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Certificate of Completion 2007-0518465 y / ; ~tRECORDING REQUESTED B. DOC. ~007-051 ::::465 ' '. . -,I<'mST AMERICAN , . 9980 : illi!111 ii! 1:111111111111111111111111111111111 illllllllllllllllllllll ~ EXEMpT PER GOVERNMEN:1 C.oDE 6103 ~ ...III-:~ I-I~ ~~'I.II-I 7 '1 ~~I F'I'I jJ.J ~ecordingRequested by ) IIFTiClr..L RECUF:I:I'_ ':,':':'J~ L'It:till CUUN r'l F:E, 'I-IF:[ICR"=, CIFi~ltr and When Recorded Return to: ) :_~~::FtiIIH'1 ,I '-<1-.11111 1-lllltH I F:ECJF:r:,EF: FTE~, o IYI City of Po way, ) r.'.l.GE', '" ?t RedevelOpment Agency ) liilli!"il:II!:llli!lllilllllllllllll~~~lIllll1llll1llillllimill!11111 . , , Attn. Ashley Jones ) ~~ 13325 Civic Center Drive ) 7-0518465 Poway CA., 92064 ) Order # a-SA 2262863 ) Space above this line for recorder's use , CERTIFICATE OF COMPLETION \ THIS CERTIFICATE OF COMPLETION (the "Certificate") is made by the POW A Y REDEVELOPMENT AGENCY, a public body corporate and politic (the "Agency"), in favor of KIP RODE (the "Participant"), as of the date set forth below. RECITALS A. The Agency and the Participant have entered into that certain Loan Agreement dated April 16, 2007 (the "Loan Agreement"), concerning the rehabilitation of certain real property situated in the City of Poway, California, as more fully described in Exhibit "A" attached hereto and made a part hereof. B. As referenced in the Loan Agreement, the Agency 'is required to furnish the Participantor its successors with a Certificate of Completion upon completion of the Rehabilitation of the Improvements (as defined in the Loan Agreement), which certificate shall be in such form as to permit it to be recorded in the Recorder's office of San Diego County, California. Such Certificate c,. of Completion shall be conclusive determination of satisfactory completion of the Rehabilitation of 'I the Improvements required by the Loan Agreement. C. The Agency has conclusively determined that such Rehabilitation has been satisfactorily completed. NOW, THEREFORE, the Agency hereby certifies as follows: 1. The Rehabilitation of Improvements to be performed by Participant has been fully and satisfactorily completed in conformance with the Loan Agreement. 2. Nothing contained in this instrument shall modifY in any other way any other provisions of the Loan Agreement. IN WITNESS WHEREOF, the Agency has executed this Certificate of Completion this lOth. day of July, 2007 THIS INSTRUMENT FILED FOR RECORD BY FIRST AMERICo\N TiTlE COMPANY AS.AN ACCOMMODAnON ONI.Y IT HAS NOT BEEN EXAMINED AS TO ITS EXECUTION OR o\STO lTS EFFECT UPON THE TITLE" S0\469746.2 o+- o~y , . . . 9981 AGENCY: POW A Y REDEVELOPMENT AGENCY, a public body, corporate and politic BY'~C~ Rod Gould Executive Director ATTEST: /;:-~.~~ / " '" " ""~. . G. ~-', ...... / ~ ~-~ ",,:' L. D:a~e~.Qea, CMC ~::::;: AgencY-Secretary :s~-~. 7~ ..~ , '/ - PARTICIPANT: :~RODE ~ ~ Kip Rode SD\469746.2 . . 9982 CALIFORNIA ALL.PURPOSE ACKNOWLEDGMENT . ~...,. . I, " " State.of,California .,r"" } : County of !jail D~ [) ss. 1 :LIJA IIA 1\. '" : o~;21fJL, before me, f4.bkJ :' personally appeared la, Name(s) ofSlgner(s} 'I !2"P'ersonally known to me: [J proved to me on the basis of satisfactory 1 J; - - - - SH. eUeYcOW~ - - f evidence 1 _. Commlaslon # 1446353 '1 , i II> NolaryPublJc -CalJiorilia f to be the person(~whose name~@,.re , 'j San'DIegoCounty f subscribed to the within instrument and ': : _ _ _ ~~m.ExplreSo<:f21.2007 acknowledged to me that R6'~he'(executed ' I' - - - - - - the same in ~,tfrGir authorized capacity(iset,. and that by ~@tAe11' signature(.s1:'on the instrument the person(sr,' or the entity upon behalf of which the perso*) , , acted, executed the instrument. 'I , , 1 I, I' Place Notary Seal Above 1 OPTIONAL I, Though the information below is not required by law, it may prove valuable to persons relying on the document I, and could prevent fraudulent removal and reattachment of {h/storm to another document. , O~,""'~.. ...,"" Do"m,"~ c:: Coo, ~\.Qb'~ . Title or Type of DOZ;~/--:: ( \..) r '-', Document Date: r' ) & (. '. Number of pa;;:s: 'r.:j- ': , Signer(s) Other Than Named Above (JJ d fqDu/~ ~ I P f2!Jcli- " 1 Capacity(ies) Claimed by Signer I' Signer's Name: I, 0 Individual TOP:I thumb here o Corporate Officer - Tille(s): o Partner - 0 Limited 0 General o Attorney in Fact 1 o Trustee 1 D Guardian or Conservator I 1 1 0 Other: 1 I' ,I I' Signer Is Representing: " I' ~. -- 101997 National NolaryAssociation 9350 De Solo Ave., PO. Box 2402 ChatRw'6rth, CA 91313-2402 Prod. No. 5907 Reorder. Call Toll.Free 1-800-876-6827 . . 9983 ~ALJFORNIA ALL.PURPOSE ACKNOWLI;DGI\IIENT I' I I State,ofCalifornia } ss , bivn 1/WjD " County of I , I 1/10/01- I I I On Date personally appeared 1</0 / Name{s)ofSigner(s) I, D personally known to me I " ~p"oved to me on the basis of satisfactory I " evidence , I . SIlElUYCOWNS' , , _ ' . eommllalon'; 1446353 to be the persootif whose name\81 @/afe I I HoIary PublIc- CaDfomta 'I San DI8gO County subscribed to the within instrument and , MvCamm. Exptes Qcf210 2007 acknowledged to me that ~sl:lef!i'roy executed J the same in@l:Ho!r/tl:leir authorized .' capacity(~. and that by ~/h.efithetr signature(~nthe instrument the person(sr,-or I I' the entity upon beh,alf of which the persoQ,(sl I I, 'I , acted, executed the instrument. , I. , , Place Notary Seal Above , OPTIONAL I " I , Though the information befowis not required by law, it may prove valuablf'J to persons relymg on the document " and could prevent fraudulent removal and reattachment of. this form to another document. , I. Description of Attached D07V1}rf! t 01 &mole b70Yl ,. Title or Type of Document: , I / ' 7 , Document Date: '7 //O-t>1- 4- -I/.p-D'J, Number of Pages: 'I Signer(s) Other Than Named Abovel Rod GjIJ7A./ tI " , , " I Capacity(ies) Claimed by Signer ,. Signer's Name: , o Individual . I Top of thumb here o Corporate Officer - Tltle(s): o Partner - 0 Limited 0 General o Attorney in Fact o Trustee D Guardian or Conservator , " o Other' ,. I , Signer Is Representing: I ~ @1997NationaINota:yAssociation 93500e SotoAve" P_O. Box 2402 ChatswQrth. CA 91313-2402 Prod. No. 5907 Reorder: CallTull Frt!8 1.800.876 6827 , - . . 998,4 CALlFORNIAALL.PURPOSE ACKNOWLEDG,IIIlENT I , I I State of California } ss I I County of mnW1;D " I On J Ukj' ~'I WD1 , before me, I I,; I I Dale flod Name au/;;lcer (e-9 , personally appeared 0:;?;"1 of 5'9,,,1'1 I, I I ,0'persOnaIlY'known to me , , , l- - - - -5HELIDC~WNs - ~ 1 D proved to me on the basis of satisfactory evidence I . CommLsalOn #1446353 j 'I I - NolaTV PublIC . caUtomkI to be the person~ whose nam$f~ , l .0, 'san DI8go eounty - ,. i_ _ _~~...~_OC:21.:~71 subscribed to the wi~strument and " I acknowledged to me tha , e/\J;ley executed I the same in ~/tRefr authorized , capacity(i~, and that by ~~ I signature(;;}-on the instrument the p rson~ or I, the entity upon behalf of which the pers~ , acted, executed the instrument I' I I " I, Place Notary Seal Above , " OPTIONAL I I I Though the information below is not required by law, it may prove valuableto.persons relying on the document , and could prevent fraudulent removal and reattachment of this form to another document. , Description of Attached Document f 11/ ttA 1 'b 'trf t ' 0 ~.n . I , TItle or Type of Document: (it, l)(h Oil Jp I I , Document Date: < vtL I ~; 'ZOD 1- Number of Pages: 7- , " , , Signer(s) Other Than Named Above: , " Capacity(ies) Claimed by Signer Signer's Name: D Individual . Top of t1lumb here D Corporate Officer - Title(s): , o Partner - 0 Limited 0 General o Attorney in Fact o Trustee , o Guardian or Conservator , " , , o Other' I " I Signer Is Representing: I' @1997NationaINotalyAssociation..9350De.SoloAve., P.O. Box 2402 Chatsworth. CA 91313-2402 Prod. No. 5907 Reorder: Call Toll Free 1-800-876-6827 . . EXHIBIT "B'" 9985 SCOPE-OF- WORK '(Application No: CRLP'2007clj Proj eel Naine: RODE CHIROPRACTOR Project Address: 13248,Poway'Road, Ste. B, Poway GENERAL PROJECT DESCRIPTION. The project tobe performed by Grafiks Advertising & Signs 1 Signage Work: ($ 5,711.52) I I Work Summary' Design, fabricating, mounting, installation, and electrical to include foundation system, alI.materials, and permits 1. I. I. Includes plans complete with signage location, size, general description, electricalseNiceruil, devices, and equipment 1 1.2. Instructions on use of timer and shutoff system 1.2 Application: N/A. 1.3 Approximate Square Footage: N/A 1 4 Location of Work: Storefront Signage ,- . . . 9986 EXHIBIT A TO CERTIFICATE OF COMPLETION LEGAL DESCRIPTION OF PROPERTY SD\469746,2 : . . . 