HomeMy WebLinkAboutROCELA'S BEAUTY SALON - 20081~ 1L ~ ~z~ A-2008-164
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AUG 1 2 200 ACQUISITION SETTLEMENT AGREEMENT
This Acquisition Settlement Agreement ("ASA") is entered into on +` %~ n ~ - ~~ , 2008
between the City of Santa Ana, a charter city and municipal corporation duly organized and
existing under the Constitution and laves of the State of California ("City"), and Rocela Moreno
dba Rocela's Beauty Salon ("Tenant" or "Displacee">. and Aurora Angel ("Owner" or
"Landlord"). City, Tenant ~tnd Owner may collectively :;: referred to in this ASA as the
"Parties."
RECITALS
A. Landlord is the fee owner of 1007 to 1011 South Bristol Street, Santa Ana, California
("Property"). Owner and City have negotiated a Purchase and Sale Agreement ("PSA")
for a portion of Owner's Property ("Acquired Property"), which will result in the
termination of Owner's and Tenant's rights, title and/or interests in the Acquired Property.
The Acquired Property is described and depicted in Exhibit "A", attached hereto.
B. Tenant operates a business on the Property commonly known as Rocela's Beauty
Salon, and is the occupant of the real property and improvements located on the Property.
C. The Property and the Acquired Property are located within the Bristol Street Widening
Project ("Project") from Pine Street to McFadden Avenue.
D. The Parties' rights, obligations and monetary entitlements with regard to the acquisition of
the Acquired Property by City are in dispute. The Parties desire to define their
respective rights, obligations and monetary entitlements and to resolve any and all
disputes pertaining to the acquisition of the Acquired Property by City upon the terms
and conditions as contained in this ASA.
E. Landlord plans to construct a replacement structure ("Replacement Structure") on the
lot immediately east and adjacent to the Property. This lot is identified as APN 101-
272-04, as more fully described and depicted in Exhibit "B" attached hereto.
Construction of the Replacement Structure is expected to be completed on or about
December 31, 2008. Tenant has been offered the opportunity to lease a unit within the
Replacement Structure and Tenant desires to accept this offer.
F. Tenant has been informed that it qualifies as a displaced person under California Code
of Regulations, Title 25, Division 1, Chapter 6, and is therefore eligible for relocation
benefits as described therein. Tenant has been informed of the City's relocation
program and has received written material describing City's relocation program,
including a General Information Notice, an Informational Brochure and a Notice of
Eligibility. Tenant acknowledges and agrees that it is under no legal obligation to
enter into this ASA, or to move into the Replacement Structure. Tenant
acknowledges and agrees that it has the choice to relocate from the Property to an
alternate site rather than to the Replacement Structure as herein proposed.
Acquisition Settlement Agreement
Page 1 of 8
Tenant's Initials ~ A Landlord's Initials
Therefore, in consideration of the promises, covenants and agreements hereinafter set forth, and
subject to the terms, conditions and provisions of this ASA, the Parties agree as follows:
1. Consideration
a. City agrees to pay Tenant, in accordance with the disbursement schedule referenced in section
1(c)(d)(e) & (f), below, the total sum of ONE HUNDRED THREE THOUSAND TWO
HUNDRED FOURTY TWO AND NO/100 DOLLARS ($103,242.00) as full
compensation for any and all relocation assistance and other re- oTcati-on and/or
displacement benefits to which Tenant is or may be entitled, including, but not limited to,
compensation for any and all loss of business goodwill (if any), leasehold interests, personal
property, improvements pertaining to realty, bonus value (if any), severance damages (if any),
and any and all other damages to which Tenant is or may be entitled to as a result of City's
acquisition of the Acquired Property for the Project.
b. Tenant agrees to assign a portion of the compensation described in Section 1(a), above, to
Landlord, which Landlord agrees shall be used exclusively for the purchase, construction and
installation of Tenant improvements and trade fixtures to Tenant's unit within Replacement
Structure. The total amount of compensation being assigned by Tenant to Landlord under this
ASA is SEVENTY NINE THOUSAND SEVEN HUNDRED TWENTY FIVE AND
NO/100 DOLLARS ($79,725.00). As consideration for said assignment of compensation,
Landlord agrees to provide the following Tenant improvements to Tenant's unit in the
Replacement Structure: HVAC, lights, T Bar ceiling, insulation at ceiling, standard number of
electrical outlets, flooring, one bathroom that meets Americans with Disabilities Act standards,
phone jacks in number sufficient to operate Tenant's current equipment, finish painted interior
walls, carpet and base, interior framing and drywall, interior doors, and soft costs such as
contingency, builder overhead and profit, zoning and associated permit fees and architectural
and engineering fees.
