CONTRACT 5875 OtherR. P. LAURAIN
& ASSOCIATES
INCORPORATED
SUBMITTED VIA EMAIL
March 3, 2020
City of EI Segundo
350 Main Street
EI Segundo, California 90245
Subject: Real Estate Appraisal Services
Portion of the Lakes at EI Segundo
400 South Sepulveda Boulevard
EI Segundo, California 90245
APN: 4138-014-913 (portion)
Agreement No. 5875
3353 LINDEN AVENUE, SUITE 200
LONG BEACH, CALIFORNIA 90807
TELEPHONE (562) 426-0477
FACSIMILE (562) 988-2927
RPLA@RPLAURAIN. COM
Receipt is acknowledged of your recent invitation to submit a proposal for
professional real estate appraisal services regarding a portion of the above -
referenced property. It is understood that the intended users of the appraisal
will be both the City of EI Segundo (City) and Topgolf USA EI Segundo, LLC
(Topgolf).
The objective of the appraisal study will be the market value of the fee simple
interest of a portion of the subject property, as currently encumbered with the
terms of various agreements that restricts the use of the subject site. Per
information and mapping provided, it is understood that the subject property is
to be appraised in its current state, as encumbered, including without limitation:
• A grant deed from Chevron USA, Inc. to the City of EI Segundo (the
instrument through which the City acquired title to the property, of which
the premises is a part) that restricts the use of the premises to a public
golf course and such other uses necessary and essential to the operation
of a public golf course, and/or public outdoor recreational uses, including
parks and playing fields and other similar active or passive recreational
uses.
• A License Agreement by and between the City and Southern California
Edison affecting a portion of the premises.
APPRAISERS - ANALYSTS
Agreement No. 5875
City of EI Segundo
March 3, 2020
Page 2
The larger subject property ownership contains approximately 26 acres of land
area, per Assessor's mapping. It is understood that the City and Topgolf are
"entering into a business relationship that requires them to agree upon the value
of a 10.674 -acre parcel of land owned by the City and currently improved with
a driving range, clubhouse, and a small portion of a nine -hole public golf course
(the "premises")." The appraisal study, therefore, will pertain to said 10.674
acre parcel only, considering the highest and best use of the larger parcel as a
whole, in the "as -is" condition, and considering the stated deed restrictions.
As part of the appraisal study, we will need to coordinate with the respective
parties to conduct a complete on-site inspection of the subject property.
Further, it is understood that the City and Topgolf may be entering into an
agreement to redevelop portions of the subject site. While said redevelopment
of the site will not be considered in the subject appraisal study, we would
request a brief summary of the proposed project, as well as the current rental
rate applicable to the subject site.
Based on the amount of time estimated to complete the appraisal study, the fee
for our services will be in the total amount of $12,500. The appraisal report can
be completed with 35 to 40 days following authorization to precede, evidenced
by a receipt of a signed copy of this proposal letter. A current date of value will
be employed.
The appraisal will be prepared in accordance with the Uniform Standards of
Professional Appraisal Practice as a complete narrative Appraisal Report. The
Appraisal Report will be delivered simultaneously to both the City and Topgolf
via e-mail, as an electronic (PDF) document.
This agreement is subject to the supplemental indemnification and insurance
terms attached hereto and incorporated herein by this reference.
R. P. L A U R A IN
& A S S O C I A T E S
INCORPORATED
Agreement No. 5875
City of EI Segundo
March 3, 2020
Page 3
If there is any additional information you require at this time, it would be
appreciated if you would contact the undersigned at your convenience.
Very truly yours,
R. P. LA ' AIN & ASSOCIATES, INC.
PL ain AI, ASA
rtified General Real Estate Appraiser
alifornia Certification No. AG 025754
Attachment
The parties authorize the appraisal services indicated above.
