CDC - 2010-05 - Implementation and Administration of the commercial facade program for Project Are no. 1 and 2RESOLUTION NO. 2010 -05
A RESOLUTION OF THE ROSEMEAD COMMUNITY
DEVELOPMENT COMMISSION APPROVING THE
IMPLEMENTATION AND ADMINISTRATION OF THE
COMMERCIAL FACADE PROGRAM FOR THE ROSEMEAD
REDEVELOPMENT PROJECT AREA NO. 1 AND THE
ROSEMEAD REDEVELOPMENT PROJECT AREA NO. 2
WHEREAS, the Rosemead Community Development Commission (the
"Commission ") is a duly constituted redevelopment agency under the laws of the
State of California; specifically, the California Community Redevelopment Law
(CCRL; Health and Safety Code, Section 33000, et seq.), and the Commission is
responsible for the administration and implementation of redevelopment activities
within the City of Rosemead (the "City "); and
WHEREAS, the Commission established the Redevelopment Project Area
No. 1 and the Redevelopment Project Area No. 2 upon a determination of
blighting condition in the City of Rosemead; and
WHEREAS, by its Ordinance no. 871, adopted February 10, 2009, the
City Council adopted merger amendment to the Redevelopment Plans for the
Rosemead Redevelopment Project Area No. 1 and . the Rosemead
Redevelopment Project Area No. 2
WHEREAS, the Commission finds that the Fagade Improvement Program
is consistent with the Commission's Five Year Implementation Plan for FY 2009-
2013 and the City of Rosemead Two Year Strategic Plan (2010 and 2011); and,
WHEREAS, improvements funded under the Fagade Improvement
Program are subject to the State of California Prevailing Wage requirements;
and,
WHEREAS, the Commission desires to assist the business community in
filling commercial vacancies and recruiting tenants located within Rosemead
Redevelopment Project Area No. 1 and Rosemead Redevelopment Project Area
No. 2; and,
WHEREAS, the Commission desires to assist property and business
owners in complying with the City of Rosemead Zoning Ordinance and General
Plan, and to improve the general aesthetics of the City's commercial areas
located within Rosemead Redevelopment Project Area No. 1 and Rosemead
Redevelopment Project Area No. 2; and,
WHEREAS, the funding of the Commercial Fagade Program and the
Owner Participation Agreement (OPA) is exempt from the requirements of
CEQA, pursuant to Section 15061(b)(3); and,
NOW, THEREFORE, BE IT RESOLVED by the Rosemead Community
Development Commission as follows:
Section 1 . The Commission hereby approves rules for, administration
of, and implementation of the Commercial Fagade Program as shown in Exhibit
"A" attached hereto.
Section 2 . The Secretary shall certify to the passage and adoption of
this Resolution, whereupon it shall take immediate effect and be in force.
PASSED, ADOPTED AND APPROVED this 9th day of February 2010.
Margar Clark, Chairman
Attest:
Gloria Molleda, Secretary
Approved as to Form:
By:
Josepl M. Mont s
Burke, Williams & Gorensen, LLP
City Attorney
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS.
CITY OF ROSEMEAD )
I, Gloria Molleda, Commission Secretary of the City of Rosemead, do hereby certify that the
foregoing Resolution No. 2010 -05 being:
A RESOLUTION OF THE ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION
APPROVING THE IMPLEMENTATION AND ADMINISTRATION OF THE COMMERCIAL
FACADE PROGRAM FOR THE ROSEMEAD REDEVELOPMENT PROJECT AREA NO.
1 AND THE ROSEMEAD REDEVELOPMETN AREA PROJECT AREA NO.2
was duly and regularly approved and adopted by the Rosemead City Council on the 9th of
February, 2010 by the following vote to wit:
Yes: Armenta, Clark, Low, Ly,
No: Taylor
Abstain: None
Absent: None
Gloria Molleda
Commission Secretary
NOTICE OF EXEMPTION
To: El Office of Planning an Res earch From: Rosemead Community
1400 Tenth Street, oo � '� development Commission
Sacramento, CA 9 81 TY OF ROSEMEAD 838 E. Valley Boulevard
osemead, CA 91770
0 County Clerk MAR 2 2 2010 �����
_ County of Los Ang Ies. ITY CLERK'S OFFICE
- 12400 E. Imperial igWw ay,,
Norwalk, CA 9065 FEB 17 2010
Project Title:
Project Location - Specific: City of Rosemead
Project Location - County: Los Angeles County
Project Location - City: City of Rosemead County of Los Angeles
Name of Public Agency Approving Project: Rosemead Community Development
Commission
Name of Person or Agency Carrying Out Project: Rosemead Community Development
Commission
Exempt Status: (Check one)
❑ Ministerial (Sec, 21080 (b)(1); 15268);
❑ Declared Emergency (Sec. 21080(b)(3); 15269(c)
❑ Emergency Project (Sec. 21080(b)(4); 15269 (b)(c);
❑O Categorical Exemption. State type and section number: Section 15061(b)(3)
❑ Statutory Exemptions._ State code number:
Reason why project is exempt: The proposed action is not a project as defined by 14
California Code of Reaulations 15061(b)(3) (State CEQA Gui delines) stating that "A proiect
is exempt from CEQA if the activity is covered by the general rule that CEQA applies only
to projects which have the potential for causing a significant effect on the environment
Where it can be seen with certainty that there is no possibility that the activity in question
may have a significant effect on the environment the activity is not subject to CEQA."
Lead Agency Contact Person: Michelle G. Ramirez
Area Code/Telephone /Extension: (626) 569 -2158
If filed by applicant
1. Attach certified document of exemption finding.
2. H a notice of exemption been filed by the public agency approving the project O Yes ❑ No
Signature: ' Date: February 10, 2010
Title: Community Develokent Director
Z Signed by Lead Agency Date received for filing at OPR: �r rat mpg
❑ Signed by Applicant MS N,QJ,1f� �tq�
ON tk �L*�pj3 1l
Ui1TIl. � - - -
1 0 00 3 72 3 7 REG1c;jw- RECMEWC0UVFY CLERK
Development Commission approving the implementation and administration
of the Commercial Facade Program for the Rosemead Redevelopment
Project Area No. 1 and the Rosemead Redevelopment Project Area No. 2
EXHIBIT A
ROSEMEAD COMMUNITY DEVELOPMENT
COMMISSION
COMMERCIAL FAPADE PROGRAMS
A Program for Owners and Tenants of Commercial
Properties located within a Redevelopment Project
Area
Policies and Procedures Manual
(Rosemead Community Development Commission - Redevelopment Funding)
Reserved
The City of Rosemead does not discriminate on the basis of race, color, creed,
national origin, sex, religion, marital status, status with regard to public
assistance, disability familial status, or sexual or affectional orientation in the
provision of services.
An equal opportunity employer.
This information will be made available in alternative format upon request.
TABLE OF CONTENTS
Introduction
Commercial Fayade Program Elements
Architectural Design Concept Services
Sign Replacement Rebate
General Property Improvement Rebate
Facade Improvement Rebate
Facade Improvement Loan
Program Guidelines
Eligibility Requirements
Property Improvement Standards
Application Process
Inspection Requirements
Contractor Selection Requirements
Change Orders
Project Approval Requirements
Completion
Check Request
Time Requirements
Administrative Requirements
Default
Program Amendments
Appeal
Exhibit A — Commercial Revitalization Program Application
Exhibit B — Property Owner Authorization and Acknowledgment
Exhibit C — Agreement for Commercial Improvement
Exhibit D — Promissory Note
Exhibit E — Deed of Trust
Exhibit F(A) — Owner Participation Agreement — Rebate
Exhibit F(B) — Owner Participation Agreement - Loan
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�& INTRODUCTION
The Rosemead Community Development Commission ( "CDC ") is committed to
restoring the vitality of the City's Commercial districts within each of its project areas.
As part of this commitment, the CDC has created this Commercial Fagade Program
( "Fagade Program ") for properties located within the Redevelopment Project Areas and
has created a separate economic development program.
This financial assistance is being offered in the form of rebates and low interest loans.
Funds to pay for the program will be provided by the CDC, not the City of Rosemead.
All program commitments will be made on a first come, first serve basis and as funding
is available.
The CDC objectives under the program are:
➢ To improve the physical appearance of private commercial properties in the
Redevelopment Project Areas.
➢ To increase business, commercial use, and revenues in each of the Project
Areas.
➢ To improve the image of Rosemead and the commercial buildings in each of
the Project Areas.
➢ To provide a pleasant and exciting family- oriented shopping district.
The Fagade Program has five (5) components: architectural design services, sign
replacement rebates, general property improvement rebates, fagade improvement
rebates, and fagade improvement loans program.
This document contains the guidelines and procedures for operation of this financial
assistance program. It addresses such items as personal and property eligibility
requirements, eligible activities and terms and conditions for the loans and rebates. In
preparing these guidelines and procedures, the CDC has formulated a program that has
a balance of being attractive to businesses and property owners, while correcting
existing deficiencies and maximizing use of program funds.
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�& COMMERCIAL FACADE PROGRAM ELEMENTS
Applicants may concurrently apply for one or more of the five (5) elements of the CDC's
overall Fagade Program. In all cases a binding agreement must be executed by the
appropriate parties.
Architectural Design Concept Services
Architectural services up to $500 for consultation and preparation of concept elevations
and designs (including project cost estimation) 'consistent with the City's adopted
Commercial Revitalization Design Guidelines provided by a licensed California architect
are eligible for reimbursement.
For reimbursement under this program element, Applicants must first obtain written
authorization from the Community Development Department to utilize an architect
before proceeding to incur costs.
To obtain reimbursement, the Applicant shall show the architect's concept plan(s),
elevation(s) or design(s) to CDC /City staff in order to ensure that the quality and
quantity of the architect's work is consistent with the Fagade Program and Commercial
Revitalization Design Guidelines and commensurate with the cost.
The CDC does not reimburse architect costs for production of construction drawings,
plan check processing, bid analysis, construction monitoring, or other plan preparation
or construction related costs under this program element (it can be reimbursable under
the Fagade Improvement Rebate Program).
Sign Replacement Rebate
Rebates will be made in the amount of 75% of the costs up to a maximum rebate of
$6,000.
Sign Rebates will be made for the following expenditures.
• Removal of non - conforming (to code), obsolete, inappropriate, unattractive
and unused signs, and sign supports.
• The cost and installation of new signs and related support and electrical work,
to replace non - conforming (to code), obsolete, inappropriate, unattractive and
unused signs.
• Signs constructed or installed to meet the intent and criteria of the
Commercial Revitalization Design Guidelines and the City of Rosemead
Zoning Code.
