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HomeMy WebLinkAboutReso 92-019 - Approve & Authorize the mayor to execute the ground lease at Turtle Bay entered into between COR & the Alliance of Redding Museums RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING APPROVING AND AUTHORIZING THE MAYOR TO EXECUTE THE GROUND LEASE AT TURTLE BAY ENTERED INTO BETWEEN THE CITY OF REDDING AND THE ALLIANCE OF REDDING MUSEUMS. IT IS HEREBY RESOLVED that the City Council of the City of Redding hereby approves the Ground Lease entered into between the City of Redding and the Alliance of Redding Museums, a true copy of which is attached hereto and incorporated herein by reference. BE IT FURTHER RESOLVED that the Mayor of the City of Redding is hereby authorized and directed to sign said Ground Lease on behalf of the City of Redding; and the City Clerk is hereby authorized and directed to attest the signature of the Mayor and to impress the official seal of the City of Redding thereto. I HEREBY CERTIFY that the foregoing Resolution was introduced and read at a regular meeting of the City Council of the City of Redding on the 7th day of January 1992 , and was duly adopted at said meeting by the following vote: AYES: COUNCIL MEMBERS.: ARNESS, BUFFUM, FULTON, MOSS & DAHL NOES: COUNCIL MEMBERS: NONE ABSENT: COUNCIL MEMBERS: NONE ABSTAIN: COUNCIL MEMBERS: NONE i MIKE DAHL, Mayor City of Redding A ST: FO PROVED: Q� CONNIE STROHMAYER, C y Clerk R DALL A. HAY City Attorney Final 1-7-92 a GROUND LEASE Preamble and Recitals This lease is entered into on by and between the City of Redding, a Municipal Corporation, referred to in this lease as "Landlord", and the Affiance of Redding Museums, a California Non-Profit Corporation, referred to in this lease as 'Tenant". A. Landlord is the owner of certain real property in the City of Redding, County of Shasta, State of California, described on Exhibit "A". B. Tenant desires to lease the Premises (together with certain appurtenant rights and easements) for the purpose of constructing and operating a Museum Park, appurtenant park- ing areas and other related improvements (collectively referred to in the lease as "the Im- provements") pursuant to this lease. i ARTICLE 1. LEASE OF PREMISES AND TERM OF LEASE Agreement to Lease Section 1.01. In Consideration of the construction, establishment, and operation of a Museum Park on the Premises by Tenant, Landlord agrees to lease the Premises to Tenant on the terms and conditions set forth on this lease. Unless expressly stated otherwise in the lease, 'The Premises" includes the real property plus any appurtenances and easements de- scribed in Exhibit "A", and any improvements now located upon those Premises including but not limited to the certain structure commonly known as the "Monolith". Status of Title Section 1.02. Title to the leasehold estate created by this lease is subject to all excep- tions, easements, rights, rights-of-way, and other matters of record set forth on the Prelimi- nary Title Report issued by Redding Title Company dated September 13, 1991, a copy of which is attached as Exhibit 'B". i Term of Lease Section 1.03. The term of this lease shall be for a period of 55 (fifty-five) years commencing upon the execution of this lease by both parties, unless terminated earlier as provided under this lease. 1 1 • Option to Renew Section 1.04. Provided that Landlord consents, which consent shall not be unreasonably refused, Tenant shall have the right to renew this lease for an additional term of 55 (fifty-five) years upon the all the terms and conditions contained herein. The Option to Renew shall be q deemed exercised by Tenant, unless Tenant delivers to Landlord at least six months prior to the expiration of the term, a written election not to renew, and Landlord shall be deemed to have consented to the renewal if Landlord does not affirmatively reject the renewal at least three months prior to the renewal date. It is the intent of the parties to allow the long-term renewal of this lease so long as Tenant's activities are within its purposes as set forth herein, I without violating the provisions of California Government Code Section 37380. If this provision I is finally held by courts of competent jurisdiction to violate that Section or its successor, then the parties nevertheless shall take all reasonable steps to carry out this expressed intent. Right of First Refusal Section 1.05. If Landlord sells or offers to sell the Premises or any portion thereof at any time during the term of this lease, or any extension thereof, Tenant shall have the right to 'i purchase such property being sold or offered for sale on the terms contained in the offer to sell or any other terms which Landlord has agreed to accept in writing from a prospective purchas- er. A copy of the offer to sell or the written agreement to sell shall be given to Tenant upon its execution. Tenant shall have 90 (ninety) days after receipt of such notice to inform Landlord in writing that it desires to purchase the real property upon the terms contained in the offer or in the executed agreement. Escrow for the purchase of the property shall close within the time i set forth in such written agreement or 180 (one hundred and eighty) days, whichever is longer, plus such additional time as may be reasonably required to obtain necessary permits or appro- vals from any governmental agency. Failure to exercise the Right of First Refusal shall not constitute a waiver of the right as to subsequent offers to sell or sales, nor operate to cancel this lease, which shall remain binding upon any subsequent owner of the property. jRESERVATION OF ACCESS Section 1.06. Landlord reserves the right of access across the leased premises for ingress and egress and utility purposes to property not included in the leased premises. The exact location of such route or routes shall be determined by the parties as the need may arise but shall not adversely affect Tenant's activities on thhe premises. �f I 2 i NORTHERN RIVERFRONT OF PREMISES Section 1.07. The parties acknowledge that Landlord plans to establish an extension of the Sacramento River Trail along the Sacramento River within a portion of the premises. Ten- ant's activities therefor will not interfere with the development of the Sacramento River river- front within fifty feet from the top of the river bank for such and similar purposes, but Land- lord's development in that zone shall be compatible with Tenant's activities, purposes, and i development of the premises. USE OF PARKING LOTS Section 1.08. The parties acknowledge that the use of the premises by Tenant and the use of Landlord's adjoining property by the public may from time to time require overflow parking. Landlord and Tenant shall therefor have reciprocal rights for such overflow parking upon the other's parking lots. Such parking rights shall be coordinated by the parties with due regard for the needs of the other party. However, each party shall have the right to reserve a reasonable number of parking spaces which shall not be subject to pre-emption by the other party. i ARTICLE 2. RENT I Minimum Rent Section 2.01. As consideration for the execution of this lease and as rent, Tenant agrees to undertake the construction and operation of a Museum Park upon the Premises. The park shall consist of museums which shall be open to the public and dedicated to serve the public, and may include meeting rooms, food and banquet facilities, gift shops, educational and scientific research activities, and other facilities and activities which are normal and appropriate for museums. No Partnership or Joint Venture i Section 2.02. Nothing in this lease shall be construed to render the Landlord in any way or for any purpose a partner, joint venturer, or associate in any relationship with Tenant other than that of Landlord and Tenant, nor shall this lease be construed to authorize either to act as agent for the other. 'j ARTICLE 3. USE OF PREMISES Permitted Use Section 3.01. Tenant shall use the Premises solely for the purpose of constructing and operating a Museum Park and related facilities and activities, including but not limited to i 3 I museums open to the public, meeting rooms, research and educational facilities and programs, food and banquet services, gift shops, pathways and common areas. i Compliance With Laws Section 3.02. Tenant shall comply with all statutes, ordinances, regulations and re- quirements of all governmental entities relating to Tenant's use and occupation of the premis- es. Prohibited Uses Section 3.03 Tenant shall not knowingly use or permit the Premises or any portion of the Premises to be improved, developed, used or occupied in any manner or for any purpose that is in any way in violation of any valid law, ordinance, or regulation of any federal, state, county, or local governmental agency, body or entity. Furthermore, Tenant shall not maintain, commit, or permit the maintenance or commission of any nuisance as now or hereafter defined i by any statutory or decisional law applicable to the Premises or any part of the Premises. Landlord acknowledges, however, that the historic exemption of the Redding Museum of Art and History and the other museums which shall occupy the premises from the operation of Policy 13 (also known as Resolution Number 4148, Policy Number 1201) of the Redding City Council (relating to the use of City of Redding property for fund-raising purposes) shall contin- ue upon the premises. No Discrimination Section 3.04. Tenant shall make its activities and services available to members of the public without discrimination as to race, color, creed, religion, sex, age, national origin or any other reason forbidden by law. Tenant shall have the right to charge reasonable fees and charges and to promulgate and enforce reasonable rules relating to the facilities and shall have the privilege to refuse admittance to any person or persons for any just and lawful cause. ARTICLE 4. TAXES AND UTILITIES Tenant to Pay Taxes Section 4.01. Except to the extent that all or part of the property or activities of Tenant or subtenant may be exempt from taxation, Tenant shall pay during the term of this lease, without abatement, deduction, or offset, any and all real and personal property and possessory interest taxes levied or assessed during the term of this lease by any governmental agency or entity on or against the Premises, the Improvements, and the leasehold estate created by this lease. Any such taxes shall be prorated to take into account the beginning and end of this lease. Any such taxes and assessments paid by Tenant shall be paid at least ten days before 4 I i the delinquency date. Tenant shall give Landlord proof of the payment of such taxes. If any such taxes or assessments are payable in installments, Tenant shall have the right to make i such installment payments, even if by so doing the Premises would become encumbered by bonds. Utilities Section 4.02. Tenant shall pay for all utility services required to operate all Tenant- provided facilities within the Museum Park. ARTICLE 5. CONSTRUCTION BY TENANT Duty to Construct '! Section 5.01. Tenant shall, at Tenant's sole cost and expense, undertake to construct or cause to be constructed on the Premises, a Museum Park, according to the terms and conditions specified in this Article or elsewhere in this lease. However nothing in this lease shall prevent Landlord from agreeing to contribute to the cost of such construction by providing services, materials, funds, assistance in obtaining funds or any other assistance. Master Plan Approval Section 5.02. No structure or other improvement of any kind shall be constructed on the Premises unless and until the master plan for the general location for the museums and other major improvements upon the Premises have been approved in writing by Landlord. Preparation and Submission of Plans Section 5.03. Tenant shall, at Tenant's own cost and expense, engage licensed archi- tects and/or engineers to prepare plans and specifications for the Museum Park and the improvements therein, and within two years after the execution of this lease shall deliver to Landlord, at least two copies of the plans and specifications and construction cost estimates for the construction of the first phase of the Museum Park. Tenant shall likewise comply with applicable laws and rules relating to Premises for the construction of improvements upon the Premises. At least two copies of additional plans and specifications for subsequent phases of the Museum Park shall likewise be delivered to the Landlord prior to the commencement of construction of such subsequent phases. 