Tenant agrees it bears sole financial responsibility for the following: (1) to move its personal
property from the Property to the Replacement Structure, (2) for the disconnection, move and
reconnection of all fixtures and equipment from the Property to the Replacement Structure,
including the reinstallation of racks and displays, installation of telephone system, and (3) any
electrical requirements in the Replacement Structure that are in addition to standard electrical
service.
c. Upon execution of (1) this ASA and (2) a valid and enforceable lease between Tenant and
Landlord for Tenant's occupancy of the Replacement Structure, City agrees to process an
initial payment to Tenant in the amount of FIVE THOUSAND EIGHT HUNDRED
SEVENTY NINE AND 25/100 DOLLARS ($5,879.25) and to Landlord in the amount of
NINETEEN THOUSAND NINE HUNDRED THIRTY ONE AND 25/100 DOLLARS
($19,931.25). Tenant and Landlord shall first provide to City a copy of the documents
referenced in this Section before City is obligated to process payment(s) hereunder.
d. Upon verification by City that architectural plans for the Replacement Structure have been
approved by City's Planning and Building Agency, City will process a second payment to
Acquisition Settlement Agreement
Page 2 of 8
Tenant's Initials _~~ ~ Landlord's Initials
Tenant in the amount of FIVE THOUSAND EIGHT HUNDRED SEVENTY NINE AND
25/100 DOLLARS ($5,879.25) and to Landlord in the amount of NINETEEN
THOUSAND NINE HUNDRED THIRTY ONE AND 25/100 DOLLARS ($19,931.25).
e. Upon completion by Landlord of the physical improvements to Tenant's unit within the
Replacement Structure, City agrees to process a third payment to Tenant in the amount of
FIVE THOUSAND EIGHT HUNDRED SEVENTY NINE AND 25/100 DOLLARS
($5,879.25) and to Landlord in the amount of NINETEEN THOUSAND NINE
HUNDRED THIRTY ONE AND 25/100 DOLLARS ($19,931.25).
f. City agrees to process a final payment to Tenant in the amount of FIVE THOUSAND
EIGHT HUNDRED SEVENTY NINE AND 25/100 DOLLARS ($5,879.25) once City
verifies that Tenant has satisfied the following conditions : (1) vacated the Property, (2)
executed and delivered to City a Certificate of Abandonment of the Property, (3) turned
over to the City, City's agents, or to Landlord all sets of keys to the Property, and (4)
confirmed in writing to City that any and all hazardous materials have been removed
from the Property in accordance with all applicable federal and state laws, ordinances
and/or regulations. Once Tenant has satisfied all four conditions listed above, City agrees
to process a final payment to Landlord in the amount of NINETEEN THOUSAND NINE
HUNDRED THIRTY ONE AND 25/100 DOLLARS ($19,931.25).
g. As a matter of record, the compensation paid to Tenant in accordance with this ASA shall be
apportioned in the following amounts: Relocation benefits shall equal EIGHTY EIGHT
THOUSAND FOUR HUNDRED FOURTY TWO AND NO/100 DOLLARS
($88,442.00). Payment for any and all loss of business goodwill (if any), leasehold interests,
personal property, improvements pertaining to realty, bonus value (if any), severance damages
(if any), and any and all other damages to which Tenant is or may be entitled to as a result of
City's acquisition of the Acquired Property for the Project shall equal FIFETEEN
THOUSAND AND NO/100 DOLLARS ($15,000.00).
