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HomeMy WebLinkAboutOdmark Development Co / Collins Development Corp; 1987-05-12;WRITE IT-DoN’T SAY 1T INTER-DEPARTMENT MEMORANDUN AM TO CITY CLERK’S OFFICE DATE June 8, 1987 PM RE: ESCROW NO. 944539G ODMARK DEVELOPMENT CO./H.F.H., LTD., ET.AL HOSP EUCALYPTUS FOREST Attached are the originals in regards to the above matter from First American Title Insurance Company dated, 6/8/87 - please retain them in your files. Th k yyi. &zy ANITA RAMOS-BONAS City Attorney’s Office REPLY ON THIS SHEET FROM _____ ______ __.- ~- - __ WlLh’ER SERVICE UNE STANDARD INTER DEPT. MEMO FORM 11-24-1 'rst American Title Insurance Co 41 1 IVY STREET e P.O. BOX 808 e SAN DIEGO, CA 921 12-993: e (619) 238-1 776 June 8, 1987 CITY OF CARLSBAD 1200 Elm Avenue Carlsbad, California 92008-1989 Attention: Vincent F. Biondo, Esq. RE: ESCROWNO. 944539G ODMARK Dm. CO./H.F.H., LTD., ET ATi HOSP EUWUPTUS FOEST Dear Mr. Biondo: In connection with the closing of the above referenced escrow on June 2, 1987, please find the following enclosed: 1) Final Closing Statement 2) Fxecuted Counterpart AG- FOR S- OF LAWSUIT AND MUTUAL REL;EASES 3) Executed Counterpart AGREEMENT FOR SETEEMENT OF DISPUTES AND MUTUAL RELEASES with ("Collins") 4) Executed Counterpart AGREEMENT FOR SETIZEMENT OF DISPUTES AND MUTUAL €EXEASES A check for $299.45 and a copy of the Final Closing Statement has been sent to Jim Elliot in your Finance Department. Thank you for giving me this opportunity of serving you and if you have an: questions, please do not hesitate to call. Sincerely, x\\ CLkL b- &:<Y<-- h Kate Nemec Escrow Officer ”. First American Title Insurance Company 411 IVY STREET, (P.O. BOX 808) SAN DIEGO, CALIFORNIA 92101 (619) 238-1776 CITY OF CARLSBAD Closing date: Attn: City Manager June 2, 1987 1200 Elm Avenue Escrow No. 94453 Carlsbad, CA 92008-1989 REFERENCE: Parcels D, E, E Prime & F, HOSP EUCALUPTUS FOREST CLOSING STATEMENT DEBIT CRED Total Consideration $ 6,457,834.55 DEPOSITS : Deposit by City of Carlsbad $ 6,459 ESCROW FEES: Escrow Fee 1,250.00 CHECK HEREWITH 299.45 Total $ 6,459,384.00 $ 6,455 SAVE FOR INCONE TAX INFORMATION .. 7.; . .' .. .- AGREEMENT FOR SETTLEMENT OF LAWSUIT AND MUTUAL RELEASES THIS AGREEMENT is made and entered into this day of May, 1987, by and between Friends of Hosp Grove, Inc ("Friends"), Buena Vista Lagoon Foundation ("Lagoon"), Albert J. Ellison ("Ellison") (all of the foregoing herein- after sometimes referred to collectively as "Friends of Hosl Grove") , the City of Carlsbad ("Carlsbad") , Grove Apartment: Investment Co. ("Grove"), H.F.H., Ltd. ("H.F.H."), the Odma: Development Co. ("Odmark") and Collins Development Corporat: ("Collins"). I. FACTUAL RECITALS 1.0 This Agreement is entered into with referenct to the following facts: 1.1 Grove is and/or previously was the record owner of a portion of certain real property located in the County of San Diego (the "Grove Parcel"). 1.2 For purposes of development, the Grove Parce: was divided into sub-parcels A, B, C, D and E, all as -- - ,* I .. - *. ... . *. reflected on the Master Plan of Development, approved by Carlsbad on or about March 3, 1970. 1.3 Grove Sub-parcels B and C have already been developed. Sub-parcels -D and E have the following acreage, which Grove previously intended to develop with residential units as follows: D 16.085 acres 130 units E 27.675 acres 240 units 1.4 The partners of Grove and HFH, Ltd. are the record owners of certain real property located in the County of San Diego ("Parcel F") . 1.5 In order to develop and/or cause the develop- ment of Parcels D, E, and F, Grove entered into an agreement with Odmark Development Company ("Odmark"), which, as from time to time amended (the "Odmark Agreement") provided for the sale to Odmark of Parcels D and E, Parcel E being com- prised of sub-parcels E and F Prime. 1.6 Odmark has assigned certain of the Odmark Rights to Collins, and Collins has or claims to have certain rights and claims in connection with the Property, all of -2- *. . .. .- *_ .I which rights or claims are hereinafter referred to as the "Collins Rights. I' 1.7 On March 18, 1986, the City Council of the City of Carlsbad held a public hearing to consider the request by Odmark to approve a tentative map and condominiun unit permit, and further to consider approving the Mitigatec Negative Declaration issued by the Planning Director and recommended for approval by the Planning Commission. 1.8 A number of members of the public appeared at said hearing to challenge the project, to advocate the acquisition by the City of Parcels D, E, and F (or portions thereof) for recreational purposes, and/or to question the conclusions of the Planning Director and Planning Commissioi leading to the issuance of the Mitigated Negative Declara- tion. 1.9 By Resolution No. 8468, the City Council of the City of Carlsbad disapproved the Mitigated Negative Declaration, and directed the preparation of an Environment Impact Report for said project. 1.10 In connection with said action, the City Council voted to cause a review of both the General Plan -3- .. ., . .. - *. and Hosp Grove Master Plan, and to consider the possibility of acquiring some or all of Parcels D, E and F. 1.11 Subsequent to the foregoing, Grove and Odmark placed the City on notice of their position that the fore- going actions of the City Council in disapproving the Mitigated Negative Declaration, requiring that an Environ- mental Impact Report to be prepared concerning said project, causing the Hosp Grove Master Plan and General Plan to be reviewed were unlawful and in violation of their rights, including their rights of development under a Judgment entered in previous litigation amongst some of them and the City, being Civil Action No. N 9052. 1.12 Subsequent to the actions of the City Council described hereinabove, members of the public continued to express a desire to attempt to acquire Parcels D, E, and F, or some portion thereof, for park and/or recreational purposes, and Grove and Odmark continued to assert their rights to develop said parcels. 1.13 Commencing April, 1986, representatives of the City of Carlsbad, Grove, and Odmark met and otherwise communicated on numerous occasions in order to resolve the disputes which existed between them arising out of the foregoing. -4- - _I .- 1.14 In or about July, 1986, Grove, H.F.H., the Vista Sanitation District, Kamar Construction Company, and the City of Carlsbad entered into a Stipulation for Entry of Revised Judgment in Civil Action No. N 9052, pursuant to which a Revised Judgment Pursuant to Stipulation (the "Revised Grove Judgment") has been duly entered; 1.15 As of July 10, 1986, Grove, H.F.H., various of the principals of each, and City entered into an Agreemei for Purchase and Sale of Real Property, pursuant to which, on November 4, 1986 a ballot measure was submitted to the voters of Carlsbad regarding, among other things, the acqui- sition of the Property by the City. Such ballot measure received slightly less than the 2/3 affirmative vote requirf and was not approved. 1.16 Thereafter Carlsbad determined to acquire the Property under the threat of and in lieu of condemnatioi and to purchase and have assigned to it the Odmark Rights (including the Collins rights), provided it obtained the requisite vote of the registered voters within Carlsbad authorizing or approving such acquisition. 1.17 In connection therewith, the City Council of the City certified a Final Environmental Impact Report concerning the proposed development of the Property (the -5- "EIR"), approved a General Plan Amendment, Land Use Plan, Site Development Plan, zone changes, and Master Plan amend- ments concerning the Property (the "City actions and decisions"). 1.18 On or about December 1, 1986, Friends, Lagooi and Ellison filed a Petition for Writ of Mandate in an actic entitled Friends of Hosp Grove, Inc., etc. v. City of Carlsbad, etc., being Civil Action No. N 35426 in the San Diego Superior Court (hereinafter "Civil Action No. 35426"). 2.19 Thereafter the parties to Civil Action No. 35426 agreed to continue various dates and to preserve their rights, claims, and arguments in and/or with regard to said Action pending the results of an election to be held involving, among other things, a ballot measure to authorize the City to purchase the Property. 1.20 Carlsbad caused a ballot measure ("Acquisi- tion Ballot Measure") to be submitted to the voters of the City at a special election held on March 3, 1987, which Acquisition Ballot Measure was approved, and which authorizec Carlsbad to acquire the Property and the Odmark Rights for cash. -6- 1.21 As of May&, 1987, Grove, H.F.H., various of the principals of each, Odmark, and Carlsbad entered into an Amended and Restated Agreement for Purchase and Sale of Real Property (the "Restated Agreement") , which provides, among other things, for the purchase by the City of the Property and Odmark Rights. 1.22 It is now the desire and intention of Friend: Lagoon, Ellison, Grove, HFH, Odmark, Collins, and Carlsbad to compromise and resolve the disagreements and disputes which exist or may exist between them arising out of the foregoing, including those which caused the filing of Civil Action No. N 35426, and also to resolve certain other matters. Pursuant to and in accordance with this desire, ar in consideration of the promises and releases contained herein, the parties agree as follows: 11. DISMISSAL OF LITIGATION AND RELEASES 2.0 Upon the Property Close of Escrow as defined in the Restated Agreement, Friends of Hosp Grove agree to execute and cause to be filed a Request for Dismissal of Civil of Action No. N 35426, dismissing said Action with prejudice as to respondent Carlsbad and real parties in -7- .- interest HFH, Grove, Odmark, and Collins, each such par. to bear its own costs. 2.1 Carlsbad hereby represents and/or agrees 2 follows: 2.1.1 That it has no present intention c developing the Property other than for park purposc and/or as open space; 2.1.2 That it has no present intention c attempting to utilize and/or rely -upon EIR 86-4, a? therefore will take all steps necessary to de-certify t: same; 2.1.3 That under the Restated Agreement tl Revised Judgment Pursuant to Stipulation in Civil Actic NO. N9052 will no longer apply to the property, which . the subject of this agreement, as of close of escrow. 2.3 As of the Property Close of Escrow, Frienc of Hosp Grove, and each and all of them, do hereby relea: and absolutely discharge each and all of Carlsbad, HFI Grove, Odmark, and Collins of and from any and all claim: demands, damages, debts, liabilities, account reckonings, obligations, costs, expenses, liens, actio and cause of action of every kind and nature whateve whether now known or unknown, suspected or unsuspecte which Friends of Hosp Grove now has, owns or ho or at any time heretofore ever had, owned, or 'he against Carlsbad, HFH, Grove, Odmark, or Collin or any of them, upon or arising out of any matte cause, fact, act or omission whatever occurring -8- \ existing at any time to and including the date hereof (all which are hereinafter referred to as and included within t: "Released Matters'f ) . 2.4 As of the Property Close of Escrow, Carlsba HFH, Grove, Odmark, and Collins, and each and all of them, hereby release and absolutely discharge Friends of Hosp Grove, and each of them, of and from any and all claims, demands , damages , debts, liabilities, accounts , reckonings obligations, costs, expenses, liens, actions and causes of action of every kind and nature whatever, whether now know or unknown, suspected to unsuspected, which Carlsbad, HFH, Grove, Odmark, or Collins, or any of them, now have, own, hold, or at any time heretofore ever had, owned or held against Friends of Hosp Grove, or any of them, based upon arising out of any matter, cause, fact, thing, act or omis whatever occurring or existing at any time to and includin the date hereof (all of which are hereinafter referred to and included within the "Released Matters"). 2.5 Without limiting the foregoing Friends of E Grove do hereby waive and release any and all claims they, or any of them, may have for attorneys' fees to the date hereof, including any claim under Code of Civil Procedure gl021.5, which claims shall be included within "Released Matters. I' -9- 2.6 It is the intention of the parties in execu- ting this Agreement, that this Agreement shall be effective as a full and final accord and satisfaction and general mutual release of and from all Released Matters, except only as otherwise expressly provided in this Agreement. In furtherance of this intention, each of the parties acknowled ges that it is familiar with Section 1542 of the Civil Code of the State of California, which provides as follows: "A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the debtor." Each of the parties waives and relinquishes any right or benefit which it has or may have under Section 1542 of the Civil Code of the State of California or any similar provi- sion of the statutory or non-statutory law of any other jurisdiction to the full extent that it may lawfully waive all such rights and benefits pertaining to the subject matte of this Agreement. relinquishment, each of the parties acknowledges that it is aware that it or its attorneys may hereafter discover claim or facts in addition to or different from those which it no' knows or believes to exist with respect to the subject matt of this Agreement or the other parties hereto, but that it irs intention hereby fully, finally, and forever to settle In connection with such waiver and -10- .. and release all of the Released Matters, known and unknown, suspected or unsuspected, which now exist, may exist, or heretofore have existed, between them. 2.7 The parties hereto each warrant and represen. to the other that it is the sole and lawful owner of all right, title and interest in and to all of the respective Released Matters and that it has not heretofore, voluntaril? by operation of law, or otherwise assigned or transferred or purported to assign and transfer to any person whomsoeve any Released Matter or any part or portion thereof, or any claim, demand or right against the other. Each of the parties shall indemnify and hold harmless the other from an1 against any claim, demand, damage, debt, liability, act, reckoning obligation, cost, expense, lien, action, or cause of action (including payment of attorneys' fees and costs actually incurred whether or not litigation be commenced) based on or in connection with or arising out of any such assignment or transfer or purported or claimed assignment o transfer . 111. BENEFICIARIES 3.0 This Agreement is not for the benefit of any person who is not a party signatory hereto or specifically -11- named a beneficiary in this paragraph. The provisions of this Agreement and the releases contained herein shall exter to and inure to the benefit of, and be binding upon, in addition to the parties hereto, just as if they had executec this Agreement: the respective legal predecessors, succes- sors and assigns of the parties; each and every entity whicl now is or ever was a parent or subsidiary of Odmark or Collins; the respective past and present members, officers, shareholders, officials, directors, partners, employees, trustees, beneficiaries, and attorneys of the parties and/o~ of each such parent or subsidiary entity, and their respec- tive legal successors and assigns; and each of the foregoinc IV. GENERAL 4.1 This Agreement and the releases contained herein affect the settlement of claims which are denied and disputes which are contested, and nothing contained herein shall be construed as an admission by any party hereto of a liability of any kind to any other party. Each party expressly denies that it is liable or indebted to any other party. 4.2 This Agreement constitutes and contains the entire agreement and understanding concerning the subject -12- .. . I. .. matter between the parties, sets forth all promises and inducements made by any party to any other party with respec to any of the subject matter, and supersedes and replaces a: prior negotiations, proposed agreements or agreements, written or oral. Each of the parties acknowledges to each ( the other parties that no other party nor any agent or attorney of any other party has made any promise, represent; tion, or warranty whatsoever, express or implied, written 0: oral, not contained herein concerning the subject matter hereof to induce it to execute this Agreement, and each of the parties acknowledges that it has not executed this Agrel ment in reliance on any promise, representation, or warrant not contained herein. 4.3 Each party acknowledges to each of the other parties that it has been represented by independent legal counsel of his own choice throughout all of the negotiation which preceded the execution of this Agreement and that it has executed this Agreement with the consent and on the advice of such independent legal counsel. Each party furth acknowledges that it and its counsel have had adequate opportunity to make whatever investigation or inquiry they may deem necessary or desirable in connection with the subject matter of this instrument prior to the execution hereof and the delivery and acceptance of the consideratior specified herein. -13- 1. I. 4.4 This Agreement and any other documents re- ferred to herein shall in all respects be interpreted, enforced and governed by and under the laws of the State of California applicable to instruments, persons and transac- tions which have legal contacts and relationships solely within the State of California. Counsel for all parties hav read and approved the language of this Agreement. The language of this Agreement shall be construed as a whole according to its fair meaning, and not strictly for or against any of the parties. 4.5 As used in this Agreement, "persons" includes natural persons, corporations, partnerships, joint ventures and any other entity. 4.6 Whenever in this Agreement the context so requires, the masculine gender shall be deemed to refer to and include the feminine and neuter, and the singular to refer to and include the plural. 4.7 This Agreement may be executed in counterpar. and shall become effective when all parties have executed ana acknowledged at least one counterpart and counterparts executed and acknowledged by all parties have been deliverel to counsel for the parties. -14- .. 4.8 The titles of the various articles of this Agreement are used for convenience of reference only and are not intended to and shall not in any way enlarge or diminish the rights or obligations of the parties or affect the meaning or construction of this document. IN WITNESS WHEREOF, the parties hereto have set their hands and seals as of the day and year first written above. FRIENDS OF HOSP GROVE, INC. By : Its: BUENA VISTA LAGOON FOUNDATION GROVE APARTMENTS INVESTMENT CO. By : Its: - -15- b 4.8 The titles of the various articles of this Agreement are used for convenience of reference only and are not intended to and shall not in any way enlarge or diminish the rights or obligations of the parties or affect the meaning or construction of this document. IN WITNESS WHEREOF, the parties hereto have set their hands and seals as of the day and year first written above. FRIENDS OF HOSP GROVE, INC. By : Its: BUENA VISTA LAGOON FOUNDATION By: Its: Albert J. Ellison GROVE APARTMENTS INVESTMENT CO. ,“ A By-: 7,&,< 4”dXf y 744 A”, ,$ &/L& -- ,!/h-GL4/---, $/ 3 --I / 0 -/’ , r\ Its: l’)q& ’ p”(CAL - -15- ,< H.F.H., LTD. I By : Its: I ODMARK CONSTRUCTION CO. By : Its: COLLINS DEVELOPMENT CORPORATION, a corporation By : Its: THE CITY OF CARLSBAD By : Its: APPROVED AS TO FORM AND CONTENT: SIDLEY & AUSTIN - By : Attorneys for G Investment Co. and H.F.H., Ltd. PETERSON, THELAN, & PRICE By : John Thelan Attorneys for Odmark Development Co. -16- # 1 . +.. Vincent Biondo, Jr. City Attorney, City of Carlsbad By : kPj’- Attfineys for Collins Development Corporation Belinda Blacketer, Esquire Attorney for Friends of Hosp Grove, Inc., Buena Vista Lagoon Foundation, Inc., and Albert J. &llison HJR187D -17- \ tl L. r. r 1. . H.F.H., LTD. By : Its: ODMARK CONSTRUCTION CO. By : 4!&& Its: PW1MWO COLLINS DEVELOPMENT CORPORATION, a corporation By : Its: U APPROVED AS TO FORM AND CONTENT: SIDLEY & AUSTIN By : Howard J. Rubiriroi t Attorneys for Grove Apartments Investment Co. and H.F.H., Ltd. PETERSON, THELAN, & PRICE By : John Thelan Attorneys for Odmark Development Co . -16- _. . - City Attorney, City of Carlsbad By : Attorneys for Collins Development Corporation Belinda Blacketer, Esquire /-A&-J Attorney for Friends of Hosp Grove, Inc., Buena Vista Lagoon Foundation, Inc., and Albert J. sllison 4 HJR187D -17- d 82' AGREEMENT FOR SETTLEMENT OF DISPUTES AND MUTUAL RELEASES C THIS AGREEMENT is made and entered into this - day I May, 1987, by and between Grove Apartments Investment Co. ("Grove"), H.F.H., Ltd. ("H.F.H."), Harry J. L. Frank, Jr. ("Frank") , the Bernard Citron Trust ("Citron Trust") , Fred Bartman, Jr. ("Bartman"), the Marital Trust under the Will William S. Bartman ("Marital Trust"), the Residuary Trust Under the Will of William S. Bartman ("Residuary Trust") ( of the foregoing hereinafter sometimes referred to collect as the "Grove Parties"), Collins Development Corporation ("Collins") , and the City of Carlsbad ("Carlsbad") . I FACTUAL RECITALS 1.0 This Agreement is entered into with reference tc the following facts: 1.1 Grove is and/or previously was the record owner a portion of certain real property located in the County c San Diego (the "Grove Parcel"). *) 1.2 For purposes of development, the Grove Parcel wa divided into sub-parcels A, B, C, D, and E, all as reflect on the Master Plan of Development, approved by Carlsbad on about March 3, 1970. 1.3 Grove Sub-parcels B and C have already been deve loped. Sub-parcels D and E have the following acreage, wl- Grove previously intended to develop with residential unit as follows: D 16.085 acres 130 units E 27.675 acres 240 units 1.4 The partners of Grove and HFH, Ltd. are the recc owners of certain real property located in the County of S Diego ( "Parcel F" ) . 1.5 In order to develop and/or cause the development Parcels D, E, and F, Grove entered into an agreement with Odmark Development Company ("Odmark") , which, as from time time amended (the "Odmark Agreement"), provided for the sa to Odmark of Parcels D and E, Parcel E being comprised of sub-parcels E and E Prime. All of Odmark's right, title, a interest in, to and under the Odmark Agreement are hereina referred to as the "Odmark Rights." -2- 84 1.6 Collins, and Collins has or claims to have certain rights claims against the Grove Parties and Carlsbad in connectio with the Property, the Odmark Agreement, and/or the Odmark Rights, all of which rights or claims are herein- after referred to as the "Collins Rights". Odmark has assigned certain of the Odmark Rights 1.7 As of July 10, 1986, Grove, H.F.H., various of principals of each, and City entered into an Agreement for Purchase and Sale of Real Property, pursuant to which, November 4, 1986 a ballot measure was submitted to the vot of Carlsbad regarding, among other things, the acquisition the Property by the City. slightly less than the 2/3 affirmative vote required and w not approved. on Such ballot measure received 1.8 Thereafter Carlsbad determined to acquire the Property in lieu and/or under threat of condemnation, purchase and have assigned to it the Odmark Rights (includ the Collins rights), provided it obtained the requisite vo of the registered voters within Carlsbad authorizing or approving such acqisition. and 1.9 Carlsbad caused a ballot measure ("Acquisition Ballot Measure") to be submitted to the voters of the City a special election held on March 3, 1987, which Acquisitio -3- e. Ballot Measure was approved, and which authorized Carlsbad acquire the Property and the Odmark Rights for cash. 1.10 Odmark, Collins and certain of the Grove Parties have filed an action in the San Diego Superior Court, entit Odmark Development Company, et al. v. City of Carlsbad, et which is Civil Action No. N 36215 in said Court (herein- after Civil Action No. 36215). 1.11 As of May)&, 1987, Grove, H.F.H., various of t2 principals of each, Odmark, and Carlsbad entered into an Amended and Restated Agreement for Purchase and Sale of Re; Property (the "Restated Agreement"). 1.12 It is now the desire and intention of the Grove Parties, Collins, and Carlsbad to compromise and resolve a. of the disagreements and disputes which exist or may exist between them arising out of the foregoing, including those which caused the filing of Civil Action No. N 36215, and also to resolve certain other matters. Pursuant to and in accordance with this desire, and in consideration of the promises and releases contained herein, the parties agree follows: -4- 4 I1 DISMISSAL OF LITIGATION AND RELEASES 2.0 Collins and those of the Grove Parties who are plaintiffs therein hereby agree to file a Request for Dismissal with Prejudice of Civil Action No. N 36215, eack party to bear its own costs. 2.1 Collins does hereby release and absolutely disck the Carlsbad and the Grove Parties, and each and all of th of and from any and all claims, demands, damages, debts, liabilities , accounts, reckonings, obligations, costs , expenses, liens, actions and causes of action of every kin and nature whatever, whether now known or unknown, suspect or unsuspected, which Collins now has, owns, or holds or a any time heretofore ever had, owned or held against Carlsb and/or the Grove Parties based upon or arising out of any matter, cause, iact, thing, act or omission whatever occur or existing at any time to and including the date hereof i: connection with their ownership of and/or rights and/or attempts to develop Parcels D, E, and F including, but not limited to, the Odmark Rights and the Collins Rights (all ( which are hereinafter referred to as and included within tl "Released Matters"). -5- 2.2 Carlsbad and the Grove Parties, and each and a1 them, do hereby release and absolutely discharge Collins I and from any and all claims, demands, damages, debts, lial lities, accounts, reckonings, obligations, costs, expense liens, actions and causes of action of every kind and natr whatever, whether now known or unknown, suspected or unsui pected, which the Carlsbad and/or the Grove Parties now hi own, or hold, or at any time heretofore ever had, owned 0: held against Collins based upon or arising out of any mat. cause, fact, thing, act or omission whatever occurring or existing at any time to and including the date hereof in connection with the ownership of and/or rights and/or attempts to develop Parcels D, E, and F, including, but nc limited to, the Odmark Rights and the Collins Rights (all which are hereinafter referred to as and included within t "Released Matters"). 2.4 It is the intention of the parties in executing this Agreement, that this Agreement shall be effective as full and final accord and satisfaction and general mutual release of and from all Released Matters, except only as otherwise expressly provided in this Agreement. In furthe ance of this intention, each of the parties acknowledges t it is familiar with Section 1542 of the Civil Code of the State of California, which provides as follows: -6- "A general release does not extend to clain which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materiz affected his settlement with the debtor." Each of the parties waives and relinquishes any right or benefit which it has or may have under Section 1542 of the Civil Code of the State of California or any similar provi sion of the statutory or non-statutory law of any other jurisdiction to the full extent that it may lawfully wain all such rights and benefits pertaining to the subject mat of this Agreement. In connection with such waiver and relinquishment, each of the parties acknowledges that it j aware that it or its attorneys may hereafter discover claj or facts in addition to or different from those which it r knows or believes to exist with respect to the subject mat of this Agreement or the other parties hereto, but that it its intention hereby fully, finally, and forever to settle and release all of the Released Matters, known and unknowr suspected or unsuspected, which now exist, may exist, or heretofore have existed, between them. 2.5 The partles hereto each warrant and represent tc the other that it is the sole and lawful owner of all rig1 title and interest in and to all of the respective Releast -7- Matters and that it has not heretofore, voluntarily, by operation of law or otherwise, assigned or transferred or purported to assign and transfer to any person whomsoever Released Matter or any part or portion thereof, or any cla demand or right against the other. Each of the parties sh indemnify and hold harmless the other from and against any claim, demand, damage, debt, liability, act, reckoning, ob gation, cost, expense, lien, action, or cause of action (including payment of attorneys' incurred whether or not litigation be commenced) in connection with or arising out of any such assignment o transfer or purported or claimed assignment or transfer. fees and costs actually based on 111. BENEFICIARIES 3.0 This Agreement is not for the benefit of any per who is not a party signatory hereto or specifically named beneficiary in this paragraph. Agreement and the releases contained herein shall extend t and inure to the benefit of, in addit to the parties hereto, just as if they had executed this Agreement: the respective legal predecessors, successors assigns of the parties; each and every entity which now i: ever was a parent or subsidiary of ColliRs; the respective The provisions of this and be binding upon, -8- past and present officers, shareholders, officials, directc partners, employees, trustees, beneficiaries, and attorney: of the parties and/or of each such parent or subsidiary entity, and their respective legal successors and assigns; and each of the foregoing. IV. GENERAL 4.1 This Agreement and the releases contained herein affect the settlement of claims which are denied and dispui which are contested, and nothing contained herein shall be construed as an admission by any party hereto of any liabil of any kind to any other party. Each party expressly denic that it is in any way liable or indebted to any other part] 4.2 This Agreement constitutes and contains the entii agreement and understanding concerning the subject matter between the parties, set forth all promises and inducement: made by any party to any other party with respect to any 01 the subject matter, and supersede and replace all prior negotiations, proposed agreements or agreements, written 01 oral. Each of the parties acknowledges to each of the otht parties that no other party nor any agent or attorney of a1 -9- other party has made any promise, representation or warran whatsoever, express or implied, written or oral, not conta herein concerning the subject matter hereof to induce it t execute this Agreement, and each of the parties acknowledg that it has not executed this Agreement in reliance on any promise, representation or warranty not contained herein. 4.3 Each party acknowledges to each of the other parties that it has been represented by independent legal counsel of his own choice throughout all of the negotiatic which preceded the execution of this Agreement and that it has executed this Agreement with the consent and on the advice of such independent legal counsel. Each party furt acknowledges that it and its counsel have had adequate opportunity to make whatever investigation or inquiry the) may deem necessary or desirable in connection with the subject matter of this instrument prior to the execution hereof and the delivery and acceptance of the consideratic specified herein. 4.4 This Agreement and any other documents referred herein shall in all respects be interpreted, enforced and governed by and under the laws of the State of California applicable to instruments, persons and transactions which have legal contracts and relationships solely within the State of California. Counsel for all parties have read a -10- approved the language of this Agreement. The language of this Agreement shall be construed as a whole according to fair meaning, and not strictly for or against any of the parties. 4.5 As used in this Agreement, "persons" includes natural persons, corporations, partnerships, joint venturc and any other entity. 4.6 Whenever in this Agreement the context so requi the masculine gender shall be deemed to refer to and incli the feminine and neuter, and the singular to refer to and include the plural. 4.7 This Agreement may be executed in counterparts , shall become effective when all parties have executed and acknowledged at least one counterpart and counterparts executed and acknowledged by all parties have been delive to counsel for the parties. 