5 ! Compliance With Law and Standards Section 5.04. The Museum Park shall be constructed, all work on the Premises shall be performed, and all buildings or other improvements on the Premises shall be erected in accor- dance with all valid laws, ordinances, regulations, and orders of all federal, state, county, or local governmental agencies or entities having jurisdiction over the Premises; provided, howev- er, that any structure or other improvement erected on the Premises, including the Museum Park, shall be deemed to have been constructed in full compliance with all such valid laws, ordinances, regulations, and orders when a valid final Certificate of Occupancy entitling Tenant and subtenants of Tenant to occupy and use the structure or other improvement has been duly issued by proper governmental agencies or entities. All work performed on the Premises pursuant to this lease, or authorized by this lease, shall be done in a good workmanlike manner and only with quality materials and high standard. Time for Commencement and Completion Section 5.05. Tenant shall cause construction of the Museum Park or the first phase thereof to be commenced as soon as reasonably possible after Tenant has secured the neces- sary funding, commitment to fund or grant money, which Tenant believes is reasonably neces- sary to complete such phase, taking into account Tenant's reasonable belief as to funding which may become available after commencement of construction. Tenant shall cause con- struction of the Museum Park thereafter to be diligently pursued without unnecessary interrup- tion. Tenant shall be excused for any delays in construction or commencement of construction caused by the act of Landlord, the act of any agent of Landlord, the act of any governmental authority, the act of any public enemy, acts of God, the elements, war, war defense condi- tions, litigation, strikes, walkouts, or other causes beyond Tenant's control. Tenant shall, however, use reasonable diligence to avoid any such delay and to resume construction as promptly as possible after the delay. Unless Tenant has spent or contractually committed to ' spend at least $5,000,000 in the planning, design, administration, and construction before ten years after the execution of this lease, Landlord shall have the right to review this lease and Tenant's performance and shall have the right to terminate this lease if reasonable perfor- mance, under all the circumstances, has not been accomplished. Mechanics' Liens Section 5.06. At all times during the term of this lease, Tenant shall keep the Premises and all Improvements now or hereafter located on the Premises free and clear of all liens and claims of liens for labor, services, materials, supplies, or equipment performed on or furnished to the Premises. 6 I I I Zoning and Use Permits Section 5.07. Should Tenant deem it necessary or appropriate to obtain any use permit, variance, or rezoning of the Premises in Order to construct or operate the Museum Park, Landlord agrees to execute any documents, petitions, applications, and authorizations that may be necessary or appropriate and hereby appoints Tenant as Landlord's attorney in fact to execute in the name and on behalf of Landlord any such documents, petitions, applications, or i authorizations. Ownership of Improvements Section 5.08. Title to all Improvements, including the Museum Park, to be constructed on the Premises by Tenant shall be owned by Tenant until the expiration of this lease (including renewal terms) or earlier termination of this lease on account of a default by Tenant, at which time title shall pass to Landlord without cost to Landlord . Tenant shall surrender Improve- ments to Landlord upon the expiration of the term or earlier termination caused by the default of Tenant, free and clear of all liens and encumbrances, other than those, if any, permitted under this lease or otherwise consented to by Landlord. However, if this lease is terminated on account of any default by Landlord or the exercise of any Right of Eminent Domain or other taking of the Premises, then title to the Improvements shall pass to Landlord or to the entity doing the taking but compensation for the value of such improvements shall be paid to and belong to Tenant, so that Tenant shall have the means and ability to carry on its purposes by use of other facilities or other means. ARTICLE 6. ENCUMBRANCE OF LEASEHOLD ESTATE Tenant's Right to Encumber Section 6.01. Tenant may, at any time and from time to time during the term of this lease, encumber to any institutional lender regulated by state or federal authority (referred to in this lease as a "Lender"), by deed of trust or mortgage or other security instrument, all of Tenant's interest under this lease and the leasehold estate hereby created in Tenant (referred to in this lease as a "Leasehold Encumbrance") for any purpose or purposes without the consent of Landlord. However, no Leasehold Encumbrance incurred by Tenant pursuant to this Section shall, and Tenant shall not have power to incur any encumbrance that shall, constitute in any way a lien or encumbrance on the Landlord's fee interest in the Premises. Any lease- hold Encumbrance shall be subject to all covenants, conditions, and restrictions set forth in this lease and to all rights and interests of Landlord, except as otherwise provided in this lease. 7 Tenant shall give Landlord prior written notice of any Leasehold Encumbrance, together with a copy of the deed of trust, mortgage, or other security interest evidencing the Leasehold Encumbrance. Notice to and Service on Lender Section 6.02. Landlord shall mail to any Lender who has given Landlord a written notice of its name and address, a duplicate copy of any and all notices Landlord may from time to time give to or serve on Tenant pursuant to or relating to this lease, including but not limited to any notice of default, notice of termination or notice regarding any matter on which Landlord I may predicate or claim a default. Any notices or other communications permitted by this or any other section of this lease or by law to be served on or given to Lender by Landlord shall be deemed dulyserved on or given to Lender when 9 deposited in the United States mail first- class postage prepaid, addressed to Lender at the last mailing address for Lender furnished in writing by the Lender to Landlord. I No Modification Without Lender's Consent Section 6.03. For as long as there is any Leasehold Encumbrance in effect, Tenant and :i Landlord hereby expressly stipulate and agree that they will not modify this lease in any way nor cancel this lease by mutual agreement without the written consent of Lender having that Leasehold Encumbrance. Right of Lender to Realize on Security Section 6.04. A Lender with a Leasehold Encumbrance shall have the right at any time during the term of this lease and the existence of this encumbrance to: (a) Do any act or thing required of Tenant under this lease, and any such act or thing done and performed by Lender shall be as effective to prevent a forfeiture of Tenant's rights under this lease as if done by Tenant; (b) Realize on the security afforded by the leasehold estate by foreclosure proceedings, accepting an assignment in lieu of foreclosure, or other remedy afforded in law or in equity or by the security instrument evidencing the Leasehold Encumbrance (referred to in this lease as "the Security Instrument") and to: (1) Transfer, convey, or assign the title of Tenant to the leasehold estate created by this lease to any 'I 8 a i purchaser at any foreclosure sale, whether the foreclosure sale is conducted pursuant to court order or pursuant to a power of sale contained in the Security Instrument, or to an assignee pursuant to an assignment in lieu of foreclosure; and (2) Acquire and succeed to the interest of Tenant under this lease by virtue of any foreclosure sale, whether the foreclosure sale is conducted pursuant to a court order or pursuant to a power of sale i contained in the Security Instrument, or by virtue of an assignment in lieu of foreclosure. The Lender or any person or entity acquiring the leasehold estate shall be liable to per- form Tenant's obligations under this lease only during the period, if any, in which that entity or person has ownership of the leasehold estate or possession of the Premises. Right of Lender to Cure Defaults Section 6.05. For as long as there is in effect any Leasehold Encumbrance, before Landlord may terminate this lease because of any default under or breach of this lease by Tenant, Landlord must give written notice of the default or breach to Lender and afford Lender the opportunity after service of the notice to: (a) Cure the breach or default within 90 days after expiration of the time period granted to the Tenant under this lease for curing a default, when the default can be cured by the payment of money to Landlord or some other person; (b) Cure the breach or default within 120 days after expiration of the time period granted to the Tenant under this lease for curing a default, when the breach or default must be cured by something other than the payment i of money and can be cured within that time; or (c) Cure the breach or default in any reasonable time that may be required when something other than money is required to cure the breach or default and cannot be performed within 60 days after expiration of the time period granted to the tenant under this lease for curing 9 i i 0 a default, provided that acts to cure the breach or default are commenced within that time period after service of notice of default on Lender by Landlord and are thereafter diligently continued by Lender. I Transfer of Title Upon Foreclosure Section 6.06. Any person or entity who acquires title to the leasehold interest or any person thereof as a result of foreclosure shall be required to carry out the functions of the Tenant upon the Premises unless otherwise excused by Landlord and shall establish one or more non-profit corporations or similar entities for that purpose. However, Landlord shall have the sole discretion to determine the nature of the activities to be carried on by such entity on the Premises if such activities differ in any material respect from those carried on by Tenant or its subtenants in the operation of the Museum Park. Landlord shall not be required to accept such entity as a successor Tenant under this lease nor to execute or to negotiate a new lease with such successor tenant if the conduct of such activities which materially differ from those of Tenant and the operation of the Museum Park are not approved by Landlord. Lender as Assignee of Lease Section 6.07. No Lender under any Leasehold Encumbrance shall be liable to Landlord as an assignee of this lease unless and until Lender acquires all rights of Tenant under this lease through foreclosure, an assignment in lieu of foreclosure, or as a result of some other action or remedy provided bylaw or by the instrument creating the Leasehold Encumbrance. Two or More Lenders Section 6.08. In the event two or more Lenders each exercise their right under this lease and there is a conflict that renders it impossible to comply with all requests of the Lenders, the Lender whose Leasehold Encumbrance would have senior priority in the event of a foreclosure shall prevail. ARTICLE 7. REPAIRS AND RESTORATION Maintenance by Tenant Section 7.01. During the term of this lease Tenant shall, at Tenant's own cost and expense, keep and maintain the Premises in first-class condition, in good order and repair, and in a safe and clean condition. 10 i Tenant's Duty to Restore Premises I Section 7.02. If at any time during the term of this lease, any Improvements now or i hereafter on the premises are destroyed in whole or in part by fire, theft, the elements, or any other cause not the fault of Landlord, this lease shall continue in full force and effect and Tenant, at Tenant's own cost and expense, shall repair and restore the damaged improve- ments or construct other appropriate improvements or exhibits. The work of repair and resto- ration shall be commenced by Tenant within 180 days after the damage or destruction occurs and shall be completed with due diligence after the work is commenced. In all other respects, the work of repair and restoration shall be done in accordance with the requirements for original construction work on the Premises set forth in Article 5 of this lease. Tenant's obligation for restoration described in this Section shall not be required to exceed insurance proceeds which become available because of such damage or destruction. Option to Teminate Lease for Destruction Section 7.03. Notwithstanding Section 7.02 of this lease, Tenant shall have the right to terminate this lease if, during the last 20 years of the term of this lease or any renewal term, the Improvements are damaged or destroyed and the cost to repair or restore the damaged or destroyed Improvements exceeds 50 percent of the fair market value of the Improvements immediately prior to the damage or destruction. ARTICLE 8. INDEMNITY AND INSURANCE Indemnity Agreement Section 8.01. Tenant shall indemnify and hold Landlord and the Property of Landlord, including the Premises and Improvements now or hereafter on the Premises, free and harmless from any and all liability, claims, loss, damages, or expenses resulting from Tenant's occupa- tion and use of the Premises, specifically including, without limitation, any liability, claim, loss, damage, or expense arising by reason of: (a) The death or injury of any person, including Tenant or any person who is an employee or agent of Tenant, or by reason of the damage to or destruction of any property, including property owned by Tenant or by any person who is an employee or agent of Tenant, from any cause whatever while that person or property is in or on the Premises or in any way connected with the Premises or with any of the Improvements or personal property on the Premises; 11 (b) The death or injury of any person, including Tenant or any person who is an employee or agent of Tenant, or by reason of the damage to or destruction of any property, including property owned by Tenant or any person who is an employee or agent of Tenant, caused or allegedly caused by either (1) the condition of the Premises or some building or improvement on the Premises, or (2) some act or omission on the Premises of Tenant or any person in, on, or about the Premises with the j permission and consent of Tenant; (c) Any work performed on the Premises or materials furnished to the Premises at the instance or request of Tenant or any person or entity acting for or on behalf of Tenant; or (d) Tenant's failure to perform any provision of this lease or to comply with any requirement of law or any