99~7 EXHIBIT "A" A CONDOMINIUM COMPOSED OF INTEREST] AN UNDIVIDED .02 INTEREST ASTENANT-IN~COMMON IN AND TO PARCEL, IOF Pt\RCEbMAP NO 16315 IN THE CITY OF SAN DIEGO COUNTY OF SAN DIEGO, STATE OFCALIFORNIA,FILED'IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, DECEMBER 6;1990, EXCEPTING THEREFROM THE FOLLOWING. A. ALL LIVING UNITS SHOWN UPON THE BROOKVIEW PHASE I CONDOMiNIUM' PLAN RECORDED IN THE OFFI<CE OF THE C0uNITirnCORDER OF SAN DIEGO COUNTY,CALIFORN]A, ON DECEMBER 'C'~ -' ..., _ 19,199] AS INSTRUMENT NO 91-660599 B. THE EXCLUSIVE USE COM!AOi-l AREA, SHOWN UPON THKCONDOMIJoHUM PLAN.,REFERRED'TO l . - . . ' . ABOVE DESIGNATED AS. PATIOS,BAWONIES, STORAGE AREAS, PARKING SPACES. INTEREST 2: LIVING UNIT NO 250, OF PARCEL MAP NO. ]6315 AS SHOWN UPON THE CONDOM]NIUM PLAN REFERRED TO ABOVE. INTEREST 3 THE EXCLUSNE RlGHT TO USE; POSSESSION AND OCCUPANCY OFTHOSE PORTIONS OF PARCEb I OF PARCEL MAP N9, 163]5, IN THE CITY OF SAN DIE(}(), f9UNTY OF SAN blEGOSTATE OF CALIFORNIA, F1L!,:D IN THE OFFICE OF THE COUNTY RECORpER.. OF SAN DlEGO COUNTY'ON DECEMBER 6,1990, DESCRlBEDINlNTEREST ] ABOVE WHICH 'ARE APPURTENANT TO'THE'LMNG UNIT DESCRIBED IN INTERESF 2' ABOVE AS MORE PARTICULARLY DESIGNATED ON THE CONDOMINIUM PLAN REFERRED TO,ABOVE AS :EXCLUSIYEUSECOM'MON AREA," WHICH RIGHT IS APPURTENANT TO INTERESTS] AND 2 ABOVE DESCRIBED INTEREST 4: A NON-EXCLUSIVE EASEMENT FOR' INGRESS AND EG~~.s ANbRECREATIONAL USE ON, OVER ND UNDER THE COMMON AREA OF LOT 3 OF I3.ROOKVIEW'SQUARE l:JNIT NO.1 ACCORDING '0 fv!AP . -. . ., ..' . THEREOF NO. 12277 FILED ON DECEMBER 9, 1988 IN THE OFFICE OF THE COUNTY RE~ORDER WHICH'EASEMENT IS APPURTENANT TO INTEREST], 2AND 3 DESCRIBED ABOVE. HIS EASEMENT SHALL BECOME EFFECTIVE UPON (I)TH}O@COR1?ATION OF A CONDOMINIUM LAN ON SAID LOT NO.3 (IT), THE RECORDATIO~ OF A SUPPL,EMENTARY DECLARATION OF covenants; CONDITI()JolS, AND RESTRICTIONS ,DECLARING SAID I,OT 3 TO, BE SUBJECT TO HE DECLAR~TION OF COVENANTS,CONDIT!ONS,AND'RESTRlCI::IONS RECORDED. AS HEREINAFTER SET FORT!,! WHI<;:H REQUIRES THEOWN~RS 9F' SAID LOT.3 TO BE MEMBERS OF HE ASSOCIATION AND (I!T) THE CLOSE OF THE, FIRST'SbL.E OF A c;QNpOMINIUM BY DECLARANT IN SAID LOT 3, AlL AS MORE FULLY SET FORTH IN'THE DECLARATION'TO WHICH REFERENCE IS HEREINABOVE MADE. THE . ...._ _ _;";"_'-"0'_',.0 '._ _ _ " COMMON AREA REFERRED TO HI:.;,R:l3lJol IS LOT I OFBROOKVIEw SQUARE UNlT NO,l ACCORDING TO MAP THEREOF NO. 1227.7 FJ1eED ON DECEMBER.9, 1988 IN THE 'OFFICE OF THE COUNTY RECORDER, EXCEPTING THEREFROM ANY RESIDENTIAL BUILDINGS THEREON AND ANY PORTI0NSTHEREOF WHICH KIA Y-if(DESIGNA TED AS AN EXCLUSIVE USECOMMON AREA -".~ .... ':i ~ ... . .. 9 , ' , INTEREST 5 9988 A 'NONcEXCLUSIV,E EASEMENT FOR INGRESS AND EGRESS AND RECREATIONAL USE ON, OV'ER AND UNDER THE COMMON . AREA OF LOT iOFBR06kviE'w SQUARE UNIT NO. I. AeCORDING' 10 '. '. - .__ '. '..' '_ ;..' ~.~_..: c. . .. '.. ,. MAP THEREOF NO: 1227,TFlbEDiOl':l, ggCEMBE!t9, .1988 .IN,THE:OFFICE OF'THE' COUNTY RECORDER WHICH EASEMENT IS' APPURT[JJ::lAl'IT TO INTE,'WST!, ~,ANp 3 DESCRIBED '~BOVE. THIS EASEMENT SHALl:: BECOME' EFFECTIVE UPON (I) THE RECORDA:f.ION,OF A CONDOMINIUM' PLAN ON SAID loOT NO. I (H) THE,RECORDA Hm:I'()F A SUPPLEMEN"fARYd)ECLARA TION OF,COVENAN'fS, , . . . ,~, ,-_,,-,.,. "., "".- . ..-"C' .. ~.." -,. _ CONDlTI0J::lS;At<D~RES,TR!QTI9NS"RECYt\l~JN9 SAlg p;:rIJ !TO'BE SUBJECTTO THE DECLARATION OF COVENANTS" COND,m9~'.s,;A!"P)li'~IRIQTIONSREeORDED, AS ~HEREINAFTER SET fORTH WHICH REQUIRES THE OWNERS'OF'SAIDLOT I TO BE MEMBERS OF THE ASSOCIATION AND'(IIl) THE CLOSE OF THE FIRST SALE OF ACONDOMTNIUM'BY DECLARANT IN SAID LOT 1, ALL AS MORE, FULLY SET FORTH'IN'rHEDEGl:ARAimN TO WHJCH,REFERENCE;ISHEREINABOvEMADE, THE COMMON AREA REFERRED'To''tU':REIN IS LOT I OF' '3ROOKVIEW SQUARE, ui-m NO,I <,.-... '-'-' ~-,," . -, , '.- .' - ,~, . -. . ". ,., ~ ACCQRPING TO MAP T~@girI'!Q,,'j2~7;7 FILED ON,' DECEMBER 9; '1988 IN THE OFFICE OF THE, COUNTY RECORDER, EXCEPTING.THEREFROM ANY RESIDENTIAL BUILDINGS THEREON AND ANY , "._ .. _'" """'""..",' r'~ . _"'.~' ".''-_,~'. ..... .' ,'" . PORTIONS THEREOF WHICH MAY BEDE~IGNATED AS AN EXCLUSIVE USE COMMON,AREK INTEREST 6: A NON;EXCLUS'IVEEASEMENT'FOR,INGRESS AND EGRESS,AND RECREATIONAL USE, ON, OVER AND ~DER THE COMMONAIli:,f13i.::t,OT 40F BROOKVIEW'SQUARE UNITNo:I ACCQRI;>ING TO ,MAP THJ?~[JOFN(), 1;1277 FILE!?iQ1~fDECEMBER 9,1988 IN THEOFFICE'.OF THE COUNTY RECORDER WHICH EASEMENt IS APPURTENAN'f TO'INTEREST 1,2 AND:,] DESCRlBED'ABOVE, "-."~- .--. - - . .- .-, ,', - - ..'-, - ,- '. . -".. . ..-- "..-... . -- . ' ' THIS EASF,~NT~HALLBECfJMEEFFEenvEUPON O)'THERECORDATlONOF A CONROMINlUM PLAN QNSA:!o.J,QINO~~(H) 1:!,fE'RECORDATlON OF A SUPPLEMENT ARYDECLARA W),N,OF COVENANTS/ CONDITIONS: AND'RESTRICTIONSDECLARING:SAID EOT 4'TO,BESUBJECT TO THE __. _ ._" .., . ~,. ~.~ ',._~' .' "'" . "._." ._ "'-_.'- ,__ .,,_ . . . _ ,. . L _', . '" D",CLAI\^TIONOF c.:OVEN~N.1'S;CONDITIONS, AND RESTRICHONS' RECORDED ASHEREINAETER S~TFO!l:TH WI:!ICHMQUIRES1'IfE'OWNERS OFSAID LOT 4'TO'BE:MEMBERS OFTHEASSOCIAHQN AND (iiI) THEitoSE OF THEARSf:SALE OF'ACONDOMINIUM BY DECLARANT'IN SAID,LOT 4; ALL ',,' -" ' "..___' - .. - -". ~ ,.- ,~. '_' __ ~ - "'-0- ___ ..~ "._____" . . "', . .. . AS M,oREFlJLJ, YSEI'FORTH J]\j1'H9DECLARA TIO]'! TO WH1CH:REEERENCE'IS,HEREINABOVE M~E;TIi~<::OMMQN.,A,.J<Il,AREFERREDTO HEREIN IS LOr 40F BROOKVIEW SQUAREI;JN\T NO 1 ACQOIpINGTO}vIN'1'I:!EREOF NO, I22HALEDON DECEMBER 9" 1988 IN THE OFFICE QFTHE COUNTY RECORDER! EXCEPTING 'fHEREFROM ANY RESIDENTIAl;iBUlLDINGSTHEREON AND ANY ,.._.,.... _ _ _ ."__._ .." ... . , _'" '. 'H . I?QIHIONS "fHEREOF WHICH MAy BE'DESIGNATED AS ANEXCLUSIVEUSE'COMMON AREA. INTEREST 7' A,NON-EXCLUSIVEEASEMENT'FORimGRESS AND EGRESS AN.[)RE,cgA l'H?NAL USE ON,OV:ER AND UNDER THECOMMON,J\REA OF,LOT'SOF BROOK:VJEWS.QIJA,RE !!NIT NO I A~CORDING TO MAP THEREOF NO: 12277 ALED'OWDECEMBER 9/ 1988 IN THE OFACEOF THE COUNTY RECORDER WHICH EASEMENT ISAPPURTENANT TO INTERESTJ,2 AND:3.I5ESCRII3EDXBOVE. THIS EASEMENTSHALb BECOME EFFECTIVE,uPON;(Ir;rH~:i~,Ee6RbA'ri6N:6F,A CONDOMINIUM,PLAN ONSAIDLOT NO!5!(II) TIfERECORDA TION OF' A SuPPLEMENTARyTlECLARA HON:OFCOVENANTS/ CONOlTIONS; AND REsgICt'JONSDECLARiNGsil.rii'to'r'5fO'BE SiJI3JECTTOTHE DECLARATION OECOVEl':lA,}FI;S, <;:ONDiTIONS;;\NDRE~TRiC'rIONS RECORDED AS HEREINAFfER'SET FORTH' WHICH REQtJJRES'THEOWNERS OF SAID LOT 5 TO BEMEMBERS:OF THE ASSOCIATION AND:(JII) , ___. '. " ." _ .,.,..." - "." .._ _. '>-<0' _, ---.-.. ...'.. __._ ,~.. '_'''. ' THE CLOSEOFTHE'ARSTSALEOF"ACONDOMINlUMBY DEeLARANT IN SAID LOT 5, ALL AS MORE FuU,YSET FORni mTHE DECLARATION'tO'WffICHREFERENCE:IS'HEREINABOVE MADE. THE COMMON AREA REFERRED:tOHERErN1SLOTISioFBROOKVIEW SQUARE UNIT NO, I ACCORDING TO MAP THEREOF NO. 1'227#fLEb ON DECEMBER 9; i9's81N 'fHEiOFFICE OF' THE COUNTY . .." -"'" . '..--- ~ --~. ,~..~<.~. '''.' ~~"--'-- ~~."" :- ,_.-.',~,,-,_.- -'." - RECORDER! EXCEPTING THEREFROM ANY RESIDENTIAL BUtEDlNGSTHEREON AND ANY PORTIONS THEREOF WHICH MAY BI:WRSiQN.ATED ASb.N;ExtLU'.shi~ USE COMMON AREA. APN:'3I 6-240, I 142 . . Maintenance Agreement, ortliisNote, which has not been cW"ed within the period of time setiorth in those , documents; or . . -.. - d. Five'(5) years' after the date of this Note. Failure to declare'such amounts dueshall,notconstitute a waiver on the part.of,theAgency to declare them due subsequently 4, Forgiveness of Lo.lIn. Upon cach ofthcd'irsti second, third, fourth and fifth anriiversaries'ofthe date. of this Note, the Agency shall'reduce the balance of the Note - -. --, . .. " . ." amounfby,tWenty percent(20%) ofthc original principal amount of the Note amount, in the eventthat.the Participant hits remained in compliance withea~h and every requirement, condition and'covenarit of this Note, the Agreement, the Deed of Trust and the Maintenance Agreement during the precedipg qne year period, pursuant to an , annual determinationofthe Agency staffin accordance with the'procedures set forth in Section40fthe Agreement. Regardless,6f'the date of this Note,asiyappears at the top of.page one, the anniversary date shall be:calculated from the'9ate that the Deed of Trustsecuring the Note is recorded. 5. Security. This,Note is secured by a Deed of Trust.(the:'Deed of Trust"), which has:beei:trecorded asan encumbrance to the Property (as defined in the Agreement), dated concurrently herewith. 6. Waivers a. Participante~pressly agrees that.tliisNote or any payment hereunder may be extended:j'roIl!Jime to time at theAgency's'sole discretion and that-the Agency may accept security in. consideration for any such ,exi:ension pr release any security for this Note at its sole discretion, all without in any way affecting the liability of Participant b. No extension of time for payment of this Note made ~yagreement by the Agency with any per.sonnow or hereafter liable for4he'paYJ1.1ent of this Note shall operate to release, discharge,'nlodify, change or affect the originaUiability of Participant undertliis Note, either in whole or in part. c. The obligations of Participant \ffider this 'Note shall beabsoluteaild Participant wilivesany'and'alLri&j1ts to:offset, deduct-or withhold any payments or charges due under this Note.