Loading...
HomeMy WebLinkAboutRP 16-07; CARLSBAD MINERAL SPA; Redevelopment Permits (RP)•••• I •ININOm City of LAND USE REVIEW Development Services Planning Division Carlsbad APPLICATION 1635 Faraday Avenue P-1 (760) 602-4610 www.carlsbadca.gov APPLICATIONS APPLIED FOR:(CHECK BOXES) Development Permits (FOR DEPT. USE ONLY)Legislative Permits (FOR DEPT. USE ONLY) [21 Coastal Development Permit (*)Minor co wa...10 D General Plan Amendment I DC• onditional Use Permit (*) I'- 0 Local Coastal Program Amendment (*)0 Minor 0 Extension 0 Day Care (Large)0 Master Plan 0 Amendment Environmental Impact Assessment 0 Specific Plan 0 Amendment El Habitat Management Permit Minor 0 Zone Change (*) 0H•illside Development Permit (*)0 Minor 0 Zone Code Amendment DN•onconforming Construction Permit South Carlsbad Coastal Review Area Permits O Planned Development Permit 0 Minor 0 Review Permit 0 Residential 0 Non-Residential 0 Administrative 0 Minor 0 Major 0 Planning Commission Determination 0 Reasonable Accommodation Village Review Area Permits El Site Development Plan 0 Minor I'Review Permit gf El Special Use Permit Administrative [Minor 0 Major El Tentative Parcel Map (Minor Subdivision) Tentative Tract Map (Major Subdivision) O Variance .12 Minor (*) =eligible for 25%discount NOTE:A PROPOSED PROJECT REQUIRING MULTIPLE APPLICATIONS MUST BE SUBMITTED PRIOR TO 3:30 P.M.A PROPOSED PROJECT REQUIRING ONLY ONE APPLICATION MUST BE SUBMITTED PRIOR TO 4:00 P.M. ASSESSOR PARCEL NO(S).:pjpg -(Si-00 int afiL .eilPROJECT NAME:ay/4.4.nz7irCi irr ''OAP,VW.r r BRIEF DESCRIPTION OF PROJECT:er rglr, 74r/t9 BRIEF LEGAL DESCRIPTION: LOCATION OF PROJECT:.2/9,01 .1?Zioysisla/Z-2,9217,, S ./0"STREET ADDRES ON THE:t9t/-72-1 SIDE OF CfritZ.660i ez_vp. (NORTH, SOUTH, EAST,ST)(NAME OF STREET) BETWEEN 6/2/2*-i AND 0/.-i2A 611(ft --1 &IJ (NAME OF STREET)(NAME OF STREET) P-1 Page 1 of 6 Revised 07/15 _-.011110100111111MIMIO MINI lir. C)0 (POWNER NAME LapVig.c:12./....yzi.5 APPLICANT NAME (Print):,522 ets. ezenee...rint): MAILING ADDRESS:.tpi:/2„.01.14...5..._v..2 MAILING ADDRESS: CITY,STATE,ZIP:0:37.460/cA.CITY, STATE, ZIP: TELEPHONE Wit)-G-71--9 /91-TELEPHONE: EMAIL ADDRESS:EMAIL ADDRESS: I CERTIFY THAT I AM THE LEGAL OWNER AND THAT ALL THE ABOVE I CERTIFY THAT I AM THE LEGAL REPRESENTATIVE OF THE OWNER INFORMATION IS TRUE ND CORRECT TO THE BEST OF MY AND THAT ALL THE ABOVE INFORMATION IS TRUE AND CORRECT TO KNOWLEDGE.I CERTyr LEGAL OWNER THAT THE APPLICANT ASTHE BEST OF MY KNOWLEDGE. 11 SET FORTH HiA01(/I MY AUTHORIZED REPRESENTATIVE FOR PURPOSES.IS/,..,;:,,, -,..---'—.e.----e.---"r I/25//4 -6 SIGNA RE "TE SIGNATURE DATE ,-- APPLICANT'S REPRESENTATIVE (Print):...... MAILING ADDRESS:/e Vi 6" CITY, STATE, ZIP:iJG 1.01/16.rrr 4 c•it-- TELEPHONE:.—-0 CO 4 EMAIL ADDRESS:I..-al)e..ehe% I CERTIFY THAT I AM THE REPRESENTATIVE OF THE APPLICANT FOR PURPOSES OF THIS APPLICAT AND THAT ALL THE ABOVE INFORMATION IS RUE D RRECT TO THE BEST OF MY KNOW G VV./AATUREDATE IN THE PROCESS OF REVIEWING THIS APPLICATION IT MAY BE NECESSARY FOR MEMBERS OF CITY STAFF,PLANNING COMMISSIONERS OR CITY COUNCIL MEMBERS TO INSPECT AND ENTER THE PROPERTY THAT IS THE SUBJECT OF THIS APPLICATION.I/VVE CONSENT TO ENTRY FOR THIS PURPOSE. _,...- NOTICE OF RESTRICT!N:PROPERTY OWNER ACKNOWLEDGES AND CONSENTS TO A NOTICE OF RESTRICTION BEING RECORDED THE,T1 LE TO HIS PROPERTY IF CONDITIONED FOR THE APPLICANT.NOTICE OF RESTRICTIONS RUN WITH THE LAN DB.ANY SUCCESSORS IN INTEREST. ,- PR RTY OWNER SIGNATURE FOR CITY USE ONLY RECEIVED MAR' 2 2 2016 CITY OF CARLSBAD PLANNING DIVISION DATE STAMP APPLICATION RECEIVED RECEIVED BY: 4r- P-1 Page 2 of 6 Revised 07/15 -< 'err (City of Carlsbad April 24, 2014 Mr. Ludvik Grigoris Carlsbad Mineral Spa 2802 Carlsbad Blvd. Carlsbad, CA 92008 Dear Mr. Grigoris: On March 12, 2014 you were notified by the Code Compliance division of the City of Carlsbad that you have a violation for not obtaining the appropriate city permits to allow for the installation or construction of the large water storage tanks located on your property at 2802 Carlsbad Boulevard. You subsequently followed up with city staff indicating that you were not aware that you were required to obtain a land use and/or building permit for the subject additions to your property, and believe that you were specifically told by city staff that no permits were required. To address your response to the violation notice,a team of development services staff met this week to discuss your project and the code compliance violation to ensure that there is no confusion and that you receive a coordinated response and a clear indication of what actions you need to take in order to clear the code violation. The consensus of development services staff (including planning, engineering and building)is that you should have applied for and received city approval of a village review and coastal development permit and a building permit before the water storage tanks were installed on your property at 2802 Carlsbad Boulevard. The City has no record that you were exempted from these permit requirements, or that a determination was made that the permits are not required for the type of facilities constructed on your property. The Village Master Plan regulates the permit requirements for the Village Area and indicates that an administrative village review permit is required for 1) all new construction of buildings or additions with a value of $60,000 or less, 2)interior or exterior improvements which result in an intensity of use, and 3) changes in permitted land uses which result in site changes. Since the water storage tanks represent new construction (with an assumption that the value of the improvements does not exceed $60,000), improvements which result in an intensification of the existing permitted use, as well as a change in land use which resulted in site changes, the project triggers a requirement for an administrative village review permit. You will need to obtain approval of this administrative village review permit by the City Planner before you may proceed with application for a building permit or any other improvements on the property. Housing and Neighborhood Services 1200 Carlsbad Village Drive I Carlsbad, CA 92008 1760-434-2815 'Nod Mr. Ludvik Grigoris April 24, 2014 Page 2 Because your property is located in the coastal zone, you must also submit an application for an administrative coastal development permit and receive approval by the City Planner. This permit will be processed concurrently with the administrative village review permit,as is required for the same reasons noted above. Attached for your use are the administrative village review permit and coastal development permit applications,as well as a related checklist for items that must be included with the applications. A copy of the development fee schedule is also attached for your information. You will need to submit the applications for an administrative village review and coastal development permit within 30 days of the date of this letter. Your contact for the Planning division is Chris DeCerbo, Principal Planner, if you have questions regarding the application.He may be contacted at (760) 602-4611. If your administrative village review and coastal development permits are approved