General Property Improvement Rebate
Rebates in the amount of 50 %, up to a maximum reimbursement of $25,000 will be
made for improvements to or replacement of the following.
• Trash receptacle enclosures.
• Decorative masonry or brick walls.
• Parking lot reconstruction, resurfacing and restriping, landscaping, irrigation
and lighting.
►a
• City Design Review, plan check and permit fees.
• Such other general property improvements and costs as approved by the
Development Services Director.
Ail proposed general property improvements must include exterior painting of the
building if needed, as determined by the Community Development Department (see
Fagade Improvement Rebate), and the removal of non - conforming signs (see Sign
Rebate) in order to qualify for a General Property Improvement Loan Rebate.
Fagade Improvement Rebate
Rebates in the amount of 50 %, up to a maximum reimbursement of $50,000 will be
made for Fagade Improvement Rebates.
If determined necessary by the Community Development Department, exterior painting
and removal of non - conforming signs must be included in the scope of work to qualify
for the Fagade Improvement Rebate Program. Rebates may be made for fagade
improvements to existing walls (front, rear and sides). New construction is not included.
Rebates may be made for the removal of non - conforming (to code) obsolete or
inappropriate fagade appurtenances, and also for the following fagade improvements.
• Structural work only if directly related to fagade improvements
• Awnings, canopies, shutters, etc.
• Entrances and storefronts
• Windows
• Roofs
• Exterior lighting affixed to the building
• Landscaping and irrigation
Other items eligible for Fagade Improvement Rebates include:
• City architectural design review, plan check, boundary survey, and permit
fees.
• Architect services to the property or business tenant; e.g., preparation of bids,
preparation and filing of plans, construction monitoring, progress payments,
lien releases, change orders, not to exceed 10% of total Facade Improvement
Rebate related construction costs, nor be duplicative of payments made
under the Architectural Design Services component.
• Such other costs, fees and exterior improvements approved by the
Community Development Department which are consistent with the
objectives of the program.
Fagade Improvement Rebate Incentive - In order to encourage the rehabilitation
of commercial properties within the established project areas, an incentive shall
be provided when either 1) an individual owner /tenant simultaneously
rehabilitates more than one unit on each property or 2) a group /consortium of
individual owners /tenants simultaneously rehabilitates at least three properties in
one block. In these cases, the maximum Fagade Improvement Rebate offered is
75 percent of the approved costs, or a total of $62,500 per building.
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Fagade Improvement Loan
The maximum amount of a loan under this program shall be $75,000. If the project
requires additional monies and the Community Development Department determines
that such a loan would be in the best interest of the CDC, the Community Development
Department shall request a waiver of the $75,000 limitation from the CDC.
The Applicant shall maintain fire and extended coverage insurance on the property to
be rehabilitated for the term of the loan, include the CDC as an additional insured, and
provide proof of coverage to the Community Development Department prior to Loan
approval.
The Applicant shall not refinance, sell or transfer title to the rehabilitated property
without repaying the entire rehabilitation loan amount due.
The CDC will require that an Owner Participation Agreement (OPA) be entered into as
part of the Loan Program. In addition, all Applicants will be required to execute a Note
and Deed of Trust to secure the Note. The maximum term of the loan issued under
this program shall be ten (10) years; subject to the maximum term of lease of the
property where the Applicant is a tenant. In that case, the maximum term for a
rehabilitation loan issued under the program shall not exceed six (6) months prior to
the expiration of the lease on the subject property.
The Applicant shall have four options for payment of their improvement costs. Prior to
the signing of the loan agreement, the Applicant must choose, in writing, one of the
following four payment options:
1. Execute a promissory note and pay the full amount within 10 days of the
completion of the improvements; or
2. Execute a promissory note secured by a deed of trust on the property in favor
of Rosemead Community Development Commission and pay off the amount
over a six month period, interest free and without prepayment penalties, in six
equal monthly installments; or
3. Execute a promissory note secured by a deed of trust on the property in favor
of Rosemead Community Development Commission. The note will be
payable in equal monthly installments including principal and interest over a
period of ten years or six (6) months prior to the end of a lease with less than
ten (10) years remaining. The note shall accrue interest at the rate of 3% per
annum commencing on the date of the loan signing. Payments shall be made
on the first of each month commencing on the first whole month after the
completion of the improvements. The note will become due and payable
earlier if the property is sold, transferred in ownership, or refinanced. The
Applicant may retire the promissory note at any time, without prepayment
penalties, by paying outstanding principal and accrued interest.
4. Execute a promissory note secured by a deed of trust on the property in favor
of Rosemead Community Development Commission. The note shall accrue
interest at the rate of 3% per annum commencing on the date of the loan
signing. The note will become due and payable in ten years, or at the time
the property is either sold, transferred or refinanced, whichever comes first.
The Applicant may retire the promissory note at any time, without prepayment
penalties, by paying outstanding principal and accrued interest.
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"' PROGRAM GUIDELINES
The owner or lessee must advance all costs with subsequent reimbursement by the
CDC upon satisfactory completion of all work as determined by the Community
Development Department. The owner or lessee must demonstrate that it has adequate
financial resources to complete the job before construction can begin and a Notice to
Proceed is issued.
Eligibility Requirements
Eligibility for assistance under the Commercial Fagade Program will be based on the
following Applicant eligibility requirements:
A. Applicant Eligibility
1. The Applicant must be either the owner of commercial property or the owner
of a business located within a designated Project Area (Exhibit 1). Business
tenants must obtain written permission from the property owner in order to
participate in this program, and must keep the property owner informed of the
proposed building improvements and work schedule. Only the Property
Owner may apply under the Facade Improvement Loan.
2. The Applicant must have a current Business Certificate of Occupancy and
City Business License if applicable.
3. The Applicant must demonstrate that it has sufficient funds to complete the
project.
B. Property Eligibility
1. The property must have a valid Business Certificate of Occupancy and
Business License if applicable.
2. The property must be zoned and used for commercial purposes as set forth in
the Rosemead zoning regulations. Preferences may be given for commercial
retail users who sell products which generate sales tax to the City. No
residential or industrial uses are eligible on any part of the property.
3. The property must be located within one of the designated Project Areas
(Exhibit 1).
4. The property may not contain code violation actions which are hazardous.
Code violation actions include those situations where any governmental
agency inspector has taken an initial enforcement action. All violations must
be corrected as part of an overall rehabilitation effort in order to receive
financial assistance under this program.
5. The property for which assistance is requested must need exterior
rehabilitation to conform to the property rehabilitation standards for this
program.
6. The Applicant must permit inspections of the property by City of Rosemead
personnel before, during, and upon completion of improvements.
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Property Improvement Standards
All property improvements made under this program must comply at a minimum with the
following:
1. The City of Rosemead Building, Electrical, Mechanical, Fire, Plumbing and
other Codes adopted by the Rosemead City Council;
2. The City of Rosemead Zoning Ordinance and General Plan;
3. The Rosemead Redevelopment Project Area Plan and adopted policies;
4. The City of Rosemead Commercial Revitalization Design Guidelines; and
5. All State of California Laws that supersede any codes, guidelines, or policies
adopted by the City of Rosemead or the Rosemead Community Development
Commission.
A. Eligible Activities
The following can be included within this program:
1. Rehabilitation activities necessary to make the qualified structure conform to the
property rehabilitation standards for the program;
2. Fagade improvements, including sandblasting, repair or replacement of damaged
or deteriorated fagade components, window replacement, new stucco, wood or
other basic exterior wall materials, painting, and the installation of awnings or
shutters as appropriate;
3. Signs, both the removal of existing signs and the installation of new signs;
4. Exterior parking lot improvements and landscaping improvements; and
5. Architectural plans, building permits, title reports, credit reports, lien certificates,
recording, document appraisal and other related fees which are required to carry
out the proposed exterior rehabilitation work.
B. Exclusions
The following properties will not be included within this program.
1, Improvements not visible from a public right of way or a neighboring property;
2. Interior improvements;
3. Structural improvements not related to exterior improvements, including
seismic upgrades;
4. Improvements necessitated by vandalism (property owners insurance should
cover this);
5. Industrial buildings, churches, banks and savings /thrifts and loans, adult
oriented business (i.e. bars, pawn shops, check cashing, massage parlors,
etc.) and buildings used exclusively for residential or industrial occupancy;
6. Any property improvements that trigger environmental mitigation measures;
7. The use of materials and fixtures which are unreasonably expensive (i.e.,
gold plating), as determined by the Community Development Department;
8. Properties which have received any fagade rehab program funds within the
previous three years, except signage which shall be one year from date of
rebate payment;
9. Inventory;
10. Fixtures or furnishing related to the merchandising operation of a business
(certain permanent tenant improvements may be eligible under the loan
program);
11. Prohibited businesses not consistent with the City's Zoning Code;
12. Working capital;
13. Refinancing or repayment of existing debt;
14. Repair, replacement of installation of basic equipment, except for heating /air
conditioning and other exterior equipment (eligible under loan program only);
15. Repair, replacement or installation of security and safety devices, Installation of
energy conservation devices (eligible under loan program only); and
16. Any work which has begun before the issuance of a Notice to Proceed by the
Community Development Department.
T his is not a complete list of excluded properties The Community Development
Director has the authority to deny additional properties not included on this list.
Application Process
Based on funding availability, applications for assistance under this program will be
processed in the order they are received. (Preference may be given for commercial
retail users, who sell products which generate sales tax to the City).
Applicants shall use the CDC's forms in applying for the program. Incomplete,
erroneous, misleading, or fraudulent information shall be grounds for terminating the
application and possible repayment of any funds granted by the CDC.
Inspection Requirements
An initial exterior property inspection will be conducted by City staff to determine the
eligibility of the desired improvements. Any Code deficiencies or violations must be
corrected first before other improvements are made when financial assistance is
requested under this program.
Progress inspections will be made by City staff to assure that the improvements are
being constructed in accordance with the approved plans and the City's Codes. A final
inspection will be made by City staff to determine that the improvements have been
completed in accordance with the plans, and with the City's Codes.
Contractor Selection Requirements
The following is required under this program:
A. Applicants are responsible for selecting and contracting with their own
licensed contractor. (Upon request, the Community Development Department
will provide the Applicant with a list of local licensed general and other
specialized contractors.)
B. Applicants must obtain at least three written bids from licensed contractors in
response to written reasonably identical bid proposals, and supply a copy of
the bids to the Community Development Department (an independent
architect retained by the Applicant can assist the Applicant with the scope of
services, plans, and specifications). Applicants must select the lowest
qualified bidder who meets the job requirements and is responsive to the
written bid proposal, and inform the Community Development Department of
their decision.
