETUAL NON-EXCLUSIVE EASEMENT FOR LANDSCAPE, STORM DRAIN, UTILITY AND SIGNAGE, AS SET FORTH IN THAT CERTAIN "DECLARATION OF COVENANTS, CONDITIONS, AND RESTRICTIONS AND GRANT OF RECIPROCAL EASEMENTS FOR BRESSI RANCH CORPORATE CENTER", RECORDED MARCH 15, 2005 AS INSTRUMENT NO. 2005-0210897, OF OFFICIAL RECORDS . APN: 213-261-25-00 CL TA Preliminary Report Form (02/03/2023) Page 3 Printed: 08. 13.24@ 11:02 AM CA-TTC-FASD-01310.064051-SPS-1-24-TT2010942 TICOR TITLE COMPANY OF CALIFORNIA PRELIM NO. TT2010942 EXCEPTIONS At the date hereof, items to be considered and exceptions to coverage in addition to the printed exceptions and exclusions in said policy form vvould be as follows: A. Property taxes, which are a lien not yet due and payable, including any assessments collected with taxes to be levied for the fiscal year 2024 -2025. B. An assessment by the improvement district shown below: Assessment (or Bond) No.: Bond Type: 1915 ACT Series: AD2002-01 District: County of San Diego For: POINTSETTIA LN #2-01 Bond issued: March 28, 2005 Said assessment is collected with the county/city property taxes. C. The lien of supplemental or escaped assessments of property taxes, if any, made pursuant to the provisions of Chapter 3.5 (commencing with Section 75) or Part 2, Chapter 3, Articles 3 and 4, respectively, of the Revenue and Taxation Code of the State of California as a result of the transfer of title to the vestee named in Schedule A or as a result of changes in ownership or new construction occurring prior to Date of Policy. D. The herein described property lies within the boundaries of a Mello-Roos Community Facilities District (CFD) as follows: CFD No.: For: Disclosed by: Recording Date: Recording No.: 1 Community Facilities District No. 1 Notice of Special Tax lien May 20, 1991 1991-0236959, of Official Records This property, along with all other parcels in the CFO, is liable for an annual special tax. This special tax is included with and payable with the general property taxes of the City of Carlsbad, County of San Diego. The tax may not be prepaid. Agreement between Developer-Owner and the City of Carlsbad for the Payment of a Public Facilities Fee for Inside the Boundaries of Community Facilities District No. 1 Recording Date: December 11 , 1998 Recording No.: 1998-0806517, of Official Records Amendment to the Notice of Special Tax lien (Notice of Annexation) Recording Date: March 14, 2003 Recording No.: 2003-0289327, of Official Records Cl TA Preliminary Report Form (02/0312023) Pege4 Printed: 08.13.24@ 11:02 AM CA-TTC-FASD-01310.064051-SPS-1-24-TT2010942 TICOR TITLE COMPANY OF CALIFORNIA PRELIM NO. TT2010942 E. The herein described property lies within the boundaries of a Mello-Roos Community Facilities District (CFO) as follows: CFO No.: 3 For: Community Facilities District No. 3 of the Carlsbad Unified School District Disclosed by: Recording Date: Recording No.: Amendment to Notice of Special Tax Lien December 4, 2001 2001-0886438, of Official Records This property, along with all other parcels in the CFO, is liable for an annual special tax. This special tax is included with and payable with the general property taxes of the City of Carlsbad, County of San Diego. The tax may not be prepaid. Amendment to Notice of Special Tax Lien Recording Date: February 1, 2002 Recording No.: 2002-0089594, of Official Records F. A Notice Entitled: Agreement Regarding Annexation of Certain Real Property to Street Lighting and Landscape District No. 2 of the City of Carlsbad and Approval of the Levy of Assessments on Such Real Property For: Street Lighting and Landscape District No. 2 Executed by: City of Carlsbad Recording Date: March 16, 2005 Recording No.: 2005-0216793, of Official Records Reference is hereby made to said document for full particulars. The Company requires a current demand from the taxing agency regarding the payment of this lien prior to closing. G. A Notice Entitled: For: Executed by: Recording Date: Recording No.: Notice of Reassessment City of Carlsbad Reassessment District No. 2022-1 The City of Carlsbad August 4, 2022 2022-0317107, of Official Records Reference is hereby made to said document for full particulars. The Company requires a current demand from the taxing agency regarding the payment of this lien prior to closing. 1. Water rights, claims or title to water, whether or not disclosed by the public records. 2. Matters contained in that certain document Entitled: Recording Date: Recording No.: Notice of Restriction on Real Property February 25, 2003 2003-0210190, of Official Records Reference is hereby made to said document for full particulars. CL TA Preliminary Report Form (02/03/2023) Page 5 Printed: 08.13.24 @ 11 :02 AM C~TTC-FASD-01310.064051-SPS-1-24-TT2010942 TICOR TITLE COMPANY OF CALIFORNIA 3. Matters contained in that certain document Entitled: Recording Date: Recording No.: Hold Harmless Agreement Drainage March 11 , 2003 2003-0270075, of Official Records Reference is hereby made to said document for full particulars. 4. Matters contained in that certain document Entitled: Recording Date: Recording No.: Hold Harmless Agreement Geological Failure March 11, 2003 2003-0270076, of Official Records Reference is hereby made to said document for full particulars. 5. Matters contained in that certain document Entitled: Recording Date: Recording No.: Notice of Restriction on Real Property April 1, 2003 2003-0362107, of Official Records Reference is hereby made to said document for full particulars. PRELIM NO. TT2010942 6. The ownership of said Land does not include rights of access to or from the street, highway, or freeway abutting said Land, such rights having been relinquished by said Map of Carlsbad Tract CT 02-15 of Map No. 14960 of Tract Maps. Affects: Portions of Innovation Way 7. Easement(s) for the purpose(s) shown below and rights incidental thereto, as delineated on or as offered for dedication on Map/Plat: Recording Date: Purpose: Affects: Purpose: Affects: Purpose: Affects: Map No. 14960 of Tract Maps February 4, 2005 Landscape maintenance A portion of said land as shown on said map Restricted sight distance A portion of said land as shown on said map Future private drainage A portion of said land as shown on said map 8. The matters set forth in the document shown below which, among other things, contains or provides for: certain easements; liens and the subordination thereof; provisions relating to partition; restrictions on severability of component parts; and covenants, conditions and restrictions but omitting any covenants or restrictions, if any, including, but not limited to those based upon age, race, color, religion, sex, gender, gender identity, gender expression, sexual orientation, marital status, national origin, ancestry, familial status, source of income, disability, veteran or military status, genetic information, medical condition, citizenship, primary language, and immigration status, as set forth in applicable state or federal laws, except to the extent that said covenant or restriction is permitted by applicable law. Entitled: Recording Date: Recording No.: Declaration of Covenants, Conditions and Restrictions and Grant of Reciprocal Easements for Bressi Ranch Corporate Center March 15, 2005 2005-0210897, of Official Records CLTA Preliminary Report Form (02/03/2023) Printed: 08.13.24@11:02 AM CA-TTC-FASD-01310.064051-SPS-1-24-TT2010942 Page 6 TICOR TITLE COMPANY OF CALIFORNIA PRELIM NO. TT2010942 Said instrument also provides for the levy of assessments, the lien of which is stated to be subordinate to the lien of certain mortgages or deeds of trust made in good faith and for value. Said covenants, conditions and restrictions provide that a violation thereof shall not defeat the lien of any mortgage or deed of trust made in good faith and for value. Modification(s) of said covenants, conditions and restrictions Recording Date: January 26, 2012 Recording No.: 2012-0045639, of Official Records Modification(s) of said covenants, conditions and restrictions Recording Date: July 17, 2012 Recording No.: 2012-0412306, of Official Records Modification(s) of said covenants, conditions and restrictions Recording Date: February 22, 2013 Recording No.: 2013-0117373, of Official Records Modification(s) of said covenants, conditions and restrictions Recording Date: March 20, 2014 Recording No.: 2014-0110220, of Official Records Modification(s) of said covenants, conditions and restrictions Recording Date: Recording No.: December 17, 2014 2014-0556453, of Official Records Modification(s) of said covenants, conditions and restrictions Recording Date: May 5, 2016 Recording No.: 2016-0214801, of Official Records Modification(s) of said covenants, conditions and restrictions Recording Date: Recording No.: November 17, 2017 2017-0537851 , of Official Records 9. Covenants, conditions, restrictions and easements but omitting any covenants or restrictions, if any, including but not limited to those based upon age, race, color, religion, sex, gender, gender identity, gender expression, sexual orientation, marital status, national origin, ancestry, familial status, source of income, disability, veteran or military status, genetic information, medical condition, citizenship, primary language, and immigration status, as set forth in applicable state or federal laws, except to the extent that said covenant or restriction is permitted by applicable law, as set forth in the document Recording Date: June 9, 2005 Recording No.: 2005-0483802, of Official Records Said covenants, conditions and restrictions provide that a violation thereof shall not defeat the lien of any mortgage or deed of trust made in good faith and for value. CL TA Preliminary Report Form (02/03/2023) Page 7 Printed: 08.13.24@ 11:02 AM er,,. TTC-FAS0-01310.064051-SPS-1-24-TT2010942 TICOR TITLE COMPANY OF CALIFORNIA PRELIM NO. TT2010942 Modification(s) of said covenants, conditions and restrictions Recording Date: July 26, 2006 Recording No.: 2006-0529274, of Offlcial Records 10. Covenants, conditions, restrictions and easements but omitting any covenants or restrictions, if any, including but not limited to those based upon age, race, color, religion, sex, gender, gender identity, gender expression, sexual orientation, marital status, national origin, ancestry, familial status, source of income, disability, veteran or military status, genetic information, medical condition , citizenship, primary language, and immigration status, as set forth in applicable state or federal laws, except to the extent that said covenant or restriction is permitted by applicable law, as set forth in the document Recording Date: August 11 , 2005 Recording No.: 2005-0689778, of Official Records Said covenants, conditions and restrictions provide that a violation thereof shall not defeat the lien of any mortgage or deed of trust made in good faith and for value. Modification(s) of said covenants, conditions and restrictions Recording Date: July 28, 2006 Recording No.: 2006-0536070, of Official Records Modification(s) of said covenants, conditions and restrictions Recording Date: February 10, 2014 Recording No.: 2014-0054465, of Official Records 11. Easement(s) for the purpose(s) shown below and rights incidental thereto, as granted in a document: Granted to: Purpose: Lot 23 Bressi Ranch, LLC, a California limited liability company Private storm drain Recording Date: August16,2007 Recording No.: 2007-0546688, of Official Records Affects: A portion of said land as described therein 12. Matters contained in that certain document Entitled: Recording Date: Permanent Stormwater Quality Best Management Practice Maintenance Agreement December 19, 2007 Recording No.: 2007-0781660, of Official Records Reference is hereby made to said document for full particulars. 13. Matters contained in that certain document Entitled: Recording Date: Recording No.: Encroachment Agreement December 24, 2007 2007-0790600, of Official Records Reference is hereby made to said document for full particulars. Cl TA Preliminary Report Form (02/03/2023) Page 8 Printed: 08.13.24 @ 11 :02 AM CA-TTC-FASD-01310.064051-SPS-1-24-TT2010942 TICOR TITLE COMPANY OF CALIFORNIA 14. Matters contained in that certain document Entitled: Recording Date: Recording No.: Hold Harmless Agreement Drainage October 21 , 2015 2015-0549375, of Official Records Reference is hereby made to said document for full particulars. 15. Matters contained in that certain document PRELIM NO. TT2010942 Entitled: Recording Date: Permanent Stormwater Quality Best Management Practice Maintenance Agreement October 21 , 2015 Recording No.: 2015-0549376, of Official Records Reference is hereby made to said document for full particulars. 16. Matters contained in that certain document Entitled: Recording Date: Recording No.: Notice of Restriction on Real Property October 22, 2015 2015-0553267, of Official Records Reference is hereby made to said document for full particulars. 17. Recitals as shown on that certain Parcel Map No. 21308 Recording Date: Recording No.: December 17, 2015 2015-7000509, of Official Records Which among other things recites: A. Developer has executed a City Standard Subdivision Improvement Agreement and has posed security in accordance with C.M.C. Section 20.16.070 to install public improvements shown on the tentative map. These improvements include, but are not limited to: 1. Public water main extensions to the right of way line. 2. Public sewer manhole. B. Building permits will not be issued for development of the subject property unless the appropriate agency determines that sewer and water facilities are available. C. No structure, fence, wall, tree, shrub, sign, or other object may be places or permitted to encroach within the area identified as a sight distance corridor as defined by City of Carlsbad Engineering Standards or Line-of-Sight per Caltrans Standards. D. The owner of this property on behalf of itself and all of its successors in interest has agreed to hold harmless and indemnify the City of Carlsbad from any action that may arise through any diversion of waters, the alteration of the normal flow of surface waters or drainage, or the concentration of surface waters or drainage from the drainage system or other improvements identified in the city approved development plans; or by design, construction or maintenance of the drainage system or other improvements identified in the city approved development plans. Reference is hereby made to said document for full particulars. Cl TA Preliminary Report Form (02/03/2023) Page 9 Printed: 08.13.24@ 11:02 AM CA-TTC-FASO-01310.064051-SPS-1-24-TT2010942 TICOR TITLE COMPANY OF CALIFORNIA PRELIM NO. TT2010942 18. Easement(s) for the purpose(s} shown below and rights incidental thereto, as granted in a document: Granted to: Purpose: Recording Date: Recording No.: Affects: San Diego Gas and Electric Company, a corporation Public utilities, ingress and egress January 15, 2016 2016-0018190, of Official Records A portion of said land as described therein 19. Covenants, conditions, restrictions and easements but omitting any covenants or restrictions, if any, including but not limited to those based upon age, race, color, religion, sex, gender, gender identity, gender expression, sexual orientation, marital status, national origin, ancestry, familial status, source of income, disability, veteran or military status, genetic information, medical condition, citizenship, primary language, and immigration status, as set forth in applicable state or federal laws, except to the extent that said covenant or restriction is permitted by applicable law, as set forth in the document Recording Date: August 24, 2016 Recording No.: 2016-0438762, of Official Records Said covenants, conditions and restrictions provide that a violation thereof shall not defeat the lien of any mortgage or deed of trust made in good faith and for value. Matters contained in that certain document Entitled: Recording Date: Assignment and Assumption of Declarant Rights (Bressi Industrial} November 7, 2018 Recording No.: 2018-0465690, of Official Records Reference is hereby made to said document for full particulars. 20. Matters contained in that certain document Entitled: Recording Date: Recording No.: Notice of Restriction on Real Property September 30, 2016 2016-0524204, of Official Records Reference is hereby made to said document for full particulars. 21 . Please be advised that our search did not disclose any open Deeds of Trust of record. If you should have knowledge of any outstanding obligation, please contact the Title Department immediately for further review prior to closing. 22. Any rights of the parties in possession of a portion of, or all of, said Land, which rights are not disclosed by the public records. The Company will require, for review, a full and complete copy of any unrecorded agreement, contract, license and/or lease, together with all supplements, assignments and amendments thereto, before issuing any policy of title insurance without excepting this item from coverage. The Company reserves the right to except additional items and/or make additional requirements after reviewing said documents. • 23. Any easements not disclosed by the public records as to matters affecting title to real property, whether or not said easements are visible and apparent. CL TA Preliminary Report Form (02/03/2023) Page 10 Printed: 08.13.24@ 11:02 AM CA-TTC-FASD-01310.064051-SPS-1-24-TT2010942 TICOR TITLE COMPANY OF CALIFORNIA PRELIM NO. TT2010942 24. Matters which may be disclosed by an inspection and/or by a correct ALTA/NSPS Land Title Survey of said Land that is satisfactory to the Company, and/or by inquiry of the parties in possession thereof. END OF EXCEPTIONS PLEASE REFER TO THE "INFORMATIONAL NOTES" AND "REQUIREMENTS" SECTIONS WHICH FOLLOW FOR INFORMATION NECESSARY TO COMPLETE THIS TRANSACTION. CL TA Preliminary Report Form (02/0312023) Page 11 Printed; 08.13.24@ 11:02 AM CA-TTC-FASO-01310.064051-SPS-1-24-TT2010942 TICOR TITLE COMPANY OF CALIFORNIA PRELIM NO. TT2010942 REQUIREMENTS 1. The Company will require the following documents for review prior to the issuance of any title insurance predicated upon a conveyance or encumbrance from the limited partnership named below. Name: Rexford Industrial Realty, LP., a Maryland limited partnership a. A complete copy of the limited partnership agreement and all amendments thereto. b. Satisfactory evidence that the partnership was validly formed and is in good standing The Company reserves the right to add additional items or make further requirements after review of the requested documentation. 2. Prior to the close of escrow, the Company requires a Statement of Information to be completed by the following party(s), Party(s): All Parties The Company reserves the right to add additional items or make further requirements after review of the requested Statement of Information. 3. Furnish for review a full and complete copy of any unrecorded agreement, contract, license and/or lease together with all supplements, assignments and amendments thereto, prior to the close of this transaction . The Company reserves the right to add additional items or make further requirements after review of the requested documentation. 4. Unrecorded matters which may be disclosed by an Owner's Affidavit or Declaration. A form of the Owner's Affidavit/Declaration is attached to this Preliminary Report/Commitment. This Affidavit/Declaration is to be completed by the record owner of the land and submitted for review prior to the closing of this transaction. Your prompt attention to this requirement will help avoid delays in the closing of this transaction. Thank you. The Company reserves the right to add additional items or make further requirements after review of the requested Affidavit/Declaration. END OF REQUIREMENTS Cl TA Preliminary Report Form (02/03/2023) Page 12 Printed: 08.13.24 @ 11 :02 AM CA-TTC-FASD-01310.064051-SPS-1-24-TT2010942 TICOR TITLE COMPANY OF CALIFORNIA PRELIM NO. TT2010942 INFORMATIONAL NOTES 1. Property taxes, including any personal property taxes and any assessments collected with taxes, are paid. For proration purposes the amounts were: Tax Identification No.: Fiscal Year: 1st Installment: 2nd Installment Exemption: Code Area : 213-261-25-00 2023 -2024 $75,299.29 $75,299.29 $0 .00 09199 2. Note: None of the items shown in this report will cause the Company to decline to attach AL TA Endorsement Form 9 to an Extended Coverage Loan Policy, when issued. 