by the City Planner, you will then be able to proceed with an application for a building permit for the approved facilities and/or improvements on your property. A building permit is required for the water storage tanks. Please note for future reference that there are very few improvements on commercial property that do not require some type of building permit; you and/or your contractors should always assume that some type of building permit will be required for any type of new construction or installation of improvements and/or facilities on your property. We apologize if there has been any confusion in the past as to the permit requirements for properties within the Village Area. We hope that his correspondence provides clarity as to the applicable requirements and the current actions required to resolve the code compliance violation on your property.As a reminder, you have thirty (30) days from the date of this letter to submit your administrative village review and coastal development permit applications to the Planning division at 1635 Faraday Avenue before further code enforcement action will be taken by the City. If the applications are not submitted, you may be subject to a citation and fine for non-compliance with the Carlsbad Municipal Code. Please also note that the city will not be able to proceed with approval of any other requests for property related improvements while this code compliance case is pending. You are encouraged to take immediate action to prevent any further delays for other city approvals or actions. Sincerely, Debbie Fountain Housing and Neighborhood Services Director Attachment cc:Development Services Team C Indemnification and Insurance Requirement for Village Area Administrative Permit Certification Statement: I Certify that I am the Legal Business Owner of the subject business and that all of the above information is true and correct to the best of my knowledge.I agree to accept and abide by any conditions placed on the subject project as a result of approval of this application.I agree to indemnify,hold harmless, and defend the City of Carlsbad and its officers and employees from all claims, damage or liability to persons or property arising from or caused directly or indirectly by the installation or placement of the subject property on the public sidewalk and/or the operation of the subject business on the public sidewalk pursuant to this permit unless the damage or liability was caused by the sole active negligence of the City of Carlsbad or its officers or employees.I have submitted a Certificate of Insurance to the City of Carlsbad in the amount of one million dollars issued by a company which has a rating in the latest "Best's Rating Guide" of "A-"or better and a financial size of $50-$100 (currently class VII) or better which lists the City of Carlsbad as "additional insured" and provides primary coverage to the City. I also agree to notify the City of Carlsbad thirty days prior to any cancellation or expiration of the policy.The notice shall be delivered to: City Planner City of Carlsbad 1635 Faraday Avenue Carlsbad The insurance shall remain in effect for as long as the property is placed on the public sidewalk or the business is operated on the public sidewalk.This agreement is a condition of the issuance of this administrative permit for the subject of this permit on the public sidewalk.I understand that an approved administrative permit shall remain in effect for as long as outdoor displays are permitted within the Village Review Area and the permittee remains in compliance with the subject proved permit. Signature V421.6-ruu;—. e_Date:3 icZai I L.. Certification Statement: I Certify that I am the Legal Property Owner for the subject business location and that all of the above information is true and correct to the best of my knowledge.I support the applicant's request for a permit to place the subject property on the public sidewalk.I understand that an approved administrative permit shall remain in effect for as long as outdoor displays are permitted within the Village Review Area and the permittee remains in compliance with the subject approved permit. • Signature Date:3 I c)-74-.I 1 (c. P-1 Page 3 of 6 Revised 07/15 C ity of PROJECT DESCRIPTION Development Services Planning Division Carlsbad P-1(B)1635 Faraday Avenue (760) 602-4610 www.carlsbadca.gov 1/VATIEn-47-0 7-"-/Qq1/ PROJECT NAME:Cliti21-5 6A72 47-44471)--11-4 (1/16'L. APPLICANT NAME:LOP Vi e.ei e-7 Please describe fully the proposed project by application type.Include any details necessary to adequately explain the scope and/or operation of the proposed project.You may also include any background information and supporting statements regarding the reasons for,or appropriateness of, the application.Use an addendum sheet if necessary. Description/Explanation: This is an application for the City of Carlsbad Minor Administrative Review Permit and Minor Coastal Permit for the 4 -10' diameter by 20' tall above grade water storage tanks located at 2802 Carlsbad Blvd. located on APN Lot 203-173-01 -00. This is response to Code Compliance Notification dated March 12,2014, Also letter dated April 24. 2014 from the Housing & Neighborhood Services Director of the City of Carlsbad. This is to get approval for the land use and once obtained, the owner will initiate the building permit process for the water tanks as per municipal building codes for such construction. P-1(B)Page 1 of 1 Revised 07/10 Development Services(City of DISCLOSURE STATEMENT Planning Division Carlsbad P-1(A)1635 Faraday Avenue (760) 602-4610 www.carlsbadca.gov Applicant's statement or disclosure of certain ownership interests on all applications which will require discretionary action on the part of the City Council or any appointed Board, Commission or Committee. The following information MUST be disclosed at the time of application submittal.Your project cannot be reviewed until this information is completed. Please print. Note: Person is defined as "Any individual, firm, co-partnership, joint venture, association, social club, fraternal organization, corporation, estate, trust,receiver, syndicate,in this and any other county, city and county, city municipality, district or other political subdivision or any other group or combination acting as a unit." Agents may sign this document; however, the legal name and entity of the applicant and property owner must be provided below. 1.APPLICANT (Not the applicant's agent) Provide the COMPLETE,LEGAL names and addresses of ALL persons having a financial interest in the application.If the applicant includes a corporation or partnership, include the names,titles,addresses of all individuals owning more than 10%of the shares.IF NO INDIVIDUALS OWN MORE THAN 10%OF THE SHARES,PLEASE INDICATE NON-APPLICABLE (N/A)IN THE SPACE BELOW.If a publicly-owned corporation,include the names,titles,and addresses of the corporate officers.