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DRAFT (2) The CC&R's shall provide notice to prospective owners of the urban character of the City and this area, including but not limited to the permitted uses of the property and buildings in the immediate area of the development (e.g.., Main Place Regional Shopping Mall, and surrounding property within SD-59 zoned and/or devoted to commercial use), and the regional and local street grid adjacent to the Sky Lofts Project (e.g., SR- 22, I-5, SR-57, Main Street, Town & Country Drive), and shall provide a release of all claims against the City which may arise from or relate to the disclosed matters. (3) The CC&R's shall reflect that balconies may not be used for storage. (4) Terms and Content: CC&R's are to be in effect for at least 66 years. ii. Any proposed modifications to the foregoing provisions of the CC&R's will require approval by the Executive Director. 6. ANNUAL REVIEW. 6.1 City and Owner Responsibilities. The City shall, at least every twelve (12) months during the term of this First Amendment, review the extent of good faith substantial compliance by Owner with the terms of this First Amendment. Pursuant to Government Code Section 65865.1, as amended, Owner shall have the duty to demonstrate by substantial evidence its good faith compliance with the terms of the First Amendment at the periodic review. 6.2 Review Letter. If Owner is found to be in compliance with the First Amendment after the annual review set forth in Section 6.1 above, the City shall, upon written request by Owner, issue a Review Letter to Owner (the "Letter") stating that based upon information known or made known to the City Council, the City Planning Commission and/or the Executive Director, the First Amendment remains in effect and Owner is not in default. Owner may record the Letter in the Official Records of the County of Orange. 6.3 Failure of Periodic Review. City's failure to review at least annually Owner's compliance with the terms and conditions of this First Amendment shall not constitute or be asserted by any party as a breach of the First Amendment by Owner or City. io 75A-84