C. Prior to the Community Development Department issuance of a Notice to
Proceed, Applicants must submit proof to the Community Development
Department that the selected contractor (and his subcontractors) has the
following:
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1'. A State of California Contractor's License.
2. Worker's Compensation and Liability Insurance to the satisfaction of
the Community Development Department.
a Liability Insurance - minimum amount of $1,000,000.
b Property damage insurance - minimum amount of $50,000.
The contractor shall hold harmless and indemnify each property
owner and the CDC and City and their respective officers, agents
and employees from all claims, demands, actions, liability, or loss
which may arise there from, or be incurred as a result of, injury or
damage to the persons or property in the performance of said work,
including but not limited to, damage to the premises.
c. Evidence that City and CDC is named as an additional insurer on
Liability Insurance.
D. Applicants must enter into a written agreement (approved by the Community
Development Department) with the contractor and provide an executed copy
to the Community Development Department. The agreement must be
consistent with the CDC's adopted guidelines for the Commercial Fagade
Rehabilitation Program.
E. Applicants must receive written approval from the Community Development
Department prior to implementing any work including change orders, in order
to receive financial assistance under this program. Clear and specific change
orders must be submitted to the Community Development Department in
writing for approval prior to the initiation of the work.
F. Applicants must abide by the requirements of all applicable Federal, State,
and local laws in having the work performed. Projects done under this
program are subject to prevailing wage laws of the State of California.
Change Orders
Change orders are generated by the contractor and approved by the Applicant and the
Community Development Department. Change orders are the responsibility of the
Applicant, excepting however, if the maximum rebate has not been reached, the
Community Development Department and Applicant may renegotiate the amount of
rebate.
Project Approval Requirements
All project concepts must be reviewed and preliminarily approved by the Community
Development Department. If structural changes are being made, submit preliminary
plans for review, including a plot plan, interior plan, elevations and detailed description
of work as appropriate and submit to Division for plan check and Planning Division for
approval. In some cases, the plans may require submission to the Planning CDC.
Following plan check approval, Applicant submits final plan of proposed work, including
any changes or revision to the Community Development Department.
Once all insurances are on file, agreements executed, permits obtained, proof of
adequate financial resources, a Notice to Proceed is issued and construction begins.
All projects must obtain property owner approval, City of Rosemead and Rosemead
Community Development Commission approvals, a building permit (if necessary), a
Certificate of Occupancy (if appropriate, by the City), and a Certificate of Completion
issued by the Rosemead Community Development Commission, and contractor
(conditional) lien releases.
Completion
After completion of rehabilitation work, owner /lessee submits proof of contractor's
invoices and payments made to contractor to the CDC. Notice of Completion is filed
and all Labor and Lien Releases are supplied to the CDC.
Check. Request
After review of receipts, payments, Labor and Lien Releases, final inspection by the
Community Development Department, and filing of a Notice of Completion (if required),
a check is issued for the amount of the approved amount. Progress payments will only
be made on projects where the CDC's commitment is over $10,000.
NOTE: The CDC will not advance any funds to the Applicant.
Time Requirements
A Time Limit Requirements
1. Bids must be obtained and a contractor selected within 60 days from the date
that construction drawings have been approved by the Community
Development Department.
2. The project must be completed within 90 days following the execution of an
agreement between the property owner or business owner /tenant and the
contractor. For larger or more complicated jobs (i.e., at or above $75,000 or
involving major structural or phased renovation), the Community
Development Department will permit a longer construction period. Generally,
the CDC desires that all projects be completed within six (6) months from the
application submittal date.
B Time Extension Requests
1. A request for a time extension must be made in writing to the Community
Development Director.
2. The request must state in detail the reasons for the request.
3. The request must be received by the Community Development Director prior
to the deadline for selection of a contractor and /or the deadline for the
completion of the project, above.
NOTE: If these time limits are exceeded, participation in this program may be
canceled; the Applicant would be required to reimburse the CDC for architectural
or other services provided. It would be necessary to reapply.
Administrative Requirements
A All Applicants must complete and sign the Commercial Revitalization Program
Application form (Exhibit 2).
B If the Applicant is a tenant, the Applicant must submit the "Property Owner
Authorization and Acknowledgment" form signed by the property owner,
together with the application (Exhibit 3).
C If applicable, the approval of a mortgagor(s) or lender(s) may be required
before work can proceed. The Owner /Applicant is responsible for obtaining
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such approval(s) and the approval of the property owner if a recorded Deed of
Trust is required by the lender.
D Under all program components, Applicants are required to enter into a
contractual Owner Participation Agreement (OPA) with the CDC (Exhibit 4).
Said agreement shall provide that the Applicant shall ensure that all workers
employed pursuant to this program shall be paid not less than the applicable
State prevailing wage and comply with the provisions of the California
Redevelopment Law and Labor Code with regard to the payment of prevailing
wages.
E Applicants are requested to provide a print of the architectural and
construction drawings of the existing building fagade (if available) together
with the application. These drawings will assist CDC and City staff in
reviewing designs for the improvements and reduce the time needed to
complete the project.
F Applicants are required to display a program sign (provided by the
Community Development Department) on the front of the building or in a front
window, from the date the Applicant and Community Development
Department sign the "Commercial Fagade Agreement ", until 30 days after
completion of all improvements. The Applicant agrees to safeguard the sign
and return it to the Community Development Department.
G In certain circumstances it may be necessary to obtain a lot book report,
preliminary title report, or a boundary/lot or topographic survey. The Applicant
shall pay these costs; they are eligible for rebate under the respective
program component.
H The Executive Director reserves the right to submit any application to the
Community Development Commission for approval.
I The Applicant acknowledges that his /her property taxes, insurance,
maintenance and other costs may increase and the CDC and /or City are not
responsible for financial payment of these costs.
J In the event of any inconsistency between these guidelines and the
agreement(s) between the Applicant and the CDC, the language of the
agreement shall govern.
K The CDC will require an Applicant to enter into an Owner Participation
Agreement (OPA). All Applicants may be required to execute covenants or
other recordable instruments to formalize program obligations extending
beyond project completion.
L After the completion of the improvements specified in the Contract, the
Applicant shall continue to maintain the Property and all improvements
thereon in a neat and orderly manner and in good repair. The condition of the
property shall at all times comply with the requirements of the Rosemead
Municipal Code and Zoning Ordinance. The Applicant agrees to respond
affirmatively and in a timely manner to written notice of deficiency from either
the Rosemead Community Development Commission of the City of
Rosemead regarding the Property.
Default
In the event of default, the Applicant shall be responsible for reimbursing the Rosemead
Community Development Commission for all costs incurred by the CDC on behalf of the
Applicant for services provided by the CDC. The Applicant shall also be responsible to
reimburse the CDC for all legal fees incurred in enforcing the CDC's rights under this
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program. All moneys owed to the CDC by the Applicant shall be repaid in full no later
than 30 calendar days after submitting a written demand.
The CDC shall provide written notice to the Applicant specifying the reasons for
termination and allowing the Applicant reasonable time to correct any deficiencies.
Program Amendments
The CDC reserves the right to revise the Program from time to time as necessary to
reduce funding for, or to cancel this program at any time, for any reason.
Appeal
The Applicant may appeal any decision made by the Community Development
Department affecting the eligibility of his /her application, amount of rebate, and /or
allowable repairs to the CDC's Executive Director within fourteen (14) calendar days of
notice of the Community Development Department's decision. All appeals shall be in
writing.
The Applicant may appeal any decision made by the Executive Director affecting his /her
application, amount of rebate, and /or allowable repairs to the Rosemead Community
Development Commission within fourteen (14) calendar days of notice of the Executive
Director's decision. All appeals shall be in writing. Any CDC decision is final and may
not be appealed.
11
EXHIBIT A
ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION
COMMERCIAL FACADE REHABILITATION PROGRAM
APPLICATION
1. APPLICANT INFORMATION Property Owner Business Owner/
Applicant Name:
Home Address:
City:
Telephone: Home ()
Business (
Email:
Fax (
2. PROPERTY OWNER INFORMATION (if different from applicant)
(Please identify property owner exactly as on title to property.)
Name: If same, check here _
Home Address
Tenant
City:
Telephone: Home (
Business (
Email:
Fax ( )
3. INFORMATION ON PROPERTY PROPOSED FOR COMMERCIAL FACADE
PROGRAM
A. Property Address:
Assessors Parcel Number:
B. Name and type of business(s):
Zip Code:
Cell Number L__)
Zip Code:
Cell Number (
1
C. Will the proposed improvements include more than one commercial business, or
storefront? Yes No
If yes, please explain:
D. Are all of the tenants on the property (if appropriate) aware that you are applying
for Facade Rehabilitation Loan Rebate Assistance? Yes No
E. Are all of the tenant's retail, i.e., sales businesses? Yes No
4. PROGRAM INFORMATION
A. Please check the parts of the Commercial Facade Rehabilitation Program for
which you are applying. (You may. check more than one.)
Architectural Design Services Rebate (Note: only larger fagade rehab
work will require architectural services)
Sign Replacement Rebate
General Property Improvement Rebate
Fagade Improvement Rebate
Fagade Improvement Loan
Loan Buy down Grant Program
5. TYPE OF DESIRED PROPERTY IMPROVEMENTS
Please provide a brief description of the work desired. If you have a copy of the
building construction plans (especially the facade) for the existing building and /or the
proposed concept plan, sketch, drawing, elevation, please attach.
6. WAIVER AND INDEMNIFICATION
The undersigned understands and agrees that the City of Rosemead (City) and the
Rosemead Community Development Commission (Commission) and their officers,
agents and employees shall have no responsibility or liability for any failure or
inadequacy of performance by person or firm contracting, subcontracting or
employed to perform any part of the aforesaid improvement work, including the
architect, nor for any defective workmanship or materials involved therein, and
hereby expressly waives any and all claims, rights or demands against the City, the
Commission, their agents or employees.
2
9 ,HgIHX:4
The undersigned shall indemnify and hold harmless City and Commission from and
against any and all damages to property or injuries to or death of any person or
persons, including property and officers, agents and employees of City and Commission
and shall defend, indemnify and hold harmless the City and Commission and their
employees against any and all claims, demands, suits, actions or proceedings resulting
out of the acts, errors, or emissions of the undersigned or the contractors,
subcontractors, or employees of the undersigned, pertaining to the aforesaid
improvement work.
APPLICANT ACKNOWLEDGMENT AND AGREEMENT
I have received and reviewed the Rosemead Commercial Fagade Program Guidelines
and agree to comply with them in order to be eligible for technical and financial
assistance. I understand that in order for me to be eligible for this program, the
owner(s) of the property that I lease must all sign this application and in the future may
be required to execute an Agreement for Commercial Improvements, Promissory Note,
Deed of Trust, and Owner's Participation Agreement.