(A separate page may be attached if necessary.) Person LaaviX 67/z/6671./Corp/Part Title eedit-4312 Title Address 2g92-CA 5/14`O Ud AddressGov2Ls¢7.2t C-9-floc) 6 2.OWNER (Not the owner's agent) Provide the COMPLETE,LEGAL names and addresses of ALL persons having any ownership interest in the property involved.Also,provide the nature of the legal ownership (i.e.,partnership,tenants in common,non-profit,corporation,etc.).If the ownership includes a corporation or partnership, include the names, titles, addresses of all individuals owning more than 10% of the shares.IF NO INDIVIDUALS OWN MORE THAN 10%OF THE SHARES,PLEASE INDICATE NON-APPLICABLE (N/A)IN THE SPACE BELOW.If a publicly-owned corporation,include the names,titles,and addresses of the corporate officers.(A separate page may be attached if necessary.) Person Z.11014g 6/0166)(L) S Corp/Part Title at4ieire_Title Address 2g72 CA-P6'44)%4 /41.CAddress ON.1*6.410 fle314. P-1(A)Page 1 of 2 Revised 07/10 3.NON-PROFIT ORGANIZATION OR TRUST If any person identified pursuant to (1) or (2) above is a nonprofit organization or a trust, list the names and addresses of ANY person serving as an officer or director of the non- profit organization or as trustee or beneficiary of the. Non Profit/Trust Non Profit/Trust Title Title Address Address 4.Have you had more than $500 worth of business transacted with any member of City staff,Boards,Commissions,Committees and/or Council within the past twelve (12) months? 7 Yes 154 No If yes, please indicate person(s): NOTE:Attach additional sheets if necessary. I certify that all the above information is true and correct to the best of my knowledge. aA )Sallie as 0o)nyt Signature of owner/date /Signature of applicant/date eviA k (..lfs 4.1it Are_S Print or type name of owar Print or type name of applicant Signature of owner/applicant's agent if applicable/date Print or type name of owner/applicant's agent P-1(A)Page 2 of 2 Revised 07/10 •MINOR C Development ServicesCity of COASTAL DEVELOPMENT PERMIT/Planning Division Carlsbad SINGLE FAMILY RESIDENCE APPLICATION 1635 Faraday Avenue (760) 602-4610 P-6 www.carlsbadca.gov A proposed project requiring multiple applications must be submitted prior to 3:30 p.m.A proposed project requiring only one application must be submitted prior to 4:00 p.m. All joint application exhibits, i.e. Tentative Map and Planned Development Site Plan should be prepared at the same scale.(Use a scale no smaller than 1" =40'.) I.GENERAL BACKGROUND A.Estihiated Cost of Development: Development costing $60,000 or more does not qualify as a Minor Coastal Development Permit. The City Planner shall make the final determination regarding a project's cost of development. The primary basis for determining cost of development will be the application of dollar costs per square foot for different types of residential construction.These costs are set by the International Conference of Building Officials (ICB0)and are applied throughout San Diego County. Please complete the following information to assist in the determination of this project's cost of development (Contractor proposals may also be submitted for consideration by the City Planner).Please refer to the current fee schedule for the appropriate $/square foot fee rate. New Residential Square Footage: square feet x $`6—/sq. ft. =$ Residential Addition Square Footage: square feet x $/sq. ft. =$ Any Garage Square Footage: squarefeetx$/sq. ft. =$ Residential Conversion Square Footage: squarefeetx$/sq. ft. =$ Please contact the City of Carlsbad Building Division for current fee rate for Non- Residential uses i.e.Retail/Store; Restaurants; Office; and Manufacturing/WarehouseG square feet x $/sq. ft. =$ COST 01DEVELOPMENT ESTIMATE: $ B.Do you wish to apply for: 1.A Minor Coastal Development Permit (Under $60,000 cost estimate)pe 2.A Coastal Development Permit ($60,000 or more cost estimate)D C.Street address of proposed development 6 2 C/Y-L 6k°13 WO .c/y -t-4 &/rNo Tofeye D.Assessor's Parcel Number of proposed development P-6 Page 1 of 6 Revised 01/16 %too %Ed E.Development Description: Briefly describe project:14 C'0/A-441?Thl-(NATitit foiEc x"frro c)r=1-1471-z--)J6-‘(AA -rOt_ Fl 714'f&cti&fitc.(Ai Ajm-yi_ F.Describe the present land uses (i.e. vacant land, single family homes, apartments, offices, etc.) that surround the proposed development to the: North:L.1 /2-6-7ditti (t-AsT KultirCiAtio South:17-4---fritt)et-6 -17 6#71c4ii East:V'}-C-.th-ri f 0 West:1/0 &j.tor 4Jty-c 12-16--EV\ G.Is project lote-ct?vithin a 100-year flood plain? Yes No II.PRESENT USE OF PROPERTY A.Are there existing structures on the property?[Yes ID No If yes, please describe. .wr1 ei5v1 11 --61- --k- I ,A..e0 F137 /0 J C./15 45-NA 6-Nir \A/Aqtryl.t.t) 1 11-0Ocee-,-; B.Will any existing structure be removed/demolished? Yes):21.No If yes to either question, describe the extent of the demolition or removal, including the relocation site, if applicable (also show on plans). III.LOT COVERAGE A.Existing and Proposed Existing Proposed Total Building Coverage 12(D sq. ft.l‘o1 sq. ft.sq. ft../4__% Landscaped Area ftr.sq. ft.sq. ft.sq. ft.3 % Hardscape Area 4011 -7 sq. ft.sq. ft.sq. ft.% Unimproved Area (Left Natural)sq. ft.sq. ft.sq. ft. B.Parking:Number of existing spaces • Number of new spaces proposed 2 Existing/Proposed TOTAL: Number of total spaces required Number of covered spaces Number of uncovered spaces Number of standard spaces Number of compact spaces P-6 Page 2 of 6 Revised 01/16 ftoo -of Is tandem parking existing?[Yes #0 No Is tandem parking proposed?0 Yes #____ANo C.Grade Alteration: Is any grading proposed?0 Yes Np No If yes, please complete the following: 1.Amount of cut WA cu. yds. 2.Amount of fill P/A-cu. yds. 3.Maximum height of fill slope WA"feet 4.Maximum height of cut slope WA"feet 5.Amount of import or export N/A cu. yds. 6.Location of borrow or disposal site NVIA. ( P-6 Page 3 of 6 Revised 01/16 EIA INFORMATION Development Services City of FORM Planning Division Carlsbad P-1(D)1635 Faraday Avenue (760) 602-4610 www.carlsbadca.gov INSTRUCTION SHEET FOR COMPLETING AN ENVIRONMENTAL IMPACT ASSESSMENT INFORMATION FORM This Environmental Information Form will be used to assist staff in determining what type of environmental documentation (i.e.,Environmental Impact Report,Mitigated Negative Declaration,Negative Declaration or Exemption)will be required to be prepared for your application,per the California Environmental Quality Act (CEQA)and Title 19 of Carlsbad's Municipal Code.The clarity and accuracy of the information you provide is critical for purposes of quickly determining the specific environmental effects of your project. Any environmental studies (i.e.,biological,cultural resource,traffic,noise)that are necessary to substantiate a "no impact"or "yes impact"determination should be submitted as an attachment to this Environmental Information Form.This is especially important when a Negative Declaration is being sought.The more information provided in this form,the easier and quicker it will be for staff to complete the Environmental Impact Assessment Form —Initial Study. P-1(D)Page 1 of 4 Revised 07/10 Coi ENVIRONMENTAL INFORMATION FORM (To be Completed by Applicant) Date Filed:(To be completed by City) Application Number(s): General Information 1.Name of project:bibrefit-PIZ-W2-45611)9 /42-21.