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CONTRACT 3083 Easement AgreementRECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: 612 Twin Holdings, LLC 1141 Highland Avenue, Suite 203 Manhattan Beach, California 90266 -5326 Attention: Mr. Mark A. Neumann (Space Above For Recorder's Use) EASEMENT AGREEMENT THIS EASEMENT AGREEMENT (this "Agreement ") is made as of 200_Z by and between 612 TWIN HOLDINGS, LLC, a California limited liability company ( "Parking Structure Owner "), and THE CITY OF EL SEGUNDO, a municipal corporation ( "City "). RECITALS: A. The Parking Structure Owner is the owner in fee simple of that certain real property (the "Parking Structure Parcel ") situated in the City of El Segundo, County of Los Angeles, State of California, more particularly described on Exhibit "A" attached hereto and made a part hereof. B. The Parking Structure Owner and the City entered into that certain Lease Agreement, dated as of June 18, 2002, as amended by that certain First Amendment to Lease Agreement, dated as of October 18, 2002 (collectively, the "Lease "), whereby the City leased from the Parking Structure Owner and the Parking Structure Owner leased to the City one hundred (100) parking spaces in the parking structure (the "Parking Structure ") which will be constructed on the Parking Structure Parcel in accordance with that certain Construction Agreement between the Parking Structure Owner and the City, dated as of June 18, 2002, as amended by that certain First Amendment to Construction Agreement, dated as of October 18, 2002 (collectively, the "Construction Agreement "). The Parking Structure Owner and the City, their successors and assigns, are sometimes individually referred to herein as an "Owner" and collectively referred to herein as the "Owners ". C. The Owners acknowledge that the foundation of the Parking Structure will extend over the property line of the Parking Structure Parcel not more than sixty (60) inches at any point on three (3) sides of the Parking Structure Parcel, thereby encroaching (the "Encroachment ") on the real property adjacent to the Parking Structure Parcel owned by the City (collectively, the "City Property "). The portions of the City Property 550468.02/WLA Easement Agreement C3265- 007112- 184711ryidkylt - ] - [City of El Segundo] that will be encroached on, as described and depicted on Exhibit "B ", attached hereto, are collectively referred to herein as the "Encroached Area ". D. Acknowledging that the Parking Structure is to be constructed, in part, for the benefit of the City, in consideration therefor, the City desires to establish certain easements for the benefit of the Parking Structure Owner, its successors and assigns, allowing the Encroachment and the Parking Structure Owner to enter upon the City Property to maintain and repair the Parking Structure in accordance with the terms and conditions set forth herein. AGREEMENT: NOW, THEREFORE, incorporating and in consideration of the foregoing Recitals, the Owners hereby covenant and declare that the Parking Structure Parcel and the City Property are now held and shall hereafter be held, transferred, sold, leased, conveyed, encumbered, mortgaged, improved and occupied subject to the terms of this Agreement. The easements set forth herein shall run with the Parking Structure Parcel and City Property, and shall be binding on the Parking Structure Owner and the City, and their respective successors and assigns, with respect to the Parking Structure Parcel and the City Property, respectively, and shall inure to the benefit of the Parking Structure Owner as described herein. 