requirement imposed on Tenant or the Premises by any duly authorized governmental agency or political subdivision. Insurance Section 8.02 Tenant shall procure and maintain for the duration of the lease insurance against claims for injuries to persons or damages to property which may arise from or in connection with the tenant's operation and use of the leased premises. The cost of such insurance shall be borne by the tenant. The limits of the insurance shall be subject to negotia- tion and reasonable increase or decrease at the beginning of each five (5) years of this lease. (a) Coverage shall be at least as broad as, with limits no less than: (1) Insurance Services Office Commercial General Liability coverage (occurrence form CB 0001), at $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability Insurance or other form with a general aggregate limit is used, the general aggregate limit shall be twice the required occurrence limit. i 12 (2) Workers' Compensation insurance as required by the State of California and Employer's Liability insurance (for tenants with employees), at $1,000,000 per accident for bodily injury ' or disease. (3) Property insurance against all risks of loss, including flood, if required, to any tenant improvements or betterments, at full replacement cost with no coinsurance penalty provision. (4) Course of Construction Insurance Form providing coverage for "all risks" of loss, at completed value of the project. i (b) The general liability policy is to be endorsed to contain the following provisions: (1) The City, its officers, officials, employees and volunteers are to be covered as insureds as respects: liability arising out of premises owned, occupied or used by the tenant. The coverage shall contain no special limitations of the scope of protection afforded to the City, its officers, officials, employees or volunteers. (2) The tenant's insurance coverage shall be primary insurance as respects the City, its officers, officials, employees and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees or volunteers shall be excess of the tenant's insurance and shall not contribute with it. (3) Any failure to comply with reporting or other provisions of the policies including breaches of warranties shall not affect coverage provided to the City, its officers, officials, employees or volunteers. (4) Coverage shall state that the tenant's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. (5) Each insurance policy required by this clause shall be endorsed 13 to state that coverage shall not be suspended, voided, canceled, 'i reduced in coverage or in limits except after thirty (30) days' prior written notice has been given to the City. j (c) Any deductibles or self-insured retentions must be declared to and approved by the City. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its officers, officials, employees and volunteers; or the lessee 'I shall procure a bond guaranteeing payment of losses and related investigations, claim administration and defense expenses. (d) For as long as there is any Leasehold Encumbrance in existence, the property policy shall also contain a standard lender endorsement. However, tenant shall not be required to obtain such insurance until the actual construction of the Museum Park. (e) Insurance is to be placed with insurers with a current A.M. Best's rating of no less than A:VII and licensed to do business in the State of California. I (f) Tenant shall furnish the City with original endorsements effecting coverage required by this section. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All endorsements are to be received and approved by the City before work commences. Deposit of Insurance With Landlord and Lender Section 8.03. Tenant shall, within 60 days after insurance is required by this lease and promptly thereafter when any such policy is replaced, rewritten or renewed, deliver to Landlord and to Lender a true and correct copy of each insurance policy required by this Article of this i lease or a certificate executed by the insurance company or companies or their authorized agent evidencing that policy or policies. Notice of Cancellation of Insurance Section 8.04. Each insurance policy required under this Article shall contain a provision that it cannot be canceled for any reason unless at least 30 (thirty) days prior written notice of the cancellation is given to Landlord and to Lender in the manner required by this lease for service of notices on Landlord by Tenant. 14 ARTICLE 9. EMINENT DOMAIN ' Option to Terminate Upon Taking i Section 9.01. If there is a taking under the power of eminent domain by any public or quasi-public authority of the entire Premises, or such a portion thereof, that Tenant deems jthat the operation of the Museum Park is adversely effected, then Tenant shall have the option to terminate this lease as of the date title becomes vested in the entity exercising the power of eminent domain, or the date actual physical possession is taken by such entity, or whichever occurs first, and the parties shall thereon be released from any liability to the other thereafter accruing. Condemnation Award Section 9.02. Any compensation or damages awarded or payable because of the taking of all or any portion of the Premises by eminent domain shall be allocated between Landlord and Tenant as follows: (a) All compensation or damages awarded or payable for the taking by eminent domain of any land that is part of the Premises shall be paid to and be the sole property of Landlord, free and clear of any claim of Tenant or any person claiming rights through or under Tenant. (b) All compensation or damages awarded or payable because of any Improvements constructed on the Premises which are taken by eminent domain shall be paid to and be the sole property of Tenant free and clear of any claim of Landlord. in - rt /'�✓� c -p�e�ises-� i '(c) Any severance damages awarded or payable because only a portion of the Premises is taken by eminent domain shall be used to the extent required by this lease to replace any improvements or parking areas so taken. To the extent that such use of severance damages is not 15 ._ y • • • r P required,then the severance damages shall be payable to and be the sole property of Tenant, free and clear of any claim of Landlord. I I Restoration by Tenant Section 9.03. Tenant shall have the right to use funds received from any partial taking i to construct, improve or enhance improvements or programs upon the Premise which are in keeping with the purpose of the Museum Park, but shall not be required to replace or restore the very thing that was taken by such exercise of the power of eminent domain. Voluntary Conveyance in Lieu of Eminent Domain Section 9.04. A voluntary conveyance by Landlord of title to all or a portion of the Premises to a public or quasi-public agency or entity in lieu of and under threat by that agency or entity to take it by eminent domain proceedings shall be considered a taking of title to all or a portion of the Premises under the power of eminent domain subject to the provisions of this Article. ARTICLE 10. ASSIGNMENT AND SUBLEASING No Assignment Without Landlord's Consent Section 10.01. Tenant shall have the right to sublease portions of the Premises to museums which are associated with Tenant and to other persons or entities for purposes and uses which are incident and normal to the use of museums, such as gift shops and food service facilities. Tenant shall not assign this lease or any interest thereon and shall not sub- lease the Premises or any portion thereof to any other persons without the prior written cons- ent of Landlord. Such consent, however, shall not be unreasonably refused. A consent by Landlord to one assignment or sublease shall not be deemed a consent to any subsequent assignment or sublease. Neither this lease nor any interest therein shall be assignable as to the Tenant's interest by operation of law, without the written consent of Landlord. If Tenant's existence is terminated but it is succeeded by one or more public or private entities among whose functions and purposes is the development and opperation of the Museum Park, this lease shall be deemed assigned to such successors unless Landlord reasonably establishes that such assignment does not further the development and operation of the Museum Park. If Tenant's existence is otherwise terminated, the rights of any subleasees, including museum operators, shall be recognized and their subleases shall be subject only to reasonable modifica- tion under the circumstances. 16 i ARTICLE 11. DEFAULT AND REMEDIES Breach and Default by Tenant Section 11.01. All covenants and agreements contained in this lease are declared to be conditions to this lease. Should Tenant fail to perform any covenant, condition, or agreement contained in this lease and the default not be cured within 120 days after written notice of the default is served on Tenant by Landlord, then Tenant shall be in default under this lease. Upon breach by Tenant, Landlord shall have the right to terminate this lease by written notice or to bring an action in court of competent jurisdiction to require Tenant to specifically perform the conditions and covenants of this lease. Breach by Landlord Section 11.02. All covenants and agreements contained in this lease to be performed by Landlord are likewise declared to be conditions to this lease. Should Landlord fail to perform any such covenants, conditions, or agreements and the default is not cured within 120 days after written notice of the default is served upon Landlord by Tenant, then Landlord shall be in default under this lease. If the default is not cured within the cure period, Tenant shall have all rights allowed by law in addition to the right to terminate this lease, maintain an action against Landlord for specific performance, damages, declaratory relief or other appropriate proceed- ings. The parties acknowledge that the Tenant exists for the purpose of constructing, operat- ing and providing Museum services for the benefit of the public and that the carrying out of such purpose would be severely hampered or made impossible by the termination of this lease without adequate compensation. Therefore, if Tenant terminates the lease because of Land- lord's breach not cured during the cure period, and Tenant may elect to recover as damages from Landlord, the value at the time of termination of the Improvements installed by Tenant. The valuation, in such event, shall take into account the purpose for which the Improvements were constructed and the continuing suitability of the Premises for a Museum Park. ARTICLE 12. TERMINATION Surrender of Premises Section 12.01. On expiration or earlier termination of this lease, Tenant shall surrender the Premises and all Improvements in or on the Premises to Landlord in as good, safe, clean condition as practicable, reasonable wear and tear excepted and subject to Tenant's rights for compensation. Except as set forth herein upon such expiration or earlier termination, Tenant and its subtenants shall have the right to remove all of their personal property, exhibits, and trade fixtures. 17 ARTICLE 13. MISCELLANEOUS Force Majeure 1 Section 13.01. Except as otherwise expressly provided in this lease if theerforman p ce of any act required by this lease to be performed by either Landlord or Tenant is prevented or 'I delayed by reason of any act of God, strike, lockout, labor trouble, inability to secure materials i or adequate financing, restrictive governmental laws or regulations, or any other cause not the fault of the party required to perform the act, the time for performance of the act will be extended for a period equivalent to the period of delay and performance of the act during the period of delay will be excused. Attorney's Fees Section 13.02. Should any litigation be commenced between the parties to this lease concerning the Premises, this lease, or the rights and duties of either in relation thereto, the party prevailing in that litigation shall be entitled, in addition to any other relief that may be granted in the litigation, to a reasonable sum as and for the party's attorney's fees in that liti- gation that shall be determined by the court in that litigation or in a separate action brought for that purpose. Notices to Landlord or Tenant Section 13.03. Notices to be given pursuant to this lease shall be given in person or by First Class, Registered, or Certified Mail, postage prepaid, and addressed as follows, unless and until a subsequent address is given by one party to the other: (1) To Landlord: c/o City Manager, City Hall 760 Parkview Avenue Redding, CA 96001-3396 (2) To Tenant: P.O. Box 494516 Redding, CA 96049-4516 Governing Law Section 13.04. This lease, and all matters relating to this lease, shall be governed by the laws of the State of California in force at the time any need for interpretation of this lease or any decision or holding concerning this lease arises. 