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PLN199700028-8803Mr. Chave said there are a few options the Board has already discussed One is to allow sandwich board signs, but create tighter rules and consistent enforcement. The second approach would be to create alternatives, as discussed at the last meeting, which would allow for different types of signs to be used instead of sandwich board signs (i.e. making it easier to get signs that overhang over the sidewalk area, directional signs, kiosks, etc.) Mr. Chave suggested that staff be directed to draft these two proposals as best they can and bring them before the Board for review. This would provide some concrete issues for the Board to discuss to determine which approach is more appropriate. They could then hold a public hearing and forward a recommendation to the City Council. Mr. Dcwhirst recalled that discussions with the public have indicated that they like overhanging signs. A directory sign would work in the waterfront and downtown areas, but he inquired who would pay for these signs. He suggested that this is a program issue rather than an ordinance issue. But, he said he does not see this option working in the other areas of the City such as Westgate, etc. Therefore, he does not recommend that sandwich board signs be allowed in any location within the City. He said he wandered around Seattle and Everett to see where sandwich board signs seem to work. They tend to work better in locations where wide sidewalks are available. Edmonds does not have that feature. Ms. Lindh suggested that perhaps they could also provide alternatives for sandwich board signs to businesses in the Westgate area, too. Ms. Cassutt added that the businesses in this area have changed hands over and over again because it is difficult to identify the businesses. If sandwich board signs are not allowed, the City needs to provide these business owners with options. She said she is not in favor of prohibiting sandwich board signs in this area. Perhaps they could provide one large board rather than several sandwich board signs. Ms. Langendorfer concurred that alternative signage should be considered for the Westgate area. Mr. Chave agreed that alternatives to the sandwich board signs do not have to be limited to the downtown. Mr. Witenberg recalled that at the last meeting, the Board requested that the ADB provide their written input regarding sandwich board signs. Perhaps they could include input regarding alternatives they feel would be appropriate for downtown, Five Corners, Westgate, etc. He suggested that staff incorporate the ADB's comments into the draft documents that will be reviewed at a future meeting in preparation for a public hearing. Mr. Chave announced that a discussion regarding this issue is scheduled for the July 28, 1999 meeting, and the draft documents will be available at that time for the Board's review. DISCUSSION ABOUT LETTER FROM RON GARD 4�REGARDING PROPERTY LOCATED AT 506 SIXTH AVENUESOUTH — - Mr. Witenberg referred to the letter from Ron Gard, which was provided in the Board packets. In the letter Mr. Gard talks on one hand about the possibility of a variance and on the other hand about the possibility of modifying the entire RS-6 zone. A variance request does not come before the Board for review. Therefore, he assumes that the Board should discuss the option of modifying the minimum lot size requirements in the RS-6 zoning regulations. The Board must decide if they want to pursue this issue further. If so, they should identify the issue's priority compared to those already identified on the extended agenda. Ms. Cassutt inquired if it is possible for Mr. Gard to obtain a variance for his property. Mr. Chave said that, in his opinion, it would not be possible for Mr. Gard to obtain a variance. There is nothing unique to the property relative to the state criteria for granting a variance. He said there are other properties throughout the City that are also close to the minimum lot size necessary to subdivide. Ms. Cassutt recalled that one of the goals of the Comprehensive Plan is to provide more available and affordable housing, and the requested change could help address that issue. Mr. Dewhirst noted that before a variance can be granted, the applicant must show that a hardship is not self imposed. This is a code standard that all properties must comply with. Ms. Cassutt said she would be in favor of changing this code standard to allow more flexibility. Mr. Dewhirst agreed that this is an interesting concept in light of the Comprehensive Plan's attempt to encourage more single-family development rather than multi -family development to meet the projected growth allotment identified in the Planning Board Minutes July 14, 1999 Page 3 Growth Management Act. He felt it would be worthwhile to study this issue further, but he does not know if he would support an outright change. He said he