I understand and agree that I must stay in business this location for the period set forth
in the Guidelines or I shall be required to repay the Agency any outstanding funds
owned to the Commission.
APPLICANT CERTIFICATION WAIVER INDEMNIFICATION AND AGREEMENT
Applicant
Applicant
Date
Date
3
OWNER'S AUTHORIZATION AND ACKNOWLEDGMENT
understand that
leaseholder of my property located at
considering rehabilitation improvements as part of the Rosemead
Development Commission's (Commission) Commercial Facade Program.
a
is
Community
I have received and reviewed the Commission's Commercial Facade Program
Guidelines and reviewed the application submitted by my tenant. I agree to permit the
proposed improvements to my property. I understand that I am not financially
responsible to complete these improvements.
I understand and agree that the City of Rosemead and the Commission assume no
responsibility or liability to me or any other party for any action or failure of the
applicant/participant, of any contractor or other third party, and that the City and
Commission in no way guarantee any work to be done or material to be supplied.
I assure the Commission that the leaseholder(s) may continue to rent and occupy my
property for at least six (6) months after the date of application for this program, or
through project completion, whichever is greater, assuming all rents are paid and all
other terms of the Applicants Lease Agreement with me are met. I am aware of and
understand that my leaseholder will be required to stay in business at the location for a
fixed period of time according to the Guidelines.
If the tenant of my property is applying for the Facade Loan Program and fails to stay in
business for the required fixed time, I as the fee owner will be liable for repayment of the
remaining balance of the loan as set forth in the Guidelines. I acknowledge that the
owner(s) must agree to execute an Owner Participation Agreement, Promissory Note,
Loan Agreement, Deed of Trust and Assignment of Rents, and permit the Commission
to record the Trust Deed against my property as set forth in the Commercial Facade
Guidelines.
I authorize the leaseholder(s) to make the proposed improvements under the
Commission's program. I understand that the proposed improvements may increase
the value of my building and may result in an increase in my annual property taxes,
insurance, and other property- related costs for which the City and Commission are not
responsible or in no way liable.
ACKNOWLEDGMENT AND AGREEMENT
I /we have read the above statements and acknowledge that they are true and complete
to the best of my knowledge. I /we have no objection to- the applicant pursuing the
proposed improvement project and I /we agree to be bound to the terms of this
agreement and the Program Guidelines. (Signatures on next page)
1
Property Owner
Property Owner
Property Owner
Date
Date
Date
EXHIBIT C
AGREEMENT TO CONSTRUCT IMPROVEMENTS PURSUANT TO
COMMERCIAL FACADE PROGRAM
ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION
THIS AGREEMENT made this of I , by and between
, hereinafter called the CONTRACTOR and the business owner of
, Rosemead, California 91770, hereinafter called the OWNER.
WITNESSETH, that the CONTRACTOR and OWNER for the consideration stated herein mutually
agree as follows:
ARTICLE 1: Statement of Work The CONTRACTOR shall furnish all supervision, technical
personnel, labor, materials, machinery, tools, equipment, fixtures and services including
transportation services and perform and complete all work required for rehabilitation in accordance
with the approved set of plans and specifications incorporated herewith, and in an efficient manner,
as follows:
Property located at in the City of Rosemead, all in strict accordance with
documents for the Commercial Fagade Program, as prepared by the Community Development
Department of the Rosemead Community Development Commission, hereinafter called the CDC.
ARTICLE 2: Contract Price The OWNER will pay the CONTRACTOR for performance of this
contract, in current funds the lump sum price of
ARTICLE 3 Contract The contract includes the following "Exhibits ":
A. Signed and Accepted Copy of the Scope of Work D. List of Subcontractors
B. State Prevailing Wage Decision E. Notice to Proceed
C. Policy and Procedure Manual
THIS AGREEMENT, together with the other documents enumerated in this ARTICLE 3, which said
other documents are as fully a part of the contract as if hereto attached or herein repeated, forms the
contract between the parties hereto.
IN WITNESS WHEREOF, the parties hereto have caused this AGREEMENT to be executed in two
originals and one copy on the date and year first above written.
OWNER
By:
PHONE:
CONTRACTOR
Bv:
Phone:
Title:
Lic.#
E
EXHIBIT D
COMMERCIAL FACADE PROGRAM
PROMISSORY NOTE
Secured by a Deed of Trust
Executed By
In Favor of the Rosemead Community Development Commission
Amount: $ , Date:
BORROWER(S) PROMISE TO REPAY
DO NOT DESTROY THIS ORIGINAL NOTE: When paid in full, the original of this Note,
together with the Deed of Trust securing it, must be surrendered to Trustor for cancellation
and retention before reconveyance will be made.
Section 1 BORROWER'S PROMISE TO PAY. In return for a loan received, the
undersigned (individually, and if more than one, collectively, "Borrower ")
promises to pay U.S. $ (_j (this amount will be known as "Principal ")
to the order of the ROSEMEAD COMMUNITY DEVELOPMENT
COMMISSION, a California municipal corporation ( "Lender ") in accordance
with the payment Option initialed by Borrower in Section 2 of this Note.
Borrower understands that the Lender may assign or transfer this Note, in
whole or in part, at any time. Borrower further understands that Borrower
may not assign or transfer this Note, either in whole or in part.
Section 2 The BORROWER agrees that this Note is payable in accordance with the
payment Option initialed by Borrower below:
Option • #1
Options #2
Pay the full Principal amount, interest free, within 10
days of the signing of the Notice of Completion ( "Notice
of Completion ") of the improvements funded by the loan
made by Lender to Borrower under the Owner
Participation Agreement, dated
between Lender and Borrower ( "OPA "); or
Pay the full Principal amount over a six month period,
interest free, in six equal monthly installments.
Payments shall be due and payable on the first day of
each month commencing with the first whole month
after the signing of the Notice of Completion; or
LA 44849 - 7771 -1365 Q
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Options #3
Option #4
Pay the full Principal amount in equal monthly
installments, including interest, over a period of ten
years. Installments will be due and payable on the first
day of each month commencing with the first whole
month after the signing of the Notice of Completion.
Unpaid Principal will bear interest at the rate of 3% per
annum commencing on the date of this Note. The Note
will become immediately due and payable at the option
of the Lender, and without the need for notice or
demand, if the property secured by the Deed of Trust is
sold, transferred in ownership, or refinanced.
Pay the full amount of Principal, together with all
accrued interest thereon, on the date which is the 10th
anniversary of the date of this Note. Unpaid Principal
will bear interest at the rate of 3% per annum
commencing on the date of this Note. The Note will
become immediately due and payable at the option of
the Lender, and without the need for notice or demand,
if the property secured by the Deed of Trust is sold,
transferred in ownership, or refinanced.
Section 3 PREPAYMENT. Borrower may prepay this Note, in whole or in part, at any
time without any penalty or additional fees; all such prepayments shall be
applied to the installments due under this Note (in the case of Options 2 and
3) in the inverse order of their maturity.
Section 4 PAYMENT. All payments.due under this Note are to be paid to Lender at
8838 E. Valley Boulevard, Rosemead, California 91770, or at such other
place as Lender may from time to time designate by written notice to
Borrower. All payments on this Note will be applied first to the payment of
any costs, fees or other charges incurred in connection with the
indebtedness evidenced by this Note; next, to the payment of accrued
interest, if any; then to the reduction of the Principal balance. Borrower will
pay to Lender all sums owing under this Note without deduction, offset, or
counterclaim of any kind.
Section 5 DEED OF TRUST; DUE ON TRANSFER. This Note is made pursuant to the
OPA and is secured by the Deed of Trust of the same date as this Note,
executed by Borrower, as trustor, in favor of Lender, as beneficiary ( "Deed of
Trust'), and encumbering the real property described in the Deed of Trust
('Property "). The holder of this Note will be entitled to the benefits of the
security provided by the Deed of Trust and will have the right to enforce the
LA #4849- 7771 -1365 v2 2
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covenants and agreements of Borrower contained in the Deed of Trust and the
OPA.
The Deed of Trust which secures the indebtedness evidence by this Note
provides as follows:
If Borrower sells, conveys, alienates, transfers or is divested of all
or any part of Borrower's title to the Property, or any interest of
Borrower in the Property, or if Borrower further hypothecates or
encumbers the Property or any part thereof, or if Borrower enters
into any agreement to do any of the foregoing without the prior
written consent of Lender, then, Lender shall have the absolute
right at its option, without prior demand or notice, to declare all
sums secured by this Deed of Trust to be immediately due and
payable.
Section 6 ACCELERATION ON DEFAULT. If Borrower fails to pay the Principal of or
interest, if any, on this Note, or any other amount payable by Borrower under
this Note, as and when the same is due and payable, and if such failure
continues for a period of 5 days following Borrower's receipt of written notice
from Lender, or if Borrower breaches or defaults in the performance of any of
its obligations under the OPA, then, in addition to all rights and remedies of
Lender under the OPA, the Deed of Trust, applicable law or otherwise, all
such rights and remedies being cumulative, Lender may, at its option,
declare all amounts owing under this Note to be due and payable,
whereupon the then unpaid Principal balance hereof together with all
interest, if any, accrued thereon shall forthwith become due and payable.
Section 7 COST OF COLLECTION. Borrower agrees to pay the following costs,
expenses and attorneys' fees paid or incurred by Lender: (i) costs and
expenses of collection or enforcement of, and attorneys' fees paid or
incurred in connection with the collection or enforcement of, this Note,
whether or not suit is filed; and (ii) costs of suit and such sum as the Court
may adjudge as attorneys' fees in an action to enforce payment of this Note
or any part of it.
Section 8 WAIVER; MODIFICATION. No delay or omission on the part of Lender in
exercising any rights under this Note, the OPA or the Deed of Trust on
breach or default by Borrower shall operate as a waiver of such right or any
other right under this Note, the OPA or the Deed of Trust for the same
breach or default or any other breach or default. Neither this Note nor any of
the terms or provisions hereof can be altered, modified, amended, waived,
extended, changed, discharged or terminated orally or by a course of
conduct, but only by an agreement in writing signed by the party against
whom enforcement .of any alteration, modification, amendment, waiver,
extension, change, discharge or termination is sought.