--- 2.Name of developer or project sponsor:I—P1/1 6oti Address:OM .M9 /Cd-c2 City, State, Zip Code: Phone Number:(MO )7Z -VMS 3.Name of person to be contacted concerning this project:Z.VOVUZ-ea/6f D -4& Address:'MO Z 67/Y4A.0 13 L1/29. City, State, Zip Code:Ce94-It4008 Phone Number: 4.Address of Project:7436 Z .C/1-71-65-640 Assessor's Parcel Number:/7-6.3 7 3 0 0o 5.List and describe any other related permits and other public approvals required for this project, including those required by city, regional, state and federal agencies: 6.Existing General Plan Land Use Designation:V4 U /LAY/L(1 19/A?"-li 7.Existing zoning district:ve - 8.Existing land use(s):oiTrqc -* 9.Proposed use of site (Project for which this form is filed):WA7"57l.6- Project Description 10.Site size:O/q‘. 11.Proposed Building square footage:'//474K6 &713 X11 =7—an 12:Number of floors of construction: 13.Amount of off-street parking provided:14'/Y77-4•71..-(/775 -t9t/A4) 14.Associated projects: P-1(D)Page 2 of 4 Revised 07/10 15.If residential, include the number of units and schedule of unit sizes: NA" 16.If commercial, indicate the type, whether neighborhood, city or regionally oriented, square footage of sales area, and loading facilities: AI°e5A—tOADAP-62 (L&OPU/71/69/ 17.If industrial, indicate type, estimated employment per shift, and loading facilities: 18.If institutional, indicate the major function, estimated employment per shift, estimated occupancy, loading facilities, and community benefits to be derived from the project: AM_ 19.If the project involves a variance, conditional use or rezoning applications, state this and indicate clearly why the application is required: (2eZeil•J)t.r&Asf••9 0144.4t Act_ P-1(0)Page 3 of 4 Revised 07/10 sr'-404 Are the following items applicable to the project or its effects?Discuss all items checked yes (attach additional sheets as necessary). Yes No 20.Change in existing features of any bays, tidelands, beaches, or hills, or substantial 0 alteration of ground contours. 21.Change in scenic views or vistas from existing residential areas or public lands or 0 roads. 22.Change in pattern, scale or character of general area of project. ip 23.Significant amounts of solid waste or litter.0 24.Change in dust, ash, smoke, fumes or odors in vicinity.0 25.Change in ocean,bay,lake,stream or ground water quality or quantity,or 0 alteration of existing drainage patterns. 26.Substantial change in existing noise or vibration levels in the vicinity.0 27.Site on filled land or on slope of 10 percent or more.0 28.Use of disposal of potentially hazardous materials,such as toxic substances,0 yiflammables or explosives. 29.Substantial change in demand for municipal services (police, fire, water, sewage,0 etc.). 30.Substantially increase fossil fuel consumption (electricity, oil, natural gas, etc.). 31.Relationship to a larger project or series of projects.0 )g:1 Environmental Setting Attach sheets that include a response to the following questions: 32.Describe the project site as it exists before the project, including information on topography, soil stability, plants and animals, and any cultural, historical or scenic aspects.Describe any existing structures on the site, and the use of the structures.Attach photographs of the site.Snapshots or Polaroid photos will be accepted. 33.Describe the surrounding properties,including information on plants and animals and any cultural, historical or scenic aspects.Indicate the type of land use (residential, commercial, etc.), intensity of land use (one-family, apartment houses, shops, department stores, etc.), and scale of development (height,frontage,set-back,rear yard,etc.).Attach photographs of the vicinity. Snapshots or polaroid photos will be accepted. Certification I hereby certify that the statements furnished above and in the attached exhibits present the data and information required for this initial evaluation to the best of my ability, and that the facts, statements, and information presented are true and correct to the best of my knowledge and belief. xDate:\I LP Signature:N For: P-1(D)Page 4 of 4 Revised 07/10 CLTA Preliminary Report Form Order Number:CARL-5131156 (Rev.11/06)Page Number:1 •1+Fu.st American Title First American Title Company 7676 Hazard Center Drive, Ste 1100 San Diego, CA 92108 Order Number:CARL-5131156 (09) Escrow Officer:Nina Latham Phone:(760)710-3740 Fax No.:(866)656-8061 E-Mail:nlatham@firstam.com Title Officer:Bonnie Stark Phone:(619)231-4631 Fax No.:(866)497-8905 E-Mail:titleunit9@firstam.com E-Mail Loan Documents to:carlsbadteam@firstam.com Buyer:Come Property:2802 Carlsbad Boulevard Carlsbad, CA PRELIMINARY REPORT In response to the above referenced application for a policy of title insurance, this company hereby reports that it is prepared to issue, or cause to be issued, as of the date hereof,a Policy or Policies of Title Insurance describing the land and the estate or interest therein hereinafter set forth, insuring against loss which may be sustained by reason of any defect, lien or encumbrance not shown or referred to as an Exception below or not exduded from coverage pursuant to the printed Schedules, Conditions and Stipulations of said Policy forms. The printed Exceptions and Exdusions from the coverage and Limitations on Covered Risks of said policy or policies are set forth in Exhibit A attached.Thepolicy to be issued may contain an arbitration clause.When the Amount ofInsurance is less than that set forth in the arbitration clause,all arbitrable matters shall be arbitrated at the option ofeither the Company or the Insured as the exclusive remedy ofthe parties. Limitations on Covered Risks applicable to the CLTA and ALTA Homeowner's Policies of Title Insurance which establish a Deductible Amount and a Maximum Dollar Limit of Liability for certain coverages are also set forth in Exhibit A. Copies of the policy forms should be read. They are available from the office which issued this report. Please read the exceptions shown or referred to below and the exceptions and exdusions set forth in Exhibit A of this report carefully. The exceptions and exdusions are meant to provide you with notice of matters which are not covered under the terms of the title insurance policy and should be carefully considered. It is important to note that this preliminary report is not a written representation as to the condition of title and may not list all liens, defects, and encumbrances affecting title to the land. This report (and any supplements or amendments hereto)is issued solely for the purpose of facilitating the issuance of a policy of title insurance and no liability is assumed hereby.If it is desired that liability be assumed prior to the issuance of a policy of title insurance,a Binder or Commitment should be requested. First American Title Page 1 of 13 or re _ Order Number:CARL-5131156 Page Number:2 Dated as of March 14, 2016 at 7:30 A.M. The form of Policy of title insurance contemplated by this report is: To Be Determined A specific request should be made if another form or additional coverage is desired. Title to said estate or interest at the date hereof is vested in: Luvik Grigoras and Veronica Grigoras, husband and wife, as their community property The estate or interest in the land hereinafter described or referred to covered by this Report is: A fee. The Land referred to herein is described as follows: (See attached Legal Description) At the date hereof exceptions to coverage in addition to the printed Exceptions and Exclusions in said policy form would be as follows: 1.General and special taxes and assessments for the fiscal year 2016-2017,a lien not yet due or payable. 