HomeMy WebLinkAbout20190114_ApplicationCommunity Development Department
Planning Permit Application
1. Check Permits Requested:
D Approval-in-Concept -AIC #
Iii Coastal Development Permit
D Lot Merger
D Limited Term Permit -
D Waiver for De Minimis Development D Seasonal O < 90 day 0>90 days
D Coastal Residential Development D Modification Permit
D Condominium Conversion D Off-Site Parking Agreement
D Comprehensive Sign Program D Planned Community Development Plan
D Development Agreement D Planned Development Permit
D Development Plan Iii Site Development Review -Iii Major D Minor
D Lot Line Adjustment D Parcel Map
2. Project Address(es)/Assessor's Parcel No(s)
12902 W. Coast Highway/APN 049-110-19
100 Civic Center Drive
Newport Beach, California 92660
949 644-3200
newportbeachca.gov/communitydevelopment
D Staff Approval
D Tract Map
Iii Traffic Study
Iii Use Permit -DMinor li!Conditional
D Amendment to existing Use Permit
D Variance
D Amendment -DCode DPC DGP DLCP
D Other:
3. Project Description and Justification (Attach additional sheets if necessary):
The project proposes to establish a fine dining restaurant with a partially-covered, second level outdoor terrace within an existing building located at 2902
W. Coast Highway. Please see attached sheet.
4. Applicant/Company Name Phil Edmondson/Pacific Coast Architects
M .1. Add \2600 Newport Boulevard a1 mg ress
C·ty !Newport Beach
________ J Suite/Unit l;:s=ui=te=1=1=4 ====j
State jcalifornia I Zip 192663 I ----------
Phone 1949-675-9468 J Fax ,___ __ _ __ _,, Email IPCA@pacificcoastarchitects.net
5. Contact/Company Name Susan Hori/Manatt, Phelps & Phillips, LLP
M .1. Add 1695 Town Center Drive, 14th Floor S ·t /U ·t J a1 mg ress m e m ________ _
City lcosta Mesa ---·--·-State t~~-lifornia J Zip 192626 J
Phone Fax f 14-3_!~257~ __ ] Email ls~~~@manat:=~ _________________ J
6. Owner Name "---;=:======================;·-----------;=======:
Mailing Address Suite/Unit lsuite 200 =1
City !Newport Beach _ State lcalifomia ~ Zip 192660
Phon~ 1949-698-1596 ______ ~ Fax ________ ] Email jkcrowley@~~-~~tie.c~~---------------------
7. Property Owner's Affidavit*: (I) (We)'---------------·------------·--·-------------------------------------......,
depose and say that (I am) (we are) the owner(s) of the property (ies) involved in this application. (I) 0,Ne) further
certify, u er penalty o perjury, that the foregoing statements and answers herein contained and the information
herewith itted ar all respects true and correct to the best of (my) (our) knowledge and belief.
( I
Signature(s): -----=----------Title: ---------~ Date: ~-----------~
*May be signed by the lessee or by an authorized agent if written authorization from the owner of record is filed concurrently with the
application. Please note, the owner(s)' signature for ParcelfTract Map and Lot Line Adjustment Application must be notarized.
F:\Users\CDD\Shared\Admin\Planning_Division\Applications\Application_Guidelines\Planning Penni! Application -CDP added.docx Rev: 01124117
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2902 West Coast Highway
Project Description and Letter of Justification
Project Description
The project proposes to establish a fine dining restaurant with (1) a main level with an
interior bar/lounge area and (2) a partially-covered, second level outdoor terrace with a separate
bar/lounge and seating area (the “Project”) located at 2902 West Coast Highway (“Project
Site”).
The Project Site is a single parcel totaling approximately 14,026 square feet. The Project
Site is occupied by an approximately 9,478.72 square feet (gross floor area) existing building
which will be retained and re-purposed for restaurant use and other retail. The gross floor area of
the proposed Project is approximately 7,705 square feet. The Project Site is surrounded by
existing commercial uses, including Sterling BMW and restaurants. The Project Site is located
more than 320 feet from the nearest residential structure. The Project Site is located on the
inland side of West Coast Highway and is separated from Newport Harbor by West Coast
Highway and private property currently occupied by multi-story commercial buildings.
The Project is within the coastal zone and is subject to the City’s Local Coastal
Program. The City’s General Plan designates the Project Site as Mixed Use Horizontal 1 (MU-
H1). The City’s Coastal Land Use Plan (“CLUP”) designates the site as Mixed Use
Horizontal. The coastal zoning district is Mixed Use – Mariners’ Mile (MU-MM). These land
use and zoning designations permit development of properties fronting on West Coast Highway
with freestanding commercial uses, including food service uses with alcohol service. The
General Plan, for instance, notes that the Mariners’ Mile area presents an opportunity for reuse of
underperforming properties for visitor-serving uses. (General Plan Policies LU 3.3 and LU
6.19.4.) The proposed Project would be consistent with the General Plan’s and CLUP’s vision
for Mariners’ Mile by providing additional visitor-serving and neighborhood serving uses in this
area which facilitates and increases public access to the coastal zone.
The restaurant would include 5,052 square feet of net public area1, comprised of (1)
2,517 square feet of first level net public area and (2) 2,535 square feet of net public area on the
second level outdoor terrace.2 A total of 213 seats would be provided, with seating for 112 and
101 people provided on the main floor and the outdoor terrace, respectively.
The Project Site is bordered by West Coast Highway to the south, existing commercial
buildings to the north, the China Palace restaurant to the east, Enterprise Car Rental to the west,
and the U.S. Post Office to the northwest. The proposed restaurant would have a zero foot
1 “Area, net public” is defined at Newport Beach Municipal Code (“NBMC”) Section 21.70.020 as the total area
used to serve customers, including customer sales and display areas, customer seating areas, service counters and
waiting areas, but excludes restrooms, kitchens, offices, storage and other similar areas.
2 For purposes of parking, the total net public area is 4,423 square feet, which deducts 25% of the total net public
area of the outdoor dining terrace, consistent with NBMC Section 21.40.040.
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setback from the property to the west, a 7-foot setback on the south frontage, and approximately
10-foot setbacks along the east and northern frontages. The building would be constructed to a
maximum height of 31 feet to the peak of the wood trellis and outdoor terrace bar roof, which
extends approximately 11 feet from the finished floor of the outdoor terrace. The Project
proposes a limited elevator overrun that would extend to a maximum height of 32 feet 3 inches.
Because the Project Site is located within the Shoreline Height Limit Area which does not
provide height exceptions for elevator overruns, the Project requests an increase in the maximum
height allowed to accommodate the elevator shaft overrun. The requested 32 feet 3 inch
maximum height is below the maximum height limit (35 feet) authorized by the Shoreline Height
Limit Area (NBMC Section 21.30.060(C). The elevator enclosure would occupy approximately
80 square feet of rooftop area.
The restaurant is thoughtfully designed to offer patrons a variety of options to suit the
occasion, such as communal or more intimate seating options. The design also incorporates an
inside courtyard with trees and other greenspace elements, as well as the outdoor terrace that
allows patrons to enjoy food and/or drinks under the stars. The restaurant, which would serve
both food and alcohol, is proposed to open at 10:00 AM Monday-Thursday, and 9:00 AM
Friday-Sunday, and will provide continual food service (breakfast, lunch, dinner, after-dinner)
until closing. Service hours are expected to continue past 11:00 PM. The menu would include a
wide variety of fine dining options. Any alcohol service would be subject to compliance with
the strict licensing requirements of the California Department of Alcoholic Beverage Control. A
maximum of approximately 15 to 24 employees are anticipated to be working at the restaurant
during normal business hours, depending upon the time of day. All employees will utilize off-
site parking.
For purposes of parking, the Project’s anticipated parking is considered in conjunction
with the parking spaces and uses existing within the Garden, the existing shopping center within
which the Project Site is located. The Garden currently has a total of 123 parking spaces
available for use by existing and future tenants, including the Project. With the Project, all
employees of The Garden, including employees associated with the proposed restaurant, would
be required to park off-site at the to-be-constructed 215 Riverside Avenue (“215 Riverside”)
building, which would be located approximately 250 feet from the Project Site. When
completed, 215 Riverside will have approximately 3,000 square feet of general office uses and
48 total parking spaces. 12 of the parking spaces will be required to serve the office uses, but the
remainder spaces (36) will be available for parking employees of The Garden. If the Project
commences operation prior to the completion of 215 Riverside, alternative off-site parking
sufficient to accommodate parking of all employees will be secured in the interim.
Required Entitlements
1. Coastal Development Permit to permit the restaurant use and height limit exceedance.
2. Conditional Use Permit for restaurant use with late hours, accessory alcohol service, and
parking plan.
3. Site Development Review for the height limit exceedance.
4. Operator License
5. Traffic Study
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The Planning Commission is the municipal body with authority to review and approve all
of the entitlements, except the Operator License, which is issued by the Chief of Police. The
Chief of Police’s approval of the Operator License may be appealed to the City Manager. All
Planning Commission approvals may be appealed to the City Council.
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Letter of Justification
Coastal Development Permit (NBMC Section 21.52.015)
The Project is within the Coastal Zone and, therefore, requires approval of a coastal
development permit (“CDP”).
Finding 1
The project conforms to all applicable sections of the certified Local Coastal Program.
Facts in Support of Finding
1. The 2902 West Coast Highway building proposes a maximum gross floor area of
approximately 8,452 square feet. Although the maximum FAR permitted by the Local
Coastal Program (“LCP”) is 0.5 FAR (7,013 square feet), the Project Site is occupied by an
existing building which consists of approximately 9,478.72 square feet of floor area and is
considered a non-conforming structure as to permitted floor area. (NBMC Section
21.38.030.C.) The City’s LCP permits changes to non-conforming structures if the
alterations do not increase the degree of nonconformity. (NBMC Section 21.38.040.D.) The
Project will be located in the existing building and will consist of approximately 7,705 gross
square feet of floor area. Therefore, because the proposed Project is being constructed within
an existing nonconforming structure, would not exceed the existing square footage and
would not increase the degree of nonconformity, the Project is consistent with the cited
provisions of the City’s LCP. Although the proposed square footage would exceed the
maximum FAR for the applicable zone, the building is permitted up to the existing 9,478.72
square feet of floor area.
2. The restaurant building complies with the setback requirements of the NBMC, which are
zero feet on the front, sides, and rear lot lines.
3. The Project would contribute to the CLUP’s vision for a vibrant Mariners’ Mile by
establishing a unique visitor-serving and neighborhood-serving restaurant to the area. (CLUP
at 2-9.) The renovation of the existing building will support local establishments within
Mariners’ Mile and improve the pedestrian landscape.
4. The restaurant is designed with a high level of architectural quality and is compatible with
other buildings in the immediate vicinity, as well as those within the larger Mariners’ Mile
area. The design includes activation of the streetscape, including through the installation of
outdoor trellises and arched windows with views into the restaurant.