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Section 9 GIVING OF NOTICES. Any notice that must be given under this Note will be
given by delivering it or by mailing it by certified mail addressed to Borrower
at the following address:
ATTN:
Any notice that must be given to Lender under this Note will be given by
mailing it by certified mail to Lender at the following address:
Rosemead Community Development Commission
ATTN: Community Development Director
8838 E. Valley Boulevard
Rosemead, California 91770
Either party may change is address for notices by written notice given to the
other party, which notice will be effective upon receipt by the other party.
Section 10 OTHER TERMS. If this Note is executed by more than one person or entity
as Borrower, the obligations of each person or entity will be joint and several.
No person or entity will be a mere accommodation maker, but each will be
primarily and directly liable. Except as otherwise provided in this Note,
Borrower waives presentment; demand; notice of dishonor; notice of default or
delinquency; notice of acceleration; notice of protest and nonpayment; notice
of costs; expenses, or losses; and diligence in taking any action to collect any
sums owing under this Note or in proceeding against any of the rights or
interests to properties securing payment of this Note. Time is of the essence
with respect to every provision of this Note. This Note Will be construed and
enforced in accordance with California law.
NOTICE TO BORROWER
Do not sign this Note if it contains blank spaces.
All spaces should be completed before you sign.
LIM
,BORROWER
LA #4849- 7771 -1365 Q
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EXHIBIT E
RECORDING REQUESTED BY
WHEN RECORDED MAIL TO
ROSEMEAD COMMUNITY DEVELOPMENT
COMMISSION
Attention: Michelle Ramirez
8838 E. Valley Boulevard I
Rosemead, California 91770
(SPACE ABOVE THIS LINE RESERVED FOR RECODER'S USE)
DEED OF TRUST
WITH ASSIGNMENT OF RENTS AS ADDITIONAL SECURITY
(COMMERCIAL FAQADE PROGRAM)
THIS DEED OF TRUST is made as of , by
(individually, and if more than one, collectively,
"Borrower "), whose address is , Rosemead,
California 91770, CHICAGO TITLE COMPANY, a California corporation ( "Trustee "), and
the ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION, a municipal corporation,
its successors and assigns (herein called "Lender "), whose address is 8838 E. Valley
Boulevard, Rosemead, California 91770.
BORROWER, In consideration of the indebtedness herein recited and the trust
herein created, irrevocably grants and conveys to Trustee, in trust, with power of sale, the
following described real property ( "Real Property") located in the county of Los Angeles,
State of California:
See attached Exhibit "A"
which has the address of
"Property Address ");
Rosemead, California, 91770 (herein
TOGETHER with all the improvements now or hereafter erected on the Real
Property, and all easements, rights, appurtenances and rents, issues and profits (subject
however to the rights and authorities given herein to Lender to collect and apply such rents,
issues and profits), all of which together with said Real Property (or the leasehold estate if
this Deed of Trust is on a leasehold) are hereinafter referred to as the "Property";
TO SECURE to Lender the repayment of the indebtedness evidenced by Borrower's
note dated and extensions and renewals thereof (herein "Note "), in the
principal sum of U.S. $ ; the payment of all other sums, with interest
thereon, advanced in accordance herewith to protect the security of this Deed of Trust; and
the performance of the covenants and agreements of Borrower herein contained, and
contained in that certain Owner Participation Agreement entered into between Borrower
and Lender dated ( "OPA "); the performance of each agreement of
Borrower incorporated by reference or contained herein or reciting it is so secured; and
payment of additional sums and interest thereon which may hereafter be loaned to
Borrower, or its successors or assigns, when evidenced by a promissory note or notes
reciting that it or they are secured by this Deed of Trust..
LA #48134033 -2549 V2
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Borrower covenants that Borrower is lawfully seized of the estate hereby conveyed
and has the right to grant and convey the Property, and that the Property is unencumbered
except for encumbrances of record. Borrower covenants and warrants that Borrower will
defend generally the title to the Property against all claims and demands, subject to
encumbrances of record.
UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows:
1. Payment of Principal. Borrower shall pay when due the principal and
interest, if any, evidenced by the Note and any other indebtedness secured
by this Deed of Trust. Borrower shall observe and perform all of its
covenants and agreements set forth herein, in the Note, in the OPA and in
any other agreement secured by this Deed of Trust.
2. Maintenance of Property. Borrower agrees that it will, at its sole cost
and expense, maintain the Property in the condition and state of repair
required by the OPA.
3. Prior Mortgages and Deeds of Trust; Charges; Liens. Borrower
shall perform all of Borrower's obligations under any mortgage, deed of trust
or other security agreement with a lien which has priority over this Deed of
Trust, including Borrower's covenants to make payments when due.
Borrower shall pay or cause to be paid all taxes, assessments and other
charges, fines and impositions attributable to the Property which may attain a
priority over this Deed of Trust, and leasehold payments or ground rents, if
any.
4. Hazard Insurance. Borrower shall keep the improvements now
existing or hereafter erected on the Property insured against loss by fire,
hazards included within the term "extended coverage ", and such other
hazards as Lender may require and in such amounts and for such periods as
Lender may require. The insurance carrier providing the insurance shall be
chosen by Borrower subject to approval by Lender; provided, that such
approval shall not be unreasonably withheld. All insurance policies and
renewals thereof shall be in a form acceptable to Lender and shall include a
standard mortgage clause in favor of and in a form acceptable to Lender.
Lender shall have the right to hold the policies and renewals thereof, subject
to the terms of any mortgage, deed of trust or other security agreement with
a lien which has priority over this Deed of Trust. In the event of loss,
Borrower shall give prompt notice to the insurance carrier and Lender.
Lender may make proof of loss if not made promptly by Borrower. If the
Property is abandoned by Borrower, or if Borrower fails to respond to Lender
within 30 days from the date notice is mailed by Lender to Borrower that the
insurance carrier offers to settle a claim for insurance benefits, Lender is.
authorized to collect the insurance proceeds. Lender may apply any such
proceeds to any indebtedness secured hereby and in such order as Lender
may determine, or at option of Lender the entire amount so collected or any
part thereof may be released to Borrower. Such application or release shall
not cure or waive any default or notice of default hereunder or invalidate any
act done pursuant to such notice.
LA #4813 -4033 -2549 v2
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5. Protection of Lender's Security. If Borrower fails to perform the
agreements contained in this Deed of Trust, or if any action or proceeding is
commenced which materially affects Lender's interest in the Property, then
Lender, at Lender's option, upon notice to Borrower, may make such
appearances, disburse such sums, including reasonable attorney's fees, and
take such action as is necessary to protect Lender's interest. Any amounts
disbursed by Lender pursuant to this paragraph, with interest thereon, at the
maximum interest rate allowed by law in effect at the date thereof, shall
become additional indebtedness of Borrower secured by this Deed of Trust.
Unless Borrower and Lender agree to other terms of payment, such amounts
shall be payable upon notice from Lender to Borrower requesting payment
thereof. Nothing contained in this paragraph shall require Lender to incur
any expense or take any action hereunder.
6. Inspection. Lender may make or cause to be made reasonable
entries upon and inspections of the Property, provided that Lender shall give
Borrower notice prior to any such inspection specifying reasonable cause
therefore related to Lender's interest in the Property.
7. Condemnation. The proceeds of any award or claim for damages,
direct or consequential, in connection with any condemnation or other taking
of the Property, or part thereof, or for conveyance in lieu of condemnation,
are hereby assigned and shall be paid to Lender, subject to the terms of any
mortgage, deed of trust or other security agreement with a lien which has
priority over this Deed of Trust. Lender may apply any such proceeds to any
indebtedness secured hereby and in such order as Lender may determine,
or at option of Lender the entire amount so collected or any part thereof may
be released to Borrower. Such application or release shall not cure orwaive
any default or notice of default hereunder or invalidate any act done pursuant
to such notice.
8. Borrower Not Released; Forbearance by Lender Not a Waiver.
Extension of the time for payment or modification of amortization of the sums
secured by this Deed of Trust granted by Lender to any successor in interest
of Borrower shall not operate to release, in any manner, the liability of the
original Borrower and Borrower's successor in interest. Lender shall not be
required to commence proceedings against such successor or refuse to
extend time for payment or otherwise modify amortization of the sums
secured by this Deed of Trust by reason of any demand made by the original
Borrower and Borrower's successors in interest. Lender shall not be required
to commence proceedings against such successor or refuse to extend time
for payment or otherwise modify amortization of the sums secured by this
Deed of Trust by reason of any demand made by the original Borrower and
Borrower's successors in interest. Any forbearance by Lender in exercising
any right or remedy hereunder, or otherwise afforded by applicable law, shall
not be a waiver of or preclude the exercise of any such right or remedy.
LA 448134033 -2549 v2
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9. Successors and Assigns Bound; Joint and Several Liability; Co-
signers. The covenants and agreements herein contained shall bind, and
the rights hereunder shall inure to, the respective successors and assigns of
Lender and Borrower, subject to the provisions of paragraph 14 hereof. All
covenants and agreements of Borrower shall be joint and several. Any
Borrower who co -signs this Deed of Trust, but does not execute the Note, (a)
is co- signing this Deed of Trust only to grant and convey that Borrower's
interest in the Property to Trustee under the terms of this Deed of Trust, (b)
is not personally liable on the Note or under this Deed of Trust, and (c)
agrees that Lender and any other Borrower hereunder may agree to extend,
modify, forbear, or make any other accommodations with regard to the terms
of this Deed of Trust or the Note, without that Borrower's consent and without
releasing that Borrower or modifying this Deed of trust as to that Borrower's
interest in the Property.
10. Notice. Except for any notice required under applicable law to be
given in another manner, (a) any notice to Borrower provided for in this Deed
of Trust shall be given by personal delivery (including by commercial courier
or next business day delivery service) or by mailing such notice by certified
mail, return receipt requested, addressed to Borrower at the Property
Address or at such other address as Borrower may designate by notice to
Lender as provided herein, and (b) any notice to Lender shall be given by
personal delivery (including by commercial courier or next business day
delivery service) or certified mail, return receipt requested, to Lender's
Address stated herein or to such other address as Lender may designate by
notice to Borrower as provided herein. Any notices given in the foregoing
manner shall be deemed to have been duly given to Borrower or Lender, as
the case may be, when, if given by personal delivery, when delivered to the
party's notice address or, if given by certified mail, return receipt requested,
upon the delivery date indicated on the return receipt.
11. Governing Law; Severability. The state and local laws applicable to
this Deed of Trust shall be the laws of the jurisdiction in which the Property is
located. The foregoing sentence shall not limit the applicability of Federal
law to this Deed of Trust. In the event that any provision or clause of this
Deed of Trust or the Note conflicts with applicable law, such conflict shall not
affect other provisions of this Deed of Trust or the Note which can be given
effect without the conflicting provision, and to this end the provisions of this
Deed of
12. Borrower's Copy. Borrower shall be furnished a conformed copy of
the Note and of this Deed of Trust at the time of execution or after
recordation hereof.