1. Grant of Encroachment Easement. The City hereby grants to the Parking Structure Owner, for the benefit of the Parking Structure Owner and its successors and assigns, a non - exclusive easement (the "Encroachment Easement ") over, across, upon and under the Encroached Area solely for the purpose of the Encroachment and the maintenance, repair and/or replacement of the portion of the foundation of the Parking Structure located in the Encroached Area. 2. Maintenance Obligations. The Parking Structure Owner shall maintain the Parking Structure and all related improvements located within the Encroached Area, at its sole cost and expense, in good condition and repair, and shall repair, at its sole cost and expense, any damage to the Encroached Area caused by the Encroachment or by the Parking Structure Owner's use of the Encroachment Easement or its exercise of any rights or performance of any obligations under this Agreement; provided, however, that the Parking Structure Owner shall not be responsible for the repair of any damage caused by the negligence or willful misconduct of the City or any of its licensees, employees, agents or contractors, which repairs shall be the sole responsibility of the City. The Parking Structure Owner must obtain the City's prior written consent (which consent will not be unreasonably withheld) prior to any entry upon the Encroached Area for the purpose of performing any maintenance, repair or replacement permitted by this Agreement. The Parking Structure Owner agrees that all such maintenance, repair and replacement work will be performed in compliance with all applicable laws and in a safe and workmanlike manner. 550468.02(WLA Easement Agreement 03265.0M2- 1&*Xkyh/kyh - 2 - [City of El SeguWo] 3. Rights of City to Use Encroached Area. It is understood and agreed that the Encroachment Easement granted in this Agreement is acquired subject to the rights of the City and its successors and assigns to use the Encroached Area for any and all purposes, subject only to the limitation that such use does not unreasonably interfere with the permitted uses of the Encroached Area by the Parking Structure Owner and its successors and assigns as stated in this Agreement. The City and its successors and assigns hereby retain all rights which are not inconsistent with the permitted uses of the Encroached Area by the Parking Structure Owner and its successors and assigns as stated in this Agreement, including, without limitation, the right to grant other and additional easements and rights of way with respect to the Encroached Area. 4. Parking Structure Owner Indemnity. The Parking Structure Owner agrees to and shall indemnify, defend (with counsel reasonably satisfactory to the City) and hold harmless the City and its licensees, officials, officers, employees, agents and contractors (collectively, the "City Indemnitees ") from and against any and all Claims (as that term is defined below), which any of the City Indemnitees may suffer arising out of, relating to or in any way connected with the use of the Encroachment Easement granted to the Parking Structure Owner, the exercise by the Parking Structure Owner of any rights under this Agreement or the performance by the Parking Structure Owner of any obligations under this Agreement. Notwithstanding the foregoing, the Parking Structure Owner shall not be responsible for or indemnify a City Indemnitee against the negligence or willful misconduct of a City Indemnitee. For purposes of this Agreement, the term "Claims" shall mean any and all claims, losses, liabilities, damages, actions, suits, causes of action, judgments, costs and expenses, including, without limitation, reasonable attorneys' fees and costs. 5. Notice. All notices, demands, or other communications of any type given, or required to be given, pursuant to this Agreement shall be in writing and shall be delivered to the person to whom the notice is directed, either in person with a receipt requested therefor, or sent by a recognized overnight courier delivery service for next day delivery or by United States certified mail, return receipt requested, postage prepaid to the addresses as follows: If to Parking Structure Owner: with a copy to: 612 Twin Holdings, LLC 1141 Highland Avenue, Suite 203 Manhattan Beach, California 90266 -5326 Attention: Mr. Mark A. Neumann Allen Matkins Leck Gamble & Mallory LLP 1901 Avenue of the Stars, Suite 1800 Los Angeles, California 90067 Attention: John M. Tipton, Esq. 550468.02/w1.A Easement Agreement C3265002112-18- 02/kyh/Iryh - 3 - [City of El Segundo] If to City: with a copy to: City