5. The Project is consistent with CLUP Policy 2.3.1-1, which specifically permits visitor-
serving eating and drinking establishments in commercial areas.
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6. The Project would facilitate access to the Newport Bay waterfront by drawing patrons to the
restaurant and the area, which would in-turn support existing and future businesses along the
waterfront, including boat rentals, or providing people already enjoying the waterfront with a
unique dining opportunity.
7. The Project’s maximum structural height of its trellised roof complies with the maximum
height allowed in the MU-H1 zoning district of 31 feet for a sloped roof. The elevator shaft
is 32 feet 3 inches in height which can be permitted with approval of a site development
review and CDP and would still be less than the 35 feet maximum allowed under the
Shoreline Height Limit Area (NBMC Section 21.30.060(C).
8. The Project’s orientation and design, particularly the outdoor terrace, integrates visual and
physical pedestrian access to the Newport Bay waterfront and creates a cohesive connection
between the restaurant and surrounding uses.
9. Project buildings incorporate different material and articulation to create contrast and a
pleasing visual aesthetic.
10. The outdoor terrace would improve the visual landscape of the building from Newport
Heights by designing the outdoor space with aesthetic architectural features, such as limited
landscaping elements, as opposed to typically mechanical equipment.
11. The Project Site is visible from West Coast Highway, a coastal view road (per the General
Plan). However, the Project Site is located north of West Coast Highway and would not
obstruct any Newport Bay views from West Coast Highway. Therefore, the Project is
consistent with the General Plan and the CLUP’s polices related to protection of coastal
views from West Coast Highway. (e.g., CLUP Policy 4.4.1-6.)
12. A public viewpoint is also located northwest of the Project Site, from the public park located
along Cliff Drive. The Project will be established within an existing building on a site
already improved with parking lots, structures and landscaping. The Project’s limited
outdoor terrace uses would not obstruct or damage views of Newport Bay from the public
park because (1) the park is substantially higher than the Project Site and located
approximately 350 feet from the Project Site, and (2) the buildings immediately across West
Coast Highway (along the Newport Bay waterfront) are taller than the maximum height of
the Project.
13. The parking areas, access points, and on-site circulation are designed to provide adequate
drive aisles and minimum vehicle turning areas to provide safe access for guests, emergency
vehicles, and refuse collection vehicles.
14. The establishment of an unique restaurant at the Project Site will have a positive impact on
overall economic health of the community and promote further revitalization of other
commercial and mixed-use properties in the area.
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15. The nearest sensitive uses, residences located along Cliff Drive, are located more than 400
feet from the edge of the outdoor terrace and roof and architectural elements. Like the Cliff
Drive park, the residences are also perched upon the cliff, which is substantially higher than
the Project Site. Therefore, the Project’s outdoor dining component would not generate noise
that would negatively impact such sensitive uses.
Finding 2
The project conforms with the public access and public recreation policies of Chapter 3 of the
Coastal Act if the project is located between the nearest public road and the sea or shoreline of
any body of water located within the coastal zone.
Facts in Support of Finding
1. The Project would not conflict with the Coastal Act’s public access and public recreation
policies because (1) it is located in an already existing building, (2) would not obstruct access
to Newport Bay or the waterfront, (3) is served by adequate parking, and (4) would
contribute to pedestrian activation of the area, which would ultimately facilitate access to the
waterfront.
Site Development Review (NBMC Section 20.52.080(F) and Height Limit Exceedance (NBMC
Section 21.30.060(C)(3) and Section 20.30.060(C)(3))
The Project would be constructed to a maximum height of 31 feet, but for the elevator
shaft overrun that allows for handicapped access, which will be constructed to 32 feet 3 inches.
Because the maximum height for pitched roof structures is 31 feet, the elevator shaft overrun
requires the approval of a minor height increase. This height increase is necessary to permit use
and activation of the restaurant’s outdoor terrace, which facilitates patrons’ views of and access
to Newport Bay.
NBMC Section 21.30.060(C)(3) Findings
Finding 1
The project is sited and designed to protect public views to and along the ocean and scenic
coastal areas.
Facts in Support of Finding
1. The Project Site has frontage on West Coast Highway, a coastal view road, as designated by
the General Plan. However, the frontage is on the north site of West Coast Highway and,
therefore, would not obstruct any views of Newport Bay from any coastal view road.
2. A designated public view point exists northwest of the Project Site at the public park on Cliff
Drive. However, that view point is located approximately 450 feet from the Project Site and
is substantially elevated above the Project Site. The outdoor dining terrace, which includes
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limited projections, would not negatively impact existing views from this public view point
because existing buildings located along the Newport Bay waterfront are taller than the
proposed Project.
3. The Project would enhance views of the Project Site from nearby bluff-top residences by
introducing architectural elements, such as landscaping, to the existing building’s rooftop.
This would be an improvement over the traditional HVAC and other mechanical equipment
that usually occupies a building rooftop.
4. The Project would increase public views of Newport Bay by constructing an outdoor dining
terrace that affords patrons limited views of the waterfront (along with the greater Mariners’
Mile area).
Finding 2
The project is sited and designed to minimize visual impacts and be visually compatible with the
character of surrounding areas.
Facts in Support of Finding
1. The Project has been designed to ensure that potential conflicts with surrounding land uses
are minimized to the extent possible to maintain a healthy environment for both businesses
and residents by providing an architecturally pleasing project with articulation and building
elements that enhance the urban environment.
2. The Project is part of a cohesive, already existing commercial center, which is designed to
accommodate and provide safe access for emergency vehicles, delivery trucks, and refuse
collection vehicles, as well as pedestrians.
3. The restaurant will not necessitate high levels of lighting or illumination. However, new
sources of light and illumination will be established with the outdoor dining terrace. All
exterior lighting will comply with NBMC Section 20.30.070, which requires that all outdoor
lighting fixtures be designed, aimed, located, and maintained to shield adjacent properties
from light spillage.
4. The Project’s architectural elements, including trellises, plantings, large windows, and
variation of materials, promote a strong and inviting pedestrian orientation that will
contribute to the revitalization of the area.
5. The Project will strengthen the core “Mariner’s Village” area by establishing a
neighborhood-serving restaurant complimentary to existing uses, consistent with the
Mariners’ Mile Strategic Vision and Design Plan.
Finding 3
Where feasible, the project will restore and enhance visual quality in visually degraded areas.
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Facts in Support of Finding
1. The Project Site is not considered visually degraded. The restaurant would be part of a larger
integrated commercial area – The Garden – which includes other commercial uses and is
subject to recent revitalization.
2. The restaurant building is designed consistent with the Mariners’ Mile Strategic Vision and
Design Plan. Per Section 1.30 of the Mariners’ Mile Strategic Vision and Design Plan, the
Project is within the “Mariner’s Village” area, which is identified as an area presenting a
unique opportunity “for the creation of an active pedestrian-oriented retail district” capable of
serving adjacent neighborhoods, visitors and existing marine uses. The Project will further
this goal by contributing to The Garden, an integrated, well-designed commercial center.
3. Through the development of the outdoor terrace, the Project will replace standard rooftop
mechanical equipment with more aesthetically pleasing architectural features, such as
landscaping and sloped-roof shade structures.
4. The increased pedestrian activity associated with the Project, particularly the activation of the
streetscape and outdoor spaces, will further contribute to the revitalization of the area,
consistent with the goals of the General Plan and CLUP.
Finding 4
Where the project is located in the Shoreline Height Limitation Zone, the project will not exceed
thirty-five (35) feet.
Facts in Support of Finding
1. The Project Site is within the Shoreline Height Limitation Zone, and will not exceed 35 feet
in height.
NBMC Section 21.30.060(C)(3) Findings
Finding 1
The project applicant is providing additional project amenities beyond those that are otherwise
required. Examples of project amenities include, but are not limited to:
i. Additional landscaped open space.
ii. Increased setback and open areas.
iii. Enhancement and protection of public views.
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Facts in Support of Finding
1. The renovation of the 2902 West Coast Highway building, which is independent of the
Project, reduces the overall square footage of the building by removing a section of the
existing building and incorporating a 405 square foot outdoor courtyard.
2. The Project, but for the one-foot three-inch height increase associated with the elevator
overrun, would be consistent with the applicable height limitations outlined in the NBMC.
The Project, even with the limited height increase, would be shorter than adjacent
development projects, including the buildings located directly across West Coast Highway
from the Project Site. Thus, the Project does not negatively impact any public views of
Newport Bay through construction of any obstructions. Moreover, the Project would
contribute new views of the Mariners’ Mile area and of Newport Bay by establishing a
second floor outdoor dining terrace.
Finding 2
The architectural design of the project provides visual interest through the use of light and
shadow, recessed planes, vertical elements, and varied roof planes.
Facts in Support of Finding
1. Project buildings incorporate different material and articulation to create contrast and a
pleasing visual aesthetic.
2. The design includes activation of the streetscape through the installation of outdoor trellises
and arched windows with views into the restaurant.
3. The Project would replace existing unsightly mechanical rooftop equipment with pitched
trellis structures and landscaping, creating a more pleasing visual aesthetic from area views
while not obstructing views of Newport Bay.
4. The Project’s architectural elements include trellises, plantings, large windows, and use of
varying materials that will promote a strong and inviting pedestrian orientation that will
contribute to the revitalization of the area.
5. The 2902 building incorporates different materials, including wood, stone, metal, and
plantings to create contrast and a pleasing visual aesthetic, consistent with surrounding
commercial uses and the Mariners’ Mile Design Guidelines.
Finding 3
The increased height will not result in undesirable or abrupt scale changes or relationships
being created between the proposed structure(s) and existing adjacent developments or public
spaces. Where appropriate, the proposed structure(s) provides a gradual transition to taller or
shorter structures on abutting properties.
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Facts in Support of Finding
1. The structures located immediately across West Coast Highway from the Project Site,
including 2901 and 2801 West Coast Highway are both three-stories, which is taller than the
maximum height of the Project (32 feet 3 inches) and the prevailing height of the Project (31
feet). Thus, the Project creates a pleasing visual transition in height away from Newport Bay
by reducing height compared with nearby structures.
2. The elevator overrun, which is to be constructed to 32 feet 3 inches, is only one foot and
three inches taller than the pitched bar roof and trellis structures located on the second floor
outdoor dining terrace. Because the elevator is setback from the building’s frontage along
West Coast Highway, it appears similar in scale to the permitted, 31-foot trellis and roof
structure which are located closer to West Coast Highway.
3. The Project’s outdoor dining terrace and elevator overrun would be largely obstructed by
other outdoor dining terrace and roof features. Likewise, the outdoor dining terrace and
rooftop will not diminish any significant views of the Newport Bay waterfront from nearby
public areas.
Finding 4
The structure will have no more floor area that could have been achieved without the approval
of the height increase.