2.The lien of supplemental taxes, if any, assessed pursuant to Chapter 3.5 commencing with Section 75 of the California Revenue and Taxation Code. 3.An easement for a public highway and incidental purposes, recorded May 8, 1934 in Book 291, Page 273 of Official Records. In Favor of:The State of California Affects:As described therein 4.An easement and right of way for the use of an existing sewer and incidental purposes in the document recorded December 11, 1945 in Book 1996, Page 82 of Official Records. The location of the easement cannot be determined from record information. 5.The Terms, Provisions and Easement(s) contained in the document entitled "Electric Easement Agreement" recorded July 30, 1964 as Instrument No.137372 of Official Records. The location of the easement cannot be determined from record information. First American Title Page 2 of 13 3 Order Number:CARL-5131156 Page Number:3 6.Any lien, assessment, and/or violation or enforcement of any law, ordinance, permit or governmental regulation arising from the document entitled Certificate of Noncompliance recorded January 31, 2002 as Instrument No. 2002-0085391 of Official Records. 7.Any lien, assessment, and/or violation or enforcement of any law, ordinance, permit or governmental regulation arising from the document entitled Certificate of Compliance recorded June 28, 2002 as Instrument No. 2002-0550710 of Official Records. 8.Rights of the public in and to that portion of the land lying within any Road, Street, Alley or Highway. 9.Rights of parties in possession. First American Title Page 3 of 13 rim Nom Order Number:CARL-5131156 Page Number:4 INFORMATIONAL NOTES Note: The policy to be issued may contain an arbitration clause. When the Amount of Insurance is less than the certain dollar amount set forth in any applicable arbitration clause, all arbitrable matters shall be arbitrated at the option of either the Company or the Insured as the exclusive remedy of the parties.If you desire to review the terms of the policy, including any arbitration clause that may be included, contact the office that issued this Commitment or Report to obtain a sample of the policy jacket for the policy that is to be issued in connection with your transaction. 1.General and special taxes and assessments for the fiscal year 2015-2016. First Installment:$932.01, PAID Penalty:$0.00 Second Installment:$932.01, PAID Penalty:$0.00 Tax Rate Area:09098 A.P.No.:203-173-01-00 2.According to the latest available equalized assessment roll in the office of the county tax assessor, there is located on the land a(n) Commercial Structure known as 2802 Carlsbad Boulevard, Carlsbad, California. 3.According to the public records, there has been no conveyance of the land within a period of twenty-four months prior to the date of this report, except as follows: None 4.We find no open deeds of trust. Escrow please confirm before closing. The map attached,if any, may or may not be a survey of the land depicted hereon. First American expressly disclaims any liability for loss or damage which may result from reliance on this map except to the extent coverage for such loss or damage is expressly provided by the terms and provisions of the title insurance policy, if any, to which this map is attached. First American Title Page 4 of 13 ..." Order Number:CARL-5131156 Page Number:5 LEGAL DESCRIPTION Real property in the City of Carlsbad, County of San Diego, State of California, described as follows: THE NORTHWESTERLY 60 FEET OF BLOCK 10 OF TOWN OF CARLSBAD, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 365, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, FEBRUARY 2,1887. EXCEPTING THEREFROM THE NORTHEASTERLY 311 FEET THEREOF. APN:203-173-01-00 First American Title Page 5 of 13 Lt 3:Nd TIN fIDOS .....0[9/961.'0E961'9E56 '91799 SOki Agaseoli p5;(131 u ic*030N3WV OVI3S111/3 JO 1101 -GCS 'S9C)SLL dVWinwiSCANY1OV9S1111I.3-199l OM ED It M .4 V3S3H1 A9 30Y111A 01.-10 ON 101 OV8S11:1V0 -099171 dV1N.4 0u?1-1 --*>118 g VD 5 iiii ;1i 44 ;a4Waln,,,...0..".1 .0 I §St'''''''oe v..1 ,=431001'14')0 eat10te1-p.,"g :e••U • •—..-i:•e .1 0.8 4 1111 "4114 t'f g 0 ___-------\...."."•*".... .&r s A %@ ••••••-...'oe',E E 'sses2 k\4zIteat"olva ..1.... ....... ...' 14..... 14' 4118.tt 1- (9 .......--- ..... ' 't`., ..-cp '''.-'-'0 ..•••CI.,,,Egsa•-]t:14it lie qiwi ..- E tt$c..4 .••*s.t 1..„','t ,;1111 -'1;...3' G ... ED co tsw' ..:\„r•:ci. ::?......._r___. _cf.,.........„ ---i;;- .,ov rs'. icy os 'aU ' 0':',ti :ff..e... 7r...fr_.--Ail 074 04 • .'.•• ,.•• „..•.'",.. .'.....**... •-.V ...Dvst0.,...•....? s...4.., i........ C m 01.13 -04 .0 0 ft '-' 00 .1..)•••63....4 •.414V.' T CII 'D .-•"---..."...).0 1 •oi 1419„.---E a•s.\s - ..•••LT3 a %.-0 '4K 0.1 0 .‘.L I .0 .(;)ulel ED @ 0 - ....i ..... ct.;ao .so 0,,. - 14..0%4...4."a6L1 0es. 't a 2 Wi.lbl \CSI)sA7%24."b : ,,,,0..t 3."9.10./.ci.•®„I ° (....).....`i. 0 t.OM i0 ..a 15 (e we33s);0 ^";,,451.:V 4 04 1.Si1ttert00000131(100. 0 en)._41 -'g..1:s Y3S 3H1 AS 30‘1111A OCINO3 .S L IRS g . 9Z t® 01.00*,,, o t,%0,tr.s.T..‘...)z ‘ ,.... ,. ' 4ft •.:0 , i --A P '.....1f.,4..-e'13;.611.A.44''.1.P 'day'4 0 4 10 ..4s- a VS S3I.1Z 1.1 (9AZ1811' li t'SgaSP°V 13:1410: 10)2 (Z INS330ZnaLi0000 II31(1001.1 tki0 W•v 4..0,0 •O"'-.'0 'VSS SHJ. AS 30V1111\0 0 0 .1 0 \1.•.--.SONO°0 0 CO t w ,,0.101 ..„,smL=.,L0,.____-\...z...i........ Z JO 1.1HS _.-------L L-£0Z •S3ONVNIONO IS ao NOISIAIMS 1V'JO1 UM AlcIVIO3 ION AVIV Sl3ONV:1 S.NOSS3SSV 'NMOHS VIVO 3H1 AO Aoranoov 3141 NOd 03VINSSV SI A.1111SVII ON 'A1NO S3SO4:111d1N3VISS3SSV NOA 0311Vd3Nd SVM dVVI SKI 60 Order Number:CARL-5131156 Page Number:7 NOTICE Section 12413.1 of the California Insurance Code, effective January 1,1990, requires that any title insurance company, underwritten title company, or controlled escrow company handling funds in an escrow or sub-escrow capacity, wait a specified number of days after depositing funds, before recording any documents in connection with the transaction or disbursing funds. This statute allows for funds deposited by wire transfer to be disbursed the same day as deposit. In the case of cashier's checks or certified checks, funds may be disbursed the next day after deposit. In order to avoid unnecessary delays of three to seven days, or more, please use wire transfer, cashier's checks, or certified checks whenever possible. First American Title Page 7 of 13 Order ger:CARL-5131156 Page Number:8 First American Title Company 5946 Priestly Drive, Suite 101 Carlsbad, CA 92008 4110 first American Title (760)710-3740 INCOMING DOMESTIC WIRE INSTRUCTIONS PAYABLE TO:First American Title Company BANK:First American Trust,FSB ADDRESS:5 First American Way, Santa Ana, CA 92707 ACCOUNT NO:3127540000 ROUTING NUMBER:122241255 PLEASE REFERENCE THE FOLLOWING: PROPERTY:2802 Carlsbad Boulevard, Carlsbad, CA FILE NUMBER:CARL-5131156 (NL) PLEASE USE THE ABOVE INFORMATION WHEN WIRING FUNDS TO First American Title Company. FUNDS MUST BE WIRED FROM A BANK WITHIN THE UNITED STATES. PLEASE NOTIFY YOUR ESCROW OFFICER AT (760)710-3740 OR nlatham@firstam.com WHEN YOU HAVE TRANSMITTED YOUR