would like to know what percentage of lots this type of change would affect. This could be a very significant change that would not be recognized by most people until the older neighborhoods change significantly. Mr. Dewhirst noted that there are 17 agenda items listed as pending on the extended agenda. He questioned what priority this issue should be given. Mr. Cobb inquired if this option has ever been considered before. Mr. Witenberg answered that this particular property was the subject of a previous public hearing. Mr. Cobb said he cannot support approval of this change for just one property. But, if there is an actual demand for this change and if there are enough properties that would actually support this option, he felt the Board should review the issue further. Mr. Chave said he does not recall that this issue has been considered previously. Mr. Cobb suggested that it could involve a great deal of time —especially since it is important to determine how many properties would be involved in this type of change. Mr. Chave said staff may be able to get a list of properties, by zoning classification, that identifies the various lot sizes. It would be difficult, however, to obtain more specific information such as property ownership. Mr. Witenberg suggested that another option for property owners in this situation would be to approach their neighbor with a request to purchase an extra strip of property so that a lot line adjustment could be made. If the Board decides to analyze the request further, they should decide exactly what amount of deviation they want to allow. Mr. Chave said that from a practical standpoint, this change would involve lowering the lot size requirements, and that is not something that should be considered lightly. The Board discussed what priority this issue should become on the extended agenda. Mr. Witenberg said the Board seems to feel this topic should be placed on the list of pending items on the extended agenda. If it is placed on this list, it will serve as a reminder to staff to continue working on the issue as time permits. Having gone over the extended agenda with staff, Mr. Witenberg said it seems that the Comprehensive Plan amendments, the community facilities issue and the sign issue will have to be dealt with soon, along with some of the other pending items. It is not likely that the Board will be able to get to this item in the next few months. Mr. Cobb suggested the issue be placed on the list of pending items, but that the Board direct the staff to make an estimate regarding how much time it will take them to come up with the information the Board is asking for. Mr. Chave said staff could do a test to see how difficult it will be to extract the requested information and provide further direction to the Board at the next meeting. CONTINUED DISCUSSION REGARDING THE SCHEMATIC DESIGNS FOR THE PROPOSED MID - WATERFRONT BULKHEAD REPLACEMENT PROJECT Mr. Witenberg noted that this is not a public hearing. It is meant to be a presentation by Ms. Ohlde to update the Board on where they are in the process and to give the Board the opportunity to discuss the plan further with the consultants and staff. Ms. Ohlde recalled that she came before the Board on May 26, 1999 with a presentation on the process for this project. The Board had many questions and recommended that she hold one more public workshop. This was held on June 24, 1999. It was well attended by more than 40 people. She also recalled that in 1996 the storm severely damaged the bulkheads in front of the Senior Center and Olympic Beach Park. These need to be repaired. The question is, "Does the City want to take this opportunity to put the approved waterfront plan into place by providing a continuous walkway along the waterfront as identified in that plan?" Ms. Ohlde clarified that at this time, a consultant has been hired to provide schematic designs for the project. The schematic designs look at all of the Comprehensive Plan elements and what actually exists on the site. The consultant will try to draw a schematic design (not a detailed construction drawing) for the public and City to review to determine if the general concept is appropriate. As the public and City raises specific issues regarding the schematic plans, the consultant has attempted to address these concerns. As the process moves along, Ms. Ohlde said she will hold public workshops and work with the staff and Board to put all of the public comments into the design. The Board could then hold another public workshop, if they are not yet comfortable with the plans, in preparation of the public hearing process. After the public Planning Board Minutes July 14, 1999 Page 4 CITY CLERK: CITY OF EDMONDS 121 5TW AVENUE NO. SI)MONDC WA 98020 0006.150.04B WSS/gjz 07/07/98 COPY 1103250578 03/25/99 16:35 p.0010 Recorded Snohomish County COPY ORIGINAL ON FILE IN THE COUNTY AUDITOR'S OFFICE ORDINANCE NO. 3217 