18 Binding on Heirs and Successors Section 13.05. This lease shall be binding on and shall inure to the benefit of the suc- cessors and assigns of the parties hereto. Partial Invalidity Section 13.06. If any provision of this lease is held by a court of competent jurisdiction to be either invalid, void, or unenforceable, the remaining provisions of this lease shall remain in full force and effect unimpaired by the holding, if the invalid, void or unenforceable part may be severed from the entire lease without defeating the intent of this agreement. Sole and Only Agreement Section 13.07. This instrument constitutes the sole and only agreement between Land- lord and Tenant respecting the Premises, the leasing of the Premises to Tenant, the construc- tion of the Museum Park described in this lease on the Premises, and the lease terms set forth in this lease, and correctly sets forth the obligations of Landlord and Tenant to each other as of its date. Any agreements or representations respecting the Premises, their leasing to Tenant by Landlord, or any other matter discussed in this lease not expressly set forth in this instru- ment are null and void. Time of Essence Section 13.08. Time is expressly declared to be of the essence of this lease. Memorandum of Lease Section 13.09. Neither party shall record this lease without the written consent of the other, but either will, at the request of the other, execute a memorandum of this lease for the purposes of recording in a form suitable for recordation. Such memorandum shall describe the parties, the description of the leased premises, specify the term of this lease, incorporate this lease by reference, and include any other provisions reasonably requested by either party. EXECUTED on at Redding, California. LANDLORD Printed Name and Title /• �./• ��ary� —v0'7 l'.t e TENANT Prin a an Title ° 19 I October 7, 1991 Job 91. 115 Alliance of Redding Museums Turtle Bay, Parcel 1 Exhibit A A parcel of land, situated in a portion of Sections 11 and 13 of the P.B. Reading Grant, City of Redding, County of Shasta, State of i California, said parcel more particularly described as follows: Beginning at a point on the northerly line of California Highway 299 as shown on that certain map entitled 'STATE OF CALIFORNIA DIVISION OF HIGHWAYS DISTRICT 02 RECORD OF SURVEY OF MONUMENTATION IN SHASTA COUNTY ON ROUTE 299 P.M 24.5 TO P.M 25.7, Sheet 3 of 4, as recorded in Book 36 of Land Surveys at Page 79, Shasta County Records, said point being at Station 51+90, 187 ' left per said map; thence from said Point of Beginning, along the northerly right-of- way of said highway South 63 °25122" East (South 63 °32122" East per said map) 64 . 28 feet; thence South 72° 14122" East 255.80 feet; thence South 84025140" East 354.04 feet; thence leaving said right- of-way, North 47°38149" East 736. 12 feet; thence North 63 °26106" East 212 .43 feet; thence North 25°04103" West 342 .24 feet; thence South 86'47104" West 445.70 feet; thence North 28°09122" West 805.29 feet; thence South 83013157" West 541.41 feet; thence South 57°21118" West 169. 07 feet; thence South 54037111" East 423 . 14 feet; thence South 08007148" East 70. 71 feet; thence South 36015114" West 279. 02 feet; thence South 15°31127" East 186. 35 feet; thence South 29006145" West 305. 69 feet; thence South 05° 34120" West 147 . 09 feet to a point on the northerly line of said Highway 299 at the Butte St. Interchange as shown on said map; thence along said northerly line, South 84°25140" East 35. 00 feet; thence from a tangent bearing South 05°34120" West, along a curve to the left having a radius of 100. 00 feet, a central angle of 44°04126" and an arc distance of 76. 92 feet; thence South 52 °03100" East 143 . 69 feet to the Point of Beginning. The above described parcel contains 33 .53 acres more or less. ' 1 October 7, 1991 - - Job 91. 115 Alliance of Redding Museums Turtle Bay, Parcel 2 Exhibit A A parcel of land, situated in the southeast one-quarter of Section 25; Township 32 North, Range 4 West, M.D.M. , and Sections 11 and 13 of the P.B. Reading Grant, all within the City of Redding, County of Shasta, State of California, said parcel being described in three (3) parts, designated herein as A through C, each being more particularly described as follows: Part A Commencing at a point on the northerly line ofIF'California Highway 299 as shown on that certain map entitled "STATE OF CALIFORNIA DIVISION OF HIGHWAYS DISTRICT 02 RECORD OF SURVEY OF MONUMENTATION IN SHASTA COUNTY ON ROUTE 299 P.M. 24 . 5 TO P.M 25.7, Sheet 3 of 4, as recorded in Book 36 of Land Surveys at Page 79, Shasta County Records, said point being at Station 51+90, 187 ' left per said map; thence from said point, along the northerly right-of-way of said highway the following, South 63025122" East (South 63032122" East per said map) 64.28 feet; thence South 72014122" East 255.80 feet; thence South 84°25140" East 354. 04 feet; to the Point of Beginning; thence from said Point of Beginning, leaving said right-of-way, North 47°38149" East 736. 12 feet; thence South 26°33154" East 645.28 feet to a point on said northerly right-of-way; thence along said northerly right-of-way, North 84 °25140" West 836. 53 feet to the Point of Beginning. The above described Part A contains 5.25 acres more or less. Part B Commencing at a point on the northerly line of California Highway 299 as shown on that certain map entitled "STATE OF CALIFORNIA DIVISION OF HIGHWAYS DISTRICT 02 RECORD OF SURVEY OF MONUMENTATION IN SHASTA COUNTY ON ROUTE 299 P.M. 24 . 5 TO P.M. 25. 7, Sheet 3 of 4, as recorded in Book 36 of Land Surveys at Page 79, Shasta County Records, said point being at Station 51+90, 187 ' left per said map; thence from said point, along the northerly right-of-way of said highway the following, South 63 °25122" East (South 63 °32122" East per said map) 64.28 feet; thence South 72° 14122" East 255.80 feet; thence South 84025140" East 354 . 04 feet; thence leaving said right- of-way, North 47038149" East 736. 12 feet; thence North 63026106" East 212.43 feet to the Point of Beginning of this parcel; thence from said Point of Beginning, South 25004103" East 85.00 feet; thence North 57°22137" East 550. 90 feet; thence North 01010109" East 245.05 feet; thence North 74034140" East 150. 42 feet more or 2 less to a point on the westerly water line of a bypass channel of the Sacramento River; thence along said westerly water line, North 15° 15 ' 18" West 171. 03 feet; thence leaving said westerly water line, South 72°53150" West 136. 01 feet more or less to a point which bears North 37°00'-54'" East 789 . 00 feet from the hereinabove described Point of Beginning; thence South 62042102" West 697.71 feet; thence South 25°04103" East 342 . 24 feet to the Point of Beginning. The above described Part B contains 6. 34 acres more or less. Part C Commencing at a point on the northerly line of California Highway 299 as shown on that certain map entitled "STATE OF CALIFORNIA DIVISION OF HIGHWAYS DISTRICT 02 RECORD OF SURVEY OF MONUMENTATION IN SHASTA COUNTY ON ROUTE 299 P.M. 24. 5 TO P.M. 25.7, Sheet 3 of 4, as recorded in Book 36 of Land Surveys at Page 79,Shasta County Records, said point being at Station 51+90, 187 ' left per said map; thence from said point, along the northerly right-of-way of said highway the following, South 63 °25122" East (South 63032122" East per said map) 64 . 28 feet; thence South 72° 14122" East 255.80 feet; thence South 84°25140" East 354 .04 feet; thence leaving said right- of-way, North 47°38149"East 736. 12 feet; thence North 63 °26106" East 212 .43 feet; thence North 25°04103" West 342.24 ' feet; thence South 86°47104" West 226. 56 feet more or less to a point on the westerly line of an existing Pacific Gas & Electric easement and the Point of Beginning; thence from said Point of Beginning, continuing South 86047104" West 219. 14 feet more or less to a point which bears North 47°20136" East 1084 . 35 feet from said point at Station 51+90. 187 ' left on the northerly line of California Highway 299 as shown said map entitled "STATE OF CALIFORNIA DIVISION OF HIGHWAYS DISTRICT 02 RECORD OF SURVEY OF MONUMENTATION IN SHASTA COUNTY ON ROUTE 299 P.M 24 .5 TO P.M 25.7, Sheet 3 of 4, as recorded in Book 36 of Land Surveys at Page 79, Shasta County Records; thence North 28°09122" West 805. 29 feet; thence South 83013157" West 541.41 feet; thence South 57°21118" West 169.07 feet; thence North 34° 19116" East 629. 62 feet plus or minus to a point on the South bank of the Sacramento River; thence Easterly along said river bank North 84 ° 17122" East 201. 00; thence Southerly along said river bank South 16°23122" East 177.20 feet; thence Easterly along said same river bank North 90000100" East 668.49 more or less to a point on the westerly line of said existing Pacific Gas & Electric easement; thence southerly along said westerly line of said easement South 00020100" East 912 . 72 feet more or less to the Point of Beginning. The above described Part C contains 13 . 58 acres more or less. 3 J a a i n O > <� � a a CL 2 cc w` w _ a. w w U) ,LO0 cr O OLLJ z Q } z > z > Z Q s ¢ w wOm cc ¢ co 2 Zr}- W ¢ w � Qw � cw U U S UQ ¢ U Q ¢ w � OIO- 0 (m Li- Zwo Zw — a x � Z �5�5,aO Q ¢ O Q o ¢ 3 O � 0 a `l1A} r QCCw ¢ ¢ w w I n. `nZ , 000 000 > v a a m °> so sba i z w } oz s z a.80,0 L.ion Q a Q � a x 1 N w Q g w cc w rv x 0 X O �\ J C7 L) O O tl Q U.. Q d w = z = 'I \ �co�momo �� D v cv 'tea, W a C70 aC7 0 Q \ Z N r 0 0(0 O d 0 to ci J -pan O {� Q CC U ¢ Q U (n < r-- ff)to 6 6 - O Q =N Lo dndmu»�N -i U P� s� Z Q z(d Q o :moo' Q t ALJf , r QQ. Q p w wwww�33 cz 'm. . .dd .7 d. . . .4 o W . P in r, d to i•)< 't r)•r- V a Lij F4 0 r1[V O O r p:t d o �r7�1n dNL� N(0(D \- c�+k <O z �(O OO CID U)Nn rl ao� U o J (^s P U)cn(oz P n 34Q�. J w N r) d In(D f- (A rn O '. '•'� ' N iJ J Q 0o Q m ---i Q a- N (c --------------------------------------------------------- ----------------- Q 00 i--- ---------------- - 500'20'00'c 912.72' W Q Q. F Z z a ala W P `W N o n �I CL \\ i LZ•g 0 \ / � I N 72 Z 6 N O N o \ I '�� a / .t w I n < W Yy pi r vi Y � e N � N I 6�9 7�1 a S a6 35 s�9 bFS ?f' •� �� bry Q�S V s T W O M W W N I i R E D& N G TITLE COMPANIS EXHIBIT B ' Issuing Policies of STEWART TITLE GUARANTY COMPANY P R E L I M I N A R Y R E P O R T ISSUED FOR THE SOLE USE OF: Alliance of Redding Museums Our Order No. 61573 P.O. Box 185 Reference: City of Redding I Redding, CA 96099 Attn: Larry Hopson Richard H. Carter 'I Special Projects 444 E. Cypress Avenue Redding, CA 96002 Phone: (916) 223-1505 FAX: (916) 223-0752 In response to the above referenced application for a policy of title insurance, STEWART TITLE GUARANTY COMPANY hereby reports that it is prepared to issue, or cause to be issued, as of the date. hereof, a Policy or Policies of Title Insurance describing the land and the estate or interest therein hereinafter set forth, insuring against loss which may be sustained by reason of any defect, lien or encumbrance not shown or referred to as an Exception in Schedule B or not excluded from coverage pursuant to the printed Schedules, Conditions and Stipulations of said Policy forms. ,i The printed Exceptions and Exclusions from the coverage of said Policy or Policies are set forth in the attached list. Copies of the Policy forms should be read. They are available from the office which issued this report. THIS REPORT (AND ANY SUPPLEMENTS OR AMENDMENTS THERETO) IS ISSUED SOLELY FOR THE PURPOSE OF FACILITATING THE ISSUANCE OF A POLICY OF TITLE INSURANCE AND NO LIABILITY IS ASSUMED HEREBY. IF IT IS DESIRED THAT LIABILITY BE ASSUMED PRIOR TO THE ISSUANCE OF A POLICY OF TITLE INSURANCE, A BINDER OR COMMITMENT SHOULD BE REQUESTED. Dated as of : September 13, 1991 at 7:30 a.m. r � Richard H. Carter Title Officer jd The form of policy of title insurance contemplated by this report is: CLTA Owner's The estate or interest in the land hereinafter described or referred to covered by this report is: A fee. Title to said estate or interest at the date hereof is vested in: The City of Redding, a municipal corporation as to Parcels One thru Twenty-One and The Redding Redevelopment Agency as to Parcel Twenty-Two STEWART TITLE GUARANTY COMPANY Order No. 61573 O • I DESCRIPTION PARCEL ONE: All that certain real property situated in the City of Redding, Shasta County, California, being a portion of Unsubdivided Redding, more particularly described as follows: COMMENCING at the intersection of the Easterly line of Continental Avenue and the Northerly line of Butte Street in the City of Redding, Shasta County, California; thence on and along the Northerly line of Butte Street, North 72020' East, 1089.50 (1090.00 record) feet to a point on the Westerly line of that certain parcel of land recorded in the office of the Shasta County Recorder May 5, 1942 in Book 2 of Transcripts of Judgement at Page 386, Shasta County Records; thence along said judgement line, North 72020' East, 895.46 feet to a point, said point being designated as "D-4"; thence North 37030' East, 48.00 feet; thence North 11°16' 58" East, 7.51 feet; thence North 5034' 20" East, 130.02 feet; thence South 84025'40" East, 80.01 feet; thence South 5034'20" West, 7.91 feet; thence North 37030' East, 101 . 34 feet to the True Point of Beginning; thence North 52030' West, 227.52 feet; thence North 37030' East, 429.67 feet; thence South 52030' East, 227.52 feet; thence South 37°30' West, 429.67 feet to the Point of Beginning, being a portion of that certain 24.20 acre parcel described in Book 98 of Deeds at Page 519, Shasta County Records. PARCEL TWO: COMMENCING at the intersection of the Easterly line of Continental Avenue and the Northerly line of Butte Street in the City of Redding, Shasta County, California; thence on and along the Northerly line of Butte Street, North 72020' East, 1089.50 (1090.00 record) feet to a point on the Westerly line of that Parcel described in Book 2, Transcripts of Judgement at Page 386 and recorded May 5, 1942, Shasta County Records; thence along said judgement line, the following courses: North 72020' East, 895.46 feet to a point being designated as "D-4" as referred to in that parcel recorded in Book 98 of Deeds at Page 519; thence North 37030' East, 884.50 feet to a point designated as "D-3" said point being Point of Beginning of this parcel; thence from said Point of Beginning, continuing along said judgement line, North 34018'32" West, 648.29 feet; thence, leaving said Judgement line, North 574.80 feet to a point on the centerline of the Sacramento River; thence, along said centerline the following courses: South 80021' West, 109.85 feet; thence South 69051 ' West, 278.14 feet to a point due North of the most Easterly corner of that parcel conveyed to the City of Redding, recorded on July 21, 1937, in Book 126 of Official Records at Page 224; thence leaving said centerline, South 458.71 feet to said most Easterly corner; thence, along the Southeasterly line of said City of Redding parcel, South 37030' West, 50.16 feet to the "Old Ben Oliver Corner", said corner being designated as "D-1"; thence along the Northerly line of said parcel recorded in Book 98 of Deeds at Page 519, the following courses: North 81030' East, 275.00 feet; thence South 42030' East, 730.00 feet to the Point of Beginning. CONTINUED STENVA11T TITLE GUARANTY COMPANY X90,^-1 0RJER1 N0. 