[or any reasons whatsoever. d. Participant waives presentment, demand, notice of protest and nonpayment, notice of default or'delinquellcy, notice of acceleration, notice of costs, expenseii"'orIeases or interest thereon, notice 9fdishonot;diligence in collection or in proceeding: against any of the rights of interests in or to'properties securing of this Note, andtllebenefit of any exemption urider any homestead. exemption laws, if applicable. e; No previous waiver and nofai!i.rreor delay by the Agency in acting with respecftd the terins'ofthis Note or the Deed of Trust,shall'constitute a waiverofany d, .' . - EXIllBIT"E" PROMISSORY NO~E $2,250.00 _July ~, 2007 Poway, California F,OR V 1\LUERECE~VED, ,KIP RODE, ("Participanf'), promises to pay to the POW AY REDEVELOPMENT AGENCY, a publicJ:JOdy, sorporate and politic (the , . , "Agency'~), or orderatthe;<\gency's office,located atd3325 Civic Center Drive, Poway, Califgrnia92064, or suchotner.pllice as the Agency maydesignate in writing, the principal sum 6fTwo- "fholisand TWo-Hundred Fifty Dollars ($2,250.00) (the "Note Amount"), or so much ofsl!ch amount as has been disbursed pursuant toSection3'ofthe Agreement (as defined neteiri).'in currency of the United States of America,whichat the time of payment is lawful for tnepayment ofRllblie,and private debts. " 1. Agreement. This'Promissory Note (the "N6te")is made in accordance with that certain Loan Agreementexecuted by the Agency an~Par*iRant, dated as of Aprii 16, 2007 (the "Agreement")., The,rights and .0bligationsofParticipant and the Agency under tpis Note shaltbe govemed:bytne Agreement and by tile addiriolJaI terms set forth in this .Note. The Note Amount shall be diSbursed in such amounts,arid at such times as'set forth in 'Section 2 of the Agreement. 2. Interest. 'Except, as provided in Section nofthis Note, no interest shall accrue ilpon the Note Amount: 3, RepaymeritofNoteAniount. Thetotal amount of the principal and any otheramounts.then,owed,under this'Note'(as such Note'amo)Jlltmay be':reduced pursuanUo the creditsprovidcdunded;~ction4'hereof) shall hecomeiinmcdiately due and payable up()n theearlierto occur ofthef~ilowing: a. .the:sale,ground lease with optionJo purchase the Propei1:y, grotind leaSe of the entire Property (incIuding all extensionoptioiis)in excess of twenty (20) yellKs, e)(change or other conveyance of.t,he,Property, pro'Vided;,however, the Agency consents to:Participantentering into, a first ,lien,deediof trust pursuant to the refinancing of,thefirst mortgage loan wiiliColumn Finantial,.lnc.oranother lender selected'by PartiCipant (the,"First Lien'Lender"); or h., ,the,refinancing of the fir~!mortgageloan secured by the 'Property foran,amountin,excess:,oJtl1e currentbalance'of sutitlo8ii, provided however the Agen~YC()!lSel1!S t(JiP!lrticipantrefinaticing:thefirstlienloan secured by the Property with,the First Lien',Lendetin'an,amount not to exceed'$2,250.00; or c.adefault by Participant under'thl': Agreement (subjectto the requirements qfSection 14 thereof), the Deed of TrusU;ecuring this Note, the . . . . . . (5) Maintain and make available for inspection payroll records, as set forth in Labor Code Section 1176; (6) Pay workers overtime pay, as set forth jnLabor Code Section 1815 or as provided in the collective bargaining agreement adopted' by the Director of Industrial , ' Relations'as set forth in Section 16200 (a) (3) of Title 8 of the California Code of Regulations; (7) Comply with Segtion 1610 1 ofTitle 8 ofthe California Code of Regulations regarding discrimination; (8) Be subjectto provisions of Labor Code Section 1777.7 which specifies the penalties imposed on a contractor who willfully fails to comply With provisions of Section 1777.5, (9) Comply with those requirements as specified in Labor Code Sections 18 I 0 and 1813, and (10) Comply with other requirements imposed by law Exhibit 1-3 SDl469746.2 . . -, ,breach, default; or failure or condition iuiderthis Note, the Deed of Trust or the obliga'tions,se~wed the~eby, A waiv'er.ofany term ofthi;:l'>!ote;the Deed of Trust or of any 'qf the objigationssecliredthereby must be made in writi,ng,@d.shall be limited to the t:xpress, written terins of such waiver. 7, ;<\ttorneys' Fees,and Costs. PartiCipiilit'agrees that if any amolJntsdue under thisNbt~arenot paiii,when due~to pay in addition;'all'c9st~ al1d expenses of coiiection and reasonable attorneys' fees,paidorillcurr,ed in connectioifwith'the collection or enforcement ofthi~'l'>Iote, whether or not:suit is'filed. 8. Joint and Se\'eraIObIigation. This Note is the joint and several obligation ofall'maRers, sureties,guarantors ~lldendorsers, and:slr~li'be,bindillg upon them andt~eir heirs, successors and assigns. . '9. Amendments'and Modifications. This N9t~:may not be changed orally, but only by an arI1elldment inWriiing~igned by Participant and by the Agency 10. Agency M;ty,~sign. The Agency may, atits option, assign its ~ight to receive payment undefthis Note without necessity of obtaining .the, consent ofthe PartiCipant. it. Participant AssignmenfP~ohibited. In no event,shall Particjpant'assign or ,transfer,any porti!llloJthis Notnvitliout the'priorexpresswritt.en consent of the Agency, which, consent may' he given or withheld in the Agency's soIe,discretion. 12. Terms. Anytertnsnot separately defined 'hereiri,shall have the same meanings as set forth in'the,Agreement. 1:3. AcceIeratiori:anihOther Remedies. Subjecttotherights of the First Lien Lender under the Subordinaiioll:and,S,iandstillAgreement,ujion,the occurrenc!lofthe even.ts ,setforth in Section J hcr,eof, the Agency may, at the Agcllcy.',s,option;,dcclarc the outstanding principal amount ofthis Note, together with other chargeshereullder, and all other sums ,s~cured by the Deed,ofTDIS!; to !:>.e;due and payable immediately, ~nduponsuch dec!1!l'llcti9n, such principal and interest alld other sums shall'immedi",telYlJecqme and be due iindpayable without demand or 110tice;.all:l\stUf!her,set forth in tne' Dee<J of Trust. Commencing upon the Gate of the event ~etforthiniSection3', hereof and after the expiration of any aPJlli~a\Jle'notice arid cur(periods, interest at the rate often percent (10%) per'imnum, compotindedannually,. sh;tllaccrue,o!lall amounts,due hereurider. Allcostsof!collection;cincluding,butnot limited to, reasonable attorneyS' fees and ,all expenses inclJ!1"e~ inconneetion with ~rotectionof, or realization:'ol}, the' security for this,Nbte"may"bea:dded:to the' principal herelJnder; and shan accfue'interest'asjirovidedherCin; "he Age,ncy..~,l!a]I:a:t'alltimes have the right to proceed against'll!1Y pOl}ion'gfthe securit)'for tliis,Note:in,such'OI:der,and in such manner,as, such Agericy'may consider appropriate; without-waiving ",ny,rights'with.respecttoany of the securityo Any delay or omi~siononthepart'ofthe 'Agency in exercising any right hereunder, under the Agreemerit.oruriderthe Deed ofTrustshall not operate as a waiver of sucnright, or ofilr'iyotlieuight: No single or; partial exerciseo[1!ny right or remedy hereunder or,under the Agreement or llny,other ~Qc,l!m'entor agreement,shalFprecludeother or further,exercises there(!f', or"the, exo;;rciseof any/other'right or remedy, The acceplarlce of p",yment of any sum payableihereiinder;,or partther~of;,aft~r the due,date ofsuch:fiaymeiitshidl notbe a waiver of the Agency's\rightto either require prompt payment'w.hen,dueof all other sums payable . . . . . hereunder or to declare an Event of Defalilt for failure to make prompt or complete payment. 14. -SupordiDlltiou andiStandstill Agreement. It is contemplated that the Agency wifLbe entering iri.to.a.Sub,ordination andStan9stillAgreemerit with the First Lien Lender (tIie "Subonjimition.al),d'Standstill Agreement"),.ptirstiarit to which the Agency will 'subordinatethis Note, the Agreement, the Deed ofTrustlln~hthe Maintenance Agreement arid the payments made under this Notll,the Agreement, the,Deea of Tnist and the Maintenance A:gre~menftoany note"l11ortgageor deed of trust made in:good faith and 'for value by the Fii'StLieriLender to'theParticipant, J5. Successors and Assigns. Whenever "AgencX"'isreferred to in this Note, such.reference shall bedeemedto include the Poway Redevelopment Agency and its, successors and assigns, iricluding, without limitation, any, subsequent assignee or,holder of this Note. All,covenants,.provisjol1s and agreements by or ori,'behalf of Participant, and on beh\ilf of any makers; eridorsers".gliarantors and sureties hereof which are contained herein shall inure tbthe benefit ofthe Agency and the Agency's slicces'sors and assigns, 16. Mis.cellaneous. Time is of the essence hereof.' This Note shaJI begovemed by and construed under,thdliws Qf the State of Calitorniaex~ept to the extent Fede~j jaws preemptthe laws ofthe,StateofCalifgrnia. Participant irrevocabiy and unconditionally submits,to,thejurisdiction:of,tlie Superior Court of the StateofGalifornia for the Gounty of San-Diego in connection with:anY'legal