3. Note: The Company is not aware of any matters which would cause it to decline to attach CLTA Endorsement Form 116 indicating that there is located on said Land a Commercial Property, known as 6131 Innovation Way, Carlsbad, CA, to an Extended Coverage Loan Policy. 4. Note: The policy of title insurance will include an arbitration provision. The Company or the insured may demand arbitration. Arbitrable matters may include, but are not limited to, any controversy or claim between the Company and the insu red arising out of or relating to this policy, any service of the Company in connection with its issuance or the breach of a policy provision or other obligation. Please ask your escrow or title officer for a sample copy of the policy to be issued if you wish to review the arbitration provisions and any other provisions pertaining to your Title Insurance coverage. 5. Notice: Please be aware that due to the conflict between federal and state laws concerning the cultivation , distribution, manufacture or sale of marijuana, the Company is not able to close or insure any transaction involving Land that is associated with these activities. 6. Pursuant to Government Code Section 27388.1, as amended and effective as of 1-1-2018, a Documentary Transfer Tax (DTT) Affidavit may be required to be completed and submitted with each document when DTT is being paid or when an exemption is being claimed from paying the tax. If a governmental agency is a party to the document, the form will not be required. DTT Affidavits may be available at a Tax Assessor-County Clerk-Recorder. 7. Note: There are NO conveyances affecting said Land recorded within 24 months of the date of this report. CLTA Preliminary Report Form (02/03/2023) Page 13 Printed: 08.13.24@ 11:02 AM CA-TTC-FASD-01310.064051-SPS-1-24-TT2010942 TICOR TITLE COMPANY OF CALIFORNIA PRELIM NO. TT2010942 8. The following Exclusion(s) are added to preliminary reports, commitments and will be included as an endorsement in the following policies: A. 2006 ALTA Owner's Policy (06-17-06). 6. Defects, liens, encumbrances, adverse claims, notices, or other matters not appearing in the Public Records but that would be disclosed by an examination of any records maintained by or on behalf of a Tribe or on behalf of its members. I B. 2006 ALTA Loan Policy (06-17-06) 8. Defects, liens, encumbrances, adverse claims, notices, or other matters not appearing in the Public Records but that would be disclosed by an examination of any records maintained by or on behalf of a Tribe or on behalf of its members. 9. Any claim of invalidity, unenforceability, or lack of priority of the lien of the Insured Mortgage based on the application of a Tribe's law resulting from the failure of the Insured Mortgage to specify State law as the governing law with respect to the lien of the Insured Mortgage. C. ALTA Homeowner's Policy of Title Insurance (12-02-13) and CLTA Homeowner's Policy of Title Insurance (12-02-13). 10. Defects, liens, encumbrances, adverse claims, notices, or other matters not appearing in the Public Records but that would be disclosed by an examination of any records maintained by or on behalf of a Tribe or on behalf of its members. D. AL TA Expanded Coverage Residential Loan Policy -Assessments Priority (04-02-15). 12. Defects, liens, encumbrances, adverse claims, notices, or other matters not appearing in the Public Records but that would be disclosed by an examination of any records maintained by or on behalf of a Tribe or on behalf of its members. 13. Any claim of invalidity, unenforceability, or lack of priority of the lien of the Insured Mortgage based on the application of a Tribe's law resulting from the failure of the Insured Mortgage to specify State law as the governing law with respect to the lien of the Insured Mortgage. E. CLTA Standard Coverage Policy 1990 (11-09-18). 7. Defects, liens, encumbrances, adverse claims, notices, or other matters not appearing in the public records but that would be disclosed by an examination of any records maintained by or on behalf of a tribe or on behalf of its members. 8. Any claim of invalidity, unenforceability, or lack of priority of the lien of the insured mortgage based on the application of a tribe's law resulting from the failure of the insured mortgage to specify state law as the governing law with respect to the lien of the insured mortgage. END OF INFORMATIONAL NOTES CL TA Preliminary Report Form (02/03/2023) Page 14 Printed: 08.13.24@11:02AM CA-TTC-FASD-01310.064051-SPS-1-24-TT2010942 Notice of Available Discounts Pursuant to Section 2355.3 in Title 10 of the California Code of Regulations Fidelity National Financial, Inc. and its subsidiaries ("FNF") must deliver a notice of each discount available under our current rate filing along with the delivery of escrow instructions, a preliminary report or commitment. Please be aware that the provision of this notice does not constitute a waiver of the consumer's right to be charged the filed rate. As such, your transaction may not qualify for the below discounts. You are encouraged to discuss the applicability of one or more of the below discounts with a Company representative. These discounts are generally described below; consult the rate manual for a full description of the terms, conditions and requirements for such discount. These discounts only apply to transactions involving services rendered by the FNF Family of Companies. This notice only applies to transactions involving property improved with a one-to-four family residential dwelling. Not all discounts are offered by every FNF Company. The discount will only be applicable to the FNF Company as indicated by the named discount. FNF Underwritten Title Companies Underwritten by FNF Underwriters CTC -Chicago Title Company CTIC -Chicago Title Insurance Company CL TC -Commonwealth Land Title Company CL TIC -Commonwealth Land Title Insurance Company FNTC -Fidelity National Title Company of California FNTIC -Fidelity National Title Insurance Company FNTCCA -Fidelity National Title Company of California CTIC -Chicago Title Insurance Company TICOR -Ticor Title Company of California L TC -Lawyer's Title Company SL TC -Servicelink Title Company Available Discounts DISASTER LOANS (CTIC, CL TIC, FNTIC) The charge for a Lender's Policy (.Standard or Extended coverage) covering the financing or refinancing by an owner of record, within twenty-four (24) months of the date of a declaration of a disaster area by the government of the United States or the State of California on any land located in said area, which was partially or totally destroyed in the disaster, will be fifty percent (50%) of the appropriate title insurance rate. CHURCHES OR CHARITABLE NON-PROFIT ORGANIZATIONS (CTIC, FNTIC) On properties used as a church or for charitable purposes within the scope of the normal activities of such entities, provided said charge is normally the church's obligation the charge for an owner's policy shall be fifty percent (50%) to seventy percent (70%) of the appropriate title insurance rate, depending on the type of coverage selected. The charge for a lender's policy shall be forty percent (40%) to fifty percent (50%) of the appropriate title insurance rate, depending on the type of coverage selected. MILITARY DISCOUNT RATE Upon the Company being advised in writing and prior to the closing of the transaction that an active duty, honorably separated, or retired member of the United States Military or Military Reserves or National Guard is acquiring or selling an owner occupied one-to-four family property, the selling owner or acquiring buyer, as applicable, will be entitled to a discount equal to fifteen percent (15%) of the otherwise applicable rates such party would be charged for title insurance policies. Minimum charge: Four Hundred Twenty-Five And No/100 Dollars ($425.00) The Company may require appropriate proof of eligibility from the parties to the transaction verifying they are entitled to the discount as described. No other discounts or special rates, or combination of discounts or special rates, shall be applicable. Notice of Available Discounts SCA0002598.doc I Updated: 01 .31.20 Printed: 08.13.24@ 11:03 AM by CA-TTC-FASD-01310.064051-TT2010942 FIDELITY NATIONAL FINANCIAL PRIVACY NOTICE Effective July 1, 2024 Fidelity National Financial. Inc. and its majority-owned subsidiary companies (collectively, "FNF," "our," or "we") respect and are committed to protecting your privacy. This Privacy Notice explains how we collect, use, and protect personal information, when and to whom we disclose such information, and the choices you have about the use and disclosure of that information. A limited number of FNF subsidiaries have their own privacy notices. If a subsidiary has its own privacy notice, the privacy notice will be available on the subsidiary's website and this Privacy Notice does not apply. Collection of Personal Information FNF may collect the following categories of Personal Information: • contact information (e.g., name, address, phone number, email address); • demographic information (e.g., date of birth , gender, marital status); • identity information (e.g. Social Security Number, driver's license, passport, or other government ID number); • financial account information (e.g. loan or bank account