of El Segundo 350 Main Street El Segundo, California 90245 -3895 Attention: City Manager Burke, Williams & Sorensen, LLP 611 West Sixth Street, Suite 2500 Los Angeles, California 90017 Attention: Mark D. Hensley, Esq. vtfl Any notice given by personal delivery or courier delivery service will be deemed effective when received. Any notice given by United States Mail will be deemed effective on the third (3rd) business day following deposit in the United States mail, postage prepaid, registered or certified mail, return receipt requested, addressed as set forth above. Any notice that may be given by either party in connection with this Agreement may be given by such party's attorney. 6. Estoppel Certificate. Each Owner hereby covenants that within a reasonable period after written request by the other Owner, it will issue to the other Owner or to any prospective mortgagee or purchaser of such Owner's Parcel, an estoppel certificate stating: (a) whether it knows of any default under this Agreement, and if there are known defaults specifying the nature thereof; (b) whether to its knowledge this Agreement has been modified or amended in any way (and if it has, then stating the nature thereof); and (c) whether to its knowledge this Agreement as of that date is in full force and effect. 7. Enforcement and Remedies. 7.1 Each provision of this Agreement shall be enforceable by any Owner by a proceeding for a prohibitive or mandatory injunction or by a suit or action to recover damages. If court proceedings are instituted in connection with the rights of enforcement and remedies provided in this Agreement, the prevailing party shall be entitled to recover its costs and expenses in connection therewith including, without limitation, reasonable attorneys' fees. 7.2 Each Owner hereby agrees that any and all actions in equity or at law which are instituted to enforce any provision hereunder shall be brought in and only in the courts of Los Angeles County, State of California. 7.3 Failure to enforce any provision of this Agreement shall not operate as a waiver of any such provision, the right to enforce such provision thereafter, or of any other provision of this Agreement. 550468,02/wta Easement A@eement C3265-002/12- 1&O7Jk & 1 k y h - 4 - [City ofEl Segundo] 8. Additional Work. Following the completion of the initial construction of the Parking Structure by the Parking Structure Owner, the Parking Structure Owner shall be responsible, at its sole cost and expense, for performing the following work (collectively, "Additional Work ") on the City Property: (i) repave and slurry coat the alley located on the east side of the Parking Structure and (ii) repair any damage to the sidewalks located on the Richmond Street and Grand Avenue sides of the Parking Structure to the extent caused by the Parking Structure Owner's initial construction of the Parking Structure. The Parking Structure Owner shall perform the Additional Work to City standards, in compliance with all applicable laws, and in a safe and workmanlike manner. The City grants to the Parking Structure Owner a temporary construction easement over those portions of the City Property necessary for the Parking Structure Owner to perform the Additional Work solely for the purpose of allowing the Parking Structure Owner to perform such Additional Work. Such temporary construction easement shall expire upon the completion of the Additional Work by the Parking Structure Owner. The Parking Structure Owner must obtain the City's prior written consent (which consent will not be unreasonably withheld) prior to any entry upon the City Property for the purpose of performing the Additional Work. 9. Miscellaneous. 9.1 Amendment or Revocation. This Agreement may be amended or revoked only upon unanimous written approval in recordable form of all Owners of the Parking Structure Parcel and the City Property (each, a "Parcel ", collectively, the "Parcels "), and any other attempt to do so shall be void and have no effect. 