action or proccc~ingarising out of or relating tothis Note. Participant also waives any objection regarding personal or-in rem jurisdiction ,or venue. PARTICIPANT: KIP RODE By: 1f~ Kip Rode , ., . . , .' LOAN AGREEMENT Poway, Redevelopment Agency Commercial Rehabilitation Loan Program THIS LOAN AGREEl\1ENT (the "Agreement") is entered into as of 4-1 ~ - 0 7 2007, by and between the POW AY REDEVELOPMENT AGENCY, a public body, corporate and politic'{the "Agency"), and, KIP RODE (the "Participant"). RECITALS A. The Agency has established a program pursuant to Health and Safety Code Section 33444.5 under which the Agency loans funds to owners or tenants of commercial buildings or structures within a portion of the Agency's Paguay Rcdevelopmcnt Project Arca (the "Redevelopment Project"), for the purpose of rehabilitating those buildings. B. The Participant is the owner of certain real pr?perty commonly referred to as Kip Rode, 13248 Poway Road, Suite B, Poway, California (the "Property") which is depicted on the Site Map attached hereto as Exhibit "A" and incorporated herein by reference (the "Site Map"). The Participant operates a commercial business on the Property C. The Participant and the Agency desire to provide for a loan from the Agency to the Participant to be used to rehabilitate, construct and/or install certain improvements (the "Improvements") to the Property D. The Agency's loan to the Participant for the purpose of the rehabilitation, construction and installation of the Improvements to the Property pursuant to the terms of-this Agreeinentis in the vital and best interest of the City of Po way (the "City"), and the health, safety and welfare of its residents. NOW, THEREFORE, the parties hereto agree as follows: 1. Agency Loan. Subject to the terms and conditions ofthis Agreement, the Agency agrees to loan to Participanrthe amount which is necessary to purchase, rehabilitate, construct and install the "Improvements" on the Property as described in Section 2 hereof, but not to exceed the amount of Two Thousand Eight Hundred Eighty-Five Dollars and 76 Cents ($ 2,885.76) (the "Agency Loan"). 2. Rehabilitation ofImprovements on the Property. The Agency Loan shall be used solely for the purpose of completing the work items listed -inthecScope of Work and Project Budget attached hereto as Exhibit"B" and incorporated herein (the "Rehabilitation"). Participant shall cause the Rehabilitation of the Improvements to be constructed, rehabilitated or installed in compliance with all zoning, planning, design review and building regulations of the City and the Agency and shall carry out the Rehabilitation of the Improvements inconformity with this Agreement and all applicableJaws, including federal, state and local laws. The percentage of costs of each item of work payable through the Agency Loan shall be set forth inthe Scope of Work and Project Budget. Participant shall be responsible for any additional costs of the Rehabilitation of the Improvements in excess of the amount of the Agency Loan. Prior to commencing any work or improvement pursuant to this Agreement, Participant shall secure all required permits of the City and all other governmental I Commercial Rehab Loan Agreement, City of Poway 50\469746.2 . . agencies. Participant agrees to commence and complete the Rehabilitation of the Improvements by the time set forth in the Scope of Work and Project Budget. The Participant may request an extension of'such tim~s py submission'of a written requestto'the Agency, together with a statcment ofthe.reasons therefor, which request shall not unreasonably be withheld. Upon the completion of the Rehabilitation of the Improvcmcnts, the Agency shall<aMhe request ofthc Participant issue a Certificate of Completion, in the,form attached hereto as.EXhibit "c" and incorporated herein, which shall certifY that the Rehabilitation of the Improvements has been completed in accordance with this Agreement. 3. Disbursement of Agency Loan. The Agency shall disburse the Agency Loan to Participant or on behalf of Participant to the persons entitled to payment for the Rehabilitation of the Improvements, upon Participant's satisfaction of the following conditions: a. Participant shall have selected a responsible bidder, which is reasonably acceptable to the Agency Participant shall have provided.the Agency with an executed construction contract for the Rehabilitation of the Improvements with the selected bidder, which shall be a qualified, insured contractor duly licensed in the State of California and reasonably acceptable to the Agency b. The Participant shall have submitted to the Agency and the Agency shall have approved a budget for the Rehabilitation of the Improvements. c. The Participant shall have obtained any and all permits and approvals required by the City and any other governmental agency for the Rehabilitation of the Improvements. d. Participant shall have submitted an executed Request for Payment to the Agency, in the form attached hereto as Exhibit "D," together with invoices from contractors and subcontractors and any information and documents requested by the Agency, not less than thirty (30) days prior to the Agency disbursement of the Agency Loan. e. The Agency. ( or its agent) shall have inspected the Rehabilitation work for which the payment is being requested and shall have determined that such Rehabilitation work has been completed in accordance with this Agreement and the Scope of Work and Project Budget and has been completed in a satisfactory manner in accordance with the standards of the construction industry. The Agency shall have issued a Certificate of Completion for the Rehabilitation. The Agency reserves the right to terminate this Agreement in the event that the Rehabilitation is not completed within the time set forth In the Scope of Work and'Project Budgct, subject to the notice and cure provisions ofthis Agreement. f. The Participant shall have duly executed and delivered to the Agency the Promissory Note, the Guaranty (if required) and the Maintenance Agreement. g. If the Participant is the owner of the Property, the Participant shall have duly executed and delivered to the Agency the Deed of Trust, and the Deed of Trust shall have been recorded with respect to the Property For an Agency Loan in excess ofTen Thousand Dollars ($10,000), the Agency shall have determined that the outstanding balance of all financial obligations secured by deeds of trusts or other liens upon the Property does not exceed One Hundred Percent (100%) of the current fair market value of the Property, as determined by the Agency 2 Commercial Rehab Loan Agreement, City of Poway SDl469746.2 . . h. If the Participant is not the owner of the Property, and for that reason cannot provide to the Agency the Deed of Trust as a lien upon the Property, then the Participant shall have delivered to the Agency an alternate form of security, which is reasonably acceptable to the Agency i. The Participant shall have presented evidence to the Agency of the insurance policy, which is required pursuant to Section 6 hereof. j. There shall exist no violation of the Poway Municipal Code on the Property k. There shall exist no condition, event or act which would constitute an Event of Default (as hereinafter defined) hereunder or which, upon the giving of notice or the passage of time, or both, would constitute an Event of Default. 4. Promise to Repay Agency Loan. Participant hereby agrees to execute and deliver to the Agency a Promissory Note, in, the form attached hereto as Exhibit "E" and incorporated herein, by which Participant shall agree to repay to the Agency the full amount of the Agency Loan, on or before the fifth anniversary of the date of the Promissory Note. No interest shall accrue upon such obligation. The Agency Loan shall be due and payable to the Agency upon the default of Participant under this Agreement, which is not cured within the time set forth herein, or the sale or other transfer of the Property prior to the fifth anniversary of the Promissory Note. However, if Participant fulfills all of the requirements of this Agreement, as determined by an annual review of the Agency staff (or its agent); twenty percent (20%) of the original principal amount of the Agency Loan shall be forgiven, effective upon each anniversary of the date of the Promissory Note. The Agency staff shall make,such determination within forty-five (45) days after such anniversary date, shall notity Participant in writing of the determination, and ifforgiveness is,grantedshall cause the original ofthe Promissory Note to be endorsed accordingly The default procedure of Section 14 shall have no application to the forgiveness procedure. If Participant has not been notified of the determination within said'period, it shall be the obligation of Participant to make written request for such determination within sixty (60)days of such anniversary date, and the Agency staff shall respond within thirty (30) days of such n:quest. Participant may appeal the determination to the Agency Board. The Participant shall also execute and deliver to the Agency a Deed of Trust encumbering the Property, in the form attached hereto as Exhibit "F" and incorporated herein, which shall secure the repayment of the Agency Loan. The Agency may also require the Participant to provide a Guaranty of Participant's obligations under the Promissory Note, in the form attached hereto as Exhibit "G" and incorporated herein. 