information); • biometric data (e.g. fingerprints, retina or iris scans, voiceprints, or other unique biological characteristics, and • other personal information necessary to provide products or services to you. We may collect Personal Information about you from: • information we receive from you or your agent; • information about your transactions with FNF, our affiliates, or others; and • information we receive from consumer reporting agencies and/or governmental entities, either directly from these entities or through others. Collection of Browsing Information FNF automatically collects the following types of Browsing Information when you access an FNF website, online service, or application (each an "FNF Website") from your Internet browser, computer, and/or device: • Internet Protocol (IP) address and operating system; • browser version, language, and type; • domain name system requests; and • browsing history on the FNF Website, such as date and time of your visit to the FNF Website and visits to the pages within the FNF Website, Like most websites, our servers automatically log each visitor to the FNF Website and may collect the Browsing Information described above. We use Browsing Information for system administration, troubleshooting, fraud investigation, and to improve our websites. Browsing Information generally does not reveal anything personal about you , though if you have created a user account for an FNF Website and are logged into that account, the FNF Website may be able to link certain browsing activity to your user account. Other Online Specifics Cookies. When you visit an FNF Website, a "cookie" may be sent to your computer. A cookie is a small piece of data that is sent to your Internet browser from a web server and stored on your computer's hard drive. Information gathered using cookies helps us improve your user experience. For example, a cookie can help the website load properly or can customize the display page based on your browser type and user preferences. You can choose whether or not to accept cookies by changing your Internet browser settings. Be aware that doing so may impair or limit some functionality of the FNF Website. Web Beacons. We use web beacons to determine when and how many times a page has been viewed. This information is used to improve our websites. Do Not Track. Currently our FNF Websites do not respond to "Do Not Track" features enabled through your browser. Privacy Statement SSCORPD0911 .doc Page 1 Printed: 08.13.24@ 11:03AM by CA-TTC-FASD-01310.064051-TT2010942 Links to Other Sites. FNF Websites may contain links to unaffiliated third-party websites. FNF is not responsible for the privacy practices or content of those websites. We recommend that you read the privacy policy of every website you visit. Use of Personal lnfonnation FNF uses Personal Information for these main purposes: • To provide products and services to you or in connection with a transaction involving you . • To improve our products and services. • To prevent and detect fraud; • To maintain the security of our systems, tools, accounts, and applications; • To verify and authenticate identities and credentials; • To communicate with you about our, our affiliates', and others' products and services, jointly or independently. • To provide reviews and testimonials about our services, with your consent. When Information Is Disclosed We may disclose your Personal Information and Browsing Information in the following circumstances: • to enable us to detect or prevent criminal activity, fraud, material misrepresentation, or nondisclosure; • to affiliated or nonaffiliated service providers who provide or perform services or functions on our behalf and who agree to use the information only to provide such services or functions; • to affiliated or nonaffiliated third parties with whom we perform joint marketing, pursuant to an agreement with them to jointly market financial products or services to you; • to law enforcement or authorities in connection with an investigation, or in response to a subpoena or court order; or • in the good-faith belief that such disclosure is necessary to comply with legal process or applicable laws, or to protect the rights, property, or safety of FNF, its customers, or the public. The law does not require your prior authorization and does not allow you to restrict the disclosures described above. Additionally, we may disclose your information to third parties for whom you have given us authorization or consent to make such disclosure. We do not otherwise share your Personal Information or Browsing Information with nonaffiliated third parties, except as required or permitted by law. We reserve the right to transfer your Personal Information, Browsing Information, and any other information, in connection with the sale or other disposition of all or part of the FNF business and/or assets, or in the event of bankruptcy, reorganization, insolvency, receivership, or an assignment for the benefit of creditors. By submitting Personal Information and/or Browsing Information to FNF, you expressly agree and consent to the use and/or transfer of the foregoing information in connection with any of the above described proceedings. Security of Your Information We maintain physical, electronic, and procedural safeguards to protect your Personal Information. Choices With Your lnfonnation Whether you submit Personal Information or Browsing Information to FNF is entirely up to you. If you decide not to submit Personal Information or Browsing Information, FNF may not be able to provide certain services or products to you. For California Residents: We will not share your Personal Information or Browsing Information with nonaffiliated third parties, except as permitted by California law. For additional information about your California privacy rights, please visit the "California Privacy" link on our website (https://fnf.com/pages/californiaprivacy.aspx) or call (888) 413-1748. For Connecticut Residents: For additional information about your Connecticut consumer privacy rights, or lo make a consumer privacy request, or to appeal a previous privacy request, please email privacy@fnf.com or call (888) 714-2710. Privacy Statement SSCORPO0911.doc Page 2 Printed: 08. 13.24 @ 11 :03 AM by CA-TTC-FAS0-01310.064051-TT2010942 For Colorado Residents: For additional information about your Colorado consumer privacy rights. or to make a consumer privacy request, or appeal a previous privacy request, please email privacy@fnf.com or call (888) 714-2710. For Nevada Residents: We are providing this notice pursuant to state law. You may be placed on our internal Do Not Call List by calling FNF Privacy at (888) 714-2710 or by contacting us via the information set forth at the end of this Privacy Notice. For further information concerning Nevada's telephone solicitation law, you may contact: Bureau of Consumer Protection, Office of the Nevada Attorney General, 555 E. Washington St., Suite 3900, Las Vegas, NV 89101 ; Phone number: (702) 486-3132; email: aginquiries@aq.state.nv.us. For Oregon Residents: We will not share your Personal Information or Browsing Information with nonaffiliated third parties for marketing purposes, except after you have been informed by us of such sharing and had an opportunity to indicate that you do not want a disclosure made for marketing purposes. For additional information about your Oregon consumer privacy rights, or to make a consumer privacy request, or appeal a previous privacy request, please email privacy@fnf.com or call (888) 714-2710 We may disclose the categories of Personal Information and Browsing information listed above to the following categories of third parties: • FNF affiliates and subsidiaries; • Non-affiliated third parties, with your consent; • Business in connection with the sale or other disposition of all or part of the FNF business and/or assets; • Service providers; • Law endorsement or authorities in connection with an investigation, or in response to a subpoena or court order. For Texas Residents: For additional information about your Texas consumer privacy rights, or to make a consumer privacy request, or appeal a previous privacy request, please email privacy@fnf.com or call (888) 714-2710. We may disclose the categories of Personal Information and Browsing information listed above to the following categories of third parties: • FNF affiliates and subsidiaries; • Non-affiliated third parties, with your consent; • Business in connection with the sale or other disposition of all or part of the FNF business and/or assets; • Service providers; • Law endorsement or authorities in connection with an investigation, or in response to a subpoena or court order. For Utah Residents: For additional information about your Utah consumer privacy rights, or to make a consumer privacy request, please call (888) 714-2710. For Vermont Residents: We will not disclose information about your creditworthiness to our affiliates and will not disclose your personal information, financial information, credit report, or health information to nonaffiliated third parties to market to you, other than as permitted by Vermont law, unless you authorize us to make those disclosures. For Virginia Residents: For additional information about your Virginia consumer privacy rights, or to make a consumer privacy request, or appeal a previous privacy request, please email privacy@fnf.com or call (888) 714-2710. lnfonnation From Children The FNF Websites are not intended or designed to attract persons under the age of eighteen (18). We do not collect Personal Information from any person that we know to be under the age of thirteen (13) without permission from a parent or guardian. Prl\18cy Statement SSCORPD0911.doc Page 3 Printed: 08.13.24@ 11 :03 AM by CA-TTC-FASD-01310.064051-TT2010942 International Users FNF's headquarters is located within the United States. If you reside outside the United