4.8 The titles of the various articles of this Agreement are used for convenience of reference only and not intended to and shall not in any way enlarge or dimin -11- the rights or obligations of the parties or affect the meaning or construction of this document. IN WITNESS WHEREOF, the parties hereto have set their hands and seals as of the day and year first written above. GROVE APARTMENTS INVESTMENT CI a partnership // . By : x'L: /L-$ L$>J & JgJL 24~~ Its: H.F.H., LTD. By : BERNARD CITRON TRUST By : I t s : -- _- /.f?L/ J-.7-&L- /7/ / J 1 i/ &. <,/ qGJ~iLiN*& LA{ /Q#/? /,,AJ--f,"- (/. ,/ &d:L44b/-hi: /j - %RED A. BARTPIAN, JR. MARITAL TRUST UNDER THE WILL WILLIAM S. BARTI" By. a. 9 [I ST/:-k- L--- ' /< Its: 1 (h 1, -12- k the rights or obligations of the parties or affect the meaning or construction of this document. IN WITNESS WHEREOF, the parties hereto have set their hands and seals as of the day and year first written above. GROVE APARTMENTS INVESTMENT Ci a partnership By : Its: H.F.H., LTD. By : Its: / HARRY J. L. FRANK, JR. BERNARD CITRON TRUST By : Its: FRED A. BARTMAN, JR. MARITAL TRUST UNDER THE WILL WILLIAM S. BARTMAN By : Its: -12- RESIDUARY TRUST UNDER THE WIL OF WILLIAM S. BARTMAN -J/ zJ ,fi/d&;&y- /wzs By.. ~ , HfiyL&bf~! *\ Its: '1 fqus ( &!z /.--f-- COLLINS DEVELOPMENT CORPORATI a corporation By : Its: THE CITY OF CARLSBAD By : Its: -13- w .- RESIDUARY TRUST UNDER THE WII OF WILLIAM S. BARTMAN By : Its: COLLINS DEVELOPMENT CORPORATI a corporation By: Its: CITY OF CARL - 13- g APPROVED AS TO FORM AND CONTENT: SIDLEY & AUSTIN By : Howard J. Rubinroit Attorneys for Grove Apartments Investment Co.; H.F.H., Ltd.; Harry J. L. Frank, Jr.; Bernard Citron Trust; Fred D. Bartman, Jr.; Marital Trust under the Will of William S. Bartman, Residuary Trust under the Will of William S. Bartman B$: Attorneys for Collins Development Corporation RJR187C -14- *I (Gj - ,’ .I\ ,, RESIDUARY TRUST UNDER THE WIL OF WILLIAM S. BARTMAN By : Its: COLLINS DEVELOPMENT CORPORATI( THE CITY OF CARLSBAD By : Its: -13- - <-- . u b APPROVED AS TO FORM AND CONTENT: SIDLEY & AUSTIN /- ,7 /A@ ,I By: ' : ,+g&&&&f// , 4lk/f Howard J. 'Rug'nryit "- Attorneys fo6Grove Apartments Investment Co.; H.F.H., Ltd.; Harry J. L. Frank, Jr.; Bernard Citron Trust; Fred D. Bartman, Jr.; Marital Trust under the Will of William S. Bartman, Residuary Trust under the Will of William S. Bartman Vincent Biondo, Jr. City Attorney, City of Carlsbad By : for Collins Development HJR187C -14- c AGREEMENT FOR SETTLEMENT OF DISPUTES AND MUTUAL RELEASES THIS AGREEMENT is made and entered into this - day 1 May, 1987, by and between Grove Apartments Investment Co. ("Grove"), H.F.H., Ltd. ("H.F.H."), Harry J. L. Frank, Jr. ("Frank") , the Bernard Citron Trust ("Citron Trust") , Fred Bartman, Jr. ("Bartman"), the Marital Trust under the Will William S. Bartman ("Marital Trust"), the Residuary Trust 1 the Will of William S. Bartman ("Residuary Trust") (all of foregoing hereinafter sometimes referred to collectively a "Grove Parties") , Odmark Development Company ("Odmark") , a City of Carlsbad ("Carlsbad") . I FACTUAL RECITALS 1.0 This Agreement is entered into with reference to following facts: 1.1 Grove is and/or previously was the record owner a portion of certain real property located in the County o San Diego (the "Grove Parcel"). The legal description of Grove Parcel is attached hereto as Exhibit ''l", and incorp herein by this reference. 1.2 For purposes of development, the Grove Parcel wa divided into sub-parcels A, B, C, D, and E, all as reflect on the Master Plan of Development, approved by Carlsbad on about March 3, 1970. 1.3 Grove Sub-parcels B and C have already been deve Sub-parcels D and E have the following acreage, which Grob previously intended to develop with residential units as f D 16.085 acres 130 units E 27.675 acres 240 units 1.4 The partners of Grove and HFH, Ltd. are the reco owners of certain real property located in the County of S Diego ("Parcel "F"). The legal description of Parcel F is attached hereto as Exhibit "Z", and incorporated herein by this reference. 1.5 Parcel F consists of approximately 8.92 acres. 1.6 On or about October 9, 1964, a Grant of Easement Right-of-way from Rildan, Inc., a predecessor-in-interest plaintiff Grove Apartments Investment Co. ("Grove") to the City of Carlsbad ("Carlsbad") and the Vista Sanitation District ("VSD"), as tenants in common ("Rildan Easement") -2- dated July 23, 1964, was recorded in the office of the Cou Recorder, County of San Diego, in Book 1964 at Page 184917 1.7 On or about October 9, 1964, a Grant of Easement Right-of-way from Fawco, a partnership, Bernard Citron ("Citron"), and Harry J. L. Frank, Jr. ("Frank"), all predecessors-in-interest to plaintiff Grove, to Carlsbad a VSD, as tenants in common ("Fawco Easement"), dated July 2 1964, was recorded in the Office of the County Recorder, County of San Diego, in Book 1964 at Page 184918. 1.8 On April 6, 1977, the City Council of Carlsbad adopted Ordinance No. 7047 and Ordinance No. 7048, which Ordinances were superseded by Ordinance No. 9518 creating Chapter 21.49 of the Carlsbad Municipal Code and Ordinance No. 8073 creating Chapter 18.05 of the CMC, and which impo; a moratorium on the issuance of building permits in Carlsb8 and a moratorium on the acceptance of applications for and granting of discretionary approvals for development projec. in Carlsbad. 1.9 On or about September 12, 1977, Grove Apartments Investment Co. ("Grove"), a partnership, as successor in interest to Rildan Inc., Fawco, Citron, and Frank, filed ai action in the Superior Court entitled "Grove Apartments Investment Co., a partnership, v. City of Carlsbad, a -3- Municipal Corporation, Vista Sanitation District, a Public Corporation," being Civil Action No. N 9052 in the Superic Court for the County of San Diego, North County Branch (hereinafter "Action No. N 9052"), seeking, among other things, a judicial determination of its rights and obliga- tions under the Rildan and Fawco Easements and under Ordinance Nos. 7047 and 7048, as amended and supplemented. 1.10 On or about July 31, 1978, pursuant to leave granted by the Court therefor, Carlsbad filed a cross-comy for declaratory relief adding HFH, Ltd. ("HFH") and Kamar Construction Company ("Kamar") as parties to this action. 1.11 The trial in the matter commenced in October 15 and continued thereafter, except where recessed, until November 20, 1978 when all sides rested, with the present; tion of numerous oral testimony and the introduction of voluminous exhibits by all parties. 1.12 On November 21, 1978, the Court, after hearing argument, issued certain tentative rulings, and ordered further briefing in said action. 1.13 Subsequent to November 21, 1978, the parties ar others, after numerous meetings and other negotiations, entered into an Agreement for Settlement of Lawsuit and -4- Mutual Releases (hereinafter the "Grove Settlement Agreeme resolving, among other things, all the issues in the actio 1.14 Pursuant to said Grove Settlement Agreement the parties stipulated to entry of a Judgment Pursuant to Stipulation (hereinafter the "Grove Judgment"), which thereafter was duly entered herein,.and which provides for certain development rights with regard to the property whi is the subject matter thereof. 1.15 The Grove Judgment provides, among other things that the rights provided therein shall terminate after the 10th anniversary of events more specifically referred to therein, such that it could be contended that said rights would cease sometime in late 1989. 1.16 Subsequent to the entry of the Grove Judgment, certain of the real property which is the subject matter o the Grove Judgment was developed. 1.17 In order to develop and/or cause the developmen of certain remaining portions of the real property which i the subject matter of the Grove Judgment, Grove entered in an agreement with Odmark Development Company ("Odmark"), which, as from time to time amended (the "Odmark Agreement provided for the sale to Odmark of Parcels D and E of the -5- property, Parcel E being comprised of sub-parcels E and E Prime. All of Odmark's right, title, and interest in, to ai under the Grove Odmark Agreement are hereinafter referred i as the "Odmark Rights." 1.18 Pursuant to the Odmark Agreement, Odmark preparc certain designs and plans for a project involving the construction upon Parcel E of 216 condominium units (the "proposed condominium project"), thus involving a project density of 10.8 dwelling units ("dus") per acre, excluding designated open space and 40% slopes. 1.19 Prior to January 22, 1986, Odmark submitted to Planning Department of the City of Carlsbad an Environment Initial Study including numerous reports and supplemental reports evaluating potential environmental impacts of and corresponding mitigation measures for the proposed condomi project. 1.20 The Planning Director of the City of Carlsbad, after determining that the proposed condominium project wo not cause any significant impacts because potential impact had been mitigated, issued a Mitigated Negative Declaratio dated January 26, 1986, which, on February 5, 1986, was recommended for approval by the Planning Commission of the City of Carlsbad. -6- 1.21 Odmark applied to the Planning Commission of th City of Carlsbad for approval of a two-lot tentative map a 216/unit condominium permit with regard to the project. 1.22 By Planning Commission Resolution No. 2538, the Planning Commission of the City of Carlsbad recommended approval of a two-lot tentative map. and 216-unit condomini permit for the project. 1.23 On March 18, 1986, the City Council of the City Carlsbad held a public hearing to consider the request by Odmark to approve the tentative map and condominium unit permit, and further to consider approving the Mitigated Negative Declaration issued by the Planning Director and recommended for approval by the Planning Commission. 1.24 A number of members of the public appeared at s hearing to challenge the project, to advocate the acquisit by the City of Parcels D, E, and F (or portions thereof) f recreational purposes, and/or to question the conclusions the Planning Director and Planning Commission leading to t issuance of the Mitigated Negative Declaration. 1.25 By Resolution No. 8468, the City Council of the City of Carlsbad disapproved the Mitigated Negative Declar -7- and directed the preparation of an Environmental Impact Report for said project. 1.26 In connection with said action, the City Counci voted to cause a review of both the General Plan and Hosp Grove Master Plan, and to consider the possibility of acq some or all of Parcels 13, E and F. 1.27 Subsequent to the foregoing, Grove and Odmark placed the City on notice of their position that the fore- going actions of the City Council in disapproving the Mitigated Negative Declaration, requiring that an Environ- mental Impact Report to be prepared concerning said projec causing the Hosp Grove Master Plan and General Plan to be reviewed were unlawful and in violation of their rights, including their rights to development under the Judgment entered in this action. 1.28 Subsequent to the actions of the City Council described hereinabove, members of the public continued to express a desire to attempt to acquire Parcels D, E and F, some portion thereof, for park and/or recreational purpose and Grove and Odmark continued to assert their rights to develop said parcels. -8- 1.29 Commencing April, 1986, representatives of the City of Carlsbad, Grove, and Odmark met and otherwise communicated on numerous occasions in order to resolve the disputes which existed between them arising out of the foregoing. 1.30 On or about July, 1986, Grove, H.F.H., the Vista Sanitation District, Kamar Construction Company, and the Ci of Carlsbad entered into a Stipulation for Entry of Revisec Judgment in Civil Action No. N 9052, pursuant to which a Revised Judgment Pursuant to Stipulation (the "Revised Grot Judgment") has been duly entered therein; 1.31 As of July 10, 1986, Grove, H.F.H., various of t principals of each, and City entered into an Agreement for Purchase and Sale of Real Property, pursuant to which, on November 4, 1986 a ballot measure was submitted to -the votc of the C,ty regarding, among other things, the acquisition the Property by the City. Such ballot measure received slightly less than 2/3 affirmative vote and was not approve 1.32 Thereafter the City determined to acquire the Property in lieu of condemnation of the Property, and to purchase and have assigned to it the Odmark Rights, providt it obtained the requisite vote of the registered voters within the City authorizing or approving such acquisition. -9- 1.33 The City caused a ballot measure ("Acquisition Ballot Measure") to be submitted to the voters of the Cit! a special election held on March 3, 1987, which Acquisitic Ballot Measure was approved, and which authorized the Cit? acquire the Property and the Odmark rights for cash. 1.34 Odmark and certain of the Grove Parties have f: an action in the San Diego Superior Court, entitled Odmarl Development Company, et al. v. City of Carlsbad, et al.. which is Civil Action No. N 36215 in said Court (hereinafi Civil Action No. N 36215). 1.35 As of Mayla, 1987, Grove, H.F.H., various of 1 principals of each, Odmark and City entered into an Amend( and Restated Agreement for Purchase and Sale of Real Prop< (the "Restated AgreementIf ) . - 1.36 It iu now the desire and intentiem of the Grow Parties and Odmark, on the one part, and the City of Carl: on the other part, to compromise and resolve all of the disagreements and disputes which exist or may exist betwec them arising out of the foregoing, above, and also to res( certain other matters. Pursuant to and in accordance with this desire, and in consideration of the promises and relt contained herein, the parties agree as follows: -10- I1 DISMISSAL OF LITIGATION AND RELEASES 2.0 Odmark and those of the Grove Parties who are plaintiffs therein hereby agree to file a Request for Dismissal with Prejudice of Civil Action No. N 36215, each party to bear its own costs. 2.1 Except as expressly provided in paragraph 2.6 below, the Grove Parties and Odmark, and each of them, do hereby release and absolutely discharge the City of Carlsb of and from any and all claims, demands, damages, debts, liabilities, accounts, reckonings, obligations, costs, expenses, liens, actions and causes of action of every kin and nature whatever, whether now known or unknown, suspect or unsuspected, which the Grove Parties and/or Odmark now have, own, or hold or at any time heretofore ever had, own or held against the Citl of Carlsbad based upon or arising out of any matter, cause, fact, thing, act or omission whatever occurring or existing at any time to and includin the date hereof in connection with their ownership of and/ rights and/or attempts to develop Parcels D, E, and F (all of which are hereinafter referred to as and included withi the "Released Matters" ) . -11- 2.2 Except as expressly provided in paragraph 2.6 below, City of Carlsbad does hereby release and absolute11 discharge the Grove Parties and Odmark, and each of them, and from any and all claims, demands, damages, debts, lia- bilities, accounts, reckonings, obligations, costs, expen: liens, actions and causes of action of every kind and nati whatever, whether now known or unknown, suspected or unsuz which the City of Carlsbad now has, owns, or holds or at i time heretofore ever had, owned or held against the Grove . Parties or Odmark based upon or arising out of any matter, cause, fact, thing, act or omission whatever occurring or existing at any time to and including the date hereof in connection with their ownership of and/or rights and/or attempts to develop Parcels D, E, and F (all of which are hereinafter referred to as and included within the "Releas Matters" ) . 2.3 Except as expressly provided in paragraph 2.6 below, the Grove Parties do hereby release and absolutely discharge Odmark of and from any and all claims, demands, damages, debts, liabilities, accounts, reckonings, obliga- tions, costs, expenses, liens, actions and causes of actio of every kind and nature whatever, whether now known or unknown, suspected or unsuspected, which the Grove Parties now have, own, or hold or at any time heretofore ever had, owned or held against Odmark based upon or arising out of -12- matter, cause, fact, thing, act or omission whatever OCCUI or existing at any time to and including the date hereof 1 of which are hereinafter referred to as and included with] the "Released Matters"). 2.4 Except as expressly provided in paragraph 2.6D below, Odmark does hereby release and absolutely discharge the Grove Parties of and from any and all claims, demands, damages, debts, liabilities, accounts, reckonings, obliga- tions, costs, expenses, liens, actions and causes of actic of every kind and nature whatever, whether now known or unknown, suspected or unsuspected, which Odmark now has, owns, or holds or at any time heretofore ever had, owned c held against the Grove Parties based upon or arising out c any matter, cause, fact, thing, act or omission whatever occurring or existing at any time to and including the dat hereof (all of which are hereinafter referred to a's and included within the "Released Matters"). 2.5 Without in any way limiting the foregoing, and except as expressly provided in paragraph 2.6D below, the of Carlsbad hereby releases, discharges and indemnifies, i agrees to hold harmless (a) the Grove Parties from each ax all of the obligations of the Grove Parties under the agrc ments identified on Exhibit 3 hereto as such agreements a1 to the Property, (b) the parties to that certain Agreemenl -13- regarding payment of a Public Facilities Fee, dated July 1 1985 and recorded August 26, 1985 under File Number 85-308 and 85-308358, from each and all of the obligations there- under, and (c) the Grove Parties and Odmark from any and a claims, losses, or demands of any kind whatsoever arising q of or connected with the condition of the Property previou or hereafter existing, and/or the unsuitability of the Property for any use, except any claims, losses, or damage arising from any negligent acts by the Grove Parties or Odmark in connection with the Property. 2.6 The releases contained in this Agreement, and tht descriptions of the Released Matters, do not cover and shoi not be deemed to purport to cover: A. Any of the rights, duties or obligations of any person not a party hereto under the Revised Grave Judgr or B. Any of the rights, duties, or obligations of any person or party (including any party hereto) under the Revised Grove Judgment or otherwise concerning the real property referred to in the Revised Grove Judgment as the "May Stores Non-Coastal Zone Commercial Parcel'' and/or the "May Stores Coastal Zone Commercial Parcel"; or -14- C. Any of the rights of any person or party (including any party hereto) under the Revised Grove Judgn- concerning sewer capacity (including the right to receive, assign, and/or to transfer the same, and the obligations, any, to pay for the same), insofar as such rights may be necessary fully to provide sewer service to the real prope referred to in the Revised Grove Judgment as the "May Stor Non-Coastal Zone Commercial Parcel" and/or the "May Stores Coastal Zone Commercial Parcels" (which the parties preser believe will involve between 60 and 100 E.D.U's); or D. Any of the rights, duties, or obligations c the parties referred to in, arising under, or created by t Restated Agreement which by the terms thereof survive the Property Close of Escrow. 2.7 It is the intention of the parties in executing this Agreement, that this Agreement shall be effective iis full and final accord and satisfaction and general mutual release of and from all Released Matters, except only as otherwise expressly provided in this Agreement. In furthe of this intention, each of the parties acknowledges that i is familiar with Section 1542 of the Civil Code of the Sta of California, which provides as follows: -15- "A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settle- ment with the debtor." Each of the parties waives and relinquishes any right or benefit which it has or may have under Section 1542 of the Civil Code of the State of California or any similar pro- vision of the statutory or non-statutory law of any other jurisdiction to the full extent that it may lawfully waive all such rights and benefits pertaining to the subject mat of this Agreement. In connection with such waiver and relinquishment, each of the parties acknowledges that it i aware that it or its attorneys may hereafter discover clai or facts in addition to or different from those which it r knows or believes to exist with respect to the subject mat of this Agreement or the other parties hereto, but that it its intention hereby fully, finally, and forever to settle and release all of the Released Matters, known and unknowr suspected or unsuspected, which now exist, may exist, or heretofore have existed, between them. 2.8 The parties hereto each warrant and represent tc the other that it is the sole and lawful owner of all rig1 -16- title and interest in and to all of the respective Release Matters and that it has not heretofore, voluntarily, by operation of law or otherwise, assigned or transferred or purported to assign and transfer to any person whomsoever Released Matter or any part or portion thereof, or any cla demand or right against the other. Each of the parties sh indemnify and hold harmless the other from and against any claim, demand, damage, debt, liability, act, reckoning, obligation, cost, expense, lien, action, or cause of actio (including payment of attorneys' fees and costs actually incurred whether or not litigation be commenced) based on in connection with or arising out of any such assignment o transfer or purported or claimed assignment or transfer. 111. BENEFICIARIES 3.0 This Agreement is not for the benefit of any per who is not a party signatory hereto or specifically named beneficiary in this paragraph. Agreement and the releases contained herein shall extend t and inure to the benefit of, and be binding upon, in addit to the parties hereto, just as if they had executed this Agreement: the respective legal predecessors, successors assigns of the parties; each and every entity which now is ever was a parent or subsidiary of Odmark; the respective The provisions of this -17- past and present officers, shareholders, officials, directc partners, employees, trustees, beneficiaries, and attorney! of the parties and/or of each such parent or subsidiary entity, and their respective legal successors and assigns; and each of the foregoing. IV. GENERAL 4.1 This Agreement and the releases contained herein affect the settlement of claims which are denied and dispu which are contested, and nothing contained herein shall be construed as an admission by any party hereto of any liability of any kind to any other party. Each party expressly denies that it is in any way liable or indebted any other party. 4.2 This Agreement, the Restated Agreement, and the Revised Judgment constitute and contain the entire agreeme and understanding concerning the subject matter between th parties, set forth all promises and inducements made by ar party to any other party with respect to any of the subjec matter, and supersede and replace all prior negotiations, proposed agreements or agreements, written or oral. Each the parties acknowledges to each of the other parties that other party nor any agent or attorney of any other party 1 -18- made any promise, representation or warranty whatsoever, express or implied, written or oral, not contained herein concerning the subject matter hereof to induce it to execi this Agreement, and each of the parties acknowledges that has not executed this Agreement in reliance on any promise representation or warranty not contained herein. 4.3 Each party acknowledges to each of the other parties that it has been represented by independent legal counsel of his own choice throughout all of the negotiatic which preceded the execution of this Agreement and that it has executed this Agreement with the consent and on the advice of such independent legal counsel. acknowledges that it and its counsel have had adequate opportunity to make whatever investigation or inquiry the! may deem necessary or desirable in connection with the subject matter of this instrument prior to the execution Each party furt - herecf and the delivery and acceptance of the consideratic specified herein. 4.4 This Agreement and any other documents referred herein shall in all respects be interpreted, enforced and governed by and under the laws of the State of California applicable to instruments, persons and transactions which have legal contracts and relationships solely within the State of California. Counsel for all parties have read ar -19- approved the language of this Agreement. The language of this Agreement shall be construed as a whole according to fair meaning, and not strictly for or against any of the parties. 4.5 As used in this Agreement, "persons" includes natural persons, corporations, partnerships, joint venture and any other entity. 4.6 Whenever in this Agreement the context so requirc the masculine gender shall be deemed to refer to and incluc the feminine and neuter, and the singular to refer to and include the plural. 4.7 This Agreement may be executed in counterparts a shall become effective when all parties have executed and acknowledged at least one counterpart and counterparts executed and acknowledged by all parties have been deliver to counsel for the parties. 4.8 The titles of the various articles of this Agree! are used for convenience of reference only and are not intended to and shall not in any way enlarge or diminish t rights or obligations of the partles or affect the meaning construction of this document. -20- t IN WITNESS WHEREOF, the parties hereto have set their hands and seals as of the day and year first written above GROVE APARTMENTS INVESTMENT a partnership /i? 7- By:- Zd l&f$;&&/W%/ Its: ?[? [? >-*&&?- H.F.H., LTD. By : Its: BERNARD CITRON TRUST 22 6 By: (,:5' // ('- c //&, '// (4 'fila z q, 5 &/c q+-j~~ &dLLL-J-&M' ./6'--- - ------,, I t s : I/? L,: -5- ,;&E* fl,, //f FRED A. BARTMAN, JR. i MARITAL TRUST UNDER THE WILL WILLIAM S. BARTMAN /j?--YLk--/4[-' * ayrk- / &- < /L A7& i-- N By: , Its: -7&s TLC& -21- i RESIDUARY TRUST UNDER THE WIT WILLIAM S. BARTMAN By : ~&N~~'&&&,'~~~ /? Its: q-&~~/i~- ODMARK DEVELOPMENT CO. a corporation By: Its: THE CITY OF CARLSBAD By: Its: APPROVED AS TO FORM AND CONTENT: SIDLEY & AUSTIN /? '0 Y /f ' 7) By : A, ,/,f@&f Y /~&&$~g'',- RuF Oit Howard J. Attorneys fo Grove Apartments Investment Co.; H.F.H., Ltd.; Harry J. L. Frank, Jr.; Bernard Citron Trust; Fred D. Bartman, Jr.; Marital Trust under the Will of William S. Bartman, Residuary Trust under the Will of William S. Bartman Vincent Biondo, Jr. City Attorney, City of Carlsbad -22- IN WITNESS WHEREOF, the parties hereto have set their hands and seals as of the day and year first written above GROVE APARTMENTS INVESTMENT 1 a partnership By : Its: H.F.H., ,,I,TD. 1: By : ?/ d y?/ ?4,n i ,',/ w7 1b-i i /a ' q,Ctz).': fdU -. Its: f i HARRY J. L. FRANK, JR. BERNARD CITRON TRUST By : Its: FRED A. BARTMAN, JR. MARITAL TRUST UNDER THE WILL WILLIAM S. BARTMAN By : Its: -21- RESIDUARY TRUST UNDER THE W WILLIAM S. BARTMAN By: Its: ODMARK DEVELOPMENT CO. a corporation By : hL Its: PQ&.S/OGK THE CITY OF CARLSBAD APPROVED AS TO FORM AND CONTENT: SIDLEY & AUSTIN By : Howard J. Rubinroit Attorneys for Grove Apartments Investment Co.; H.F.H., Ltd.; Harry J. L. Frank, Jr.; Bernard Citron Trust; Fred D. Bartman, Jr.; Marital Trust under the Will of William S. Bartman, Residuary Trust under the Will of William S. Bartman t -22- '1 RESIDUARY TRUST UNDER THE WI WILLIAM S. BARTMAN By: Its: TJ+EODMARK DEVELOPMENT CO. a corporation By : 0. Its: ym@&-m ' TEE CITY OF CARLSBAD By : Its: APPROVED AS TO FORM AND CONTENT: SIDLEY & AVSTIN By : Howard J. Rubinroit Attorneys for Grove Apartments Investment Co.; H.F.H., Ltd.; Harry 3. L. Frank, Jr.; Sernard Citron Trust; Fred D. Bartman, Jr.; Marital Trust under the Will of William S. Bartman, Residuary Trust under the Will of William S. Bartman Vincent Siondo, Jr. City Attorney, City of Carlsbad -22- -.. PETERSON, THELAN & PRICE By: Development Co. HJR167A -23- EXHI3IT 1 PARCELS D, E an2 E PRIME LEG.Z-L 3LSCPIF~IO~~S . .. 1 Ytc 1;-d rtfrrrt? t: tcrcir 1: f:'tLi:Ed fr tft 5t~rc r! Cs!jfcrr.la, Ccr 5;: I-c~L. rr.5 LC cts-:::~: is ::i-c~s PARCEL 1 Iortfons of Lots 8, 9, 10, 11, 12, 13, 14, 15 and 16 in Aosp Eucalyptus Cotpany's 'Iract Kc. 1, lr. the City of Cbrlsbad, Cour.ty of Sar. Diego, St California, eccordinc to Rap thereof No. 1136, flled In the Offlce of the Recorder of San Diego County, June 8, 1906, described as follovs: Cortmrncing at the Southeast corner of 68id Tract, thence dong the East 1 raid Tract Eorth 00'56'20" East, 2263.66 feet, said point being South 00' West, 114.74 feet frOE the West Quarter corner of Section 32, 'Lovnship 11 %nge 4 Uest, San krnardiao Base 8nd Meridian; thence North 89'18'10" 46.07 fret to the True Point Of kginnlng; raid point bein& on a ~0n-t curve concave Southeasterly 81d having a radius of 310.00 feet, a radial 1 raid point bears North 43'16'S3'' Veet; thence Soutbvesterlp along said through 8 central &%le Of 41.33'00" an arc distance of 224.81 feet; leaving oaid curve Worth 89'18'10' Vest SS7.72 feet; thence South 61'25'08 305.23 feet, thence myth 10'19'07' West, 374.05 feet; tbence krth 79' East, 272.00 feet; thence North 02'01'30" Vest, 699.16 feet to a WiDt 00 tangent curve concave Southwesterly and h8visg 8 r8di~6 of 761.50 feet, 8 llnc to said point bears North 10'06'51' East, thence Southu6terly doq curve through a centrd aqle of 03'23'09' an arc dirtrnce of 45.00 feet, 1 tangent to said cume South 76'30'00' East, 350.95 feet, thence North 1.00 thence South 76'30'00' East, 339.00 feet; thence South 350.00 feet; thence 06'51'53' East 261.11 feet to the True Polnt of beginning. Excepting therefrca that portion derrlbed as follous: Commencing at the Northeasterly corner of Csrlsbad Tract Ro. 77-2, Unit I according to Hap thereof Bo. 9813 filed IO the Office of the County Pecorde raid San Diego County, September 24, 1980; thence Worth 1'01'10' East, 8101 Easterly line of said Eosp Eucalyptus Forest Company's hact Ik. 1, 843.48 thence North 89'11'20' Uest, 46.07 feet to the True Point of Beginning an beginning of a nowtangent curve, concave Southeasterly ad bavisg a rad1 310.00 feet; thence Southerly dong raid curve through I central 8x1 41°32'50' an arc distance of 224.79 feet; thence lead* said curve, 89'11'20' West, 30.085 feet to the beginning of 8 nom-tangcot curwe, eo Southeasterly ad havia a radius of 340.00 feet; thence krthtrlp .lo* cume through a central angle of 4S'35'15' 8nd arc distance of 270.52 thence lerviq ufd cmt South 6.45'09" East, 36.41 feet to the True Poi1 .& lbtglnnlng . -- * C __-_ . .& .. FhFCIL 2 E0rLiCr.F of LGtE e. 5, Itf, it. 17, lE, 23, 2L, 25. CECGR Street Eucalyptu6 Street in Bosp Lucalpptus Forest Coupany's 'Irsct KO. 1, in t of Carlsbad, Count)' of Sari Diego, State of Callfor~ia, according to Yap No- 1136, filed In the Offlce of the County Recorder of San Diego Count 6, 1908 described 86 follovs: Caltencing at the most Southwesterly comer of Lot 25 in said tract; along the Southwesterly line of sald Lot 25 Korth 23"27'45" Uect, 195.0 thence Korth 68"30'20" East, 360.41 fret to the ?rue Point of Beginning; Korth 18"09'S7" jiest, 40.89 feet to the beginning of a tangent curve liortheasterly and havi~g a radiub of 1042.00 feet; thence borthwesterl said curve thru a central 8ngk of 14'35'28" 8n 8rc distance of 265.3 thence tangent to said curve North 03'34'35' West 94.02 feet to the begin 8 tangent curve concave Southwesterly 8nd h8ving 8 radius of 458.00 feet; hrthvesterlp dong Said curve thru 8 central 8ngle of 22'18'38" an arc d of 178.34 feet; thence tangent to said curve North 25'53'13" West 189.20 the beginning of 8 tangent curve concave Northeasterly and havlng a ral 1042.00 feet; thence Northuefiterlp do- raid curve thru 8 central 81 10'17'57' an 8rc dist8ncr of 187.30 feet; thence tangent to raid CUN~ 15°3S1160 West, 108.41 feet to the beginni~ of 8 tangent curve t Southvesterly and having I radius of 20.00 feet; thence Eorthvesterly do curve thru central angle of 88'16'68' an arc distance of 30.82 feet to i of cusp vltb curve concave Rorthvesterly and having a radius of 831 r8did line to said point of Cusp bears South 13'52'04' East; l8ortbeasterly along the 18st Bcntioned cune thru 8 central angle of 01' an arc distance of 25.17 feet; thence tangent to raid cum€ North 74.24'44 140.00 feet to the beginning of 8 trngent tune CODCIV~ Rotthverterly and 8 radius of 838.50 feet; thence Northeasterly dong 8aid curve thru 8 e 8nglt of 13'24'/.b" 8n 8rc d%St.fhCe of 196.28 feet; thence tangent to raid Lbrth 61'00'00" East, 174.31 feet to the beglnniqg of a tangent curve c Southeasterly ad bving 8 radius of 761.50 feet, thence Easterly 830s curve thru a centrd angle of 39'06'51' an arc dirtarrce of 519.85 feet; South 00'01*~0' East 699.16 feet; thence South 79'40'53' West, 272.00 thence South 10'19'07' tst 374.05 feet; thence South 68'30'20' Uest, feet to the True Point of bcginnlng. Excepting therefra an 84 foot vide strip of land, 42.00 feet each ride f oll oving de KT ibed cent er fine : -encing at point on the Uerterly line of raid bt 25 distant tbercon 23'27'4s' West, 195.00 fett frm tbc Soutbuest comer thereof; thence b .aid Vesterly line Rortb 68'37'10' East (Vecord Rorth 68'30*28" hrt pcr 402.52 feet to the True Point of Beginning; thence Rorth 18°03'07' Uest, feet to tbe beginning of tangent curve, concave Easterly .pd bviqg I of 1000.00 ftet; thence Joqg mid curve through 8 central .=le of 14.35'; arc distance of 254.64 feet; thence tangent to uid cum lorth 3'27'44' 109.90 feet to the bcgidpg of 8 t8ngent curve, CODCIVC iksttrly 8nd ha radius of 600.00 feet, tbencc dong said cume through 8 ccntrd 8ng ---. r- - .. 