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HomeMy WebLinkAbout09-100 Amd D - Segale Properties (La Pianta LLC) - Tukwila South Development AgreementReturn Address City Clerk City of Tukwila 6200 Southcenter Boulevard Tukwila, Washington 98188 CONFORMED COPY 20130223000692 SEGALE PROPERT AG PAGE -001 OF 019 02/28/2013 10:27 Document Title(s) (or transactions contained therein): Second Addendum to Development Agreement by and between the City of Tukwila and Segale Properties LLC, for the Tukwila South Project Reference Number(s) of Documents assigned or released: N/A (on page _ of documents(s)) Grantor(s) (Last name first, then first name and initials): SEGALE PROPERTIES LLC Grantee(s) (Last name first, then first name and initials): CITY OF TUKWILA Legal description (abbreviated: i.e. lot, block, plat or section, township, range) N/A Assessor's Property Tax Parcel/Account Number(s): 022204-9008; 022204-9011; 022204-9015; 022204-9043; 022204-9006; 032204-9090; 032204-9106; 352304-9013; 352304-9015; 352304-9017; 352304-9032; 352304-9040; 352304-9041; 352304-9045; 352304-9049; 352304-9050; 352304-9068; 352304-9118; 352304-9115; 022204-9057 SECOND ADDENDUM TO 09-100(d) DEVELOPMENT AGREEMENT BY AND App. via Sect 8 BETWEEN THE CITY OF TUKWILA pg. 36 AND SEGALE PROPERTIES LLC, FOR THE of original DA TUKWILA SOUTH DEVELOPMENT THIS SECOND ADDENDUM TO DEVE OPMENT AGREEMENT (the "Addendum") is made and entered into this �J gay of February, 2013, by and between the CITY OF TUKWILA ("City"), a non -charter, optional code Washington municipal corporation, and SEGALE PROPERTIES LLC, a Washington limited liability company ("Segale"), formerly known as "LA PIANTA LLC." RECITALS WHEREAS, the City and Segale entered into that certain Development Agreement relating to the Tukwila South development, dated June 10, 2009 (the "Development Agreement") as amended pursuant to that certain First Amendment to Development Agreement dated May 18, 2010 (the "First Amendment"); and WHEREAS, Section 4.6.2 of the Development Agreement requires the Parties to agree on land for Segale to dedicate to the City for use as a fire station; and WHEREAS, on November 20, 2012 the City and Segale entered into that certain Addendum to Development Agreement (the "Addendum") to memorialize the terms regarding the timing and conveyance of land for a fire station; and WHEREAS, the timing of certain events as set forth in the Addendum are no longer feasible and need to be modified; and WHEREAS, this Second Addendum does not materially modify the intent and policy of the Agreement for the purposes of Section 8 of the Development Agreement; and NOW, THEREFORE, in consideration of the mutual promises set forth herein and the long-term benefit to both the City and Segale, the parties hereby agree as follows: II. AGREEMENT 1. Defined terms used herein shall have the meanings set forth in the Development Agreement. Segale and La Pianta may be used interchangeably, and shall be deemed to refer to the same entity. Page 1 of 18 2. Section 2 of the Addendum is hereby amended and replaced in its entirety with the following language: As required by Section 4.6.2 of the Development Agreement, the City and Segale have agreed on the real property legally described in the attached Exhibit A (the "Fire Station Land") as a location for a fire station. Segale previously delivered a deed for Fire Station Land to the City, but the parties have determined it is in the best interest of the City to have ownership of the slope adjoining the Fire Station Land; therefore, the deed for the Fire Station Land Segale previously provided to the City shall be replaced with the deed attached hereto as Exhibit A-1 (the "Fire Station Deed"). Segale shall convey the Fire Station Land to the City as soon as possible following the recording of a boundary line adjustment making the Fire Station Land two separate legal lots. If S. 178th Street is not vacated, or if S. 178th Street is vacated and then rededicated to the City pursuant to the terms of this Addendum, the Parties agree that the two separate legal lots that comprise the Fire Station Land will continue to be part of the Tukwila South Plat, File #, L12-027 and will be platted as set forth in that plat. 3. Section 2(a) of the Addendum is hereby amended and replaced in its entirety