HomeMy WebLinkAboutAgr 2000-02-22 (Margaret May)' ti45T AMEBIC
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First American Title Company of MarirVOWN ATTORNEY'S OFFICE
10 South Knoll Road • Mill Valley, CA 94941 TOWN OF TIBURON
P.O. Box 611, Mill Valley, CA 94942
(415) 383-3343 • FAX: (415) 383-9658
Town of Tiburon Escrow No. 2-022301 KD
1505 Tiburon Blvd. Date: March 14, 2000
Tiburon, CA 94920 -Re: 160 Solano Avenue
Attn: Ann R. Danforth, Esq. Tiburon, CA 94920
Per the request of Felicia Vallera please find for your review the items indicated below.
1. Conformed copy of Improvement Agreement
We appreciate having the opportunity of working with you. If there are any items you want furnished
to you, please let us know so that we may provide them to you when we receive them. If you have
any questions, please call us.
Sincerely,
,Aa
Karen Di Basilio
Escrow Officer
Enclosure(s)
Affiliated with First American Title Insurance Company
RECORDING REQUESTED BY
AND WHEN RECORDED MAIL TO:
Paul E. Schrier, ;esq.
Lillick & Charles LLP
Two Embarcadero Center, Suite 2700
San Francisco, California 94111
Recorders Serial NoQ~20'-' /-24:~, -5~Z
Recorded 113 I 4;~) ov @ f 0 d 19 M
Mo. Day Year
Certified to be a true and correct copy
of the original.
FI Al AN TITLE COMPANY
of Marin
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THIS SPAC FOR RECORDERS USE ONLY
IMPROVEMENT AGREEMENT
This Improvement Agreement ("Agreement") is made and entered into as of February 22,
2000, by and between MARGARET MAY ("Owner"), and the TOWN OF TIBURON, a
municipal corporation of the State of California (the "Town").
RECITALS
A. Owner is the owner of certain real property located at 160 Solano Street in Tiburon,
California, and more particularly described on Exhibit A attached hereto and
incorporated herein by reference (the "Property").
B. Owner has requested Town to approve certain applications to subdivide the Property into
two condominium units, including, without limitation, approving a Site Plan and
Architectural Review, a Condominium Conditional Use Permit, and a Tentative and Final
Parcel Map.
C. Pursuant to Town's Zoning Ordinance, the conditions of approval to the Tentative Parcel
Map require that prior to recordation of the Final Parcel Map, the condominium project
must conform to all current state and local laws, ordinances and regulations, including,
without limitation, those pertaining to housing, building, fire, subdivision and zoning
(collectively, "Legal Requirements").
D. The single family residence currently located at the Property (the "Existing Residence")
has certain deficiencies that must be corrected in order for the Existing Residence to
comply with the Legal Requirements. Such deficiencies and the work required to satisfy
the Legal Requirements (collectively, the "Required Improvements") are more
particularly described on Exhibits B, C, and D, attached hereto and incorporated herein
by reference.
E. Owner has clearly established that she is financially unable to correct the deficiencies and
complete the Required Improvements prior to recordation of the Final Parcel Map and the
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sale of the new unit that will be created by the condominium conversion project (the
"New Unit"), and that she will experience extreme financial hardship and her dependent
daughter;will experience extreme medical hardship if Owner is required to correct the
deficiencies and complete the Required Improvements prior to recordation of the Final
Parcel Map.
F. Owner and Town wish to enter into this Agreement to. insure that the deficiencies in the
Existing Residence will be corrected within a reasonable time after recordation of the
Final Parcel Map and close of escrow on the New Unit ("Close of Escrow"). Close of
Escrow is anticipated to occur on approximately February 23, 2000.
AGREEMENT
NOW, THEREFORE, in consideration of the foregoing, Owner and Town hereby agree
as follows:
1. Duties of Owner.
1.1. Construction of Required Improvements. Owner agrees that she will construct all
Required Improvements to the Existing Residence set forth in Exhibit B to this
Agreement within 60 days after Close of Escrow or by May 15, 2000, whichever is
earlier. Owner further agrees that she will construct all Required Improvements to the
Existing Residence set forth in Exhibit C to this Agreement within 180 days after Close
of Escrow or by September 15, 2000, whichever is earlier. Owner shall obtain all legally
required; permits for the Required Improvements and for the work previously performed
in the Existing Residence without legally required permits (excluding the Upper Level
skylight).