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13. Owner Participation Agreement. Borrower shall fulfill all of
Borrower's obligations under the OPA. Lender, at Lender's option, may
require Borrower to execute and deliver to Lender, in a form acceptable to
Lender an assignment of any rights, claims, or defenses which Borrower may
have against parties who supply labor, materials or services in connection to
the Property.
14. Transfer of the - Property; Further Encumbrance. If Borrower sells,
conveys, alienates, transfers or is divested of all or any part of Borrower's
title to the Property, or any interest of Borrower in the Property, or if Borrower
further hypothecates or encumbers the Property or any part thereof, or if
Borrower enters into any agreement to do any of the foregoing without the
prior written consent of Lender, then, Lender shall have the absolute right at
its option, without prior demand or notice, to declare all sums secured by this
Deed of Trust to be immediately due and payable.
NON - UNIFORM COVENANTS. Borrower and Lender further covenant and
agree as follows:
15. Acceleration; Remedies. Upon default by Borrower in payment of
any indebtedness secured hereby or in performance of any agreement
hereunder, Lender may declare all sums secured hereby immediately due
and payable by delivery to Trustee of written declaration of default and
demand for sale and of written notice of default and of election to cause to
be sold the Property, which notice Trustee shall cause to be filed for record.
Lender also shall deposit with Trustee this Deed of Trust, the Note and all
documents evidencing expenditures secured hereby. Afterthe lapse of such
time as may then be required by law following the recordation of said notice
of default, and notice of sale having been given as then required by law,
Trustee, without demand on Borrower, shall sell the Property at the time and
place fixed by it in said notice of sale, either as a whole or in separate
parcels, and in such order as it may determine, at public auction to the
highest bidder for cash in lawful money of the United States, payable at time
of sale. Trustee may postpone sale of all or any portion of the Property by
public announcement at such time and place of sale, and from time to time
thereafter may postpone such sale by public announcement at the time fixed
by the preceding postponement. Trustee shall deliver to such purchaser its
deed conveying the Property so sold, but without any covenant or warranty,
express or implied. The recitals in such deed of any matters or facts shall be
conclusive proof of the truthfulness thereof. Any person, including Borrower,
Trustee, or Lender may purchase at such sale. After deducting all costs,
fees and expenses of Trustee and of this Trust, including cost of evidence of
title in connection with sale, Trustee shall apply the proceeds of sale to
payment of: all sums expended under the terms hereof, not then repaid, with
accrued interest at the amount allowed by law in effect at the date hereof; all
LA #4813 -4033 -2549 Q
2/1/10 5
other sums then secured hereby; and the remainder, if any, to the person or
persons legally entitled thereto.
16. Assignment of Rents. As additional security, Borrower hereby gives
to and confers upon Lender the right, power and authority, during the
continuance of these trusts, to collect the rents, issues and profits of the
Property, reserving to Borrower the right, prior,to any default by Borrower in
payment of any indebtedness secured hereby or in performance of any
agreement hereunder, to collect and retain such rents, issues and profits as
they become due and payable. Upon any such default, Lender may at any
time without notice, either in person, by agent, or by a receiver to be
appointed by a court, and without regard to the adequacy of any security for
the indebtedness hereby secured, enter upon and take possession of the
Property or any part thereof, in his or her own name sue for or otherwise
collect such rents, issues, and profits, including those past due and unpaid,
and apply the same, less costs and expenses of operation and collection,
including reasonable attorney's fees, upon any indebtedness secured
hereby, and in such order as Lender may determine. The entering upon and
taking possession of the Property , the collection of such rents, issues and
profits and the application thereof as aforesaid, shall not cure or waive any
default or notice of default hereunder or invalidate any act done pursuant to
such notice.
17. Reconveyance. Upon written request of Lender stating that all sums
secured hereby have been paid, and upon surrender of this Deed of Trust
and the Note to Trustee for cancellation and retention or other disposition as
Trustee in its sole discretion may choose and upon payment of its fees,
Trustee shall reconvey, without warranty, the property then held hereunder.
The recitals in such reconveyance of any matters or facts shall be conclusive
proof of the truthfulness thereof. The Grantee in such reconveyance may be
described as "the person or persons legally entitled thereto."
18. Substitute Trustee. Lender, at Lender's option, may from time to
time appoint a successor trustee to any Trustee appointed hereunder by an
instrument executed and acknowledged by Lender and recorded in the office
of the Recorder of the county where the Property is located. The instrument
shall contain the name of the original Lender, Trustee and Borrower, the
book and page where this Deed of Trust is recorded, and the name and
address of the successor trustee. The successor trustee shall, without
conveyance of the Property, succeed to all the title, powers and duties
conferred upon the Trustee herein and by applicable law. This procedure for
substitution of trustee shall govern to the exclusion of all other provisions for
substitution.
LA #4813- 4033 -2549 Q
2/1/10 6
19. Request for Notices. Borrower requests that copies of any notice of
default and any notice of sale be sent to the Property Address set forth
above.
20. Statement of Obligation. Lender may charge for a statement
regarding the obligation secured hereby, provided the charge thereof does
not exceed the maximum allowed by law.
IN WITNESS WHEREOF, Borrower has executed this Deed of Trust as of the day and
year first above written.
:N::•
M
[NOTE: Signatures Must Be Notarized]
LA #4813 -4033 -2549 Q
2 /l /10 7
EXHIBIT "A"
LEGAL DESCRIPTION OF THE PROPERTY
LA 44813 -4033 -2549 J2
2/1/10
EXHIBIT F(A)
ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION
COMMERCIAL FACADE PROGRAM
OWNER(S) PARTICIPATION AGREEMENT — REBATE PROGRAM
APN:
THIS AGREEMENT made and entered into this of by and
between , (hereinafter "OWNER(S) ") and the Rosemead Community
Development Commission, a California municipal corporation (hereinafter "CDC "). The Parties to
this OWNER(S) PARTICIPATION AGREEMENT (hereinafter "AGREEMENT ") agree and
mutually promise to each other as follows:
WHEREAS, OWNER(S) warrant that they are all of the FEE TITLE OWNER(S) of the real
property within the City of Rosemead and within one of the Rosemead Community Development
Commission's Project Areas which is commonly known as
Rosemead, California (the 'PROPERTY "), which is legally described in Exhibit "A," attached
hereto.
WHEREAS, the PROPERTY is in need of exterior fagade improvements, the cost of which has
prohibited the OWNER from upgrading of the property.
WHEREAS, OWNER(S) and CDC desire to make improvements to the property in order to
increase property values and to eliminate blighted conditions within Project Area No. 1 and Project
Area No. 2.
WHEREAS, this AGREEMENT is made pursuant to the Redevelopment Plan for the
Redevelopment Project Area No. 1 adopted by City of Rosemead Ordinance No. 340, June 27, 1972,
as Amended and Project Area No. 2, adopted by the Rosemead Community Development
Commission Ordinance No. 809, June 27, 2000, as Amended.
WHEREAS, CDC is the administrator of redevelopment funds which may be used to provide
incentives for the rehabilitation of commercial buildings, owned by private for - profit businesses,
where improvements are limited to the exterior of the building and the correction of code violations.
WHEREAS, OWNER(S) desire to have improvements made to the property with the assistance of
the financial incentives offered by the CDC. The CDC shall make or cause to be made the
improvements set forth on Exhibit "B" attached hereto and incorporated herein by this reference.
NOW, THEREFORE, for and in consideration of their mutual promises, the OWNER(S) and the
CDC hereby agree as follows:
OWNER(S) PARTICIPATION AGREEMENT
Rebate Program
Page 2 of 5
REBATE AMOUNT: CDC and OWNER(S) agree that the improvements set forth in Exhibit
"B" will cost approximately S to accomplish. CDC shall reimburse
OWNER(S) an amount not to exceed ($ ) which is
% of the estimated cost for exterior fagade improvements costs including the permit fees,
upon satisfactory completion of the exterior improvements upon the PROPERTY (the
"IMPROVEMENTS ") in accordance with the scope of work shown in Exhibit "B ", and
submission of acceptable evidence of full prior payment for all associated costs. OWNER(S)
shall pay the balance of the cost to complete the improvements.
2. FINANCING: OWNER(S) agrees to finance the cost and expenses of the IMPROVEMENTS
and cost and expenses incidental thereto, using private funds.
PREVAILING WAGE: OWNER(S) shall ensure that all workers employed pursuant to this
program shall be paid not less than the applicable State prevailing wage and comply with the
provisions of the California Redevelopment Law and Labor Code with regard to the payment
of prevailing wages.
4. TIME OF PERFORMANCE: OWNER(S) agree to cause construction of the
IMPROVEMENTS to be commenced and to be prosecuted with due diligence and good faith
without delay, so that the same will be fully completed not later than 90 working days after the
date set forth hereinabove of this AGREEMENT.
5. CHANGES IN WORK: OWNER(S) shall not permit any amendments or modifications of the
IMPROVEMENTS or the performance of any work pursuant to such amendments or
modifications, which would increase the cost of the project and, therefore, the total amount
eligible for rebate, without prior written consent of the CDC first being obtained with respect
thereto.
RIGHTS OF INSPECTION: CDC shall have the right at any time and from time to time to
enter the property for the purposes of inspection. OWNER(S) agree to provide access to all
records pertaining to the project as the CDC may deem necessary to establish proper
accounting of the rebate amount.
SITE MAINTENANCE: OWNER hereby accepts the Faqade Improvements as appurtenant to
the Site. OWNER covenants and agrees that, it will, at its sole cost and expense: (i) maintain
the appearance and safety of the Fagade Improvements and Site (including all buildings,
improvements, fixtures, parking areas and landscaping) in good order, condition, and repair,
and free from the accumulation of trash, waste materials, and other debris; and (ii) remove all
graffiti placed upon the Site (including all improvements, and fixtures) within seventy -two
(72) hours of its appearance. In the event OWNER fails to comply with these obligations and
fails to cure a default of the obligation within the time provided, the CDC has the right, but not
the obligation, to enter upon the site without further notice and affect such actions as are
reasonably required to maintain and repair the Faqade Improvements. In such event, the CDC
shall be entitled to reimbursement of its costs and expenses from OWNER within 15 days of
written demand for reimbursement.