with the following language: a. The City's acceptance of the Fire Station Land is based on the Tukwila City Council's proposed vacation of a portion of the existing S. 178th Street (the "S. 178th Vacation"). The area to be vacated is west of the S. 180th and Southcenter Parkway intersection to the easterly edge of the new relocated S. 178th Street (conceptually shown on the South 178th Street Road and Infrastructure Improvement Plans dated March 2012, which plans were prepared by Goldsmith Land Development Services and delivered to the City on November 5, 2012 (the "Goldsmith Plans") which are herein incorporated by reference. The effective date of the vacation ordinance shall be five days after passage and publication of the ordinance, with Segale granting a public access easement back to the City, which easement shall be substantially in the form of the attached Exhibit B. The City shall be responsible for initiating the vacation of S. 178th Street and arranging for the relocation of utilities located in the right-of-way, at the utility purveyor's cost, after the Tukwila City Council has approved the ordinance vacating S. 178th Street. Segale agrees to grant easements for any utilities that need to be relocated to the realigned S. 178th Street. Such easements shall terminate upon dedication of the realigned S. 178th Street to the City pursuant to this Addendum. Page 2 of 18 4. Section 2(c) of the Addendum is hereby amended and replaced in its entirety with the following language: c. Within five (5) years of the date of this Addendum, Segale shall conduct the grading work set forth in Section 2(o) herein and shall complete any other necessary work to ensure that the Fire Station Land meets the criteria set forth in section 4.6.2 of the Development Agreement, meaning the site shall be level, filled to the base flood elevation, buildable and suitable for construction and use as a fire station without shoring, bracing, piling, or other extraordinary construction methods, and containing no hazardous substances. Segale shall be responsible for implementing, at Segale's sole cost and expense, slope stabilization measures recommended in the geotechnical report required by subsection (b) in order to ensure any buildings erected on the Fire Station Land will not be subject to landslide hazard. The City acknowledges that a building setback from the steep slope located on the Fire Station Land may be necessary and that, provided the setback does not exceed one hundred fifteen feet (115 feet), a building setback shall not be considered a violation of the conditions set forth in section 4.6.2 of the Development Agreement. The five year time period to complete this work shall automatically be extended as necessary in order to account for delay associated with (i) a utility purveyor's refusal to relocate a utility located in the existing S. 178th Street or (ii) the City taking legal action to compel the relocation of a utility located in the existing S. 178th Street. Segale shall indemnify and hold harmless the City, its officers, employees, agents, and volunteers, from any and all claims arising from or relating to the work performed by Segale pursuant to this Addendum, the specific terms of such indemnification shall be agreed to between Segale and the City prior to Segale commencing work on the Fire Station Land. 5. Section 2(d) of the Addendum is hereby amended and replaced in its entirety with the following language: d. Segale may, in Segale's sole and absolute discretion, elect to replace the Fire Station Deed with a deed for the three (3) acres of real property depicted in the attached Exhibit C (the "Alternative Fire Station Land") rather than implementing the slope stabilization measures required in section (c) above. In such event, the City shall convey the Fire Station Land back to Segale at no cost to Segale, Segale shall be required to make such improvements to the Alternative Fire Station Land as are necessary to make the condition of the land consistent with section 4.6.2 of the Development Agreement and Segale shall be required to dedicate the B -Line Easement Area (as defined below) to the City as right - Page 3 of 18 of -way, at no cost to the City. Further, in such event, the City shall not be required to proceed with the S. 178th Vacation, or if the S. 178th Vacation has taken place, Segale shall, at the City's request, dedicate the now existing S. 178th Street back to the City at no cost to the City and in the same condition as it exists as of the date of this Addendum. 