Facts in Support of Finding
1. The 2902 building will have no greater floor area than could have been achieved without the
approval of the height increase. The 2902 building, as proposed to be renovated independent
of the Project, actually results in a reduction of approximately 1,026 square feet from the
existing building. Thus, with the Project, the building is actually substantially reducing the
overall square footage below existing, permitted levels.
NBMC Section 20.52.080(F) Findings
Finding 1
The proposed development is allowed within the subject zoning district.
Facts in Support of Finding
1. The Project’s proposed restaurant use is permitted in the MU-MM zoning district.
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Finding 2
The proposed development is in compliance with all of the applicable criteria in NBMC Section
20.52.080(C)(2)(c).
a. Compliance with this Section, the General Plan, this Zoning Code, any applicable
specific plan, and other applicable criteria and policies related to the use or
structure.
b. The efficient arrangement of structures on the site and the harmonious relationship of
the structures to one another and to other adjacent developments; and whether the
relationship is based on standards of good design.
c. The compatibility in terms of bulk, scale, and aesthetic treatment of structures on the
site and adjacent developments and public areas.
d. The adequacy, efficiency, and safety of pedestrian and vehicular access, including
drive aisles, driveways, and parking and loading spaces.
e. The adequacy and efficiency of landscaping and open space areas and the use of
water efficient plant and irrigation materials.
f. The protection of significant views from public right(s)-of-way and compliance with
Section 20.30.100 (Public View Protection).
Facts in Support of Finding
1. The Project is consistent with applicable zoning and the General Plan, both of which
designate the Project Site for visitor and neighborhood serving commercial uses. The Project
Site is not subject to an adopted Specific Plan or Planned Community.
2. The Project contributes to the creation of a corridor that reflects and takes advantage of its
location near the Newport Beach waterfront and exhibits a quality visual image for travelers
on West Coast Highway. (General Plan Goal LU 6.19.)
3. The Project facilities pedestrian connection and activity within Mariners’ Mile, including to
Newport Bay, consistent with the Mariner’s Mile Strategic Vision & Design Framework and
the General Plan.
4. The building’s FAR and building footprints comply with the NBMC’s provisions governing
non-conforming structures, and actually constitute a reduction in the permitted square
footage.
5. The Project’s outdoor dining area would be within the height limits established by the
NBMC and would not obstruct existing Newport Bay views from public parks or nearby
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residences. The outdoor dining area’s design elements would replace traditional rooftop
mechanical features with more aesthetically pleasing architectural elements.
6. The height, bulk, and scale of the 2902 West Coast Highway building and the Project’s
proposed outdoor terrace are comparable to the height limits on nearby properties within the
immediate Mariners’ Mile area, which includes multiple two and three story buildings such
as 3000 West Coast Highway (two stories), 2801 West Coast Highway (three stories), 2901
West Coast Highway (three stories), 3101 West Coast Highway (three stories), 3121 West
Coast Highway (six-plus stories), and 3333 West Coast Highway (five stories).
7. The Project’s outdoor dining terrace and architectural elements provide variation within The
Garden and immediately surrounding buildings.
8. The 2902 West Coast Highway building will incorporate different materials including wood,
stone, metal, and plantings to create contrast and a pleasing visual aesthetic, consistent with
the surrounding commercial uses in The Garden development. The outdoor dining terrace
likewise includes plantings and architectural elements consistent with The Garden.
9. The restaurant’s design elements and pedestrian orientation will enhance the Project’s
frontage of West Coast Highway, and will connect residents and visitors to The Garden
development, the Newport Bay waterfront, and the greater Mariners’ Mile area. This will
further facilitate vehicle independence and pedestrian use of nearby resources.
10. All parking areas, access points, and on-site circulation are designed to provide adequate
drive aisles and minimum vehicle turning areas to provide safe access for residents and
guests, emergency vehicles, and refuse collection vehicles.
11. The Project is subject to the City’s Water-Efficient Landscape requirements and compliance
will be confirmed at plan check prior to issuing building permits.
Finding 3
The proposed development is not detrimental to the harmonious and orderly growth of the City,
nor endangers, jeopardizes, or otherwise constitutes a hazard to the public convenience, health,
interest, safety, or general welfare of persons residing or working in the neighborhood of the
proposed development.
Facts in Support of Finding
1. The Project has been designed to ensure that no potential conflicts with surrounding land
uses would occur and to maintain a healthy environment for both businesses and area
residents by providing an architecturally pleasing Project with articulation and building
elements that enhance the urban environment.
2. The General Plan, zoning, and the CLUP envision the Mariners’ Mile area as developed with
residential and visitor serving commercial uses, including dining establishments. The Project
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would facilitate the creation of a village-environment (including at The Garden and the
greater Mariners’ Mile area) that is inviting to nearby residents and visitors alike.
3. The Project Site is served by drive aisles and parking that provide safe access for emergency
vehicles, delivery trucks, and refuse collection vehicles, as well as pedestrians.
4. All trash storage and pick-up will be consistent with the requirements of NBMC Section
20.30.120 (Solid Waste & Recyclable Materials Storage), ensuring compatibility with the on-
site and adjacent uses.
5. While the Project would generate new sources of light, the Project Site is currently developed
with existing uses that also generate light and is located in the heavily developed Mariners’
Mile corridor. Also, all exterior project lighting is required to comply with NBMC Section
20.30.070, which requires that all outdoor lighting fixtures be designed, aimed, located, and
maintained to shield adjacent properties from light spillage.
6. The Project does not introduce uses that would involve the use or manufacture of any
hazardous substances that could impact nearby commercial or residential development.
Conditional Use Permit for (1) Shared Parking, (2) Alcohol Sales Findings (NBMC Section
20.48.030), and (3) Food Service With Late Hours
To accommodate restaurant parking, the Project will (1) share parking with other, non-
competing uses at The Garden and (2) utilize off-site parking at 215 Riverside (for employees of
the Project). A conditional use permit is required to permit the joint use of parking spaces at The
Garden and the use of off-site parking spaces. The restaurant would include alcoholic beverage
sales, necessitating the approval of a conditional use permit, and late hours food service.
Finding 1
The use is consistent with the General Plan and any applicable specific plan.
Facts in Support of Finding
1. The Project is consistent with applicable zoning and the General Plan, both of which
designate the site, particularly the West Coast Highway frontage, for commercial uses. The
Project Site is not subject to an adopted Specific Plan or Planned Community.
2. The Project proposes a restaurant at 2902 West Coast Highway, which is permitted by the
MU-H1 designation and MU-MM zoning of the site.
3. The Project will contribute to the creation of a pedestrian-friendly commercial district,
accessible to area residents and visitors, which will promote access to the waterfront and
achieve the goals outlined by the Mariners’ Mile Strategic Vision and Design Plan for the
site area.
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4. The restaurant will serve upland residential neighborhoods, consistent with General Plan
Policy LU 6.19.4, by providing a restaurant space near the waterfront and other commercial
uses.
5. The Project contributes to the creation of a corridor that reflects and takes advantage of its
location near the Newport Beach waterfront by increasing pedestrian views of and access to
the waterfront, and exhibits a quality visual image for travelers on West Coast Highway.
(General Plan Goal LU 6.19.)
6. The Project would contribute to the revitalization of Mariners’ Mile by establishing a unique
restaurant with accessibility to other amenities of the area and an outdoor terrace allowing
patrons views of Newport Bay.
7. The Project will facilitate pedestrian connection and activity near the waterfront of Newport
Bay, consistent with the Mariner’s Mile Strategic Vision & Design Framework and the
General Plan. The Strategic Vision’s goal for Mariner’s Village area of the Mariners’ Mile
includes a more human-scale streetscape with inviting street furnishings, functional
sidewalks, and local-serving tenants such as upscale markets, cafes, and specialty retail uses.
A restaurant at this location helps to establish and improve upon a local-serving and visitor-
serving environment, enhancing the character of the area, and providing a complementary
commercial use as intended within the Mariner’s Village core.
8. The Project’s parking is conveniently located to serve the restaurant, with approximately 123
shared stalls available within The Garden commercial center.
9. All employees of The Garden, including the Project, will park off-site at 215 Riverside, thus
further reducing parking demand at The Garden and ensuring adequate parking to serve all
uses, including the Project.
Finding 2
The use is allowed within the applicable zoning district and complies with all other applicable
provisions of this Zoning Code and the Municipal Code.
Facts in Support of Finding
1. The use is allowed within the applicable zoning district, which permits development of
properties fronting on Coast Highway with freestanding commercial uses, including food
service uses with alcohol service.
Finding 3
The design, location, size, and operating characteristics of the use are compatible with the
allowed uses in the vicinity.
15
Facts in Support of Finding
1. The restaurant is compatible with the surrounding uses of the area, which include retail,
automobile sales, restaurants, and other commercial uses.
2. The Project will contribute to the revitalization of the area, particularly the creation of an
integrated commercial center – The Garden – located at West Coast Highway and Riverside
Avenue.
3. The CLUP envisions the Mariners’ Mile corridor as a series of distinct retail, mixed-use, and
visitor-serving centers. The Project contributes to achievement of this vision by providing a
restaurant that facilitates the creation of a pedestrian-oriented environment, as well as
providing new opportunities to experience coastal views.
4. The Project will provide parking adequate to serve the restaurant through shared parking and
non-conflicting peak hours with other uses in the surrounding commercial center, as well as
off-site parking.
5. The main point of access to the restaurant would be from West Coast Highway. However,
there are three additional points of ingress and egress to The Garden, including two along
Avon Street and two on Riverside Avenue. These access points are sufficient to provide safe
pedestrian and vehicular access to the Project.
6. As discussed above, the Project’s proposed outdoor terrace would not negatively impact
public or private views in the area.
7. The Mariner’s Mile Strategic Vision & Design Framework identifies the Project Site area as
to be developed with a human-scale streetscape with functional sidewalks and local-serving
tenants such as restaurants and retail uses. A restaurant at this location helps to establish and
improve the existing neighborhood-serving amenities in the area, thus enhancing the
character of the area.
Finding 4
The site is physically suitable in terms of design, location, shape, size, operating characteristics,
and the provision of public and emergency vehicle (e.g., fire and medical) access and public
services and utilities.
Facts in Support of Finding
1. The Project provides access for emergency and non-emergency vehicles as required by the
NBMC.
2. The restaurant is projected to have peak operating hours that will not compete with other
uses, including retail, existing or planned for The Garden. Thus, the parking and access
16
available at The Garden (and directly to the restaurant) will not create any conflicts with
existing or proposed uses.
3. Appropriate sight distance is provided at each driveway. The Project’s parking areas, access
points, and on-site circulation are designed to provide adequate drive aisles and minimum
vehicle turning areas to provide safe access for guests, emergency vehicles, and refuse
collection vehicles.
4. The Project complies with the applicable standards (including FAR and setbacks) of the
General Plan and NBMC, ensuring compatibility with adjacent development.
Finding 5
Operation of the use at the location proposed would not be detrimental to the harmonious and
orderly growth of the City, nor endanger, jeopardize, or otherwise constitute a hazard to the
public convenience, health, interest, safety, or general welfare of persons residing or working in
the neighborhood of the proposed use.