The Town Building Official shall have authority to approve reasonable extensions of
time, in writing, for completion of construction of the Required Improvements as set forth
above or in Section 6 of this Agreement as necessitated by inclement weather or other
factors beyond Owner's reasonable control, such approvals not to be unreasonably
withheld or delayed. Such extensions shall in no event exceed an aggregate of sixty (60)
days.
1.2. Building Official Deletion of Required Improvements. Prior to commencement
of construction of the Required Improvements, the Building Official shall review the
Required Improvements set forth in Exhibits B, C and D. If the Building Official
determines, in his sole discretion, that any improvements are unnecessary for safe
occupancy of the Existing Residence, he shall delete such improvements from this
Agreement.
1.3. Construction Standards. Owner hereby covenants and agrees that construction of
the Required Improvements shall be completed in a good workmanlike manner in
accordance with reasonable and comparable standards for such construction and in
2 246468.1
accordance with all Legal Requirements, including, without limitation, the current edition
of the Uniform Building Code (the "Code").
1.4. Grant of Access. Owner hereby grants Town and its contractors, subcontractors,
agents and employees, a non-exclusive right of ingress and egress to the Property during
business hours and with at least one (1) business day prior notice to Owner, for the
purpose of (i) performing any inspections required by the terms of this Agreement or any
Legal Requirements; or (ii) performing any of the Required Improvements pursuant to the
terms and conditions of Section 4. Such right of ingress and egress shall terminate when
all of the Required Improvements are finally completed in accordance with the terms and
conditions of this Agreement.
1.5. Recording. Owner shall cause this Agreement to be recorded in the County
Recorder's Office of Marin County within ten calendar days of the date of this
Agreement. Within five days of such recorded, Owner shall provide the Town Attorney
with a copy thereof, showing the document number and official stamp of the Recorder's
Office.
2. Duties of Town.
2.1. Timely Inspection. Whenever inspection by Town, or its contractors,
subcontractors, agents or employees is required by any Legal Requirements or the terms
of this Agreement, Town shall cause such inspection to be performed timely, in
accordance with reasonable and comparable inspection standards, and with appropriate
consideration of the right of the Owner and other occupants of the Existing Residence to
quiet enjeymept of the Property. Any required acceptances or approvals resulting from
such inspections shall not be unreasonably delayed or withheld.
2.2. Timely Final Acceptance. Upon final completion of all of the Required
Improvements in accordance with this Agreement, Town shall timely notify Owner in
writing of its final acceptance of said Required Improvements, shall take all steps
necessary for release of the security interest held by Town in the Improvement Funds (as
defined in Section 3.4), and if requested by Owner, shall execute and record in the
Official Records of Marin County a Notice of Completion evidencing such completion in
the form and substance reasonably acceptable to Town and Owner.
3. Funding and Reports.
3.1. Owner to Pay for Required Improvements. Owner shall be obligated to pay all
costs of the Required Improvements, including, without limitation, all costs of labor,
materials, permits, fees and interest on any borrowed funds for the completion of
Required Improvements. Owner hereby warrants and represents that the costs of the
Required Improvements are currently estimated at approximately fifty-five thousand
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dollars ($55,000). Owner shall be responsible for completing the Required
Improvements notwithstanding the actual cost of completion.
3.2. Improvement Funds. The escrow company responsible for the Close of Escrow
("Escrow Holder") is:
First American Title Insurance Company
10 South Knoll Road #2, Mill Valley, California
Telephone: (415) 383-3343
Facsimile: (415) 457-8324
Attn: Karen DiBasilio
Owner shall instruct the Escrow Holder to retain the sum of fifty-five thousand dollars
($55,000) ("Improvement Funds") in a segregated account with an FDIC insured
financial institution. The escrow instructions shall stipulate that the Improvement Funds
shall be used for no purpose other than to pay the costs of the Required Improvements
and shall be administered as set forth in Section 3.3. Owner covenants and agrees not to
withdraw any funds from such deposit account except to pay. for the Required
Improvements; provided, however, Owner may withdraw any interest earned on the
Improvement Funds. Owner shall provide Town with a copy of the escrow instructions
required by this Section prior to Close of Escrow. If required by Escrow Holder, Town
shall execute and deliver the escrow instructions to the Escrow Holder, and such other
documents reasonably requested by Escrow Holder to establish and operate said escrow
with the Escrow Holder.
3.3. Use of Improvement Funds. The Improvement Fund shall be administered as
follows: All invoices, bills and other requests for payments (collectively, "Invoices") for
the Requirement Improvements shall be submitted for the Town Building Official for
review, with copies delivered to the Escrow Holder on the same day. The Town shall
have five business days to review each Invoice and, at the discretion of the Building
Official, to inspect the work covered by said Invoice. If the Building Official finds that
such work has not been satisfactorily completed, he shall so advise the Escrow Holder
and the Escrow Holder shall not release the requested funds until the Building Official
has released his objections in writing. If the Building Official does not object to payment
of the Invoice within the five-day period, the Escrow Holder shall pay the Invoice.