States and choose to provide Personal Information or Browsing Information to us, please note that we may transfer that information outside of your country of residence. By providing FNF with your Personal Information and/or Browsing Information, you consent to our collection, transfer, and use of such information in accordance with this Privacy Notice. FNF Website Services for Mortgage Loans Certain FNF companies provide services to mortgage loan servicers, including hosting websites that collect customer information on behalf of mortgage loan servicers (the "Service Websites"). The Service Websites may contain links to both this Privacy Notice and the mortgage loan servicer or lender's privacy notice. The sections of this Privacy Notice titled When Information is Disclosed, Choices with Your Information, and Accessing and Correcting Information do not apply to the Service Websites. The mortgage loan servicer or lender's privacy notice governs use, disclosure, and access to your Personal Information. FNF does not share Personal Information collected through the Service Websites, except as required or authorized by contract with the mortgage loan servicer or lender, or as required by law or in the good-faith belief that such disclosure is necessary: to comply with a legal process or applicable law, to enforce this Privacy Notice, or to protect the rights, property, or safety of FNF or the public. Your Consent To This Privacy Notice; Notice Changes By submitting Personal Information and/or Browsing Information to FNF, you consent to the collection and use of the information in accordance with this Privacy Notice. We may change this Privacy Notice at any time. The Privacy Notice's effective date will show the last date changes were made. If you provide information to us following any change of the Privacy Notice, that signifies your assent to and acceptance of the changes to the Privacy Notice. Accessing and Correcting Information; Contact Us If you have questions or would like to correct your Personal Information, visit FNF's Privacy Inquiry Website or contact us by phone at (888) 714-2710, by email at privacy@fnf.com, or by mail to: Privacy Statement SSCORPO0911 .doc Fidelity National Financial, Inc. 601 Riverside Avenue, Jacksonville, Florida 32204 Attn: Chief Privacy Officer Page 4 Printed: 08.13.24 @ 11 :03 AM by CA-TTC-FAS[)..01310.064051-TT2010942 FIDELITY NATIONAL FINANCIAL CALIFORNIA PRIVACY NOTICE Fidelity National Financial, Inc. and its majority-owned subsidiary companies (collectively, "FNF," "our," or "we") respect and are committed to protecting your privacy. This California Privacy Notice explains how we collect, use, and disclose Personal Information, when and to whom we disclose such information, and the rights you, as a California resident ("Consumer"), have regarding your Personal Information ("California Privacy Rights"). "Personal Information" means information that identifies, relates to, describes, and is reasonably capable of being associated with, or could reasonably be linked, directly or indirectly, with a particular consumer or household. If FNF has collected, used, or disclosed your Personal Information in relation to a job application or employment, independent contractor, officer, owner, or director relationship with FNF, FNF's practices are discussed in our Notice at Collection for Prospective Employees, available at Prospective California Employees. Some subsidiaries maintain separate California Privacy Notices or privacy statements. If a subsidiary has a separate California Privacy Notice, it will be available on the subsidiary's website, and this California Privacy Notice does not apply. Collection of categories of Personal Information: In the preceding twelve (12) months FNF has collected, and will continue to collect, the following categories of Personal Information from you: • Identifiers such as name, address, telephone number, IP address, email address, account name, social security number, driver's license number, state identification card, passport number, financial information, date of birth, or other similar identifiers; • Characteristics of protected classifications under California or Federal law; • Commercial information, including records of personal property, products or services purchased, or other purchasing or consuming histories; • Internet or other electronic network activity information including, but not limited to browsing history on FNF websites, and information regarding a Consumer's interaction with an FNF website; • Geolocation data; • Unique biometric data used to authenticate a specific individual such as a fingerprint, retina, or iris image; • Professional or employment information; • Education Information. This Personal Information is collected from the following sources: • Information we receive from you on applications or other forms; • Information about your transactions with FNF, our affiliates, or others; • Information we receive from consumer reporting agencies and/or governmental entities, either directly from these entities, or from internet service providers, data analytics providers, and social networks; • Information from the use of our websites and mobile applications; • Information we receive directly from you related to doing business with us. This Personal lnfonnation is collected for the following business purposes: • To provide products and services to you or in connection with a transaction involving you; • To perform a contract between FNF and the Consumer; • To improve our products and services; Privacy Statement SSCORPD0911.doc Page 5 Printed: 08.13.24 @ 11 :03 AM by CA-TTC-FASD-01310.064051-TT2010942 • To comply with legal obligations; • To detect and protect against fraudulent or illegal activity; • To communicate with you about FNF or our affiliates; • To maintain an account with FNF or our affiliates; • To maintain the security of our systems, tools, accounts, and applications; • To verify and authenticate identities and credentials; • To provide, support, personalize, and develop our websites, products, and services; • To directly market our products to consumers; • As described to you when collecting your Personal Information or as otherwise set forth in the California Consumer Privacy Act. Disclosures of Personal Information for a business purpose: In the preceding twelve (12) months FNF has disclosed, and will continue to disclose, the categories of Personal Information listed above for a business purpose. We may disclose Personal Information for a business purpose to the following categories of third parties: • FNF affiliates and subsidiaries; • Non-affiliated third parties, with your prior consent; • Businesses in connection with the sale or other disposition of all or part of the FNF business and/or assets; • Service Providers and non-affiliated third parties such as data analytics providers; • Law enforcement or authorities in connection with an investigation, or in response to a subpoena or court order. Sale of Personal Information: In the preceding twelve (12) months, FNF has not sold or shared Personal Information. FNF does not sell or share Personal Information. Retention Periods: Due to the breadth and variety of data collected by FNF, it is not possible for us to provide you with a comprehensive list of timeframes during which we retain each category of Personal Information. FNF retains categories of information as reasonably necessary to satisfy the purpose for which we collect the information. This time period varies depending on the purpose for which we collected the information, the nature and frequency of our interactions and relationship with you, whether we have a legal basis to continue retaining the information, industry practices. the value and sensitivity of the information, and state and federal recordkeeping requirements. Personal Information of minors: FNF does not knowingly collect the Personal Information of minors. FNF does not sell or share the information of consumers under sixteen (16) years of age. Sensitive Personal Information: FNF does not use or disclose sensitive Personal Information for any purposes other than those specified in the California Consumer Privacy Act. Right to know: Consumers have a right to know about Personal Information collected, used, disclosed, shared, or sold , including the categories of such Personal Information , as well as the purpose for such collection, use, disclosure, sharing, Priwcy Statement SSCORPD0911 .doc Page 6 Printed: 08.13.24 @ 11 :03 AM by CA-TTC-FASD--01310.064051-TT2010942 or selling, categories of third parties to whom Personal Information is disclosed, shared or sold, and the specific pieces of Personal Information collected about the consumer. Consumers have the right to request FNF disclose what Personal Information it collected, used, and disclosed in the past twelve (12) months. Right to request deletion: Consumers have a right to request the deletion of their Personal Information, subject to certain exceptions. Right to Correct: Consumers have the right to correct inaccurate Personal Information. Right to non-discrimination: Consumers have a right not to be discriminated against because of exercising their consumer privacy rights. We will not discriminate against Consumers for exercising any of their California Privacy Rights. Privacy Requests: To exercise any of your California Privacy Rights, or if acting as an authorized agent on behalf of another individual, please visit California Privacy Request, call us Toll Free at 888-413-1748, or write to the address at the end of this notice. Upon making a California Privacy Request, FNF will verify the consumer's identity by requiring an account, loan, escrow number, or other identifying information from the consumer. The above-rights are subject to any applicable rights and obligations including both Federal and California exemptions rendering FNF, or Personal Information collected by