Facts in Support of Finding
1. The Project has been designed to ensure that potential conflicts with surrounding land uses
are minimized to the extent possible to maintain a healthy environment for both businesses
and residents by providing an architecturally pleasing project with articulation and building
elements that enhance the urban environment.
2. The Project’s buildings were designed to accommodate and provide safe access for
emergency vehicles, delivery trucks, and refuse collection vehicles, as well as patrons and
pedestrians.
3. The restaurant would introduce a new visitor and neighborhood-serving use into an area
(Mariners’ Mile) intended for revitalization through the establishment of a resident and
pedestrian-friendly environment close to jobs, commerce, entertainment, and recreation.
4. All exterior lighting is required to comply with NBMC Section 20.30.070, which requires
that all outdoor lighting fixtures be designed, aimed, located, and maintained to shield
adjacent properties from light spillage.
5. Mariners’ Mile is intended to be a regional commercial, neighborhood- and visitor-serving
destination. The restaurant, including its alcoholic beverage sales, is a commercial use
intended to serve visitors, residents, and employees of the broader Mariners’ Mile and,
therefore, is consistent with the General Plan, zoning, and the CLUP.
6. The proposed outdoor dining terrace, and associated architectural elements, promote a more
human-scale streetscape by engaging patrons with the West Coast Highway frontage and
nearby public places, and contributes to a more functional, pedestrian oriented sidewalk
along West Coast Highway.
17
7. The Project will have a positive impact on the overall economic health of the community and
may promote further revitalization of the other commercial properties within the Mariners’
Mile area.
Finding 6
The use is consistent with the purpose and intent of Zoning Code Section 20.48.030 (Alcohol
Sales).
i. The crime rate in the reporting district and adjacent reporting districts as compared to
other areas in the City.
ii. The numbers of alcohol-related calls for service, crimes, or arrests in the reporting
district and in adjacent reporting districts.
iii. The proximity of the establishment to residential zoning districts, day care centers,
hospitals, park and recreation facilities, places of worship, schools, other similar uses,
and any uses that attract minors.
iv. The proximity to other establishments selling alcoholic beverages for either off-site or
on-site consumption.
v. Whether or not the proposed amendment will resolve any current objectionable
conditions.
Facts in Support of Finding
1. The Project is within Reporting District 25, which has a higher crime rate than the citywide
average. However, the higher crime rate is attributable to the high number of visitors to
Mariners’ Mile, as opposed to other areas of the City, and the high ratio of non-residential to
residential uses. The Project would introduce a use that is consistent with those existing in
the Mariners’ Mile area (restaurants and other commercial uses), and would operate
consistent with the requirements of the CUP, as well as the Operator License, as approved by
the Chief of Police, and any conditions contained therein. Moreover, the restaurant is
proposed as a fine dining establishment.
2. The restaurant includes lighting consistent with NBMC, which will deter crime activities in
the area. Likewise, the Project is a component of a larger commercial center – The Garden –
which is also illuminated consistent with applicable standards.
3. The Project will enhance the pedestrian experience within the area and along the street as a
result of new landscaping and the restaurant design, e.g., architectural windows facing the
street, that will serve as a further deterrent to crime in the area.
18
4. The Project’s proposed alcohol sales is accessory to, and consistent with, the restaurant use.
The floor plan, hours of operation, and operational characteristics of the proposed restaurant,
including alcoholic beverages sales, are typical of restaurants operating in destination areas
of the City.
5. The subject property is located in a mixed-use district that permits residential development.
However, the restaurant is located within an already-developed parcel as a component of a
larger commercial center. The areas immediately surrounding the property along West Coast
Highway are likewise developed with commercial uses.
6. The nearest sensitive uses include the park and residences located on Cliff Drive, more than
300 feet from the restaurant. There are intervening structures and uses that buffer the park
and residences from the Project.
7. Mariners’ Mile is generally characterized by a high number of visitors, both from inside the
Newport Beach community and outside, and restaurants with alcohol service are anticipated
amenities within the Mariners’ Mile.
8. There are other food and alcohol service establishments within the vicinity of the Project.
However, that is expected within the Mariners’ Mile, which is intended for the establishment
of visitor-serving restaurant uses, among other things. Mariners’ Mile is a popular tourist
and resident destination, and the Project will contribute to the creation of a “village”
environment that further revitalizes the area.
9. There are currently no objectionable conditions at the Project Site that need to be resolved.
10. The service of alcohol is intended for the convenience of customers dining at the restaurant.
Operational conditions of approval relative to the sale of alcoholic beverages will help ensure
compatibility with surrounding uses and minimize alcohol related impacts.
11. The restaurant use is located within a developed commercial center – The Garden – and area
– Mariners’ Mile – designated and zoned to include such development. The General Plan
and zoning permit eating and drinking establishments, and recognize Mariners’ Mile as a
resident and visitor destination with uses intended to serve those patrons.
12. The restaurant is located in a highly-traveled commercial area that is occupied by a mixture
of office, retail, and general commercial uses. It is anticipated that the Project will serve
visitors, residents, and employees of nearby offices businesses within the Mariners’ Mile and
surrounding areas. Adding alcohol service to the menu will complement the food service and
provide for the convenience of customers.
Late Hours Operation (NBMC § 20.48.090(F)(3)(a)
The restaurant, which would serve both food and alcohol, is proposed to open at 10:00
AM Monday-Thursday, and 9:00 AM Friday-Sunday, and will provide continual food service
(breakfast, lunch, dinner, after-dinner) until closing. Service hours are expected to continue past
19
11:00 PM. Therefore, due to the late hours of operation (after 11:00 PM) and because the
restaurant will include alcoholic beverage sales, an Operator License must be approved by the
City’s Chief of Police, as required by NBMC Chapter 5.25. Additionally, when considering a
permit to allow restaurant eating and drinking establishments to operate with late hours, the
review authority must consider potential impacts on adjacent or nearby uses
Finding 1
The review authority shall consider the following potential impacts upon adjacent or nearby
uses:
i. Noise from music, dancing, and voices associated with allowed indoor or outdoor uses
and activities.
ii. High levels of lighting and illumination.
iii. Increased pedestrian and vehicular traffic activity during late night and early morning
hours.
iv. Occupancy loads of the use.
v. Any other factors that may affect adjacent or nearby uses.
Facts in Support of Finding
1. The restaurant, which would serve both food and alcohol, is proposed to open at 10:00 AM
Monday-Thursday, and 9:00 AM Friday-Sunday, and will provide continual food service
(breakfast, lunch, dinner, after-dinner) until closing. Service hours are expected to continue
past 11:00 PM. Therefore, due to the late hours of operation (after 11:00 PM), approval of an
Operator License by the Newport Beach Police Department will be required. An Operator
License required pursuant to NBMC Chapter 5.25 may be subject to additional and/or more
restrictive conditions to regulate and control potential nuisances associated with the operation
of the restaurant, at the discretion of the City’s Police Chief. The Operator License will help
ensure compatibility of the proposed business with the surrounding uses in the vicinity.
2. All lighting at the Project Site will comply with the standards of the NBMC. The nearest
residences are located more than 400 feet from the edge of the outdoor terrace, which will be
a source of light. However, the significant distance between the terrace and residences, and
compliance with all lighting requirements, will ensure that lighting will not impact those
residences. Also, the Project Site fronts on West Coast Highway, a major thoroughfare in the
City, and a source of substantial ambient light. The Project’s lighting will not markedly
increase ambient light in the vicinity.
3. Mariners’ Mile is a well-established commercial area. The Project would introduce a new
restaurant consistent with the goals of the General Plan and zoning for Mariners’ Mile,
particularly establishing a pedestrian friendly environment that facilitates access and use of
20
Newport Bay. The Project would not substantially increase vehicular traffic to the area or
create traffic that would be inconsistent with the goals of Mariners’ Mile. All of the nearest
sensitive uses, particularly the residences along Cliff Drive, are separated from Mariners’
Mile and its circulation system by bluffs and other natural features. Also, there are multiple
major points of ingress and egress from the Project Site and Mariners’ Mile, including Coast
Highway and Newport Boulevard. With such access, it is not anticipated that patrons of the
restaurant would travel through residential neighborhoods, including during late night or
early morning hours. As such, traffic from the restaurant will not impact sensitive receptors.
4. No live entertainment, dancing, or other significant source of noise is proposed with the
Project, either inside or outside.
320501582.5
Secretary of State
Statement of Information
(Limited Liability Company) 47
IMPORTANT-Read instructions before completing this form.
Filing Fee • $20.00
Copy Fees -Face Page $1.00 & .50 for each attachment page;
Certification Fee -$5.00
LLC-12 FILED
Secretaf'Y of Sta~e
State of Catifom1a
OCT \ 7 20\6
This Space For Office Use Only
3. State or Place of Organization (only if formed outside of California)
4. Busln8S8 Actdresses
a. Street Addres, of Principal Off1ce -Do not list a P.O. Box City (no abbreviabons) State Zip C:oda
2220 Uni•:ersity Drive Newport Beach CA 92660
b. Malling Address of LLC, If different than Item 4a City (l'\O abbreviations) State Zip Code
c. Street Address of C.llfornla Office, if Item 4a Is not In Calltoma • Do not list a P.O. Box City (no abbreviations) Stat11 Zip Code
CA
5. Manager(s) or Member(s)
If no managers have been appOinted or elected, provide the nam& and address of each member. At least one name !!llt address
must be listod. If the manager/member is an individual. complete Items 5a and 5c (teave Item 51> 1>1ank). If the manager/member is an
entity, complete Items Sb and 5c Oeave Item 5a blank). Note: The LLC cannot sel'Ve as its own manager or member. If Iha LLC has
additional managers/members, enter the name(s) eind addresses en Form LLC-12A (see Instructions).
a. F!nil. Name, If an Individual -Do not complete Item 5b ! Middle Name ! LastName I sumx
b. Entity Name • Do not complete Item 5a
. Gary Jabara ~
c. Address , . , .. .... ,a _, -. . . ·I City (l'\O abbrevfallons) " ' . . . I State I Zip Code . ' 2220 University Drive· -· Newport Beach CA 92660
6. Agent for Service of
Process
Item &a and 6b: If the agent is an Individual, the agent mu$! reside in California and Item 6a and 6b must be (X)mpleted with the
agent's name and California address. Item 6c: If the agent is a California Regislered Corporafa Agent, a current agent registration
certificate must be on file with the California Secrete of State and Imm 6c must ba com leted leave Item 6a-6b blank .
a. California Agenra First Name (if agent is net a corporation) Middle Name
b. Street Address (If agi,nt is not a ccrporatiQo) -Do not HIit a P.O. Box City (no abbreviations)
c. California Registered Corporate Agent's Name (If agent la a ~oration) -Do not complete item 6a or 6b
Corporation Service Company IJ.J\1oeh wfhdo b6{rQz:6 fn 'ttbvn,'"a..
