CC 2017-08-08_09g Termination of Lease Agreement_UMCMEMORANDUM
TO: CITY COUNCIL
FROM: TERESA MCCLISH, COMMUNITY DEVELOPMENT DIRECTOR
SUBJECT: CONSIDERATION OF APPROVAL OF LEASE TERMINATION
AGREEMENT WITH CALIFORNIA -PACIFIC ANNUAL CONFERENCE
OF UNITED METHODIST CHURCH AND TWO (2) RELEASE OF
EASEMENT DOCUMENTS AND AUTHORIZING THE MAYOR TO
EXECUTE SAME
DATE: AUGUST 8, 2017
RECOMMENDATION:
It is recommended that the Council approve a Lease Termination Agreement with the
California -Pacific Annual Conference of United Methodist Church ("United Methodist
Church") and two (2) Release of Easement documents and authorize the Mayor to
execute same.
SUMMARY OF ACTION:
Termination of the lease agreement and release of easements that are no longer
needed by the City will remove encumbrances from the title of the property.
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
None.
DISCUSSION:
As you are aware, the United Methodist Church is marketing the Methodist
Campground property. As a part of that process they are trying to resolve and remove
encumbrances affecting title to the property. The City owns a parcel immediately
adjacent to the Methodist Campground property upon which Reservoir 1 is located. The
City holds several water pipeline easements in the Methodist Campground property, two
(2) of which were granted in 1929 and are no longer used or needed.
Additionally, the church's predecessor in interest to the property, the Coast Side
Campmeeting Association of the Methodist Episcopal Church, leased a small portion of
the Methodist Campground property to the City also in 1929 to enable construction of
the original reservoir on the site. That 99 year lease was replaced with an Easement
Agreement in 2003 when Reservoir 1 was reconstructed. Although the Easement
Agreement references the termination of the lease, the church's title company, Fidelity
Title, has requested a formal lease termination agreement be executed and recorded to
clearly document the termination of the lease.
Item 9.g. - Page 1
CITY COUNCIL
CONSIDERATION OF APPROVAL OF LEASE TERMINATION AGREEMENT WITH
CALIFORNIA -PACIFIC ANNUAL CONFERENCE OF UNITED METHODIST
CHURCH AND TWO (2) RELEASE OF EASEMENT DOCUMENTS AND
AUTHORIZING THE MAYOR TO EXECUTE SAME
AUGUST 8, 2017
PAGE2
Attached for your consideration is a Lease Termination Agreement and two (2) Release
of Easement documents that will, when received, formally remove these encumbrances
from title to the Methodist Campground property. It is recommended that the Council
approve the Lease Termination Agreement and the two (2) Release of Easement
documents and authorize the Mayor to execute same.
ADVANTAGES:
Executing and recording the Lease Termination Agreement and Releases of Easement
will assist the United Methodist Church in clearing title to the Methodist Campground
property.
DISADVANTAGES:
No disadvantages for this proposed action have been identified.
ALTERNATIVES:
The following alternatives are provided for the Council's consideration:
1. Approve the Lease Termination Agreement and Releases of Easement; or
2. Do not approve the Lease Termination Agreement and Releases of Easement;
or
3. Prove staff other direction.
ENVIRONMENTAL REVIEW:
No environmental review is required for this item.
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted at City Hall and on the City's website in accordance with
Government Code Section 54954.2.
Item 9.g. - Page 2
LEASE TERMINATION AGREEMENT
THIS LEASE TERMINATION AGREEMENT ("Agreement") is made as of August 8,. 2017
between the City of Arroyo Grande ("Lessee") and California-Pacific Annual Conference of the
United Methodist Church ("Lessor").
Recitals
A. On May 24, 1929, Lessor's predecessor in interest, the Coast Side Campmeeting
Association of the Methodist Episcopal Church, and Lessee executed a lease ("Lease"), for
certain real property ("Leased Premises"), which is more particularly described on Exhibit A,
attached and incorporated in this Agreement, which was recorded on February 18, 1937 in Book
209, Page 250, of the official records of the County Recorder for San Luis Obispo, California;
and
B. Said Lease was terminated by the parties and replaced with an Easement Agreement dated
August 5, 2003 and recorded on December 2, 2003 in the official records of San Luis Obispo
County as Document No. 2003137296; and
C. Lessor and Lessee desire to ratify and confirm termination of the Lease by this,Agreement.
For good and valuable consideration, the receipt and adequacy of which are
acknowledged, Lessor and Lessee agree as follows:
Section 1. Incorporation of Recitals
The foregoing recitals are true and correct and incorporated by reference herein.
Section 2. Termination of Lease
Lessor and Lessee agree that the Lease was terminated effective as of August 5, 2003.