6. Section 2(e) of the Addendum is hereby amended and replaced in its entirety with the following language: e. Segale shall, no later than November 20, 2012, grant the City a public access easement, substantially in the same form as the attached Exhibit D-1 over the real property described in the attached Exhibit D-2 (the "B -Line Easement Area"). Furthermore, Segale shall dedicate the B -Line Easement Area to the City, as right-of-way, within 5 days of the approval date of the Tukwila City Council ordinance that approves the S. 178th Vacation, provided however, if the S. 178th Vacation is not approved on or before April 30, 2013 Segale shall have no obligation to dedicate the B -Line Easement area to the City as right-of-way; however the public access easement over the B -Line Easement Area shall remain effective. 7. Section 2(m) of the Addendum is hereby amended and replaced in its entirety with the following language: m Segale shall, in Segale's sole and absolute discretion, have the option of conveying the Alternative Fire Station Land to the City in order to enable the City to settle a claim or avoid litigation or a judgment. If Segale conveys the Alternative Fire Station Land to the City the City shall convey the Fire Station Land back to Segale at no cost to Segale. If Segale elects to convey the Alternative Fire Station Land to the City Segale shall have no obligation to construct the realigned S. 178th St. or convey the right-of-way for the realigned S. 178th Street to the City, but Segale shall be required to make such improvements to the Alternative Fire Station Land as are necessary to make the condition of the land consistent with section 4.6.2 of the Development Agreement and shall dedicate the B Line Easement Area to the City as right-of-way at no cost to the City. Further, if Segale conveys the Alternative Fire Station Land to the City rather than the Fire Station Land, the City shall have no obligation to proceed with the S. 178th Vacation, and if such vacation has already taken place, the now existing S. 178th Street shall be dedicated back to the City at no cost to the City and in the Page 4 of 18 same condition as it exists as of the date of this Addendum. Additionally, Segale shall be relieved of the indemnification and other financial obligations set forth in subsection 4(I) in the event Segale elects to convey the Alternative Fire Station Land to the City but the City nonetheless elects to proceed with the vacation of S. 178th Street; provided, Segale shall reimburse the City for all costs incurred prior to the conveyance of the Alternative Fire Station Land. The now existing S. 178th Street shall remain in its current condition until all necessary utility relocation has been completed. 8. Section 2(n) of the Addendum is hereby amended and replaced in its entirety with the following language: n. If the City Council does not approve the S. 178th Vacation on or before April 30, 2013, (i) the Fire Station Land shall be reconveyed to Segale at no cost and Segale shall convey the Alternative Fire Station Land to the City, (ii) the Alternative Fire Station Land shall be conveyed to the City in its as -is, where -is condition, regardless of whether the land meets the requirements of section 4.6.2 of the Development Agreement and iii) Segale shall have no obligation to construct the realigned S. 178t� St. or convey the right-of-way for the realigned S. 178th Street to the City. Though the deed for the Alternative Fire Station Land will restrict use of the property to construction of a fire station, the deed shall allow the City to sell the property back to Segale, at fair market value, in the event the City elects not to use the property for a fire station. 