9 25'22'3C~' ar erc Cirtsncc of 3%.3C fcrt; ttlcrcc tanFer.t to said tunc FI :!'5:':Ls Lcs:, :(! .:5 ftt: t~ ttc ?ti-:::r+ tf i :,EF~(:: c~r\t ccr.:t-.f f;s:t act t.a\ing b radius of 6CC.OS fcrt; ttlrr.ct a1cr.g 6ijid curve through 8 cer, angle of 13'21'49" an arc distance of 186.59 feet; thence krth 15'28'25" L', 30.00 feet more or less to the Southerly right of way line of brron Road. sidelines of catd 84 foot vide street shall terminate vith 20.00 foot fa1 return6 at said Southerly right of vay line of Yarron Road. FARCEL 3 Portions of Lots 22, 23, 24, 25 and of EucelyFtus Street in ~orp ~Ucdp Forest Cospanp'r Tract KO* 1, In thc City of Cerlsbad, Comty of Sari Di, State of California, according to Hap thereof KO. 1136, filed in the Officc the County Recorder of San Diego County, June 8, 1908, descrlbed as follow: hmencing at the lost Southwesterly comer of Lot 25 in maid tract; thd dong the Southve6terly line of said Lot 25 North 23'27'45" Uest 195.00 fc thence North 68"30'20" East 360.41 feet; theace h'orth 18'09'57" Vest 40.89 4 to the beginning of a tangent curve concave brrbe8sterly and having a radiu 1042.W feet; thence Northwesterly along said curve through a central angh 01'38'58" an arc distance of 30.00 feet to tbe True Point of Beginning; tbc continuing along mid curve through a central angle of 12'56'24L an arc dirt4 of 235.33 feet; tbence tangent to raid curve North 03'34'35" Uest 94.02 feci tbe beginnlag of a tangent curve co~cave Soutbuesterly and baving a radlui 458.00 feet; thence lJorthue6terlp dong said carve through a central angle 22'18'38" an arc distance of 178.34 feet; thence tangent to raid me I( 25'53'13" West 189.20 feet to tbe beginning of a tangent curve con( brthearterly and bviq 8 radius of 1042.00 feet; thence Borthuerterlp .I said curve through a central angle of 10'17'S7" an arc distance of 187.30 fc thence tangent to raid curve Rorth lS'35'16" Vest 108.41 feet to the begim of tangent curve concme Southwesterly ad hvizg a radius of 20.00 fe thence Northuestcrly along said curie through a ccotrll angle of 88'16'48' 8rc distance of 30.82 feet to 8 point of reverse curve conc8ve brtherly bving a radius of 838.50 feet; thence Westerly dong said reverse curve thrc 8 centra angle of 32'08'52' an &rc distance of 470.17 feet; thence 9 07'34'20" West 213.72 feet; thence South 64'59'00" East 248.29 feet; tbc South 25'53'13" East 590.00 feet; thence Soutb 66'45'SO' East 330.26 feet to Tnae Point of Beginning. ExceFtlng therefra an 86 foot rrlde strip of land, 42.00 feet each ride of following described centerline: mencing at a point on the Uesterfy line of rald Lot 25 dirtant tbereon lk 23'27'45" Uest, 195.00 feet frm the Southmst corner tbertof; tbence lea1 raid Westerly line North 68'37'10" hst (fccord Rorth 68'30'28' &st per de 402.S2 feet to the true Point of Beginning; thence DIortb 18.03'07' Wit, 3Li feet to the bcginniog of tangent curve, concme Zastcrly and having a rad of 1000.00 feet; thence dong said curve though a central angle of 14'35'23' arc distance of 254.61 feet; thence tangent to 88ld curve loorth 3.27'44' Ut 109.90 feet to the beginning of 8 tangent curve, concave Uesttrfp ad hrvir * --- . -. . -I .-. c. raCius of E@Cl.GO fret, thence along 68id curve througt a central angle 2: ET: C:E:E:;C c! 356.3: feet; tftrcf tergcr.: tr s~it CUT\(, p; 2:c;; * j( 2€'5C'iL' );Est, 106.15 fert tG the beginning of 8 t8nger.t curve concave E6t( and having a radius of 800.00 feet; thence along cald curve through a cenl angle of 13'21'49" an arc distance of 186.59 feet; thence Korth 15'28'2S" ut 30.00 feet pore or le66 to the Southerly right of vay line of Harron Road. ridefioes of raid 84 foot vide 6treet rhall terminate vith 20.00 foot r.( return6 at said Southerly right of v8y line of Harron Road. ja/taf EYAIEIT 2 PJ-RCEL F LE C-.z-: frs c ‘I FT I c:: 7 Ir CVutnrtA 8 ._ ,. * _----_ -_ 1 .- c;::; '.-. :---*:-* 'c . The land referred to herein is situeted lr, the State of California, ( San Dicgo, and is described a6 fo11ovs: PARCEL I: ?'hose portions of Lots 19, 20, 21, and 33 and of Eucalyptus Street EUCALYPTLS FOREST CO.VAKY'S TRACT NO. 1, in the City of Carlsbad, Count Dlego, State of Callforola, 8ccordlng to Yap thereof So. 1136, file( Offlce of the County Recorder of Sa0 Diego Couoty June 8, 1908, desc f ollov~: Commencing at the Southeast corner of said Lot 20; thence dong the floc thereof, North 06'58'00' East 278.00 feet to the TRUE POINT OF BE thence South 70'28'24' Uert fOS.81 feet; thence Borth 89'29'00' Vert 213 to a point on 8 non-tangent 162.52 foot r8dlus curve concave Rorth-8 radial line of which bear8 South 49'22'30' &88t to 88id point; Ilorthcarterly along the arc of raid curve through 8 central angle of OS a dl8t8nCe of 43.72 feet; thence tangent to raid carve, Eortb 35'12': 449.44 feet to the beginning of 8 t8Uent 490.00 foot radlur curve Southe8rterly; thence florthc8rtcrly along the 8re of rald curve, th central angle of 37'47'39', 8 dirt8nce Of 323.22 feet; thence tangent curve loorth 73'00'14' bet 111.94 feet to the bcglnniag of 8 tangeat 20, r8diur tune CODIC~V~ Soutbwertcrly; thence krttrly 8nd Southeasterly a] are of 881d curve, through a central angle of 86.40'30'. dht8nCt c feet to the beginning of a revtr8e 842.00 foot ?.diu8 curve Borthcarterly; thence Southc88terly aloog the arc of a8ld curve, th central angle of 2i013'00', 8 dirtance of 363.72 toet; thence South 44 Ucrt 161.50 feet to a point vhfch bear@ lorth 70'28!94' East from the fB1: OF BEGIRZJfRG; thence Soutb 70*28'24' Vert 69.19 feet to the rauE P( BZGIRNIBC Ll1CEpTIWG fgEBEFROX those portionr lying Borthcrstcrly of the Southuestcr of raid tUC81yptU8 Street. PARCEL 2: Those portionr of Lata 19 and 20 In EOSP tUCALnrZIIS ?OBEST CO?fPARplS Ipi 1, in the City of arlrbd, bunty Of s8n biCg0, St8tt of California, 8Cl to W.p thereof lo. 1136, filed In the Office of the baaty Recorder of Sa County, June 8, 1908, dtrcrfkd 88 folfour: -r: -. -:-- -' .-- *. -1 . .. -- CiLfr !*:. 5::: ..-L ., * . beblzr.?z:g at t);r SC';:~EES: ccrrirr c! sz:C Lct 2C; t?,e-:e alorg the Sot.: line of raid Lots 20 and 19, North 89'29'00" Vest 761.61 feet to a point nowtangeat 462.S2 foot radius curve corxavt Northverterly, a r.di.1 111 which bears South 29'16'10" East to raid point; thence Northeasterly a1on 8tC Of 88ld curve through 8 ceDtr81 8wle of 20'06'20' 8 dirtance of ] feet; thence South 89'29'00' u8t 213.76 feet; thence North 70.28'24' 505.81 feet to an lntersectlon vith the EasterZy line of raid Lot 20; t along raid Easterly line, South 06'58'00" West 278.00 feet to the poi1 Beginning. PARCEL 3: Thore portions of Lot8 19, 20, 21, 8ad 33 of Eucalyptus Street in EUCALYPTUS FOREST COMPANY'S TRACT NO- I, in the City of Carlrbad, County p Ditgo, State of California, according to Hap thereof blo. 1136 flled i Office of the County Recorder of Sln Diego County June 8, 1908, dercril follwo: Commencing at the Southeast corner of #.Id Lot 20; thence along the tag line thereof; lorth 06°S8'00' hit 218.00 feet to the TRUE POXRI OP BEG11 tbence South 70°28t24' Vest SOS.81 feet; tbcoce 89'29'00' Uert 213.74 feel point on 8 noo-talogent b62.52 foot radlur curve conc8vc Wrthulcrtctly, 8 I line of which barr Soutb 49.22'30' East to maid point; thence Ilorthtac along the arc of said curve, through 8 centrd 8rrgle 05'24'55', 8 dirtam 43.72 feet; thence tangcot to 881d CuTve, Bortb 3S012'35' hrt 449.44 fc the beglonlug of 8 t8ngent h90.00 foot r8diur curve ton~ave southearl thence Rortheaaterly 810- the 8rc of raid cume, through 8 central 8ry 37'47'39' 8 dirt8nce of 323.22 feet; thence tangent to 88ld curve, 73'00'14' m8t 111.94 feet to the beg1-w of 8 tangent 20.06 foot r8dfur concave Southuertcrly; tbeace L.rtcr1y md sOUthe88te?lY alorg the 8rc ol cume, through 8 central augle of 86'40'30' dirt8nce of 30.26 feet I kglnrriag of a reverre 842.00 foot radius cume concave 1Jortbe8stcrly; i Soutbcarterly along the arc of 88id came tbrough 8 ceott81 8qle Of 21'4. 8 dlstance of 363.72 feet; thence South 44°55'449 Uert 16130 feet to 8 which bears North 70.28'24' East from the TlUE POIRT OP IEGIIWIRC; thcacc 70'28'24' Vest 69.19 feet to the 'ZPDE K)IRT OF BEGIlCNIIJC. tl%JPIIlC TEEBEppOW those portlonr lying Southuesterly of tbe Southuertcrl of .aid tuulyptur Street. rrjrdm * . . EXHIEIT 3 RELEASED AGRECYXSTS 1. A Contract for the Creation of a Lien for Payment for Public Improvements, dated January 27, 1981, executed by the City of Carlsbad and Grove Apartments Investment Company, recorded January 30, 1981 as File No. 81-030961 of Official Records. 2. A Contract for the Creation of a Lien for Payment for Public Improvements, dated January 27, 1981, executed by the City of Carlsbad and Grove Apartments Investment CO., recorded February 10, 1981 as File No. 81-041815 of Official Records. 3. A Contract for the Creation of a Lien for Payment for Public Improvements, dated January 27, 1981, executed by the City of Carlsba2 and Grove Apartments Investment Co., recorded February 17, 1981 as File no. 81-048012 of Official Records. r , SELLE E SELLE BROKl LEND1 I % i BROKl 9 ,. First American Title Insurance Company 411 IVY STREET, (P.O. BOX 808) SAN DIEGO, CALIFORNIA 92101 (619) 238-1776 r!zxxcm INSmm1m Escrow No. 944539G 55yfi'i)7C ci CLkW FGi p tBaPVwQQT \ j=r kv-3 Escrow Officer: Kate Nemec Date: May 15, 1987 A. These instructions are executed and delivered pursuant to that certain "AMI AND RESTATED AGREF3ENT FOR PURCHASE AND SALE OF REAL PROPERTYr dated Ma) 1987, between the parties thereto. A copy of said Agreement is attached hc and made a part hereof. Escrow Holder is only concerned with the items tha' to be complied with through this escrow. The other agreements are betweer parties and Escrow Holder is not to be concerned with same. They are attach! reference only. B. Regarding paragraph 1.3 of Agreement, parties acknowledge that there shal three executed counterparts of said "Release Agreement" deposited into escro disbursement by Escrow Holder at the close of escrow. Paragraph 2.2 of said Agreement is hereby being amended as follows: Escrow H shall NOT notify the County of San Diego that the Property has been sold public entity and shall NOT request cancellation of any real property tax assessment obligations which otherwise would be required from and after the of escrow. The only notification made through escrow will be by Escrow H causing the Grant Deed to be recorded at the close of escrow. There shall proration of property taxes by Escrow Holder. Property taxes due or payable be paid in full by the Sellerr prior to the close of escrow. Reimbursemen anyr beyond the close of escrow is to be refunded by the County Tax Coll outside of escrow, directly to the Seller. Seller shall be responsible for [I application for said refund. All other terms and conditions of said para 2.2 shall remain in effect and unchanged. C. D. The close of escrow is contingent upon the Cancellation of Escrow No. 90: Escrow Holder's receipt of executed Cancellation Instructionsr prior to the of escrowl shall release this contingency. E. Parties hereto acknowledge and agree to abide by First American Title Ins1 Company's General Provisions attached hereto and made a part hereof. G. Parties hereto acknowledge in order to wire proceeds at the close of escr the Seller, Buyer's closing funds must be wired in. Escrow Holder shall Buyer instructions to wire said funds to First American Title Insurance Cor prior to the close of escrow.Or Buyer may de-psit' check 2 days prior to clc H, Prior to the close of escrowl Seller shall cause Escrow Holder to be ha] demandr if anyt and a Full Reconveyance to record at the close of e: reconveying the Deed of Trust recorded October 23, 1986 as File No. 86-480( Official Records. Escrow Holder is instructed to charge Seller's accour recording said reconveyance and complying with demand, if anyl at the clc escrow. END OF INSTRUCTIONS: SEE SIGNATURE PAGE ATTACHED HERETO AND MADE A PART HEREOF T \ -- i GENERAL PROVISIONS Escrow Nol. 9445396 'f t 1. Deposlt 01 Funds & Dlsbursements All funds received in thls escrow shall be deposlted In one or more of your general escrow accounts with any bank dol In the State of Callfornla and may be transferred to any other general escrow account or accounts. All dlsbursements sh by your check. You are authorized not to close or disburse until good funds have been confirmed In escrow. 2. Prorations and Adjustments The expression "close of escrow" used In this escrow means the date of whlch Instruments referred io hereln are r All prorations andlor adjustments are to be made on the basls of a 30-day month unless otherwlse instructed In Y You are authorized to record any documents dellvered through thls escrow, the recordlng of whlch Is necessary or relates only to prorations andlor adlustments unless otherwlse speclfled. 3. Recordatlon of instruments Issuance of the requested pollcy of tltle insurance. Authorltatlon to Execute Asslgnment of insurance Pollcles You are to execute on behalf of the parties hereto form asslgnments of Interest In any Insurance policies (other than 111 called for In thls escrow; forward assignments and policies upon close of escrow to the agent with the request, flrst, thal sent to such transfer andlor attach a loss-payable clause andlor make such other addltlons or correctlons as may have cally requlred hereln, and second, that the agent thereafter forward such pollcles to the parties entitled to them. In all acts In this escrow relating to Insurance, Including adjustments, if any, you shall be fully protected In assum pollcy Is In force and that the necessary premlum therefor has been pald. 4. 5. Authorization to Furnlsh Copies You are to furnish a copy of these Instructlons, amendments thereto, closing statements andlor any other documel In this escrow to the lender or lenders, the real estate broker or brokers andlor the attorney or attorneys Involved In thl upon request of the lenders, brokers or attorneys. 6. Personal Property Taxes 7. Right of Cancellatlon No examination or Insurance as to the amount or payment of personal property taxes Is requlred unless speclflcz Any party Instructing you to cancel thls escrow shall file notice of cancellation In your office, in writing. You shall wlthi time thereafter mall, by certified mall, one copy of the notice to each of the other parties ai the addresses stated In this E written objection to cancellation is filed In your office by a party within ten (10) days after date of mailing, you are autt optlon to comply wlth the notice and demand payment of your cancellatlon charges as provlded In this agreement. If wr Is flied, you are authorlzed at your option to hold all money and instruments In thls escrow and lake no further actlon I directed, either by the partles' mutual written instructions, or final order of a court of competent jurlsdlctlon. 8. Actlon In Interpleader The parties hereto expressly agree that you, asescrow holder, have the absolute right at your election to file an acflon requirlng the partles to answer and litlgate their several clalms and rlghts among themselves and you are authorlzed 1 the clerk of the court all documents and funds held In thls escrow. In the event such action Is flled, the partles jolntli agree to pay your cancellation charges and costs, expenses and reasonable attorney's fees which you are required to e in the interpleader action, the amount thereof to be fixed and judgment therefor to be rendered by the court. Upon 11 action, you shall thereupon be fully released and discharged from all obligations to further perform any duties or obligat Imposed by the terms of this escrow. 9. Termination of Agency Obllgatlons If there Is no action taken on thls escrow wlthln SIX (6) months after the "the llmlt date" as set forth In the escn or written extension thereof, your agency obllgation shall terminate at your option and all documents, monies or othe you shall be returned to the parties depositing same. In the event of cancellation of thls escrow, whether It be at the request of any of the parties or otherwise, the fe due First American Title Insurance Company, Including expenditures Incurred andlor authorized shall be borne equal1 hereto (unless otherwise agreed to specifically). 10. Conflicting Instructions Should you before or after close of escrow recelve or become aware of any confllctlng demands or clalms with escrow or the rights of any of the partles hereto, or any money or property deposlted hereln or affected hereby, yo\ right to discontinue any or all further acts on your part untll the conflict Is resolved to your satisfaction, and you shall right to commence or defend any act(on or proceedings for the deterrnlnatlon of the conftlcl as provlded in paragraphs General Provislons. 11. Funds Retained In Escrow If for any reason funds are retained In escrow, you may deduct therefrom $20.00 as a monthly charge as cust You are not to be concerned with any question of usury In any loan or encumbrances involved in the processir 12. usury and you are hereby released of any responsibility or liability therefor. Indemnity for Attorneys Fees and Costs In the event suit is brought by any party to this escrow, Including the title company or any other party, as agt or others, including the title company, claiming any right they may have as against each other or agalnst the tltle ( that event, the parties hereto agree to lndemnlfy and hold harmless the title company agalnst any attorney's fees and co Any Amendments or supplement to these escrow Instructions must be in writing. These escrow lnstructlons cor 13. 14. Amendments to Escrow lnsttuctlons escrow between the escrow holder and the parties hereto. 15. Deposlt of Funds Escrow holder shall deposit all funds received In this escrow In any bank doing business In the State of Callforn affillated bank, First Amerlcan Trust Company, In one or more of their General Escrow Demand Accounts. These fur ferred to any other general escrow demand account or accounts. TIME IS OF THE ESSENCE OF THESE INSTRUCTIONS. If this escrow Is not in condltlon to close by closing d page 1 hereof, and demand for cancellation Is received by you from any party to this escrqw after said date, you shall wlth the cancellatlon lnstructlons contalned In the general provislons on the prevlous pago hereof. If no demand ! made, you will proceed to-close thls escrow when the princlpals have complied with the escrow Instructlons. *The Foreign Investment in Real Property Tax Act of 1980 as amended by the ' Act of 1984 places special requirements for tax reporting and withholc parties to a real estate transaction where the transferors (Seller) is a r alien or non-domestic corporation or partnership or is a domestic cor partnership controlled by non-residents or non-resident corporations of F The parties to this transaction are seeking their attorney's, accountant' tax specialist's opinion concerning the effect of the Act on this transact not acting on any statements made or omitted by the Escrow Holder. 16-* SIGNATURE PAGE I \ IT T SELLERS : H.F.H., Ltd, a California Limited Partnership BY: Its Generai Partner __---_____L_______-_-----------__-- FRED A. BARTMAN, JR. -------___--______-_-----------_--- HARRY J. L. FRANK, JR. __---_____________----------------- CECILE C. BARTMAN, Trustee of THE BERNARD CITRON TRUST -----_-____--_____--------------_-- FRED A. BARTMAN, JR., Trustee of THE WILLIAM S. BARTMAN MARITAL TRUST ----__---_---____----------------_- FRED A. BARTMAN, JR., Trustee of THE WILLIAM S. BARTMAN RESIDUARY TRUST BUYER: THE CITY OF CARLSBAD, a Municipal Corporation BY: APPROVED BY: ODMARK DEVELOPMENT COMPANY BY: BY: L < f AMENDED AND RESTATED AGREEMENT FOR PURCHASE AND SALE OF REAL PROPERTY THIS AGREEMENT is made and entered into as of this ji of May, 1987 by and among the parties identified as Selle on the signature page hereof (herein collectively "Seller The Odmark Development Company, a California corporation (herein "Odmark") and the City of Carlsbad, a municipal corporation (herein "City" ) . - WITNESSETH WHEREAS, Seller is the fee owner of certain parcels property in the City of Carlsbad known as Parcels D, E, E and F, each of which parcels are more particularly descri Exhibit A attached hereto and by this reference made a pa hereof. Parcels D, E, E Prime and F are hereinafter some CI sllectively referred to as the "Property"; WHEREAS, Grove Apartments Investment Co. and Odmark entered into that certain Agreement for Purchase and Sale Real Property and Escrow Instructions, dated as of May 31 1985, which was from time to time amended (the "Odmark Agreement"), and which provided for the sale to Odmark of Parcels D, E and E Prime. All of Odmark's right, title a -. c I interest in, to and under the Odmark Agreement are hereix after referred to as the "Odmark Rights"; WHEREAS, Seller and City each are parties to that certain Agreement for Purchase and Sale of Real Property dated as of July 10, 1986 (the "Purchase Agreement") ; WHEREAS, pursuant to the Purchase Agreement, on November 4, 1986 a ballot measure was submitted to the vc of the City of Carlsbad regarding, among other things, tl acquisition of the Property by the City. Such ballot me( received slightly less than the 2/3 affirmative vote req and therefore was not approved; WHEREAS, given the closeness of said vote, the City nevertheless determined to acquire the Property upon the threat, aTd in lieu of, condemnation of the Property, an purchase and have assigned to it the Odmark Rights, prov it obtained the requisite vote of the registered voters within the City authorizing or approving such acquisitio WHEREAS, the City caused the Acquisition Ballot Mea to be submitted to the voters of the City of Carlsbad at special election held on March 3, 1987, which Acquisitio Measure was approved by receiving a majority of the vote therefor, and which authorized the City to acquire the P -2- v < d I and the Odmark Rights for cash and for the "Purchase Pricc hereinafter defined); and WHEREAS, Seller and City desire to amend and restate entirety said Purchase Agreement solely in accordance wit1 terms hereof. NOW, THEREFORE, in consideration of the mutual promi! covenants hereinafter contained, and for other good and Vi consideration the receipt of which is hereby acknowledged parties hereto agree that the Purchase Agreement is hereb: amended and restated in its entirety as follows: 1.0 Purchase and Sale of Property - Assignment and Acceptance of Odmark Rights. 1.1 As used herein, the term "Property Close o Escrow" denotes tho time at which Seller's deed conveying to the Property tc the City is recorded. 1.2 City hereby agrees to purchase, and Selle hereby agrees to sell, the Property, and Odmark hereby ag to assign, and City hereby agrees to accept, the Odmark Rights on or before July 3, 1987 on the terms and subject the conditions hereinafter set forth. The purchase price the Property and the Odmark Rights (the "Purchase Price") shall be $6,457,834.55 if the Property Close of Escrow oc -3- L 1 I f I on or before June 2, 1987, and $6,572,934.55 if the Prope Close of Escrow occurs after June 2, 1987 but before July 1987. Subject to Section 3.0 hereof, the Purchase Price shall be payable in cash, or by certified or cashier's ch through Escrow and shall be disbursed as follows: To Sel $5,755,000.00 if the Purchase Price is $6,457,834.55, or $5,870,100.00 if the Purchase Price is $6,572,934.55; to Odmark, $702,834.55. Upon the Property Close of Escrow, Seller shall immediately remit to Odmark the sum of $225, representing the amount of all deposits previously paid to Seller by Odmark under the Odmark Agreement. The City hereby acknowledges that it shall have no right or claim any of such deposits. 1.3 All parties hereto shall execute and deliv to Escrow an Agreement for Settlement of Disputes and Mut Releases (hereinafter the "Release Agreement") in the for Exhibit B attached hereto, which Agreement shall be bindi and effective upon the Property Close of Escrow. 1.4 Odmark and City shall execute and deliver Escrow an Assignment of the Odmark Rights in the form of Exhibit C attached hereto, which Escrow shall deliver to City upon the Property Close of Escrow. -4- 1 f I 1.5 Not later than five (5) business days foll ing the execution hereof, Seller, City and Odmark shall o an escrow ("Escrow") with First American Title Insurance Company ("Escrowholder") and shall deposit with Escrowhol fully executed counterparts of this Agreement for use as Escrow Instructions, together with Escrowholder's usual f of supplemental escrow instructions (if any) for transact of this type; provided, however, that such supplemental instructions shall be for the purpose of implementing thi Agreement and such instructions shall incorporate this Agreement by reference and shall specifically provide tha provision thereof shall have the effect of modifying this Agreement unless it is so expressly stated and initialed behalf of City, Seller, and Odmark. By such deposit, Escrowholder is hereby authorized and instructed to act i accordance with the provisions of this Agreement. Seller City, and Odmark shall each deposit such other instrument documents and funds as are necesshry to effect the close escrow in accordance with the terms hereof. 1.6 The parties hereto acknowledge and agree t the Revised Stipulated Judgment by and between Seller and City dated September 9, 1986, (the "Revised Stipulated Judgment") is and shall remain in full force and effect pending the Property Close of Escrow, and that, thereafte the rights of the parties hereto thereunder shall termina -5- I c t except as expressly provided in paragraph 2.6 of the Rele Agreement (Exhibit B). The parties acknowledge and agree that, upon the Property Close of Escrow, the so-called ''5 Still Agreement" by and among the parties, dated July 10, 1986, shall automatically terminate and be of no further force and effect as to the rights of any party hereto con cerning the Property. 2.0 Policy of Title Insurance. 2.1 At the Property Close of Escrow, Seller sk furnish through the Escrowholder, at Seller's expense, a Standard Coverage Owners' Policy of Title Insurance for t Purchase Price (excluding the amount allocated to the Odrr Rights) from First American Title Insurance Company insur title to the Property vested in City, subject to those matters ("Permitted Exceptions") identified on Exhibit D hereto, and the lien of taxes not delinqucnt. Seller bel that it will be able to deliver a title policy at the apy: priate Close of Escrow in accordance with the requirement hereof. If, however, the title company shall be unwillir issue such policy in such condition, City may waive the discrepancy and close this transaction in accordance wit? terms, or object to the discrepancy, in which case the tr action (and all of the City's obligations hereunder) shal terminate, and Seller shall not be liable to City for dan -6- I I c r 2.2 Real property taxes and assessments shall aid by Seller through the Close of Escrow based on the 1i tax information available to Escrowholder. Escrow shall notify the County of San Diego that the Property has beer to a public entity, and shall request cancellation of an! real property tax or assessment obligations which otherw: would be required from and after Close of Escrow. Sellei shall convey title to the City in and to the Property by grant deed; provided, that such grant deed shall recite 1 it is made subject to all matters of record and the Perm: Exceptions. 2.3 City shall pay one half of the Cost of Esc and Odmark and Seller shall each pay one quarter. Sellei shall pay the Expense of any local documentary taxes. Recording and other miscellaneous costs and expenses shal be shared in accordance with the custom of the Escrowholder. 3.0 Exchange of Property. 3.1 The parties identified herein as Seller hi owned the Property (other than Parcel F) as partners of 1 partnership, and own Parcel F as shown on Exhibit F. Pr: to the Property Close of Escrow, Seller has caused or wi: cause such partnership to distribute the Property to the respective Sellers so that the transactions contemplated -7- I i 1 hereby will take place at the individual partner level. Accordingly, each individual partner is a separate Seller even though it is agreed that the respective closing with each of the Sellers are to be concurrent and conditional u one another. In addition, each Seller shall have the rig? as to his interest (or any portion thereof) in the Propert to elect to cause the transaction as to such interest or a such portion(s) to close as a tax free exchange" pursuant to the provisions of Section 1031 of the Internal Revenue Code. In the event that any such Seller shall elect to ca the transaction to close as a "tax free exchange", City ar such individual Seller agree that no such exchange shall delay any Close of Escrow hereunder; and each Seller agree that the City shall be indemnified from any expenses or cc which may be incurred in connection with such exchange. I1 4.0 Condition of Property. 4.1 City acknowledges that neither Seller nor Odmark, nor any of Seller's or Odmark's employees, agents representatives have made any warranties or representatiox concerning or regarding the suitability of the Property fc construction or support of structures of any type, it5 us( a public recreational facility, or for any other purpose c use. -8- f r 5.0 Representations and Warranties. 5.1 The City hereby represents and warrants to Seller and Odmark as follows: 5.1.1 City has the full and lawful power authority to enter into this Agreement and consummate the transactions contemplated hereby and by the Acquisition Ballot Measure. 5.1.2 The City has completed the required environmental documentation in compliance with the Califc Environmental Quality Act, relative to the acquisition of Property, and the City’s Planning Commission has made the requisite finding relative to the acquisition of the Prop pursuant to California Governmental Code Section 65402. 5.1.3 The City has no present intention t develop the Property other than for park and/or open spac purposes. 5.2 Odmark hereby represents and warrants to Seller and City as follows: 5.2.1 Odmark is a corporation duly organi and validly existing and in good standing under the laws the State of California and has all requisite corporate F and authority to enter into this Agreement and to carry c the transactions contemplated hereby. 5.2.2 All necessary or appropriate corpoi executiol acts and procedures required for authorization, -9- ,' ,' I 1 1 delivery of this Agreement by Odmark have been lawfully ai properly taken. 5.2.3 Other than an assignment to Collins Development Corporation ("Collins") , Odmark has not assigl (a) the Odmark Rights and/or Odmark Agreement, or (b) any claims that it may have under, arising out of, or in connection with Odmark's attempts to develop the Property and/or the Odmark Agreement, and/or the Odmark Rights. 5.3 Seller hereby represents and warrants to tl City and Odmark as follows: 5.3.1 That as to that portion of the Propc other than Parcel F, and subject to paragraph 3.0 above, it is a general partnership organized and existing under . laws of the State of California, having its principal plal of business in the County of Los Angeles, California, and authorized to execute this Agreement on behalf of Seller. 5.3.2 That those persons identified as Se have among them persons with the full authority necessary fully and completely convey all right, title, and interes Parcel F to City. 5.4 All representations and warranties contain ir, this Agreement and any of the Exhibits hereto made by of the parties hereto shall survive the Property Close of Escrow. -10- I I ? I I 6.0 Rescission of Government Actions, Dismissal of Litigation, Assumption of Liabilities, Indemnities, and Release of Claims. 6.1 Seller, Odmark and City hereby agree that upon the Property Close of Escrow, City shall rescind th actions and decisions of the City Council of the City ce ying a Final Environmental Impact Report concerning the proposed development of the Property, and approving a Ge Plan Amendment, Land Use Plan, Site Development Plan, zo changes, and Master Plan amendments concerning the Prope which were and are the subject of a referendum petition "City actions and decisions"). 6.2 Seller, Odmark and City shall, upon the Property Close of Escrow, each release any claims it ma have against any other party hereto with regard to any o City actions and decisions. 6.3 Seller, Odmark and City hereby agree that upon the Property Close of Escrow, Seller and Odmark sha file a Request for Dismissal of Civil Action No. N36215, entitled Odmark Development Company, et al. v. City of Carlsbad, et al., each party to bear its own costs. -11- t ! 6.4 Seller, Odmark and City hereby agree to execute the Agreement for Settlement of Lawsuit and Relea: attached hereto as Exhibit H, and hereby authorize their attorneys to execute and cause to be filed a Request for Dismissal Without Prejudice of the action entitled "FrieAds of Hosp Grove, etc. v. City of Carlsbad, being C: Action No. N35426 in the San Diego Superior Court. 