h. Landlord and Tenant agree that in the event a valid and enforceable lease between Landlord
and Tenant for the Replacement Structure is voided, is mutually or unilaterally rescinded, or
becomes unenforceable prior to City issuing the final payment in accordance with this ASA,
the Assignment referenced herein shall terminate and any remaining unpaid payments that
were assigned by Tenant to Landlord shall become the exclusive property of Tenant and no
further payments will be made by City to Landlord under this ASA. Tenant and Landlord
fully release any and all claims against City for any payments made hereunder. Additionally,
any remaining payments due Tenant will not be processed by City until Tenant vacates the
Property and meets the conditions set forth in Section 1(f), above, at which time City will
make all remaining payments to Tenant. Tenant agrees and is required, without further
Notice, to vacate the Property within thirty (30) days from the date the Lease between
Landlord and Tenant for the Replacement Structure is voided, rescinded or becomes
unenforceable, except that Tenant agrees that in any event it must vacate the Property not
later than December 31, 2008. Landlord and Tenant agree that any disputes relating to
payments made hereunder shall be controlled and resolved pursuant to the terms of a separate
agreement between the Tenant and Landlord.
Acquisition Settlement Agreement
~., Page 3 of 8
Tenant's Initials ~ M Landlord's Initials ~ ~~
2. Owner's Duties
Owner agrees to develop a replacement structure Replacement Structure on the lot
immediately east and adjacent to the Property. This lot is identified as APN 101-272-
04. Construction of the Replacement Structure is expected to be completed on or
about, December 31, 2008.
Release and Indemnity
Tenant and Landlord unconditionally agree to release, indemnify, defend and hold harmless
City, its officers, directors, Agencies, employees, and authorized agents (collectively
"Agents"), from any and all claims, liabilities, costs, damages or causes of action which
Tenant and/or Landlord now have or in the future may have against City arising from the
acquisition of the Property for the Project, including, but not limited to, any and all
relocation assistance and other relocation and/or displacement benefits, and including
compensation for any and all loss of business goodwill (if any), leasehold interests, personal
property, improvements pertaining to realty, bonus value (if any), severance damages (if
any), and any and all other damages to which Tenant and/or Landlord may be entitled to as
a result of City's acquisition of the Acquired Property for the Project.
4. Attorney's Fees
In the event of litigation relating to this ASA, the prevailing party shall be entitled
to reasonable attorneys' fees and costs.
5. Entire Agreement
This ASA contains the entire Agreement of the Parties hereto pertaining to the subject matter
discussed herein, and supersedes any prior written or oral agreements between the Parties
concerning the subject matter contained herein. This ASA may be modified only by a
writing executed by the Parties hereto.
6. PartialInvalidity
In the event that any term, covenant, condition or provision of this ASA shall be held by a
court of competent jurisdiction to be invalid or against public policy, the remaining
provisions shall continue in full force and effect.
7. Waiver
The provisions of this ASA may be waived, altered, amended or repealed, in whole or in
part, only upon the written consent of all Parties to this ASA. The waiver by one party of
the duty of performance by the other Party of any provision in this ASA shall not invalidate
this ASA, nor shall it be considered a waiver of any rights or remedies available to the
non-breaching Party of this ASA.
Acquisition Settlement Agreement
Page 4 of 8
Tenant's Initials ~ Landlord's Initials
8. Headings
9.
10
11.
12
13
The headings, subheadings and numbering of the different sections of this ASA are inserted
for convenience only and shall not be considered for any purpose in construing this ASA.
Governing Law
The rights and obligations of the parties hereto shall be construed and enforced in
accordance with, and governed by, the laws of the State of California.
Successors In Interest
Subject to any restrictions against assignment contained herein, and to any legal
limitations on the power of the signatories to bind non-signatories to this ASA, this ASA
shall inure to the benefit of, and shall be binding upon, the assigns, successors-in-
interest, personal representatives, executors, estate, heirs, legatees, Agents and related
entities of each of the Parties hereto.
Necessary Acts
Each Party to this ASA agrees to perform any further acts and execute and deliver any
further documents that may be reasonably necessary to carry out the provisions of this
ASA.
Advice Of Counsel
Each Party hereto, by its execution of this ASA, represents to every other Party that it
has reviewed each term of this ASA with its counsel and hereafter no Party shall deny
the validity of this ASA on the ground that the party did not have advice of counsel.
Each Party to this ASA has had the opportunity to receive independent legal advice
with respect to the advisability of entering into and being bound by this ASA.