3.4. Security Interest in Improvement Funds. For the purpose of securing payment
and performance of Owner's duties under this Agreement, Owner hereby irrevocably and
unconditionally grants to Town a security interest in all of Owner's rights, title, and
interest in the Improvement Funds. The provisions of this Section 3.4 constitute a
security agreement as that term is defined by the Uniform Commercial Code. Town may
exercise any of the rights or remedies with respect to the Improvement Funds which
Town has or may have as a secured party under the Uniform Commercial Code from time
to time in effect in the State of California.
4 246468.1
3.5. Monthly Reporting. Not later than the 15" day of each calendar month
commencing with April, 2000, Owner shall provide to Town monthly statements of the
balance apd all activity with respect to the Improvement Funds and such other
information concerning the progress of the Required Improvements as Town may
reasonably request.
4. Defaults and Remedies.
4.1. Town Right of Abatement. If Owner fails to timely complete the Required
Improvements pursuant to the terms and conditions of this Agreement, including, without
limitation, completion of the Required Improvements within the time periods specified in
Section 1.1 (after giving full effect to any adjustments to the timing under Section 1. 1),
Town may, in its sole and absolute discretion, enter onto the Property, without further
proceedings, either in person or acting through its agents, representatives, contractors and
subcontractors, and complete the Required Improvements in such manner as Town deems
necessary or advisable. Any costs or expenses incurred by Town in completing such
Required Improvements ("Town Costs") shall be reimbursed by Owner within ten (10)
days of Town's demand.
4.2. Lien on Property. In the event that Town is required to complete the Required
Improvements pursuant to Section 4.1 of this Agreement and Owner fails to reimburse
Town for the Town Costs as required under Section 4. 1, Owner hereby acknowledges and
agrees that (i) Town may file a lien against that portion of the Property comprising the
Existing ;Residence (it being acknowledged and agreed that Town shall have no lien
rights hereunder with respect to the New Unit) in the amount of the Town Costs and any
further expenses incurred by the Town in recouping such costs (including, without
limitation, staff time and attorneys fees); and (ii) Town may exercise all rights and
remedies permitted at law or equity to enforce said lien, including, without limitation,
foreclosure thereof or imposition of assessments through the Marin County Tax
Collector's Office.
5. Special Hardship Considerations. Owner acknowledges and agrees that the basement
area of the Existing Residence has been converted into a living area that does not comply with
certain Legal Requirements. Certain deficiencies with respect to such basement area shall be
corrected as set forth in Section 1.1 and the Exhibits to this Agreement, including removal of the
kitchen in such area. Owner acknowledges that even after the removal of the kitchen and related
work, the basement area is substandard as living space under current Legal Requirements.
However, Owner has clearly established that she will suffer extreme hardship if she is compelled
to remove the living space in the basement area due to the severe medical condition of her
dependent daughter. Town therefore shall extend the time for removing the living space in the
basement area until the earliest of the following events occur: (i) Owner's daughter's medical
condition improves in the opinion of Owner's daughter's personal physician or therapist, to the
extent that she may safely be moved out of the basement area, or said daughter in fact ceases to
occupy the basement area; (ii) Owner ceases to occupy the Existing Residence as her primary
246468.1
residence; or (iii) Owner sells her interest in the Existing Residence. Should events (i), or (ii) be
the first of the foregoing events to occur, Owner shall remove the living space in the basement
area within sixty(60) days of such event. Should event (iii) occur first, Owner shall remove the
living space in the basement area before close of escrow on the sale of the Existing Residence.
6. Required Upper Level Improvements. The Building Official has determined that
numerous improvements to the upper level of the Existing Residence (the "Upper Level") are
substandard and were performed without required permits. These improvements have converted
the Upper Level to a master bedroom with bathroom. The Town has determined to allow the
skylight in the bathroom to remain and to waive the substandard ceiling height present in the
Upper Level. The other substandard conditions existing in the Upper Level are set forth in
Exhibit D (the "Required Upper Level Improvements"). Within 180 days of the Close of
Escrow, or by September 30, 2000, whichever is earlier, Owner shall either (1) perform the
Required Upper Level Improvements and obtain all necessary permits therefore; or (2) remove
any improvements for which she has not obtained permits and cease -to occupy the Upper Level.