6.5 Upon the Property Close of Escrow, City shl execute and deliver to Seller and Odmark concurrently wit1 the close of such Escrow, a general release of Seller and Odmark and of their agents, employees and partners (in thl form of Exhibit B) from any and all claims, losses or dem of any kind whatsoever arising out of or connected with t condition of the Property previously or hereafter existin occurring upon the Property or unsuitability of the Prope for any use, and hereby agrees to hold Seller and Odmark harmless from any such claims, etc. brought by a purchase user of any of the Property from City, except any claims, etc. arising from any negligent acts of Seller, Odmark or their agents. 6.6 Odmark agrees to indemnify, defend and hol Seller and the City, or either of them, harmless from anc against any and all claims, demands, suits, loses, damage costs, expenses (including attorneys' fees), and liabilil - 12- 4 I i ( ? which may be imposed on, incurred by, or asserted against Seller or the City, arising out of or in connection with I based on Odmark's breach of the warranties and represents< tions contained in paragraph 5.2.3 above, and further agrl to obtain from Collins and to deliver to Escrow an Agreem and Release in the form of Exhibit G attached hereto. 6.7 City hereby agrees (a) to release and disc Seller from any and all of the obligations of Seller unde the agreements identified on Exhibit E hereto, and (b) to assume and fully and timely perform all of the obligation Seller under the agreement identified on Exhibit E-1 here 7.0 Miscellaneous. 7.1 Attorneys' Fees. If either City, Seller c Odmark commences an action against the other to enforce a cf the terms of this Agreement or because of the breach k City, Seller or Odmark of, or any dispute concerning, an1 the terms hereof, or if Escrowholder commences any actior with regard to the Escrow, the losing or defaulting parti shall pay to the prevailing party (and to Escrowholder ix case of any action by Escrowholder) reasonable attorneys' fees, costs and expenses incurred in connection with the prosecutlon or defense of such action. -13- I r I 7.2 Notices. All notices, deliveries and demanl of any kind which any party may be required or may desire give or serve upon another shall be made in writing and sh be delivered by personal service or sent by registered or certified mail, postage prepaid, return receipt requested, the address of that party set forth below: If to City: City of Carlsbad 1200 Elm Avenue Carlsbad, California 92008-1989 Attention: City Manager With a copy to: Vincent F. Biondo, Esq. City Attorney City of Carlsbad 1200 Elm Avenue Carlsbad, California 92008-1989 Attention: City Manager If to Seller: HFH, Ltd. 10738 W. Pic0 Boulevard Suite 3 Los Angeles, California 90064 With a copy to: Sidley & Austin 2049 Century Park East, 35th Floo Los Angeles, California 90067 Attention: Howard J. Rubinroit, and John Bartman 9601 Wilshire Boulevard Suite 810 Beverly Hills, California 90210 If to Odmark: Odmark Development Company 1747 Hancock Street, Suite B San Diego, California 92101 With a Copy to: Peterson, Thelan & Price 530 "B" Street San Diego, California 92101-4454 Attention: John D. Thelan, Esq. -14- 1 I I I I Any such notice sent by mail shall be deemed to have been received by the addressee on the fifth business day after posting in the United States mail unless actually receivec earlier. A party may change its address by giving the otk parties written notice of its new address as herein provic 8.0 General Provisions. 8.1 Effect of Waivers and Consents. No waiver default by any party or parties hereto shall be implied fi any failure or omission by a party or parties to take any action on account of such default if such default persist: is repeated, and no express waiver shall affect any defau. other than the default specified in the express waiver, ai that only for the time and to the extent therein stated. or more waivers of any covenant, term or condition of thi: Agreement by a party or parties shall not be construed to a waiver of any Fubsequent breach of the same or any othe covenant, term or condition. The consent or approval by party or parties shall not be deemed to waive or render unnecessary the consent to or approval by said party or parties of any subsequent or similar acts by a party or parties. 8.2 Modification of Agreement. Thls Agreement be amended, modified or changed only by a written instrum signed by City, Seller and Odmark. In the event of any -15- I A r I conflict between the provisions of this Agreement and any subsequent escrow instruction, as such may be amended fro time- to time, this Agreement shall control as between Cit Seller and Odmark unless the escrow instructions express1 state that this Agreement is being amended thereby and sa escrow instructions are signed by City, Seller and Odmark 8.3 Construction of Agreement. The language i all parts of this Agreement shall be in all cases constru simply according to its fair meaning and not strictly for against any of the parties hereto. Headings at the begin of Sections and Subsections of this Agreement are solely the convenience of the parties and are not a part of this Agreement. When required by the context, whenever the singular number is used in this Agreement, the same shall include the plural, and the plural shall include the sin? the masculine gender shall include the feminine and neute genders and vice versa; che word "person" shall include corporation, partnership or other form of association; ar the words "City", "Seller" and "Odmark" shall include the respective heirs, personal representatives, successors ar assigns, if any, of them. 8.4 Choice of Law. This Agreement and the tri action herein contemplated shall be construed in accordai with and governed by the laws of the State of California -16- . t. a r 1 applicable to instruments in all respects made, delivered and to be performed solely within the State of California 8.5 Merger of Prior Agreements and Understandii This Agreement, the Revised Stipulated Judgment, and the Exhibits hereto and thereto contain the entire understand between the parties relating the purchase of the Property assignment of the Odmark Rights and all prior or contempo aneous agreements, understandings, representations and statements, oral or written, are merged herein and shall of no further force or effect. 8.6 Further Acts. Each party, upon the reques the other, agrees to perform such further acts and to exe and deliver such other documents and instruments as are . reasonably necessary to carry out the provisions of this Agreement. 8.7 Severance. Should any portion of this Agreement be declared invalid and unenforceable, then SUC portion shall be deemed to be severed from this Agreement shall not affect the remainder thereof. 8.8 Rule Against Perpetuities. The transactic contemplated hereby must be consummated, if at all, with: the time permitted by the Rule Against Perpetuities, -17- r 1 r # including modifications thereof, currently in force in the State of California. 8.9 Incorporation of Exhibits. Exhibits A thrc H are hereby incorporated into this Agreement as if set OL in full at the reference thereto herein. 8.10 Memorandum of Agreement. Subject to the following sentence, City shall not record this Agreement c any evidence hereof. However, at the request of City, Sel and Odmark shall execute a memorandum with respect to this Agreement which City is hereby authorized to cause to be recorded in the Official Records of San Diego County. SUC memorandum shall not change or otherwise affect any of the obligations or provisions of this Agreement. 8.11 Execution in Counterparts This Agreement be signed in counterparts with the same effect as if all parties hereto had signed the same signature page. All counterparts shall be construed together and shall consti' one Agreement. Any signature page of this Agreement may 1 detached from any counterpart without impairing the legal effect of any signatures thereon, and may be attached to another counterpart identical in form thereto but having attached to it one or more additional signature pages. -18- 0, L x 1 8.12 Effect of Agreement to Purchase Price. Cit agrees that it will not argue in any legal or equitable proceeding between it, Seller and Odmark, or any of them, that Seller's and Odmark's agreement herein to the Purchaz Price (as it relates to both the Property and the Odmark Rights, respectively), or Seller's and Odmark's execution this Agreement is evidence of the fair market value of thc Property or of the Odmark Rights. 8.13 Limitation of Remedies. It is hereby agrec that other than as a result of the City's failure to purcl the Property at the Property Close of Escrow and/or to pal the Purchase Price specified herein, no party hereto shall have the right to recover or seek recovery of damages fron the other by reason of any breach or default by such othei party of any of the terms of this Agreement, and that the sole recourse for any such breach or default sha.'l be to seek non-compensatory relief, including, but not limited t by way of writ of mandamus or prohibition, declaratory relief, injunctive relief, specific performance, contempt, similar remedies. 8.14 Purchase Agreement Superseded. Upon the ft execution of this Agreement by the parties hereto and the delivery of this Agreement to each party, this Agreement : automatically supercede the Purchase Agreement; the Purchi -19- c i b Agreement shall be of no further force and effect; and Sell City shall be relieved of all obligations under the Purchas Agreement. 8.15 Survival. The representations and warrantic contained herein shall survive the Property Close of Escrot IN WITNESS WHEREOF, City, Seller and Odmark have executed, or caused this Agreement to be executed by their authorized officers, agents or representatives, as of the ( year first above written. GROVE APARTMENTS INVESTMENT ( a partnership /' By: / '* .L4 -5;;&%&L L& 1 Its: ?//k< z/i; H.F.H., LTD., a California limite5 Eartnersh$p * & j 'Y, By : I, &, y,,/ - XOBERT GET2,- -- [- '2 Its: General Partner BERNARD CITRON TRUST r Lc;r &/A 'r I. 4 By : Its: -z+.ST&E I z&-,,&& d pw y\t- / FRED A. E-L?TMAN, JR. / -20- L f * I 8 MARITAL TRUST UNDER THE WIL WILLIAM S. BARTMAN I-------- +jp& &- / ” A7 Its: I, ILLS </Z G RESIDUARY TRUST UNDER THE W OF WILLIAM S. BARTI” ’------- By- Gig4 &LC-ttL-d-?. /\ ,/- 1, Its: p,h5 / ISL THE~;E Its: Qm/flr<* By : FORM AND CONTENT: PETERSON, THELAN & P 4 J hn Thelan SIDLEY & AUSTIN Howard J. Rubinroit HJR187B -21- --, c ~~&L I&‘z2S /ww5/? t &Wd 3. “hp hWJ&hl 3 D, 15, t‘ %me, ?‘t- 8% /#&A ’>-/ ,&dLX ’1 &wvc/ k‘Hgfld 5 &mL ($ D - 2?&& &+ d @w € l2.LkkVd hp.lnc(nb El OMja. /hmJ f (3kww Q Pp/LRLc /= c;- Ula &v fl c - A\ > I rn CR mun &fl @u.m. - QBhK w v GRLU 1 - &J x+ ig hi% L-&@ (Fd* $&dF 3 /rgtuwnZo&7t&& & C 5- -ceu ,-a Uh& I 1 * , 2&kt A , Jf lu-& +&flqd I $ 1( * , EXHX~I? t. PARCELS D, E an2 E PRIME LfC.:-L zfsC?IF’I@::S -La. ..-.I. . T - .tt lz-d rtftirt: tr rtrcrr IC 5:tLi:tC ir tbt Stk.:t c! Cz:jfcrr.le, Cctr 5i.: I.ci<. L7.Z ;I Cc$-:.:tc iI ::l-CbS ?ARCEL 1 fortions of Lots 8, 9, 10, 11, 12, 13, 14, 15 8nd 16 in Hosp fUC8lyptu$ Corprny'c 7rsi:t b. 1, ir the City of Ckrlstad, Court> of Sar Dfego, Std California, accordin1 to Rap thereof KO. 1136, filet in the Office of the Recorder of Sun Dicgo County, June 6, 1906, dercribd 8s follows: bmrnciog at the Southeact corner of raid Tract, thence 81ong the E:agt 1 raid -act North 00'56'20" hst, 2263.66 feet, sald point belug South 00' &st, 116.74 feet fron the Vert Quarter corner of Scction 32, 'IOvn6hip 11 Uoge 0 &st, San krnrrdlno brte aDd Meridian; thence Wrth 89'18'10" 46.07 feet to the True Poiat of Beginning; raid point king on DOPI curve CODC8VC Southeasterly 8d h8Vipg 8 radius Of 310.00 feet, 8 radirf ] &aid point bears Worth 43'14'S3** Vert; thence Soutbuerterly along said through 8 central aqle Of 41'33'00' 8~ arc dirtaacc Qf 224.81 feet; fuving raid curve Yorth 89'18'10' Yert 557.72 feet; thence South 61.25'04 305.23 feet, tbeocc Wrth 10'19'07' Utgt, 374.05 feet; tbence North 79' art, 272.00 feet; thence Worth 02'01'30' Yest, 699.16 feet to a point on tangent curve conc~ve Southvcrtcrly and having 8 radius of 761.50 feet, liw to #:aid point burs North 10'06'51' Last, thence Southurterly .fog ewe through a centrd awle of 03'23'09' an arc dlrtrnce of 45.00 feet, tangent to said curve South 76'30'00' act, 350.95 feet, thtnct North 1.N thence South 76'30'00' East, 339.00 feet; thence South 350.00 feet; thenel 06'51'59' East 261.11 feet to the ?rue Point of Btginning. kccpti& thcrefra that portion derribtd 8s follows: Corroencing at the lorthe*sterly corner of Clrbb8d hart Ro. 77-2, Unit accordimg to kp tkreof Ib. 9813 filed In the Offlce of the COMtj Beeor, raid San Dicgo County, September 26, 1980; thence liorth 1'01'lO' East, a1 hrterly l3m of wid Borp Eucrl~tur torcst Caaprny'8 hrct 130. 1, W3.4 thence North 89.11'20' West, 46.07 feet to the True Polat of Beglnnlng beginning o!f a ooa-tao&ent curve, concave Southe8rterly ad brvlpg a 11 310.00 feet; tbcnce Soutbtrly dong r8id cume through 8 central 81 41.32'50' .a arc distance of 224.79 feet; thence 1e8vix ufd curve, 69'11'20" Yert, 30.085 feet to the k8inrring of 8 oon-tan#cot curve, Soutbcartcrly ad haviq a radius of )cO.Oo feet; tbeDce brthcrly .lo cune throcsh a centrd 8bgh Of 4S035'15- 8ad 8rC dirt8occ Of 270.5 tbcnce leaving wid curve Soutb 6.45'09' tst, 36.41 feet to tbe true E Btgitlnlng -- . :--. 8 c r 1 1 I FFFnl 1 tort1cr.c o! Lttr 1. 5, I(, if. 17, I€, 23, 2~, 25. czr.cr. streel Eucalyptus Street In Borp Eucalyptus Forest Cogpany'r ?rrct )io. It fn of Carlrbrd, Count) of Sin Dle&o, State of C821forriia, rccordlq to Va No. 1134, filed io the Offlce of the Comty Recorder of Jln Olego Cou 6, 1908 described 8s follovr: CaeenclnE at the 606t Southvertcr1y corner of Lor 25 In raid tract rlorg the Southwrster1y line Of cald Lot 25 Borth 23'27'45' best, 191, thence berth 6Eb3O'20' East, 360.41 fret to the True Point of Beglnnjni Korth 18"09'57" JieEt, 40.89 feet to the bcpinnlq of r tangent cum( bortherrtcrly and hrving 1 radius Of 1042.00 feet; thence Korthvertel sald curve thru 8 ceDtr8.l a%lr of 14'35'28" an arc dlrtrncr of 265, thence tangent to raid CUYVL North 03'34'35' West 91.02 feet to the beg: a tangent curve CODC~VC Southvesterfp and h8visg 8 radius of 458.00 fee! Northwcrtcrlg along raid curve thru 8 central angle of 22'18'38' an arc of 178.34 feet; thence taugent to uld curve North 25'53*13' West 189.2( 1062.00 fett; thence Rorthwsterly dosg e8ld curve tbm a ceotrd 10'17'S7' am arc dirtrnce of 187.30 feet; thence Uagcnt to &rid cur 15°35'160 Vest, 108.11 feet to the beginnlog of 8 tangent curve Southvtrtcrly and bvfog 8 radlus of 20.00 feet; tbencc Eorthuerterly d cmc thru I central angle of 88'S6'48' 813 arc dirtaocc of 30.82 feet to of cusp vitb 8 curve coucme Oortberterly ad hvlng 8 radius of 8' radial Une to said point of cusp berrr South 13'52'06" tist; Dortbc8cterly dong the 186C 8cotfo~ed cufoc thru 8 central angle of C an arc distrrnce of 25.17 feet; thence tangent to mid CURL mrth 74.21' 140*00 ftct to the begiming of 8 Ungent curve concave lorthvcrterly an 8 radias of 838.50 feet; theDce lorthr8rrerly doag mid cure tbru 8 krtb 61'00'00' East, 174.31 feet to tbe bepinniq: of a tangent curve SouthurstrIy sad having a radius of 761.50 feet, thence hrttrfy rfc tune thru 8 central 8ngle of 39'06'52" .a arc dirtrncc of 519.85 feet South 00'01.*30' Last 699.16 feet; thence South 79'40'53' Uert, 272.C thence South 10'19'07' hst 371.05 feet; thence Soutb 68'30'20' wit, frtt to the True Point of Begifinlag. Excepting tbcrefra .D M foot rlde 8trip Of had, 42.00 feet each rfdc foll oviq de scribed center he: Camtnclng at I poiat 08 the Verter1y lint of rrld kt 25 distant tbercr 23'27'4S- liest, 395.00 feet ftai the Soutbuert comer tbcreof; tbeace rrld Westerly line Eortb 68'37'20- &st (tccord lorth 68'30'28' &art pt 40232 feet to the True ?oint of Beginning; thence brth 18.03'07' Uert feet to ebe begloolug of a matgent cumt, c~l~c8vc Easterly trrd hiag a of 1000.00 feet; thence Joq uld curve through I central aqle of 14'3! arc dlrtmce of 254.64 feet; tbeoee tangent to uld eume krtb 3.27'44 109.90 feet to the bagianiq of a t8aaent curve, concave Ikrtrtlj 8rd b radius of 800.00 feet, thence elow uid curve throuah a central the &ginning Of 8 t8qent CurOe COnC8VC lOrthe86ttrly 8Dd &Ving 8 X 8q1c *Of 13'21'J.4" 8B 81C di6unCc Of 196.28 feet; tbtace t8qCDt to e8 < / 25'22'3(' ar LTC dirtancc O! 3%.3C ftrt. tbtfrct tsnrert to rri~ cur\( .. __ -L bfs:, :('.:5 ftt: tr t'L !tt.--:rq c! E :LT~(:: c~rxt CCT.=&-,~ 1; ark k,.axinl r-rstiur of 6:C.K frct; ttlc:cc r3cr.i refd curve throqt. a c rrqlc of 13*i!1'19' rn 8rc dirtaoce Of 16C.59 feet; thence brth 15'2e'Z5" 30.W feet more or less to the Southerly right of vay line of Marroo Road ridelines of raid 84 foot wide 8treet ahall ttmlnrte vlth 20.00 foot returns at raid Southerly right of ury line of ?!!rroa Rod. FARCE1 3 Portions of Lots 22, 23, 24. 25 and of LUCtlYftUS Street in HOSP ~ucr Forest Conpaay's fract KO. 1, in the City of Carlsbrd, County of Qn State of Califonla, 8ccordif~g to hp thereof KO- 1136, filed $0 the Off the County Recorder of Sen Diego hmtgb June 8, 1908, described 8s follow hmencing 8t the most Southverterb corner of Lot 25 io raid tract; dong the Southwesterly line of raid Int 25 Wrth 23'27'45' West 195.00 thence North 68'30'20" East 360.41 feet; thence Korth '18'09'57' Vest 4o.e to the bcgi~aiag of a tangent curve concave brthe8rterly ad b~i- 8 rat 1WZ.OG feet; thence Northwesterly .long raid curve through a central 8U 01'38'58' an arc dlrtrnce of 30.00 feet to the true Point of Ileglmring; continuing dong uid curve thraugh a central rqle of 12'56'26' an arc di of 23S.33 feet; thence tangent to raid curve lbrth 03'34'35" Utrt 94.02 f tbc begianimy of a taugent cume coacave Soutbwetterl~ and bming 8 rad 458.00 feet; thence Rorthuesterly dong raid eane through 8 ccotrd an 22'18'38" 81) arc diSt8DCe Of 178.34 feet; thence t8ngeot to said curve 25'53'13' Yert 189.20 feet to tbe bcgirmiqg of a tangent curve c brtbearterly and bvlng 8 r8diuc Of 1012.00 feet; thence Rorthuertcrly mld curve t.hrough a central .=le of 10'17'57' an arc dictanee of 387.X thence taapttnt LO 8rid tunc Rorth 15'35'16' West 108.41 feet to the bel of a tangenlt crxvc conct-Je Southnrterly rad having I radius of 20.00 thence Nortlbvesterfy dong raid curve through a central angle of 88'16' arc dirtancct of 30.82 feet to r pint of reverse curve coocave brther hving r radius of 838.50 feet; thence Westerly along uLJ revetlie came 1 a ccntrj rBrrg1C of 32'08'52' an arc distance of 470.47 feet; thence 07'34'20" Yest 213.72 feet; thence South 61'59'00' East 218.29 feet; South 25'53'13' East 390.00 feet; thence South 66'45'50' East 330.26 feet True Point of Beginning. kceptirrg t'herefra 80 84 foot wide 8tTip Of hod, 42.00 feet each 81th folloviag daacribd cent et line : bobencing at a plat 00 the krter1y line Of r81d bt 25 distant thereor 23'27'15' Mest, 19S.00 feet frer tbe Southwest comer thereof; tbeaee I raid Verterly line llortb 68'37'10' tst (ftcord lorth 68'30'28' East pi 402.52 feet to the True Wint of kgimlq; thence krtb 18'03'07' &st, feet to the beginnlag of 8 weat came, coneme &rterff d hviq a of 1000.00 feet; tbeoce dong mld twe though I central a-le of 14'35' arc dirt8ncr of 254.64 feet; thence t8ngtnt to 08id tune lortb 3°27v4ia 'i''', . 109.90 feet to tk beginaiPg Of 8 t.weDt CUtTC, CODC8Ve w8terlY 8d bp ---. .. * . :8- L t , , rrCr~~ of €@Cn.GO feet, thence along grid curve throw€) central rng 2tr5C'iL' k;rbt,' lCit.14 fctt tG tht bthir.r.fnf of 8 tangerr curve conca\t fa: ami hrvlrg D radius of 800.00 feet; thence along grid curve through I ce angle of 13"21'19" an arc dlrtaoce Of 186.59 feet; thence borth 15'28'25" 30.00 feet =re! or less to the Southerly right of vag line of hrron Road. rldeliocr of raid 84 foot vide street rhall ttmiaate rlth 20.00 foot 1 retmos at rald Southerly right Of vay 1lDC of Harron Road. ja/trf e.;.. r: ..*j< 2: E::: C:r:ar:< c! 35~~3: !tt:; t?tr:t tcrlty.: t: r~l~ cc:\(. b I .I t 3 EUIEI'i &.-I PA.RC,^EL F irr*- L,U.'-- Cr '$cP?F'~C'; i a Pun I.--- - . - , . -. -- .-*- , .- P LC-':' 1. .. +.-*.:-. I i The land referred to herein is 6itU8ted in the St8tr cf California $80 Diego, 8l?$ 18 described 86 follovr: ?ARCEL 1: Those portions of Lots 19, 20, 21, and 33 and of Eucalyptor Stre RICAlYPlTS FOREST COAS?A?iY'S TRACT NO. 1, io the City of Carlsbad, &I Dlego, State of C8lifOrnia, 8CCOrding to Yap thereof So. 1136, fi Office of the County Recorder of San Diego Caunty June 8, 1908, de f of. low8 : Comencirrg at the Southeart corner of raid tot 20; thence .long ti line thereof, north 06'58'00' brt 278.00 fee2 to the TRUE POINT op thence Soutlh 70'28'24' Yeat SOS.81 feet; thence North 89'29'00" weat ~ to 8 point on 8 aox~t8ngent 46232 foot radiur curve concave Uottht radial llne of vhich bc8rr South 49'22'30' art to raid poi lorthc8rtcrly along the 8rc of raid tume throtqh 8 central aqZe of u9.44 fee!: to the beginntug of 8 tanseat 490.00 foot r8d8u8 cur Southcarter1y; thence Ilorthcaaterly alozq the arc of raid eunve, ccatr.1 angle of 37*47'39', 8 dfrtmce Of 323.22 fact; thmaCQ tange curvt Ilorth 73'00'14' kat 111.96 ftet to the beplnniq of 8 taqent ?.diu8 tunre concave Soutbvrcsterly; thence hrterly and Southerrterly feet to the begianlng of 8 tevtrae 842.00 foot r8diu8 cum Dorthc8rteirly; thence ~utherrtet1y along the arc of 88fd curve, ttntrrl mgle of 21*43'00', 8 dlrt8nte e:". 363.72 tset; thence South wert 16X.50 feet to point dieh bc8t8 RFrth 70°2694' &rt from the O? BECIM.IIC; thence South 70'28'24' Vert 69.19 feet to the fpue ItGIrnffG UCLPZlRG ~PLFROH thore pottioar lylq lorthcrrterly of the Ifouthues of raid tucalyptur Street. ?Urn 2: thore portionr of Lotr 19 and 20 in BOSP tUCbtfPIDS ?OUST CMPM'S 1, la the City of Clrlrbad, bunty of Sln Diego, State of California, to Map thtcrrof lo. 1136, filed in the Office of tbe brmty Recorder of bunty, 34me 8, 1908, dtrcrihd a8 follour: 8 diatauce Of 43-72 fe@t; tbaocc tawtat to 88id curve, Bortb 35.1 8YC of raid CWVt, thr0-b 8 Ctntt.1 8Wk Of 86'~0'30', 8 dfstancc . . ... . t ; -', . :'. -, .. .. .- c';,:: !.:. ';:jt..-L ' 5 bebizr.:-g at* tF,E Sc;:Fris: ccrTor C! SZ:? Zct 2C; t?c-:e MIOZf tbc line of raid Lata 20 and 19, h'orth e9'29'00' Vest 761.61 feet to a aoo-tan8eat 162.52 foot radius Curve Concave Worthuerterly, @ radii vhlcb berrr South 29'16'10' Eart to said point; thence Northeasterly arc of raid curve throqh central angle of 20'06'20' 8 dirtaact feet; theoccc South 89'29'00' bot 213.74 fett; theace North 70'21 303.81 feet to an lnterrectfoa with the Easterly line of oald Lot along said Easterly line, South 06'58'00' West 278.00 feet to the Beginning. PARCEL 3: fborc portioar of toto 19, 20, 21, 8nd 33 of Lucalyptus Street EUCALYPTUS I'OREST COKPAKY'S TRACT NO. 1, In the City of Carlsbad, C~UI Diego, State of California, 8CCOrdiag to !Sap thereof flo. 1x36 fill Office of the County Recorder of SIn Diego bunt7 June 8, 1908, der f 01rwr: Comenciag at the Southcrrt corner of rrld Lot 20; tbante along the fiat tbcrcof; Hortb 06'58'00' bat 278.00 feet to the rPDE )OUT Of 1 tbence South 70'28'24' Vert 505.81 feet; thrice 89'29'00' Ueot 213.74 piat 08 8 norrtrqcot 462.52 foot t8dIar curve COZIC~V~ Ikrtbnrterly, line of vh:teh bear. South 49.22'30' krt to raid point; thence Rort a1oq the arc of raid eurrc, through 1 central mqle 05*24'59'', a df 43.72 feet; thence taageot to 88fd cane, lorth 3Se12'35- Ust 449.4 tbc beginning of a taqeot 490.00 foot r8dlur curve eoncave South tbcoce lorrbearterly 810% tbe 8rc of 88fd cumt, through 8 teotral 37'17'39' (R distance of 323.22 feet; thence taageot to raid cun 73'00'14' La8t 111.94 feet to tbc begionfq of 8 t8rgeot 20.00 foot rad toauvt Soutbnrter~y; thence trrterly and Swtbcrr :etly 8foq the art cume, through 8 central aqlc Of 86'40'30' 8 dlrtaucc of 30.26 fee kglnnfng of 8 rcveroe 842.00 foot trdlar cullc coauve Rortbearterl] ~utbc8rttrly dorq the arc of raid come throqh central iqle of 24 8 diotancc of 363.72 feet; tbeocc South b4-55'44' Vert 161.50 feet to which bc8rlB lortb 70'28'24' bot fta the tlrIc1! ?OIR 01 BECIHNIRG; the1 70'28'24' West 69.19 feet to the lWE )om 01 BECfWNfRG. WtCLPTIRC 'cHEU3W?4 tborc portioor lylw Soutbucoterly of the Southuertc of 8aid tutalyptur Street. 8?/8&8 r I .$ 1 f e l AGREEMENT FOR SETTLEMENT OF DISPUTES AND MUTUAL RELEASES t;,,^*"". 8 &, J&l &?ffou& A fi * t * 1 ! AGREEMENT FOR SETTLEMENT OF DISPUTES AND MUTUAL RELEASES THIS AGREEMENT is made and entered into this - da1 May, 1987, by and between Grove Apartments Investment Co. ("Grove"), H.F.H., Ltd. ("H.F.H."), Harry J. L. Frank, JI ( "F:rank"), the Bernard Citron Trust ( "Citron Trust"), Frf Bartman, Jr. ("Bartman"), the Marital Trust under the Wi: William S. Bartman ("Marital Trust"), the Residuary Trusl the Will of William S. Bartman ("Residuary Trust") (all ( foregoing hereinafter sometimes referred to collectively "Grove Parties"), Odmark Development Company ("Odmark"), City of Carlsbad ("Carlsbad") . I FACTUAL RECITALS 1.0 This Agreement is entered into with reference . following facts: 1.1 Grove is and/or previously was the record owne a portion of certain real property located in the County San Diego (the "Grove Parcel"). The legal description o Grove Parcel is attached hereto as Exhibit "I", and inco herein by this reference. c * I 1.2 For purposes of development, the Grove Parcel w; divided into sub-parcels A, B, C, D, and E, all as reflec. on t:he Master Plan of Development, approved by Carlsbad 01 about March 3, 1970. 1.3 Grove Sub-parcels B and C have already been devl Sub-parcels D and E have the following acreage, which Gro previously intended to develop with residential units as D 16.085 acres 130 units E 27.675 acres 240 units 1.4 The partners of Grove and HFH, Ltd. are the rec owners of certain real property located in the County of Diego ("Parcel "F"). The legal description of Parcel F j attached hereto as Exhibit "2", and incorporated herein ' this reference. 1.5 Parcel F consists of approximately 8.92 acres. 1.6 On or about October 9, 1964, a Grant of Easemei Right-of-way from Rildan, Inc., a predecessor-in-interes plaintiff Grove Apartments Investment Co. ("Grove") to t City of Carlsbad ("Carlsbad") and the Vista Sanitation Dis,trict ("VSD"), as tenants in common ("Rildan Easement -2- I .P L 6 . 5 dated July 23, 1964, was recorded in the office of the Cc Recorder, County of San Diego, in Book 1964 at Page 18491 1.7 On or about October 9, 1964, a Grant of Easemel: Right-of-way from Fawco, a partnership, Bernard Citron ("Citron"), and Harry J. L. Frank, Jr. ("Frank"), all predecessors-in-interest to plaintiff Grove, to Carlsbad VSD, as tenants in common ("Fawco Easement"), dated July 1964, was recorded in the Office of the County Recorder, County of San Diego, in Book 1964 at Page 184918. 1.8 On April 6, 1977, the City Council of Carlsbad adopted Ordinance No. 7047 and Ordinance No. 7048, which Ordinances were superseded by Ordinance No. 9518 creatinc Chapter 21.49 of the Carlsbad Municipal Code and Ordinanc No. 8073 creating Chapter 18.05 of the CMC, and which imy: a moratorium on the issuance of building permits in Carl: and a moratorium on the acceptance of applications for ax granting of discretionary approvals for development projc in Carlsbad. l.9 On or about September 12, 1977, Grove Apartmen' Investment Co. ("Grove"), a partnership, as successor in interest to Rildan Inc., Fawco, Citron, and Frank, filed action in the Superior Court entitled "Grove Apartments Investment Co., a partnership, v. City of Carlsbad, a -3- I < t 6 I Municipal Corporation, Vista Sanitation District, a Publi Corporation," being Civil Action No. N 9052 in the Superi Court for the County of San Diego, North County Branch (hereinafter "Action No. N 9052"), seeking, among other things, a judicial determination of its rights and obliga tiom under the Rildan and Fawco Easements and under Ordinance Nos. 7047 and 7048, as amended and supplemented 1.10 On or about July 31, 1978, pursuant to leave granted by the Court therefor, Carlsbad filed a cross-cor for declaratory relief adding HFH, Ltd. ("HFH") and Kamar Construction Company ("Kamar") as parties to this action. 1.11 The trial in the matter commenced in October 1 and continued thereafter, except where recessed, until November 20, 1978 when all sides rested, with the present tion of numerous oral testimony and the introduction of voluminous exhibits by all parties. 1.12 On November 21, 1978, the Court, after hearins argument, issued certain tentative rulings, and ordered further briefing in said action. 1.13 Subsequent to November 21, 1978, the parties 2 othlers, after numerous meetings and other negotiations, entered into an Agreement for Settlement of Lawsuit and -4- L 9 1 Mutual Releases (hereinafter the "Grove Settlement Agreeme resolving, among other things, all the issues in the actic 1.14 Pursuant to said Grove Settlement Agreement the parties stipulated to entry of a Judgment Pursuant to Stipulation (hereinafter the "Grove Judgment") , which thereafter was duly entered herein, and which provides foi certain development rights with regard to the property whj is the subject matter thereof. 1.15 The Grove Judgment provides, among other thing that the rights provided therein shall terminate after th 10th anniversary of events more specifically referred to therein, such that it could be contended that said rights would cease sometime in late 1989. 1.16 Subsequent to the entry of the Grove Judgment, certain of the real property which is the subject matter the Grove Judgment was developed. 1.17 In order to develop and/or cause the devefopmc of certain remaining portions of the real property which the subject matter of the Grove Judgment, Grove entered : an agreement with Odmark Development Company ( "Odmark"), which, as from time to time amended (the "Odmark Agreemel provided for the sale to Odmark of Parcels D and E of thc -5- . 4 b I property, Parcel E being comprised of sub-parcels E and E Prime. All of Odmark's right, title, and interest in, to i under the Grove Odmark Agreement are hereinafter referred as the "Odmark Rights. " 1.18 Pursuant to the Odmark Agreement, Odmark prepa: certain designs and plans for a project involving the construction upon Parcel E of 216 condominium units (the "proposed condominium project") , thus involving a project density of 10.8 dwelling units ("dus") per acre, excludinc designated open space and 40% slopes. 1.19 Prior to January 22, 1986, Odmark submitted to Planning Department of the City of Carlsbad an Environmen. Initial Study including numerous reports and supplemental reports evaluating potential environmental impacts of and corresponding mitigation measures for the proposed condom. project. 1.20 The Planning Director of the City of Carlsbad, after determining that the proposed condominium project w' not cause any significant impacts because potential impac had been mitigated, issued a Mitigated Negative Declarati dated January 26, 1986, which, on February 5, 1986, was recommended for approval by the Planning Commission of th City of Carlsbad. -6- I c. 7 1.21 Odmark applied to the Planning Commission of tl City of Carlsbad for approval of a two-lot tentative map l 216/unit condominium permit with regard to the project. 1.22 By Planning Commission Resolution No. 2538, thc Planning Commission of the City of Carlsbad recommended approval of a two-lot tentative map and 216-unit condomin permit for the project. 1.23 On March 18, 1986, the City Council of the Cit Carlsbad held a public hearing to consider the request by Odmark to approve the tentative map and condominium unit permit, and further to consider approving the Mitigated Negative Declaration issued by the Planning Director and recommended for approval by the Planning Commission. 1.24 A number of members of the public appeared at hearing to challenge the project, to advocate the acquisi by the City of Parcels D, E, and F (or portions thereof) recreational purposes, and/or to question the conclusions the Planning Director and Planning Commission leading to issuance of the Mitigated Negative Declaration. 1.25 By Resolution No. 8468, the City Council of th City of Carlsbad disapproved the Mitigated Negative Decla -7- * i 1 5 ‘i , and directed the preparation of an Environmental Impact Report for said project. 1.26 In connection with said action, the City Counc voted to cause a review of both the General Plan and Hosl Grove Master Plan, and to consider the possibility of acc some or all of Parcels D, E and F. 1.27 Subsequent to the foregoing, Grove and Odmark placed the City on notice of their position that the fore going actions of the City Council in disapproving the Mitigated Negative Declaration, requiring that an Enviroi mental Impact Report to be prepared concerning said projc causing the Hosp Grove Master Plan and General Plan to bc reviewed were unlawful and in violation of their rights, including their rights to development under the Judgment entercd In this action. 1.28 Subsequent to the actions of the City Council described hereinabove, members of the public continued tc express a desire to attempt to acquire Parcels D, E and 1 some portion thereof, for park and/or recreational purpo and Grove and Odmark contlnued to assert their rights to develop sald parcels. -0- , * P i 1 1.29 Commencing April, 1986, representatives of the City of Carlsbad, Grove, and Odmark met and otherwise communicated on numerous occasions in order to resolve the disputes which existed between them arising out of the foregoing. 