AN ORDINANCE OF THE CITY OF EDMONDS, WASHINGTON, AMENDING THE OFFICIAL ZONING MAP OF THE CITY OF EDMONDS TO CHANGE THE ZONING DESIGNATION ON CERTAIN REAL PROPERTY COMMONLY KNOWN AS THE PARK REZONE, NO. R-97-28, FROM RS-12 (SINGLE FAMILY RESIDENTIAL 12,000 SQUARE FEET) TO RS-8 (SINGLE FAMILY RESIDENTIAL 8,000 SQUARE FEET); AUTHORIZING EXECUTION OF A CONCOMITANT ZONING AGREEMENT AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, the Planning Board at a public hearing, considered the following amendments to the Official Zoning Map and made their findings and recommendations which were forwarded to the City Council, and WHEREAS,. the City Council after a public hearing reviewed the recommendations of the Planning Board and determined that the proposed amendment and agreement should be approved and hereby adopts the Findings and Conclusions of its Planning Board amended to acknowledge the withdrawal of property located at 18305 - 80th Ave. W., Edmonds, Washington, owned by Mr. and Mrs. James L. Thompson, husband and wife, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EDMONDS, WASHINGTON, DO 111 198910 1 Section 1. The Official Zoning Map of the City of Edmonds, as adopted by Section 17.00.010 of the Edmonds Community Development Code is hereby amended to change the zoning classification of certain property hereinafter described from RS-12 (single family residential 12,000 sq. ft.) to RS-8 (single-family residential 8,000 sq. ft.), subject to the Concomitant Zoning Agreement, Exhibit A executed and recorded as provided herein. The legal description of the property rezoned is set forth in Exhibit A, attached hereto and incorporated herein by this reference as if set forth in full. Section 2. The Planning Director is hereby instructed to effectuate the necessary amendments to the Official Zoning Map of the City of Edmonds pursuant to this ordinance. Section 3. The Mayor is hereby authorized to execute and the City Clerk to attest to that certain document entitled "Agreement and Covenants," attached hereto as Exhibit B and incorporated herein by this reference as if set forth in full. The City Clerk is further directed to record said Concomitant Zoning Agreement in the land records of Snohomish County as a covenant running with the land. The cost of said recordation shall be paid by the owners. Section 4. This ordinance, being an exercise of a power specifically delegated to the City legislative body, is not subject to referendum and shall take effect five (5) days after its publication, or publication of a summary thereof consisting of its title, in the City's official newspaper. F.11U Tilil�7ii 198910 2 ATTEST/AUTHENTICATED: zd CITY CLERK, SANDRA S. CHASE APPROVED AS TO FORM: OFFICE OF OCUf_A'I' FILED WITH THE CITY CLERK: 07/17/98 PASSED BY THE CITY COUNCIL: 07/21 /98 PUBLISHED: 07/26 /98 EFFECTIVE DATE: 07/31 /98 ORDINANCE NO. 3217 198910 3 AGREEMENT AND COVENANT CONSTITUTING A CONTRACT REZONE This agreement contain the covenants entered into between Dr. and Mrs. Han Z. Park, Mr. and Mrs. Russell C. Kim, and City of Edmonds, Washington A Municipal Corporation, hereafter referred as "The Owners" and City of Edmonds, A Municipal Corporation, hereafter referred to as "The City", WITNESSETH Whereas, The Owners proposes the development of approximately 5.8 acres of real property in Edmonds, generally located at 7704 Olympic View Dr., 18408 79"' Pl. W., and a vacant parcel between 18305 and 18325 80`h Ave. W. in the City of Edmonds, all being more specially described by Exhibit A attached hereto. Whereas, The Owners have applied for a change in zoning of the subject property from its current Single Family Residential 12,000 sq. ft. ( RS-12 ) classification to Single Family Residential 8,000 sq. ft. ( RS-8 ); and Whereas The City has caused the application in its entirety, including, but not limited to the environmental check list, to be reviewed by its Planning and Engineering Department and by its Planning Board, and has fully considered recommendation made after such review; and Whereas, on April 21,1998, the City Council of Edmonds found that the rezone request specified above and modified pursuant to the conditions set forth in this agreement does not adversely affect the public health, safety, general welfare and also not sufficiently change the character of the „ surround areas; and Whereas, The Owners voluntarily tender this agreement and are willing and able to implement the terms of this agreement in the course of development; and Whereas, The Owners and The City are willing to enter into an Agreement for a Contract Rezone; and Now, Therefore, It is hereby agreed as follows: 1. In Consideration of the City reclassifying the subject property from RS-12 to RS-8, and for so long as the property remains so classified, The Owners covenant as follows: 1.1 To limit the use of such property to Single Family Residential uses as defined under the Edmonds Community Development Code (ECDC) as the same exists or is hereafter amended; and that development of the subject property shall be consistent with an approved Planned Residential Development (PRD) application. 