Section 3. Attorney Fees
If any legal action is taken to enforce the terms of this Agreement by any party, the
prevailing party shall be entitled to recover reasonable attorney's fees and other costs and
expenses incurred in connection with that legal action.
Section 4. Entire Agreement
This Agreement contains the entire agreement between the parties regarding the matters
covered in this Agreement. There have been no other statements, promises, or representations
made by the parties that are intended to alter, modify, or complement this Agreement.
Section 5. Amendment
This Agreement may not be altered, amended, modified, or otherwise changed in any
respect, except by a writing executed by an authorized representative of each party.
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Item 9.g. - Page 3
Section 6. Counterparts
This Agreement may be executed in one or more counterparts, each of which shall be
deemed an original, and all taken together, shall constitute one and the same instrument.
Section 7. Authorization
The undersigned, by their signatures, represent and warrant that they are authorized
agents of their respective entities and are authorized to execute this Agreement.
Section 8. Successors and Assigns
This Agreement shall bind and inure to the benefit of the parties and their respective
heirs, successors, and assigns.
Section 8. Governing Law
This Agreement is governed and construed in accordance with California law.
Executed on the date first above written.
LESSOR:
California Pacific Annual Conference of the United
Methodist Church
By:
Name:
~~~~~~~~~~~~~-
Its:
LESSEE:
City of Arroyo Grande
By:
Jim Hill, Mayor
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Item 9.g. - Page 4
EXHIBIT A
Leased Premises
All that certain lot, piece or parcel of land situate in the County of San Luis Obispo, State of
California, and bounded and described as follows: to-wit:
Beginning at a point in Lot 29 of Harris' Resubdivisions of part of the Ranchos Corral de
Piedra, El Pismo and Bolsa de Chemisal, as per map of said Subdivision now on file in the
County Recorder's Office, San Luis Obispo, California, said point of beginning being distant
8.29°25' W. 54.9 feet along the northerly line of said Lot 29, thence S. 25° 55' E. 104.2 feet
from the most westerly comer of a tract of land conveyed by the Arroyo Grande M.E. Church, by
deed, to the Coast Side Campmeeting Association, June 19, 1913, and recorded in Volume 97 of
Deeds at page 370, San Luis Obispo County Records, and running thence from said point of
beginning. S. 7° 47' E. 353.6 feet along the westerly line of said conveyed tract to a point; thence
N. 64° 05' E. 110 feet to a point; thence N. 25° 55' W. 336.0 feet to the above mentioned point
of beginning and being part of said conveyed tract.
1063424.1 Item 9.g. - Page 5
CALIFORNIA NOTARY ACKNOWLEDGEMENT
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 California
County of __________ _
On before me, ----------------,-----------(Insert the name and !We of the officer)
personally appeared-----------------------
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s)
is/are subscribed to the within instrument and acknowledged to me that he/she/they
executed the same in his/her/their authorized capacity(ies), and that by his/her/their
signature(s) on the instrument the person(s) or the entity upon behalf of which the
person(s) acted, executed the instrument.
I certify under PENAL TY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature ________________ (SEAL)
Item 9.g. - Page 6
CALIFORNIA NOTARY ACKNOWLEDGEMENT
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 California
County of __________ _
On ________ before me, _________________ _
(Insert the name and tiUe of the officer)
personally appeared-----------------------
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s)
is/are subscribed to the within instrument and acknowledged to me that he/she/they
executed the same in his/her/their authorized capacity(ies), and that by his/her/their
signature(s) on the instrument the person(s) or the entity upon behalf of which the
person(s) acted, executed the instrument.
I certify under PENAL TY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature ________________ (SEAL)
Item 9.g. - Page 7
RECORDING REQUESTED BY:
City of Arroyo Grande
300 E. Branch Street
Arroyo Grande CA 93420
AND WHEN RECORDED MAIL TO:
City Clerk
City of Arroyo Grande
300 E. Branch Street
Arroyo Grande CA 93420
(THIS SPACE FOR RECORDER'S USE ONLY)
RELEASE OF EASEMENT
ASSESSOR'S PARCEL NO: _______ _
THIS RELEASE OF EASEMENT is made and entered into as of the 8th day of August, 2017 by the City of
Arroyo Grande, a municipal corporation formed under the laws of the State of California ("City") for the benefit of
California-Pacific Annual Conference of the United Methodist Church.
WITNESSETH:
WHEREAS, Coast Side Campmeeting Association of the Methodist Episcopal Church, a corporation organized
and existing under and by virtue of the laws of the State of California, granted to the City an easement for pipeline
purposes (the "Easement"), recorded February 18, 1937 in Book 211, Page 261 of Official Records of San Luis Obispo
County, in the real property described in Exhibit A, attached hereto and incorporated herein by this reference; and
WHEREAS, the City has agreed to release all of its interest in and to the Easement.