61573 DESCRIPTION CONTINUED: PARCEL THREE: All that certain real property situated in the City of Redding, Shasta County, California, being a portion of Unsubdivided Redding, more particularly described as follows: COMMENCING at the intersection of the Easterly line of Continental Avenue and the Northerly line of Butte Street in the City of Redding, Shasta County, California; thence on and along the Northerly line of Butte Street, North 72020' East, 1089.50 (1090.00 record) feet to a point on the Westerly line of that certain parcel of land recorded in the Office of the Shasta County Recorder May 5, 1942, in Book 2 Transcripts of Judgement at Page 386 Shasta County Records; thence along said judgement line North 72020' East, 895.46 feet to a point, said point being designated as "D-4"; thence on along the North line of that certain parcel conveyed to Chris Kutras, et ux, recorded in the Office of the Shasta County Recorder on March 7, 1946, in Book 241 of Official Records at Page 432, Shasta County Records North 8305738" West, 479.01 feet; thence leaving said North line North 52°30' West, 524.84 feet to a point designated as "D-6"; thence on and along the Southwesterly line of that parcel conveyed to the City of Redding by deed, dated July 21, 1937, and recorded in the Office of the Shasta County Recorder in Book 126 of Official Records at Page 244, Shasta County Records North 37030' East, 1098.00 feet (North 38030' East, 1090.00 feet, record) to the Point of Beginning of this description said point designated as "D-1", also known as the "Old Ben Oliver Corner"; thence North 81030' East, 275.00 feet to a point designated as "D-2"; thence South 42030' East, 730 feet to a point designated as "D-3", said point being on the judgement line hereinbefore described; thence on and along said judgement line South 37030' West, 152.80 more or less; thence, North 52030' West, 910.08 feet; thence North 37030' East, 82.00 feet to the Point of Beginning of this description, being a portion of that certain 24.20 acre parcel described in Book 98 of Deeds at Page 519 Shasta County Records. PARCEL FOUR: Parcel A: COMMENCING at. the Southwest corner of the parcel described in the deed to Frank L. Wilson, et ux, recorded in the office of the County Recorder, April 7, 1958 in Book 562 of Official Records at Page 180, Shasta County Records, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets; thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to the Point of Beginning of this parcel; thence North 34018'32" West, 648.21 feet; thence North 130.00 feet; thence South 43°23'00" East, 510.00 feet; thence South 2055'30" East, 295.16 feet to the Point of Beginning. CONTINUED STE«'ART TITLE GUARANTY COMPANY 99c•1 ORDER ?i0. 61573 • •, DESCRIPTION CONTINUED: Parcel B: COMMENCING at the Southwest corner of the parcel described in the deed to Frank L. Wilson, et ux, recorded in the office of the County Recorder, April 7, 1958 in Book 562 of Official Records at Page 180, Shasta County Records, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet; thence North 34018132" West, 648.21 feet; thence North 130.00 feet to the Point of Beginning of this parcel; thence North 81007'00" East, 332.73 feet; thence South 2055' 30" East, 422. 58 feet; thence North 43023 '00" West, 510.00 feet to the Point. of Beginning. i Parcel D: COMMENCING at the Southwest corner of the parcel described in the deed to Frank L. Wilson, et ux, recorded in the office of the County Recorder, April 7, 1958 in Book 562 of Official Records at Page 180, Shasta County Records, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet; thence North 34018'32" West, 648.21 feet; thence North 130.00 feet to the Point of Beginning of this parcel; thence, continuing North 444.73 feet; thence North 80021 '00" East, 310.37 feet; thence South 2055'30" East, 445.96 feet; thence South 81007'00" West, 332.73 feet to the Point of Beginning. PARCEL FIVE: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72°20'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". Area A: COMMENCING at Point "A" as described above, the True Point of Beginning of this description, thence, North 2055' 30" West, 295.16 feet; thence, South 43°23'00" East, 193.84 feet; thence, South 37030'00" West, 193.97 feet, to the True Point of Beginning of this description. Area B: COMMENCING at Point "A" as described above, thence, North 2055'30" West, 295.16 feet, to the True Point of Beginning of this description; thence, continuing North 2055'30" West, 422.58 feet; thence, North 81007'00" East, 505.00 feet; thence South 30011110" West, 719.79 feet; thence, North 43023 '00" West, 168.10 feet to the True Point of Beginning of this description. Area D: COMMENCING at Point "A" as described above, thence, North 2055'30" West, 717.74 feet, to the True Point of Beginning of this description; thence, continuing North 2055'30" West, 445.96 feet; thence, North 80021 '00" East 79.73 feet; thence, South 87057'10" East, 651.46 feet; thence, South 30011110" West, 413.57 feet; thence, South 81007'00" West 505.00 feet to the True Point of Beginning of this description. CONTINUED STEAVART TITLE GUARANTY COMPANY I • ORDER-' NO. 61573 • DESCRIPTION CONTINUED: PARCEL SIX: Parcel 1 : COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030100" East, 884.42 feet to a point hereafter referred to as Point "A". Area A: COMMENCING at Point "A" as described above, the Point of Beginning of this description; thence, South 45047 ' 37" East, 655.78 feet; thence South 49001 '06" West, 179.00 feet; thence, North 45047' 37" West, 619.79 feet; thence, North 37030'00" East, 179.60 feet to the Point of Beginning of this description. Parcel 2: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point Area A: COMMENCING at Point "A" as described above, thence, South 37030'00" West, 179.60 feet to the Point of Beginning of this description; thence, South 45047'37" East, 619.79 feet; thence South 49001 '06" West, 190.00 feet; thence North 45°47'37" West, 581 .79 feet; thence, North 37030'00" East, 190.64 feet to the Point of Beginning of this description. PARCEL SEVEN: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37°30'00" East, 884.42 feet to a point hereafter referred to as Point "A". Area B: COMMENCING at Point "A" as described above, thence, North 30011 '10" East, 199.68 feet, to the Point of Beginning of this description; thence, continuing North 30011 '10" East, 719.79 feet; thence, North 81007'00" East, 462.27 feet; thence, South 80037'00" East, 70.00 feet; thence, South 49008'21" West, 1114.81 feet; thence, North 43023'00" West, 64.91 feet to the Point of Beginning of this description. Area D: COMMENCING at Point "A" as described above, thence, North 30011 '10" East, 919.47 feet, to the Point of Beginning of this description; thence, continuing North 30011 '10" East, 413.57 feet; thence, South 87057' 10" East, 105.59 feet; thence, South 71048' 30" East, 386.66 feet; thence South 80037'00" East, 38.31 feet; thence, South 49008'21" West, 254.94 feet; thence North 80037'00" West, 70.00 feet; thence, South 81007'00" West, 462.27 feet to the Point of Beginning of this description. CONTINUED STENVART TITLE GUARANTY COMPANY ORDER; N0. 61573 � • DESCRIPTION CONTINUED: PARCEL EIGHT: COMMENCING at. the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37130'00" East, 884.42 feet to a point hereafter referred to as Point "A". Area B: COMMENCING at. Point "A" as described above; thence, North 49008'21" East, 191 .71 feet, to the True Point of Beginning of this description; thence, continuing North 49°08' 21" East, 1114.81 feet; thence South 80037100" East, 390.00 feet; thence South 60002'46" West, 1387.65 feet; thence North 43023'00" West, 37.29 feet to the True Point of Beginning of this description. Area D: COMMENCING at Point "A" as described above, thence, North 49008'21" East, 1306.52 feet, �to��the True Point of Beginning of this description; thence, continuing North 49008'21" 0 21 East, 254.94 feet; thence South 80 37 00 East, 466.10 feet; thence South 60002'46" West, 309. 19 feet; thence North 80037'00" West, 390.00 feet to the True Point of Beginning of this Description. PARCEL NINE-. . - COMMENCING INE:COMMENCING at. the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". Area B: COMMENCING at Point "A" as described above, thence, North 60002'46" East, 196.91 feet, to the True Point of Beginning of this description; thence, continuing North 60002'46" East, 1387.65 feet; thence South 80037 '00" East, 360.00 feet; thence South 2030100" West, 20.00 feet; thence South 67035'00" West, 1663.31 feet; thence North 43023 '00" West, 27.66 feet to the True Point of Beginning of this description. Area D: COMMENCING at Point "A" as described above, thence, North 60002'46" East, 1584.56 feet, to the True Point of Beginning of this description; thence, continuing North 60°02'46" East, 309.19 feet; thence South 80037'00" East, 471.38 feet; thence South 67035'00" West, 409.60 feet; thence North 2030'00" East, 20.00 feet; thence North 80037'00" West, 360.00 feet to the True Point of Beginning of this description. PARCEL TEN: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 in Book 562 of Official Records at Page 180, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". CONTINUED STENVART TITLE GUARANTY COXPANY 99C.7 ORDER; NO. 61573 DESCRIPTION CONTINUED: Area B: ' COMMENCING at Point "A" as described above, thence, North 67035 '00" East, 205 .10 feet to the True Point of Beginning of this description; thence, continuing North 67035'00" East, 1663 .31 feet ; thence, South 2030'00" West, 230.00 feet; thence, South 74017 ' 56" West, 1567.47 feet; thence, North 43023 '00" West, 27.08 feet to the True Point of Beginning of this description. Area D: COMMENCING at Point. "A" as described above, thence, North 671135'00" East, 1868.41 feet to the True Point of Beginning of this description; thence, continuing North 67035 '00" East, 409.60 feet; thence, South 80037'00" East, 174.07 feet; thence, South 81007 '00" East, 462.93 feet; thence, South 74°17 '56" West, 585.76 feet; thence, North 84000'00" West, 125.64 feet; thence, South 6000100" West, 50.00 feet; thence, South 74017'56" West, 336.26 feet; thence, North 2030'00" East, 230.00 feet to the True Point of Beginning of this description. PARCEL ELEVEN: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". Area B: COMMENCING at Point "A" as described above, thence, North 74017'56" East, 216.27 feet to the True Point of Beginning of this description; thence, continuing North 74017'56" East, 1567.47 feet; thence, South 2030'00" West, 186.29 feet; thence, South 80009' 16" West, 1504.83 feet; thence, North 43023'00" West, 26.47 feet to the True Point of Beginning of this description. Area C: COMMENCING at Point "A" as described above, thence, North 74017'56" East, 2120.00 feet to the True Point of Beginning of this description; thence, North 6000'00" East, 50.00 feet; thence, South 84000100" East, 840.00 feet; thence, South 19000'00" West, 40.00 feet; thence, South 80009'16" West, 863 .82 feet; thence, North 6000'00" East, 224.83 feet to the True Point of Beginning of this description. Area D: COMMENCING at Point "A" as described above, thence, North 74017'56" East, 1783.74 feet to the True Point of Beginning of this description; thence, continuing North 74017'56" East, 336.26 feet; thence, North 6000'00" East, 50.00; thence, South 84000'00" East, 125.64 feet; thence, North 74017'56" East, 585.76 feet; thence, South 81007'00" East, 321 .98 feet; thence, South 60047'00" East, 295.90 feet; thence, South 80009'16" West, 449.47 feet; thence, North 19°00'00" East, 40.00 feet; thence North 84000100" West, 840.00 feet; thence, South 6000'00" West, 274.83 feet; thence, South 80009'16" West, 312.95 feet; thence, North 2030'00" East, 186.29 feet to the True Point of Beginning of this description. -STEIWART TITLE GUARANTY C.OMPAVY 99C.1 ORDER NO. 61573 DESCRIPTION CONTINUED: PARCEL TWELVE: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 in Book 562, Page 180, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030100" East, 884.42 feet to a point hereafter referred to as Point "A". Area B: COMMENCING at Point "A" as described above, thence, North 80009116" East, 229.77 feet to the True Point of Beginning of this description; thence, continuing North 80009'16" East, 1504.83 feet; thence, South 2030'00" West, 165.22 feet; thence, South 85034'49" West, 1460.61 feet; thence, North 43023 '00" West, 27.94 feet to the True Point of Beginning of this description. Area C: COMMENCING at Point "A" as described above, thence, North 80°09'16" East, 2047.55 feet to the True Point of Beginning of this description; thence, continuing North 80009' 16" East, 863 .82 feet; thence, South 19000'00" West, 300.00 feet; thence, South 85034'49" West, 776.32 feet; thence, North 6000'00" East, 196.86 feet to the True Point of Beginning