1.2 The building pads shall occupy a maximum of 21% of the net buildable area. Net buildable area means the total area of property minus right of way area in accordance with Edmonds City Development Code ( ECDC ). 1.3 A landscaping plan shall be implemented for both entrances. The landscaping shall be maintained by a Homeowner's Association to be formed. 1.4 The Owners shall pay for the widening of preexisting 20 feet wide 184`h Street SW to width of 40 feet. The street shall connect 80`h Ave. W. to Olympic View Dr. The easterly half of 184th Street, which is currently closed, shall be relocated.. to fit a newly created contour and grading as depicted and in accordance with Findings of ST 96-77 and ST 96-78. The finished street shall be dedicated to The City upon its completion. 1.5 A private cul-de-sac as depicted in ST 96-77 and ST 96-78 shall be constructed and it's north end shall be connected to a revised 1841h Street SW. 1.6 All residential structures shall be designed and constructed in a style and theme consistent with the approved PRD. 1.7 The maximum height of any permitted structure shall be 25 feet measured from average grade in accordance with ECDC. 1.8 Sidewalks, gutters, street lights and signs required by ECDC and the approval process shall be supplied and constructed by The Owners. 2. Expect as provided in paragraph 1.1, no amendment to this agreement may be made by The Owners, or their heirs, successors or their assigns to amend the underlying zoning of RS 8 for a period of two years from date of this agreement. Thereafter, either The Owners or their heirs, successors or their assigns may, upon application filed in the same manner as rezone application, apply to amend or terminate the provisions of this agreement or to change the zoning on said property. Said application shall be heard in accordance with application requirements for any other rezone of property in the City of Edmonds. 3. The City shall be under no obligation to issue The Owners or their heirs, successors or their assigns a building permit unless The Owners fully comply with the terms of this agreement and the applicable ordinance in effect at the time of approval of this rezone. 4. This agreement and each part of it shall be considered as covenants running with the land covered hereby above and shall be binding upon The Owners, their heirs, successors and assigns. It shall be recorded with the Snohomish County Auditor in the Grantor/Grantee index with The Owners being listed as Grantor and The City as Grantee. Such recordation and payment of said costs shall be a condition precedent to the exercise of development by The Owner. In the event of transfer of ownership, the rights and obligations of this Agreement shall be assumed by the new Owner. 5. The term of this agreement may be specifically enforced. If either party shall bring suit to enforce any of the provisions of this agreement, the prevailing party shall be entitled reimbursement for all cost of said litigation together with a sum for reasonable attorney fees. rCJ7�l'?-Y7 YJ 'j Hd NM MN 01. Z. NeiRK 206T749139 p,ns 4, ?his ngrrtmcnt and each part of It shall be considered is eovenant9 running with the iand co,•crc-.d hereby ahnve and deal1 be binding upon The owners, their heirs, sucersmrs and a..igns. It shall he recorded with the Suotw wish Counly Auditor In the grantor/Grantee index with The: Owners heing listed as Grantor and Tho City as Grantee. Such recordation and payment of said costs shall he a condition precedent to the exercise of developmtnt try The Owner. In the event of transfer of owtter4hip, the rights and abligations of this Agreement shall be as.sunled by the new tin tier. .1. The tertu of this alresntrnt may hr speeiltcally enforced. If either party .shall bring .quit to enforce arty of the provisions of this agreeincnt, the pret'atling !tarty shall be entitled reimburtettictit for all cost of snit! litigation together with a sum for reasonable attartlej! fees. TV WI' NF'45 A1111 f RFOF, IIto artie.s have cxprriscd this agreement This _day of 1 yx i99R. MR. R S5f 1,L C, KTAf MKS, GHRI 1'IN_� P. kIM TIfR ('un, Or. FDMC);rDs, a% )„ ner ;y�Qji RARIiAR� C. FAHtiY 3 ( print or type name ) NOTARY PUBLIC in and for the State of^Okll homa residin at '17-1, My Commission expires /(/l 22 STATE OF WASHINGTON ) ) ss. COUNTY OF )AO�YY,. ,5S — ) On this 3 day of _ c,.YGJtn , 199JV before me a Notary Public in and for the City of Edmonds, duly commissioned and sworn, personally appeared 56'x(-bp,-rC.