Construction work required to either bring the Upper Level Improvements up to Code or remove
them shall be considered part of the Required Improvements. Without limiting the foregoing and
notwithstanding anything contained herein to the contrary, concurrently with the execution of
this Agreement, Owner shall vacate and cease to occupy the Upper Level as living space and
shall use the Upper Level only for storage purposes until the Building Official has verified in
writing that the Owner has fully complied with this section and the Upper Level has been
brought up to Code and is suitable for use as living space.
7. Further: Assurances. Town and Owner will each, at the request of the other, execute,
deliver and furnish such documents or take such further action as the other may deem necessary
or desirable to carry out the terms and intent of this Agreement.
8. Notices. All notices of communication required or permitted hereunder shall be in
writing and may be given by depositing the same in United States mail, addressed to the party to
be notified, postage prepaid and registered or certified with return receipt requested, or by
delivering the same in person.
(a) If to Owner, addressed to:
Margaret May
160 Solano Street
Tiburon, California 94920
with a copy to:
Lillick & Charles LLP
Two Embarcadero Center, Suite 2700
San Francisco, California 94111
Attn: Paul E. Schrier, Esq.
6 246468.1
(b) If to Town, addressed to:
Town of Tiburon
1505 Tiburon Blvd.
Tiburon, California 94920
Attn: Ann R. Danforth, Esq.,
Attorney for Town of Tiburon
9. Choice of Law and Venue. This Agreement shall be governed by and construed in
accordance with the laws of the State of California. It is agreed that in event of litigation
between the parties relating to this Agreement, the proper venue is the Marin County Superior
Court.
10. Resolution of Disputes. Town may elect to address any failure of Owner to perform
under this Agreement by administrative action under the provisions of the Tiburon Municipal
Code. Any controversy or claim arising out of or relating to this Agreement that is not resolved
through administrative action shall be settled by arbitration in accordance with the rules of the
American Arbitration Association, and judgement on the award rendered by the arbitrator or
arbitrators may be entered in any court having jurisdiction thereof. Either party to this
Agreement may submit to arbitration any controversy or claim not satisfactorily resolved through
administrative action.
11. Attorneys' Fees. If any legal or administrative action or arbitration is brought for the
enforcement of this Agreement or because of an alleged dispute, breach or default in connection
with this Agreement, the prevailing party shall be entitled to recover reasonable attorney's fees
and other costs and expenses incurred in that action or proceeding, in addition to any other relief
to which it may be entitled.
12. Successors and Assigns. This Agreement shall be binding on and shall be to the benefit
of the parties hereto and their respective heirs, executors, administrators, successors, and assigns.
13. Amendment. This Agreement may be amended or modified only by a writing executed
by the parties hereto.
14. Entire Agreement. This Agreement (including the Exhibits attached hereto) contains the
entire agreement and understanding between Owner and Town with respect to the Required
Improvements contemplated herein and supersedes any prior agreement and understanding
relating to the subject matter of this Agreement. If any provision of this Agreement is adjudged
unlawful by any court of competent jurisdiction, the remaining provisions of this Agreement
shall remain in full force and effect.
15. Headings. The headings or titles of the several sections hereof shall be solely for
convenience of reference and shall not affect the meaning, construction, or effect of this
Agreement.
7 246468.1
16. Counterparts. This Agreement may be executed in counterparts, each of which shall be
an original and all of which shall constitute but one and the same agreement.
17. Effectiveness. This Agreement shall not be effective until the Final Parcel Map has been
recorded.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement to be
effective as of the date first written above.
OWNER:
M t May
TOWN:
Town of Tiburon ;'000
By:
Its: TOWN MANAGER
Date: 19"046 ^42014400-
Approved as to Form:
B
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Ann R. Danfort
Attorney for Town of Tiburon
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160 Solano, Impr. Ag.
2/22/00
ALL-PURPOSE ACKNOWLEDGMENT
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DESCRIPTION
All that certain real property situate in the City of Tiburon, County of Marin, State of California, described
as follows:
PARCEL ONE:
UNIT NO. 1, as shown upon that certain Parcel Map entitled, "Parcel Map, 160 & 162 Solano Street
Condominiums, etc.", filed in Book 2000 of Maps, at Page 50 on March 7, 2000, Marin County Records,
and defined in the 160 and 162 Solano Street Condominiums Declaration of Restrictions,
the
recorded March 7„ 2000 as Recorder's Serial No. 2000-0011687, Marin County Records Declaration)
PARCEL TWO:
AN UNDIVIDED 50% interest in the common area as defined in the Declaration and as shown upon said
parcel map:
EXCEPTING AND RESERVING THEREFROM THE FOLLOWING:
1. The Condominium unit shown upon said map and defined in the Declaration other than the unit described
in Parcel One above.