7. Type of Business
a. Describe the type of business or HNlcea of the Limited Liability Company
Real estate holding company
8. Chief Executive Officer, If elected or appolnte!I
a. Fir,t Name Middle Name
Last Name Suffi~
Last Name Suffix
b. Address City (no abbreviations) Zip Code
9. The Information contained herein, Including any attachments, Is true and correct
8}00 } J {p Gary Jabara _M_a_n_ag_er __ _
Date Type or Print Name of Person Completing the FolTTI TIUe
Return Address (Optional) (For communication from the Secretary of State related to this docu·ment,-or if purchasing a copy of the filed oc
' person or company and the mailing address. This informetion will become public when filed. SEE INSTRUCTION'S BEFO
Name: f . . 1
Company:
Address:
City/State/Zip: L J
LLC-12 (REV 0712016)
CAOBI -7/26120l6 Woltm Kluwer Online
2016 Caifomia Seaetary of State
www.sos.ca.gov/business/be
Page 1
Rev. NAT 8/15/15 Order No. 92002-1581896-18
3090 Bristol Street, Suite 190
Costa Mesa, California 92626
Office Phone: (949)419-9400
Office Fax:
Email: titleteam@nat.com
Key Escrow Your Ref:
450 Newport Center Drive, Suite 150 Our Order No.: 1581896
Newport Beach, CA 92660-7621 Property Address: 2902 West Coast Highway,
Newport Beach, California
Attention: Brandi Rivera
______________________________________________________________________________
Preliminary Report Dated as of July 17, 2018 at 7:30 A.M.
In response to the above referenced application for a Policy of Title Insurance,
First American Title Insurance Company
Hereby reports that it is prepared to issue, or cause to be issued, as of the date hereof, a Policy or Policies of
Title Insurance describing the land and the estate or interest therein hereinafter set forth, insuring against loss
which may be sustained by reason of any defect, lien or encumbrance not shown or referred to as an Exception
below or not excluded from coverage pursuant to the printed Schedules, Conditions and Stipulations of said Policy
forms.
The printed Exceptions and Exclusions from the coverage and limitations on covered risks of said Policy or Policies
are set forth in Exhibit A attached. The Policy to be issued may contain an Arbitration Clause. When the amount
of insurance is less than that set forth in the Arbitration Clause, all arbitrable matters shall be arbitrated at the
option of either the Company or the Insured as the exclusive remedy of the Parties. Limitations on covered risks
applicable to the CLTA and ALTA Homeowner's Policies of Title Insurance which establish a deductible amount
and a maximum dollar limit of liability for certain coverages are also set forth in Exhibit A. Copies of the Policy
forms should be read. They are available from the office which issued this report.
Please read the exceptions shown or referred to below and the exceptions and exclusions set
forth in Exhibit A of this report carefully. The exceptions and exclusions are meant to provide you
with notice of matters which are not covered under the terms of the title insurance policy and
should be carefully considered.
It is important to note that this preliminary report is not a written representation as to the
condition of title and may not list all liens, defects, and encumbrances affecting title to the land.
This report (and any supplements or amendments hereto) is issued solely for the purpose of facilitating the
issuance of a policy of title insurance and no liability is assumed hereby. If it is desired that liability be assumed
prior to the issuance of a policy of title insurance, a Binder or Commitment should be requested.
The form of Policy of title insurance contemplated by this report is: ALTA Standard Owner Policy
Please note that the America First Homeowner's Policy (CLTA/ ALTA Homeowner's Policy) can only be issued on transactions
involving individuals as purchasers and residential 1-4 properties. Any indication that the America First Homeowner's Policy
(CLTA/ ALTA Homeowner's Policy) will be issued in a transaction that does n ot meet these criteria is hereby revised to state
that the policy contemplated is a Standard Coverage Policy.
David Neal, Title Officer
Page 2
Rev. NAT 8/15/15 Order No. 92002-1581896-18
SCHEDULE A
1. The estate or interest in the land hereinafter described or referred to covered by this report is:
A fee as to Parcel(s) 1, an easement as to Parcel(s) 2.
2. Title to said estate or interest at the date hereof is vested in:
THE GARDEN M2, LLC, A CALIFORNIA LIMITED LIABILITY COMPANY
3. The Land referred to in this report is situated in the City of Newport Beach State of California, County
of Orange, and is described as follows:
See attached Legal Description
Page 3
Rev. NAT 8/15/15 Order No. 92002-1581896-18
LEGAL DESCRIPTION
Real property in the City of Newport Beach, County of Orange, State of California, described as follows:
PARCEL 1:
THE SOUTHWESTERLY 280.53 FEET OF THE NORTHWESTERLY 50 FEET (SAID 50 FEET BEING
MEASURED ALONG STATE HIGHWAY) OF THAT PORTION OF LOT F OF TRACT NO. 919, AS PER MAP
RECORDED IN BOOK 29, PAGES 31 TO 34 INCLUSIVE, OF MISCELLANEOUS MAPS, IN THE OFFICE OF
THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS:
BEGINNING AT A POINT ON THE SOUTHWESTERLY LINE OF SAID LOT AT THE MOST WESTERLY
CORNER OF THAT PORTION OF SAID LOT CONVEYED TO M. M. GALBRETH BY DEED RECORDED JUNE
23, 1937 IN BOOK 290, PAGE 281 OF OFFICIAL RECORDS, SAID POINT BEING IN A LINE WHICH IS
PARALLEL WITH AND 110 FEET NORTHWESTERLY, MEASURED AT RIGHT ANGLES, FROM TH E
SOUTHEASTERLY LINE OF SAID LOT; THENCE FROM SAID POINT OF BEGINNING NORTH 28 DEG. 59'
30" EAST ALONG SAID PARALLEL LINE TO AN INTERSECTION WITH THE NORTHEASTERLY LINE OF
SAID LOT; THENCE NORTHWESTERLY ALONG SAID NORTHEASTERLY LINE OF SAID LOT, 94.35 FEET
TO THE MOST EASTERLY CORNER OF THAT PORTION OF SAID LOT CONVEYED TO J. H. GORDEN AND
WIFE BY DEED RECORDED AUGUST 16, 1939 IN BOOK 1011, PAGE 61 OF OFFICIAL RECORDS; THENCE
SOUTH 28 DEG. 59' 30" WEST ALONG THE SOUTHEASTERLY LINE OF SAID PORTION OF SAID LOT
CONVEYED BY SAID LAST MENTIONED DEED TO AN INTERSECTION WITH THE SOUTHWESTERLY LINE
OF SAID LOT, AND THENCE SOUTH 61 DEG. 00' 30" EAST ALONG SAID LAST MENTIONED LINE OF SAID
LOT, 94.15 FEET TO THE POINT OF BEGINNING.
PARCEL 2:
AN EASEMENT FOR INGRESS AND EGRESS OVER, ON AND ACROSS THE FOLLOWING DESCRIBED REAL
PROPERTY, DESCRIBED AS FOLLOWS:
THAT PORTION OF LOT F, OF TRACT NO. 919, DESCRIBED AS FOLLOWS: SHOWN ON A MAP
RECORDED IN BOOK 29, PAGES 31 TO 34 INCLUSIVE, OF MISCELLANEOUS MAPS, RECORDS OF
ORANGE COUNTY, CALIFORNIA:
BEGINNING AT A POINT IN THE SOUTHEASTERLY LINE OF SAID LOT "F", DISTANT THEREFROM 130
FEET NORTHEASTERLY FROM THE NORTHERLY LINE OF THE STATE HIGHWAY, AS GRANTED TO THE
STATE OF CALIFORNIA BY DEED RECORDED JULY 12, 1929, IN BOOK 311, PAGE 170 OF OFFICIAL
RECORDS IN THE OFFICE OF THE COUNTY RECORDER OF SAID ORANGE COUNTY, AND RUNNING
THENCE NORTH 61 DEG. 00' 30" WEST 154.15 FEET TO THE SOUTHEASTERLY LINE OF THE LAND
DESCRIBED IN THE DEED FROM W. T. JEFFERSON TO ANDRE J. DUROCHER AND WIFE, DATED APRIL
18, 1945, RECORDED JULY 2, 1945 IN BOOK 1321, PAGE 17 OF OFFICIAL RECORDS OF ORANGE
COUNTY, CALIFORNIA; THENCE NORTH 28 DEG. 59' 30" EAST ALONG SAID SOUTHEASTERLY LINE, 30
FEET; THENCE SOUTH 61 DEG. 00' 30" EAST 154.15 FEET TO THE SOUTHEASTERLY LINE OF SAID LOT
"F"; THENCE SOUTH 28 DEG. 59' 30" WEST 30 FEET ALONG THE SOUTHEASTERLY LINE OF SAID LOT
"F", TO THE POINT OF BEGINNING.
APN: 049-110-19
Page 4
Rev. NAT 8/15/15 Order No. 92002-1581896-18
SCHEDULE B
At the date hereof exceptions to coverage in addition to the printed exceptions and exclusions in the policy form
designated on the face page of this report would be as follows:
1. General and special taxes and assessments for the fiscal year 2018-2019, a lien not yet due or
payable.
2. Taxes for proration purposes only for the fiscal year 2017-2018.
First Installment: $30,067.78, PAID
Second Installment: $30,067.78, PAID
Tax Rate Area: 07-001
APN: 049-110-19
3. Supplemental taxes for the year 2017-2018 assessed pursuant to Chapter 3.5 commencing with
Section 75 of the California Revenue and Taxation Code.
First Installment: $15,689.55, PAIDWPEN
Penalty: $1,568.95
Second Installment: $15,689.56, PAID
Penalty: $1,591.95
Tax Rate Area: 07-001
A. P. No.: 049-110-19.0100
4. The lien of an assessment or assessments made under the 1915 Bond Act, which assessment(s) are
collected with the ad valorem real property taxes.
5. The lien of supplemental taxes, if any, assessed pursuant to Chapter 3.5 commencing with Section 75
of the California Revenue and Taxation Code.
6. Water rights, claims or title to water, whether or not shown by the public records.
7. The terms and provisions contained in the document entitled Declaration of Establishing Access and
Parking Easements, executed by and between Riverpoint Properties, LTD., a General Partnership and
John P. Hooten and Janet D. Hooten, husband and wife, recorded January 29, 1980, in Book 13484,
Page 726 of Official Records.
8. We find no open deeds of trust, and will require the Open Loans Affidavit form to be submitted for
review prior to close.
9. Any facts, rights, interests, or claims which are not shown by the public records but which could be
ascertained by an inspection of said land or by making inquiry of persons in possession thereof.