1.30 On or about July, 1986, Grove, H.F.H., the Vis1 Sanitation District, Kamar Construction Company, and the ( of Carlsbad entered into a Stipulation for Entry of Revisc Judgment in Civil Action No. N 9052, pursuant to which a Revised Judgment Pursuant to Stipulation (the "Revised Grc Judgment") has been duly entered therein; 1.31 As of July 10, 1986, Grove, H.F.H., various of principals of each, and City entered into an Agreement fo Purchase and Sale of Real Property, pursuant to which, on November 4, 1926 a ballot measure was submitted to the vo of the City regarding, among other things, the acquisitio the Property by the City. slightly less than 2/3 affirmative vote and was not appro Such ballot measure received 1.32 Thereafter the City determined to acquire the Property in lieu of condemnation of the Property, and to purchase and have assigned to it the Odmark Rights, provi it obtained the requisite vote of the registered voters within the City authorizing or approving such acquisitior -9- t .T f , 1.33 The City caused a ballot measure ("Acquisitior Ballot Measure") to be submitted to the voters of the Cit a special election held on March 3, 1987, which Acquisiti Ballot Measure was approved, and which authorized the Cit acquire the Property and the Odmark rights €or cash. 1.34 Odmark and certain of the Grove Parties have f an action in the San Diego Superior Court, entitled Odmaz Development Company, et al. v. City of Carlsbad, et al.. which is Civil Action No. N 36215 in said Court (hereinaf Civil Action No. N 36215). 1.35 As of May - , 1987, Grove, H.F.H., various of principals of each, Odmark and City entered into an Amenc and Restated Agreement for Purchase and Sale of Real Pro1 (the "Restated Agreement" ) . 1.36 It is now the desire and intenti,>n of the GroI Parties and Odmark, on the one part, and the City of Car: on the other part, to compromise and resolve all of the disagreements and disputes which exist or may exist betwt them arising out of the foregoing, above, and also to re! certain other matters. Pursuant to and in accordance wit1 this desire, and in conslderatlon of the promises and re contained herein, the parties agree as follows: -10- f 1 I I 4 b I1 DISMISSAL OF LITIGATION AND RELEASES 2.0 Odmark and those of the Grove Parties who are plaintiffs therein hereby agree to file a Request for Dismissal with Prejudice of Civil Action No. N 36215, ea( party to bear its own costs. 2.1 Except as expressly provided in paragraph 2.6 below, the Grove Parties and Odmark, and each of them, dc hereby release and absolutely discharge the City of Carl: of and from any and all claims, demands, damages, debts, liabilities, accounts, reckonings, obligations, costs, expenses, liens, actions and causes of action of every k: and nature whatever, whether now known or unknown, suspec or unsuspected, which the Grove Parties and/or Odmark no1 have, own, or hold or at any time heretofore ever had, 01 or held against the City of Carlsbad based upon or arisii out of any matter, cause, fact, thing, act or omission whatever occurring or existing at any time to and includ the date hereof in connection with their ownership of ani rights and/or attempts to develop Parcels D, E, and F (a of which are hereinafter referred to as and included wit: the "Released Matters"). -11- ,' ,' < I 3 1 2.2 Except as expressly provided in paragraph 2.6 below, City of Carlsbad does hereby release and absolute1 discharge the Grove Parties and Odmark, and each of them, and from any and all claims, demands, damages, debts, liz bilities, accounts, reckonings, obligations, costs, exper liens, actions and causes of action of every kind and nat whatever, whether now known or unknown, suspected or unsL which the City of Carlsbad now has, owns, or holds or at time heretofore ever had, owned or held against the Grove Parties or Odmark based upon or arising out of any matter cause, fact, thing, act or omission whatever occurring 01 existing at any time to and including the date hereof in connection with their ownership of and/or rights and/or attempts to develop Parcels D, E, and F (all of which are hereinafter referred to as and included within the "Relea Matters" ) . 2.3 Except as expressly provided in paragraph 2.6 below, the Grove Parties do hereby release and absolutely discharge Odmark of and from any and all claims, demands, damages, debts, liabilities, accounts, reckonings, obliga tions, costs, expenses, liens, actions and causes of acti of every kind and nature whatever, whether now known or unknown, suspected or unsuspected, which the Grove Partie now have, own, or hold or at any time heretofore ever had owned or held against Odmark based upon or arising out of -12- , c I f 1 matter, cause, fact, thing, act or omission whatever OCCL or existing at any time to and including the date hereof of which are hereinafter referred to as and included witk the "Released Matters"). 2.4 Except as expressly provided in paragraph 2.6D below, Odmark does hereby release and absolutely discharc the Grove Parties of and from any and all claims, demand: damages, debts, liabilities, accounts, reckonings, obligz tions, costs, expenses, liens, actions and causes of acti of every kind and nature whatever, whether now known or unknown, suspected or unsuspected, which Odmark now has, owns, or holds or at any time heretofore ever had, owned held against the Grove Parties based upon or arising out any matter, cause, fact, thing, act or omission whatever occurring or existing at any time to and including the dz hereof (all of which are hereinafter referred to as and included within the "Released Matters"). 2.5 Without in any way limiting the foregoing, and except as expressly provided in paragraph 2.6D below, of Carlsbad hereby releases, discharges and indemnifies, agrees to hold harmless (a) the Grove Parties from each i all of the obligations of the Grove Parties under the agi ments identified on Exhibit 3 hereto as such agreements i to the Property, (b) the parties to that certain Agreemer the -13- 1 regarding payment of a Public Facilities Fee, dated July 1985 and recorded August 26, 1985 under File Number 85-30 and 85-308358, from each and all of the obligations there under, and (c) the Grove Parties and Odmark from any and claims, losses, or demands of any kind whatsoever arising of or connected with the condition of the Property previo or hereafter existing, and/or the unsuitability of the Property for any use, except any claims, losses, or damag arising from any negligent acts by the Grove Parties or Odmark in connection with the Property. 2.6 The releases contained in this Agreement, and t descriptions of the Released Matters, do not cover and sh not be deemed to purport to cover: A. Any of the rights, duties or obligations o any person not a party hereto under the Revised Grove 2ud or B. Any of the rights, duties, or obligations any person or party (including any party hereto) under th Revised Grove Judgment or otherwise concerning the real property referred to in the Revised Grove Judgment as the "May Stores Non-Coastal Zone Commercial Parcel" and/or th "May Stores Coastal Zone Commercial Parcel"; or -14- 4 I * I C. Any of the rights of any person or party (including any party hereto) under the Revised Grove Judc concerning sewer capacity (including the right to receivc assign, and/or to transfer the same, and the obligations, any, to pay for the same), insofar as such rights may be necessary fully to provide sewer service to the real pro] referred to in the Revised Grove Judgment as the "May St( Non-Coastal Zone Commercial Parcel" and/or the "May Storc Coastal Zone Commercial Parcels" (which the parties presc believe will involve between and - E.D.U's); or D. Any of the rights, duties, or obligations the parties referred to in, arising under, or created by Restated Agreement which by the terms thereof survive thc Property Close of Escrow. 2.7 It is the intention of the parties in executinc this Agreement, that this Agreement shall be effective a; full and final accord and satisfaction and general mutua release of and from all Released Matters, except only as otherwise expressly provided in this Agreement. In furt: of this intention, each of the parties acknowledges that is familiar with Section 1542 of the Civil Code of the S of California, which provides as follows: -15- 1 6 4 "A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settle- ment with the debtor." Each of the parties waives and relinquishes any right or benefit which it has or may have under Section 1542 of tf Civil Code of the State of California or any similar pro- vision of the statutory or non-statutory law of any othei jurisdiction to the full extent that it may lawfully waiy all such rights and benefits pertaining to the subject m; of this Agreement. In connection with such waiver and relinquishment, each of the parties acknowledges that it aware that it or its attorneys may hereafter discover cli or facts in addition to or different from those which it knows or believes to exist with respect to the subject mi of this Agreement or the other parties hereto, but that : its intention hereby fully, finally, and forever to sett and release all of the Released Matters, known and unknoi suspected or unsuspected, which now exist, may exist, or heretofore have existed, between them. 2.8 The parties hereto each warrant and represent the other that it is the sole and lawful owner of all ri -16- b I a f e title and interest in and to all of the respective Releast Matters and that it has not heretofore, voluntarily, by operation of law or otherwise, assigned or transferred or purported to assign and transfer to any person whomsoever Released Matter or any part or portion thereof, or any cl: demand or right against the other. Each of the parties si indemnify and hold harmless the other from and against an: claim, demand, damage, debt, liability, act, reckoning, obligation, cost, expense, lien, action, or cause of actic (including payment of attorneys' fees and costs actually incurred whether or not litigation be commenced) based on in connection with or arising out of any such assignment ( transfer or purported or claimed assignment or transfer. 111. BENEFICIARIES 3.0 This Agreement is not for the benefit of any pe: who is not a party signatory hereto or specifically named beneficiary in this paragraph. The provisions of this Agreement and the releases contained herein shall extend . and inure to the benefit of, and be binding upon, in addi. to the parties hereto, just as if they had executed this Agreement: the respective legal predecessors, successors assigns of the parties; each and every entity which now i ever was a parent or subsidiary of Odmark; the respective -17- 1 , . I ’ past and present officers, shareholders, officials, direc partners, employees, trustees, beneficiaries, and attorne of the parties and/or of each such parent or subsidiary entity, and their respective legal successors and assigns and each of the foregoing. IV. GENERAL 4.1 This Agreement and the releases contained herei affect the settlement of claims which are denied and disr which are contested, and nothing contained herein shall 1 construed as an admission by any party hereto of any liability of any kind to any other party. Each party expressly denies that it is in any way liable or indebtec any other party. 4.2 This Agreement, the Restated Agreement, and the Revised Judgment constitute and contain the entire agreer and understanding concerning the subject matter between 1 parties, set forth all promises and inducements made by i party to any other party with respect to any of the subjc matter, and supersede and replace all prior negotiations proposed agreements or agreements, written or oral. Eacl the parties acknowledges to each of the otner parties th, other party nor any agent or attorney of any other party - 18- C 2 < I made any promise, representation or warranty whatsoever, express or implied, written or oral, not contained hereir concerning the subject matter hereof to induce it to exec this Agreement, and each of the parties acknowledges thal has not executed this Agreement in reliance on any promi: representation or warranty not contained herein. 4.3 Each party acknowledges to each of the other parties that it has been represented by independent lega: counsel of his own choice throughout all of the negotiat: which preceded the execution of this Agreement and that : has executed this Agreement with the consent and on the advice of such independent legal counsel. Each party fu: acknowledges that it and its counsel have had adequate opportunity to make whatever investigation or inquiry thc may deem necessary or desirable in connection with the Subject matter of this instrument prior to the execution herecf and the delivery and acceptance of the considerat specified herein. 4.4 This Agreement and any other documents referrel herein shall in all respects be interpreted, enforced an governed by ana under the laws of the State of Californi applicable to instruments, persons and transactlons whlc have legal contracts and relationshlps solely within the State of California. Counsel for all parties have read -19- 2 < I approved the language of this Agreement. The language of this Agreement shall be construed as a whole according to fair meaning, and not strictly for or against any of the parties. 4.5 As used in this Agreement, "persons" includes natural persons, corporations, partnerships, joint ventur and any other entity. 4.6 Whenever in this Agreement the context so requi the masculine gender shall be deemed to refer to and incl the feminine and neuter, and the singular to refer to and include the plural. 4.7 This Agreement may be executed in counterparts shall become effective when all parties have executed and acknowledged at least one counterpart and counterparts executed and acknowledged by all parties have been delive to counsel for the parties. 4.8 The titles of the various articles of this Agre are used for convenience of reference only and are not intended to and shall not in any way eniarge or diminish rights or obligations of the parties or affect the meanir construction of this document. -20- > 3 I IN WITNESS WHEREOF, the parties hereto have set thei hands and seals as of the day and year first written abov GROVE APARTMENTS INVESTMENT a partnership By : Its: H.F.H., LTD. By : Its: HARRY J. L. FRANK, JR. BERNARD CITRON TRUST By : Its: FRED A. BARTMAN, JR. MARITAL TRUST UNDER THE WII WILLIAM S. BARTMAN By : Its: -21- $ 9 + 2 .I i I RESIDUARY TRUST UNDER THE F WILLIAM S. BARTMAN By: Its: ODMARK DEVELOPMENT CO. a corporation By : Its: THE CITY OF CARLSBAD By : Its: APPROVED AS TO FORM AND CONTENT: SIDLEY & AUSTIN By : Howard J. Rubinroit Attorneys for Grove Apartments Investment Co.; H.F.H., Ltd.; Harry J. L. Frank, Jr.; Bernard Citron Trust; Fred D. Bartman, Jr.; Marital Trust under the Will of William S. Bartman, Residuary Trust under the Will of William S. Bartman Vincent Biondo, Jr. City Attorney, City of Carlsbad -22- L .I * t z L PETERSON, THELAN & PRICE By : John Thelan, Esq. Attorneys for Odmark Development Co. HJR187A -23- , i. Bo t < ASSIGNMENT OF ODMARK RIGHTS Gz& c G$ , t *. 1 3 < 1 PEW I TTED EXCEPT IONS (a) that certain Preliminary Title Report assued by First knericr Title Insurance Company, dated as of June 12, 1986 (Ordex NO. 900394-2); and, Exceptions numbered 1 through 11 and 1s a5 discl~sedl in (b) Exceptions numbered 1 through 9 as disclosed in that. certain Prelirr,inary Title Report issued by First American Title Insurance Company, dated as of June 12, 1986 (Order No. 925612-1). gf%Lt D %J9-&2 bmaL P '? *- A ' I EXHIbXl € RELEASED ACRELYISTS 1. A Contract for the Creation of a Lien for Payment for PLlblic Improvements, dated January 2'I, 1981, executed by the city c Carlsbad and Grove Apartments Investment Company, recorcled January 30, 1981 as File No. 81-030961 of Official Records. 2. A Contract for the Creation of a Lien for Payment for Public Improvements, dated January 278 1981, executed by the City of Carlsbad and Grove Apartments Investment Co. 8 recorded February 10, 1981 as File No. 82-041815 Of Official Records. 3. A Contract for the Creation of a Lien for Payment for Public Improvements, dated January 27, 1981, executed by the City ob Carlsbad and Grove Apartments Investment Co., recorded February 17, 1981 a5 File no. 81-048012 of Official Records$ EX l%wd (chCm+ 4LLt.h dLqp4. J 75 'kE 16 t c; b I h EXHIBIT €01 LCSL'b'ED AGPI:E?'XKTS An Agreement regarding proposed roadways, dated October 1977, upon the terms, covenants and conditions contained therein. EXECUTED BY AXD BETLCEN: GROVE APARTICNTS 1hl'ESTKEI;T CC). WUR COKSTRUCTIOK CO. RECORDED: ?!arch 20, 1978 as File No. 78-10eS9i of OffJc Records. Modification of the 1977 Agreement between a2jacent land owners, dated October 26, 1977, executed upcc the terns;, covenants and conditions contained therein, recorded October 16, 1978 as file No. 78-440517 of Official Recor A Second Kodification to 1977 Agreement between adjacent owners, 8ated November 3, 1982, executed upon the terms, covenants and conditions contained therein, recorded November 24, 1982 as File No. 82-363510 of Official Reco: my E I %* mu C+$ RA,tk, dehLpl-C. ) k '? 5 A ' PLSTIRC B*?.!!I, LtD., 8 lialttd prrtnerrhlp, 88 to a8 UDdiVfBd ODPthiPd (l/IIJI inl CLC1L.E CITRON URRUR, 80 Truetee Of the ttwt ertrbPtchcd oodar tk 1 w CITRON, decea8ed, 88 to 8n UbdiVidd one31xtb (1/6) intereat; 111 L. ?BARK, JI., a urrird ma a@ hjr oole and reparate property,, 88 rrdirfded OOP8iXkb (1/6) interert; nroI A. bUW, 511, 8 married IYO OOXC 8bd $eprrte property, 88 to 8n arrdiatdgd @aerlrth (1/6) $aterc!rt; 1 8I trurteer under the haft81h hurt ertrblfrhed wader the Vi11 of rylU WtnrUO, dece.aed, 80 to an undivided one-tuelftb (ln2) interart; f; 88 Tm8t.e. undtr the Irrldurl hrt ertrbltrbed under the Yd1l of IUIU Urn, Ieetrmd, aa to an undivided onctnlftb (1/12) interest WW, no, ROBPU Bo Mltl)(AR, taOwAs F'UD OAlllWp and yILLu)o $e MRIW URW, JI., ROW B. MRW, f%o)(As ?RED BUM 8DU UILLIAM $e MRW 6hkb- F 4 JCQ& &LUm. 1 t 4 vi k It I 1 COLLINS RELEASE 5iL4M t &a A Jo-p”l?le/ll I I T 4 * AGREEMENT FOR SETTLEMENT OF DISPUTES AND MUTUAL RELEASES THIS AGREEMENT is made and entered into this - day May, 1987, by and between Grove Apartments Investment Co. ("Grove"), H.F.H. r Ltd. ("H.F.H."), Harry J. L. Frank, Jr ("Frank") , the Bernard Citron Trust ("Citron Trust") r Fre Bartman, Jr. ("Bartman"), the Marital Trust under the Wil William S. Bartman ("Marital Trust"), the Residuary Trust Under the Will of William S. Bartman ("Residuary Trust.") of the foregoing hereinafter sometimes referred to col.lec as the "Grove Parties") I Collins Development Corporat.i,on ("Collins"), and the City of Carlsbad ("Carlsbad"). I FACTUAL RECITALS 1.0 This Agreement is entered into with reference t the following facts: 1.1 Grove is and/or previously was the record owner a portion of certain real property locate6 in the County San Diego (the "Grove Parcel"). I I I T 6 + 1.2 For purposes of development, the Grove Parcel WE divided into sub-parcels A, B, C, D, and E, all as reflect on the Master Plan of Development, approved by Carlsbad or about March 3, 1970. 1.3 Grove Sub-parcels B and C have already been devc loped. Sub-parcels D and E have the following acreage, wl Grove previously intended to develop with residential uni as follows: D 16.085 acres 130 units; E 27.675 acres 240 units; 1.4 The partners of Grove and HFH, Ltd. are the: rec owners of certain real property located in the County of Diego ( "Parcel F") . 1.5 In order to develop and/or cause the developmer Parcels D, E, and F, Grove entered into an agreement witk Odmark Development Company ( "Odmark" ) , which, as from tin time amended (the "Odmark Agreement"), provided for 'the E to Odmark of Parcels D and E, Parcel E being comprised of sub-parcels E and E Prime. All of Odmark's right, title, interest in, to and under the Odmark Agreement are hlerei! referred to as the "Odmark Rights." -2- f \ I 1 1 I 1.6 Odmark has assigned certain of the Odmark Right Collins, and Collins has or claims to have certain rights claims against the Grove Parties and Carlsbad in connecti with the Property, the Odmark Agreement, and/or the Odmar Rights, all of which rights or claims are herein- after referred to as the "Collins Rights". 1.7 As of July 10, 1986, Grove, H.F.H., various of principals of each, and City entered into an Agreement fo Purchase and Sale of Real Property, pursuant to which, on November 4, 1986 a ballot measure was submitted to th.e vo of Carlsbad regarding, among other things, the acquisitio the Property by the City. slightly less than the 2/3 affirmative vote required and not approved. Such ballot measure received 1.8 Thereafter Carlsbad determined to acquire th Property in lieu and/or under threat of condemnation, and purchase and have assigned to it the Odmark Rights (inclv the Collins rights), provided it obtained the requisite v of the registered voters within Carlsbad authorizing or approving such acquisition. 1.9 Carlsbad caused a ballot measure ("Acquisi't:ion Ballot Measure") to be submitted to the voters of the Cit a special election held on March 3, 1987, which Acquisitj -3- t 1 I 1 1 i I Ballot Measure was approved, acquire the Property and the Odmark Rights for cash. and which authorized Carl.sbac 1.10 Odmark, Collins and certain of the Grove Pis:rti< have filed an action in the San Diego Superior Court, cent: Odmark Development Company, et al. v. City of Carlsbad, e' which is Civil Action No. N 36215 in said Court (herei:n- after Civil Action No. 36215). 1.11 As of May -, 1987, Grove, H.F.H., various of 1 principals of each, Odmark, and Carlsbad entered into an Amended and Restated Agreement for Purchase and Sale of RI Property (the "Restated Agreement"). 1.12 It is now the desire and intention of the G,rovc Parties, Collins, and Carlsbad to compromise and resolve i of the disagreements and disputes which exist or may exis. between them arising out of the foregoing, including t,hos( which caused the filing of Civil Action No. N 36215, and also to resolve certain other matters. Pursuant to arid in accordance with this desire, and in consideration of the promises and releases contained herein, follows : the parties agree -4- 8 'I I I r I1 DISMISSAL OF LITIGATION AND RELEASES 2.0 Collins and those of the Grove Parties who are plaintiffs therein hereby agree to file a Request for Dismissal with Prejudice of Civil Action No. N 36215, ea1 party to bear its own costs. 2.1 Collins does hereby release and absolutely dis the Carlsbad and the Grove Parties, and each and all. of of and from any and all claims, demands, damages, debts, liabilities, accounts, reckonings , obligations, costs , expenses, liens, actions and causes of action of every k and nature whatever, whether now known or unknown, 5juspe or unsuspected, which Collins now has, owns, or hold:; 01 any time heretofore ever had, owned or held against Car! and/or the Grove Parties based upon or arising out of ar matter, cause, fact, thing, act or omission whatever occ or existing at any time to and including the date h,. (=reo1 connection with their ownership of and/or rights and/or attempts to develop Parcels D, E, and F including, but limited to, the Odmark Rights and the Collins Rights (a which are hereinafter referred to as and included withi "Released Matters"). -5- 1 , I 1 1 2.2 Carlsbad and the Grove Parties, and each and a1 them, do hereby release and absolutely discharge Coll.i.ns and from any and all claims, demands, damages, debts, lia lities, accounts, reckonings, obligations, costs, expense liens, actions and causes of action of every kind and nat whatever, whether now known or unknown, suspected or unsu pected, which the Carlsbad and/or the Grove Parties now k: own, or hold, or at any time heretofore ever had, owned c held against Collins based upon or arising out of any mat cause, fact, thing, act or omission whatever occurring 01 existing at any time to and including the date hereof in connection with the ownership of and/or rights and/or attempts to develop Parcels D, E, and F, including, Ixdt I limited to, the Odmark Rights and the Collins Rights (all which are hereinafter referred to as and included witlhin "Released Matters"). 2.4 It is the intention of the parties in executinc this Agreement, that this Agreement shall be effecti,ve a! full and final accord and satisfaction and general mutua. release of and from all Released Matters, except only as otherwise expressly provided in this Agreement. In furt! ance of this intention, each of the parties acknowledges it is familiar with Section 1542 of the Civil Code of th' State of California, which provides as follows: -6- s t I I "A general release does not extend to cla: which the creditor does not know or suspect to exist in his favor at the time of executin'g thc release, which if known by him must have mater: affected his settlement with the debtor." Each of the parties waives and relinquishes any right or benefit which it has or may have under Section 1542 of t: Civil Code of the State of California or any similar pro' sion of the statutory or non-statutory law of any oth.er jurisdiction to the full extent that it may lawfully wai all such rights and benefits pertaining to the subject m of this Agreement. In connection with such waiver a.nd relinquishment, each of the parties acknowledges tha.t. it aware that it or its attorneys may hereafter discover cl or facts in addition to or different from those which it knows or believes to exist with respect to the subjec:t m of this Agreement or the other parties hereto, but that its intention hereby fully, finally, and forever to sett and release all of the Released Matters, known and unknc suspected or unsuspected, which now exist, may exist:,, ox heretofore have existed, between them. 2.5 The parties hereto each warrant and represent the other that it is the sole and lawful owner of a:l:L rj title and interest in and to all of the respective 1321ei -7- x I , (r Matters and that it has not heretofore, voluntarily, by operation of law or otherwise, assigned or transferred or purported to assign and transfer to any person whomsoever Released Matter or any part or portion thereof, or anby cl demand or right against the other. Each of the parties s indemnify and hold harmless the other from and against: an claim, demand, damage, debt, liability, act, reckoning, c gation, cost, expense, lien, action, or cause of action (including payment of attorneys' fees and costs actua1.ly incurred whether or not litigation be commenced) basad on in connection with or arising out of any such assignment transfer or purported or claimed assignment or transfer. 111. BENEFICIARIES 3.0 This Agreement is not for the benefit of an:y PC who is not a party signatory hereto or specifically immec beneficiary in this paragraph. Agreement and the releases contained herein shall ex,tlend and inure to the benefit of, and be binding upon, in addi to the parties hereto, just as if they had executed Chis Agreement: the respective legal predecessors, successor: assigns of the parties; each and every entity which now i ever was a parent or subsidiary of Collins; the respecti7 The provisions of th.i.s -8- I 1 1 * 3 past and present officers, shareholders, officials, direc' partners, employees, trustees, beneficiaries, and attorne' of the parties and/or of each such parent or subsidiary entity, and their respective legal successors and assigns and each of the foregoing. IV. GENERAL 4.1 This Agreement and the releases contained herei affect the settlement of claims which are denied and disp, which are contested, and nothing contained herein shall b construed as an admission by any party hereto of any liab of any kind to any other party. Each party expressly den that it is in any way liable or indebted to any other par 4.2 This Agreement constitutes and contains the ent agreement and understanding concerning the subject matter between the parties, set forth all promises and inducemen made by any party to any other party with respect to a.ny the subject matter, and supersede and replace a11 prior negotiations, proposed agreements or agreements, writt.en oral. Each of the parties acknowledges to each of th.e ot parties that no other party nor any agent or attorney of -9- , ) 3 I < z other party has made any promise, representation or wa,rra whatsoever, express or implied, written or oral, not cont herein concerning the subject matter hereof to induce execute this Agreement, and each of the parties ackncwled that it has not executed this Agreement in reliance c~rt an promise, representation or warranty not contained hexein. it 4.3 Each party acknowledges to each of the other: parties that it has been represented by independent legal counsel of his own choice throughout all of the negotiati which preceded the execution of this Agreement and that i has executed this Agreement with the consent and on the advice of such independent legal counsel. acknowledges that it and its counsel have had adequa'te opportunity to make whatever investigation or inquiry the may deem necessary or desirable in connection with tlne subject matter of this instrument prior to the execution hereof and the delivery and acceptance of the considlerat: specified herein. Each party fur 4.4 This Agreement and any other documents referrec herein shall in all respects be interpreted, enforced anc governed by and under the laws of the State of Californii applicable to instruments, persons and transactions whicl have legal contracts and relatlonships solely within. the State of California. Counsel for all parties have rebad , -10- 4 t f b approved the language of this Agreement. The languaqe: of this Agreement shall be construed as a whole according tc fair meaning, and not strictly for or against any of the parties. 4.5 As used in this Agreement, "persons" includes natural persons, corporations, partnerships, joint ventui and any other entity. 4.6 Whenever in this Agreement the context so requ: the masculine gender shall be deemed to refer to and inc: the feminine and neuter, and the singular to refer to an( include the plural. 4.7 This Agreement may be executed in counterparts shall become effective when all parties have executed ani acknowledged at least one counterpart and counterparts executed and acknowledged by all parties have been deliv to counsel for the parties. 4.8 The titles of the various articles of this Agreement are used for convenience of reference only and not intended to and shall not in any way enlarge or ciimi -11- I t 9 the rights or obligations of the parties or affect the meaning or construction of this document. IN WITNESS WHEREOF, the parties hereto have set thei hands and seals as of the day and year first written abov GROVE APARTMENTS INVES'I'IYENT a partnership -- By : Its: -- H.F.H., LTD. -- By : Its: -- -- HARRY J. L. FRANK, JR. BERNARD CITRON TRUST -- By : Its: -- -- FRED A. BARTMAN, JR. MARITAL TRUST UNDER THE WI! WILLIAM S. BARTMAN By : -- -- Its: -12- I I 1 4 3 RESIDUARY TRUST UNDER THE W OF WILLIAM S. BARTMAN -- By : Its: -- COLLINS DEVELOPMENT CORE'ORA a corporation -- By : Its: -- THE CITY OF CARLSBAD -- By : Its: -- -13- 1 ) 1 ? b APPROVED AS TO FORM AND CONTENT: SIDLEY & AUSTIN By : Howard J. Rubinroit Attorneys for Grove Apartments Investment Co.; H.F.H., Ltd.; Harry J. L. Frank, Jr.; Bernard Citron Trust; Fred D. Bartman, Jr. ; Marital Trust under the Will of William S. Bartman, Residuary Trust under the Will of William S. Bartman Vincent Biondo, Jr. City Attorney, City of Carlsbad By : Attorneys for Collins Development Corporation HJR187C -14- I * (I 1. First ce c 41 1 IW STRCET * P.Q. BOX 808 0 $AN DIEQO, CA 821 12-9531 e (818) 238-1776 \ FACSXMILE COVER LETTER ?LEASE DELIVER THE FOLLOWf'NG PAGES TO: -I '* . > KCik newec WE ARE TRANSMITTING A TOTAL OF /(3 PAGES INCLUBXNG THXS COVER 9 nwnrpa f DATE: Ob& TIME; g.2a CLIENTIMATTER: &so , Gmge T.eP 'YOU DO NOT RECEXVE ALL THE PAGES, FLEASE CALL BACq AS SOON a$ ~O,,$SIBL,E. FOB YPJUR FUTURE REFERENCEI OUR TELEPHONE NUMBER IS: XEROX zoo (AUTOMATIC) (619) 231-4466 7 @ --. . j TdCc d~, 900394-2 .PCfOW No, 94453% W .6Pf'l No. WEN RECORDEO MAIL To: :iky of Carlsbad 1200 Elm Avenue Wlabad, CA 92008-1989 4th: Vhcent P. Biondo, E%+ e -- pk B6CUMENTARY TRANSFER PAX $,,, ,,,... n ............. .ill.lll..t.ll,v+ ,..,., Cornputrd an the cOIl8fdW8ti6fI or VPh of property I:anrryed ,,,,,, Computed en thb conoidsrrtion or value IC8 tldnd or rnsumbfi MAIL TAX STATEMENTS ?ONE-- rbmainlng at tlmr el MI@, Sipnprure of Elw\rtmt or Agrnt datrrtnlnlnp tax - F lrrn t4ri-h . --- -- GRANT DEED FOR A VALUABLE CONSIDERATION, receipt of which Is hereby acknowledged, a,F,H, I ~m., a caifc)m-& d PartmrsMp and FIED A. EiAFfWW, 5R., a mrrid nws as his SO~R and separate p~xpert J.L, FRANK, JR,, a marrid man a6 his sole and separate property and CTEILF: C, (C:l:TE# AN, TWSm of the BEKNARD CITKN TRUST established under the Will sf krnard Citrm, 1 Rereby QRANTM to ;iIm OF WSW, a Municipal capration .it," real property in the City of Carlabad Rxtions of Lats 8 though 25 and 33 b Hosg Eucalyptus Forest Cwys' Tract NO. 1, City of Carlsbad, County of San Diego, State a€ California, acmrdhg to Map thereof N filed in the Office of th County Recorder of Sa Diego Cgmty, Yune 8, 1908, and as m particularly described on t.he cunplete legal description attached hereto and made a PC XIS CONVEvAfiJCE IS MDE SuBJE@r To ALL MRITERS OF RECURD. md FRE;D A, BARXWI JR., TRUSTEE of the WIUM 5, EUXRTWW MW-ITAL WST est&liahd I Jill of William S. Bwtman, I3ecease-d and FWD A. BARDlW, 3R. I 9RWTEE of the TddIW,XA?4 i! WIDW' WST establish& under tk~ Nil1 o€ William S. Bartman, kceased , State of California, descri County of san Diego Oatad---. May - 26 -...L,-.