FNF, exempt from certain CCPA requirements. A Consumer may use an Authorized Agent to submit any CCPA request. Authorized agents' requests will be processed like any other CCPA request, but FNF will also require the Consumer provide the agent written permission to make the request and verify his or her identity with FNF. FNF website services for mortgage loans: Certain FNF companies provide services to mortgage loan servicers, including hosting websites that collect customer information on behalf of mortgage loan servicers (the "Service Websites"). The Service Websites may contain links to both this Privacy Notice and the mortgage loan servicer or lender's privacy notice. The sections of this Privacy Notice describing the categories, sources, and uses of your Personal Information do not apply to the Service Websites. The mortgage loan servicer or lender's privacy notice governs use, disclosure, and access to your Information. FNF does not share Information collected through the Service Websites, except (1) as required or authorized by contract with the mortgage loan servicer or lender, or (2) as required by law or in the good-faith belief that such disclosure is necessary to comply with a legal process or applicable law, to enforce this Privacy Notice, or to protect the rights, property, or safety of FNF or the public. California Privacy Notice -Effective Date: This California Privacy Notice was last updated on July 1, 2024. Contact for more information: For questions or concerns about FNF's California Privacy Notice and privacy practices, or to exercise any of your California Privacy Rights, please visit California Privacy. call Toll Free 888-413-1748, or contact us by mail at the below address. Privacy Statement SSCORPO0911.doc Fidelity National Financial, Inc. 601 Riverside Avenue Jacksonville, Florida 32204 Attn: Chief Privacy Officer Page7 Printed: 08.13.24 @ 11 :03 AM by Cf>.. TTC-FAS0-01310.064051-TT2010942 ATTACHMENT ONE CALIFORNIA LAND TITLE ASSOCIATION STANDARD COVERAGE POLICY -1990 (11-09-18) EXCLUSIONS FROM COVERAGE The follcming matters are expressly excluded from the coverage of this policy and the Company will not pay loss or damage, costs, attorneys' fees or expenses which arise by reason of: 1. (a) Any law, ordinance or governmental regulation (including bu1 not limited to building or zoning laws, ordinances, or regulations) restricting, regulating, prohibiting or relating (i) the occupancy, use, or enjoyment of the land; (ii) the character, dimensions or location of any improvement now or hereafter erected on the land; (iii) a separation in ownership or a change in the dimensions or area of the li¥1d or any parcel of which the land is or was a part; or (iv) environmental protection, or the effect of any violation of these laws, ordinances or governmental regulations, except to the extent that a notice of the enforcement thereof or a notice of a defect, lien, or encumbrance resuHing from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. (b) Any governmental police power not excluded by (a) above, except to the extent that a notice of the exercise thereof or notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. 2. Rights of eminent domain unless notice of the exercise thereof has been recorded in the public records at Date of Policy, bu1 not excluding from coverage any taking which has occurred prior to Date of Policy which would be binding on the rights of a purchaser for value without knowledge. 3. Defects, liens, encumbrances, adverse claims or other matters: (a) whether or not recorded in the public records at Date of Policy, bu1 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) resuHing in no loss or damage to the insured claimant (d) attaching or created subsequent to Date of Policy; or (e) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the insured mortgage or for the estate or interest insured by this policy. 4. Unenforceability of the lien of the insured mortgage because of the inability or failure of the insured at Date of Policy, or the inability or failure of any subsequent owner of the indebtedness, to comply with the applicable doing business laws of the state in which the land is situated. 5. Invalidity or unenforceability of the lien of the insured mortgage, or claim thereof, which 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, which arises ou1 of the transaction vesting in the insured the estate or interest insured by this policy or the transaction creating the interest of the insured lender, by reason of the operation of federal bankruptcy, state insolvency or similar creditors' rights laws. EXCEPTIONS FROM COVERAGE-SCHEDULE B, PART I This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses) which arise by reason of: 1. Taxes or assessments which are not shown as existing liens by the records of any taxing au1hority that levies taxes or assessments on real property or by the public records. Proceedings by a public agency which 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 which are not shO'Ml by the public records but which could be ascertained by an inspection of the land or which may be asserted by persons in possession thereof. 3. Easements, liens or encumbrances, or claims thereof, not shown by the public records. 4. Discrepancies, conflicts in boundary lines, shortage in area, encroachments, or any other facts v.tiich a correct survey woold disclose, and which are not shown by the public records. 5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts au1horizing 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 unless such lien is shown by the public records at Date of Policy. EXCEPTIONS FROM COVERAGE -SCHEDULE B, PART II (Variable exceptions such as taxes, easements, CC&R's, etc., are inserted here) Attachment One (11104122) ATTACHMENT ONE (CONTINUED) CALIFORNIA LANO TITLE ASSOCIATION STANDARD COVERAGE OWNER'S POLICY (02-04-22) EXCLUSIONS FROM COVERAGE The follCMling matters are 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) that restricts, regulates, prohibits, or relates to: I. the occupancy, use, or enjoyment of the Land; ii. the character, dimensions, or location of any impro-..ement on the Land: iii. the subdivision of land; or iv. environmental remediation or protection. b. any governmental forfeiture, police, regulatory, or national security pONer. c. the effect of a violation or enforcement of any matter excluded under Exclusion 1.a. or 1.b. Exclusion 1 does not modify or limit the coverage provided under Covered Risk 5 or 6. 2. Any pONer of eminent domain. Exclusion 2 does not modify or limit the coverage provided under Covered Risk 7. 3. Any defect, lien, encumbrance, adverse claim, or other matter: a. created, suffered, assumed, or agreed to by the Insured Claimant: b. not Known to the Company, not recorded in the Public Records at the Date of Polley, 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 the Date of Policy (Exclusion 3.d. does not modify or limit the coverage provided under Covered Risk 9 or 10): or e. resulting in loss or damage that would not have been sustained if consideration sufficient to qualify the Insured named in Schedule A as a bona fide purchaser had been given for the Tille at the Date of Policy. 4. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights law, that the transaction vesting the Title as shown in Schedule A is a: a. fraudulent conveyance or fraudulent transfer; b. voidable transfer under the Uniform Voidable Transactions Act; or c. preferential transfer: I. to the extent the instrument of transfer vesting the Title as shown in Schedule A is not a transfer made as a contemporaneous exchange for neN value; or ii. for any other reason not staled in Covered Risk 9.b. 5. Any claim of a PACA-PSA Trust. Exclusion 5 does not modify or limit the coverage provided under Covered Risk 8. 6. Any lien on the Title for real estate taxes or assessments imposed or collected by a governmental authority that becomes due and payable after the Date of Policy. Exclusion 6 does not modify or limit the coverage provided under Covered Risk 2.b. 7 Any discrepancy in the quantity of the area, square footage, or acreage of the Land or of any impro-..ement to the Land. EXCEPTIONS FROM COVERAGE Some historical land records contain Discriminatory Covenants that are Illegal and unenforceable by law. This policy treats any Discriminatory Covenant In a document referenced in Schedule B as if each Discriminatory Covenant Is redacted, repudiated, removed, and not republished or recirculated. Only the remaining provisions of the document are excepted from coverage. This policy does not insure against loss or damage and the Company will not pay costs, attorneys' fees, or expenses resulting from the terms and conditions of any lease or easement identified in Schedule A, and the following matters: PARTI 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, 'Nhether 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 at Date of Policy but that could be (a) ascertained by an inspection of the Land, or (b) asserted by persons or parties in possession of the Land. 3. Easements, liens or encumbrances, or claims thereof, not shown by the Public Records at Date of Policy. 4. Any encroachment, encumbrance. violation, variation, easement, 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 at Date of Polley. 5. (a) Unpatented mning claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water, 'Nhether 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, material or equipment unless such lien is sh01M1 by the Public Records at Date of Policy. 