10. Any rights, interests, or claims of parties in possession of the land not shown by the public records.
Page 5
Rev. NAT 8/15/15 Order No. 92002-1581896-18
11. With respect to The Garden M2, LLC, a California limited liability company:
a. A copy of its operating agreement and any amendments thereto;
b. If it is a California limited liability company, that a certified copy of its articles of organization (LLC-
1) and any certificate of correction (LLC-11), certificate of amendment (LLC-2), or restatement of
articles of organization (LLC-10) be recorded in the public records;
c. If it is a foreign limited liability company, that a certified copy of its application for registration
(LLC-5) be recorded in the public records;
d. With respect to any deed, deed of trust, lease, subordination agreement or other document or
instrument executed by such limited liability company and presented for recordation by the Company
or upon which the Company is asked to rely, that such document or instrument be executed in
accordance with one of the following, as appropriate:
(i) If the limited liability company properly operates through officers appointed or elected pursuant to
the terms of a written operating agreement, such document must be executed by at least two duly
elected or appointed officers, as follows: the chairman of the board, the president or any vice
president, and any secretary, assistant secretary, the chief financial officer or any assistant treasurer;
(ii) If the limited liability company properly operates through a manager or managers identified in the
articles of organization and/or duly elected pursuant to the terms of a written operating agreement,
such document must be executed by at least two such managers or by one manager if the limited
liability company properly operates with the existence of only one manager.
e. Other requirements which the Company may impose following its review of the material required
herein and other information which the Company may require
12. Unrecorded matters which may be disclosed by an Owner's Affidavit or Declaration. A form of the
Owner's Affidavit/Declaration is attached to this Preliminary Report/Commitment. This
Affidavit/Declaration is to be completed by the record owner of the land and submitted for review
prior to the closing of this transaction. Your prompt attention to this requirement will help avoid
delays in the closing of this transaction. Thank you.
The Company reserves the right to add additional items or make further requirements after review of
the requested Affidavit/Declaration.
********** END OF REPORT **********
Page 6
Rev. NAT 8/15/15 Order No. 92002-1581896-18
_____________________________________________________________________________________
* * * * * N O T E S * * * * *
_____________________________________________________________________________________
1. NOTICE OF RECORDING PROCEDURE
Pursuant to Cal. Revenue & Tax Code §480.3, all Deeds and other Documents that reflect a change in
ownership must be accompanied by a Preliminary Change of Ownership Report to be completed by
the transferee. If this special report is not presented at the time of recording, an additional recording
fee of $20.00, as required by law, will be charged. Preliminary Change in Ownership forms,
instructions on how to complete them, and a nonexclusive list of documents that are affected by this
change, are available from the County Recorder's Office or the Office of the County Assessor.
Effective January 1, 2018, Cal. Government Code §27388.1 imposes an additional fee of $75.00 to be
paid at the time of recording for every real estate instrument, paper, or notice required or permitted
by law to record, except those expressly exempted from payment.
2. GOOD FUNDS LAW
Under Section 12413.1 of the California Insurance Code, North American Title Company, Inc. may
only make funds available for disbursement in accordance with the following rules:
Same day availability. Disbursement on the date of deposit is allowed only when funds are deposited
to North American Title Company, Inc. by Cash or Electronic Transfer (Wire). Cash will be accepted
only under special circumstances and upon approval by management.
Next business day availability. If funds are deposited to North American Title Company, Inc. by
cashier's checks, certified checks or teller's checks, disbursement may be on the next business day
following deposit. A “teller's check” is one drawn by an insured financial institution against another
insured financial institution (e.g., a savings and loan funding with a check drawn against a FDIC
insured bank).
Second business day availability. If the deposit is made by checks other than those described in
paragraphs 1 and 2 above, disbursement may occur on the day when funds must be made available
to depositors under Federal Reserve Regulation CC. In most cases, these checks will be available on
the second business day following deposit. (For further details, consult California Insurance Code
Section 12413, et seq. and Regulation CC).
These are the minimum periods before funds will be made available. North American Title Company,
Inc. is not obligated to disburse funds at the expiration of the time periods above, and expressly
reserves the right to require additional time before disbursing on deposited funds. Close of escrow
and final disbursement will not be made based on deposits in the form of personal checks, corporate
checks, credit union checks, money market checks, travelers checks and official checks until
confirmation of final clearance of the funds.
North American Title Company, Inc. will not be responsible for accruals of interest or other charges
resulting from compliance with the disbursement restrictions imposed by state law.
3. North American Title Company, Inc.'s charges for recording the transaction documents include
charges for services performed by North American Title Company, Inc., in addition to an estimate of
payments to be made to governmental agencies.
4. Note: The policy to be issued may contain an arbitration clause. When the Amount of Insurance is
less than the certain dollar amount set forth in any applicable arbitration clause, all arbitrable matters
Page 7
Rev. NAT 8/15/15 Order No. 92002-1581896-18
shall be arbitrated at the option of either the Company or the Insured as the exclusive remedy of the
parties. If you desire to review the terms of the policy, including any arbitration clause that may be
included, contact the office that issued this Commitment or Report to obtain a sample of the policy
jacket for the policy that is to be issued in connection with your transaction.
5. The map attached, if any, may or may not be a survey of the land depicted hereon. North American
Title Company, Inc. expressly disclaims any liability for loss or damage which may result from
reliance on this map except to the extent coverage for such loss or damage is expressly provided by
the terms and provisions of the title insurance policy, if any, to which this map is attached.
Page 8
Rev. NAT 8/15/15 Order No. 92002-1581896-18
File Number: 92002-1581896-18
OWNER'S DECLARATION
The undersigned Owner(s) of legal age, being duly sworn, deposes and states under penalty of perjury under
the laws of the State of California.
1. That certain real property (the"Property") as described in that certain Commitment of Title
Insurance/Preliminary Report No. 92002-1581896-18 dated as of July 17, 2018 ("Commitment/Report")
issued by or on behalf of North American Title Company, Inc. ("North American Title Company, Inc.") is
improved by the following (check all that apply)
☐ Single family residences ☐ One-to-four family residences
☐ Apartment building ☐ Office building
☐ Commercial building ☐ Combination office/commercial building
☐ Industrial building ☐ Vacant Land
☐ Other: _____________________
2. WORK OF IMPROVEMENT: Please respond to A, B and C below:
A. For the period of 90-days prior to the date of this Affidavit, no repairs or work of improvement
has been conducted on, nor any materials supplied to, the Property except as follows:
___________________________________________________________________________
___________________________________________________________________________
____________________________________________________________________________
(Enter "None" if such is true.)
If you have described any work of improvement above, please complete the following:
☐ Started on __________________, 20_____.
☐ Completed on _______________, 20_____.
☐ Will be completed on _____________________, 20_____.
B. Cessation of Labor (Please place an "X" by 1 or 2 below):
☐ 1. There has been a cessation of labor where a work of Improvement was discontinued before
completion within 150 days of the date of this Affidavit.
PLEASE DESCRIBE THE NATURE OF THE WORK THAT DISCONTINUED:
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
☐ 2. There has not been a cessation of labor where a work of improvement was discontinued before
completion within 150 days of the date of this Affidavit.
Page 9
Rev. NAT 8/15/15 Order No. 92002-1581896-18
C. There are no unpaid bills for labor or material because of any improvements made to the
Property except:
____________________________________________________________________
____________________________________________________________________
____________________________________________________________________
(Enter "None" if such is true.)
3. No one is in possession of, or has any right to possession of, the Property except:
☐ Declarant as owner.
☐ Tenants based only on month-to-month rental agreements.
☐ Tenants based upon existing leases as listed on the Rent Roll attached hereto as
Exhibit A and incorporated herein by reference.
☐ Other:___________________________________________________
4. No person(s) or entitles, have (i) any options to purchase or rights of first refusal, including but not limited to
lessees under any leases referred to in Paragraph 3 above, and/or (ii) easements, licenses, agreements or
other rights allowing them to use, encroach on, or access to the Property except (i) as shown in the
Commitment/Report, and (ii)
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
(Enter "None" if such is true.)
5. Those certain lease(s) shown as exception number(s) __________ in the Commitment/Report have either:
(a) expired by their own terms, or (b) if they have not expired, the lessee(s) have vacated the Property and
Declarant has been notified of the vacation of the Property either by correspondence from the lessee or by
physical inspection of the property.
6. To the best of Declarant's knowledge, there are no unrecorded real property taxes or assessments against
the Property.
The undersigned is not aware of any release reports or commitment statements which have been issued
pertaining to any environmental issues or liens.
7. This Affidavit is given for the purpose of inducing North American Title Company, Inc. and its agents to issue
policy(ies) of title insurance which may provide coverage with respect to all matters set forth herein. If
North American Title Company, Inc. elects, in its discretion, to (a) accept this Affidavit, and (b) issue title
insurance policy(ies) to third parties, North American Title Company, Inc. will do so in material reliance on
this Affidavit and the representation and covenants in this Affidavit.
8. Declarant acknowledges that he/she has read this Affidavit, that all the statements made in this
Affidavit are true and correct of his/her own actual knowledge, and fully understands the legal
aspects of any misrepresentations or untrue statements made in this Affidavit. Declarant, both
personally and on behalf of Owner, covenants and agrees to defend, indemnify, and hold North
American Title Company, Inc. harmless from and against any and all claims, actions, suits
(including arbitration), liabilities, losses, damages, costs, charges, attorney's fees and other
expenses of every nature and character as a result of its reliance on this Affidavit.
Page 10
Rev. NAT 8/15/15 Order No. 92002-1581896-18
Executed on __________________, 20______, at ___________________________, _____________________
(City) (State)
"Declarant"
_________________________________________________
Owner
__________________________________________________
Owner
A notary public or other officer completing this
certificate verifies only the identity of the
individual who signed the document to which this
certificate is attached, and not the truthfulness,
accuracy, or validity of that document.
State of __________________________________
County of _________________________________
Subscribed and sworn to (or affirmed) before me on this ______________________ day of
___________________, 20____, by _________________________________________, proved to me on
the basis of satisfactory evidence to be the person(s) who appeared before me.
(seal) Signature __________________________________
Page 11
Rev. NAT 8/15/15 Order No. 92002-1581896-18
OPEN LOANS AFFIDAVIT
Order Number: 92002-1581896-18 Escrow Number: 92002-1581896-18
__________________________________________________________ of legal age, hereby declares and
swears, under penalty of perjury that the following information, declarations, representations and answers are
true, correct and complete:
1. I am the current owner of the property in this transaction which has an address of:
2902 West Coast Highway, Newport Beach, CA
2. That the following is a complete and comprehensive list of all open loans taken out against said land:
(If no open loans, please write NONE on the 1st Current Lender Line and initial).