9.2 Effect of Provisions of Agreement. Each provision of this Agreement, and agreement, promise, covenant and undertaking to comply with each provision of this Agreement: (i) shall be deemed incorporated in each deed or other instrument by which any right, title or interest in any portion of the Parcels is granted, devised or conveyed, whether or not set forth or referred to in such deed or other instrument; and (ii) shall be deemed a covenant running with the land to, with and for the benefit of each Owner of any portion of the Parcels; and also an equitable servitude, running, in each case, as a burden with and upon the title to each and every portion of the Parcels. 9.3 Successors and Assigns. This Agreement shall be binding upon and shall inure to benefit of the successors and assigns of the parties hereto. A person or entity shall be bound by this Agreement only during the period such person or entity is the fee or leasehold owner of any property which is subject to this Agreement, except as to obligations, liabilities and responsibilities that accrue during said period. Although persons or entities may be released under this paragraph, the covenants and restrictions in this Agreement shall continue to be benefits to and servitudes upon said property running with the land. 9.4 Constructive Notice and Acceptance. Every person or entity who now or hereafter owns or acquires any right, title, or interest in, or to any portion of the 550468.021WLA Easement Agreement C3265- 002/12- 18-02/kyh/Iryh - 5 - [City of El Segmdo] Parking Structure Parcel or the City Property is, and shall be, conclusively deemed to have consented and agreed to every covenant, condition, restriction and easement contained herein, whether or not any reference to this Agreement is contained in the instrument by which such person acquired such interest. 9.5 Breach Shall Not Permit Termination: Notice and Cure Rights. It is expressly agreed that no breach of this Agreement shall entitle any Owner to cancel, rescind, or otherwise terminate this Agreement, and such limitations shall not affect in any manner any of the rights or remedies which the Owners may have by reason of any breach of this Agreement. No Owner shall be deemed in breach of this Agreement unless and until such Owner shall have received notice of such breach and thirty (30) days shall have elapsed after such notice without the cure of such breach having been completed. 9.6 General. Neither this Agreement nor any acts of the Owners shall be deemed or construed by the parties hereto, or any of them, or by any third person, to create the relationship of principal and agent, or of partnership, or of joint venture, or of any association between any of the Owners to this Agreement. Invalidity or unenforceability of any provision of this Agreement in whole or in part shall not affect the validity or enforceability of any other provision or any valid and enforceable part of a provision of this Agreement. The captions and headings in this instrument are for convenience only and shall not be considered in construing any provisions of this Agreement. When necessary for proper construction, the masculine of any word used in this Agreement shall include the feminine or neuter gender, and the singular the plural, and vice versa. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original, and all of which, together, shall constitute one and the same instrument. [SIGNATURES ARE ON FOLLOWING PAGE] 55046&021WLA Easement Agreement C3265-002112- 1&01%yWkyh - 6 - [City of El Segundo] IN WITNESS WHEREOF, the undersigned have executed this Agreement as of the date first set forth above. "PARKING STRUCTURE OWNER" "CITY" 612 TWIN HOLD GS, LC, a California CITY OF EL SEGUNDO, limited li ty rnp a municipal corpo tion. By: X ° Ey *� Name: Mark A. Neumann Name: Mike Gordon Title: Managing Member Title: Mayor — City of El Segundo Attest: By: , - V Name: Cathy Domann Title: Deputy City Clerk �r S.. to _► Name: Mark D. Hensley Title: City Attorney c3absooy 1&4bkyWkyh -7- [�Y �l p Febmarry 5, 2003 STATE OF CALIFORNIA COUNTY OF LOS ANGELES SS CITY OF EL SEGUNDO 1 On January 4, 2003, before Cathy Domann, Deputy City Clerk, personally appeared Mike Gordon, Mayor of the