5. Maintenance. The Participant shall maintain the Improvements in good condition, free of debris, waste and graffiti, in a clean and presentable manner, and in compliance with the terms of the Redevelopment Plan and with all applicable provisions of the City Municipal Code. The Improvements shall be maintained in accordance with this Section 5 for not less than five (5) consecutiveYl':ars after rhecompletion ofthe Improvements. If such buildings, landscaping or side areas are not so maintained, and such condition is not corrected as soon as possible after notice thereoffrom the Agency or the City of Po way, then eithcr the Agency or the City may pcrform the necessary maintenance and Participant shall pay such costs as are, reasonably incurred for such maintenance. The Participant shall execute and deliver to the Agency a Maintenance Agreement, in the form of Exhibit "H" which is attached hereto and incorporated herein, prior to the disbursement of the Agency Loan. 6. Insurance and Indemnity. A certificate of all such insurance policies required by this Agreement shall be delivered to the Agency Executive Director prior to the commencement of 3 Commercial Rehab Loan Agreement, City of Poway S0\469746.2 . . any work of Rehabilitation of the Improvements. No such insurance shall be canceled or modified without thirl:y'(30) days prior written notice to the Agency a. Indemnification. Participant hereby agrees to defend. indemnifY and hold harmless the Agency, and its'officers, employees, representatives and agents, from and against any and,allliability, damages, costs, losses, claims and expenses, suits, actions, proceedings and judgments)ncluding attorney-fees however caused (collectively "Claims"), resulting directly or indirectly from or connected with the ~ehabilitation of the Improvements and/or Participant's performance of this Agreement, provided, however, Participant.shall not indemnifY the Agency to the extent that such Claims arise frorn the Agency's negligence or willful misconduct. Specifically, without limitation, Participant's indemnification obligations hereunder shall be applicable to any and all claims, demands, damages, defense costs or liabilities against or incurred by the Agency based on the failure of Participant (or Participant's contractors and subcontractors) to adhere to the prevailing wage requirements as set forth in Section 10 hereof. b. Workers' Compensation. Participant shall comply with, and shall cause its contractors to comply with, all of the 'provisions of the Worker's,Compensation Insurance and Safety Acts of the State of California, the applicable provisions of the California Government Code and all amendments thereto; and all similar state or federal acts or laws which are applicable; and shall indemnifY, defend and hold harmless the Agency and its agents,representatives, officers and employees from and against all Claims against the Agency and its agents, officers, representatives and/or employees, for or on account of any liability under any ofsaio acts which may be incurred by reason of any work to be performed'by Participant under this Agreement, provided, however, Participant shall not indemnifY the Agency to the extent that such Claims arise from the Agency's negligence or willful misconduct. c. Liability Insnrance. In addition to the provisions of Sections 6(a) and 6(b) above, Participant shall furnish to the Agency and maintain in force during the period the Improvements are maintained on the Property a policy of comprehensive general liability insurance in which the Agency and its officers, employees. agents and representatives are named as additional insureds. The policy shall indemnifY the Agency, its officers, representatives, agents and employees, while acting within the scope of their duties, against any and all claims arising out of or in connection with the Property, the Improvements, and the Participant's performance of this Agreement. The policy shall provide coverage for, combined single limit bodily injury and/or property damage in an amount not less than One Million'Dollars ($1,000,000) per occurrence, .Such policy of insurance shall specifically provide that any other insurance coverage, which may be applicable to the loss, shall be deemed excess coverage and Participant's insurance shall be primary The insurer shall be qualified to do business in the State of California, and shall have a Best's rating of AlVI or better, or an equivalent rating reasonably acceptable to the Agency 7. Assumption of Agency Loan. The Agency Loan is made to Participant based upon Participant's qualifications and is Rersonal to the Participant. It is because of those qualifications that the Agency has entered into this Agreement with the Participant. Accordingly, the Participant's rights and obligations under this Agreement, the Promissory Note, the Deed of Trust and the Maintenance Agreement shall not be assignable or assumable by successors and assigns of Participant, and no voluntary or involuntary successor in interest of the Participant shall acquire any rights or powers under this Agreement, the Promissory Note, the Deed of Trust or the Maintenance Agreement except as expressly set forth and/or permitted herein. 4 Commercial Rehab Loan Agreement, City of Poway S0\469746.2 . . 8. Representations and Warranties. Participant represents and warrants to the Agency,and,the Agency enters in,to this Agreement in material reliance upon the following representations and warranties of the Participant: a. No Conflict. To the best of Participant's knowledge, Participant's execution, delivery and performance of its obligations under this Agniement will not constitute a default ora breach under any contract, agreement or order to which the Participant is a party or by which Participant is'bound. b. No Participant Bankruptcy. Participant is not the subject ofa current or threatened bankruptcy proceeding. c. Authority. The Participant has full right, power and legal authority to undertake all obligations as provided herein, and the execution, performance and delivery of this Agreementby Participant has been fully authorized by all requisite actions on behalf of the Participant. The party or parties who have executed this Agreement are authorized to execute this Agreement on behalf of the Participant, and no further signatures ate necessary to bind the Participant under this Agreement. d. Litigation. To the best of Participant's knowledge, there are no actions, suits, material claims, legal proceedings, or any other proceedings affecting the Property or any portion thereof, at law or in equity, before any court or governmental agency, domestic or foreign. e. Governmental Compliance. To the best of Participant's knowledge, Participant has not received any notice from any governmental agency or authority alleging that the Property is currently in violation of any law, ordinance, rule, regulation or requirement applicable to its use and operation. Until the date of the disbursement of the Agency Loan, the Participant shall, upon learning of any fact or condition which would cause any ofthe warranties and representations in this Section 8 not to be true, immediately give written notice of such fact or condition to the Agency. 9. Compliance With Laws. The Participant shall carry out the Rehabilitation and operation ofthe Improvements in conformity with all applicable laws, including all applicable state labor standards, the City zoning and'development standards, building, plumbing, mechanical and electrical codes, and all other provisions of the City Municipal Code, all applicable environmental laws, and all applicable disabled and handicapped access requirements, including without limitation the Americans With Disabilities Act, 42 U.S.c. Section 12101, et seq, , Government Code Section 4450, et seq" Government Code Section II 135, et seq, , and the Unruh Civil Rights Act, Civil Code Section 51, et seq 10. Prevailing Wage Requirements. With respect to the Rehabilitation of the Improvements set forth herein and in the Scope of Work and Project Budget, Participant and Participant's contractor(s)and subcontractor(s) shall pay prevailing wages in compliance with Health and Safety Code Sections 33423 through 33426, and Labor Code Section 1770, et seq., and shall be responsible for the keeping of all records required pursuant to Labor Code Section 1776, complying with the maxim,um hours requirements of Labor Code Sections 1810 through 1815, and complying with all regulations and statutory requirements pertaining thereto. Such requirements are set forth in greater detail in Exhibit "I" hereto, which is incorporated herein. Participant shall certify to the 5 Commercial Rehab Loan Agreement, City of Poway SD\469746.2 . . Agency that it is in compliance with the requirements of this Section 10 with each request for payment which is ,submitted pursuantto Section 6 ofthis Agreement. 