1.) Current Lender: ____________________ Loan Balance $_____________
Original Lender: ____________________ Original Loan Amount: $_____________
Are you in default of this Loan: ☐
YES ☐
NO IF YES, how long ( ) MONTHS
2.) Current Lender: ____________________ Loan Balance $_____________
Original Lender: ____________________ Original Loan Amount: $_____________
Are you in default of this Loan: ☐
YES ☐
NO IF YES, how long ( ) MONTHS
3.) Current Lender: ____________________ Loan Balance $_____________
Original Lender: ____________________ Original Loan Amount: $_____________
Are you in default of this Loan: ☐
YES ☐
NO IF YES, how long ( ) MONTHS
4.) Current Lender: ____________________ Loan Balance $_____________
Original Lender: ____________________ Original Loan Amount: $_____________
Are you in default of this Loan: ☐
YES ☐
NO IF YES, how long ( ) MONTHS
3. I understand and acknowledge that this Affidavit is made for the protection and benefit of North American Title Company
and for all other parties hereafter dealing with or who may acquire an interest in said Property and for the purpose of inducing
North American Title Company (including its affiliates and underwriters) to insure title to said Property. I am fully aware a nd
know that North American Title Company will rely on this Affidavit and would not insure title without it. We also hereby ag ree
to indemnify and hold North American Title Company harmless and to become fully financially responsible for any loss that
may occur to North American Title Company or any other parties if any of the information, declarations, representations and
answers turn out to not be true, correct and/or complete, whether by accidental omission or actual deceit and/or fraud.
Dated: ________________
BY: _________________________ BY: _________________________
Page 12
Rev. NAT 8/15/15 Order No. 92002-1581896-18
NORTH AMERICAN TITLE COMPANY
3090 Bristol Street, Suite 190 , Costa Mesa, CA 92626
(949)419-9400 Fax: Email: titleteam@nat.com
Closing Protection Letters can be ordered directly by emailing cacpl@nat.com
with your title order number and property address.
Attention:
Your Ref:
Our Order No.: 92002-1581896-18
LENDERS SUPPLEMENTAL REPORT
Dated as of July 17, 2018 AT 7:30 A.M.
Title Officer: David Neal
The above numbered report (including any supplements or amendments thereto) is hereby modified and/or
supplemented in order to reflect the following additional items relating to the issuance of an American Land
Title Association loan form policy of Title Insurance:
Our ALTA Loan Policy, when issued, will contain Endorsement Nos. 100 and 116.
There is located on said land a Commercial /Commercial
Known as: 2902 West Coast Highway
City of Newport Beach
County of Orange
State of California.
According to the public records, there has been no conveyance of the land within a period of twenty-four months
prior to the date of this report, except as follows:
A document recorded September 1, 2016 as Instrument No. 2016000421159 of Official Records.
From: WB II Properties, a California partnership
To: The Garden M2, LLC, a California limited liability company
Page 13
Rev. NAT 8/15/15 Order No. 92002-1581896-18
Privacy Policy Rev. 05/22/2018
North American Title Group Family of Companies
FACTS WHAT DOES NORTH AMERICAN TITLE GROUP, LLC FAMILY OF COMPANIES DO WITH YOUR
PERSONAL INFORMATION?
Why? Financial companies choose how they share your personal information. Federal law gives
consumers the right to limit some, but not all, sharing. Federal law also requires us to tell you
how we collect, share, and protect your personal information. Please read this notice carefully
to understand what we do.
What? The types of personal information we collect and share depend on the product or service you
have with us. This information can include:
Social Security number and income
Transaction history and payment history
Purchase history and account balances
How? All financial companies need to share customers’ personal information to run their everyday
business. In the section below, we list the reasons financial companies can share their
customers’ personal information, the reasons North American Title Group, LLC Family of
Companies (“NATG”) chooses to share, and whether you can limit this sharing.
Reasons we can share your personal information Does NATG
share?
Can you limit
this sharing?
For our everyday business purposes
Such as to process your transactions, maintain your account(s), respond to
court orders and legal investigations, or report to credit bureaus
Yes No
For our marketing purposes
To offer our products and services to you
Yes No
For joint marketing with other financial companies No We don’t share
For our affiliates’ everyday business purposes
Information about your transactions and experiences
Yes No
For our affiliates’ everyday business purposes
Information about your creditworthiness
No We don’t share
For our affiliates to market to you Yes Yes
For nonaffiliates to market to you No We don’t share
To limit our sharing Visit the following webpage for full instructions and a link to the Opt Out
process via our NATTRACK system: www.nat.com/Opt-Out OR
Mail the form below
Please note:
If you are a new customer, we can begin sharing your information 30 days from the
date we sent this notice. When you are no longer our customer, we continue to share
your information as described in this notice.
However, you can contact us at any time to limit our sharing.
Questions? Call 1 (844) 654-5408
-----------------------------------------------------------------------------------------------------------------------------------------------------
Mail-in Form
If you have a joint
account, your
choice(s) will apply to
everyone on your
account unless you
mark below.
Apply my choices
only to me.
Mark any/all you want to limit:
Do not allow your affiliates to use my personal information to market to me.
Name
Address
City, State, Zip
Account #
Mail To: North American Title Group, LLC Family of Companies
ATTN: General Counsel
760 Northwest 107th Avenue, Suite 400
Miami, FL 33172
Page 14
Rev. NAT 8/15/15 Order No. 92002-1581896-18
Page 2
Who we are
Who is providing this notice? North American Title Group, LLC Family of Companies (identified
below), which offers title insurance and settlement services and
property and casualty insurance
What we do
How does NATG protect my personal
information?
To protect your personal information from unauthorized access and
use, we use security measures that comply with federal law. These
measures include computer safeguards and secure files and buildings.
How does NATG collect my personal
information?
We collect your personal information, for example, when you
Apply for insurance;
Apply for financing;
Give us your contact information
Provide your mortgage information
Show your government-issued ID
We also collect your personal information from others, such as credit
bureaus, affiliates, or other companies.
Why can’t I limit all sharing? Federal law gives you the right to limit only
Sharing for affiliates’ everyday business purposes –
information about your creditworthiness
Affiliates from using your information to market to you
Sharing for nonaffiliates to market to you
State laws and individual companies may give you additional rights to
limit sharing.
What happens when I limit sharing
for an account I hold jointly with
someone else?
Your choices will apply to everyone on your account – unless you tell us
otherwise.
Definitions
Affiliates Companies related by common ownership or control. They can be
financial and nonfinancial companies.
Our affiliates include companies with a Lennar name; financial
companies such as Eagle Home Mortgage, Eagle Home
Mortgage of California, CalAtlantic Mortgage, Inc., and Rialto
Capital Management; and nonfinancial companies, such as
Lennar Corporation, Lennar Multifamily Companies, Lennar
Commercial, Lennar Homes USA, Lennar Family of Builders,
CalAtlantic Homes, Lennar Sales Corp., SPH Title, Inc.,
Sunstreet Energy Group, Five Point Communities, WCI
Communities, LLC, Watermark Realty Referral, Inc., and WCI
Realty, Inc.
Nonaffiliates Companies not related by common ownership or control. They can be
financial and nonfinancial companies.
Nonaffiliates we share with can include collection agencies, IT
service providers, companies that perform marketing services
on our behalf, and consumer reporting agencies.
Joint marketing A formal agreement between nonaffiliated financial companies that
together market financial products or services to you.
NATG doesn’t jointly market.
The North American Title Group, LLC Family of Companies consists of the following entities:
North American Title Company
North American Title Company, Inc.
North American Title Company of Colorado
North American Title Insurance Company
North American Services, LLC
North American Title Agency, Inc.
CalAtlantic Title, Inc.
CalAtlantic Title of Maryland, Inc.
North American Abstract Agency
NASSA, LLC
North American Title, LLC
North American Advantage Insurance Services, LLC
North American National Title Solutions, LLC
North American Title Agency, LLC
CalAtlantic Title Atlanta, LLC
CalAtlantic Title Charleston, LLC
Page 15
Rev. NAT 8/15/15 Order No. 92002-1581896-18
CLTA Preliminary Report Form - Exhibit A (Rev. 05-06-16)
CLTA STANDARD COVERAGE POLICY - 1990
EXCLUSIONS FROM COVERAGE
The following matters are expressly excluded from the coverage of this policy and the Company will not pay loss or damage, costs, attorneys' fees or expenses
which arise by reason of:
1. (a) Any law, ordinance or governmental regulation (including but not limited to building or zoning
laws, ordinances, or regulations) restricting, regulating, prohibiting or relating (i) the occupancy, use, or enjoyment of the land; (ii) the c haracter,
dimensions or location of any improvement now or hereafter erected on the land; (iii) a separation in ownership or a change in the dimensions or
area of the land or any parcel of which the land is or was a part; or (iv) environmental protection, or the effect of any violation of these laws,
ordinances or governmental regulations, except to the extent that a notice of the enforcement thereof or a notice of a defect, lien, or encumbrance
resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy.
(b) Any governmental police power not excluded by (a) above, except to the extent that a notice of the exercise thereof or notice of a defect, lien or
encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Dat e of Policy.
2. Rights of eminent domain unless notice of the exercise thereof has been recorded in the public records at Date of Policy, but not excluding from coverage
any taking which has occurred prior to Date of Policy which would be binding on the rights of a purchaser for value without k nowledge.
3. Defects, liens, encumbrances, adverse claims or other matters:
(a) whether or not recorded in the public records at Date of Policy, but created, suffered, assumed or agreed to by the insured c laimant;
(b) not known to the Company, not recorded in the public records at Date of Policy, but known to the insured claimant and not disclosed in writing to
the Company by the insured claimant prior to the date the insured claimant became an insured under this policy;
(c) resulting in no loss or damage to the insured claimant;
(d) attaching or created subsequent to Date of Policy; or
(e) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the insured mortgage or for the estate
or interest insured by this policy.
4. Unenforceability of the lien of the insured mortgage because of the inability or failure of the insured at Date of Policy, or the inability or failur e of any
subsequent owner of the indebtedness, to comply with the applicable doing business laws of the state in which the land is situated.
5. Invalidity or unenforceability of the lien of the insured mortgage, or claim thereof, which arises out of the transaction evi denced by the insured mortgage
and is based upon usury or any consumer credit protection or truth in lending law.
6. Any claim, which arises out of the transaction vesting in the insured the estate of interest insured by this policy or the transacti on creating the interest of
the insured lender, by reason of the operation of federal bankruptcy, state insolvency or similar credi tors' rights laws.
EXCEPTIONS FROM COVERAGE - SCHEDULE B, PART I
This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses) which ar ise by reason of:
1. Taxes or assessments which are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by
the public records.
Proceedings by a public agency which may result in taxes or assessments, or notices of such proceedings, whether or not shown by the records of such
agency or by the public records.
2. Any facts, rights, interests, or claims which are not shown by the public records but which could be ascertained by an inspec tion of the land or which may
be asserted by persons in possession thereof.
3. Easements, liens or encumbrances, or claims thereof, not shown by the public records.
4. Discrepancies, conflicts in boundary lines, shortage in area, encroachments, or any other facts which a correct survey would disclose, and which are not
shown by the public records.
5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to
water, whether or not the matters excepted under (a), (b) or (c) are shown by the public records.
