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HomeMy WebLinkAbout1901 FIRST STREET OWNER, LLC. (4)A- 2016- 222 -03 THIRD AMENDMENT TO TOLLING AGREEMENT This Third Amendment to Tolling Agreement (the "Second Amendment ") is entered into by and between the CITY OF SANTA ANA ( "City "), and 1901 FIRST STREET OWNER, LLC ( "1901 First Street ") (collectively hereinafter "the Parties "), in connection with the real property located at 1901, 1903 and 1905 E. First Street, in the City of Santa Ana, which is to be developed as a multi- family residential development consisting of 264 units ( "Project"), RECITALS A, 1901 First Street sought and obtained approvals from the City to build the Project. B, A dispute subsequently arose as to whether the City property calculated the assessable space for school impact fees applicable to the Project, C. The dispute involving the City, 1901 First Street and the Tustin Unified School District is currently the subject of litigation filed in the Superior Court of California in the County of Orange (Case No. 30. 2015 -00 803234- CU- WM -CJC). D. On September 10, 2015, 1901 First Street fled a claim under the Government Claims Act against the City for damages arising from, and related to, the City's actions in allegedly improperly changing its standard practice for calculating assessable space for school impact fees for the Project ( "the "Claim "), E, On or about April 22, 2016, the Parties entered into a tolling agreement (the 'Tolling Agreement ") in order to toll any time limit on bringing any lawsuit or claim against the other, including but not limited to any causes of action set forth in the Claim, and agreed that litigation, if any, of such claims be held in abeyance and without prejudice to the rights of the Parties during the pendency of the Tolling Agreement. Per the terms of the Tolling Agreement, the'Tolling Agreement was to expire on May 31, 2016, at 11:59 p.m. F. Prior to the expiration of the Tolling Agreement, the Parties entered into the First Amendment to Tolling Agreement (the "First Amendment "), and then later, the Second Amendment to Tolling Agreement (the "Second Amendment "), in order to amend the Tolling Agreement to collectively extend the tolling period until 1.1;59 p.m„ on June 23, 2016. G. The Parties now desire to enter into this Third Amendment in order to amend the Tolling Agreement, as amended, to further extend the tolling period until June 30, 2016, as described below. AGI2FFMENT NOW, THEREFORE„ in consideration of the covenants and conditions contained heroin, the Parties agree as follows: 1. Section 4 of the Totting Agreement, as amended by the Second Amendment, is hereby deleted in its entirety and replaced with the following: "4. This Agreement shall not extend beyond June 30, 2016t and shall be deemed by the Parties to be expired as of 11;59 p.m, on that date." 2. All other terms and provisions of the Tolling Agreement shall remain unchanged, shall not be modified in any way by this Third Amendment, and shall continue to be binding on the Parties, 3. This Third Amendment may be executed in counterparts, each of which will be deemed to be an original and all of which together will be deemed to be the same document. Each Party certifies that the person signing below on the respective Party's behalf has the authority to bind that Party to the covenants made in this Third Amendment. [Signatures continued on following page] SIGNATURE PAGE TO TOLLING AGREEN[ENT Dated: June 23, 2016 Counsel for City of Santa An Dated: CITY OF SANTA ANA By: Name, __nay +ta Ca�a��a Title; City Manager Date; —1, u ! 1901 FIRST STREET OWNER, LLC Title: Counsel for 1901 First Street Owner, LLC By:_ j Name: — Title: — Or t vv-4 -� ATTEST' MARIAD. HUIZAR CLERIC OF THE COUNCIL