WIRE. IF YOUR FUNDS ARE BEING WIRED FROM A NON-U.S. BANK. ADDITIONAL CHARGES MAY APPLY. PLEASE CONTACT YOUR ESCROW OFFICER/CLOSER FOR INTERNATIONAL WIRING INSTRUCTIONS. AN ACH TRANSFER CANNOT BE ACCEPTED FOR CLOSING, BECAUSE IT IS NOT THE SAME AS A WIRE AND REQUIRES ADDITIONAL TIME FOR CLEARANCE. FIRST AMERICAN TRUST CONTACT INFO: Banking Services 1-877-600-9473 ALL WIRES WILL BE RETURNED IF THE FILE NUMBER AND/OR PROPERTY REFERENCE ARE NOT INCLUDED With cyber crimes on the increase, it is important to be ever vigilant.If you receive an e-mail or any other communication that appears to be generated from a First American employee that contains new, revised or altered bank wire instructions, consider it suspect and call our office at a number you trust. Our bank wire instructions seldom change. First American Title Page 8 of 13 Order Number:CARL-5131156 Page Number:9 EXHIBIT A LIST OF PRINTED EXCEPTIONS AND EXCLUSIONS (BY POLICY TYPE) CLTA/ALTA HOMEOWNER'S POLICY OF TITLE INSURANCE (02-03-10) EXCLUSIONS In addition to the Exceptions in Schedule B, You are not insured against loss, costs, attorneys' fees, and expenses resulting from: 1.Governmental police power, and the existence or violation of those portions of any law or government regulation concerning: (a) building;(d) improvements on the Land; (b) zoning;(e) land division; and (c) land use;(f) environmental protection. This Exclusion does not limit the coverage described in Covered Risk 8.a., 14, 15, 16, 18, 19, 20, 23 or 27. 2.The failure of Your existing structures, or any part of them, to be constructed in accordance with applicable building codes.This Exclusion does not limit the coverage described in Covered Risk 14 or 15. 3.The right to take the Land by condemning it.This Exclusion does not limit the coverage described in Covered Risk 17. 4.Risks: (a) that are created, allowed, or agreed to by You, whether or not they are recorded in the Public Records; (b) that are Known to You at the Policy Date, but not to Us, unless they are recorded in the Public Records at the Policy Date; (c) that result in no loss to You; or (d) that first occur after the Policy Date -this does not limit the coverage described in Covered Risk 7, 8.e., 25, 26, 27 or 28. 5.Failure to pay value for Your Title. 6.Lack of a right: (a) to any land outside the area specifically described and referred to in paragraph 3 of Schedule A; and (b)in streets, alleys, or waterways that touch the Land. This Exclusion does not limit the coverage described in Covered Risk 11 or 21. 7.The transfer of the Title to You is invalid as a preferential transfer or as a fraudulent transfer or conveyance under federal bankruptcy, state insolvency, or similar creditors' rights laws. LIMITATIONS ON COVERED RISKS Your insurance for the following Covered Risks is limited on the Owner's Coverage Statement as follows:For Covered Risk 16, 18, 19, and 21 Your Deductible Amount and Our Maximum Dollar Limit of Liability shown in Schedule A. Your Deductible Amount Our Maximum Dollar Limit of Liability Covered Risk 16:1% of Policy Amount or $2,500.00 (whichever is less)$10,000.00 Covered Risk 18: 1% of Policy Amount or $5,000.00 (whichever is less)$25,000.00 Covered Risk 19:1% of Policy Amount or $5,000.00 (whichever is less)$25,000.00 Covered Risk 21:1%of Policy Amount or $2,500.00 (whichever is less)$5,000.00 ALTA RESIDENTIAL TITLE INSURANCE POLICY (6-1-87) EXCLUSIONS In addition to the Exceptions in Schedule B,you are not insured against loss, costs, attorneys' fees, and expenses resulting from: 1.Governmental police power,and the existence or violation of any law or government regulation.This includes building and zoning ordinances and also laws and regulations concerning: (a) and use (b) improvements on the land (c) and division (d) environmental protection This exclusion does not apply to violations or the enforcement of these matters which appear in the public records at Policy Date. This exclusion does not limit the zoning coverage described in Items 12 and 13 of Covered Title Risks. 2.The right to take the land by condemning it, unless: First American Title Page 9 of 13 iiimirromm Order NQer:CARL-5131156 Page Number:10 (a)a notice of exercising the right appears in the public records on the Policy Date (b) the taking happened prior to the Policy Date and is binding on you if you bought the land without knowing of the taking 3.Title Risks: (a) that are created, allowed, or agreed to by you (b) that are known to you, but not to us, on the Policy Date —unless they appeared in the public records (c) that result in no loss to you (d) that first affect your title after the Policy Date --this does not limit the labor and material lien coverage in Item 8 of Covered Title Risks 4.Failure to pay value for your title. 5.Lack of a right: (a) to any land outside the area specifically described and referred to in Item 3 of Schedule A OR (b)in streets, alleys, or waterways that touch your land This exclusion does not limit the access coverage in Item 5 of Covered Title Risks. 2006 ALTA LOAN POLICY (06-17-06) EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys'fees, or expenses that arise by reason of: 1.(a) Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating,prohibiting, or relating to (i) the occupancy, use, or enjoyment of the Land; (ii) the character, dimensions, or location of any improvement erected on the Land; (iii) the subdivision of land; or (iv) environmental protection; or the effect of any violation of these laws, ordinances, or governmental regulations. This Exdusion 1(a) does not modify or limit the coverage provided under Covered Risk 5. (b) Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 6. 2.Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8. 3.Defects, liens, encumbrances, adverse claims, or other matters (a) created, suffered, assumed, or agreed to by the Insured Claimant; (b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy; (c) resulting in no loss or damage to the Insured Claimant; (d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 11,13, or 14); or (e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Insured Mortgage. 4.Unenforceability of the lien of the Insured Mortgage because of the inability or failure of an Insured to comply with applicable doing-business laws of the state where the Land is situated. 5.Invalidity or unenforceability in whole or in part of the lien of the Insured Mortgage that arises out of the transaction evidenced by the Insured Mortgage and is based upon usury or any consumer credit protection or truth-in-lending law. 6.Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws, that the transaction creatingthe lien of the Insured Mortgage,is (a)a fraudulent conveyance or fraudulent transfer, or (b)a preferential transfer for any reason not stated in Covered Risk 13(b) of this policy. 7.Any lien on the Title for real estate taxes or assessments imposed by govemmental authority and created or attaching between Date of Policy and the date of recording of the Insured Mortgage in the Public Records. This Exclusion does not modify or limit the coverage provided under Covered Risk 11(b). The above policy form may be issued to afford either Standard Coverage or Extended Coverage.In addition to the above Exclusions from Coverage, the Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage: EXCEPTIONS FROM COVERAGE This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses) that arise by reason of: 1.