Parties Have Not Transferred Right Or Claims
The Parties hereto each represent and warrant to the other Party that they have not assigned,
transferred or sublet to any third party any of the rights, claims, causes of action or items to
be released or transferred which they are obligated to transfer or to release as part of this
ASA.
14. Authority To Execute This APreement
Each Party executing this ASA represents that it is authorized to execute this ASA. Each
Party executing this ASA on behalf of an entity, other than an individual executing this
ASA on his or her own behalf, represents that he or she is authorized to execute this ASA on
behalf of said entity.
Acquisition Settlement Agreement
Page 5 of 8
Tenant's Initials ~ Landlord's Initials
15. Construction
Each Party has cooperated in the drafting and preparation of this ASA. In any construction or
interpretation to be made of this ASA, or of any of its terms, conditions and/or provisions,
the same shall not be construed against any party.
16. Notices
All notices, requests, demands and other communications required or permitted to be
given under this ASA shall be in writing and shall either be delivered in writing
personally or be sent by telegram or by regular or certified first class mail, postage
prepaid, deposited in the United States mail, and properly addressed to the Party at its
address as set forth below, or at any other address that such Party may designate by written
notice to the other Party:
To City: City of Santa Ana
Public Works Agency
20 Civic Center Plaza, M-36
Santa Ana, CA 92702
Attention: Souri Amirani
To Tenant: Rocela's Beauty Salon
1011 S. Bristol St. Unit C
Santa Ana, CA 92703
Attn: Rocela Moreno
To Tenant:
Post-move
Acquisition Settlement Agreement
Page 6 of 8
Tenant's Initials Landlord's Initials
17. Counterparts
This ASA may be executed in counterparts, each of which shall be deemed an original, and,
when taken together with other signed counterparts, shall constitute one Agreement, which shall
be binding upon and effective as to all Parties.
IN WITNESS WHEREOF, the Parties have executed this Acquisition Settlement Agreement as of the
date first written above.
TENANT:
Rocela's Beauty Salon
By: ~11--1~~~~.es.0
Rocela Moreno
Date: ~~j -~ - , 2008
OWNER/LANDLORD:
Aurora el
By: -~ Date: ~7 / ~- , 2008
A Ang
CITY OF S A A
P
By: i ~---~./ Date: g / , 2008
David N. Ream
City Manager
ATTEST:
By: ~~ ~ Date: ~~ ~ ~ , 2008
Patricia E: He ly
Clerk of the. Council
APPROVED AS TO FORM:
'--~ n
By: Date: ~ ~,~ , 2008
~o~. val
Managing Senior Assistant City Attorney
Acquisition Settlement Agreement
Page 7 of 8
Tenant's Initials ~ Landlord's Initials
EXHIBIT "A"
LEGAL DESCRIPTION
THE LAND REFERRED TO HEREIN IS SITUATED IN THE STATE OF CALIFORNIA,
COUNTY OF ORANGE, CITY OF SANTA ANA, AND IS DESCRIBED AS FOLLOWS:
-aRCCL^
TXAT PORTION 01 LOT Ii OiTHE NgINOEII T1ACT, gTNE CRY Oi
SANTA ANA. COUNTY O-ORANOE.STATE OFCALIiORNIA. PiI-M-i0J;0
IN SOOKf.PAOE)10F ItllCELLANEOW MAA, q THE OAfY OFTNL
COUNTY RECORDER OF WDODLEKY.DpCR1El0 Af PARCEL i qA
GRAN: GEED RLCOROEOON OCTOEEIIIL IM1 A{ RRiIfTRIMMffIT
N0. fl•1T1N7.OAR:fAL RECORDS 0/ SAID COIfN1Y RECORDER. LYMO
WESTERLY Of 111E roLL0 Wq0 OE7CRp1ED LOf$
eew1ElN:gawTnu PDOlT OF INTERftCTION Of A tqt PARALLtl.
u0 fIREETf ARE SNDVN DN 7AID
TOlAID CEf ITERLffE bF CUEEOM
isus rourro-ualamfc:
vff7ERLY TffA0N11S OTNL
COPITADf010IJ7S fpvARE 1'f6T. MORE oIt LESE
ALL AS S110\q ON EIDWR•IM•JITTACNEO HERETO AND 1Y 711q •'.~
wERffrCL MADEAPART IIERNOf.
lUEDxf'TO ALL COVQ4INSE, RIGHTS, fUONTS-0F•WAYAND E/ISEMEIITTE
orREeaD.nANr.