- MAYOR of the CITY OF EDMONDS, the municipal cooperation that executed the foregoing instrum nt, acknowledged the instrument to be the free and voluntary act and deed of that corporation for the uses and purposes therein mentioned, and on oath stated that she was authorized to execute the instrument on behalf of corporation. WITNESS my hand and official seal affixed the day and year above written. s: •::t3iati'' �� PUBLIC 't%��7g- �WAs�yr-� 'rrY e-' iA• ( print or type name ) '-.� NOTARY PUBLIC in and for the State of Washington residing at �L-"j0c6 t(a.5 Pt n& F--Z4 .e My Commission expires 3 - is - Q ATTEST/ AUTHENTICATED: (�Cvr � City Clerk, SAND%A S. CHASE APR AS TO FORM: 0 ICNFTHE<TZ0.TTORNEY: W.SCOTTSNYDER STATE OF WASHINGTON ss. COUNTY OF �A)6<'�Z1 Zia' ) On this �7 day of 04.h.1;Pr� 1998, before me a Notary Public, duly commissioned and sworn, personally appeared Dr. HAN Z. PARK AND MRS. REGINA K. PARK, husband and wife, appeared before me, and said persons acknowledged that they signed this instrument and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. WITNESS my hand and official seal affixed the day and year first above written. Dated A„✓ 1�4 ytxs G ( print or type name ) NOTARY PUBLIC in and for the Stat of Washington, residing at _I _ d- Gt/t4 My Commission expires: d ? 11oL STATE OF OKLAHOMA ) ss. COUNTY OF O ) On THIS 6 day of 1998, before me, a Notary Public, duly commissioned and sworn, personally appeared MR. RUSSELL C. KIM AND MRS. CHRISTINA P. KIM, husband and wife, appeared before me, and said persons acknowledged that they signed this instrument and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. WITNESS my hand and official seal affixed the day and year first above written. LEGAL DESCRIPTIONS: Park property: ' EXHIBIT "A" PARCEL A: Tax Account No. 3708-001-009-0008 Lot 9, Block 1, Plat of Admiralty Acres, as per plat recorded in Volume 12 of Plats on page 48, records of Snohomish County. Situate in the County of Snohomish, State of Washington. PARCEL B: Tax Account No. 3708-001-010-0005 Lot 10, Block 1, Plat of Admiralty Acres, as per plat recorded in Volume 12 of Plats, page 48, records of Snohomish County. Situate in the County of Snohomish, State of Washington. PARCEL C: Tax Account No. 4346-000-106-0107 All that portion of Tract 106, Edmonds, Sea View Tracts, as per plat recorded in Volume 3 of Plats on page 76, records of Snohomish County, lying Southwesterly .of Beverly Park —Edmonds Road; EXCEPT the East 212 feet thereof as measured along south line of said Tract 106 and EXCEPT any portion lying within Beverly Park —Edmonds Road. Situate in the County of Snohomish, State of Washington. Kim Property PARCEL A Tax Account No. 3708-001-011-0004 Lot 11, Block 1, Admiralty Acres, as per plat recorded in Volume 12 of Plats, page 48, records of Snohomish County, EXCEPT the east 120 feet thereof. Situate in the County of Snohomish, State of Washington. PARCEL 8 Tax Account No. 3708-001-011-0004(some as A) The East 120 of Lot 11, Block 1, Admiralty Acres, as per plat recorded in Volume 12 of Plats, page 48, records of Snohomish County. Situate in the County of. Snohomish, State of Washington. City-ef Edmonds property. Tax Account No. 3708-001-0120003 Lot 12, Block 1, Plat of Admiralty Acres, as per plat recorded in Volume 12 of Plats page 48, records of Snohomish County. Situate in the County of Snohomish, State of Washington. 0006.150.04B WSS/gjz 07/07/98 ORDINANCE NO. 3217 AN ORDINANCE OF THE CITY OF EDMONDS, WASHINGTON, AMENDING THE OFFICIAL ZONING MAP OF THE CITY OF EDMONDS TO CHANGE THE ZONING DESIGNATION ON CERTAIN REAL PROPERTY COMMONLY KNOWN AS THE PARK REZONE, NO. R-97-28, FROM RS-12 (SINGLE FAMILY RESIDENTIAL 12,000 SQUARE FEET) TO RS-8 (SINGLE FAMILY RESIDENTIAL 8,000 SQUARE FEET); AUTHORIZING EXECUTION OF A CONCOMITANT ZONING AGREEMENT AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, the Planning Board at a public hearing, considered the following amendments to the Official Zoning Map and made their findings and recommendations which were forwarded to the City Council, and WHEREAS, the City Council after a public hearing reviewed the recommendations of the Planning Board and determined that the proposed amendment and agreement, should be approved and hereby adopts the Findings and Conclusions of its Planning Board amended to acknowledge the withdrawal of property located at 18305 - 80th Ave. W., Edmonds, Washington, owned by Mr. and Mrs. James L. Thompson, husband and wife, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EDMONDS, WASHINGTON, DO ORDAIN AS FOLLOWS: 198910 1 Section 1. The Official Zoning Map of the City of Edmonds, as adopted by Section 17.00.010 of the Edmonds Community Development Code is hereby amended to change the zoning classification of certain property hereinafter described from RS-12 (single family residential 12,000 sq. ft.) to RS-8 (single-family residential 8,000 sq. ft.), subject to the Concomitant Zoning Agreement, Exhibit A executed and recorded as provided herein. The legal description of the property rezoned is set forth in Exhibit A, attached hereto