Country Garlic USA RV Park
DOCUMENT: 16476211
Titles: 1 1 Pages: 5
RECORDING REQUESTED BY
AND
WHEN RECORDED MAIL TO:
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Fees. . . .
Taxes. . .
Copies.
AMT PAID
19.00
19.00
City of Gilroy
7351 Rosanna Street
Gilroy, CA 95020
Attn: City Clerk
BRENDA DAVIS
SANTA CLARA COUNTY RECORDER
Recorded at the request of
City
ROE l:I 011
9/12/2002
11: 03 AM
APN: Parcel 841-67-023
SPACE ABOVE THIS LINE FOR RECORDER'S USE
COVENANT REGARDING DEVELOPMENT FEES
(COVENANT RUNNING WITH THE LAND)
This Covenant Regarding Development Fees ("Covenant") is made and entered into as of
--- , 2002 ("Effective Date") by and between the City of Gilroy, a municipal
co oration ("City") and EP&G Properties, a California partnership doing business as Country
Garlic USA R V Park, hereinafter referred to as "Owner."
RECITALS
A. Owner is the fee owner of certain real property located at 650 Holloway Road,
Gilroy, California, more particularly described on Exhibit "A" attached hereto ("Property").
Owner desires to construct or has caused to be constructed a new recreational vehicle park
comprised of one hundred seventy-six (176) spaces to accommodate overnight recreational
vehicle parking and commercial buildings of approximately four thousand nine hundred (4,900)
square (the "New Business"). In connection with the development of the New Business,
Development Impact Fees in the amount of Five Hundred Seventeen Thousand Two Hundred
Forty-seven Dollars and Eleven Cents ($517,247.11) will be due and owing to City upon
issuance of an encroachment permit for construction of the New Business. Pursuant to a certain
Agreement between the City of Gilroy and EP&G Properties, a California partnership doing
business as Country Garlic USA RV Park, being entered into concurrently herewith ("Deferral
Agreement"), the City will grant Owner a contingent credit against Development Impact Fees in
the amount of Two Hundred Thirty-six Thousand Eight Hundred Seventy-four Dollars
($236,874) ("the Deferred Fees"), pursuant to which all or a portion of the Deferred Fees,
together with interest thereon at the City's highest investment rate for new monies computed
from the date of issuance of the encroachment permit for the New Business until the amount
owing is paid in full ("Interest"), may become payable to the City at a later date on the terms and
conditions set forth in the Deferral Agreement. The parties desire to enter into and record this
Covenant as notice to all subsequent owners of the Property that the Deferred Fees and Interest
may be payable by the Property Owner to the City in accordance with the terms and conditions
of the Deferral Agreement.
NOW, THEREFORE, FOR VALUABLE CONSIDERATION, THE PARTIES AGREE
AS FOLLOWS:
1. Owner hereby agrees, on behalf of itself and all subsequent owners of the
Property, to pay, when due, all Deferred Fees and Interest, in accordance with the terms and
conditions set forth in the Deferral Agreement.
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01-06061NHSEOOO
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2. The City and Owner hereby declare their express intent that the covenants set
forth in this Agreement are covenants running with the land, and apply to and bind Owner and
each of Owner's heirs, assigns, successors and successors-in-interest, and all subsequent owners
ofthe Property, all of whom shall have joint and several liability for the payment ofthe sums due
to City as described in this Covenant. Each and every contract, deed or other instrument
hereafter executed conveying the Property or any portion thereof shall be held conclusively to
have been executed, delivered and accepted subject to such covenants, regardless of whether
such covenants are set forth in such contract, deed or other instrument. All covenants contained
herein shall, without regard to technical classification or designation, be binding upon the Owner
and its heirs, assigns, successors and successors-in-interest, and all subsequent owners of the
Property, for the benefit of the City, and such covenants shall run in favor of City without regard
to whether the City is an owner of any land or interest therein to which such covenants relate.
3. If any action or suit is brought by one party against the other to enforce or
interpret this Covenant, the prevailing party in such action or suit shall be entitled to have and
recover from the other party all costs and expenses incurred in such action or suit, including
reasonable attorneys' fees.
4. If any provision of this Covenant is, or hereinafter is determined to be, for any
reason void, unenforceable or invalid, the remainder of this Covenant shall be and remain in full
force and effect. This Covenant shall be governed and construed in accordance with the laws of
the State of California. The waiver or failure to enforce any provision of this Covenant shall not
operate as a waiver of any future breach of any such provision or any other provision hereof.
Executed on the date set forth below.
Dated:
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ATTEST:
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APPROVED AS T r :
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City Attorney
Dated:
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Its:
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EXHIBIT A
LEGAL DESCRIPTION
All that certain Real Property in the City of Gilroy, County of Santa Clara,
State of California, described as follows:
Parcel One as shown on that certain Map filed in the Office of the Recorder
of the County of Santa Clara, State of California on December 29, 1997, in
Book 698 of Maps, Pages 12 and 13.
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
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STATE OF CALIFORNIA )
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COUNTY OF SANTA CLARA )
TITLE OF DOCUMENT: Covenant Regarding Development Fees
(Covenant Running with the Land)
Lowe's mw., Inc.
Dated: September 5, 2002
On SeDtember 114 2002, before me, Luoita Gaeta4 Nota" Public, personally appeared
Jav Baksa4 City Administrator, personally known to me to be the person whose name is subscribed to
the within instrument and acknowledged to me that he executed the same in his authorized capacity,
and that by his signature on the instrument the person or the entity upon behalf of which the person
acted, executed the instrument.
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WITNESS my hand and official seal.
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(Notary Seal)