--- 1987 , . , -6 SEz $Iwm PAGE A- m31Q AI A PART mREm* -- STATE OF CALlFORNlA CbUNW OF-+.- on-,, - - __- - - -- - . -- sonally eppaerad. _._- A -_- personally knowp to roved to ne on lhvr baeie 01 8atideeto,iy w\thir! iil$trumas +in~qtis&csi t3 me that k~/shefibey grtacuiad tthh an*a riav ?Vbi"C. FiRf.TI.1 ram0 a ,, ... . *NATURE PAGE ,I * v ic, RED A. BARTMAN, JR. %--TJ--j2?7&*#**--*-- RRRY .&/. FRANK, JR. P $iG;Y/.&& *--*-----*"--- --.wmd--*---- I,,, - -9 8: 6 &*azG -----I--- - i"'$// - .PTyI-- e-+-- ~ITRQN) XILE I SARTMAH, Trustee Of THE SRNARD CXTRON TRUST && :::.c J &Zi*&.+b/ ' ...- A- I - - .. 3 - 1 - - - - - -* - - -, - - - - - - -/ - - - * \ED A. BARTMAN, JW., Trustee gf THE LLLIAM $, BARTMAN MARlTAL TRUST [ED X, BARTMAN, JR., Trustee '&LIAM 5, BARTMAN4 RESTOVARY TRUST f THE ._-.- .I- . .. , ,-,. ~ .._- _- . --. -,,-,-"'.' -.---' ss3 .I 1 STATE QF CAL~I:~RNIA LOS ANGELE~ v 26, before mc, On Ihe undvrsikncd, a Notsry public in ilnd rar skri~ COUW an' ''at'* bert R * G.e.tz perrPnaLy sppcarcd-. Ro mcrroi>i\i\y know 14 mr. to wirhi" hc ,,,~ ,,,#tri,;;Lf&;;, gcncrel pdr,ncr(r of thc iirnitcd pnrtnefdhip Ihi't (''at such cxceulcd pirrt1rs7s1'ip thc 1987 i CoUPI'TY OF 13 pro~~cd ," n,e QI, ,hc hnfiis trf r:ltisfuclory cvidcncc+ pxcClIIcd 1h1: 3147 %ptihc..& t . B.*.S-- N~,,,,~ t'iyltt4i or I'rinwd) .--. N61nry public in arj~ ttrr $;kid CLNI~~Y and s';*'C FOR NOTARY SEAf- OR sTAL'p .Zc R ''ATE OF CALIFORNI~ CoUNFYotr. Lm ; ibS. .-. -------A-L. i 'bar*re me. the url&:s;gned, EI N 44 +32m ----I--_.__ ----------+b- ---------cIc.q-__- On ' &&Y a,, FJ) ---------qh.-.3--h- -----__--~~_-________________ aei' 'toin, pi!rsorraily appearsd --------_&---- OfW PmJc in end !OF .-. . .. .. Fm A* -4 ~---?-7-~-~7 ---, m~-~ ?--------- .. .. ._ .---.-__ , - ---.-,":?. . . .. -----____, -----b----qq --+---** ---------__ .-----____--~___________________ ---.----L_ , I I- ,>I >j.L.21-r.>.L.i . . --e _--. _... ....... ftCV BY:>:~ft~;,: TELEI-TJPIE~, 7010 ; 6- 2-PT 8:22AP1 ; e' ._. TL3f&?w$mA //"iSql2 bCJ >n V~U,IFM ,belor0 mo, the undar$rgtiwd. a Notary i in and !or Y---Y--~~-31---*--~-~-~---~---~------~--~------~--~~--~~ I --~~-~-------~,------~--~---~-----.------~---------~~--------~--~- L--~---.------~--~~I-~----------~--~~--~---*~~ ~11- ersonnlly known 10 1n6 (or prc)v@d to tm O~I the basis of satis- ctorrevldeme) lu he lPepr:rs6ri#)i~hosonanielflisRCddial;h- xibed io \tie wltthri insirument and achr~owledped fo ma ttlai my uxectiieci the mme. ' TNI.SS my hnrirl $111 Hic! seal. ~nahr~ /fJ-?!?( d d $!nie. PflrStXl;llly ilppOdr& w cL. FRANK, ~.-l---lp----~--~~~--a-- .......... ... .... ._ ...-.- --.___ ...... r ._ ........... (This nrea far official nptarlal 8epl) g, Jc#$$e-&-l sg.7 STATE OF CALI ORNiA 169. COUN OF .& 6.g- On %A. (W, fTn said S\a\e, p$dl;l~~y appeared. . cE]Cru cm m,, TRUSTEE t I &&foro nt% the undersiflneu, a Notary Public in and for I--* ..... .- .. .- I ,- -. --~-----4--l--~--l-----~--~--------~--~--~--~ ,y-l.-- --l-~--~-----Y-------~~--~--~-------~~-~--~--~--~----~, ---a--m-------g~-------~---~----~--~~----------~---~-,----- ..... - .... ~ _-,__._. .. ...- .,. ..-_... __ ... ...-. . ..___-.._. . 3ersfillalIY kfrown Io me (Or Proved 10 ink! 011 !he begis bf satis. nctory WICWWOI \O t>r? the persang) w~iofi~: rlillllc~g is/xcsub. chLX?d 10 tho wllhiii irlstrllrrletll nnb ;ichildc<j& to l,,c! lllnt PE/sllc?/)(PMr:xri!l.I(otl t!ltl SGIme, VITNESS tt>y hikiut y& r~ # Q ticia1 fJllal urEf': I, (This rea tor diicInI notarial seal) SCH/z&8C-C COUNTY OF. &&i~ e N + c+ ccq ,l On *?X, ,I 7~7 ,befar0 ma. the undbraigned. a Notary Publtc in and for .-----ab--- Said State, porsntMlfy ::ippertred Fm A* m, JR, I muSm8 ....- - ,_._ -, .... -n--=---~--L-----~l-~--IC-1Y---,~--~-~-----------------~---.---~*-, --~--~---a--~--~o~--~------c--~---~~-~--~-.-~~--~~-~~~- ----~.--~--3y--l---------------------~--,---,--.-~------~--~---,~--- ..... ~ ._.-_._._ ... . " .__. -,- -...,. ...... ,_.. ... .._.-. . 3arsonally hbwtj la nio !or roved to nic on tiw bmlb 01 satis- nclbry evident81 ttr bv I~O pE:rsm(#whoscr nan)e(&s{&sub. XrihQti to Ihe Withi:\ inslrcrrnent find acilnowicdyed 10 me that 1c/- &xeclll(ld lhB 9RI7lB. YITtVESS my ha!Jy& B. SCWREIBER N3XW Pil3LLC . CALiFORNiA FZiNCfPAL OiFJCC It4 LUS AI:SELES COUNTY Kg Con;r,i%ian Erp. Mw, 17, 1989 [Thla wee for offlciai notarial am!) ilgnaturs , (l %, LC= Pb/&</ 085- pi?¶, STATE OF CALII'OIq IA 1 0 hotore nle, thy ul;&rsigned, a Notary Publie in and for $--YY411I21-- &ut eW9-m tinid --~~-~ state, pi rdon~~~~y ;\tWafed 1 - L__l_______r_______*-------m~~-----~~=u---mM-~-- ..._...- ---... *y y--------~--------~---~---~~=um~-~--6=m-- ,I _,___--..--.. -~-~ -- , __-__-_~______-_-~-------~~~~~~----~--~~---- ____..__ __i.'..-r I . . I ^-I- "' .- CO"NlVfi7 00 ?..Gt f 7& ~m A* -r m,t TRUSTEE .. ._ pei30ns~,y known 10 me (or proved to 11~ PI ~h* bas's 0' "ti" rnctolyevltjencel lotleihe personmwl1oso t~l11~~i~~~~~'- , Sc,.ib(!d IQ !ha w;tl,jn Iils!iumefit and ~~ckl~~wlod~~' '0 ftlt? "lnt \,c,mexaieub?d the BamB. WITNESS my hiirtj wT/x,:I (This a<pgj for QffiClE! nfi1&fla! Boe'i Slgnsturg, . ' d . .- .- ....... ,= g,JC&5e cJ/ i.7 c- *b (II+ ' UCAL DESCRIPTLW ORDER Nb. 900394-2 The land referred tq hsfcfn iR $ituated in chesdtste of California, CQUnLy sf: San bllegb, and ie doocribad dcr fdfQws: QARCEL l< Porriana of Lote 8, 3, 10, 11, 12, 13, 14, 15 4rd 16 in Hosp Eucalyptus Forest Comppdy'~ Tract Noa 1, in the City of Carlsbad, County of Ssn Diego, Stst~e of California, according to Map thereof No. 1136, filed in the Office of the C:oenty Recorder of Ban Diego County, June 8, 1908, deacmibd aa follower: Coremeacing at the Southeast corwt af said Xt~ct, thence dal0a.g the East line of said Tract Hotth Oba$Q'20" Eaat, 2263.66 feet, said psiat &$rag South 00'5bI20" West, 414.74 feet frm the Weer: Quarter cormf of Section 32, Township 11 South, hinge 4 West, $an Ber'natdino Ba~e and Meridian; thance Norrh 89*118'10" kre~t:, 4$,07 feat to the True hint of Beginning; eaid pcjine being bn B non-tiingent: curve Coilcave Southaosterly and having a radiua o€ 310,UO feet, a rradisl line ea eaid point bare North 4381,4'53ii Wmt; thenee SQU~~WCS~~S!~~ ala eaid c:urve 305.23 feet, thence North lO"19'07'' Weat, 374.05 feet; thenee Hoath 79"410'53' Eaet, 272.00 feet; thence North 02a01'30'' Weet, 699*18 deet to a paint on rt non- tangent curve CORC~LY% Sauthweeterly end having a rwdiusr of 761.50 feet, a irrrdial Itnet to said point bare North lOb0B'5l'' Eaat, thence Southeasterly along; uaic curve through w centrd angle of 03'23'09" an arc dlatsnee of 45.00 feet, tt'lenct tangent ECJ said curve South 76*30'oiOit hat, 350.95 feet, thence North i ,QO toot;; tkncc South 7bb30'00" East, 339.00 feet; thence South 350.00 feet; tiwenee Soutl 06"51'59" East 261.11 feet eo the True Point of Beginning, Excapriizg therefrom that portisn described BB fOi1OW8: Commencing at the Northeasterly corner of Carlabad Tract No. 77-2, Unit No, 2 accord$% to Map tharcsf No. 9813 filed in the Office of the County Recorder ol eaXd Sara Diego County, September 26, 1980; thence North l"0r'lO'' Emt, along thr EaBtetly line 0% wid Hmp Eucalyptus ores st Company'e Tract No, lr 843*48 Eaet; thence North 89'11'20'' Went, 46.07 feet to the True Point of Beginning and thl beginning 5f B aon-tangant curve, concave Soutkaoeerly sIBd having a r6diiu o 310.00 feet; thence Southerly dong said curve through %i cantrsl angle Q 41"32'50" an arc diatance of 224,79 feet; thenec leavdn$ @aid curveo Hart' 89*11'ZO" Weat, 30,085 feet: to the beginning of a nowtangent curve, conc~v Southeasttrly and having B rediue of 340.00 feet; thence Ncrtherly along sal. curve through ei central angle of 45"35'15" and arc dietante af %70152 feet tknce leaving said curve South 6'45'09'' Eaet, 36.41 Been: t6 the True Point o Beg inn$ ng II L~u+*.& 4...*u c~Irt WA~U VT* rJ'fd"ReBc JJ~ IIL n;eeri cnence bcutfi 5 Y 'Z3'VB" Weat I t i, LB 0 e I. 0' LEG& DESCRIPTION ORDER 1J0, 900394-2 PARCEL 2 Portions of Lpta 8, 9, 10, 16, 17, 18, 23# 24, 25, C~enon Street am3 sf Eucrlyptusl Street in Hasp Eucalyptus Forest CPrnpany' B Tract No. 1 I in the i:i&y Of Carlsbad, COllgltY Of Sen DiQgO, State Ob California, hlL!Cording to Map hh~!r:eof Me. 1136, filed in the Office of the County Recorder of Sari Diego County, ;\ME 8, 1908 deecribed 88 follows: Commencing at the most Southwesterly curner of Lor 25 in said tract; rhlance dong the Southwesteriy line of seid Lat 25 North 23'27'45" West, 195.QQ ftiet; thence North bS"30'20" EP8tB 380,4l feat to the Ttue Point, of Beginning; chr3ncr North 18"09'47" Went, 40.89 feat to the beginning af a tangent CLITVB COIICBV~ Northcustarly and having a radius of 1042.00 feet; thence Northwesterly d~~oq said cofve thnr a central angle of 14'35'28'' an arc dietansc of 265,33 !:{ret; thence tdngarnt to said curve Narth 03"34'35" Mast 94 ,02 feet to the begiiinlng OL a tangent curve concave Southwesterly and having B radiua of 458,OO feet;, tlwnce of 178,34 feet; thence Pangent to Bald curve North 25"53'13" Mest 189,20 feet kc the teeginning of a tartgent curve concave Northeasterly and having a r6idI.ue 01 1942.00 ftec; chance Nerthweaterly along said curve thm a central t3,rqI.e~ oj 10*17'57" an arc distance of 187.30 feet; thence tangent to said eurve or el 15'35'16" West, 108161 fset to the beginning st a tangant curve CQ~C~V~ Southweaterly and Raving a radius of 20a00 feet; thence Northweoterly along gait curve thru B c~~tsa], angle of 88"1#'48" an arc distance of 30,82 feet co a p~fn NortbW68ketly d.oK# said Curve thrU & Centled tiFglc Of 22"18'38" mfi BTC <~~Bk$nC6 @f CUSP With & CUWC CQRCOVB HOrthWe!$terly 6d having & radiu5 of 8318.:rO, , rsdial, line to said point of cwp betare South 13'52'04'' Esat; thenci Northeasterly dong ths lase mentioned curve thru 8 rentrai rarglc of 0L443'12' an arc distance of 25.17 feet; thence tangent to mid curve North 74'24'44" €as 160,OO feet. to the hginnf~tg of a tangent cuma conczive k4orthwssrerl.y and haviq a radiure of 838.50 feet; thence Northasterly dong said curve thru 8 centra angle of 13'24'44'' en arc dfatanca of 196.28 feet;; thence tangent to said eurv, North 61'00'00" h8t, 174.31 feat to the beghniw of B tingent cutye CQ~CBVI Soucheaeeerly and having & radium of 761,50 Pttt, thence Eeaterly alitzqs faaic curve Lhru I central. angle OP f9*06'51" an BTC distance of 518,83 feet; :h,enct South OO*Q1'31)'~ Easrt 699*16 feet; thenee South 79*4OsS3" Nest, 272 .flC feet thence South 10'19'87" -East ?1?4,05 feet; thiZPlCe! South 48'30'20'' West, 541 194 feet. tQ the True Point Of Beginning, Exceptit;g therefrom an 84 f~ot wide strip 0% lad, 42,OO feet. each side of th f o?,l~wing deecribcd centerline: Commencing at a point 00 the Wsetesly line of said Lot 25 dtatanr thereon No~t 23'27'45" West, 195.00 feet from the Southweer corner thereof; thence I.eslvin said Veeterly line North 68'37'14" East (r%cor:d North 68'30'28'' East per deed 402,52 feet to khe True Poiat of Begisniqg; th8Rcc North l8'03'Of'' Weet, ZI8.5 feet; to the ixtginrtirrg of 4 tangeat curve, ~O~CPVO Eaeterly end hariir3 a wdiu of lOOU.OD feet; tkncc fisc& said curye 'through ~f central awls of 14"35'2?1" B arc dirtanct of 254.64 feet; thence tangent to aaid Curve Netth 3'27'44'' Ue5E 109.90 feet to the beginning ~f B tangent curve, concave Westerly 3rd htnvtng rediua of 800,OO feet, thence dung said curve through I ceearrd .asgla o ! 0 a .. LEGlrL DESCRIPTlON ORDER NO. 4100394-2 25'22'30'' an arc dlatance of 354-30 fcer; thence tangent to eafd curve North 28*40' 14'' Weat, 106 .b9 feet t~ the beginning of a Earngent eur~e concave as terly and having a radiue of 800.00 Lees; thence &.OX aaid curve through B central angle of 13'21'49'' an arc dietance ~f 18b.59 feet; thence North 13"28'25" WC'BE, 30.00 feet more or leas to the Southesly right: of way line of Marson Road, The rJidalines of said 84 foot wide street 8Rdl germinate with ZO.00 foot rad,iue rtturns at said Southerly right of way line of Marron Woad, PARCEL 3 Portions of 'Lot8 22, 23, 24, 25 and of Eucalyptus Street In Hosp Euca1,yptue Forest Coolparry's Tract: Ne. 1, in the City of Carlsbad, County of $an Iliepo, State of Cdifbrnia, 8~~0rdiM to Map thereof No, 1136, filed in the Office of rhc County Recarder of Saa Diago CQU~Y, Juae 8, 1908, described WB f0110w~: Camencb~ at. the moat Southweattrly corner of Lot 25 in said tract; I:trr:nce ml.~tig the S~~thWe6t~~ly line of Mid Lot 25 North 23'27'45'' Weet 195,bO Ilriet; thence North 88'30' 20" Ea8 t 360 -4 1 feet; thence North 18"Og ' 57" Wee t 40,851 feet to the beginaiag of a ixngcnt curve concave Nortkaeterly end having er r~dkucl of 91*38'58" an arc distance of 30.00 feet to the Ttua Podnc of Beginning; r:henc~ continuing aloag eaid curve through, a central angle of 12"56'24t' an arc cl113i:rimcc of 235.33 fact; thence: tangent to eaid curve North 03'34'35" West 94,02 firet: tc the baginning of u tangent curve co~cave Souehweaterly and having 8 radiu~n at 458,OO feet; thence Northwesterly along said wrva through a central Rqle of 22*18'38'' ad ate distance of 178.34 feet; thence tangent to %aid Curve Nortt 25'53'13'' West 189.20 fees to the beginning of a ~angenmt curve ~(~1141~~0 Northeasterly 5nd having a radius of 1042,OO feet; thence Norrhwearetly dorq said Curve through a central angle of 1O817'5?" wn arc distance of 187 ,30 feet; thence tangent to said curve North b5*f5'16'f West 108.41 feet eo the bsrginniry of a rengent curve concave Southwesterly ad having a radiue of 20.0D .feet; thence Northrtestefily al~plg said curve through a cen&ral angle of 88"16'4&"' ai arc distance a€ 30.82 feet to a point of rcavdltee curve ~5n~avc I4ortherJ.y ant hsving 8 rsdiua of 838,50 feet; thence WeEItarlgr aloq said revel.ere curve th!raUg\ a central EII.~~ of 32'08~52" an arc dietsnce of 470Af feet; thence Souti 07'34'20" Welat 213.72 feet; thence South 64'59'00" East 268,29 feel;; these1 SoutR'25*53'13" Eaet 590.00 feet; thence South 6b"45'50" Eeer 330,26 feet: to tht True Point of Beginningd Gxccptlty therefrom on 04 foot wide strip of land, 42,00 feet each eide of thr fd1oUiIIg daactibtd centerline: Cmmeficing at: a point on the Weorerly line of ssfd Lot 25 dieEsnt thereon Nstt; 23"27'45" WerPt, 195 do feet from the Southweet Corner thereof; thence leaviq said U~i~terl:f line brth 68'37' 10" East (record North 68"30'28" East per deed 402+52 feet: to the True Paint of Beginning; theace North !8*03'0f" Weel:, 38S feet trs the beginning gf 61 taFgcnr curve, concave Easterly ad having JB radiu of 1QOO,bO feet; thence dong said curve through 8 central angle of 14*3!5'23" a atc dietrnnce of 254,64 feet; tRenc0 targene to said curve North a'27'44'' Weat 109.90 feet to the beginniQ of a tangent curve, tancave We8terl.y &rd ils~ring 1042.00 feet; thence NoPthwcstcrly dong Eaid curve through p9 central e~;lei of 4 i 0 e LEG& DESCRIPTION ORDER NO. 930394-2 rediue Q€ 800.00 feat, thence do% asid curve through tl, central airglit of 25*22'3Q" &a arc dL8cance of 354.30 feet; thema tangent to said CUSY~, No'rth 2tS05Q' 14" Uee t, 1Qb,19 fact to the bgiinning of a tanggene cillt"va CO~CBV~ Ese terly and haviq a radius Of 8#0*00 feet; theme dciq eaid curve thrQugh 8, ct!n,e.ral awl4 of 13*21'49" ~n BPC distance of 186.59 feet; thence N~rth 15"28'25" t;fgiBt, 30.0D fect m6re Qr ]Lee8 to the SoutherPy right of way line Of Marron Road, The eidelinee of said 84 foot wide: street ahall terninate with 20.00 foot ~:adtiut returna cat said Southerly right of way line of Masron Read, ja/t:d z 1 1 a 0 LEGAL DESCRLPTIOS ORDER NO. 92,5612-2 The lend referred to herein ie aituatcd in the State of California, County sf $an Diego, ar?d is Beecribcd as follows: PARCEL I: Those portike of Lata 19, 20, 21, and 33 and of Eucalyptus Street in HQSP Biega, State of CalLfarn%a, aCCDrdiRg to Map thereof No. 1136, filed in the Offkc of the County Rccordcr of San Diego County June 8, 1908, described 88 follawr: Commencing at: the Sautheast Corner of said Lot 20; thence along the Eastexly lint3 thereof, Korth (?6"58'00" East 278*08 feet to the TRUE POINT OF BEGZWING; ehence South 70'28'24" West SO5.81 feet; thence North 89828q~oO" West 213.74 feet to a point on B nan-tangent 462,52 foot radius curve eoncave Northweaterly, ti radial lint of which beare South 49*22'30" Eaet to said point; thence Nortkaastetly al~g the arc of said curve through a central angle of 05'24'55", a diatnnce of 43*72 feet; thence tangent to said curve, North 35"12135" et 449.44 feet to the beginning of a tangent 490,60 foot r&dius curve corlca.ve Ssuthcastar1y; thence Nartheasterly along the arc of said curves ehrou,gh a central angle of 37*47'39*, a diitance of 323.22 feet; thence tangent to saSd curw North 73°00'14" East 111.94 Peet to the beginning of a tangent 20,OO foot radius curve conc~vc Southwesterly; thence E88terly and Southeasterly alcmi, the arc of eeid curve, through a central angle of 86'4Q'30", a distance of 3Cl.26 fd~r te the beginning of a rweme 842.00 foot radius curva Cot~ca.ve Northeaeeerly; thence 8outheaeterly along tho arc of said curve, through a central rangla of 24'45'QO*, a di8tance of 363 e72 feet; thence South 44'55'4.4" West 151.50 feet to w point which bear8 North 70"2$'24" EasC from the TRffE, I'Ct1:MT OF BEGINNING; thence huth 70"28'24" Weet 69.19 feet to the TRUE POKN'E OF BEGINHXNG EXCZPTTNG THEREFROM thoge portions lying Northeasterly of the Southwes ter1.y line of aaid Ertcalygtue Street. PARCEL 2: Thoat portians of Lot@ 19 and 20 in HOSP EUCALYPTUS FOREST COHFAHY'S TRAL@l: NOS I,, in the City of Carlobad, County of $an Diego, State Of CdLfQrnla, sccol:dj.ng to Msp thareof No, l,136# filed in the Office of the County Recorder of Sari 13Jbr:g;a County, June 8, 1908, deercribad ae follows; EUCALYPTUS FOREST COMPANY'S TRACT' NO, 1, in the City Of Carlabad, County [sf Ssn RCl,)B'T;xEROx TELECOPIER 7010 ;6-2-87 8:26At" J..tGAL DESCR.IPTIon ORDER NO.925612-2 61923i4666.-:l 24070;l:*10 Beginning at the Southeast corner of sdd Lot 20;thence along the Southerly line of said Lots 20 and 19,Notth 89°29'00"~est 781.61 feet to a point on a non-tangent 462.52 foot radiu8 C\,1r\fe concave N01'thwesterly,a radial line of which beats South 29D16'lOR East to said point;thence Northeasterly along the arc of sdd curve thl'ough a central angle ot 20°06'20"a distance of 162.30 feet;thence South 89'29'00"East 213.74 feet;thenc.e North 70°28'24"East S05.81 feet to an intersection with the Easterly line of said Lot 20;thence along said Easterly lina,South 06°58'00"West 278.00 fMt to the Point of Beginning. PAJ.CIL 3z Thoae portione of Lot,19,20,21)and 33 of Eucalyptus Street in HOSP EUCALYPTUS FOatST COMPANY'S TRACT NO.1)in the City of Ca~lsbad,County of San Diego,State of California,according to Map thereof No.1136 filed in the Office of the COUMy Reeotder of San Oiego County June 81 1908,described 88 followlI~ Commencing at the Southeast cornel'of said Lot 20;thence.along the Easterly lina th"t'Mf;North 06'58'00"East :17S.00 feet to the TRUE POINT OF BEGINNING; thence South 7002B'24M West 505.81 feet;thence 89°29'00"West 213.74 feet to a point Ort a non~tan8ent 462.52 foot radius curve COnCave North~esterly)a radial line of which bears South 49°22'30M Esst to said pOint;thence Northeuterly alona the arc ot add curve)through $.centt'al angle 05'124'55")a distance of 43.72 feet;thence I:$.ng$nt to said curve,North 35°12'35"East 449.44 feet to the beginnins of a tangent 490.00 foot t'sdiuA curve concave SOlJtheasterly; thence Northeast!!i:rly alone the arc of said cut've)through a c:entt'al tingl$of 37'47'39"a distance of 323.22 feet;thenee tangent to said curve)North 73'00'14"East 111.94 feet to the beginning of a tangent 20.00 foot radius curve concave Southwesterly;thence Easterly and Southeasterly along the arc of said curvet throush a eentral angle of 86°40'30"a distance of 30.26 feet to the beginning of a re.verse 842.00 foot radius curve concave NortheuterlYl thence Southea~terly along the arc of said curve through a central angle of 24°45'00", a d1stance of 363.72 feet;thence South 44·55'44"West 161.50 feet to a point which bears North 70'28124"East from the TRUE POINT OF BEGINNING;thence South 70028'24"West 69.19 feet to the TRUE POINT OF BEGINNING. EXCEPTING THEREFROM those portions lying Southwesterly of the Southwesterly line ol A~1d !uc:alyptusS~reet. mr/adm y I e e r -:* c AMENDED AND RESTATED AGREEMENT FOR PURCHASE AND SALE OF REAL PROPERTY THIS AGREEMENT is made and entered into as of this& of May, 1987 by and among the parties identified as Sel.lei on the signature page hereof (herein collectively "Sell-er' The Odmark Development Company, a California corporation (herein "Odmark") and the City of Carlsbad, a municipa:L corporation (herein "city"). WITNESSETH WHEREAS, Seller is the fee owner of certain parcels property in the City of Carlsbad known as Parcels D, E, E and F, each of which parcels are more particularly descri Exhibit A attached hereto and by this reference made a pz 'hereof. Parcels D, E, E Prime and F are hereinafter some collectively referred to as the "Property"; WHEREAS, Grove Apartments Investment Co. and Odmark entered into that certain Agreement for Purchase arid Stall Real Property and Escrow Instructions, dated as of May 3 1985, which was from time to time amended (the "Odmark Agreement"), and which provided for the sale to Odrnark o Parcels D, E and E Prime. All of Odmark's right, 'cit1.e , 0 0 '. .- .* - I interest in, to and under the Odmark Agreement are herein- after referred to as the "Odmark Rights"; WHEREAS, Seller and City each are parties to that certain Agreement for Purchase and Sale of Real Property dated as of July 10, 1986 (the "Purchase Agreement"); WHEREAS, pursuant to the Purchase Agreement, on November 4, 1986 a ballot measure was submitted to the vo of the City of Carlsbad regarding, among other thinqs, th acquisition of the Property by the City. Such ballot mea received slightly less than the 2/3 affirmative vote requ and therefore was not approved; WHEREAS, given the closeness of said vote, the City nevertheless determined to acquire the Property upon the threat, and in lieu of, condemnation of the Propert:y, and purchase and have assigned to it the Odmark Rights, provi i.t obtained the requisite vote of the registered voters within the City authorizing or approving such acquisitfion WHEREAS, the City caused the Acquisition Ballot Meas to be submitted to the voters of the City of Carlsbad at special election held on March 3, 1987, which Acquisj.t:ion Measure was approved by receivlng a majority of the votes therefor, and which authorized the City to acquire the Pr -2- .. 0 0 .e - arid the Odmark Rights for cash and for the "Purchase E'rice hereinafter defined) ; and WHEREAS, Seller and City desire to amend and restate entirety said Purchase Agreement solely in accordance witk terms hereof. NOW, THEREFORE, in consideration of the mutual pi:oirni~ covenants hereinafter contained, and for other good and vi consideration the receipt of which is hereby acknowletlged, parties hereto agree that the Purchase Agreement is hereb) amended and restated in its entirety as follows: 1.0 Purchase and Sale of Property - Assignment. ___- i3tmd - Acceptance of Odmark Rights. 1.1 As used herein, the term "Property Cl.o;se 01 Escrow" denotes the time at which Seller's deed conve.ying to the Property to the City is recorded. 1.2 City hereby agrees to purchase, and Selle: hereby agrees to sell, the Property, and Odmark hereby ag: to assign, and City hereby agrees to accept, the Odniark: Rights on or before July 3, 1987 on the terms and subject the conditions hereinafter set forth. The purchase price the Property and the Odmark Rights (the "Purchase Price") shall be $6,457,834.55 if the Property Close of Escrow oc -3- .- a 0 : - on or before June 2, 1987, and $6,572,934.55 if the Proper C:Lose of Escrow occurs after June 2, 1987 but before ,July 15387. Subject to Section 3.0 hereof, the Purchase Pri.ce shall be payable in cash, or by certified or cashier's che through Escrow and shall be disbursed as follows: To Sell $5,755,000.00 if the Purchase Price is $6,457,834.55, or $5,870,100.00 if the Purchase Price is $6,572,934.55; to Otlmark, $702 , 834.55. Upon the Property Close of Escrow, Seller shall immediately remit to Odmark the sum of $2:25,( representing the amount of all deposits previously pa.it9 to Seller by Odmark under the Odmark Agreement. The City hereby acknowledges that it shall have no right or c1a.im t ainy of such deposits. 1.3 All parties hereto shall execute and delive t'o Escrow an Agreement for Settlement of Disputes and 1Yut~ Releascs (hereinafter the "Release Agreement") in the forn Exhibit B attached hereto, which Agreement shall be bi:ndir and effective upon the Property Close of Escrow. 1.4 Odmark and City shall execute and deliver t Escrow an Assignment of the Odmark Rights in the form of Exhibit C attached hereto, which Escrow shall deliver to t City upon the Property Close of Escrow. -4- ~ ._ 0 0 n- 1.5 Not later than five (5) business days fall ing the execution hereof, Seller, City and Odmark shall. o an escrow ( "Escrow") with First American Title 1nsuranc:e Company ( "Escrowholder") and shall deposit with Escrowhol fully executed counterparts of this Agreement for u:;e as Escrow Instructions, together with Escrowholder's usual. fc of supplemental escrow instructions (if any) for transa.ct: of this type; provided, however, that such supplemental. instructions shall be for the purpose of implementing t:hi Agreement and such instructions shall incorporate this Agreement by reference and shall specifically provide tha, provision thereof shall have the effect of modifying this Agreement unless it is so expressly stated and initialed c behalf of City, Seller, and Odmark. By such deposit:, Escrowholder is hereby authorized and instructed to act ir accordance with the provisions of this Agreement. Seller, City, and 0dmar.k shall each deposit such other instruments documents and funds as are necessary to effect the clwe c escrow in accordance with the terms hereof. 1.6 The parties hereto acknowledge and agree tk: t:he Revised Stipulated Judgment by and between Seller and City dated September 9, 1986, (the "Revised Stipulated Judgment") is and shall remain in full force and effect pending the Property Close of Escrow, and that, thereafter tlne rights of the parties hereto thereunder shall terrninat -5- . ._ 0 0 .- e.xcept as expressly provided in paragraph 2.6 of the I?elez Agreement (Exhibit B) . The parties acknowledge and agree that, upon the Property Close of Escrow, the so-called "Si Still Agreement" by and among the parties, dated Ju1,y 10, 1986, shall automatically terminate and be of no further force and effect as to the rights of any party heret,o 'con- cerning the Property. 2.0 Policy of Title Insurance. 2.1 At the Property Close of Escrow, Seller sh( furnish through the Escrowholder, at Seller's expense, a ( Standard Coverage Owners' Policy of Title Insurance for t! Purchase Price (excluding the amount allocated to the Odm Rights) from First American Title Insurance Company insur title to the Property vested in City, subject to those matters ( "Permitted Exceptions") identified on Exhibit D hereto, and the lien of taxes not delinquent. Seller bel that it will be able to deliver a title policy at the app priate Close of Escrow in accordance with the requirement hereof. If, however, the title company shall be unwill-in issue such policy in such condition, City may waive the discrepancy and close this transaction in accordance with terms, or object to the discrepancy, in which case 'the tr action (and all of the City's obligations hereunder) shal terminate, and Seller shall not be liable to City f,or dam -6- . J. 0 e 'r. 2.2 Real property taxes and assessments shall 1 aid by Seller through the Close of Escrow based on the la1 tax information available to Escrowholder. Escrow shall notify the County of San Diego that the Property has keen to a public entity, and shall request cancellation of any real property tax or assessment obligations which otherwi; would be required from and after Close of Escrow. Seller shall convey title to the City in and to the Property t31y grant deed; provided, that such grant deed shall rec:ite t: it is made subject to all matters of record and the Permi Exceptions. 2.3 City shall pay one half of the Cost of E:sc and Odmark and Seller shall each pay one quarter. !;ell.er shall pay the Expense of any local documentary taxes. F.ecording and other miscellaneous costs and expense:; shal be shared in accordance with tYe custom of the E:scrowholder. 3.0 Exchange of Property. 3.1 The parties identified herein as Seller ha owned the Property (other than Parcel F) as partners of a partnership, and own Parcel F as shown on Exhibit F. l?ri to the Property Close of Escrow, Seller has caused or wi1 cause such partnership to distribute the Property to the respective Sellers so that the transactions contemplated -7- - I. 0 0 .I - hereby will take place at the individual partner 1eve:L. Accordingly, each individual partner is a separate Se:L:ler even though it is agreed that the respective closing w:ith each of the Sellers are to be concurrent and conditional 1 one another. In addition, each Seller shall have th.e :rig1 as to his interest (or any portion thereof) in the Froperl to elect to cause the transaction as to such interest 'or i such portion(s) to close as a "tax free exchange" pursuanl t'o the provisions of Section 1031 of the Internal RE. venue Code. In the event that any such Seller shall elect; to ci the transaction to close as a "tax free exchange", City ai s,uch individual Seller agree that no such exchange Ejhall delay any Close of Escrow hereunder; and each Seller agrec that the City shall be indemnified from any expenses or cc which may be incurred in connection with such exchange. 4.0 Condition of Property. 4.1 City acknowledges that nc?ither Seller nor Odmark, nor any of Seller's or Odmark's employees, agents representatives have made any warranties or representatio: concerning or regarding the suitability of the Property f' construction or support of structures of any type, its us a1 public recreational facility, or for any other purpose use. -8- . e. 0 0 .I - 5.0 Representations and Warranties. 5.1 The City hereby represents and warrants to Seller and Odmark as follows: 5.1.1 City has the full and lawful power a.uthority to enter into this Agreement and consummate the transactions contemplated hereby and by the Acquisition Elallot Measure. 5.1.2 The City has completed the required environmental documentation in compliance with the Ca.l.:tfo Ehvironmental Quality Act, relative to the acquisit:icIn of E'roperty, and the City's Planning Commission has made! the requisite finding relative to the acquisition of the PICOP pursuant to California Governmental Code Section 65,4CG! .. 5.1.3 The City has no present intention t develop the Property other than for park and/or ope:n Ejpac purposes. 5.2 Odmark hereby represents and wai;rants to Seller and City as follows: 5.2.1 Odmark is a corporation duly orgiani and validly existing and in good standing under the l-aws the State of California and has all requisite corporate F ;and authority to enter into this Agreement and to cai~y c the transactions contemplated hereby. 5.2.2 All necessary or appropriate cor:por acts and procedures required for authorization, execu'tior -9- - r 0 0 .. - delivery of this Agreement by Odmark have been lawfully ai properly taken. 5.2.3 Other than an assignment to Collins Development Corporation ("Collins") , Odmark has not ass,igi (a) the Odmark Rights and/or Odmark Agreement, or (1)) a.ny claims that it may have under, arising out of, or in connection with Odmark's attempts to develop the Property and/or the Odmark Agreement, and/or the Odmark Rights. 5.3 Seller hereby represents and warrants to t: City and Odmark as follows: 5.3.1 That as to that portion of the Prop1 other than Parcel F, and subject to paragraph 3.0 above, it is a general partnership organized and existing under laws of the State of California, having its principal pia' of business in the County of Los Angeles, California, and authorized to execute this Agreement on behalf of Selle-. 5.3.2 That those persons identified as Se have among them persons with the full authority necessary fully and completely convey all right, title, and interes Parcel F to City. 5.4 All representations and warranties contain i.n this Agreement and any of the Exhibits hereto made by of the parties hereto shall survive the Property Close of Escrow. -10- - -. 0 0 .. 6.0 Rescission of Government Actions, Dismissal of ---- - Litigation, Assumption of Liabilities, Indemnities, ---- and - Release of Claims. 6.1 Seller, Odmark and City hereby agree that, upon the Property Close of Escrow, City shall rescind the actions and decisions of the City Council of the City c:er' ying a Final Environmental Impact Report concerning the proposed development of the Property, and approving a Gent Plan Amendment, Land Use Plan, Site Development Plan, z:on( changes, and Master Plan amendments concerning the Proper which were and are the subject of a referendum petition ( "City actions and decisions"). 6.2 Seller, Odmark and City shall, upon the Property Close of Escrow, each release any claims it may have against any other party hereto with regard to any of City actions and decisions. 