11. Nondiscrimination. Participant for itself and its successors and assigns, agrees that there shan be no discrimination against or segregation of any person or group of persons, on account of race, color, creed, religion, sex, marital status, national origin, or ancestry in the leasing, subleasing, rental, transferring, use, occupancy, tenure, or el)joyment of the Property nor shall the Participant or any person claiming under or through the Participant 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, sub lessees, subtenants, contractors or vendees in the Property. 12. Conflicts ofInterest. No member, officer or employee ofthe City or the Agency, its designees or agents and no member, officer, employee or other public official of such locality or localities who exercise any functions or responsibilities with respect to the activities undertaken pursuant to this Agreement or to the program shall have any interest, direct or indirect, in this Agreement or in any contract, subcontract or the proceeds thereof, for work to be performed in connection with this Agreement. 13. Records. The Participant shall maintain complete llnd accurate books and records pertaining to the Rehabilitation of the Improvements, and shall permit any duly authorized representative of the Agency to inspect the books and records of the Participant pertaining to the Rehabilitation oftlie Improvements and.other records necessary t<;> determine compliance with this Agreement. The books and records required to be maintained pursuant to this Section shall include the books and records of Participant and its contractor{s) relating to wages and hours as necessary to determine compliance with the prevailingwage requirements set forth in Section 10 hereof 14. Defaults. Failure or delay by either party to perform any covenant, term or provision of this Agreement to be performed by such party within the time provided herein constitutes a default under this Agreement. The injured party shall give written notice of default to the party in default, specifying the default complained of by the injured party The defaulting party shall immediately commence to cure such default and shall complete such cure within thirty (30) days from the date of the notice or such longer period if the nature of the default is such that more than thirty (30) days is required to cure such default and the defaulting party immediately commences to cure and thereafter diligently pursues such cure to completion within a reasonable period oftime; provided, however, that in no event shall the completion of the Rehabilitation work be completed later than six months after the original required date for completion. Except as required to protect against further damages, the injured party may not institute proceedings against the party in default until thirty (30) days after giving such notice. Any failure or delay by either party in giving such notice or in asserting any of its rights or remedies as to any default shall not change the times of such default nor shall it operate as a waive-r of any default or of any such rights or remedies or deprive either such party of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert or enforce any such rights or remedies. 15. Attorneys' Fees and Costs. In the event that any action is instituted pursuant to this Agreement, the parties agree thatthe non-prevailing party shall be responsible for and shall pay all costs and all attorneys' fees incurred by the prevailing party in enforcing this Agreement. 16. Legal Actions. In addition to any other rights or remedies, either party may institute legal action to cure, correct or remedy any default, to recover damages for any default, or to obtain 6 Commercial Rehab Loan Agreement, City of Poway SD\469746.2 . . . any other remedy authorized by laworequity consistent with the purpose of this Agreement and the Exliibits hereto, Such legal actions must be instituted in the Superior Court of the County of San Diego, State of California. 17. Applicable Law. The laws of the State of California shall govern the interpretation and enforcement of this Agreement. 18. Acceptance of Service of Process. In the event that the Participant against the Agency commences any legal action, service of process on the Agency shall be made by personal service on the Agency by personal service upon the Agency Secretary, or in such other manner as may be provided by law In the event that any legal action is commenced by the Agency against the Participant"service of process on the Participant shall be made in such manner as may be provided by law, whether made within or outside the State of California. 19. Rights and Remedies are Cumulative. Except as otherwise expressly stated in this Agreement, the rights and remedies of the parties are cumulative, and the exercise by either party or one or more of such rights or remedies shall not preclude the exercise by it, at the same time or ditferenttimes, or any other rights or remedies for the same default or any other default by the other party 20. Notices. Any notices, requests or approvals given under this Agreement from one party to another may be personally delivered or deposited with the United States Postal Service for mailing, postage prepaid, registered or certified mail, return receipt requested to the following addresses: To Participant: Kip Rode 10858 Sabre Hill Drive, Unit #250 San Diego, CA 92128 To Agency' Executive Director Poway Redevelopment Agency 13325 Civic Center Drive POBox 789 Poway, California 92064 Any written notice. request or approval shall be deemed received immediately if personally delivered and on the third day from the date it is postmarked if delivered by registered or certified rnail. 21. Relationship of Agency and Participant. The relationship of Participant and the Agency pursuant to this Agreement is that debtor and creditor and shall not be, nor be construed to be ajoint venture, partnership or other relationship. The Agency shall not be construed to have any property interest in the Property, other than its interests pursuant to the Deed of Trust. 22. Entire Agreement, Waivers and Amendments. This Agreement may be executed in duplicate originals, each of which shall be deemed to be an original. This Agreement integrates all oft~e terms and conditions mentioned herein or incidental hereto, and restates all other negotiations or previous agreements between the parties with respect to all or any part of the subject matter hereof. Any waiver, modification, rescission or release of any provision of this Agreement must be in writing and signed by the appropriate authorities of the Agency and/or the Participant, and all amendments hereto must be in writing and signed by the appropriate authorities of the Agency and 7 Commercial Rehab Loan Agreement, City of Poway SD\469746,2 . . the Participant. The Executive Director of the Agency, or his or her designee, may execute any documents, make any approvals, ,enter into any amendments. or take any other actions as may be necessary'or appropriate to carry out this Agreement on behalf ofthe Agency. 23. Time of Essence. Time is of the essence of every portion of this Agreement in which time is a material part. 24. Project Sign. Participant shall during the Rehabilitation and throughout the term of the Agency Loan prominently display a sign and/or plaque to be provided by the Agency which identities Participant as a participant in the Agency's Commercial Rehabilitation Loan Program. Such sign shall be placed either on the exterior ofthe existing building, or in the front window of the building, 25. Execution in Connterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original, and all such counterparts shall constitute one Agreement. To facilitate execution of this Agreement, the parties may execute and exchange by facsimile counterparts of the signature pages. IN WITNESS WHEREOF; the parties hereto have executed this Agreement as the date set forth above. AGENCY: POWAY REDEVELOPMENT AGENCY, a public body corporate and politic BY"~ Rod Gould Executive Director ATTEST APPROVED AS TO FORM. ~M~A- ~QO~ Lisa Foster Secretary Agency General Counsel PARTICIPANT: KIP RODE By' K(t: ~~ 8 Commercial Rehab Loan Agreement, City of Poway SD\409746.2 . . EXHIBIT "A" SITE MAP [Attached] Exhibit A-9 SD\469746.2 H I' ""'" ',I"""" ~I" """ ~I"'" ':;~F~~-:;':' ""61 SCALE'. ",..,... ,.c. I ~ ~ " t-'. '0 ~p: U j ~ 0 """" . 