-RRMRED EY SO,DR UNDER MYDIRECTION ON T~, Z.7 .
MY, PLf Ell{
ERPVIES IN NOf
ffwuw.r
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TARCts.c ~ .
TiuT•roRTmNacor 11 orTxENgRIafRTRAet fflnlEertror
SANTA ANA, MYNTY OF ORANOE.fTATE Oi CANIORMIA POIMAPflLED .~
fN EOOKL-A06770F MSCELEANEOUE MAPf,q TNd 01FCt OI7NL
~ COUNTY REGOROfR O-EAIOCQUN[Y, DlfCR1EED Af fAfCEL7NA
~ ORANTOL[DR[OORDEOOM OCTOEERlb lftl Ai MfTEUMENT
N4fW71Nf,OPi1C1AL RECOROfOF 3A10 COUNTY REXORD[1L}Yg0
WESTEIU.YO-1M iOLLOWNO DffCR1ElD LORt• ..
CONMOICg6 ATT1R P001f01 pfTEESECIgN OfALNE PAEALLLL
WRH AMO bM PQTEASTERLY OFTHECOfTSRLq[ Oi RYSTOL !SKEET,
WRHALgE MRALLEL WITH ANDQlb FELT WU171ERI.Y Oi THE
CIXIERLDR O-CWR011 fiREET,At {AID STRlESS AftE 7HONN ON SAID
NOOINfERTEAC7; t
~ TNfNCL NORTNERCY.-ERPWOICULARTOfAID CO/fSRLgE OfCUSWN
STREET, ifii'M•7f q ILW FEETTO THE TRUE NfINtOtR01NNIN0;
THFNCE,ALOND A LV1F. MHOfE SOVTMWESIERLYTLRWNID D TN6
rogT OI fRTOSfC1fONOF A Iflf[ PARALCfL WffN AND ILO{ FEET
EAfifALYOFSAm CENTERLDf60/ EIViTOLSiREET. WITH A LINE
-ERPO~WN:VLARTO LASTSAID CENTERLOIEAND WNR:N PAffEf ,
TMRO Uql TN[ POfIf T Oi COMfIpC W INT. SU~N'SI • W.1~{ fEET TO TH!
roMTOF WTERSEC71011 W1TN A LME -ARALLLL WITH AND M.MFEET
EASTERLY W LAST SAIDCFMiRWiL:
TNENCE,f0Nfl1EELY ALONG SAID PAMCLELIAIE 7SYf1•!{'M,f1.17 FEET ~
TOTNEfOUTNEBLY UNEOiSAlO PAfICE1.l,DlTTRIMENT i
N4f1•fT11tl.0y
CONTwggO i.f{{ SQUARE Ftf:T. MOUE OR LEtf.
ALL ASfHOWNON F]1NIf1T•E•L~ITACHED HERETO AND EY THIS
REFERENCE MADE A METNFIlEOf.
fUSJELTTO ALL COVENANTS, RIpITS. RIONTS•OF•WAY ANO EAflMFNTS
OF REGORD.IF ANY.
PREMIER DY ME,OR UNDER MY gRECT10N ON
/r/
MTMONDI. RIVEN, MitAf NMV '•
EItflREf Il0007
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Tenant's Initials
Landlord's Initials
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Acquisition Settlement Agreement
Page 8 of 8
EXHIBIT "B"
REPLACEMENT STRUCTURE
THE LAND REFERRED TO HEREIN IS SITUATED IN THE STATE OF CALIFORNIA COUNTY OF ORANGE, CITY
OF SANTA ANA, AND IS DESCRIBED AS FOLLOWS:
The West Half of the North Half of Lot 11 of "Nininger Tract", as per map thereof recorded in Book 8,
Page 33 of Miscellaneous Maps, records of said Orange County, California.
Acquisition Settlement Agreement
Page 9 of 8
Tenant's Initials ~ ~U~ Landlord's Initials