City of EI Segundo
Scott Mitnick
City Manager
Date: 3— 3 --ZOZ0
ATTEST
City Clk
APPROVED AS TO FORM
City Attorney
3-16 d6 a0
R. P. LAU R A IN
& A S S O C I A T E S
INCORPORATED
AGREEMENT FOR APPRAISAL SERVICES
1. INDEMNIFICATION.
Agreement No. 5875
A. R. P. Laurain & Associates, Inc. ("CONSULTANT") agrees to the following:
Indemnification for Professional Services. CONSULTANT will save
harmless and indemnify and at the City of El Segundo's ("CITY's") request
reimburse defense costs for CITY and all its officers, volunteers,
employees and representatives from and against any and all suits, actions,
or claims, of any character whatever, brought for, or on account of, any
injuries or damages sustained by any person or property resulting or arising
from any negligent or wrongful act, error or omission by CONSULTANT or
any of CONSULTANT's officers, agents, employees, or representatives, in
the performance of this Agreement, except for such loss or damage arising
from CITY's sole negligence or willful misconduct.
ii, Indemnification for other Damages. CONSULTANT indemnifies and holds
CITY harmless from and against any claim, action, damages, costs
(including, without limitation, attorney's fees), injuries, or liability, arising out
of this Agreement, or its performance, except for such loss or damage
arising from CITY's sole negligence, or willful misconduct, Should CITY be
named in any suit, or should any claim be brought against it by suit or
otherwise, whether the same be groundless or not, arising out of this
Agreement, or its performance, CONSULTANT will defend CITY (at CITY's
request and with counsel satisfactory to CITY) and will indemnify CITY for
any judgment rendered against it or any sums, paid out in settlement or
otherwise.
B. For purposes of this section "CITY" includes CITY's officers, officials, employees,
agents, representatives, and certified volunteers.
C. It is expressly understood and agreed that the foregoing provisions will survive
termination of this Agreement.
D. The requirements as to the types and limits of insurance coverage to be
maintained by CONSULTANT, and any approval of said insurance by CITY, are
not intended to and will not in any manner limit or qualify the liabilities and
obligations otherwise assumed by CONSULTANT pursuant to this Agreement,
including, without limitation, to the provisions concerning indemnification.
2. INSURANCE.
A. Before commencing performance under this Agreement, and at all other times this
Agreement is effective, CONSULTANT will procure and maintain the following
types of insurance with coverage limits complying, at a minimum, with the limits
set forth below:
Agreement No. 5875
Iyoe of Insurance Limits
Commercial general liability: $2,000,000
Business automobile liability: $1,000,000
Workers compensation: Statutory requirement
B. Commercial general liability insurance will meet or exceed the requirements of the
most recent ISO -CGL Form. The amount of insurance set forth above will be a
combined single limit per occurrence for bodily injury, personal injury, and property
damage for the policy coverage. Liability policies will be endorsed to name CITY,
its officials, and employees as "additional insureds" under said insurance coverage
and to state that such insurance will be deemed "primary" such that any other
insurance that may be carried by CITY will be excess thereto. Such endorsement
must be reflected on ISO Form No. CG 20 10 11 85 or 88, or equivalent. Such
insurance will be on an "occurrence," not a "claims made," basis and will not be
cancelable or subject to reduction except upon thirty (30) days prior written notice
to CITY.
C. Automobile coverage will be written on ISO Business Auto Coverage Form CA 00
01 06 92, including symbol 1 (Any Auto).
D. CONSULTANT will furnish to CITY duly authenticated Certificates of Insurance
evidencing maintenance of the insurance required under this Agreement and such
other evidence of insurance or copies of policies as may be reasonably required
by CITY from time to time. Insurance must be placed with insurers with a current
A.M. Best Company Rating equivalent to at least a Rating of "A:VII."
E. Should CONSULTANT, for any reason, fail to obtain and maintain the insurance
required by this Agreement, CITY may obtain such coverage at CONSULTANT's
expense and deduct the cost of such insurance from payments due to
CONSULTANT under this Agreement or terminate.
Agreed:
)4hn P.1�„ MAI, ASA
resident
R.P. Laurain & Associates, Inc.