of this description. Area D: COMMENCING at. Point "A" as described above, thence, North 80009'16" East, 1734.60 feet to the True Point of Beginning of this description; thence, continuing North 80°09'16" East, 1626.24 feet; thence, South 60047'00" East, 99.05 feet; thence, South 44°17 '00" East, 342.53 feet; thence, South 85034'49" West, 868.71 feet; thence, North 19000'00" East, 300.00 feet; thence, South 80009'16" West, 863.82 feet; thence, South 6000100" West, 196.86 feet; thence, South 85034'49" West, 295.85 feet; thence North 2030'00" East, 165.22 feet to the True Point of Beginning of this description. PARCEL THIRTEEN: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". Area B: COMMENCING at Point "A" as described above, thence, North 85034'49" East, 246.31 feet, to the True Point of Beginning of this description; thence, continuing North 85034'49" East, 1460.61 feet; thence, South 2030'00" West, 171 .21 feet; thence, North 88039'51" West, 1425.31 feet; thence, North 43023'00" West, 34.76 feet to the True Point of Beginning of this description. Area C: COMMENCING at Point "A" as described above, thence, North 8503449" East, 2002.77 feet, to the True Point of Beginning of this description; thence, continuing North 85034'49" East, 776.32 feet; thence, South 19000'00" West, 292.50 feet; thence, North 88039'51" West, 700.04 feet; thence, North 6000'00" East, 201.51 feet to the True Point of Beginning of this description. CONTINUED S"1'EAVART TITLE GUARANTY COMPANY i99C-1 ;.ORDER Yo. 61573 . Area D: COMMENCING at Point "A" as described above, thence, North 85034 '49" East, 1706.92 - feet, to the True Point of Beginning of this description; thence, continuing North 85034'49" East, 1940.88 feet; thence, South 44017'00" East, 57.42 feet; thence, South 1.1017 '00" East, 298.07 feet; thence, South 32°48'50" West, 40.80 feet; thence, North 88039 ' 51" West, 1037 .94 feet; thence, North 19000'00" East, 292.50 feet; thence, South 85034' 49" West, 776 .32 feet; thence, South 6000'00" West, 201.51 feet; thence, North 88°39' 51" West, 281 .45 feet; thence, North 2030'00" East, 171.21 feet to the True Point of Beginning of this description. PARCEL FOURTEEN: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". Area B: COMMENCING at Point "A" as described above, thence, South 88°39'51" East, 269.53 feet, to the True Point of Beginning of this description; thence, continuing South 88039'51" East, 1425.31 feet; thence, South 2030'00" West, 107.28 feet; thence, South 44030'56" West, 90.00 feet;, thence, North 82°36'50" West, 1337.39 feet; thence, North 43023 '00" West, 44.92 feet to the True Point of Beginning of this description. Area C: COMMENCING at Point "A" as described above, thence, South 88039 ' 51" East, 1976.29 feet, to the True Point of Beginning of this description; thence, continuing South 88039'51" East, 700.04 feet; thence, South 19000'00" West, 197.50 feet; thence, South 84038'18" West, 666.35 feet; thence North 6000'00" East, 266.80 feet to the True Point of Beginning of this description. Area D: COMMENCING at Point "A" as described above, thence, South 88039151" East, 1694.84 feet, to the True Point of Beginning of this description; thence, continuing South 88039'51" East, 2019.43 feet; thence, South 32048'50" West, 160.92 feet; thence, South 52046'00" West, 249.97 feet; thence South 57046'00" West, 261 .43 feet; thence, North 80055'00" West, 1274.01 feet; thence, North 84038' 18" East, 666.35 feet; thence, North 19000'00" East, 197.50 feet; thence, North 88039'51" West, 700.04 feet; thence, South 6000'00" West, 266.80 feet; thence, North 80055'00" West, 367.66 feet; thence, North 44030'56" East, 149.60 feet; thence, North 2030100" East, 107.28 feet to the True Point of Beginning of this description. i PARCEL FIFTEEN: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". CONTINUED STENVART TITLE GUARANTY COMPANY 199C t ORDER NO. 61573 ' Area B: COMMENCING at Point "A" as described above, thence, South 82036 '50" East, 302.82 feet to the True Point of Beginning of this description; thence, continuing South 82036' 50" East, 1337. 39 feet; thence, South 44°30'56" West, 310.00 feet; thence, North 72°57 ' 39" West, 1085.95 feet; thence, North 43023 '00" West, 102.87 feet to the True Point of Beginning of this description. Area D: COMMENCING at Point "A" as described above, thence, South 80055 '00" East, 1604.94 feet to the True Point of Beginning of this description; thence, continuing South 80055 '00" East, 1641 .67 feet; thence, South 57°46'00" West, 592.98 feet; thence, North 72057 ' 39" West, 1354.50 feet; thence North 44 ' 30'56" East, 250.40 feet to the True Point of Beginning of this description. PARCEL SIXTEEN: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". Area A: COMMENCING at Point "A" as described above, the True Point of Beginning of this description, thence, continuing North 37030'00" East, 193.97 feet; thence, South 43023 '00" East, 489.81 feet; thence, North 66001 '40" West, 497.43 feet to the True Point of Beginning of this description. Area B: COMMENCING at Point "A" as described above, thence, South 7205739" East, 388.00 feet to the True Point of Beginning of this description; thence, continuing South 72057'39" East, 1085.95 feet; thence, South 44030'56" West, 190.00 feet; thence North 66001 '40" West, 899.07 feet; thence, North 43023'00" West, 121 .65 feet to the True Point of Beginning of this description. Area D: COMMENCING at Point. "A" as described above, thence, South 72057' 39" East, 1473.95 feet to the True Point of Beginning of this description; thence, continuing South 72°57 ' 39" East, 1354.50 feet; thence, South 57046'00" West, 75.48 feet; thence, South 36046'00" West, 285.79 feet; thence, North 6600140" West, 1306.00 feet; thence, . North 44030'56" East, 190.00 feet to the True Point of Beginning of this description. PARCEL SEVENTEEN: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". Parcel One: COMMENCING at Point "A" as described above, the True Point of Beginning of this description, thence, South 66001 '40" East, 497.43 feet; thence, South 43023'00" East, 411 .75 feet; thence, South 49°01 '06" West, 1.81 feet; thence, North 55040'28" West, 891.18 feet to the True Point of Beginning of this description. CONTINUED STEVVkRT TITLE GUARANTY COMPANY ;99C.1 ORDER NO. 611573 Parcel Two: • COMMENCING at Point "A" as described above, thence, South 66001 ' 40" East, 497.43 feet to the True Point of Beginning of this description; thence, continuing South 66001 '40" East, 899.07 feet; thence, South 44030' 56" West, 255.00 feet; thence, North 55040 ' 28" West, 437.47 feet ; thence North 49001 '06" East, 1 .81 feet; thence, North 43023 '00" West, 411 .75 feet to the True Point of Beginning of this description. Parcel 3: COMMENCING at Point "A" as described above, thence, South 66001 '40" East, 1396.50 feet to the True Point of Beginning of this description; thence, continuing South 66001 '40" East, 1306.00 feet; thence, South 36046'00" West, 51 .86 feet; thence, on and along the Northerly right of way line of State Highway 44, North 84025'40" West, a distance of 89.06 feet; thence, South 5034'20" West, 25.00 feet; thence North 84025'40" West, 767 .33 feet; thence, leaving said right of way North 55040'28" West, 588.87 feet; thence, North 44°30'56" East, 255.00 feet to the True Point of Beginning of this description. PARCEL EIGHTEEN: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". Parcel One: COMMENCING at Point "A" as described above, the True Point of Beginning of this description, thence, South 55040'28" East, 891.18 feet; thence, South 49001 '06" West, 153 .47 feet; thence, North 45047' 37" West, 865.08 feet to the True Point of Beginning of this description. Parcel Two: COMMENCING at Point "A" as described above, thence, South 55040'28" East, 891 .18 feet to the True Point of Beginning of this description; thence, continuing South 55140'28" East, 437.47 feet; thence, South 44030'56" West, 228.00 feet; thence, North 45047 '37" West, 442.63 feet; thence North 49001 '06" East, 153.47 feet to the True Point of Beginning of this description. Parcel 3 : COMMENCING at Point "A" as described above, thence, South 55040'28" East, 1328.65 feet to the True Point of Beginning of this description; thence, continuing South 55040'28" East, 588.87 feet; thence, on and along the Northerly right of way line of State Highway 44, North 84025'40" West, a distance of 132.67 feet; thence, South 84015'46" West, 101 .98 feet; thence North 84025'40" West, 269.34 feet; thence, leaving said right of way line North 45047'37" West, 201 .71 feet; thence, North 44030'56" East, 228.00 feet to the True Point of Beginning of this description. PARCEL NINETEEN: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72°20'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". CONTINUED -TENVART TITLE "GUARANTY CO#PANY 99C 1 ORDER N O. 61573 • Area A: • COMMENCING at Point "A" as described above, thence, South 45047 ' 37" East, 832.08 feet to the True Point of Beginning of this description, thence, continuing South 45047' 37" East, 33 .00 feet; thence, South 49001 '06" West, 554.04 feet; thence, on and along the Northerly right of way line of State Highway 44, North 84025 '40" West, 45.29 feet ; thence, leaving said right of way line, North 49°01 '06" East, 582.42 feet to the True Point of Beginning of this description. Area B: COMMENCING at Point "A" as described above, thence, South 45047'37" East, 865.08 feet to the True Point of Beginning of this description; thence, continuing South 45047' 37" East, 442.63 feet; thence, South 44030'56" West, 161 .87 feet to the Northerly right of way line of State Highway 44, thence, on and along said right of way line, North 84125'40" West., 625.01 feet; thence leaving said right of way line, North 49001 '06" East, 554.04 feet to the True Point of Beginning of this description. I Area D: COMMENCING at Point "A" as described above, thence, South 45047'37" East, 1307.71 feet to the True Point of Beginning of this description; thence, continuing South 45047'37" East, 201 .71 feet to the Northerly right of way line of State Highway 44, thence, on and along said right of way line, North 84025'40" West, 259.31 feet; thence, leaving said right of way line North 44030' 56" East, 161.87 feet to the True Point of Beginning of this description. PARCEL TWENTY: COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'410" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". Area A: COMMENCING at Point "A" as described above, thence South 45047' 37" East, 655.78 feet to the True Point of Beginning of this description, thence continuing South 45°47'37" East, 176.30 feet; thence, South 49001'06" West, 582.42 feet to the Northerly right of way line of State Highway 44, thence along said right of way North 84025 '40" West, 101 .05 feet; thence North 72014'22" West, 119.69 feet; thence leaving said right of way line North 49001 '06" East, 699.22 feet to the True Point of Beginning of this description. PARCEL TWENTY ONE: Parcel 1 : COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen i Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". CONTINUED STENVART TITLE GUARAmry coxpAvY � 99C1 ` ORDER NO. 61573 • DESCRIPTION CONTINUED: Area A: COMMENCING at Point "A" as described above, thence, South 37030'00" West, 570.91 feet to the True Point of Beginning of this description; thence, South 45047137" East, 541 . 38 feet; thence South 49001 '06" West, 130.22 feet; to the Northerly right of way line of State Highway 44; thence, on and along said right of way line North 72014'22" West, 136.08 feet; thence, North 63025 '22" West, 253 .87 feet; thence, North 21030'01" West, 50.54 feet; thence, North 5034'20" East, 172.09 feet; thence, leaving said right of way line North 37030'00" East, 112.82 feet to the True Point of Beginning of this description. EXCEPTING THEREFROM Parcel 2 as described in the deed from Frances W. Kutras to the State of California dated January 9, 1969 and recorded January 27, 1969 in Book 979, Page 298, Official Records. PARCEL 2 COMMENCING at the Southwest corner of that parcel conveyed to Frank L. and Helen Wilson by deed from W.S. and Frances S. Cox, recorded April 7, 1958 at Page 180, Book 562, Official Records of Shasta County, said point being more generally described as the Northeast corner of the intersection of Continental and Butte Streets, thence North 72020'00" East, a distance of 1985.46 feet; thence North 37030'00" East, 884.42 feet to a point hereafter referred to as Point "A". Area A: COMMENCING at Point "A" as described above, thence, South 37030'00" West, 370.24 feet to the True Point of Beginning of this description; thence, South 45047'37" East, 581 .59 feet; thence South 49101 '06" West, 200.00 feet; thence North 45°47'37" West, 541.38 feet; thence, North 37030'00" East, 200.67 feet to the True Point of Beginning of this description. PARCEL TWENTY TWO: COMMENCING at the most Westerly corner of Lot 40, Block 1, Benton Subdivision, as shown on that map recorded in Book 5 of Maps at Page 38 in the office of the Shasta County Recorder; thence South 51053 ' East, 380.00 feet; thence, North 38007 ' East, 1260.00 feet to the True Point of Beginning of this parcel; thence from said Point of Beginning, North 38107' East, 307.08 feet; thence North 59°15 '20" East, 160.82 feet; thence North 38007' East, 837.37 feet; thence at right angles to State Highway U.S. 99 South 51053' East, 174.78 feet; thence parallel with said State Highway North 38007' East, 403.57 feet; thence South 18046 ' East, 137.37 feet; thence North 88000' East, 390.00 feet; thence South 46000' East, 1300.00 feet; thence South 54000" East, 1700.00 feet; thence South 35000' East, 650.00 feet to the South line of Section 