OWNER(S) PARTICIPATION AGREEMENT
Rebate Program
Page 3 of 5
8. INDEMNITY. The OWNER shall indemnify and hold CDC harmless from any liability,
damage, injury, or cost that is directly and proximately caused by: (i) the alleged, claimed or
actual negligent acts or omissions of the OWNER, its employees, agents, or contractors in the
design, construction or installation of the Fagade Improvements on the Site or (ii) by entry onto
the Site. Notwithstanding the foregoing, OWNER hereby releases the CDC, the City, and their
respective elected and appointed officials, officers, employees, agents, and contractors, from
any claims, demands, liability, damages, injuries, or costs and expenses (including attorneys'
fees) that the OWNER may have, or that may hereafter accrue to OWNER, arising from, or
which are in any way related to any adverse affect the Facade Improvements may have on the
Site, including the building to which they are affixed, disruption of business, loss of goodwill,
or other monetary damages arising from, or in any way related to, interference with the
business of OWNER or the OWNER'S tenant(s).
9. COMPLIANCE WITH REHABILITATION STANDARDS: All plans and specifications
must comply with the City of Rosemead Building and Fire Codes, Seismic Ordinance, General
Plan and Zoning Ordinances.
10. COVENANTS FOR NON - DISCRIMINATION:
A. The OWNER covenants and agrees for itself, its successors, its assigns and every
successor in interest to the Site or any part thereof, there shall be no discrimination
against or segregation of any person, or group of persons, on account of race, color,
creed, national origin, sex, marital status, handicap, religion or ancestry in the sale, lease,
sublease, transfer, use, occupancy, tenure or enjoyment of the Site nor shall the OWNER
itself or any person claiming under or through it establish or permit any such practice or
practices of discrimination or segregation with reference to the selection, location,
number, use or occupancy of tenants, leases, subtenants, sublessees, or vendees of the
Site.
B. The OWNER shall refrain from restricting the rental, sale or lease of the property on the
basis of race, color, creed, ancestry, national origin, sex, marital status, handicap, or
religion of any person. All such deeds, leases or contracts shall contain or be subject to
substantially the following nondiscrimination or nonsegregation clauses:
1. In deeds: "The grantee herein covenants by and for himself or herself, his or her
heirs, executors, administrators, and assigns, and all persons claiming under or
through them that there shall be no discrimination against or segregation of, any
person or group of persons on account of any basis listed in subdivision (a) or (d)
of Section 12955 of the Government Code, as those bases are defined in Sections
12926, 1926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section
12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease,
transfer, use, occupancy, tenure or enjoyment of the premises herein conveyed,
nor shall the grantee or any person claiming under or through him or her,
establish or permit any practice or practices of discrimination or segregation with
reference to the selection, location, number, use or occupancy of tenants, lessees,
subtenants, sublessees or vendees in the premises herein conveyed. The
foregoing covenants shall run with the land."
OWNER(S) PARTICIPATION AGREEMENT
Rebate Program
Page 4 of 5
2. In leases: "The lessee herein covenants by and for himself or herself, his or her
heirs, executors, administrators and assigns, and all persons claiming under or
through him or her, and this lease is made and accepted upon and subject to the
following conditions: That there shall be no discrimination against or segregation
of any person or group of persons, on account of any basis listed in subdivision
(a) or (d) of Section 12955 of the Government Code, as those bases are defined in
Sections 12926, 1926. 1, subdivision (m) and paragraph (1) of subdivision (p) of
Section 12955, and Section 12955.2 of the Government Code, in the leasing,
subleasing, transferring, use, occupancy, tenure or enjoyment of the premises
herein leased nor shall the lessee himself or herself, or any person claiming under
or through him or her, establish or permit any such practice or practices of
discrimination or segregation with reference to the selection, location, number,
use or occupancy of tenants, lessees, sublessees, subtenants or vendees in the
premises herein leased."
C. The covenants established in this Agreement shall, without regard to technical
classification and designation, be binding for the benefit and in favor of the CDC, its
successors and assigns, the City and any successor in interest to the Site or any part
thereof. The covenants contained in this section shall remain in perpetuity.
IN WITNESS WHEREOF, the parties hereto have executed this AGREEMENT as of the day and
year first above written.
C
Jeff Allred, Executive Director OWNER
Rosemead Community Development Manager
, OWNER
Approved as to Form:
Joseph M. Montes
Burke, Williams & Sorensen, LLP
Commission General Counsel
NOTE: Notary Public Form(s) must be attached
OWNER(S) PARTICIPATION AGREEMENT
Rebate Program
Page 5 of 5
EXHIBIT 'A'
LEGAL DESCRIPTION OF THE PROPERTY
Subject Address:
Legal Description:
City: Rosemead
County: Los Angeles
State: California
Zip Code: 91770 -2006
Census Tract:
Map Reference:
APN:
OWNER(S) PARTICIPATION AGREEMENT
Rebate Program
Page 6 of 5
EXHIBIT 'B'
SCOPE OF WORK
EXHIBIT F(B)
ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION
COMMERCIAL FA4ADE PROGRAM
OWNER PARTICIPATION AGREEMENT — LOAN PROGRAM
APN:
THIS AGREEMENT made and entered into this of by and
between , (hereinafter "OWNER(S) ") and the Rosemead Community
Development Commission, a California municipal corporation (hereinafter "CDC "). The Parties to
this OWNER(S) PARTICIPATION AGREEMENT (hereinafter "AGREEMENT ") agree and
mutually promise to each other as follows:
WHEREAS, OWNER(S) warrant that they are all of the FEE TITLE OWNER(S) of the real
property within the City of Rosemead and within one of the Rosemead Community Development
Commission's Project Areas which is commonly known as
Rosemead, California (the 'PROPERTY "), which is legally described in Exhibit "A," attached
hereto.
WHEREAS, the PROPERTY is in need of exterior fagade improvements, the cost of which has
prohibited the OWNER from upgrading of the property.
WHEREAS, OWNER(S) and CDC desire to make improvements to the property in order to
increase property values and to eliminate blighted conditions within Project Area No. 1 and Project
Area No. 2.
WHEREAS, this AGREEMENT is made pursuant to the Redevelopment Plan for the
Redevelopment Project Area No. 1 adopted by City of Rosemead Ordinance No. 340, June 27, 1972,
as Amended and Project Area No. 2, adopted by the Rosemead Community Development
Commission Ordinance No. 809, June 27, 2000, as Amended.
WHEREAS, CDC is the administrator of redevelopment funds which may be used to provide
incentives for the rehabilitation of commercial buildings, owned by private for - profit businesses,
where improvements are limited to the exterior of the building and the correction of code violations.
WHEREAS, OWNER(S) desire to have improvements made to the property with the assistance of
the financial incentives offered by the CDC. The CDC shall make or cause to be made the
improvements set forth on Exhibit "B" attached hereto and incorporated herein by this reference.
OWNER(S) PARTICIPATION AGREEMENT
Loan Program
Page 2 of 6
NOW, THEREFORE, for and in consideration of their mutual promises, the OWNER(S) and the
CDC hereby agree as follows:
LOAN AMOUNT: CDC shall lend OWNER an amount not to exceed
DOLLARS ($__) for exterior fagade improvement costs. Loan shall be
evidenced by a note secured by a deed of trust on the PROPERTY. OWNER shall have four
options for repayment of their loan for said improvement costs. Prior to the signing of the
Promissory Note, OWNER must choose, in writing, one of the following four payment
options:
A. Execute a promissory note and pay the full amount within 10 -days, interest free, of the
signing of the Notice of Completion.
B. Execute a promissory note secured by a deed of trust on the property in favor of
Rosemead Community Development Commission and pay off the full amount within six
month, interest free, of the signing of the Notice of Completion. The note will be payable
in equal monthly installments of $ including principal and interest over a
period of six months (6) commencing on the first whole month after the completion of
the improvements. The note will become due and payable earlier if the property is sold,
transferred in ownership, or refinanced. The Applicant may retire the promissory note at
any time, without prepayment penalties, by paying outstanding principal and accrued
interest; or
C. Execute a promissory note secured by a deed of trust on the property in favor of CDC.
The note will be payable in equal monthly installments of $ including
principal and interest over a period of ten years commencing on the first whole month
after the completion of the improvements. The note will accrue interest at the rate of 3%
per annum from the date of the loan signing. The note will become due and payable in
ten years, or at the time the property is either sold, transferred or refinanced, whichever
comes first. The Applicant may retire the promissory note at any time, without
prepayment penalties, by paying outstanding principal and accrued interest;
D. Execute a promissory note secured by a deed of trust on the property in favor of CDC.
The note will accrue interest at the rate of 3% per annum from the date the improvements
are completed. The note will become due and payable in ten years (
� , or at the time the property is either sold, transferred or refinanced, whichever
comes first. OWNER may retire the promissory note at any time, without prepayment
penalties, by paying outstanding principal and accrued interest.
FINANCING: OWNER(S) agrees to finance the cost and expenses of the IMPROVEMENTS
and cost and expenses incidental thereto, using private funds.
PREVAILING WAGE: OWNER(S) shall ensure that all workers employed pursuant to this
program shall be paid not less than the applicable State prevailing wage and comply with the
provisions of the California Redevelopment Law and Labor Code with regard to the payment
of prevailing wages.
OWNER(S) PARTICIPATION AGREEMENT
Loan Program
Page 3 of 6
4. TIME OF PERFORMANCE: OWNER(S) agree to cause construction of the
IMPROVEMENTS to be commenced and to be prosecuted with due diligence and good faith
without delay, so that the same will be fully completed not later than 90 working days after the
date set forth hereinabove of this AGREEMENT.
CHANGES IN WORK: OWNER(S) shall not permit any amendments or modifications of the
IMPROVEMENTS or the performance of any work pursuant to such amendments or
modifications, which would increase the cost of the project and, therefore, the total amount
eligible for rebate, without prior written consent of the CDC first being obtained with respect
thereto.
6. RIGHTS OF INSPECTION: CDC shall have the right at any time and from time to time to
enter the property for the purposes of inspection. OWNER(S) agree to provide access to all
records pertaining to the project as the CDC may deem necessary to establish proper
accounting of the rebate amount.
7. SITE MAINTENANCE: OWNER hereby accepts the Fagade Improvements as appurtenant to
the Site. OWNER covenants and agrees that, it will, at its sole cost and expense: (i) maintain
the appearance and safety of the Fagade Improvements and Site (including all buildings,
improvements, fixtures, parking areas and landscaping) in good order, condition, and repair,
and free from the accumulation of trash, waste materials, and other debris; and (ii) remove all
graffiti placed upon the Site (including all improvements, and fixtures) within seventy -two
(72) hours of its appearance. In the event OWNER fails to comply with these obligations and
fails to cure a default of the obligation within the time provided, the CDC has the right, but not
the obligation, to enter upon the site without further notice and affect such actions as are
reasonably required to maintain and repair the Fagade Improvements. In such event, the CDC
shall be entitled to reimbursement of its costs and expenses from OWNER within 15 days of
written demand for reimbursement.