316-24 "~all ASStM:OKllUtACa.w..I:Tl;f'liE UIoIA'SH}WH. ~SDf~1\IJUUI I S,HT I OF 4 o U w..,. l()l (Dt,lP,Y Wr.H lOOt SlAl:WV6CN (Jl lU.ON: OllltWOiS. I - 'I...~OO' o . . 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PM 16315 ASSESSMENT PAR NO 3!6-240-11 SUB ID @Q-~ BROOKVIEW PHASE ill DOC 92 -434456 8ROOKVIEW PHASE IT LOT 3 DOC92-282507 ASSESSMENT PAR NO . LOT I 316-24Q-m SUB ID@D- ~ ASSESSMEN"T PAR NO @Q 316-240-01 SUB lOOt - ~ - ~ NOV I 4 1995 (7"09 Ci_.~~ CONDOMINIUM SAt4 : DIEGO COUNTY THIS_MAP_lS-PREP~ fOR NOTE' EACH SUB ID INCLl/DES AN MAP 12277 - 8ROOKVIEW SQUARE UNIT NO I ffi ASSESSOR'S UAP ASS:ESSI.lENT PURPO~ ONLY. UNO INT IN COMMON AREA 8001( 316 PAG<: 2" SHT Z " -. ___._.._._.___..n______.~__... . _____.___.0._.. ~.__.....~.__ __-'--_____ _.. "__..___.__...._. -..-- ,"'- va I' , , I , , , 1 '1"" , I ~ ' I I r ~I' I I I r 1 , I ~ . 1 1 I I '. I I ~Il I I I , 1 , I IJ ' 1 I , , 1 1 . le\ \ ~ . SCAlE (!3 1/'\0 DF AMINtH ""~ I . 0 ~ ~" "'''--''-''--'' 'tl 2P: (0- 3-9"'- e3F ~ a 0'-' ". SoI.NOlEOOCOOlfT'(AS5ESSJJR.'sWAP [I", ~I 616-24 B '" ~SHT4 :1 . 0 SCALE . . a " ~. :l _B_I"-U""""c. .. . ~ 'g '. BROOKVIEW- PHASE V ~ ~ DOC93-012141 ~ LOT 5 :>- ~ ASSESSMENT PAR NO ~ ~I 3!6-240-05 SUB 10 @]- 0 ~ ~' . ~ J ~ ~I a ~I,,< ~ ~I . ~ BROOKVIEW -PHASE rsz: I e DOC93-012138 - '" ~ LOT 4 .... i lI> ASSESSMENT PAR NO tQ:!] ~ '" ~ 316- 240-04 SUB ID 0 I - 0 j ill, '" '" ;1 :0 ... (2i0 '" '" ~I :!: ~ 'il =1 0 ;= ~ r .. ~ I 0 a :0 '" .. ~ "1.- ~ .>. I.; <c;, 9:"'DG ~ "'.>. '0 Iii ".>. (2~Q) (' 8 1.""1 :;j ~ '" . ; _.. is m ~ ~ ~ NOTE EACH SUB ID INCLUDES AN UND NOV 1 4 1995 ,. INT IN ITS RESPECilVE COMMON AREA ~ CONDOMINIUM -.J g MAP 12277- BROOKVIEW SQUARE UNIT NO I .,~".-;".--,--,,~..",,"c. '"-"" 'Y" . . ' . . . EXHIBIT "B" SCOPK,OF WORK AND PROJECTnUDGET GENERAL PROJECT DESCRIPTION. Project to be performed at 13248 Poway Road, Suite B, Poway, California 92064 by Grafiks Advertising & Signs: 1 Signage Work: ($ 5,771.52) I I Work Summary' Design, fabricating, mounting, installation, and electrical to include foundation system, all materials, and permits III Includes plans complete with signage location, size, general description, electrical service run, devices, and equipment 1 1.2. Instructions on use of timer and shutoff system 1.2 Application, NI A. 1.3 Approximate Square Footage' N/A Location of Work: Storefront Signage ,~ - . . . . .!~ .~ EXHIBIT "D" REQUEST FOR PAYMENT Date: _July 10_, 2007 From: Kip Rode 10858 Sabre Hill Drive, Unit #250 San Diego, CA 92 I 28 To: POW A Y REDEVELOPMENT AGENCY This is a Request for Payment pursuant to the Loan Agreement between Kip Rode and Poway Redevelopment Agency, dated as of April 16, 2007. I Participant hereby requests payment in the amount of $2,250.00. 2. I certify that all work for which Participant is seeking payment was completed in accordance with the Agreement and the Scope of Work and Project Budget (Exhibit B to the Agreement). 3 I certify that all work has been performed in accordance with the prevailing wage standards and other public works requirements which are set forth in Section 10 of the Agreement and Exhibit I to the Agreement. 4 I certify to the best of my knowledge, that the invoices and other materials attached hereto are true and correct, and do not contain any material misstatements or omissions. 5 I certify to the best of my knowledge, that all conditions to disbursement of the Agency Loan as set forth in Section 3 ofthe Agreement have been satisfied. 6. I certify thatthere is no condition, event or act, which would constitute an Event of Default (as defined in the Agreement) or which, upon the giving of notice or the passage of time, or both, would constitute an Event of Default. 7. I certify that Participant's business is not for sale, and Participant is not threatening bankruptcy or any other method of reorganizing Participant's business that would disqualify Participant to receive payment or reimbursement pursuant to the Agreement. 8. I certify that 1 am authorized to sign this document on behalf of the Participant. - . . - . ..'" ...: " 9 I understand that the Agency is relying on the truthfulness and accuracy of the certifications made herein in making the requested disbursement of the Agency Loan. PARTICIPANT: KIP RODE By :at ;t~ ](; p ode . . E;XHIBIT "H;' NUUNTENANCEAGREEMENT , THIS MAINTENANCE AGREEMENT (the:"Agreement") is made by KIP RODE (the "Participant"), ill favor of the POWA Y REDEVELOPMENT AGENCY, a public body corporate and politic (the "Agency"), as of _ July 10_,2007. RECITALS A The Agency~ncltheParticipant have entered into that "ertain Loan Agreement dated April 16, 2007 (the "Loan Agreement"), concerning the rehabilitation of certain real property situated in the City of Po way, California, as more fully described in Exhibit "A" attached hereto and made a part hereof. B. Asreterencedin,theLoan Agreement,the Participant is required to execute an agree'ment in favor of the Agency for the maintenance of the Improvements (as defined in the Loan Agreement). NOW, THEREFORE, the Participant agrees as follows: 1. Performance of Maiiitenance. a. Participant shall maintain the improvements ' and landscaping on ,the Property in accordance with the Maintenance Standards,a~ hereinafter defined. Said improvementsshalLinclude, but not be limited to, buildings, SIdewalks, pedestrian lighting, landscaping, irrigation oflandscaping, architectural elements identifying the' Property and any and all other improvements on the Property b. The following standards ("Maintenance , Standards") shall be complied with by Participant ana its maintenance staff, contractors or subcontractors: 1. The Improvements (as the term is,defined in the Agreement) shall be maintained, in conformance lmd incompliance with the approved Scope'ofWork and Project Budget and reasonable commercial development maintenance standards for similar projects, .including but not limited to the painting and cleaning of all exterior surfaces and other exterior facades in the improvernents on the Property 2. The Improvements. shall ,be maintained as required.by this Section 1 in good'condition and in accordancew~ththecustom and practice generally applicallle,to,comparable first-class commerciaJ.faCilities similar to the Improvements located within the Southern California area. 3. Landscape maintenance shall include, but not be limited to: watering/irrigation; fertilization; mowing; edging; trimming of grass; tree and shrub pruning; , trimming and shaping of trees and shrubs to maintain a healthy, natural . . appearance. and safe roadcondition~ and visibility"and:irrigation coverage; replacement, as needed, of all' plant mateiials;coritrolofweeds in all planters, shrubs, lawns, ground covers, or other plante,d areas; and staking for silpport of.trees. 4. (;leancup maintenance shall include, but not be limited to maintenance of all sidewalks, paths and other paved areas in clean and weed"free condition;maintenahce of alL such areas clear of dirt, mud, trash, debris or other matter which is unsafe orimsightly;removal of all trash; litter and other debris from improvements and landscaping prior to mowing; clearance 'and cleaning of all areas maintained prior to the end of,the day on which the maintenance operations are performed to ensure that all cuttings, weeds, leaves and other debris are properly disposed of by maintenance,Workers. 5. All maintenance work shall conform to all applicable federal and sllite Occupational Safety and Health Act standards ahd regulations for the performance of maintenance. 6. Any and all chemicals, unhealthful substances, and pesticides used in andduring'lll;~ntenance shall be'applied in strict accordance ~ith all governing regulations. Precautionary measures shall be employed. recognizing that all areas are'open to public access. 