30, Township 32 North, Range 4 West, M.D.M. ; thence along said South line North 89048'25" West, 1300.00 feet to the Southwest corner of said Section 30; thence South 100.00 feet to the centerline of the Sacramento River; thence along said centerline the following courses: North 88018110" West, 757.14 feet; thence South 80000' West, 500.00 feet; thence South 69030' West, 600.00 feet; thence South 86100' West, 1200.00 feet; thence South 81000' West, 450.00 feet; thence South 85030' West, 100.00 feet; thence leaving said centerline North 20001'25" East, 875.00 feet; thence South 72040' 50" East, 49.81 feet; thence North 38007' East, 949.39 feet; thence North 51053' West, 545.65 feet to the Point of Beginning. CONTINUED STE«'ART TITLE GUARANTY COMPANY- AC-1 ORDER NO. 61573 EXCEPTING THEREFROM that po n thereof lying South of the owh line of the .fractional South one-half of—Section 25, Township 32 North, Range 5 West. ALSO EXCEPTING THEREFROM Tract 1 of Parcel 1 as described in the Declaration of -Taking, recorded October 14, 1964 in Book 808, Page 43, Official Records. ALSO EXCEPTING THEREFROM that portion conveyed to Ralph C. Bogart, an unmarried married man, et al . , by Quitclaim deed dated August 26, 1963 and recorded September 4, 1963 in Book 757, Page 357, Shasta County Records. ALSO EXCEPTING THEREFROM Beginning at the Northeast corner of Parcel One of that property conveyed to Ralph C. Bogart, et al. , by Quitclaim deed recorded September 4, 1963 in Book 757 at Page 357, Official Records of Shasta County; thence North 34000'00" West, 140.00 feet; thence North 30000'00" East, 85.00 feet; thence North 82030'00" East, 122 feet; thence South 470 feet more or less to the mean high water line of the Sacramento River; thence South 75000' West, 189.35 feet along said mean high water line to the East line of said Bogart property; thence North 17°19110" East, 328.29 feet more or less to the Point of Beginning. i I STENVART TITLE OUAWANTY COMPANY 99C•t O_rder'No. 61573 At the date hereof exceptions to coverage in addition to the printed Exceptions and Exclusions in the policy form designated on the face page of this Report would be as follows: 1 . County of Shasta and City of Redding taxes for the fiscal year 1991-92, a lien, not yet due or payable, amounts not ascertainable. 2. The lien of supplemental taxes, if any, assessed pursuant to the provisions of Chapter 3 . 5 (commencing with Section 75) of the Revenue and Taxation Code of the State of California . 3. Any adverse claim based upon the assertion that : (a) Said land or any part thereof is now or at any time has been below the highest of the high watermarks of the Sacramento River, in the event the boundary of said river has been artificially raised or is now or at any time has been below the high watermark, if said river is in its natural state. (b) Some portion of said land has been created by artificial means or has accreted to such portion so created. (c) Some portion of said land has been brought within the boundaries thereof by an avulsive movement of the Sacramento River, or has been formed by accretion to any such portion. 4. Any easement or claire of easement based on prescription by or implied dedication to the public over said land or any parts thereof for access to the Sacramento River or for recreational purposes. 5. Rights and easements for corornerce, navigation, fishery, hunting, bathing, swimming and preserving in its natural state that part of the land which may lie below the ordinary high water mark of the Sacramento River. 6. Any adverse claim based on the assertion that some p included within the actual boundaries of the patent oftt.he RanchodSannd was not Buenaventura from the United States of America to Pearson B. Reading on January 17, 1887, the date of the issuance of said patent, or that some portion of said land has not remained upland continuously from said date. 7. An easement for a perpetual right of way for a ditch or canal from Turtle Bay to the Bassett Tract of sufficient capacity for 20,000 miners inches of water as conveyed to Redding Electric Light and Power Company, a California corporation by Deed recorded May 10, 1892, in Book 2 of Agreements, at Page 149, Shasta County Records. (The exact location and extent of said easement cannot be determined from the record) . 8. An easement for the construction, maintenance and operation of electric light and power transmission pole line and incidental purposes as granted to Northern Light and Power Company, a Corporation by Deed recorded May 6, 1908 in Book 98 of Deeds, at -Page 463, Shasta County Records. (The exact location and extent of said easement cannot be determined from the record) . CONTINUED STE«'ART TITLE OUARANTY COMPANY 49C-1 Order No. 61573 EXCEPTIONS CONTINUED: 9 . An easement for tlir corn,,�trnction, maintenance and operation of sewer, water line, and coal] purposes and incidental purposes as granted to the City of Redding, a municipal corporation by Deed recorded December 18, 1958 in Book 585 of Official Records, at. Page 386, Shasta County Records. (affects Parcel Twenty-Two) . 10. An easement for the construction, maintenance and operation of sewer, water line, and road purposes and incidental purposes as granted to the City of Redding by Deed recorded December 18, 1958 in Book 585 of Official Records, at Page 390, Shasta County Records. (Affects Parcel Twenty-Two) . 11 . An easement for the construction, maintenance and operation of pipelines for conveying gas with necessary and proper valves and other appliances and fittings and devices for controlling electrolysis for use in connection with said pipelines and incidental purposes as granted to Pacific Gas arid Electric Company, a California Corporation by Deed recorded November 8, 1961 in Book 686 of Official Records, at Page 171, Shasta County Records. 12. An easement for the construction, maintenance and operation of gas transmission pipeline and incidental purposes as granted to Pacific Gas and Electric Company by Declaration of Taking, Case No. 27809, recorded July 27, 1962 in Book 713 of Official Records, at Page 341, Shasta County Records. (Affects Parcel Twenty-Two) . 13. An easement for the construction, maintenance and operation of a line of poles for the transmission and distribution of electric energy and to connect to said poles and wires all necessary and proper crossarms, guys, anchors and other appliances and fixtures and incidental purposes as granted to the City of Redding by Deed recorded December 5, 1962 in Book 727 of Official Records, at Page 15, Shasta County Records. (Affects Parcels Twenty and Twenty-One) . 14. The fact that the ownership of said land does not include certain rights of ingress or egress to or from the freeway adjoining said land, said rights having been relinquished to the State of California, by Judgement recorded January 6, 1964 in Book 770 of Official Records, at Page 602, Shasta County Records. (Affects Parcels Seventeen t.hru Twenty-One) . CONTINUED STEWART TITLE GUARANTY COXPANY 99c-1 Orde,_r No. 61573 EXCEPTIONS CONTINUED: 15. An easement for the construction, maintenance and operation of water pipelines and incidental purposes as granted to the United States of America by Declaration of Taking, Case No. 9114, recorded October 14, 1964 in Book 808 of Official Records, at Page 43, Shasta County Records. Affects Parcel Twenty-Two) . 16. The fact that the ownership of said land does not include certain rights of ingress or egress to or from the freeway adjoining said land, said rights having been relinquished to the State of California, by Deed recorded January 27, 1969 in Book 979 of Official Records, at Page 298, Shasta County Records. Said Deed further contains a Waiver in favor of the State of California of any claims for damages to said land by reason of the location, construction, landscaping or maintenance of a highway or freeway contiguous thereto. (Affects Parcel Twenty-One) . 17. An easement for the construction, maintenance and operation of an underground gas main or pipeline 10.00 feet in width and incidental purposes as granted to Pacific Gas and Electric Company, a California corporation by Deed recorded July 29, 1969 in Book 998 of Official Records, at Page 184, Shasta County Records. (Affects Parcel One) . 18. An easement for the construction, maintenance and operation of an underground gas main or pipeline and incidental purposes as granted to Pacific Gas and Electric Company, a California corporation by Deed recorded July 29, 1969 in Book 998 of Official Records, at. Page 187, Shasta County Records. (Affects Parcels Nineteen and Twenty) . 19. The Declaration of Restriction on Alienation dated July 6, 1971 executed by the City of Redding in Resolution recorded July 13, 1971 in Book 1075 of Official Records at Page 308, Shasta County Records. (Affects Parcels One and Eight) . 20. The Declaration of Restriction on Alienation dated July 19, 1971 executed by the City of Redding in Resolution recorded July 21, 1971 in Book 1076 Of Official Records at Page 670, Shasta County Records. (Affects Parcel Nine) . 21 . The Declaration of Restriction on Alienation dated November 5, 1973 executed by the City of Redding by Resolution recorded November 12, 1973 in Book 1197 of Official Records at Page 490, Shasta County Records. (Affects Parcels Two and Ten) . CONTINUED STENVART TITLE GUARANTY COMPANY 99C•1 Order No. 61573 EXCEPTIONS CONTINUED: 22. An easement for the construction, maintenance and operation of sanitary sewer purposes and incidental purposes as granted to the City of Redding by Deed recorded April 29, 1975 in Book 1270 of Official Records, at Page 521, Shasta County Records. (Affects Parcel Twenty-Two) . 23 . An easement for the construction, maintenance and operation of overhead and underground electric utility purposes and incidental purposes as granted to the City of Redding, a municipal corporation by Deed recorded January 12, 1979 in Book 1589 of Official Records, at Page 154, Shasta County Records. (Affects Parcel Twenty-Two) . 24. Covenants, Conditions and Restrictions as contained in the Deed executed by Malcom S. Millard and Sidney M. Morris, Co-Trustees of the Frances M. Benton Charitable Remainder Unitrust dated October 31, 1979, et al, recorded July 29, 1988 in Book 2416 of Official Records, at Page 280, Shasta County Records. Said Conditions include a revisionary clause. (Affects Parcel Twenty-Two) . 25. An easement for sewer and utility purposes as conveyed to Leah F. McConnell, a single woman by Deed recorded July 29, 1988, in Book 2416 of Official Records, at Page 290, Shasta County Records. (Affects Parcel Twenty-Two) . 26. Information in possession of this Company indicates that a division of land is contemplated in the current transaction involving the land described in this report. Such contemplated division of land would appear to fall within the purview of the Subdivision Map Act (G.C..; 66410 et. seq. ) . As a prerequisite to the issuance of final title evidence, at least one of the following requirements must be accomplished to this Company 's satisfaction: (1) A subdivision Map must be recorded in compliance with the Subdivision Map Act or related local ordinances. (2) A Parcel Map must be recorded in compliance with the Subdivision Map Act or related local ordinances. (3) A Certificate of Compliance as provided for in the Subdivision Map Act (G.C. 66499.35) must be recorded. (4) A Waiver as provided for in the Subdivision Map Act (G.C. 66428) must be obtained. OR (5) Other satisfactory evidence indicating compliance or non-violation must be furnished. CONTINUED STENI'ART TITLE .. GUARANTY COMPANY 99C•1 Order No. 61573 • EXCEPTIONS CONTINUED: NOTE: You are hereby advised that in the event of cancellation, a cancellation charge will be made in compliance with the California Insurance Commissioner' s Bulletin 80-12. I STEWART TITLE GUARANTY COMPANY 99C•1 o � i NIA i t n 1.0 c, r •'' I�Ali '�� � �� 4 d�r'-. O� � ^' OP 14 LLJ �::' *'a► � ar l Lw i 1 ; �' nnyv'ii� 1 3.. ~ O 1 La Lo V 4-f4 4 rn'W CT) t Pg - i q�01r� p• �� 9' 1 a Ir 1 S d /N\ +1� � t, 1��'rQ1 0. � �J t'�i. L�2 N.•RS W. WId T.72N.,R4 vi fD i w 777x. •� pyo O 'A rt c, � co { + `��• C s r cal co A t n a Sa e' d J jf1 0 a•„i J .+,lf �� �' r +S C{jj�aa`J1 "•'�. �'• 'r,• t 6\ a \J r tr0. 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D Z Oj SO IL p oA N P s C l 4 •'Sir Y ��/ .. �.. o isa O to moi•.y K� %/ r) cri Ln N • CLTA Preliminary Report Form CLTA PRELIMINARY REPORT FORM LIST OF PRINTED EXCEPTIONS AND EXCLUSIONS SCHEDULE B 1. CALIFORNIA LAND TITLE ASSOCIATION STANDARD COVERAGE POLICY — 1990 EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage of this policy and the Company will not pay loss or damage, costs, attorneys' fees or expenses which arise by reason of: 1. (a) Any law, ordinance or governmental regulation (including but not limited to building or zoning laws, ordinances, or regulations) restricting, regulating, prohibiting or relating to (i)the occupancy, use, or enjoyment of the land; (ii)the character, dimensions or location of any improvement now or hereafter erected on the land; (iii)a separation in ownership or a change in the dimensions or area of the land or any parcel of which the land is or was a part;or (iv)environmental protection,or the effect of any violation of these laws, ordinances or governmental regulations, except to the extent that a notice of the enforcement thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation effecting the land has been recorded in the public records at Date of Policy. (b) Any governmental police power not excluded by (a) above, except to the extent that a notice of the exercise thereof or a notice of a defect, lien or encumbrance resulting from a violation affecting the land has been recorded in the public records at Date of Policy. 