8. INDEMNITY. The OWNER shall indemnify and hold CDC harmless from any liability,
damage, injury, or cost that is directly and proximately caused by: (i) the alleged, claimed or
actual negligent acts or omissions of the OWNER, its employees, agents, or contractors in the
design, construction or installation of the Fagade Improvements on the Site or (ii) by entry onto
the Site. Notwithstanding the foregoing, OWNER hereby releases the CDC, the City, and their
respective elected and appointed officials, officers, employees, agents, and contractors, from
any claims, demands, liability, damages, injuries, or costs and expenses (including attorneys'
fees) that the OWNER may have, or that may hereafter accrue to OWNER, arising from, or
which are in any way related to any adverse affect the Fagade Improvements may have on the
Site, including the building to which they are affixed, disruption of business, loss of goodwill,
or other monetary damages arising from, or in any way related to, interference with the
business of OWNER or the OWNER'S tenant(s).
9. COMPLIANCE WITH REHABILITATION STANDARDS: All plans and specifications
must comply with the City of Rosemead Building and Fire Codes, Seismic Ordinance, General
Plan and Zoning Ordinances.
OWNER(S) PARTICIPATION AGREEMENT
Loan Program
Page 4 of 6
10. COVENANTS FOR NON - DISCRIMINATION:
A. The OWNER covenants and agrees for itself, its successors, its assigns and every
successor in interest to the Site or any part thereof, there shall be no discrimination
against or segregation of any person, or group of persons, on account of race, color,
creed, national origin, sex, marital status, handicap, religion or ancestry in the sale, lease,
sublease, transfer, use, occupancy, tenure or enjoyment of the Site nor shall the OWNER
itself or any person claiming under or through it establish or permit any such practice or
practices of discrimination or segregation with reference to the selection, location,
number, use or occupancy of tenants, leases, subtenants, sublessees, or vendees of the
Site.
B. The OWNER shall refrain from restricting the rental, sale or lease of the property on the
basis of race, color, creed, ancestry, national origin, sex, marital status, handicap, or
religion of any person. All such deeds, leases or contracts shall contain or be subject to
substantially the following nondiscrimination or nonsegregation clauses:
1. In deeds: "The grantee herein covenants by and for himself or herself, his or her
heirs, executors, administrators, and assigns, and all persons claiming under or
through them that there shall be no discrimination against or segregation of, any
person or group of persons on account of any basis listed in subdivision (a) or (d)
of Section 12955 of the Government Code, as those bases are defined in Sections
12926, 1926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section
12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease,
transfer, use, occupancy, tenure or enjoyment of the premises herein conveyed,
nor shall the grantee or any person claiming under or through him or her,
establish or permit any practice or practices of discrimination or segregation with
reference to the selection, location, number, use or occupancy of tenants, lessees,
subtenants, sublessees or vendees in the premises herein conveyed. The
foregoing covenants shall run with the land."
2. In leases: "The lessee herein covenants by and for himself or herself, his or her
heirs, executors, administrators and assigns, and all persons claiming under or
through him or her, and this lease is made and accepted upon and subject to the
following conditions: That there shall be no discrimination against or segregation
of any person or group of persons, on account of any basis listed in subdivision
(a) or (d) of Section 12955 of the Government Code, as those bases are defined in
Sections 12926, 1926. 1, subdivision (m) and paragraph (1) of subdivision (p) of
Section 12955, and Section 12955.2 of the Government Code, in the leasing,
subleasing, transferring, use, occupancy, tenure or enjoyment of the premises
herein leased nor shall the lessee himself or herself, or any person claiming under
or through him or her, establish or permit any such practice or practices of
discrimination or segregation with reference to the selection, location, number,
use or occupancy of tenants, lessees, sublessees, subtenants or vendees in the
premises herein leased."
OWNER(S) PARTICIPATION AGREEMENT
Loan Program
Page 5 of 6
C. The covenants established in this Agreement shall, without regard to technical
classification and designation, be binding for the benefit and in favor of the CDC, its
successors and assigns, the City and any successor in interest to the Site or any part
thereof. The covenants contained in this section shall remain in perpetuity.
IN WITNESS WHEREOF, the parties hereto have executed this AGREEMENT as of the day and
year first above written.
i
Jeff Allred, Executive Director OWNER(S)
Rosemead Community Development Manager
, OWNER(S)
Approved as to Form:
I=
Joseph M. Montes
Burke, Williams & Sorensen, LLP
Commission General Counsel
NOTE: Notary Public Forms) must be attached
OWNER(S) PARTICIPATION AGREEMENT
Loan Program
Page 6 of 6
EXHIBIT 'A'
Subject Address:
Legal Description:
City:
County:
State:
Zip Code:
Census Tract:
Map Reference:
APN:
LEGAL DESCRIPTION OF THE PROPERTY
Rosemead
Los Angeles
California
91770 -2006
OWNER(S) PARTICIPATION AGREEMENT
Loan Program'
Page 7 of 6
EXHIBIT `B'
SCOPE OF WORK
ROSEMEAD COMMUNITY
DEVELOPMENT COMMISSION
STAFF REPORT
TO: THE HONORABLE CHAIRMAN AND COMMISSION MEMBERS
FROM: JEFF ALLRED, EXECUTIVE DIRECTOR
DATE: FEBRUARY 9, 2010
SUBJECT: APPROVAL OF CHANGES TO COMMERCIAL FACADE PROGRAM
SUMMARY
In 2001, the Rosemead Community Development Commission approved a Commercial
Fapade Program ( Fapade Program) with the goal of restoring the vitality of the City's
Commercial districts within each of its project areas. The Fapade Program was
discontinued in fiscal year 2007 -08 due to lack of participation. The Fapade Program
has since been amended and includes modified funding options and a simplified
application procedure from the previous program. These elements were designed to
improve the two main deficiencies of the previous program — low grant/loan amounts
and flexibility of programs.
The Fapade Program will now consist of five (5) components: architectural design
services, sign replacement rebates, general property improvement rebates, fagade
improvement rebates, and fagade improvement loans. Applicants may concurrently
apply for one or more of the five (5) elements of the CDC's overall Fapade Program.
Staff Recommendation
Staff recommends that the Community Development Commission adopt Resolution
2010 -05 authorizing implementation and administration of a Commercial Fapade
Program.
ANALYSIS
The Fapade Program provides funding opportunities to property owners and tenants to
encourage the improvement and restoration of building frontages for commercial
properties located within the City's Redevelopment Project Areas. There are five (5)
components:
➢ Architectural Design Services — Reimbursement of architectural services
including consultation and preparation of concept elevations and designs
consistent with the City's adopted Commercial Revitalization Design
Guidelines, provided by a licensed California architect.
Available Amount: Up to $500
ITEM NO.
APPROVED FOR CITY COUNCIL AGENDA:
Community Development Commission
February 9, 2010
Paae 2 of 4
➢ Sign Replacement Rebates - Sign Rebates can be used to remove non-
conforming (to code), obsolete, inappropriate, unattractive and unused signs,
and sign supports, as well as to construct and install new signs and related
support and electrical work to meet the intent and criteria of the Commercial
Revitalization Design Guidelines and the City of Rosemead Zoning Code.
Available Amount: 75% of the costs up to a maximum rebate of $6,000
➢ General Property Improvement Rebates - Rebates can be used for
improvements to or replacement of the following.
• Trash receptacle enclosures.
• Decorative masonry or brick walls.
• Parking lot reconstruction, resurfacing and restriping, landscaping,
irrigation and lighting.
• City Design Review, plan check and permit fees.
• Such other general property improvements and costs as approved
by the Development Services Director.
Available Amount: 50% of the costs up to a maximum rebate of $25,000
➢ Fagade Improvement Rebates - Rebates can be used for the removal of non-
conforming (to code) obsolete or inappropriate fagade appurtenances, and
also for the following fagade improvements.
• Structural work only if directly related to fagade improvements
• Awnings, canopies, shutters, etc.
• Entrances and storefronts
• Windows
• Roofs
• Exterior lighting affixed to the building
• Landscaping and irrigation
Available Amount: 50% of the costs up to a maximum rebate of $50,000
➢ Fagade Improvement Loans — Loans can be used for any of the items listed
above as well as new fagade construction.
Available Amount: Up to $75,000
The Fagade Program is designed to stimulate private investment in improvements that
contribute to the overall strength of these commercial districts and provide a pleasant
and exciting family- oriented shopping district. It will aid the Redevelopment Agency in
carrying out the goal and objective of "Community Beautification and Visual Blight
Removal" as identified in the Commission's Five Year Implementation Plan (FY 2009 —
2013): In addition, the implementation of an updated Fagade Program is consistent with
the City's Two Year Strategic Plan goal: to "Beautify community infrastructure and
improve public facilities ", Strategy 2 "Encourage and promote private investment to
improve property aesthetics ".
Community Development Commission
February 9, 2010
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Once the amended Fagade Program is approved, the application materials will be
distributed and a marketing plan will be implemented to reach potential applicants. The
following is a list of key strategies that will be used to advertise the program to local
business:
• Mail letter and informational packets to property owners and tenants located
within the Rosemead Redevelopment Project Areas;
• Send press release to local newspapers;
• Post informational packets at City Hall, Chamber of Commerce, Rosemead
Library, etc.
• Advertise the program on the Internet (City and Chamber of Commerce's
websites, etc.);
• Provide participants with a notice to post at their business location, visible to
the public, explaining how the Fagade Program made the project possible,
and how to apply;
• Collaborate with the Chamber of Commerce — newsletter and Chamber
events;
• Share information about the program with local realtors and West San Gabriel
Valley Association of Realtors.
LEGAL REVIEW
The attached Resolution has been reviewed and approved by the City Attorney.
ENVIRONMENTAL REVIEW
The Commercial Fagade Program and the Owner Participation Agreement is exempt
from the requirement of the California Environmental Quality Act (CEQA) pursuant to
Section 15061(b)(3). However, each individual project funded through the program will
be considered a "project" and the appropriate level of CEQA review will be completed
prior to the funding of the project.
FISCAL IMPACT
$153,000 - CDC Reserves Account (appropriation amendment forthcoming)
PUBLIC NOTICE PROCESS
This item has been noticed according to the California Health and Safety Code Section
33490.
Prepared by:
Michelle G. Ramirez
Economic Development Administrator
Community Development Commission
February 9, 2010
Page 4 of 4
ubmitted by:
t
Community De ment Director
Attachment A: Resolution 2010 -05