Garlic Farm Annex, LLC
DOCUMENT: 15758896 Tit I es: 1 1 Pages: 5
,. U 111\ ~IIIIIIIIII Fees. . . 19.00
RECORDING REQUESTED BY Taxes. . .
AND Cop i es. .
WHEN RECORDED MAIL TO: _0015758896- AMT PAID 19.00
City of Gilroy BRENDA DAVIS ROE 1:1 007
7351 Rosanna Street SANTA CLARA COUNTY RECORDER 7/06/2001
Gilroy, CA 95020 Recorded at the request of 8:08 AM
Attn: City Clerk Foreclosure Company
APN: Subdivided Parcel 3 of841-14-076 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
J LL~ ~ , 2001 ("Effective Date") by and between the City of Gilroy, a municipal
corpo Ion ("CIty") and Garlic Farm Annex LLC, a Califorma limited liability corporatIon
("Owner").
RECITALS
A. Owner is the fee owner of certain real property located at 5878 Monterey Road,
Gilroy, California, more particularly described on Exhibit "A" attached hereto ("Property").
Owner desires to construct a new recreational vehicle park comprised of one hundred fifty seven
(157) spaces, commercial buildings of approximately three thousand four hundred forty-six
(3,446) square feet, and one residential unit for the on-site manager (the ''New Business"). In
connection with the development of the New Business, Development Impact Fees in the amount
of Four Hundred Seventy-Two Thousand Four Hundred Nineteen dollars and Eighty-Nine Cents
($472,413.89) will be due and owing to City upon issuance ofa building permit for construction
of the New Business. Pursuant to a certain Agreement between the City of Gilroy and Garlic
Farm Annex LLC, being entered into concurrently herewith ("Deferral Agreement"), the City
will grant Owner a contingent credit against Development Impact Fees in the amount of Three
Hundred Eighty-Eight Thousand Four hundred dollars ($388,400.00) ("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
building 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.
INVH1518953.1
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
of the Property, all of whom shall have joint and several liability for the payment of the 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:
s~ :>} ~I
By:
Jay
Its:
Dated: ? - ;? - 0 I
of~c:~
City Attorney
Dated:
?,U'~o/
GARLIC FARM ANNEX LLC.
BY:~ . ,
o d Vierra
Its: anagin lartner jUI'f ~
By:
Philip N guye
Its: Managing Partner
INVH1518953.1
'1
EXHIBIT" A"
LEGAL DESCRIPTION OF PARCEL 3:
ALL THAT CERTAIN REAL PROPERTY SITUATED IN THE CITY OF GILROY, COUNTY OF SANTA
CLARA, STATE OF CALIFORNIA, DESCRIBED AS FOLLOWS:
BEING ALL OF PARCEL 3 AS SHOWN UPON THAT CERTAIN PARCEL MAP RECORDED JANUARY 19,
2001 IN BOOK 736 OF MAPS, AT PAGES 22-24 OFFICIAL RECORDS OF SANTA CLARA COUNTY.
CONTAINING THEREIN 8.68 ACRES :f: GROSS
\NVH\518953.1
'1
,
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
No. 5907
On
('
State of
County of
personally appeared
NAME(S) OF SIGNER(S)
o personally known to me - OR - !f1 proved to me on the basis of satisfactory evidence
to be the person(s} whose name(s} is/~
subscribed to the within instrument and ac-
knowledged to me that he/she/~xecuted
the same in his/her/~ authoriz
capacit.y(ies}, and that by his/her/ hei
signature on the instrument the person s},
or the enti upon behalf of which the
person(s} ac ed, ecuted the instrument.
2 ~].COI
DN{QC d
DATE
en
J~ A:.- :: A ~ . ~~~I~ ~~I~~E~ . . A At
.... / ...... . COMM. #1232851
US ; .. Notary Public-California ~
W" SANTA ClARA COUNTY ::
J T T Y : :.~ Y ~YyC~ ~.~~~~ :2~2~: f
SIGNATURE OF NOTARY
OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent
fraudulent reattachment of this form.
CAPACITY CLAIMED BY SIGNER
o INDIVIDUAL
o CORPORATE OFFICER
DESCRIPTION OF ATTACHED DOCUMENT
o PARTNER(S)
o LIMITED
o GENERAL
Cov e.Y\QIf\ -l- ee ,1flvJ ; ^ J
TITLE OR TYPE OF DOCUME
'~VJl)lJ~1IV1 tiA -r f --eL-S
3
NUMBER OF PAGES
TITLE(S)
o ATTORNEY-IN-FACT
o TRUSTEE(S)
~ GUARDIAN/CONSERVATOR n
lfLOTHER:J\1a.najl'v?,J tnv1nl V'
~ (d-~/O /
DATE OF DOCUMENT
SIGNER IS REPRESENTING:
NAME OF PERSON(S) OR ENTITY(IES)
SIGNER(S) OTHER THAN NAMED ABOVE
@1993 NATIONAL NOTARY ASSOCIATION' 8236 Remmel Ave., P.O. Box 7184' Canoga Park. CA 91309-7184
EXHIBIT "B"
STATE OF CALIFORNIA )
)ss.
COUNTY OF SANTA CLARA )
TITLE OF DOCUMENT: Covenant Regarding Development Fees (Covenant Running
With The Land) by and between the City of Gilroy, a municipal
corporation ("City") and Garlic Farm Annex LLC, a California
limited liability corporation ("Owner")
On July 5, 2001, before me, Patricia K. Bentson, Notary Public, personally appeared Jay Baksa
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.
WITNESS my hand and official seal.
~4-/
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..c;. PATRICIA IC. BensON
.~a.."c.:.................c:o..... """"'*1219"1 ..
~. ~ PubIic-Califcmia ~
iiZ=,~~:,n~zml
~--------------
per GC Sec. 40814; CC Sec. 1181
(Notary Seal)