7. Any claim to (a) ownership of or rights to minerals and similar substances, including but not limited to ores, metals, coal, lignite, oil, gas , uranium, clay, rock, sand, and gravel located in, on, or under the Land or produced from the Land, whether such ownership or rights arise by lease, grant, exception, conveyance, reservation, or otherwise; and (b) any rights, privileges, immunities , rights of w'cty, and easements associated therewith or appurtenant thereto, 'Nhether or not the interests or rights excepted in (a) or (b) appear in the Public Records or are shown in Schedule B. PART II (Variable exceptions such as taxes, easements, CC&R's, etc., are inserted here) Attachment One (11104/22) ATTACHMENT ONE (CONTINUED) CLTA/ALTA HOMEOWNER'S POLICY OF TITLE INSURANCE (7-01-21) EXCLUSIONS FROM COVERAGE The following matters are excluded from the coverage of this policy and We 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) that restricts, regulates, prohibits, or relates to: i. the occupancy, use, or enjoyment of the Land; ii. the character. dimensions, or location of any improvement on the Land; iii. the subdivision of land; or iv. environmental remedial.ion or protection. b. any governmental forfeiture, police, or regulatory, or national security power. c. the effect of a violation or enforcement of any matter excluded under Exclusion 1.a. or 1.b. Exclusion 1 does not modify or limit the coverage provided under Covered Risk 8.a., 14, 15, 16, 18, 19, 20, 23. or 27. 2. Any power to take the Land by condemnation. Exclusion 2 does not modify or limit the coverage provided under Covered Risk 17. 3. Any defect, lien, encumbrance, adverse claim, or other matter: a. created, suffered, assumed, or agreed to by You; b. not Known to Us, not recorded in the Public Records at the Date of Policy, but Known to You and not disclosed in writing to Us by You prior to the date You became an Insured under this policy; c. resulting in no loss or damage to You; d. attaching or created subsequent to the Date of Policy (Exclusion 3.d. does not modify or limit the coverage provided under Covered Risk 5, 8.f., 25, 26, 27, 28, or 32); or e. resulting in loss or damage that would not have been sustained if You paid consideration sufficient to qualify You as a bona fide purchaser of the Title at the Date of Policy. 4. Lack of a right: a. to any land outside the area specifically described and referred to in Item 3 of Schedule A; and b. In any street, road, avenue, alley, lane, right-of-way, body of water, or waterway that abut the Land. Exclusion 4 does not modify or limit the coverage provided under Covered Risk 11 or 21. 5. The failure of Your existing structures, or any portion of Your existing structures, to have been constructed before, on, or after the Date of Policy In accordance with applicable building codes. Exclusion 5 does not modify or limit the coverage provided under Covered Risk 14 or 15. 6. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights law, that the transfer of the Title to You is a: a. fraudulent conveyance or fraudulent transfer; b. voidable transfer under the Uniform Voidable Transactions Act; or c. preferential transfer: i. to the extent the instrument of transfer vesting the Tille as shown in Schedule A is not a transfer made as a contemporaneous exchange for new value; or ii. for any other reason not stated in Covered Risk 30. 7. Contamination, explosion, fire, flooding, vibration, fracturing, earthquake, or subsidence. 8. Negligence by a person or an entity exercising a right to extract or develop oil, gas, minerals, groundwater, or any other subsurface substance. 9. Any lien on Your Title for real estate taxes or assessments, imposed or collected by a governmental authority that becomes due and payable after the Date of Policy. Exclusion 9 does not modify or limit the coverage provided under Covered Risk 8.a or 27. 10. Any discrepancy in the quantity of the area, square footage, or acreage of the Land or of any improvement to the Land. 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 shOM1 in Schedule A. The deductible amounts and maximum dollar limits shown on Schedule A are as follows: Covered Risk 16: Covered Risk 18: Covered Risk 19: Covered Risk 21 : Your Deductible Amount 1.00% of Policy Amount Shown in Schedule A or $2,500.00 (whichever is less) 1.00% of Policy Amount Shown in Schedule A or $5,000.00 (whichever is less) 1.00% of Policy Amount Shown in Schedule A or $5,000.00 (whichever is less) 1.00% of Policy Amount Shown in Schedule A or $2,500.00 (whichever is less) Our Maximum Dollar Limit of Liability $ 10,000.00 $ 25,000.00 $ 25,000.00 $ 5,000.00 Attachment One (1 1104/22) ATTACHMENT ONE (CONTINUED) CLTA/ALTA HOMEOWNER'$ POLICY OF TITLE INSURANCE (12-02-13) 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; b. zoning; c. land use: d. improvements on the Land; e. land division; and f. en'vironmental 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, allO'vVed. 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 Tille. 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. 8. Contamination, exPlosion, fire, flooding, 'vibration, fracturing, earthquake or subsidence. 9. Negligence by a person or an Entity exercising a right to extract or develop minerals, water, or any other substances. LIMITATIONS ON COVERED RISKS Your insurance for the follO'Ning Covered Risks is limlted on the o..vner'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. The deductible amounts and maximum dollar limits shown on Schedule A are as follows: Covered Risk 16: Covered Risk 18: Covered Risk 19: Covered Risk 21 : Your Deductible Amount 1.00% of Policy Amount Shown in Schedule A or $2,500.00 (whichever is less) 1.00% of Policy Amount Shown in Schedule A or $5,000.00 (whichever is less) 1.00% of Policy Amount Shown in Schedule A or $5,000.00 (v.tiichever Is less) 1.00% of Policy Amount Shown in Schedule A or $2,500.00 {\'tlichever is less) Our Maximum Dollar Limit of Liability $ 10,000.00 $ 25,000.00 $ 25,000.00 $ 5,000.00 Attachment One (11/04/22) ATTACHMENT ONE (CONTINUED) ALTA OWNER'S POLICY (07-01-2021) EXCLUSIONS FROM COVERAGE The follOYling matters are excluded from the ca...erage of this policy, and the Company will nol pay toss 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) that restricts, regulates, prohibits, or relates to: i. the occupancy, use, or enjoyment of the Land; ii. the character, dimensions, or locatlon of My improvement on the Land; iii. the subdivision of land; or iv. environmental remediation or protection. b. any g011emmental forfeiture. police, regulatory, or national security pcmer. c. the effect of a violation or enforcement of any matter excluded under Exclusion 1.a or 1.b. Exclusion 1 does not modify or limit the coverage provided under Covered Risk 5 or 6. 2. Any power of eminent domain. Exclusion 2 does not modify or limit the coverage provided under Cove,ed Risk 7. 3. Any defect, lien, encumbranc , adverse claim, or other matter: a. created, suffered, assumed, or agreed to by the Insured Clalmant; b. not KnoY.fl lo the Company, not recorded in the Public Records al the Date or Polley, but Krn,.yn 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 the Date of Policy (Exclusion 3.d. does not modify or limit the coverage provided under Covered Risk 9 or 10): or e. resulting In loss or damage thal would not have been sustained if consideration suffic ent to qualify the Insured named In Schedule A as a bona fide purchaser had been given for the Title al. the Date of Pol cy. 4. Any claim. by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights law, Iha.I the transaction vesting the Tit1e as ShCMfl in Schedule A is a: a. fraudulent conveyance or fraudulent transfer: b. voidable transfer under the Uniform Voidable Transactions Act; or c. preferential transfer: i. to the extent the Instrument of transfer vesting the r rt1e as shOINl'l In Schedule A Is nOI a transfer made as a contemporaneous exchange for new value; or ii. for any other reason not stated in Covered Risk 9.b. 5. Any claim of a PACA-PSA Trust. Exclusion 5 does not modify or limit the coverage prolrided under C011ered Risk 8. 6. Any lien on the Title for real estate taxes or assessments, imposed or collected by a gowmmental authority that becomes due and payable after the Date or Policy. Exclusion 6 does not modify or limit the coverage provided under Covered Risk 2.b. 7. Any discrepancy In the quantity or the a-ea. square footage, or acreage of the Land or of any Improvement to the Land. EXCEPTIONS FROM COVERAGE Some hlstorlcal land records contain Discriminatory Covenants that are Illegal and unenforceable by law. This policy treats any Discriminatory Covenant In a document referenced In Schedule B as if each Discriminatory Covenant Is redacted, repudiated, removed, and not republished or reclrculatod. Only the remaining provisions of the document are Hcepted from coverage. This policy does not Insure against toss or damage and the Company will not pay costs, attorneys' fees, or expenses resulllng from the terms and conditions or any lease or easement Identified In Schedule A. and the following matters: NOTE: The 2021 ALTA Owner's Policy may be Issued to afford ether Standard Coverage or Extended Coverage. In addlllon to variable exceptions such as taxes, easements. CC&R's. etc., the Exceptions from Coverage in a Standard Coverage polcy wll also include the Western Regional Standard Coverage Exceptions fisted as 1 through 7 below: 1. (a) Taxes or assessments that are not shO'M'l 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 nol shown by the records of such agency or by the Public Records. 2. Any facts, rights. interests, or claims thal are not shown by the Public Records at Date of Polley but that could be (a) ascertained by an inspection of the land or (b) asserted by persons or parties in possession of the Land. 3. Easements, liens or encumbrances, or claims thereof. not sh0'M'1 by the Public Records at Date of Policy. 4. Any encroachment, encumbrance, violation, variation, easement. or adverse circumstance affecting the Title that would be disclosed by an accurate and complete land survey of the Land and not shCMfl by the Public Records at Date of Policy. 