6.3 Seller, Odmark and City hereby agree thalt, upon the Property Close of Escrow, Seller and Odmark shal: file a Request for Dismissal of Civil Action No. N362151, entitled Odmark Development Company, et al. v. City _- of Carlsbad, et al., each party to bear its own costs. -11- - c. 0 0 ,. - 6.4 Seller, Odmark and City hereby agree to execute the Agreement for Settlement of Lawsuit and R.e:l.ea a.ttached hereto as Exhibit H, and hereby authorize their a.ttorneys to execute and cause to be filed a Request for Dismissal Without Prejudice of the action entitled "Friends of Hosp Grove, etc. v. City of Carlsbad, being C Action No. N35426 in the San Diego Superior Court. 6.5 Upon the Property Close of Escrow, City sh execute and deliver to Seller and Odmark concurrently wit the close of such Escrow, a general release of Sell,er i3nd Odmark and of their agents, employees and partners (i.n th form of Exhibit B) from any and all claims, losses or der of any kind whatsoever arising out of or connected .wi.t:h t c:ondition of the Property previously or hereafter exi.stin occurring upon the Property or unsuitability of the €'rope for any use, and hereby agrees to hold Seller and 0dma:rk harmless from any such claims, etc. brought by a purc:hasc user of any of the Property from City, except any cla:ims, etc. arising from any negligent acts of Seller, Odmarlr OX their agents. 6.6 Odmark agrees to indemnify, defend and :ho1 Seller and the City, or either of them, harmless from anc against any and all claims, demands, suits, loses, damage 'costs, expenses (including attorneys' fees), and 1iab:ilit -12- c 0 0 .6 - which may be imposed on, incurred by, or asserted against Seller or the City, arising out of or in connection w:tt:h c based on Odmark' s breach of the warranties and representa- t:ions contained in paragraph 5.2.3 above, and further agre to obtain from Collins and to deliver to Escrow an Agreeme and Release in the form of Exhibit G attached hereto. 6.7 City hereby agrees (a) to release and disc1 Seller from any and all of the obligations of Seller under the agreements identified on Exhibit E hereto, and (b:) to assume and fully and timely perform all of the ob1igal;Lon: Seller under the agreement identified on Exhibit E-1 heret 7.0 Miscellaneous. 7.1 Attorneys' Fees. If either City, Seller OL Othark commences an action against the other to enforce ar of the terms of this Agreement or because of the breach bq City,. Seller or Odmark of, or any dispute concerning, my the terms hereof, or if Escrowholder commences any actLon with regard to the Escrow, the losing or defaulting party shall pay to the prevailing party (and to Escrowholder in ciase of any action by Escrowholder) reasonable attorneys' fees, costs and expenses incurred in connection with the prosecution or defense of such action. -13- - .- 0 0 ,* - 7.2 Notices. All notices, deliveries and tle:mar of any kind which any party may be required or may desire give or serve upon another shall be made in writing and sk be delivered by personal service or sent by registered or certified mail, postage prepaid, return receipt requested, the address of that party set forth below: If to City: City of Carlsbad 1200 Elm Avenue Car 1 sbad , California 92008- 1'389 Attention: City Manager With a copy to: Vincent F. Biondo, Esq. City Attorney City of Carlsbad 1200 Elm Avenue Carlsbad, California 92008- 1!3!39 Attention: City Manager If to Seller: HFH, Ltd. 10738 W. Pic0 Boulevard Suite 3 Los Angeles, California 90064 With a copy to: Sidley & Austin 2049 Century Park East, 35th l?loc Los Angeles, California 9006'7 Attention: Howard J. Rubin.ro:it, and John Bartman 9601 Wilshire Boulevard Suite 810 Beverly Hills, California 902:lO If to Odmark: Odmark Development Company 1747 Hancock Street, Suite B San Diego, California 92101 With a Copy to: Peterson, Thelan & Price 530 "B" Street San Diego, California 92101-4454 Attention: John D. Thelan, Esq. -14- 0 0 ~ .- ,a - Any such notice sent by mail shall be deemed to have been received by the addressee on the fifth business day afTt:er posting in the United States mail unless actually received earlier. A party may change its address by giving the oth parties written notice of its new address as herein :pr:ovid 8.0 General Provisions. 8.1 Effect of Waivers and Consents. No wai.ver default by any party or parties hereto shall be implied fr any failure or omission by a party or parties to take any action on account of such default if such default per,;'. = I :3ts is repeated, and no express waiver shall affect any td€tf:iaul other than the default specified in the express waiver, an that only for the time and to the extent therein stated. or more waivers of any covenant, term or condition of this Agreement by a party or parties shall not be constru,ecl to a waiver of any subsequent breach of the same or any c)t:ker covenant, term or condition. The consent or approval by a party or parties shall not be deemed to waive or render unnecessary the consent to or approval by said party ox: parties of any subsequent or similar acts by a party ox: parties. 8.2 Modification of Agreement. This Agreement be amended, modified or changed only by a written inst:mme signed by City, Seller and Odmark. In the event of any -15- ~ .- 0 0 .- conflict between the provisions of this Agreement arid any subsequent escrow instruction, as such may be amended fro1 time to time, this Agreement shall control as between Cit? Seller and Odmark unless the escrow instructions expressl. state that this Agreement is being amended thereby and sa escrow instructions are signed by City, Seller and Odmark 8.3 Construction of Agreement. The language i all parts of this Agreement shall be in all cases constru simply according to its fair meaning and not strict:Ly for against any of the parties hereto. Headings at the begin of Sections and Subsections of this Agreement are solely the convenience of the parties and are not a part 0.E this Agreement. When required by the context, whenever the singular number is used in this Agreement, the same shall include the plural, and the plural shall include the sing the masculine gender shall include the feminine and mute genders and vice versa; the word "person" shall inc-lu.de corporation, partnership or other form of association; an the words "City", "Seller" and "Odmark'' shall include the respective heirs, personal representatives, successors an assigns, if any, of them. 8.4 Choice of Law. This Agreement and the tra action herein contemplated shall be construed in accordan with and governed by the laws of the State of California -16- . -. a 0 .a applicable to instruments in all respects made, delivered, and to be performed solely within the State of Califoirnia. 8.5 Merger of Prior Agreements and Understandir __- This Agreement, the Revised Stipulated Judgment, and the Exhibits hereto and thereto contain the entire understandi between the parties relating the purchase of the Property assignment of the Odmark Rights and all prior or contempox aneous agreements, understandings, representations and statements, oral or written, are merged herein and shall 1 of no further force or effect. 8.6 Further Acts. Each party, upon the requesl the other, agrees to perform such further acts and to exec and deliver such other documents and instruments as are reasonably necessary to carry out the provisions of this Agreement. I- 8.7 Severance. Should any portion of this Agreement be declared invalid and unenforceable, then sucl portion shall be deemed to be severed from this Agreement shall not affect the remainder thereof. 8.8 Rule Against Perpetuities. The transactioi contemplated hereby must be consummated, if at all, withii the time permitted by the Rule Against Perpetuities, -17- . -: e e no including modifications thereof, currently in force in tht State of California. 8.9 Incorporation of Exhibits. Exhibits A thrc H are hereby incorporated into this Agreement as if set 01 i:n full at the reference thereto herein. 8.10 Memorandum of Agreement. Subject to the flollowing sentence, City shall not record this Agreemznt ( a:ny evidence hereof. However, at the request of City, Se: a:nd Odmark shall execute a memorandum with respect t,o thi; Agreement which City is hereby authorized to cause t.o :be recorded in the Official Records of San Diego County. Suc memorandum shall not change or otherwise affect any of tht o:bligations or provisions of this Agreement. 8.11 ExecutS on in Counterparts. This Agreement be signed in counterpcrts with the same effect as if all parties hereto had signed the same signature page. All counterparts shall be construed together and shall c:onsti' one Agreement. Any signature page of this Agreement: :may 1 detached from any counterpart without impairing the legal effect of any signatures thereon, and may be attached to another counterpart identical in form thereto but having attached to it one or more additional signature pages. - 18- . A: 0 e -4 r ,. 8.12 Effect of Agreement to Purchase Price. Cit agrees that it will not argue in any legal or eqyitab:Le proceeding between it, Seller and Odmark, or any of them, that Seller's and Odmark's agreement herein to the Puixha~ Price (as it relates to both the Property and the Odmark Rights, respectively) , or Seller's and Odmark's execution this Agreement is evidence of the fair market value of the Property or of the Odmark Rights. 8.13 Limitation of Remedies. It is hereby agree that other than as a result of the City's failure to purck the Property at the Property Close of Escrow and/or to pal tlne Purchase Price specified herein, no party hereto :shall have the right to recover or seek recovery of damages .fron tlne other by reason of any breach or default by such. othei party of any of the terms of this Agreement, and tha.t the sole recourse for any such breach or default shall be to seek non-compensatory relief , including, but not limited 1 by way of writ of mandamus or prohibition, dec1arator:y r'elief , injunctive relief , specific performance, contempt, similar remedies. 8.14 Purchase Agreement Superseded. Upon the fi execution of this Agreement by the parties hereto and the delivery of this Agreement to each party, this Agreement I automatically supercede the Purchase Agreement; the P'urchi -19- ‘. 0 a *_ e Agreement shall be of no further force and effect; and Sel City shall be relieved of all obligations under the Purcha, Agreement - 8.15 Survival. The representations and warrantit contained herein shall survive the Property Close of Escro\ IN WITNESS WHEREOF, City, Seller and Odmark: :have executed, or caused this Agreement to be executed by t:wir authorized officers, agents or representatives, as of the c year first above written. GROVE APARTMENTS INVESTMIIIVT C a partnership I fL I -/ y ’I / v -_- H.F.H., LTD., a CaliforxLa 1 <- .J Its: General Partner 24 $2 6 BERNARD CITRON TRUST ’- ,’- /G: J./,[f,-* / ( 1 2. ,ty~;&& --__.. /< i-”-’c - YT --?--- I By: I ,v ,J I_ ---? __ ~ . --__ Its: /&’[-/&/ &/-: /,svtL-; ,7k( ++’,$ , \a- LL;c”~I-- ,)d -- ~--- FRED A. BARTMAN, JR. /”’ ’ -20- *-. a e I e* MARITAL TRUST UNDER THE WIL WILLIAM S. BARTMAN --- RESIDUARY TRUST UNDER THE W OF WILLIAM S. BARTMAN J/ {- * 1 -r- Bp J L L- d L zL /&L/C - L A -L-- - - ---7)- Ll -- -/ --- Its: 1 /i c/,3-/ L!L /-r --- THE ODMARK DEVELOPMEN'PC. P By : Q?GL<z- --- Its: 7 a?23/436Px~~ --- John Thelan SIDLEY & AUSTIN Howard J. Ehbinroit EIJR187B -21- ’, -, 0 0 .. - ii%&d @4&A fl$pLWdr &?ui.tnffA OJ &m,& $ D,/!!,E @uA)d B- ld”uk >‘ “AX &4w-f c - T,hql.henc;t $ ckh-W.L&. D - J3,dd. &+ 4 @b&Lbf 3 E thh-ccd hgl..ununb El OUja. /hmJ f 0m+ Q fd /= 6 ul%l &v d \e &uz, - i5RLhc;t 1 --@ %“tl.hipm w (F sc 2 -&@ m* $&dF 3 Il<bLumnzo GA 6 & CLQ kL&J ?P- - 7nO-A &r?c kjyu.m?* V%Pc C SGmU 2. CSU‘U Uhrmntt 0 0 *> -> .. Lk .4 h-.bl L$iiL!md 4 ! I . 2-- , 0 0 .. EXHISIT A PARCELS E, E and E PRIME LE G .:-i 3L S C P I FC I 0';s CVuintr A 0 a 'I '. Ttt JE-c' rtfrrrc: tc tcrcrr 15 E:~L~!z? ir ttc Stctt r! Ci:jfcrr,je, ('cL-1 :E: T-cg:. E.TC ,c c1:-:-:<: is ::--cL$ PARCEL 1 Iortjons of Lots 8, 9, 10, 11, 12, 13, 14, 15 and 16 in Rosp Eucalyptus TI Corpanj's 7rscr Kc. 1, ir. the City of CbrlsCaC, Cour.ty of Sar Diego, Stat California, accordinr to Rap thereof KO. 1136, file? in the Office of the c Recorder of San Diego County, June 6, 1906, described 85 follovs: Coamencing at the Southeast corner of said Tract, thence along the Eaist lil said hact fiorth 00'56'20" E86t, 2263.66 feet, 6aid point being South 00"51 West, 111.74 feet froo the West Quarter corner of Section 32, Township 11 s Bange I Uest, San Bernardino Base and Ilerldian; thence Worth 89*18''10" 16.07 fEet to the ?rue Point of Beginning; said point being on a DDipta cuwe concave Southeasterly ad having a radius of 310.00 feet, a radid u1 raid point bears Worth 43'14'53" West; thence Soutbvesterly along #;aid ! through a eentrd angle of 41'33'00" an arc dirtance of 221.81 feet; t leaving said curve North 89'18'10" Yest 557.72 feet; thence South 61"25'08" 305.23 feet, tbeDCe llorth 10'19'07' West, 374.05 feet; tbence krth 79'4 hSt, 272.00 feet; thence North 02'01'30" West, 699.16 feet to a point on a tangent cuirwe concave Southwesterly axxl having a radiw of 761.50 feet, a r line to said point bears North 10'06'51" Last, thence Southeasterly t~long cave through a csotrd *I@? of 03'23'09" an arc distance of 45.00 feret, t tangent to said curve South 76'30'00" East, 350.95 feet, thence North 1.00 thence South 76'30'00' East, 339.00 feet; thence South 350.00 feet; thence 06'51'553' East 261.11 feet to the frue Point of Beginning. hcepting thercfrm that portion dewrlbed as follow: Commencing at the lortheasterly comer of Carlrbad hact No. 77-2, &Lit W. according to Hap thereof No. 9813 filed in the Office of the County 1La:orde raid San Ddego County, September 26, 1980; thence North 1.01'10' East, ulon Easterly line of said Eorp Eucalfptus Fortrt Ccrmpany'c h8Ct 830. 1, tM3.48 thence North 89'11'20' Ve6t, 46.07 feet to the True Point of beglnniiy; an beginning of a oor~t8ngcot curve, concave Southeasterly ad bavi~g a radi 310.00 feet; tbence Southerly along .aid curve through a centrad ang 11'32'30' an arc dirtr~ce of 224.79 feet; thence Ieaviqg raid curve, 89'11'20' West, 30.085 feet to the beginning of a noa-tangent curve, ea Southeasterly ad having a radius of 340.00 feet; tbeacc krtherly riloqg tume through a centra 8ngk of 45'35'15- ad 8rc distance of 270.52 thence leiwing mid curve Soutb 6'45'03" &st, 36.41 feet to the TXw! Poi btginnlng ,n 5 9 . .. - a e .& FCFCfL 2 fort1cr.s of LC~E E. 5, I(, ;C, 17, I€, 23, 24, 25, CERGC Strrri fucalyptus Street In BOSF Luci3)pptus Forest Coupany's Trect ho. 1, In of Carlsbad, County of San Diego, State of Califorcia, 8ccordlQg to Ita NO. 1136, filed In the Office of the County Recorder of San Diego Corn 6, 1908 described 86 follovs: CanencinE at the most Southvesterlp corner of Lot 25 In said tract along the Southvesttrlg 11~~ of sald Lot 25 Korth 23'27'45' Uest, 1S15b4 thence horth 68'30'20' East, 360e41 feet to the True Point of Begfnnlirig Korth 18"09'57" %est, 40.89 feet to the beginning of a tangent cui-ve Northeasterly and having a radius of 1042.00 feet; thence Eorthwester rsfd curve thru a centrd angle of 14'35'28" 8x1 arc dl6tance of 2~~5. thence tangent to said curve North 03'34'35' Vest 94.02 feet to the bqgj 8 trngent Curve concave Southuerter~y 8nd h8ving a radfus of 4S8.00 feet Northvestclrly along raid curve thru 8 centrd angle of 22'18'38" 80 an: of 178.34 feet; thence tangent to said curwe North 25'53'13" Vest 189.2C the beginning of 8 tangent curve concave lortheacterlp 8nd h8ving 11 r 1042.00 feet; thence North-sterlp do% raid curve thru central 4 10'17'57" an arc distance of 187-30 feet; thence tangent to said rnlr 15'35*16" Yest, 108.11 feet to the beginning of 8 tangent ciurae Southvertcerly md hrving 8 radius Of 20.00 feet; thence Eorthverterllp d erne tbru central angle of 88'16'68' 813 arc distance of 30.82 feet to of cusp ivith a curve ~oucive Rortbveoterly and having a radius of 8: radial line to said point of cusp bears South 13'52'04' bet; Rortbersterly along the 186t Dentioatd cume thru a central angle of 0 10 arc distance of 25.17 ftet; thence tangent to said CU~E Rorth 74°,24'4 140.00 feet to the beginning of 8 bngent curve conc8ve Rorthvester11y i~nd 8 radlue of 838.50 feet; thence Rortheasterly do% 8aid curve thn~ 8 angle of 13'24'(,4' an arc distance of 196.28 feet; thence tangent t:o iBal lbrth 61"00'00" brt, 174.31 feet to the bepinniqg of a tdngent c:u!m Southeasterly ad boing 8 r8dfu6 of 761.50 feet, thence Ea6terl:y ado curve thim centrd angle of 39'06'51' ~II arc distance of 519.85 feet; South OOoOl'30' East 699.16 feet; thence South 79°40'53' West, 27'2.0 tbeoce South 10'19'07' LIst 374.05 feet; thence South 68'30'20' &st, feet to fthe True Point of Beglaning. Exccptlqg therefroo 10 84 foot wide strip of bnd, 42.0 feet each s:Lde folloviqg dercrfbed centerhe: brrrencilag at a point on the Uerttrfy lfoe of said Lot 25 dlstant ctbtreo 23'27'4S' Yecit, 195.00 feet frm tbe &x~thuest toner thereof; thence said Westerly Bine North 68'37'10" East (record Rorth 68'30'28' hist pi 402.52 feet to the true Point of Beginning; thence lbrth 18'03'07" IUert, feet to tbe beglonlng of I tangent tune, concave Easterly aad htrirqg I of 1000.00 feet; thence dosg said curve through 8 central .-le of 14'35 arc dlrtanct of 254.61 feet; tbeoce t8ngeot to uid cum brth 3"2'7'44' 109.90 $cet to the beglnniag of 8 t8ngtnt curve, concave Westerly 8~~l hc rdluc of 800.00 feet, thence along mid CuNe through a ceotrril 89 . -- . 0 0 25'22'3C' &r erc distsncr of 35S.3C fert, therct tanpert to said cur\€ .. __ -L kc$:, :tg .:5 fet: tr tLL ?tt-:-:r+ ti i ET^€:: CLT~~ ccr:k.z 1;s ar.C t.a\icE P radlut of 6C'C.K feet; tttr:ct 03cr.g rzid curve throulft. a ce aqle of 13"21'49' an arc distance of 186.S9 feet; thence Urth 15'2€'25" 30.W feet more or less to the Southerly right of way line of harron Road. rldeliaes of said 84 foot vlde street shall tereiaate vith 20.00 foot I returns at said Southerly right of uay line of Yarron Road. FARCEL 3 Portions of Lots 22, 23, 24, 25 en6 of EucelyFtus Street In Ho6;p E,ucd Forest Cm:pany's Tract bo 1, in the City of Cerlsbad, County of &en I State of C:allfornla, according to hap thereof KO. 1136, filed in the off1 the County Recorder Of San Diego County, June 8, 1908, descrlbed as follovs Caramenciag 8t the lost Southvesttrly comer of Lot 25 in said tract; t dong the Southvesterly line of said Lot 25 North 23'27'45" West 195.00 thence North 68"30'20" East 360.41 feet; thence North 18'09'57" Yest 40.89 to the beg$nnirtg of a tangent cum€ Concuve brtbeasterly and bsvlqg a t8dj lOb2.OG fret; thence Northwesterly along said curve through a centic.1 8ng 01'38'58' M arc distance of 30.00 feet to the True Point of Beginning; t continuing dong mid curve through a central angle of 12'56'24" an .IC dic of 235.33 feet; thence tangent to said curve North 03'34'35' West 94.02 fe tbe beginiiiq of tangent cume concave Soutbverterlp and having a rad1 458.00 feet; thence Northwesterly dong said curve through a centrill ang 22'18'38" an arc distance of 178.34 feet; thence tangent to said curve 25'53'13" Yest 189.20 feet to the beginnlug of a tangent curve ca krtheastctnlp rad having a radius of 1012.00 feet; tbcnce Rorthveibtarlp uid curve through 8 central 8qle of 10'17'57' 111 arc dlrtance of 187.30 thence tangent to raid =rue North 15'35'16- West 108.41 feet to the begi Of 8 tangarnt curve CODCt7e Southuerterly 8d h4Viw 8 r8dius Of 20.00 thence Norttuestarly dong raid cune through 8 central angle of 88"N6'4: arc distance of 30.82 feet to I point of reverse curve concave Iioritherlj bvilrg 8 r.dius of 838.50 feet; thence Westerly dong .aid reverfie CiUfvle tt a centril angle of 32'08'S2' an arc distance of 470.17 feet; throice 07'34'20" West 213.72 feet; tbcnce South 66'59'00' East 248.29 feat; t South 25'!53'13" East 590.00 feet; thence Soutb 66'4S'SO" East 330.26 feet t True Point of Beginning. Excepting therefra an 86 foot dde strip of had, 42-00 feet crch rlcle o following de ~ribcd center line: Wenciqg at 8 pint on the Westerly line of said bt 25 dirtant thettcoo 23'27'45" West, 195.00 feet frm tbe Southwest corner tbereof; thence le raid Westerly line Rorth 68'37'10' East (fccord Rorth 68'30'28' &st lser 402.52 feet to tbt true Point of Beginnlog; thence Bortb 18'03'07' Lkwt, feet to tbe kgidng of a went CIMC, toacavc Easterly .pd hvtqj r of 1000.00 feet; tbeoce dong said curve through 8 ecnttd angle of 114D35'2 ~YC dirtnnce of 2M.61 feet; thence trngent to 88id curve lortb 3'3!7''4d' ' 109.90 feet to the beginniqs of a t8Dgcnt curve, COOC~VC Uertenlp rid h8o -'cc-, . .. " -- . 0 e rsCius of E@Cl.GO fret, thence alonf said curve thtouf) a centrml ant r: i.'j<. E: E:; I:F:ET.;~ c! 356.3: ~CCI; tt.rrct tarit:.: tc ~~ie I;CTV~, ZE'5C'iL" Lest, 10t.14 f€tt tG th€ bqir,nfng of a tanEer.t cuft'c conce~t E&! and havlng a radius of 800.00 feet; thence along said curve through a Ct angle of 13"2l'L9" an arc distance of 186.59 feet; thence Korth 15'28'25'' 30.00 feet -re or less to the Southerly right of vay line of Wsrro:n Road. sidelines off raid 84 foot vide street rhall terminate vith 20.00 float 1 returns at sald Southerly right of vay line of Warron Road. ja/taf r-c-- _- e 0 .. EYAIEIT X-1 PXRtEL F LE c .:-: c r c c F I F 7 I c:: 9. # CYurniTA , . - , -- ~ -+ ---. , -- 0 0 - -. . --. c:-,-.. :.. . :& ..-- The land referred to herein is situated in the State cf Californi,a, San Diego, and 1s described as follows: PARCEL 1: Those portions of LOf6 19, 20, 21, snd 33 and of Eucalyptus Strehe EUCALYPTUS FOREST COa?PCLKY'S TRACT NO. 1, in the City of Cerlsbad, COUI Diego, State of California, accordlng to Yap thereof So. 1136, fl1 Office of the County Recorder of San Diego County June 8, 1908, cdcc f ollovs: Comencfng at the Southeast corner of said Lot 20; thence along thc line thereof, North 06°58'00' &st 278.00 feet to the TRUE POINT OF thence South 70"28'24' Uerrt 505.81 feet; thence North 89'29'00' Vert. 2 to a polnt on o nowtangent 462.52 foot radfur curve concave lorthw radial line of *ish bears South 49'22'30' East to .aid pc1f.n Bortbearterly dong the arc of raid curve through a central angle alf ( a distance of 43.72 feet; thence tangent to raid curve, Uortb :3Solj 419.14 feet to the beginning of taqent 490.00 foot radiur clum Southeasterly; thence Northeasterly aloog the 8rc of raid curve, central angle af 37°47'39', 8 distance of 323-22 feet; thease tringen curve lorth 73'00'14' East 111.94 feet to the beginning of a tangent 2 radius c:urve concave Southwesterly; thence krterly and Southeastlerly arc of raid curve, through a central angle of 86.40'30', 8 diatance feet to the begfantng of 8 reverse 842.00 foot radfue Iturve Uorthearterlp; thence Southe88ter1p along the arc of said curve!, 1 central angle of 21'45'00', a dirtance of 363.72 fzet; thence South West 16lL.50 feet to 8 point vhich bearr North 70'28!24' hsr from the T OF BEGINNXHG; thence South 70°28'24' Uert 69.19 feet to the "EUE B~GI~lPh; EXCEPIII!iG THEREFROH those portion8 lying Rortheastcrly of the Southiwst of raid tucalyptur Street. PARCEL 2: Those prtionr of Lot8 19 and 20 in EOSP EIYCALTPIUS ?OBEST C0kPAIPf"S ' 1, to tbc City of Carlsbad, County of San Dlego, State of CaPiforuLo, 4 to Map thereof Bo. 1136, flled la the Office of the Cemty Recorder of ! County, June tIB 1908, dcrcrlkd as follovr: -.-- -__-, - : -: I. . . e e -. - - - c. CF,f? !I:. C*-':..-L 6rgisr.irg at thr SC,:~'EES: ccrr~r cf SE:? Lct 2c; t?,F-ze alorg 1.b~ line of said Lots 20 and 19, Korth 89'29'00' h'est 761.61 feet to a p non-tangent 462.52 foot radius curve concave Northvestcrly, 8 r8dj u which bears South 29'16'10' East to mid point; thence Xortheastexly 8rc of 8idd curve through a central 8-k of 20'06'20' a dirtrace! feet; thence South 89'29'00' Eart 213.74 feet; Cheace North 70';!8 505.81 feet to an intersection vith the Easterly line of Bald tat 2 along caid Easterly line, South 06'58'00' West 278.00 feet to the Beginning4 PARCEL 3: Tbore portions of Lots 19, 20, 21, 8od 33 of Eucafyptus Street EUCALYPTUS FOREST COHPANY'S TRACT NO. 1, in the City of Carlsbad, bun Dicgo, State of California, 8ccOrding to Xap thereof lo. 1136 file Office of &he County Recorder of Sln Bftgo County June 8, 1908, der( f011~8: Comeacing at the Southeast corner of raid Lot 26; tbence along the line tbtreof; Worth 06'38'00' brt 278.00 feet to the TEUE POlRT OF 11 tbence South 70'28'24' Vert 505.81 fctt; tbcnce 89'29'00' Vert 213.74 1 point on a noP-tangent 462.52 foot radio8 curve CO~C~VC Borthvcrttrly, line of which bears South 49'22'30' tr8t to 88id point; thence Rortl along the! arc of raid curve, through a central angle 05'24'53', in dir 43.72 feat; thence tangent to raid carve, Bortb 3S'12'35' tart 449.44 the bcgfrmning of a tangent 490.00 foot radius curve concave Socrthc thence lorthcarterly along the arc of .aid cume, through a central 37'41'39" 8 dirtance of 323.22 feet; thence t8ngent to mid CIJITP( 73'00'14" East 111.94 feet to tbe beglnnlng of 8 tangent 20.06 foot nidi concave Southvertcr1y; thence Larterly urd buthea8terly 810rg the arc eume, through central angle of 86'40'30' a dirt8oce of 30.26 feet kgianiq of reverse 842.00 foot rcrdius curve concave Northeamterly Soutbcarterlp doag tbe arc of raid curve through a central angle of 24 8 dirtance of 363.72 feet; thence South 44'55'44- Uert 161.SO fctrt to which bear8 Rortb 70°28'24' art fra the rpuE POINT OP BEGI~RC; then 70'28'24" Vest 69.19 fett to the TPUE ?Om OF BEGIWNIRG. EXCZPTIRC ZgEBEPPOn tbore portionr lying Southucrtcrly of tbe Soutbnrrte of .aid 'Euolyptur Street. irf r& - *-. e e AGREEMENT FOR SETTLEMENT OF DISPUTES AND MUTUAL RELEASES &&E di JhL? %w. a' a 0 L )r AGREEMENT FOR SETTLEMENT OF DISPUTES AND MUTUAL RELEASES (day May, 1987, by and between Grove Apartments Investment 120. ( "Grove") , H. F.H. , Ltd. ( "H. F.H. 'I) , . Harry J. L. Frank, Jr ("Frank") , the Bernard Citron Trust ("Citron Trust") , Frec Bartman, Jr. ("Bartman"), the Marital Trust under the Wil: William S. Bartman ("Marital Trust"), the Residuary Trust the Will of William S. Bartman ("Residuary Trust") (all 0: foregoing hereinafter sometimes referred to collectively i "Grove Parties") , Odmark Development Company ("Odmark") , l City of Carlsbad ("Carlsbad") . THIS AGREEMENT is made and entered into this __ I FACTUAL RECITALS 1.0 This Agreement is entered into with reference ti following facts: 1.1 Grove is and/or previously was the record owner a portion of certain real property located in the County $;an Diego (the "Grove Parcel"). The legal description. of Grove Parcel is attached hereto as Exhibit "l", and incor herein by this reference. I* 0 0 * 1.2 For purposes of development, the Grove Parcel wi divided into sub-parcels A, B, C, D, and E, all as refleci on the Master Plan of Development, approved by Carlsbad 01 about March 3, 1970. 1.3 Grove Sub-parcels B and C have already been devc Sub-parcels D and E have the following acreage, whic:h Groi previously intended to develop with residential units as D 16.085 acres 130 un:,ts E 27.675 acres 240 un:tts 1.4 The partners of Grove and HFH, Ltd. are the rec owners of certain real property located in the County of Cliego ( "Parcel "F") . The legal description of Parcel F i attached hereto as Exhibit "2", and incorporated herein b this reference. 1.5 Parcel F consists of approximately 8.92 acres. 1.6 On or about October 9, 1964, a Grant of Easemen Right-of-way from Rildan, Inc., a predecessor-in-interest plaintiff Grove Apartments Investment Co. ("Grove") to th City of Carlsbad ("Carlsbad") and the Vista Sanitation I>i strict ( "VSD" ) , as tenants in common ( "Ri ldan Easement" -2- dated July 23,1964,was recorded in the office of the County Recorder,County of San Diego,in Book 1964 at Page 184917. 1.7 On or about October 9,1964,a Grant of Easement of Right-of-Way from Fawco,a partnership,Bernard Citron ("Citron"),and Harry J.L.Frank,Jr.("Frank"),all predecessors-in-interest to plaintiff Grove,to Carlsbad and VSD,as tenants in common ("Fawco Easement"),dated July 23, 1964,was recorded in the Office of the County Recorder, County of San Diego,in Book 1964 at Page 184918. 1.8 On April 6,1977,the City Council of Carlsbad adopted Ordinance No.7047 and Ordinance No.7048,which Ordinances were superseded by Ordinance No.9518 creating Chapter 21.49 of the Carlsbad Municipal Code and Ordinance No.8073 creating Chapter 18.05 of the CMC,and which imposed a moratorium on the issuance of building permits in Carlsbad and a moratorium on the acceptance of applications for and granting of discretionary approvals for development projects in Carlsbad. 1.9 On or about September 12,1977,Grove Apartments Investment Co.("Grove"),a partnership,as successor in interest to Rildan Inc.,Fawco,Citron,and Frank,filed an action in the Superior Court entitled "Grove Apartments Investment Co.,a partnership,v.City of Carlsbad,a -3- .- 0 8 Municipal Corporation, Vista Sanitation District, a Public Corporation,'' being Civil Action No. N 9052 in the Superic Court for the County of San Diego, North County Branch (hereinafter "Action No. N 9052") , seeking, among other things, a judicial determination of its rights and obliga tions under the Rildan and Fawco Easements and under Ordinance Nos. 7047 and 7048, as amended and supplernented 1.10 On or about July 31, 1978, pursuant to leave granted by the Court therefor, Carlsbad filed a cross-com for declaratory relief adding HFH, Ltd. ("HFH") and Kamar Construction Company ("Kamar") as parties to this action. 1.11 The trial in the matter commenced in Octoker 1 and continued thereafter, except where recessed, until November 20, 1978 when all sides rested, with the present tion of numerous oral testimony and the introduction of voluminous exhibits by all parties. 1.12 On November 21, 1978, the Court, after hleeiring argument, issued certain tentative rulings, and ordered further briefing in said action. 1.13 Subsequent to November 21, 1978, the parties a others, after numerous meetings and other negotiatlons, entered into an Agreement for Settlement of Lawsuit and -4- .- 0 0 : Mutual Releases (hereinafter the "Grove Settlement llgreem resolving, among other things, all the issues in the acti 1.14 Pursuant to said Grove Settlement Agreement th parties stipulated to entry of a Judgment Pursuant to Stipulation (hereinafter the "Grove Judgment") , which thereafter was duly entered herein, and which provides fo certain development rights with regard to the property wh is the subject matter thereof. 1.15 The Grove Judgment provides, among other thing that the rights provided therein shall terminate after th 10th anniversary of events more specifically referred. to therein, such that it could be contended that said rights would cease sometime in late 1989. 1.16 Subsequent to the entry of the Grove Judgmemt, c:ertain of the real property which is the subject matter the Grove Judgment was developed. 1.17 In order to develop and/or cause the developme of certain remaining portions of the real property which the subject matter of the Grove Judgment, Grove entered i an agreement with Odmark Development Company ( "Odmark" ) , which, as from time to time amended (the "Odmark Agreemen provided for the sale to Odmark of Parcels D and E of the -5- .- 0 a property, Parcel E being comprised of sub-parcels E and E Prime. All of Odmark's right, title, and interest in,, to i under the Grove Odmark Agreement are hereinafter referred as the "Odmark Rights. I' 1.18 Pursuant to the Odmark Agreement, Odmark pr~epai certain designs and plans for a project involving the construction upon Parcel E of 216 condominium units (t:he ":proposed condominium project") , thus involving a projlect dlensity of 10.8 dwelling units ("dus") per acre, exc:llxlinc d'esignated open space and 40% slopes. 1.19 Prior to January 22, 1986, Odmark submitted to Planning Department of the City of Carlsbad an Environmeni Initial Study including numerous reports and supplemental reports evaluating potential environmental impacts of and corresponding mitigation measures for the proposed c:onclom: project. 1.20 The Planning Director of the City of Carlsbad, after determining that the proposed condominium pro:iect wc not cause any significant impacts because potential irnpac- had been mitigated, issued a Mitigated Negative DecI.arati( dated January 26, 1986, which, on February 5, 1986, was recommended for approval by the Planning Commission of thc City of Carlsbad. -6- 0 e 1.21 Odmark applied to the Planning Commission of t: City of Carlsbad for approval of a two-lot tentative map 216/unit condominium permit with regard to the project. 1.22 By Planning Commission Resolution No. 2538, thl Planning Commission of the City of Carlsbad recommended approval of a two-lot tentative map and 216-unit coridomin permit for the project. 1.23 On March 18, 1986, the City Council of the Cit: Carlsbad held a public hearing to consider the request by Odmark to approve the tentative map and condominium unit permit, and further to consider approving the Mitigated Negative Declaration issued by the Planning Director and recommended for approval by the Planning Commission. 1.24 A number of members of the public appeared at 2 hearing to challenge the project, to advocate the acquisil by the City of Parcels D, E, and F (or portions thereof) j recreational purposes, and/or to question the conclusilons the Planning Director and Planning Commission leading to 1 issuance of the Mitigated Negative Declaration. 1.25 By Resolution No. 8468, the City Council of tht City of Carlsbad disapproved the Mitigated Negative Declai -7- .