(a) Taxes or assessments that are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the Public Records; (b) proceedings by a public agency that may result in taxes or assessments, or notices of such proceedings, whether or not shown by the records of such agency or by the Public Records. 2.Any facts, rights, interests, or claims that are not shown by the Public Records but that could be ascertained by an inspection of the Land orthat may be asserted by persons in possession of the Land. 3.Easements, liens or encumbrances, or claims thereof, not shown by the Public Records. First American Title Page 10 of 13 40111.1 Order Number:CARL-5131156 Page Number:11 4.Any encroachment, encumbrance, violation, variation, or adverse circumstance affecting the Title that would be disclosed by an accurate and complete land survey of the Land and not shown by the Public Records. 5.(a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water, whether or not the matters excepted under (a), (b), or (c) are shown by the Public Records. 6.Any lien or right to a lien for services, labor or material not shown by the public records. 2006 ALTA OWNER'S POLICY (06-17-06) EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys' fees, or expenses that arise by reason of: 1.(a) Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating to (i) the occupancy, use, or enjoyment of the Land; (ii) the character, dimensions, or location of any improvement erected on the Land; (iii) the subdivision of land; or (iv) environmental protection; or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage provided under Covered Risk 5. (b) Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 6. 2.Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8. 3.Defects, liens, encumbrances, adverse claims, or other matters (a) created, suffered, assumed, or agreed to by the Insured Claimant; (b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy; (c) resulting in no loss or damage to the Insured Claimant; (d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 9 or 10); or (e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Title. 4.Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws, that the transaction vesting the Title as shown in Schedule A, is (a)a fraudulent conveyance or fraudulent transfer, or (b)a preferential transfer for any reason not stated in Covered Risk 9 of this policy. 5.Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching between Date of Policy and the date of recording of the deed or other instrument of transfer in the Public Records that vests Title as shown in Schedule A. The above policy form may be issued to afford either Standard Coverage or Extended Coverage.In addition to the above Exclusions from Coverage, the Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage: EXCEPTIONS FROM COVERAGE This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses) that arise by reason of: 1.(a) Taxes or assessments that are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the Public Records; (b) proceedings by a public agency that may result in taxes or assessments, or notices of such proceedings, whether or not shown by the records of such agency or by the Public Records. 2.Any facts, rights, interests, or claims that are not shown by the Public Records but that could be ascertained by an inspection of the Land or that may be asserted by persons in possession of the Land. 3.Easements, liens or encumbrances, or claims thereof, not shown by the Public Records. 4.Any encroachment, encumbrance, violation, variation, or adverse circumstance affecting the Title that would be disclosed by an accurate and complete land survey of the Land and not shown by the Public Records. 5.(a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water, whether or not the matters excepted under (a), (b), or (c) are shown by the Public Records. 6.Any lien or right to a lien for services, labor or material not shown by the public records. ALTA EXPANDED COVERAGE RESIDENTIAL LOAN POLICY (07-26-10) EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys' fees, or expenses that arise by reason of: First American Title Page 11 of 13 rr 0111111111111111111.111.• Order Nu ber:CARL-5131156 Page Number:12 1.(a) Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating to (i) the occupancy, use, or enjoyment of the Land; (ii) the character, dimensions, or location of any improvement erected on the Land; (iii) the subdivision of land; or (iv) environmental protection; or the effect of any violation of these laws, ordinances, or governmental regulations.This Exdusion 1(a) does not modify or limit the coverage provided under Covered Risk 5, 6, 13(c), 13(d), 14 or 16. (b) Any govemmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 5, 6, 13(c), 13(d), 14 or 16. 2.Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8. 3.Defects, liens, encumbrances, adverse claims, or other matters (a) created, suffered, assumed, or agreed to by the Insured Claimant; (b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy; (c) resulting in no loss or damage to the Insured Claimant; (d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 11, 16,17, 18, 19, 20, 21, 22, 23, 24, 27 or 28); or (e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Insured Mortgage. 4.Unenforceability of the lien of the Insured Mortgage because of the inability or failure of an Insured to comply with applicable doing- business laws of the state where the Land is situated. 5.Invalidity or unenforceability in whole or in part of the lien of the Insured Mortgage that arises out of the transaction evidenced by the Insured Mortgage and is based upon usury or any consumer credit protection or truth-in-lending law. This Exclusion does not modify or limit the coverage provided in Covered Risk 26. 6.Any claim of invalidity, unenforceability or lack of priority of the lien of the Insured Mortgage as to Advances or modifications made after the Insured has Knowledge that the vestee shown in Schedule A is no longer the owner of the estate or interest covered by this policy. This Exdusion does not modify or limit the coverage provided in Covered Risk 11. 7.Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching subsequent to Date of Policy. This Exclusion does not modify or limit the coverage provided in Covered Risk 11(b) or 25. 8.The failure of the residential structure, or any portion of it, to have been constructed before, on or after Date of Policy in accordance with applicable building codes.This Exclusion does not modify or limit the coverage provided in Covered Risk 5 or 6. 9.Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws, that the transaction creating the lien of the Insured Mortgage,is (a)a fraudulent conveyance or fraudulent transfer, or (b)a preferential transfer for any reason not stated in Covered Risk 27(b) of this policy. First American Title Page 12 of 13 SAW'Order Number:CARL-5131156 Page Number:13 ,116R,ot, :1;1411iXti' First American Thie Privacy Information We Are Committed to Safeguarding Customer Information In order to better serve your needs now and in the future, we may ask you to provide us with certain information. We understand that you may be concerned about what we will do with such information -particularly any personal or financial information. We agree that you have a right to know how we will utilize the personal information you provide to us.Therefore, together with our subsidiaries we have adopted this Privacy Policy to govern the use and handling of your personal information. Applicability This Privacy Policy governs our use of the information that you provide to us.It does not govern the manner in which we may use information we have obtained from any other source, such as information obtained from a public record or from another person or entity. First American has also adopted broader guidelines that govern our use of personal information regardless of its source. First American calls these guidelines its Fair Information Values. Types of Information Depending upon which of our services you are utilizing, the types of nonpublic personal information that we may collect include:•Information we receive from you on applications, forms and in other communications to us, whether in writing, in person, by telephone or any other means;•Information about your transactions with us, our affiliated companies, or others; and•Information we receive from a consumer reporting agency. Use of Information We request information from you for our own legitimate business purposes and not for the benefit of any nonaffiliated party. Therefore, we will not release your information to nonaffiliated parties except:(1) as necessary for us to provide the product or service you have requested of us; or (2)as permitted by law. We may, however, store such information indefinitely, including the period after which any customer relationship has ceased. Such information may be used for any internal purpose, such as quality control efforts or customer analysis. We may also provide all of the types of nonpublic personal information listed above to one or more of our affiliated companies.Such affiliated companies include financial service providers, such as title insurers,property and casualty insurers, and trust and investment advisory companies, or companies involved in real estate services, such as appraisal companies, home warranty companies and escrow companies. Furthermore, we may also provide all the information we collect, as described above, to companies that perform marketing services on our behalf,on behalf of our affiliated companies or to other financial institutions with whom we or our affiliated companies have joint marketing agreements. Former Customers Even if you are no longer our customer, our Privacy Policy will continue to apply to you. Confidentiality and Security We will use our best efforts to ensure that no unauthorized parties have access to any of your information. We restrict access to nonpublic personal information about you to those individuals and entities who need to know that information to provide products or services to you. We will use our best efforts to train and oversee our employees and agents to ensure that your information will be handled responsibly and in accordance with this Privacy Policy and First American's Fair Information Values. We currently maintain physical,electronic, and procedural safeguards that comply with federal regulations to guard your nonpublic personal information. Information Obtained Through Our Web Site First American Financial Corporation is sensitive to privacy issues on the Internet. We believe it is important you know how we treat the information about you we receive on the Internet. In general, you can visit First American or its affiliates' Web sites on the World Wide Web without telling us who you are or revealing any information about yourself.Our Web servers collect the domain names, not the e-mail addresses, of visitors. This information is aggregated to measure the number of visits, average time spent on the site, pages viewed and similar information. First American uses this information to measure the use of our site and to develop ideas to improve the content of our site. There are times, however, when we may need information from you, such as your name and email address. When information is needed, we will use our best efforts to let you know at the time of collection how we will use the personal information.Usually,the personal information we collect is used only by us to respond to your inquiry,process an order or allow you to access specific account/profile information.If you choose to share any personal information with us, we will only use it in accordance with the policies outlined above. Business Relationships First American Financial Corporation's site and its affiliates' sites may contain links to other Web sites. While we try to link only to sites that share our high standards and respect for privacy, we are not responsible for the content or the privacy practices employed by other sites. Cookies Some of First American's Web sites may make use of "cookie" technology to measure site activity and to customize information to your personal tastes. A cookie is an element of data thata Web site can send to your browser, which may then store the cookie on your hard drive. FirstAm.com uses stored cookies.The goal of this technology is to better serve you when visiting our site,save you time when you are here and to provide you with a more meaningful and productive Web site experience. Fair Information Values Fairness We consider consumer expectations about their privacy in all our businesses. We only offer products and services that assure a favorable balance between consumer benefits and consumer privacy. Public Record We believe that an open public record creates significant value for society, enhances consumer choice and creates consumer opportunity. We actively support an open public record and emphasize its importance and contribution to our economy. Use We believe we should behave responsibly when we use information about a consumer in our business. We will obey the laws governing the collection, use and dissemination of data. Accuracy We will take reasonable steps to help assure the accuracy of the data we collect,use and disseminate. Where possible, we will take reasonable steps to correct inaccurate information. When, as with the public record, we cannot correct inaccurate information, we will take all reasonable steps to assist consumers in identifying the source of the erroneous data so that the consumer can secure the required corrections. Education We endeavor to educate the users of our products and services, our employees and others in our industry about the importance of consumer privacy. We will instruct our employees on our fair information values and on the responsible collection and use of data. We will encourage others in our industry to collect and use information in a responsible manner. Security We will maintain appropriate facilities and systems to protect against unauthorized access to and corruption of the data we maintain. Form 50-PRIVACY (9/1/10)Page 1 of 1 Privacy Information (2001-2010 First American Financial Corporation) First American Title Page 13 of 13