5. (a) Unpatented rnning claims; (b) resefValions or exceptions n patents or n Acts authorizing the issuance thereof; (cl 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, material or equipment unless such lien Is shO'MI by the Public Records at Date of Policy. 7. Any claim to (a) ~hip of or rights to minerals and similar substances. Including but not limited lo ores, metals, coal, lignite, oil, gas, uranium, clay, rock. sand, and gravel located in, on, or under the Land or produced from the Land, Whether such ownership or rights arise by lease, grant, exception, conveyance, reservation, or olherwise: and (b) any rights , privileges, immunities. rights of way, and easements associated therev.ith or appurtenant thereto, Yot)ether or not the interests or rights excepted in (a) or (b) appear in the Pubfic Records or are shcmn in Schedule B. Attachment One (11/04/22) ATTACHMENT ONE (CONTINUED) 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 rn 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 shO'Ml 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 shO'Ml in Schedule A. 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: NOTE: The 2006 AL TA Owner's Poky may be issued to afford either Standard Coverage or Extended Coverage. In addition to variable exceptions such as taxes, easements, CC&R's, etc., tlie Exceptions from Coverage in a Standard Coverage policy will also include the Western Regional Standard Coverage Exceptions listed below as 1 through 7 below: 1, (a) Taxes or assessments that are not shO'Ml 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 shO'Ml 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 at Date of Policy but that could be (a) ascertained by an inspection of the Land, or (b) asserted by persons or parties in possession of the Land. 3. Easements, liens or encumbrances, or claJms thereof, not shown by the Public Records at Date of Policy. 4. Any encroachment, encumbrance, violation, variation, easement, or adverse circumstance affecting the Tide that would be disclosed by an accurate and complete land survey of the Land and not shown by the Public Records at Date of Policy. 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, material or equipment unless such lien is shown by the Public Records at Date of Policy.] 7. Any claim to (a) ownership or or rights to minerals and similar substances, including but not limited to ores, metals, coal, lignite, oU, gas, uranium, clay, rock, sand, and gravel located in, on. or under the Land or produced from the Land, whether such CM10ershlp or rights arise by lease, grant, exception, conveyance, reservation, or otherwise; and (b) any rights, privileges, immunities, rights of way, and easements associated therewith or appurtenant thereto, whether or not the interests or rights excepted in {a} or {b) appear in the Public Records or are shown in Schedule B. Attachment One (11/04122) ~ TICOR TITLE COMPANY OWNER'S DECLARATION Escrow No.: TT2010942-CC Property: 6131 Innovation Way, Carlsbad, CA 92009-1745 The undersigned hereby declares as follows: 1. (Fill in the applicable paragraph and strike the other) A. Declarant ("Owner") is the owner or lessee, as the case may be, of certain premises located at 6131 Innovation Way, Carlsbad, CA 92009-1745, further described as follows: See Preliminary Report/Commitment No. TT2010942 for full legal description (the "Land"). B. Declarant is the ___________ of ______________ ("Owner"), which is the owner or lessee, as the case may be, of certain premises located at 6131 Innovation Way, Carlsbad, CA 92009-1745, further described as follows: See Preliminary Report/Commitment No. TT2010942 for full legal description (the "Land"). 2. (Fill in the applicable paragraph and strike the other) A. During the period of six (6) months immediately preceding the date of this declaration no work has been done, no surveys or architectural or engineering plans have been prepared, and no materials have been furn ished in connection with the erection, equipment, repair, protection or removal of any building or other structure on the Land or in connection with the improvement of the Land in any manner whatsoever. B. During the period of six (6) months immediately preceding the date of this declaration certain work has been done and materials furnished in connection with ___________ upon the Land in the approximate total sum of $ ________ _, but no work whatsoever remains to be done and no materials remain to be furnished to complete the construction in full compliance with the plans and specifications, nor are there any unpaid bills incurred for labor and materials used in making such improvements or repairs upon the Land, or for the services of architects, surveyors or engineers, except as follows: __________________ . Owner, by the undersigned Declarant, agrees to and does hereby indemnify and hold harmless Chicago Title Insurance Company against any and all claims arising therefrom. 3. Owner has not previously conveyed the Land; is not a debtor in bankruptcy (and if a partnership, the general partner thereof is not a debtor in bankruptcy); and has not received notice of any pending court action affecting the title to the Land. 4. Except as shown in the above referenced Preliminary Report/Commitment, there are no unpaid or unsatisfied mortgages, deeds of trust, Uniform Commercial Code financing statements, regular assessments, special assessments, periodic assessments or any assessment from any source, claims of lien, special assessments, or taxes that constitute a lien against the Land or that affect the Land but have not been recorded in the public records. There are no violations of the covenants, conditions and restrictions as shown in the above referenced Preliminary Report/Commitment. 5. The Land is currently in use as ____________ _, ____________ _ occupy/occupies the Land; and the following are all of the leases or other occupancy rights affecting the Land: 6. There are no other persons or entities that assert an ownership interest in the Land, nor are there unrecorded easements, claims of easement, or boundary disputes that affect the Land. 7. There are no outstanding options to purchase or rights of first refusal affecting the Land. Owner's Declaration SCA0002873.doc / Updated; 07.18.24 Page 1 Printed: 08.13.24@ 11 :03 AM by CA-TTC-FAS0-01310.064051-TT2010942 OWNER'S DECLARATION (continued) 8. Between the most recent Effective Date of the above referenced Preliminary Report/Commitment and the date of recording of the Insured lnstrument(s), Owner has not taken or allowed, and will not take or allow, any action or inaction to encumber or otherwise affect title to the Land. 9. That the undersigned has not received any written notice of violation of any covenants, conditions or restrictions, if any, affecting the Land. 10. That there are no outstanding unpaid sellers or suppliers of PACA/PASA commodities or products incurred by the Lessee, except: 11. That no notices of claim or notices of intent to preserve claim rights have been received by the Company from PACA/PASA sellers or suppliers of the Lessee, except: This declaration is made with the intention that Chicago Title Insurance Company (the "Company") and its policy issuing agents will rely upon it in issuing their title insurance policies and endorsements. Owner, by the undersigned Declarant, agrees to indemnify the Company against loss or damage (including attorneys' fees, expenses, and costs) incurred by the Company as a result of any untrue statement made herein. Additionally, Owner, by the undersigned Declarant, agrees to indemnify and hold the Company harmless during the gap period between the last title examination of the Land that was conducted by, for and/or on behalf of the Company, and the time when the deed, assignments and any other documents creating priority of title are recorded in connection with the sale and/or transfer of the Land. I declare under penalty of perjury that the foregoing is true and correct and that this declaration was executed on August 13, 2024 at 11 :03 AM. Rexford Industrial Realty Lp BY: ___________ _ Owner's Declaration SCA0002873.doc I Updated: 07 .18.24 Page 2 Printed: 08.13.24 @ 11 :03 AM by CA-TTC-FASD-01310.0&4051-TT2010942 STATEMENT OF INFORMATION CONFIDENTIAL INFORMATION FOR YOUR PROTECTION (continued) PRIOR MARRJAGE(S) and PRIOR DOMESTIC PARTNERSHIP(S) Ally prior maniages or domestic partnerships for either person? ____ If yes, cooiplete the folk,w;ng: Prior spaJSa'I (Party A) name: ___________ Prior Spouse cf Party A: Manage ended by O Oealh O ~ 0 .\llficallon Date cf O~ Prior spouse's (Perfy B) name: ___________ Prior Spouse cf Party 8: Maniage ended by: 0 Death O Olwrce/Oissolullon O Nulilicatlon Dale of Daalh/Olvorce: flf moro ._. ~. "'", ... ,..Stele olfotm) _________ Spouse ----------·-----·---·---- INFORM.ATION ABOUT THE PROPERTY Buyer Intends to r Ide on the propeny In this transaction □ Yes O No Owner to complete the following Items StreelAddress of Prll!)ertyin !his lnnS8dian; __________________________ _ The lend Is O unimproved; or irTf)rlMICI 'Mth a structure ol the lollow!ng ~: 0 A Single or 1-4 Fimly O Condo Unit O Other ____ _ 1~1•, remodeling or repairs to this propeny hew been made 'Mthin 1111 pest six (6) months· II )a, I\IM! .. costs lor labor and materilb am.,g in comeGlian therft\llh been paid in fim An/ cum,nt loons on property? _____ II yes, ~e the loloo,,lng: □Vs □No Ova O No Leoder ___________ Loen Amount~ _________ loanAccol.rlt No. ______ _ Lender Loen Amount Loan Accol.rll No. ------- The l.l1dersigned cledwe, under penally cf pe,µy, 11181 the lcngoing is true end CQffl!CI. IN WITNESS WHEREOF, the undersigned haw executlld I s dorument on the dale(s) set lofth below. Slgnaue Dale Pnnt Name Date Pnnt Name (Note: If applic:abl , both spouses/domestic partners must sign.) THANK YOU. s,.1omonl ol lnlom,1tion (UE-34 (Rov. 06-08)) SCA0000279.docl Updated 10, 10.19 Pago 2 Prinlod: 08.13.24@ 11.03 AM by CA-TTC-FASO-D 1310.06-4051-TT 2010942