9. The following shall be added as section 2(o): o. Within thirty (30) days of the effective date of the S. 178th Vacation, the City shall grant Segale easements for utilities consistent with the easements reserved by Segale in the Fire Station Deed. The conveyance of the Fire Station Land from Segale to the City shall include a reservation of an easement in favor of Segale to perform grading work as set forth in Plan Revision No. 8 to City of Tukwila Grading Permit No. PW 10-064 submitted by Segale on February 26, 2013 (the "Grading Work"). The parties acknowledge the Grading Work is necessary in order to create a stable slope westward of the Fire Station Land. Segale shall perform the Grading Work at no cost to the City and shall be entitled to the right, title and interest in and to the earthen material excavated from the hillside during the course of Segale's performance of the Grading Work, including the portion of the earthen material located within the existing S. 178th Street right-of-way. The City shall not be Page 5 of 18 entitled to compensation for the earthen material excavated by Segale as a result of the Grading Work. 10. The following language shall be added as Section 2(p): P. Within thirty (30) days of the effective date of the S. 178th Vacation, the City shall grant Segale easements for utilities and for performance of the Grading Work over the vacated S. 178th Street consistent with the easements reserved by Segale in the Fire Station Deed. 11. Notice address for Parties shall be as follows: If to Segale: Segale Properties LLC P.O. Box 88028 Tukwila, Washington 98138-2028 Attn: Mr. Mark A. Segale If to the City: City of Tukwila 6200 Southcenter Blvd. Tukwila, WA 98188 Attn: City Clerk 12. This Second Addendum shall be enforced consistent with terms and conditions of the Development Agreement, including the dispute resolution provisions set forth therein, and shall survive termination of the Development Agreement for a period of six (6) years. 13. This Second Addendum shall be recorded against the Tukwila South Property as a covenant running with the land. 14. Except as amended herein_, the terms and provisions of the Addendum remain in full force and effect. THIS SPACE INTENTIONALLY LEFT BLANK Page 6 of 18 In Witness Whereof, the parties have caused this Addendum to be executed, effective on the day and year set forth on the first page hereof. CITY OF TUKWILA, a Washington municipal corporation By: �a,' Ji gerton, s or Date: Q - '_� l Segale Properties LLC, a Washington limited liability company By: Metro Land Development, Inc., Its: Manager By: M. A. Segale, Pre ident Date: Z'7i7— 13 Page 7 of 18 STATE OF WASHINGTON ) ss. COUNTY OF ) On this day of , 20, before me, the undersigned, a Notary Public in and for the State of Washington, duly commissioned and sworn, personally appeared M. A. Segale, to me known to be the person who signed as President of Metro Land Development, Inc., Manager of SEGALE PROPERTIES LLC, the limited liability company that executed the within and foregoing instrument, and acknowledged said instrument to be the free and voluntary act and deed of said limited liability company for the uses and purposes therein mentioned, and on oath stated that M. A. Segale was authorized to execute said instrument on behalf of the limited liability company. IN WITNESS WHEREOF I have hereunto set my hand and official seal the day and year first above written. .tNN M� ''►q,�� (Signature oT Ndtary) (Print or sta p nam of Notary) NOTARY PUBLIC in and for the State ole WAs�`'Viav of Washington, residing at My appointment expires: Page 8 of 18 STATE OF WASHINGTON ) ss. COUNTY OF ) On this �� day of fl.1r"Ck/'j 20 6, before me, the undersigned, a Notary Public in and for the/State of Washington, duly commissioned and sworn, personally appeared -Tim L-}"1 pry , to me known to be the person who signed as MA- joe` of the Cites y of Tukwila, the municipal corporation that executed the within and foregoing instrument, and acknowledged said instrument to be the free and voluntary act and deed of said limited liability com any for the uses and purposes therein mentioned, and on oath stated that was authorized to execute said instrument on behalf of the limited liability company. IN WITNESS WHEREOF I have hereunto set my hand and official seal the day and year first above written. ` &T a �``11"! "! �y (Signature of Wotary) �, (Print or stamp name of Notary) NOTARY PUBLIC in and for the State of Washington, residing at (A n'\4 i�hl �W M appointment expires: �.._ �s _ Y NN Page 9 of 18 EXHIBIT A FIRE STATION LAND LEGAL DESCRIPTION A PORTION OF THE EAST HALF OF THE NORTHWEST QUARTER OF SECTION 35, TOWNSHIP 23 NORTH, RANGE 