6. Any lien or right to a lien for services, labor or material not shown by the public records.
CLTA/ALTA HOMEOWNER'S POLICY OF TITLE INSURANCE (12-02-13)
EXCLUSIONS
In addition to the Exceptions in Schedule B, You are not insured against loss, costs, attorneys' fees, and expenses resulting from:
1. Governmental police power, and the existence or violation of those portions of any law or government regulation concerning:
a. building;
b. zoning;
c. land use;
d. improvements on the Land;
e. land division; and
f. environmental protection.
This Exclusion does not limit the coverage described in Covered Risk 8.a., 14, 15, 16, 18, 19, 20, 23 or 27.
2. The failure of Your existing structures, or any part of them, to be constructed in accordance with applicable building codes. This Exclusion does not limit
the coverage described in Covered Risk 14 or 15.
3. The right to take the Land by condemning it. This Exclusion does not limit the coverage described in Covered Risk 17.
4. Risks:
a. that are created, allowed, or agreed to by You, whether or not they are recorded in the Public Records;
b. that are Known to You at the Policy Date, but not to Us, unless they are recorded in the Public Records at the Policy Date;
c. that result in no loss to You; or
d. that first occur after the Policy Date - this does not limit the coverage described in Covered Risk 7, 8.e., 25, 26, 27 or 28.
5. Failure to pay value for Your Title.
6. Lack of a right:
a. to any land outside the area specifically described and referred to in paragraph 3 of Schedule A; and
b. in streets, alleys, or waterways that touch the Land.
This Exclusion does not limit the coverage described in Covered Risk 11 or 21.
7. The transfer of the Title to You is invalid as a preferential transfer or as a fraudulent transfer or conveyance under federal bankruptcy, state insolvency, or
similar creditors' rights laws.
8. Contamination, explosion, fire, flooding, vibration, fracturing, earthquake, or subsidence.
9. Negligence by a person or an Entity exercising a right to extract or develop minerals, water, or any other substances.
LIMITATIONS ON COVERED RISKS
Your insurance for the following Covered Risks is limited on the Owner's Coverage Statement as follows:
For Covered Risk 16, 18, 19, and 21 Your Deductible Amount and Our Maximum Dollar Limit of Liability shown in Schedule A.
Page 16
Rev. NAT 8/15/15 Order No. 92002-1581896-18
The deductible amounts and maximum dollar limits shown on Schedule A are as follows:
Your Deductible Amount Our Maximum Dollar
Limit of Liability
Covered Risk 16: 1% of Policy Amount Shown in Schedule A or $2,500
(whichever is less)
$10,000
Covered Risk 18: 1% of Policy Amount Shown in Schedule A or $5,000
(whichever is less)
$25,000
Covered Risk 19: 1% of Policy Amount Shown in Schedule A or $5,000
(whichever is less)
$25,000
Covered Risk 21: 1% of Policy Amount Shown in Schedule A or $2,500
(whichever is less)
$5,000
2006 ALTA LOAN POLICY (06-17-06)
EXCLUSIONS FROM COVERAGE
The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, c osts, attorneys' fees, or expenses
that arise by reason of:
1. (a) Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating
to
(i) the occupancy, use, or enjoyment of the Land;
(ii) the character, dimensions, or location of any improvement erected on the Land;
(iii) the subdivision of land; or
(iv) environmental protection;
or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage
provided under Covered Risk 5.
(b) Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 6.
2. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8.
3. Defects, liens, encumbrances, adverse claims, or other matters
(a) created, suffered, assumed, or agreed to by the Insured Claimant;
(b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to
the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy;
(c) resulting in no loss or damage to the Insured Claimant;
(d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 11, 13, or 14);
or
(e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Insured M ortgage.
4. Unenforceability of the lien of the Insured Mortgage because of the inability or failure of an Insured to comply with applicable doing-business laws of the
state where the Land is situated.
5. Invalidity or unenforceability in whole or in part of the lien of the Insured Mortgage that arises out of the transaction evidenced by the Insured Mortgage
and is based upon usury or any consumer credit protection or truth-in-lending law.
6. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws, that th e transaction creating the lien of the
Insured Mortgage, is
(a) a fraudulent conveyance or fraudulent transfer, or
(b) a preferential transfer for any reason not stated in Covered Risk 13(b) of this policy.
7. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching between Date of Policy and the
date of recording of the Insured Mortgage in the Public Records. This Exclusion does not modify or limit the coverage provid ed under Covered Risk 11(b).
The above policy form may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above Exclus ions from Coverage, the
Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage:
EXCEPTIONS FROM COVERAGE
[Except as provided in Schedule B - Part II,[ t[or T]his policy does not insure against loss or damage, and the Company will not pay costs, attorneys' fees or
expenses, that arise by reason of:
[PART I
[The above policy form may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above Exclusions from Coverag e, the
Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage:
1. (a) Taxes or assessments that are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or
by the Public Records; (b) proceedings by a public agency that may result in taxes or assessments, or notices of such proceedings, whether or not shown
by the records of such agency or by the Public Records.
2. Any facts, rights, interests, or claims that are not shown by the Public Records but that could be ascertained by an inspection of the Land or that may be
asserted by persons in possession of the Land.
3. Easements, liens or encumbrances, or claims thereof, not shown by the Public Records.
4. Any encroachment, encumbrance, violation, variation, or adverse circumstance affecting the Title that would be disclosed by an accurate and complete
land survey of the Land and not shown by the Public Records.
5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) wate r rights, claims or title to
water, whether or not the matters excepted under (a), (b), or (c) are shown by the Public Records.
6. Any lien or right to a lien for services, labor or material not shown by the Public Records. ]
PART II
In addition to the matters set forth in Part I of this Schedule, the Title is subject to the following matters, and the Company insures against loss or damage
sustained in the event that they are not subordinate to the lien of the Insured Mortgage:]
2006 ALTA OWNER'S POLICY (06-17-06)
EXCLUSIONS FROM COVERAGE
The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys' fees, or expenses
that arise by reason of:
1. (a) Any law, ordinance, permit, or governmental regulation (including those relating to building and
zoning) restricting, regulating, prohibiting, or relating to
(i) the occupancy, use, or enjoyment of the Land;
(ii) the character, dimensions, or location of any improvement erected on the Land;
(iii) the subdivision of land; or
(iv) environmental protection;
or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage
provided under Covered Risk 5.
Page 17
Rev. NAT 8/15/15 Order No. 92002-1581896-18
(b) Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage
provided under Covered Risk 6.
1. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8.
2. Defects, liens, encumbrances, adverse claims, or other matters
(a) created, suffered, assumed, or agreed to by the Insured Claimant;
(b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to
the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured
under this policy;
(c) resulting in no loss or damage to the Insured Claimant;
(d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the
coverage provided under Covered Risk 9 and 10); or
(e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid
value for the Title.
3. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws, that the tr ansaction vesting the Title as
shown in Schedule A, is
(a) a fraudulent conveyance or fraudulent transfer; or
(b) a preferential transfer for any reason not stated in Covered Risk 9 of this policy.
4. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching between Date of Policy and the date
of recording of the deed or other instrument of transfer in the Public Records that vests Title as shown in Schedule A.
The above policy form may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above Exclusions from Coverage, the
Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage:
EXCEPTIONS FROM COVERAGE
This policy does not insure against loss or damage, and the Company will not pay costs, attorneys' fees or expenses, that arise by r eason of:
[The above policy form may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above E xclusions from Coverage, the
Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage:
1. (a) Taxes or assessments that are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or
by the Public Records; (b) proceedings by a public agency that may result in taxes or assessments, or notices of such proceedings, whether or not shown
by the records of such agency or by the Public Records.
2. Any facts, rights, interests, or claims that are not shown in the Public Records but that could be ascertained by an inspection of the Land or that may be
asserted by persons in possession of the Land.
3. Easements, liens or encumbrances, or claims thereof, not shown by the Public Records.
4. Any encroachment, encumbrance, violation, variation, or adverse circumstance affecting the Title that would be disclosed by an accurate and complete land
survey of the Land and that are not shown by the Public Records.
5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water,
whether or not the matters excepted under (a), (b), or (c) are shown by the Public Records.
6. Any lien or right to a lien for services, labor or material not shown by the Public Records.
7. [Variable exceptions such as taxes, easements, CC&R's, etc. shown here.]
ALTA EXPANDED COVERAGE RESIDENTIAL LOAN POLICY - ASSESSMENTS PRIORITY (04-02-15)
EXCLUSIONS FROM COVERAGE
The following matters are expressly excluded from the coverage of this policy and the Company will not pay loss or damage, co sts, attorneys' fees or expenses
which arise by reason of:
1. (a) Any law, ordinance, permit, or governmental regulation (including those relating to building and
zoning) restricting, regulating, prohibiting, or relating to
(i) the occupancy, use, or enjoyment of the Land;
(ii) the character, dimensions, or location of any improvement erected on the Land;
(iii) the subdivision of land; or
(iv) environmental protection;
or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage provided
under Covered Risk 5, 6, 13(c), 13(d), 14 or 16.
(b) Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 5 , 6, 13(c), 13(d), 14 or 16.
2. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8.
3. Defects, liens, encumbrances, adverse claims, or other matters
(a) created, suffered, assumed, or agreed to by the Insured Claimant;
(b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to
the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy;
(c) resulting in no loss or damage to the Insured Claimant;
(d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 11, 16, 17, 18,
19, 20, 21, 22, 23, 24, 27 or 28); or
(e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Insured Mortgage.
4. Unenforceability of the lien of the Insured Mortgage because of the inability or failure of an Insured to comply with applicable doing-business laws of the
state where the Land is situated.
5. Invalidity or unenforceability in whole or in part of the lien of the Insured Mortgage that arises out of the transaction evidenced by the Insured Mortgage
and is based upon usury, or any consumer credit protection or truth-in-lending law. This Exclusion does not modify or limit the coverage provided in
Covered Risk 26.
6. Any claim of invalidity, unenforceability or lack of priority of the lien of the Insured Mortgage as to Advances or modificat ions made after the Insured has
Knowledge that the vestee shown in Schedule A is no longer the owner of the estate or interest covered by this policy. This Exclusion does not modify or
limit the coverage provided in Covered Risk 11.
7. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching subsequ ent to Date of Policy. This
Exclusion does not modify or limit the coverage provided in Covered Risk 11(b) or 25.
8. The failure of the residential structure, or any portion of it, to have been constructed before, on or after Date of Policy i n accordance with applicable
building codes. This Exclusion does not modify or limit the coverage provided in Covered Risk 5 or 6.
9. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws, that the tr ansaction creating the lien of the
Insured Mortgage, is
(a) a fraudulent conveyance or fraudulent transfer, or
(b) a preferential transfer for any reason not stated in Covered Risk 27(b) of this policy.
10. Contamination, explosion, fire, flooding, vibration, fracturing, earthquake, or subsidence.
11. Negligence by a person or an Entity exercising a right to extract or develop minerals, water, or any other substances.
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Rev. NAT 8/15/15 Order No. 92002-1581896-18