City of El Segundo, personally known to me to be the person whose name is subscribed to on the within instrument, and acknowledged to me that he executed the same in his authorized capacity, and that by his signature on the instrument the person, or entity upon behalf of which the person acted, executed the instrument. Witness my hand and Official Seal. Cathy orxiailn, Deputy City... Cathy Cle k �. CJoj'nvs\cert.sigr STATE OF I �'I ) ss. COUNTY OF � I' iC.f IL , ...) WITNESS my hand and official seal. STATE OF ) ss. COUNTY OF before me, a Notary Public in and for said state, personally appearedwwwwmmm, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person whose name is subscribed to the within instrument and acknowledged to me that he /she executed the same in his/her authorized capacity, and that by his/her signature on the instrument, the person, or the entity upon behalf of which the person acted, executed the instrument. WITNESS my hand and official seal. Notary Public in and for said State 550468.02/WLA Easement AgeemeN 0265-002/124M " - y t J - 8 - [City of El Segm&] EXHIBIT "A" LEGAL DESCRIPTION OF PARKING STRUCTURE PARCEL That certain real property located in the State of California, County of Los Angeles more particularly described as: THE SOUTHERLY 6 FEET OF LOT 16 AND LOTS 17 THROUGH 24 IN BLOCK 43 OF EL SEGUNDO, IN THE CITY OF EL SEGUNDO, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 20, PAGES 22 AND 23 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. EXHIBIT "A" 550468.02/WIA Easement Ag[eement C32654)02/12- 1&WAyh/kyh ' 1- [City of El Sepmdo] ,lu J66 ;!41U ALLEN bfATKINS U002/003 EXHIBIT "B" LEGAL DESCRIPTION AND DEPICTION OF ENCROACHED AREA Legal Description TIE LAND REFERRED TO HEREIN IS SITUATED IN THE CITY OF EL SEGUNDO, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AND IS DESCREBED AS FOLLOWS: THAT PORTION OF RICHMOND STREET (60 FEET IN WIDTH). GRAND AVENUE (100 FEES" IN WIDTH) AND ALLEY (20.00 FEET IN WIDTH) IN THE CITY OF EL SEGUNDO, COUNTY 01 LOS ANGELES. STATE. OF` -CALIFORNIA AS SHOWN ON A MAP RECORDED IN BOOK • 1247. PAGES 46 AND 50 OF MAPS. IN THE OFFICE OF THE COUNTY ,RECORDER OF SAID' COUNTY. LYING WITHIN A STRIP OF '-AND 5.00 FEET IN WIDTH, IBEING DESCRIBED AS FOLLOWS: THE EASTERLY 5.00 FEET OF SAID RICHMOND STREET BOUNDED 40RTHERLY BY A LINE PARALLEL WITH AND DISTANT NORTHERLY 159,00 FEET FROM THE CENTERLINE OF SAID GRAND AvENUE. TOGETHER WITH THE NORTHERLY 5.00 FEET OF SAID GRAND AVErJUE. ALSO TOGETHER WITH THE WESTERLY 5.00 FEET OF SAID ALLEY ,BOUNDED NORTHERLY BY A JL1NE PARALLEL WITH AND DISTANT NORTHERLY 260.00 FEET FROM THE CENTERLINE OF SAID GRAND AVENUE. al•I AS SHOWN ON EXHIBIT °B" ATTACHED HERFTO AND BY THIS DEFERENCE WADE A PART HEREOF. THIS DESCRIPTION WAS MADE BY -ME OR UNDER MY DIRECTION IN CONFORMANCE WITH THE LAND SURVEYORS ACT. I�M+Z64 S .... _ i obi s_ZR SCOTT E. ESTEP, PL5 7066 DATE s�Orr E. ESTEP EXPIRES 12/31/2002 a Exp_ ,Z .31 = NO. 7C 66 �? v OF C 'R J..fi.,.iWIT "B" SSDa68.OQ/W1./1 F.xieileo[ AgCeRCpI c3m- mlQ- l"2&yhr►yh -1- Icily of 9 sepmdo] — lu /18 /LUOL 13:00 FAX 310 788 2$10 ALLEN MATKINS R003/003 ^I, Depiction of Encroached Area EXHIBIT B _ HOLLY AVENUE _ N89'57'25 'E 180.00' LOT 9 " LOT 10 t 07 71 — — LOT 12 ... — — — --� r, LOT 13 q LOT 14 — — — — — — - - - — - - i LOT 15 W ....... ,,,.. ...,.. ,,,,., — ,..,.,,. — — —. -.,� q' LOT -- _- i 8 6J L . -- N M r q c LOT 17 vi wi Lo - l LOT 1e Ln s LOT 19. q r` p co M LOT 20 LOT 21 ° 0 i o ci � _.. ... q Z to LOT zz - - --. --- srrLL E: 1" =5D' LOT 2.3 u M LOT 24 in GRAND AVENUE q�r i N89 "57'25 "t 180.00' atl�awgw ...... .. - - 714 ! 0 SSOabBA?lwL�► F.i�e�t wp�aeot C3�65�OLLa18-07/kyiYigh -Z' (Cry of Fj stgue") 1-i;1' cry I al z, 01 .z _I OC , 15 FT 1 EXHIBIT `B' w , 5.h? L_ GRAVID AVENUE - - - - - -- FACE OF BLDG 1Og 20' A —A 131 IM IC K PUBIC RICHT 01 y N GI b �h 5 FT PUBIC Note: Minimum depth of OtjMin., WAY OF WAY encroachment shall be .. F24719 18" below the top of the EXI5TINC ALLEY finished surface ilDEw L A N TAV r1Ai LO SECTION A -A �i &gj,il9 F. Yatbaa Linda la P ccenlri « G► 92e SECTION B-13 (7 t 4)572 -6800 FAX(71 6850