4 EAST OF THE W. M., CITY OF TUKWILA, KING COUNTY, WASHINGTON, BEING DESCRIBED AS FOLLOWS: COMMENCING AT THE NORTHEAST CORNER OF THE NORTHWEST QUARTER OF SAID SECTION 35; THENCE SOUTH 02° 24'41"WEST ALONG THE EAST LINE OF SAID NORTHWEST QUARTER, A DISTANCE OF 1323.83 FEET TO THE SOUTHEAST CORNER OF THE NORTHEAST QUARTER OF SAID NORTHWEST QUARTER, ALSO BEING A POINT ON THE CENTERLINE OF SOUTH 178TH STREET; THENCE NORTH 87° 50'41"WEST ALONG SAID CENTERLINE 156.72 FEET TO THE INTERSECTION OF THIS LINE WITH THE WESTERLY RIGHT OF WAY MARGINS OF SOUTHCENTER PARKWAY AND SOUTHCENTER PARKWAY EXTENSION AS PER DEED RECORDED UNDER KING COUNTY RECORDERS NO. 20121130002219, BOTH RIGHTS OF WAYS ARE TO BE EXTENDED SOUTHERLY AND NORTHERLY TO THEIR INTERSECTION, ALSO BEING THE TRUE POINT OF BEGINNING FOR THIS DESCRIPTION; THENCE NORTH 09° 50'27"EAST ALONG SAID WESTERLY RIGHT OF WAY MARGINS 36.81 FEET TO THE AFOREMENTIONED RIGHTS OF WAY INTERSECTION; THENCE NORTH 11° 55'53"WEST ALONG THE WESTERLY RIGHT OF WAY MARGIN OF SAID SOUTHCENTER PARKWAY 321.39 FEET TO THE SOUTHERLY LINE OF THAT CERTAIN PARCEL AS DESCRIBED IN DOCUMENT RECORDED UNDER KING COUNTY RECORDING NO. 20040224002063; THENCE NORTH 87° 42'12"WEST ALONG SAID SOUTH LINE 120.00 FEET; THENCE CONTINUING ALONG SAID SOUTH LINE NORTH 760 27'42"WEST 72.20 FEET; THENCE NORTH 510 28'36"WEST 47.25 FEET; THENCE SOUTH 380 42'41"WEST 76.90 FEET; THENCE SOUTH 860 59'11"WEST 136.44 FEET; THENCE NORTH 64° 13'29"WEST 24.27 FEET; THENCE NORTH 510 43'09"WEST 17.43 FEET; THENCE NORTH 540 04'01 "WEST 16.02 FEET; THENCE SOUTH 300 02'36"WEST 355.32 FEET; THENCE SOUTH 420 30'57"EAST 100.63 FEET; THENCE SOUTH 870 50'41"EAST 274.20 FEET; THENCE SOUTH 590 51'33"EAST 103.04 FEET;THENCE SOUTH 780 59'13"EAST 97.25 FEET; THENCE SOUTH 83° 47'24"EAST 152.61 FEET TO THE WESTERLY RIGHT OF WAY MARGIN OF THE AFOREMENTIONED SOUTHCENTER PARKWAY EXTENSION; THENCE NORTH 09° 50'27"EAST ALONG SAID MARGIN 115.15 FEET TO THE POINT OF BEGINNING. EXCEPT ANY PORTION THEREOF LYING NORTHERLY OF THE SOUTHERLY RIGHT OF WAY MARGIN OF SOUTH 178TH STREET. Page 10 of 18 ALSO EXCEPT SOUTHCENTER PARKWAY EXTENSION AS PER DEED RECORDED UNDER KING COUNTY RECORDING NO. 20121130002219. Together with: A PORTION OF THE EAST HALF OF THE NORTHWEST QUARTER OF SECTION 35, TOWNSHIP 23 NORTH, RANGE 4 EAST OF THE W. M., CITY OF TUKWILA, KING COUNTY, WASHINGTON, BEING DESCRIBED AS FOLLOWS: COMMENCING AT THE NORTHEAST CORNER OF THE NORTHWEST QUARTER OF SAID SECTION 35; THENCE SOUTH 02° 24'41"WEST ALONG THE EAST LINE OF SAID NORTHWEST QUARTER, A DISTANCE OF 1323.83 FEET TO THE SOUTHEAST CORNER OF THE NORTHEAST QUARTER OF SAID NORTHWEST QUARTER, ALSO BEING A POINT ON THE CENTERLINE OF SOUTH 178TH STREET; THENCE NORTH 87° 50'41"WEST ALONG SAID CENTERLINE 156.72 FEET TO THE INTERSECTION OF THIS LINE WITH THE WESTERLY RIGHT OF WAY MARGINS OF SOUTHCENTER PARKWAY AND SOUTHCENTER PARKWAY EXTENSION AS PER DEED RECORDED UNDER KING COUNTY RECORDERS NO. 20121130002219, BOTH RIGHTS OF WAYS ARE TO BE EXTENDED SOUTHERLY AND NORTHERLY TO THEIR INTERSECTION, ALSO BEING THE TRUE POINT OF BEGINNING FOR THIS DESCRIPTION; THENCE NORTH 090 50'27"EAST ALONG SAID WESTERLY RIGHT OF WAY MARGINS 36.81 FEET TO THE AFOREMENTIONED RIGHTS OF WAY INTERSECTION; THENCE NORTH 11° 55'53"WEST ALONG THE WESTERLY RIGHT OF WAY MARGIN OF SAID SOUTHCENTER PARKWAY 321.39 FEET TO THE SOUTHERLY LINE OF THAT CERTAIN PARCEL AS DESCRIBED IN DOCUMENT RECORDED UNDER KING COUNTY RECORDING NO. 20040224002063; THENCE NORTH 870 42'12"WEST ALONG SAID SOUTH LINE 120.00 FEET; THENCE CONTINUING ALONG SAID SOUTH LINE NORTH 760 27'42"WEST 72.20 FEET; THENCE NORTH 510 28'36"WEST 47.25 FEET; THENCE SOUTH 380 42'41 "WEST 76.90 FEET; THENCE SOUTH 860 59'11"WEST 136.44 FEET; THENCE NORTH 640 13'29"WEST 24.27 FEET; THENCE NORTH 510 43'09"WEST 17.43 FEET; THENCE NORTH 540 04'01"WEST 16.02 FEET; THENCE SOUTH 300 02'36"WEST 355.32 FEET; THENCE SOUTH 420 30'57"EAST 100.63 FEET; THENCE SOUTH 870 50'41"EAST 274.20 FEET; THENCE SOUTH 590 51'33"EAST 103.04 FEET;THENCE SOUTH 780 59'13"EAST 97.25 FEET; THENCE SOUTH 830 4712411EAST 152.61 FEET TO THE WESTERLY RIGHT OF WAY MARGIN OF THE AFOREMENTIONED SOUTHCENTER PARKWAY EXTENSION; THENCE NORTH 090 50'27"EAST ALONG SAID MARGIN 115.15 FEET TO THE POINT OF BEGINNING. 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