NOW, THEREFORE, in consideration of the premises and other good and valuable consideration, the City has
RELEASED, RELINQUISHED, AND ABANDONED, and by these presents and does forever RELEASE,
RELINQUISH, AND ABANDON all of the City's rights in and to the Easement.
EXECUTED to be effective as of the first date hereinabove written.
CITY OF ARROYO GRANDE
By: ____________ _
Jim Hill, Mayor
Item 9.g. - Page 8
EXHIBIT A
The Easement
The property subject to this Easement is situate in the County of San Luis Obispo, State of
California, and along the following described center line, to wit:
Commencing at a point in a tract of land conveyed by the Arroyo Grande M. E. Church to the
Coast Side Campmeeting Association, by deed, June 19, 1913, and recorded July 24, 1913, in
Volume 97 of Deeds, at page 370, San Luis Obispo County Records, said point of beginning
being distant S 8° 49' E. 495.8 feet along the westerly line of said conveyed tract, thence
N 64°05" E. 17.6 feet from the most westerly comer of said conveyed tract; thence running
S 54°26' E. 496.2 feet to a point; thence S 9° 02' E. 158.0 feet more or less to a point on the
southerly line of said conveyed tract.
1063436.1 Item 9.g. - Page 9
CALIFORNIA NOTARY ACKNOWLEDGEMENT
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 California
Counfyof __________ _
On _______ before me,-----------------
(Insert the name and title of the officer)
personally appeared-----------------------
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s)
is/are subscribed to the within instrument and acknowledged to me that he/she/they
executed the same in his/her/their authorized capacity(ies), and that by his/her/their
signature(s) on the instrument the person(s) or the entity upon behalf of which the
person(s) acted, executed the instrument.
I certify under PENAL TY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature ________________ (SEAL)
Item 9.g. - Page 10
RECORDING REQUESTED BY:
City of Arroyo Grande
300 E. Branch Street
Arroyo Grande CA 93420
AND WHEN RECORDED MAIL TO:
City Clerk
City of Arroyo Grande
300 E. Branch Street
Arroyo Grande CA 93420
(THIS SPACE FOR RECORDER'S USE ONLY)
RELEASE OF EASEMENT
ASSESSOR'S PARCEL NO: _______ _
TIDS RELEASE OF EASEMENT is made and entered into as of the gth day of August, 2017 by the City of
Arroyo Grande, a municipal corporation formed under the laws of the State of California ("City") for the benefit of
California-Pacific Annual Conference of the United Methodist Church.
WITNESSETH:
WHEREAS, Coast Side Campmeeting Association of the Methodist Episcopal Church, a corporation organized
and existing under and by virtue of the laws of the State of California, granted to the City an easement for pipelines,
ingress and egress purposes (the "Easement"), recorded February 18, 193 7 in Book 211, Page 264 of Official Records of
San Luis Obispo County, in the real property described in Exhibit A, attached hereto and incorporated herein by this
reference; and
WHEREAS, the City has agreed to release all of its interest in and to the Easement.
NOW, THEREFORE, in consideration of the premises and other good and valuable consideration, the City has
RELEASED, RELINQUISHED, AND ABANDONED, and by these presents and does forever RELEASE,
RELINQUISH, AND ABANDON all of the City's rights in and to the Easement.
EXECUTED to be effective as of the first date hereinabove written.
CITY OF ARROYO GRANDE
By: ____________ _
Jim Hill, Mayor
Item 9.g. - Page 11
EXHIBIT A
The Easement
The property subject to this Easement is situate in the County of San Luis Obispo, State of
California, and along the following described center line, to wit:
Commencing at a point in the northerly line of the Arroyo Grande and Pismo Road distant
easterly 8 feet at right angles from the northerly line of Lot 30 & 29 of Harris' Resubdivisions of
a Part of the Ranchos Corral de' Piedra, El Pismo, and Bolsa de Chemisal as per map of said
subdivision now on file in the County Recorder's Office, San Luis Obispo County, California,
and running thence Northerly 1550 feet parallel to the northerly line of said Lot 30 & Lot 29 and
distant easterly 8 feet at right angles therefrom.
1063439.1 Item 9.g. - Page 12
CALIFORNIA NOTARY ACKNOWLEDGEMENT
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 California
County of __________ _
On _______ before me,-----------------
(Insert the name and tiHe of the officer)
personally appeared-----------------------
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s)
is/are subscribed to the within instrument and acknowledged to me that he/she/they
executed the same in his/her/their authorized capacity(ies), and that by his/her/their
signature(s) on the instrument the person(s) or the entity upon behalf of which the
person(s) acted, executed the instrument.
I certify under PENAL TY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature----------------(SEAL)
Item 9.g. - Page 13
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