2. Non-exclusive easements for ingress, egress, support and repair over and through the common areas as
defined in the Declaratiop.
1
PARCEL THREE: ,
A NON-EXCLUSIVE easement for ingress, egress, support and repair over and through the common areas
as defined in the Declaration.
EXHIBIT B
REQUIRED IMPROVEMENTS TO BE COMPLETED BY MAY 159 2000
1. KITCHEN
A. Furnace/water heater flue is exposed in storage-area and in contact with
combustible materials; enclose the flue in a non-combustible shaft with fire stops
at floor and ceiling per Uniform Mechanical Code.
2. HALL BATHROOM
A. Provide ground-fault circuit-interrupter protection for receptacle adjacent to basin
per National Electric Code 210-8.
3. LIVING ROOM
A. Brick over fireplace to render it fully inoperable.
B. Stairs to Upper Level are loose and may be hazardous - must be repaired as
follows:
• Upper end of 2" x 12" stair strings have only 7 inches end bearing; provide
full bearing or use equivalent hangers or bolts
• Eliminate lateral movement of stairs with appropriate bracing
• Provide continuous graspable handrail 1 '/4" - 2" diameter, 34" - 38" above the
tread nosing per Uniform Building Code 1003.3.3.6.
• Provide guardrail on both sides of stairs and reduce 7" openings to maximum
4" per Uniform Building Code 509
4. EXTERIOR
A. Rear decks are rotted, in hazardous condition'and must be rebuilt or repaired
B. Deck rails are sub-standard and must be rebuilt per Uniform Building Code 509
5. LOWEST LEVEL - converted from basement to living space/kitchen
A. Kitchen must be removed.
B. Floor to ceiling glass must be tempered per Uniform Building Code Section 2406.
C. Provide GFCI Protection at kitchen sink and bathroom.
D. Assure working smoke detector is in place.
E. Label all subpanel circuits.
EXHIBIT C
REQUIREQ, IMPROVEMENTS TO BE COMPLETED BY SEPTEMBER 15, 2000
1. ENTRY
A. Porch ceiling light and entry light at stairs must be hardwired, using conduit and
junction boxes per National Electric Code
B. Guardrail must be minimum 36 inches high with openings less than 4 inches per
Uniform Building Code Section 509.
C. Stairs must have continuous graspable handrail, 1 1/4"-2" diameter, 34-38 inches
above tread nosing per Uniform Building Code 509.
2. KITCHEN
A. Requires air gap at dishwasher per Uniform Plumbing Code 807.4
B. Requires two additional countertop receptacles per National Electric Code 210-52,
210-8
3. HALL BATHROOM
A. Water closet must be maximum 1.6 gallon
B. Shower/tub shows evidence of leaks that may have caused structured damage,
repair as necessary.
4. LIVING ROOM
A. Replace broken window
5.
A. Foundation drainage is substandard and must be replaced or repaired
B. Tight line drain system is sub-standard and must be replaced
6. UNDERFLOOR
A. Exposed wiring in storage area must be in conduit per National Electric Code
B. Provide ventilation and drainage to mitigate excess moisture and expansive
soil; provide combustion air for water heater and furnace.
C. Extensive dryrot and termite damage must be repaired
D. The concrete foundation is failing, in some areas the concrete has deteriorated
to the extent that the concrete can be penetrated with the blade of a knife. The
foundation must be repaired/replaced
E. Anchor bolts must be installed per Uniform Building Code Section 1806.6.1
F. Lateral support at cripple walls must be provided per Uniform Building Code
Section 2320.11.5.
G. Provide positive connections for all framing from roof to foundation
7. OTHER.
A. Install smoke detectors in hall, in each bedroom (including basement area and
upper level if they continue to be used as living space) and at each floor level, per
Uniform Building Code 310.9.
EXHIBIT D
REQUIRED UPPER LEVEL IMPROVEMENTS
,I
1. Proper building permit must be secured for bathroom.
2. Shower should have single valve, thermostatic control.
3. Guardrail openings (10 '/2 inches) must be reduced to less than 4 inches per Uniform
Building Code 509.
4. Sleeping area must be provided with emergency egress/rescue a minimum of 20 inches
wide, 24 inches high, with a net free area of 5.7 square feet.
5. Floor joists are over-spanned and over-loaded. Flooring improvements shall be
implemented as required for safety in the opinion of an independent structural engineer.