2. Rights of eminent domain unless notice of the exercise thereof has been recorded in the public records at Date of Policy, but not excluding from coverage any taking which has occurred prior to Date of Policy which would be binding on the rights of a purchaser for value without knowledge. 3. Defects, liens, encumbrances, adverse claims or other matters: (a) whether or not recorded in the public records at Date of Policy, but created, suffered, assumed or agreed to by the insured claimant; (b) not known to the Company, not recorded in the public records at Date of Policy, but known to the insured claimant and not disclosed in writing to the Company by the insured claimant prior to the date the insured claimant became an insured under this policy; (c) resulting in no loss or damage to the insured claimant; (d) attaching or created subsequent to Date of Policy;or (e) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the insured mortgage or for the estate or interest insured by this policy. 4. Unenforceability of the lien of the insured mortgage because of the inability or failure of the insured at Date of Policy, or the inability or failure of any subsequent owner or indebtedness, to comply with the applicable doing business laws, of the state in which the land is situated. 5. Invalidity or unenforceability of the lien of the insured mortgage, or claim thereof, which arises out of the transaction evidenced by the insured mortgage and is based upon usury or any consumer credit protection or truth in lending law. 6. Any claim, which arises out of the transaction vesting in the insured the estate or interest of the insured lender, by reason of the operation of federal bankruptcy, state insolvency or similar creditors' rights laws. EXCEPTIONS FROM COVERAGE This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses) which arise by reason of: 1. Taxes or assessments which are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the public records. Proceedings by a public agency which may result in taxes or assessments,or notices of such proceedings, whether or not shown by the records of such agency or by the public records. 2. Any facts, rights, interests or claims which are not shown by the public records but which could be ascertained by an inspection of the land or which may be asserted by persons in possession thereof. 3: Easements, liens or encumbrances, or claims thereof,which are not shown by the public records. 4. Discrepancies, conflicts in boundary lines, shortage in area, encroachments, or any other facts which a correct survey would disclose, and which are not shown by the public records. 5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in acts authorizing the issuance thereof; (c) water rights,claims or title to water,whether or not the matters excepted under (a), (b) or (c) are shown by the public records. (List of Printed Exceptions and Exclusions Continued on Next Page) Page 11of 4 STEWART TITLE GUARANTYCOMPANY CLTN Preliminary Report Form • 2, AMERICAN LAND TITLE ASSOCIATION RESIDENTIAL TITLE INSURANCE POLICY (6-1-87) EXCLUSIONS In addition to the Exceptions in Schedule 8, you are not insured against loss, costs, attorneys' fees, and expenses resulting from: 1. Governmental police power, and the existence or violation of any law or governmental regulation. This includes building and zoning ordinances and also laws and regulations concerning: • land use • improvements on the land • land division • environmental protection This exclusion does not apply to violations or the enforcement of these matters which appear in the public records at Policy Date. This exclusion does not limit the zoning coverage described in Items 12 and 13 of Covered Title Risks. 2. The right to take the land by condemning it, unless: • a notice of exercising the right appears in the public records on the Policy Date • the taking happened prior to the Policy Date and is binding on you if you bought the land without knowing of the taking 3. Title Risks: • that are created, allowed, or agreed to by you • that are known to you, but not to us, on the Policy Date -- unless they appeared in the public records • that result in no loss to you • that first affect your title after the Policy Date - - this does not limit the labor and material lien coverage in Item 8 of Covered Title Risks 4. Failure to pay value for your title. 5. Lack of a right: • to any land outside the area specifically described and referred to in Item 3 of Schedule A i or • in streets, alleys, or waterways that touch your land This exclusion does not limit the access coverage in Item 5 of Covered Title Risks. 3. AMERICAN LAND TITLE ASSOCIATION LOAN POLICY (4-6.90) WITH ALTA ENDORSEMENT— FORM 1 COVERAGE and AMERICAN LAND TITLE ASSOCIATION LEASEHOLD LOAN POLICY (4.6-90) WITH ALTA ENDORSEMENT — FORM 1 COVERAGE EXCLUSIONS AND COVERAGE The following matters are expressly excluded from the coverage of this policy and the Company will not pay loss or damage, costs, attorneys' fees or expenses which arise by reason of: 1. (a) Any law, ordinance or governmental regulation (including but not limited to building and zoning laws, ordinances, or regu- lations) restricting, regulating, prohibiting or relating to (i) the occupancy, use, or enjoyment of the land; (ii) the character, di- mensions or location of any improvement now or hereafter erected on the land; (iii) a separation in ownership or a change in the dimensions or area of the land or any parcel of which the land is or was a part; or (iv) environmental protection, or the effect of any violation of these laws, ordinances or governmental regulations, except to the extent that a notice of the enforcement thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. (b) Any governmental police power not excluded by (a) above,except to the extent that a notice of the exercise thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. 2. Rights of eminent domain unless notice of the exercise thereof has been recorded in the public records at Date of Policy, but not excluding from coverage any taking which has occurred prior to Date of Policy which would be binding on the rights of a purchaser for value without knowledge. (List of Printed Exceptions and Exclusions Continued on Next Page) REV. 1990 Page 2 of 4 STENVA RT TITLE GUARANTY COMPANY CL1 A Preliminary Report Form 3. Defects, liens, encumbrances, adverse claims or other matters: • (a) created, suffered, assumed or agreed to by the insured claimant; (b) not known to the Company, not recorded in the public records at Date of Policy, but known to the insured claimant and not disclosed in writing to the Company by the insured claimant prior to the date the insured claimant became an insured under this policy; (c) resulting in no loss or damage to the insured claimant, (d) attaching or created subsequent to Date of Policy (except to the extent that this policy insures the priority of the lien of the insured mortgage over any statutory lien for services, labor or material or to the extent insurance is afforded herein the as to assessments for street improvements under construction or completed at Date of Policy);or (e) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the insured mortgage. 4. Unenforceability of the lien of the insured mortgage because of the inability or failure of the insured at Date of Policy, or the inability or failure of any subsequent owner of the indebtedness, to comply with applicable doing business laws of th in which the land is situated. e state 5. Invalidity or unenforceability of the lien of the insured mortgage, or claim thereof, which arises out of the transaction evidenced I by the insured mortgage and is based upon usury or any consumer credit protection or truth in lending law. 6. Any statutory lien for services, labor or materials (or the claim of priority of any statutory lien for services, labor or materials over the lien of the insured mortgage) arising from an improvement or work related to the land which is contracted for and commenced subsequent to Date of Policy and is not financed in whole or in part by proceeds of the indebtedness secured by the insured mortgage which at Date of Policy the insured has advanced or is obligated to advance. 7. Any claim, which arises out of the transaction creating the interest of the mortgagee insured by this policy, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws. The above policy forms may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above Exclusions from Coverage, the Exceptions from Coverage in a Standard Coverage policy will also include the following General Exceptions: EXCEPTIONS FROM COVERAGE This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses) which arise by reason of: 1. Taxes or assessments which are not shown as existing liens by the records of any taxing authority that levies taxes or assess- ments on real property or by the public records. Proceedings by a public agency which may result in taxes or assessments, or notices of such proceedings, whether or not shown by the records of such agency or by the public records. 2. Any facts, rights, interests or claims which are not shown by the public records but which could be ascertained by an inspec- tion of the land or by making inquiry of persons in possession thereof. 3. Easements, liens or encumbrances, or claims thereof,which are not shown by the public records. 4. Discrepancies, conflicts in boundary lines, shortage in area, encroachments, or any other facts which a correct survey would disclose, and which are not shown by the public records. 5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water, whether or not the matters excepted under (a), (b) or (c) are shown by the public records. 4. AMERICAN LAND TITLE ASSOCIATION OWNER'S POLICY (4-6-90) and AMERICAN LAND TITLE ASSOCIATION LEASEHOLD OWNER'S POLICY (4-6.90) EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage of this policy and the Company will not pay loss or damage, costs, attorneys' fees or expenses which arise by reason of: 1. (a) Any law, ordinance or governmental regulation (including but not limited to building and zoning laws, ordinances, or regulations) restricting, regulating, prohibiting or relating to (i) the occupancy, use, or enjoyment of the land; (ii) the char- acter, dimensions or location of any improvement now or hereafter erected on the land; (iii) a separation in ownership or a change in the dimensions or area of the land or any parcel of which the land is or was a part;or (iv) environmental protec- tion, or the effect of any violation of these laws, ordinances or governmental regulations, except to the extent that a notice ' of the enforcement thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affect- ing the land has been recorded in the public records at Date of Policy. (b) Any governmental police power not excluded by (a) above, except to the extent that a notice of the exercise thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been re- corded in the public records at Date of Policy. (List of Printed Exceptions and Exclusions Continued on Next Page) Page 3tof94 STE`V A RT TITLE GUARANTY COMPANY CL1 A ,Irei,minary Report Form s 2. Rights of eminent domain unless notice of the exercise thereof has been recorded in the public records at Date of Policy, but not excluding from coverage any taking which has occurred prior to Date of Policy which would be binding on the rights of a purchaser for value without knowledge. 3. Defects, liens, encumbrances, adverse claims or other matters: (a) created, suffered, assumed or agreed to by the insured claimant; (b) not known to the Company, not recorded in the public records at Date of Policy, but known to the insured claimant and not disclosed in writing to the Company by the insured claimant prior to the date the insured claimant became an insured under this policy; (c) resulting in no loss or damage to the insured claimant; (d) attaching or created subsequent to Date of Policy;or (e) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the estate or interest insured by this policy. 4. Any claim, which arises out of the transaction vesting in the insured the estate or interest insured by this policy, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws. The above policy forms may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above Exclusions from Coverage, the Exceptions from Coverage in a Standard Coverage policy will also include the following General Exceptions: EXCEPTIONS FROM COVERAGE This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses)which arise by reason of: 1. Taxes or assessments which are not shown as existing liens by the records of any taxing authority that levies taxes or assess- ments on real property or by the public records. Proceedings by a public agency which may result in taxes or assessments, or notices of such proceedings, whether or not shown by the records of such agency or by the public records. 2. Any facts, rights, interests or claims which are not shown by the public records but which could be ascertained by an inspec- tion of the land or by making inquiry of persons in possession thereof. 3. Easements, liens or encumbrances, or claims thereof,which are not shown by the public records. 4. Discrepancies, conflicts in boundary lines, shortage in area, encroachments, or any other facts which a correct survey would disclose, and which are not shown by the public records. 5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water, whether or not the matters excepted under (a), (b) or (c) are shown by the public records. li I REV. 1990 Page 4 of 4 STE`VART TITLE GUARANTY COMPANY