- II) 0 and directed the preparation of an Environmental 1mpa.c:t Report for said project. 1.26 In connection with said action, the City Clounc voted to cause a review of both the General Plan and Hosp Grove Master Plan, and to consider the possibility of acq some or all of Parcels D, E and F. . 1.27 Subsequent to the foregoing, Grove and Odmck placed the City on notice of their position that the f:ore going actions of the City Council in disapproving the! Mitigated Negative Declaration, requiring that an E:nvi,ron mental Impact Report to be prepared concerning said proje causing the Hosp Grove Master Plan and General Plan tm be reviewed were unlawful and in violation of their rights, including their rights to development under the Judgment entered in this action. 1.28 Subsequent to the actions of the City Courcil described hereinabove, members of the public continued to express a desire to attempt to acquire Parcels D, E and F some portion thereof , for park and/or recreational :pur-pos and Grove and Odmark continued to assert their righ.ts to develop said parcels. -8- .- e 0 1.29 Commencing April, 1986, representatives of the City of Carlsbad, Grove, and Odmark met and otherwise communicated on numerous occasions in order to resol.ve the di.sputes which existed between them arising out of the foregoing. 1.30 On or about July, 1986, Grove, H.F.H., thie Vist Sanitation District, Kamar Construction Company, and t.he C of Carlsbad entered into a Stipulation for Entry of :Revise Judgment in Civil Action No. N 9052, pursuant to which a Revised Judgment Pursuant to Stipulation (the "Revisell Gro Ju.dgment" ) has been duly entered therein; 1.31 As of July 10, 1986, Grove, H.F.H., various. of principals of each, and City entered into an Agreement for Pu.rchase and Sale of Real Property, pursuant to which, on November 4, 1986 a ballot measure was submitted to the vot of the City regarding, among other things, the acquirsit.ion th.e Property by the City. Such ballot measure received. slightly less than 2/3 affirmative vote and was not approv 1.32 Thereafter the City determined to acquire the Property in lieu of condemnation of the Property, purchase and have assigned to it the Odmark Rights, provid it. obtained the requisite vote of the registered voters within the City authorizing or approving such acquisition. and to -9- .- 0 0 1.33 The City caused a ballot measure ("Acquisit.ion E;allot Measure") to be submitted to the voters of the: Cit a special election held on March 3, 1987, which Acquisiti Eiallot Measure was approved, and which authorized the: Cit acquire the Property and the Odmark rights for cash. 1.34 Odmark and certain of the Grove Parties 1na.ve f em action in the San Diego Superior Court, entitled Oclmar Development Company, et al. v. City of Carlsbad, et a1 ... which is Civil Action No. N 36215 in said Court (he:rai.naf Civil Action No. N 36215). --- -__ - 1.35 As of May , 1987, Grove, H.F.H., variouzi of - principals of each, Odmark and City entered into an Palend and Restated Agreement for Purchase and Sale of Real E'rop (the "Restated Agreement"). 1.36 It is now the desire and intenti!>n of the Grov E'arties and Odmark, on the one part, and the City o.f Carl on the other part, to compromise and resolve all of tihe disagreements and disputes which exist or may exist hetwe them arising out of the foregoing, above, and also to res c:ertain other matters. Pursuant to and in accordance with this desire, and in consideration of the promises a:ncl re1 c:ontained herein, the parties agree as follows: -10- .- 0 0 I1 DISMISSAL OF LITIGATION AND RELEASES 2.0 Odmark and those of the Grove Parties who axe plaintiffs therein hereby agree to file a Request for Dismissal with Prejudice of Civil Action No. N 3621!5, eac party to bear its own costs. 2.1 Except as expressly provided in paragraph 2.6 below, the Grove Parties and Odmark, and each of then!, do hereby release and absolutely discharge the City of C:arls of and from any and all claims, demands, damages, debts, liabilities, accounts, reckonings, obligations, costs, expenses, liens, actions and causes of action of every ki and nature whatever, whether now known or unknown, suspec or unsuspected, which the Grove Parties and/or Odmark now have, own, or hold or at ar,y time heretofore ever had, ow or held against the City of Carlsbad based upon or .ari.sin out of any matter, cause, fact, thing, act or omission whatever occurring or existing at any time to and i:nc:I.udi the date hereof in connection with their ownership 'of and rights and/or attempts to develop Parcels D, E, and E' (a1 of which are hereinafter referred to as and includeld with the "Released Matters" ) . -11- .- 0 0 2.2 Except as expressly provided in paragraph 2.6 below, City of Carlsbad does hereby release and absolute1 discharge the Grove Parties and Odmark, and each of them, and from any and all claims, demands, damages, debt;;, lia bilities, accounts, reckonings, obligations, costs, expen liens, actions and causes of action of every kind and nati whatever, whether now known or unknown, suspected 01: unsu which the City of Carlsbad now has, owns, or holds or at time heretofore ever had, owned or held against the Grove Parties or Odmark based upon or arising out of any matter cause, fact, thing, act or omission whatever occurring or existing at any time to and including the date hereof in connection with their ownership of and/or rights and/or attempts to develop Parcels D, E, and F (all of whic:h are hereinafter referred to as and included within the "Relea Matters"). 2.3 Except as expressly provided in paragraph 2.6 below, the Grove Parties do hereby release and absol-utely discharge Odmark of and from any and all claims, demands, damages , debts , liabilities , accounts , reckonings , obliga. tions, costs, expenses, liens, actions and causes of: actic of every kind and nature whatever, whether now known or unknown, suspected or unsuspected, which the Grove E'artie now have, own, or hold or at any time heretofore ever had owned or held against Odmark based upon or arising out of -12- .- 0 e matter, cause, fact, thing, act or omission whatever clccu or existing at any time to and including the date hc areof of which are hereinafter referred to as and included with the "Released Matters" ) . 2.4 Except as expressly provided in paragraph 2.6D below, Odmark does hereby release and absolutely disch.arg the Grove Parties of and from any and all claims, demands damages, debts , li abi lit ies , accounts , reckonings , ob1 iga tions, costs, expenses, liens, actions and causes of acti of every kind and nature whatever, whether now known or unknown, suspected or unsuspected, which Odmark now has, owns, or holds br at any time heretofore ever had, owned 1 held against the Grove Parties based upon or arising out 1 any matter, cause, fact, thing, act or omission whatever occurring or existing at any time to and including the da. hereof (all of which are hereinafter referr.od to as and included within the "Released Matters"). 2.5 Without in any way limiting the foregoing, and except as expressly provided in paragraph 2.6D below, the of Carlsbad hereby releases, discharges and indemnifies, i agrees to hold harmless (a) the Grove Parties from eaih ai all of the obligations of the Grove Parties under the agrc ments identified on Exhibit 3 hereto as such agreements a] to the Property, (b) the parties to that certain Agre'e:men- -13- 0 a regarding payment of a Public Facilities Fee, dated Ju:Ly 1 1985 and recorded August 26, 1985 under File Number 85-30E and 85-308358, from each and all of the obligations there- under, and (c) the Grove Parties and Odmark from any and E claims, losses, or demands of any kind whatsoever arising of or connected with the condition of the Property previoL 01- hereafter existing, and/or the unsuitability of the Property for any use, except any claims, losses, or darnage arising from any negligent acts by the Grove Parties or Ocimark in connection with the Property. 2.6 The releases contained in this Agreement, and tk: descriptions of the Released Matters, do not cover and shc not be deemed to purport to cover: A. Any of the rights, duties or obligations of any person not a party hereto under the Revised Gro7.e Judg 0 1: B. Any of the rights, duties, or obligations o any person or party (including any party hereto) under the Revised Grove Judgment or otherwise concerning the real. property referred to in the Revised Grove Judgment as the "P4ay Stores Non-Coastal Zone Commercial Parcel" and/or- the "May Stores Coastal Zone Commercial Parcel"; or - 14- .- e C. Any of the rights of any person or party (including any party hereto) under the Revised Grove Judg concerning sewer capacity (including the right to receive assign, and/or to transfer the same, and the obligations, any, to pay for the same), insofar as such rights may be necessary fully to provide sewer service to the real! prop1 referred to in the Revised Grove Judgment as the "May Sto Non-Coastal Zone Commercial Parcel'' and/or the "May Store Coastal Zone Commercial Parcels" (which the parties prese: believe will involve between and __ E.D.U's); or D. Any of the rights, duties, or obligations ( the parties referred to in, arising under, or created by . Restated Agreement which by the terms thereof survive the Property Close of Escrow. 2.7 It is the intention of the parties in executing this Agreement, that this Agreement shall be effective as full and final accord and satisfaction and general mutual release of and from all Released Matters, except only as otherwise expressly provided in this Agreement. In f.Jrth< of this intention, each of the parties acknowledges that : is familiar with Section 1542 of the Civil Code of t:hfi St; of California, which provides as follows: -15- .- 0 m "A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settle- ment with the debtor. " Each of the parties waives and relinquishes any right or benefit which it has or may have under Section 1542 of th Civil Code of the State of California or any similar pro- vision of the statutory or non-statutory law of any other jurisdiction to the full extent that it may lawfully waiv a.11 such rights and benefits pertaining to the subject ma of this Agreement. In connection with such waiver and. relinquishment, each of the parties acknowledges that it aware that it or its attorneys may hereafter discover cla or facts in addition to or different from those which. it knows or believes to exist with respect to the subject ma of this Agreement or the other parties hereto, but th.a.t i i.ts intention hereby fully, finally, and forever to settl and release all of the Released Matters, known and ur.k:now suspected or unsuspected, which now exist, may exist, or heretofore have existed, between them. 2.8 The parties hereto each warrant and represent t the other that it is the sole and lawful owner of all rig -16- .- a 0 t:ttle and interest in and to all of the respective Re:,<, >as€ Matters and that it has not heretofore, voluntarily, hy operation of law or otherwise, assigned or transferred or purported to assign and transfer to any person whomsot =ve r Released Matter or any part or portion thereof, or any clz demand or right against the other. Each of the parties sk indemnify and hold harmless the other from and agains't ani c.laim, demand, damage, debt, liability, act, reckoning, obligation, cost, expense, lien, action, or cause of actic (.including payment of attorneys' fees and costs actually incurred whether or not litigation be commenced) based on i:n connection with or arising out of any such assigrmcxnt c transfer or purported or claimed assignment or transfer. 111. BENEFICIARIES 3.0 This Agreement is not for the benefit of any pel who is not a party signatory hereto or specifically named beneficiary in this paragraph. The provisions of this Agreement and the releases contained herein shall extend * and inure to the benefit of, and be binding upon, in addi. to the parties hereto, just as if they had executed this Agreement: the respective legal predecessors, successors assigns of the parties; each and every entity which now i ever was a parent or subsidiary of Odmark; the respective -17- .- a e past and present officers, shareholders, officials, direcl partners, employees, trustees, beneficiaries, and at,torne; of the parties and/or of each such parent or subsidiary entity, and their respective legal successors and assigns, and each of the foregoing. IV. GENERAL 4.1 This Agreement and the releases contained herei: affect the settlement of claims which are denied and dispi which are contested, and nothing contained herein shall bl construed as an admission by any party hereto of any liability of any kind to any other party. Each party expressly denies that it is in any way liable or indebted amy other party. 9 4.2 This Agreement, the Restated Agreement, and. the Eevised Judgment constitute and contain the entire aqreem and understanding concerning the subject matter between t parties, set forth all promises and inducements made hy a party to any other party with respect to any of the e,u.bje matter, and supersede and replace all prior negotiations, proposed agreements or agreements, written or oral. E:ach the parties acknowledges to each of the other partices tha other party nor any agent or attorney of any other party -18- .- 0 e ._ made any promise, representation or warranty whatsoever, express or implied, written or oral, not contained herein concerning the subject matter hereof to induce it to execi this Agreement, and each of the parties acknowledges that has not executed this Agreement in reliance on any promis representation or warranty not contained herein. 4.3 Each party acknowledges to each of the other parties that it has been represented by independent legal counsel of his own choice throughout all of the negotiatic which preceded the execution of this Agreement and that i- has executed this Agreement with the consent and on the advice of such independent legal counsel. Each party fur- acknowledges that it and its counsel have had adequate opportunity to make whatever investigation or inquiry the: may deem necessary or desirable in connection with the subject matter of this instrument prior to the execution herecf and the delivery and acceptance of the considerati( specified herein. 4.4 This Agreement and any other documents referred herein shall in all respects be interpreted, enforced and governed by and under the laws of the State of California applicable to instruments, persons and transactions w:hich have legal contracts and relationships solely within the State of California. Counsel for all parties have read ai -19- .- m W ._ 1 approved the language of this Agreement. The language of th.is Agreement shall be construed as a whole according to fair meaning, and not strictly for or against any of the parties. 4.5 As used in this Agreement, "persons" includes natural persons, corporations, partnerships, joint venture and any other entity. 4.6 Whenever in this Agreement the context so icequir th.e masculine gender shall be deemed to refer to and in.clu th.e feminine and neuter, and the singular to refer to and in.clude the plural. 4.7 This Agreement may be executed in counterparts a sh.all become effective when all parties have executed and acknowledged at least one counterpart and counterparts executed and acknowledged by all parties have been deliver to counsel for the parties. 4.8 The titles of the various articles of this Agree! are used for convenience of reference only and are not intended to and shall not in any way enlarge or diminish t: rights or obligations of the parties or affect the meaning construction of this document. -20- L m w \. IN WITNESS WHEREOF, the parties hereto have set: thei. hands and seals as of the day and year first written abovi GROVE APARTMENTS INVESTMENT a partnership /? _- - y," l+?' ,// */ ~ J By: /?',d-f!-d /, J/ \>-$.,+-'L&''~L __- --- Its: H.F.H., LTD. By : Its: --- -_- HARRY J. L. FRANK, JRY-- BERNARD CITRON TRUST __- By : Its: __- --- FRED A. BARTMAN, JR. MARITAL TRUST UNDER THE: WIL WILLIAM S. BARTMAN __- By : Its: -_- -21- -.- 8 0 RESIDUARY TRUST UNDER T3E W: WILLIAM S. BARTMAN By : --- Its: --- ODMARK DEVELOPMENT CO. a corporation By: --- Its: --- THE CITY OF CARLSBAD By : --- Its: --- APPROVED AS TO FORM AND CONTENT: SIDLEY & AUSTIN By: Howard J. Rubiiiroit Attorneys for Grove Apartments Investment Co.; H.F.H., Ltd.; Harry J. L. Frank, Jr.; Bernard Citron Trust; Fred D. Bartman, Jr.; Marital Trust under the Will of William S. Bartman, Residuary Trust under the Will of William S. Bartman Vincent Biondo, Jr. City Attorney, City of Carlsbad -22- .- e e PETERSON, THELAN & PRICE By: John Thelan, Esq. Attorneys for Odmark Development Co. HJR187A -23- m w L ASSIGNMENT OF ODMARK RIGHTS Gk c % J* hw I e w 61 PEW f TTED EXCEPT IONS (a) that certain Preliminary Title Report issued by First Amcer;icar Title Insurance Company, dated as of June 12, 1986 (Order No. 900394-2); and, Exceptions numbered 1 through 11 and 15 as disclcsed :in (b) Exceptions numbered 1 through 9 as disclosed in that certain Preliminary Title Report issued by First American Title Insurance Company, dated as of June 12, 1986 (Order No. 925612-1). KG& D *k kW-Frnb& - c W ** . EXHIEIT E RELEASED AGREWSSTS 1. A Contract for the Creation of a Lien for Payment for Public Improvements, dated January 278 1981, executed by the City 0 Carlsbad and Grove Apartments Investment Company, recorded January 30, 1981 as File No. 81-030961 of Official Reccrds. 2. A Contxact for the Creation of a Lien for Payment for P’ubllc Improvements, dated January 27, 1981, execute2 by the City of Carl-sbad and Grove Apartments Investment Co. 0 record& February 10, 1981 as File No. 81-041815 of Official Records. 3. A Contract for the Creation of a Lien for Payment for Public Improvements, dated January 27, 1981, executed by the City of Carlsbac! and Grove Apartments Investment Co. t recorded February 17, 1981 as File no. 81-048012 Of Official Records. $i lablLed (aw -&&A hw. J t;, !KkAE c e e '1 e EXHXBIi E-1 ASSt'F'XD AGFIE?'ENTS An Agreement regarding proposed roadways, dated October 2 1977, upon the terms, covenants and conditions contained therein. EXECUTED BY A?:D BETn'CEN: GROVE APARTHENTS Ih?ZSTk!El;T Co. KArAR COKSTRUCTIOX CO. RECORDED: Earch 20, 1978 as File No. 78-108597 of 0ff1.cl Records. Modification of the 1977 Agreement between azjacent land owners, dated October 26, 1977, executed upcr. the tern.!;, covenants and conditions contained therein, recorded October 16, 1978 as File No. 78-440517 of Official Record, A Second Rodzfication to 1977 Agreement between adjacent : owners, dated November 3, 1982, executed upon the terms, covenants and conditions contained therein, recorded November 24, 1982 as File No. 82-363510 of Official ReCOI'C &a E I WM C%& bqw * ) %* Y .) w w *I .A - VESTING I.?.8, LTD.8 a limited prrtnerrhip, 18 to an undivided oarthird (1/3) intt CZCILL CITRON uR'T)(Aw, 88 hurtec of the Trurt rrtrblirhcd under the! Yi - CITOnON, deCCIICd, 88 to an undivided ooc-aixth (l/6) faterert,; BAlt; L. W, JR., a married un a# hi8 801c and rcprrrte property, a8 t undivided ocrt-aixtb (1/6) ioterert; ?RZD A* BART", JR., a urrled aun ai mole #ad mpirrte property, 80 to an undivided onerlxth (1/6) intertot;; ?R BARRulo, Jp., RORM B. BABRUIO, TEOIUS ?RED BARR(AH and UILLUn (E. ULR;RW, a0 trurteer under the Writ81 hurt ertrblirhed ondtr tht Vi11 of ZllLLIr urn, daceartd, 81 to 80 orrdiridtd oactrclftb (lfi2) fnttrert; ?RE a8 Trurteer under the Berldu.1 frurt ertrbllrhcd under tbe Will of WIUU urn, dtcc8red, 8a to an undivided one-tvclfth (1/12) interart MRW, JR.8 ROW B* BAR'MAR, tH0W ?RED BARW rod WILLIAn lie BASbUlrJ, 6Lhk Fdi J* d&wn. A a a COLLINS RELEASE $Add c- AJd & wno . 0 e .- AGREEMENT FOR SETTLEMENT OF DISPUTES AND MUTUAL RELEASES day May, 1987, by and between Grove Apartments Investment CO. ("'Grove''), H.F.H. , Ltd. ("H.F.H."), Harry J. L. Frank, Jr. ( "'Frank"), the Bernard Citron Trust ( "Citron Trust") , Fred Bartman, Jr. ("Bartman") , the Marital Trust under the Will W:illiam S. Bartman ("Marital Trust"), the Residuary Ticust Under the Will of William S. Bartman ("Residuary Trus:;"') ( o:f the foregoing hereinafter sometimes referred to co:l:lect as the "Grove Parties"), Collins Development Corpora.t:ion ("Collins") , and the City of Carlsbad ("Carlsbad") . THIS AGREEMENT is made and entered into this -- I FACTUAL RECITALS 1.0 This Agreement is entered into with referenlze tc the following facts: 1.1 Grove is and/or previously was the record owner a portion of certain real property located in the County ( San Diego (the "Grove Parcel"). 0 0 .- 1.2 For purposes of development, the Grove Parcel. wa divided into sub-parcels A, B, C, D, and E, all as ref1,ect on. the Master Plan of Development, approved by Car1sba.d on about March 3, 1970. 1.3 Grove Sub-parcels B and C have already beein cleve loped. Sub-parcels D and E have the following acreage, wh Grove previously intended to develop with residential unit as follows: D 16.085 acres 130 units E 27.675 acres 240 units 1.4 The partners of Grove and HFH, Ltd. are the reco owners of certain real property located in the Count:y of S Diego ( "Parcel F" ) . 1.5 In order to develop and/or cause the development Parcels D, E, and F, Grove entered into an agreement wi.th Octmark Development Company ("Odmark"), which, as froin time time amended (the "Odmark Agreement"), provided for .the sa to Odmark of Parcels D and E, Parcel E being compris,ed of sub-parcels E and E Prime. All of Odmark's right, title, a interest in, to and under the Odmark Agreement are hereina referred to as the "Odmark Rights." -2- 0 0 I 1.6 Odmark has assigned certain of the Odmark 13iqhts Collins, and Collins has or claims to have certain r:iqhts cl-aims against the Grove Parties and Carlsbad in con:ne!c:tio with the Property, the Odmark Agreement, and/or the (3chark Rights, all of which rights or claims are herein- after referred to as the "Collins Rights". 1.7 AS of July 10, 1986, Grove, H.F.H. , various of principals of each, and City entered into an Agreement: fox Purchase and Sale of Real Property, pursuant to which, on November 4, 1986 a ballot measure was submitted to the vot of Carlsbad regarding, among other things, the acquisitior the Property by the City. Such ballot measure received s:lightly less than the 2/3 affirmative vote required and b not approved. 1.8 Thereafter Carlsbad determined to acquire the Property in lieu and/or under threat of condemnation, and purchase and have assigned to it the Odmark Rights (incluc the Collins rights), provided it obtained the requisite v< of the registered voters within Carlsbad authorizing lor approving such acquisition. 1.9 Carlsbad caused a ballot measure ("Acquisition Ballot Measure") to be submitted to the voters of the Citj a special election held on March 3, 1987, which Acquisitic -3- .I1 0 A. Ballot Measure was approved, and which authorized Ca:rl.sbad ac:quire the Property and the Odmark Rights for cash. 1.10 Odmark, Collins and certain of the Grove Partie have filed an action in the San Diego Superior Court, enti - Odmark Developrrient Company, et al. v. City of Carlsbad, __- et which is Civil Action No. N 36215 in said Court (herei.n- after Civil Act:.ion No. 36215). 1.11 As of May - , 1987, Grove, H.F.H. , various of t principals of each, Odmark, and Carlsbad entered into an Amended and Restated Agreement for Purchase and Sale of Re Property (the "Restated Agreement"). 1.12 It is now the desire and intention of the Grove Parties, Collins, and Carlsbad to compromise and resol-ve B of the disagreements and disputes which exist or may exist between them arising out of the foregoing, including those which caused the filing of Civil Action No. N 36215, and a:Lso to resolve certain other matters. Pursuant to and in accordance with this desire, and in consideration of the promises and releases contained herein, the parties agree f 0 1 lows : -4- ei 0 .. I1 DISMISSAL OF LITIGATION AND RELEASES 2.0 Collins and those of the Grove Parties who are plaintiffs therein hereby agree to file a Request for Dismissal with Prejudice of Civil Action No. N 36215, eacl party to bear .its own costs. 2.1 Collins does hereby release and absolutely disc: the Carlsbad a:nd the Grove Parties, and each and all of t: of and from any and all claims, demands, damages, debts, liabilities, accounts , reckonings, obligations , costs , expenses, liens, actions and causes of action of every ki a.nd nature whatever, whether now known or unknown, Suspec or unsuspected,, which Collins now has, owns, or holds or any time heretofore ever had, owned or held against Carls and/or the Gro’ve Parties based upon or arising out of any matter, cause, fact, thing, act or omission whatever occu or existing at any time to and including the date hereof c:onnection with their ownership of and/or rights and/or attempts to develop Parcels D, E, and F including, lx~t: no limited to, tke Odmark Rights and the Collins Rights (all which are hereinafter referred to as and included within “Released Matt.ers” ) . -5- .It e 2.2 Carhbad and the Grove Parties, and each and al: them, do hereb:y release and absolutely discharge Col.lins ( and from any a:nd all claims, demands, damages, debts, lial lities, accounts, reckonings, obligations, costs, expense: liens, actions and causes of action of every kind arid nati whatever, whether now known or unknown, suspected or unsu, pected, which the Carlsbad and/or the Grove Parties now h8 own, or hold, or at any time heretofore ever had, owned o h.eld against Collins based upon or arising out of any mat cause, fact, thing, act or omission whatever occurring or existing at any time to and including the date hereof in connection with the ownership of and/or rights and/or a.ttempts to develop Parcels D, E, and F, including, bu.t n 1.imited to, th.e Odmark Rights and the Collins Right:s (all which are hereinafter referred to as and included within "'Released Matters" ) . 2.4 It is the intention of the parties in execu.t:ing this Agreement:., that this Agreement shall be effective as full and final. accord and satisfaction and general mut:ual release of and from all Released Matters, except only as otherwise expressly provided in this Agreement. In f:urth ance of this intention, each of the parties acknowledges it is familiar. with Section 1542 of the Civil Code of: the State of California, which provides as follows: -6- 01 0 "A general release does not extend to (:.lain which the creditor does not know or suspect to exis.': in his favor at the time of executing the release, which if known by him must have rciateriz affected his settlement with the debtor." Each of the parties waives and relinquishes any right or benefit which :it has or may have under Section 1542 of thc Civil Code of .the State of California or any similar prov: sion of the sttatutory or non-statutory law of any other jurisdiction tI3 the full extent that it may lawfully waivc all such rights and benefits pertaining to the subject ma' of this Agreement. In connection with such waiver and relinquishment, each of the parties acknowledges that it aware that it or its attorneys may hereafter discover cla or facts in addition to or different from those which it : knows or believes to exist with respect to the subject ma csf this Agreement or the other parties hereto, but that i its intention hereby fully, finally, and forever to settl amd release all of the Released Matters, known and un.k:now suspected or unsuspected, which now exist, may exist, or heretofore have existed, between them. 2.5 The parties hereto each warrant and repre:sent t the other that:. it is the sole and lawful owner of all. rig title and interest in and to all of the respective :Releas -7- QI 0 Matters and th,at it has not heretofore, voluntarily, :by operation of law or otherwise, assigned or transferreld or purported to assign and transfer to any person whomsoe,ver Released Matter or any part or portion thereof, or any Cli demand or right against the other. Each of the parties SI indemnify and :hold harmless the other from and against an: claim, demand, damage, debt, liability, act, reckoning, 01 gation, cost, expense, lien, action, or cause of action (including payment of attorneys' fees and costs actually incurred whether or not litigation be commenced) based on in connection with or arising out of any such assignment transfer or purported or claimed assignment or transfer. 111. BENEFICIARIES 3.0 This AQreement is not for the benefit of i3R.Y pe who is not a party signatory hereto or specifically named beneficiary in. this paragraph. The provisions of this Agreement and the releases contained herein shall ext-end and inure to the benefit of, and be binding upon, i:n stddi to the parties hereto, just as if they had executed this Agreement: the respective legal predecessors, SUCCeE;:jors assigns of the parties; each and every entity which now i ever was a parent or subsidiary of Collins; the respectiv -0- 01 a - past and present officers, shareholders, officials, direct partners, employees, trustees, beneficiaries, and attorney of the parties and/or of each such parent or subsidiary entity, and their respective legal successors and assigns; and each of the foregoing. IV. GENERAL 4.1 This Agreement and the releases contained herein affect the settlement of claims which are denied and dispu which are contested, and nothing contained herein shall be construed as an admission by any party hereto of any liabi of any kind to any other party. Each party expressly deni that it is in any way liable or indebted to any other part 4.2 This Agreement constitutes and contains the enti agreement and understanding concerning the subject matter between the parties, set forth all promises and inducement made by any party to any other party with respect to any o th.e subject matter, and supersede and replace all prior negotiations, proposed agreements or agreements, written o oral. Each of the parties acknowledges to each of the 0th pa,rties that no other party nor any agent or attorney of a -9- .i m other party ha:; made any promise, representation or wia:rrar w:hatsoever, express or implied, written or oral, not. conti herein concerning the subject matter hereof to induce :it t execute this Agreement, and each of the parties acknowled? Chat it has no", executed this Agreement in reliance o:n an] promise , repre:;entation or warranty not contained herein. 4.3 Each party acknowledges to each of the other parties that it has been represented by independent legal counsel of his own choice throughout all of the negotiati( which preceded the execution of this Agreement and that i. h.as executed Chis Agreement with the consent and on the advice of such independent legal counsel. Each party fur a,cknowledges that it and its counsel have had adequate clpportunity to make whatever investigation or inquiry the may deem necessary or desirable in connection with the subject matter of this instrument prior to the execution hereof and the delivery and acceptance of the considerati specified herein - 4.4 This. Agreement and any other documents re.ferred herein shall i.n all respects be interpreted, enforcled and governed by ar:td under the laws of the State of California applicable to instruments , persons and transactions which have legal contracts and relationships solely within the State of California. Counsel for all parties have read a -10- a1 a approved the 1a.nguage of this Agreement. The language of this Agreement shall be construed as a whole according to fair meaning, a.nd not strictly for or against any of thh;e parties. 4.5 As used in this Agreement, "persons" includes natural persons , corporations, partnerships, joint vlenture and any other entity. 4.6 Whenever in this Agreement the context so raquir the masculine qender shall be deemed to refer to and i.nclu the feminine arid neuter, and the singular to refer to and include the plural. 4.7 This Agreement may be executed in counterparts ti shall become effective when all parties have executed and acknowledged ai: least one counterpart and counterparts executed and acknowledged by all parties have been de:tiver to counsel for the parties. 4.8 The .titles of the various articles of this Agreement are used for convenience of reference only and i not intended to and shall not in any way enlarge or diminl -11- l)i 0 the rights or obligations of the parties or affect the meaning or construction of this document. IN WITNESS WHEREOF, the parties hereto have set i:lieii hands and seal:; as of the day and year first written iA2OV€ GROVE APARTMENTS INVESTIYENT a partnership --- By: Its: __- H.F.H., LTD. __- By : Its: __- __- HARRY J. L. FRANK, JR. BERNARD CITRON TRUST --- By : Its: --- --- FRED A. BARTNAN, JR. MARITAL TRUST UNDER THE WIL WILLIAM S. BARTMAN __- By : Its: --- -12- e 0 L RESIDUARY TRUST UNDER 'THE; WI OF WILLIAM S. BARTMAN -_- By : Its: --- COLLINS DEVELOPMENT CORI?ORAT a corporation -_- By : Its: -_- THE CITY OF CARLSBAD --- By : Its: -_- -13- <* @I' v E APPROVED AS TO FORM AND CONTENT: SIDLEY & AUSTIN B;q : Howard J. Rubinroit Attorneys for Grove Apartments Investment Co.; H.F.H., Ltd.; Harry J. L. Frank, Jr.; Bernard Citron Trust; Fred D. Bartman, Jr. ; Marital Trust under the. Will of William S. Bartman, Residuazy Trust under the Will of William S. Bartman - Vincent Biondo, Jr. City Attorney, City of Carlsbad By : Attorneys for Collins Development Corporation E1 JR 1 8 7 C -14-