2. FaiIu.re to Maintain Improvements. ll'the event Participant does not maintain the improvem(:ntson the Property in the manner'Set forth herein and in accordance with the Maintenance Standards, the AgencYiiIld/or City shall have the right to mllintain' such improvements, or to contract for the correction of such deficiencies, aftef written notice to Participant. However, prior to taking any such action, the Agency agrees to notifY Participantin writing if the condition of smd'.improvements do not meet with the Maintenance Standards and to specify the deficiencies'and the actions required to be taken byparticipanUo cure the deficiencies. UpOI1 nptification of any maintenance deficiency, Participant shalL have thirty (30) days within which to correct, remedy or cure the deficiency. Ifthe written notification states theproble'inislirgent relating to the public health and safety ofthe City or the Agency,. then Participant shall have forty-eight (48) hours to rectifY the problem. In the event Participant fails to correct, remedy, or cure or has not comri1ehced correcting, remedying or curing such maintenance deficiency after notification, and atterthe p,eriod of correction has lapsed;,then City and/or the Agency shalll1ave thy right to maintain. such improvements: Participant,agrees to pay the Agency such reaSonableand.docuniented third party charges an<! costs. Until so paid, the Agency shail have it lien on the Propertyfor the.amount of.suchcharges or costs, which lien shall be petfeded,byt4e recordation of a "Notice of Claim of Lien " against the Property Upon recordation of a Notice of a Claim of Lien:againsttheProperty, such lien shall constitute.a lien on tl1efeyestatejn and to the Property prior, and superior to all other monetary liens except: (i) all taxes, bonds, assessments, and other levies which, by law, would be, superior,thereto;,(ii) the lien or charge of any mortgage, deed of trust, or other , . . secuntyiiiterestthen,of record madein, good faith and for value, it.being understood that _ _._ . ' _,' _ . . n" JO.... ~ .,__ the priority of any such lienJor costs,incurr~d to complywith,thiscAgreement shall date fromtheda~eof the recor9,l1tion ()ttl1j:~9tice of Claim 6fLien,'e!iceptJor the deed of trust entered into I with Column,Fiillmcial, Inc. or;an6therlender;selected by Participant. .. ,- .,> .... Any such lien shall be subject and subordinatetoianyleaseor subl~llSeofthe interest of Participiuit intli.e Property or'any portion,thereof and,to'llIlY eas~ment affecting the Property or any portion thereommtered intoal any'tilll~(eitlierbefore,or"after) the date of recordation.ofsuch a Notice; Any,lien in favor ofthe,Agency"cieated or claimed hereunder is,expressly madj:~u.bject and subordinate,to any.,mortgage or deed of trust madeiii;good faith and f9r, yalu~,recordedas of the date CJf..therecordationoftheNotice ,of Claim of Lien describing;such lien as aforesaid, and no!such lien shall in any way defeat,invaiidate, or:impait,theobligation or priority ofanY$u<:l1,mortgage or deed of trust, unless the mortgage or.beneficiary thereunder expresslysubCJrdinates his interest, of record, to such lien. No lien' in favor of the Agency created ,or' claimed hereunder shall in any WllY c!e(eat, invalidate, Qr impair the obligation or priority of any lease, sublease or easelllellt unless such instrumerit is expressly subordinated'to suchJien. Upon 'foreclosure of any mortgage or deed of trust made in g(Jod fajtli.'a,nd forvalue and recorded ,prior to tll'erecordation.of any unsatisfied Notice (JfQI~imof Lien, the foreclostire~purchasershall.take,title to the Property free oFariy lien imposed by the, Age~cy that lias accrued up to.tjletiIne of the foreclosufe.sale, arid upon taking title;tothe Property,suchforeclosllre"pur~,h~efshall only beobligateoto,pay costs associated with this 'Agreement accniing;after the foreclCJsure-purchaser'acquirestitleto the Property Jf the Ptoperty is ever legally divided with the written apPToyal-oft,he Agencyand fee title to various portionsofthe Prop,erty is held under separat~()wnerships, then the burdens of the maintenance obligations set forth herein arid in this Agreement and the'charges,levied by the Agency to reilTIbursethe,Agency for the costofuridertaking'such maintenance obligations of Participant arid its'sticcessors and the lien for, such, charges shall be apportioned among the fee owners of the variousportions,of'the Property underdi.flhent ownerships according to,tli.esquarefootage of the landc(jritaigegin the respective portions.ofthe Property own,edbythem. Upon apportjonmerit;,noseparate oWlletofa .portion oftli.e Propertyshall,hav:~any liability for the apportioned liabilities of any other separakowner of another P9rti09cofthe Property,and theiien.shall be'similarly , , apportion~da,ndshall'only constitute a lien against the'portiqn of the. Property owned in fee by the oWller whois'liableJor the apportioned chargeslevie&bythe Agency arid secured'by theapportionedjlie.n'andagainst no other portionCJfthe Property Participant ackr(_)\v.le_dg~~. and agrees City ,and the Agency may also pursue any and all other ,remedies. available in law oi:eq)lity Participant shall be liable fqr any and allattomeys' fees, and othedeglll costs or fees incurred in collecting)said maintenance costs. '3. CompIiancew'ith Law. PartiCiparit;shallcomply with all local, stateandJeqeral laws.relatillgto the uses of or coriditlbn,o{the.ifuprovementson the 'Pr()p~rtyJ 1()<:~;taws fof the purposes of this sectionshalUhCltide only those ordinances, ""hieD ate n6ndiscnmiiliitoryin nature and applicable to the public welfare, health, safety arid aesthetics. Ifany,newlocanaws relating to uses of or. condition, of the improvements create ' a-condition of situation, that constitutes al.aWful'poncoiiforming use,as defined by local ordinance with resp,ecHo the Property or any'poitiontli.eredf, then so long as,the laWfuJ' nonconforming use stafus remains in effeCt (i.e., tiiltil':such lawful status is . . properly teinllriated'by amortizjltion ag,p,rovided for iiIthe'i!ew,lbcaUaw or otherwise}, PartiCipant shall be entitled~toenjoy the benefits ofsuch lawfUl nonconforming use pursuant to the lawful~_nonconforrriing uses ordinance. PARTICIPA:N'T: KIP RODE By' . . . EXHIBIT I PREVAILING WAGE AND PUBLIC WOAAS.REQUlREMENTS I. Participant's Requirements: (1) Obtain the prevailing wage rate from the Director of Industrial Relations in accordance with Labor Code Sections. 1771 and 1773 (2) Speciry the, appropriate prevailing wage rates, in accordance with Labor Gbde Sections 1773.2 and 1777.5 (A) The posting requirement is applicable for each job site. EXCEPTION: If more than one worksite exists on any project, then the applicabIerates may be posted at a single location which is readily available to all workers. (B) Ifa wage'rate for a craft, c1assificatipn or type of worker is not published.inthe Director~s,general prevailing wage determinations, a request fora special deteriilinationshould be made by the awarding body to Chiet;Division of Labor Statistics, and Research, P:O..Box420603, San Francisco,CA 94142, at least 45 days prior to the project bid advertisement date. (3) Notiry the Division of Apprenticeship Standards, Department of/ndustrial Relations. See Labor Code Section 1773.3 (4) Inform prime contractors, to the extent feasible, of relevant public work requirements: NOTE; Requirement information may be disseminated at a preacceptance of bid conference or 'in a call for bids or at an award of bid conference. The public works requirements are: (A:) the ' appropriate number of apprentices are on the job site, as set forth iil Labor Code Section 1777.5 (B) workers' compensation.coverage,.as set forth in Labor Code Sections 1860 and 1861. (C) keep accurate records of the work performed on public works projects, as set forth in I;abor Code Section 1812. (D) inspection of payroll records'piJrsuarit to Labor Code Section. 1776, and as set forth in Section 16400 (e) of Title 8 of the California Code of Regulations. Exhibit 1-1 SD\469746.2 . . . . (E) and:other requirements imposed by law, (5) Withhold monies. See Labor Code Section) 727 (6) Ensure that pl!bJic\yorks,projects arenoCsplit'or separated into smaller work orders or projects for the purpQse of evading the applicable provisions of Labor Code Section 1771 (7) Deny therightto bid on public wqrk contracts to. contractors or subcontractors who have been debarred from bidding.Qn publiC'works contracts, asset forth in Labor Code Section 1777.7 (8) Not permit workers on public works to work,\mQrethan eight hours a day or 40 houri; In, any one calendar week, unless compensated at hot less than time and a half as set forth'in Labor Code Section 1815 EXCEPTION: If the prevailing wage determination requires a higherrate of pay for overtime work than is, required under Labor Code'Section 1815, then that;higher overtime rate must be paid, as specified in subsection' 16200(a)(3 )(F) of Title 8 of the Califorriia Code of Regulations. (9) Not take oqeceive,any portion ofthe workers'. wages or accept a fee in connection with a public works'project, as set forth in LaboJ Code Sections 1778 and 1779 (10) Comply with1:hoserequirements as specified'in Labor Code Sections I776(g), 1777.5,1810, I813,aiJd 1860. II. Contractor and Subcontractor Requirements. The. contractor and ~ubcontractors shall: (1) Pay nQt less than'the prevailing \Vagdoall workers, as defined in Section 16000 of Title 8 of the California Code of ReguI:itions,'and'as set forth in Labor Code ,,'" - ". 0' ..,. Sections 1771 and 1774, (2) Comply with the provisions of Labor' Code Sections 1773.5, 1775, and 1777:5,regardingpublic works jobsites; (3) Provide workers' cQmpensation coverage as set forth in Labor CQde Section 1861; (4) Comply with LaborCode Sections 1778 an~:L1779 regarding receiving a portion of wages or. acceptance ofaJee; Exhibit 1-2 SDl469746.2