and incorporated herein by this reference as if set forth in full. Section 2. The Planning Director is hereby instructed to effectuate the necessary amendments to the Official Zoning Map of the City of Edmonds pursuant to this ordinance. Section 3. The Mayor is hereby authorized to execute and the City Clerk to attest to that certain document entitled "Agreement and Covenants," attached hereto as Exhibit B and incorporated herein by this reference as if set forth in full. The City Clerk is further directed to record said Concomitant Zoning Agreement in the land records of Snohomish County as a covenant running with the land. The cost of said recordation shall be paid by the owners. Section 4. This ordinance, being an exercise of a power specifically delegated to the City legislative body, is not subject to referendum and shall take effect five (5) days after its publication, or publication of a summary thereof consisting of its title, in the City's official newspaper. APPROVED: 198910 2 ATTEST/AUTHENTICATED: CITY CLERK, SANDRA S. CHASE APPROVED AS TO FORM: OFFICE OFT CHAT FILED WITH THE CITY CLERK: 07/17/98 PASSED BY THE CITY COUNCIL: 07/21 /98 PUBLISHED: 07 /26 /98 EFFECTIVE DATE: 07/31 /98 ORDINANCE NO. 3217 199910 3 EXHIBIT "A" CONCOMITANT ZONING AGREEMENT WHEREAS, Dr. and Mrs. Han Z. Park, husband and wife, and Mr. and Mrs. Russell C. Kim, husband and wife, and the City of Edmonds, Washington, a municipal corporation, jointly and severely referred to as "Owners" are the owners of certain real estate legally described on the attached Exhibit A and incorporated by this reference as fully as if herein set forth, comprising approximately 5.98 acres and located at 7704 Olympic View Drive, 18325 80th Avenue W., 18408 79th Pl. W. and a vacant parcel between 18325 and 18305 - 80th Avenue W. in the City of Edmonds, WHEREAS, the Owners tender this agreement and covenants to the City of Edmonds, a municipal corporation in its quasi judicial and governmental capacity, hereinafter referred to as "Edmonds" and the same having been duly considered by the City Council of the City of Edmonds and on the recommendation of its Planning Board, and WHEREAS, the Owners have applied for changes in the zoning of Residential real property from Single Family Residential 12,000 sq. ft. (R.S. 12) to Single Family Residential 8,000 sq. ft. (R.S. 8), and WHEREAS, the application has been reviewed by the City's Planning Board which has recommended that the rezone be approved subject to certain conditions contained in the April 17, 1998 recommendations to the City Council; NOW, THEREFORE, concurrently with the approval of an ordinance adopting findings of the City Council of the City of Edmonds that the rezone to the subject property as specified above does not adversely affect the public health, safety and general welfare and that the rezone of justified by sufficient changes in the character of the surrounding area, and in consideration of the City Council's rezoning of the subject property and for so long as subject property remains rezoned, the Owners and the City of Edmonds hereby covenant and agree to the following on behalf of themselves, their heirs, successors and assigns: 1. This Agreement is voluntarily tendered by Owners to Edmonds and accepted by Edmonds, and all parties hereto agree that it shall be applicable to the parties to this Agreement, their heirs, successors and assigns both as to duties and to benefits. The terms to this Agreement shall be enforceable at law or specifically enforceable in equity by Edmonds as it in its sole discretion deems appropriate. 2. Edmonds shall be under no obligation to issue to the Owners, their heirs, successors and assigns a building permit and/or other permits for improvements, structures or uses upon any of the subject property of the Owners unless such improvements and/or uses fully comply with the terms of this Agreement and the applicable ordinance in effect at the time of submission of any fully completed applications for said permits. "Fully completed applications" PLEASE NOTE: 1 THIS AGREEMENT IS NOT SIGNED. THE PARTIES INVOLVED HAVE CHOSEN NOT TO SIGN AS OF 9/18/98. shall mean an application sufficient to vest the applicant's rights under state law and City ordinance. 3. This Agreement and covenant and each part thereof shall be considered covenants running with the land described above and shall be binding upon the Owners, their heirs, successors and/or assigns. It shall be recorded with the Snohomish County Auditors in the grantor/grantee index with the Owners being listed as the grantor and Edmonds as grantee. All recording costs are to be paid by Owners. Such recordation and payment of said costs shall be a condition precedent to the ownership, the rights and obligations of this Agreement shall be assumed by the new Owner. 4. In consideration of Edmonds reclassifying the subject property from RS 12 to RS8, and for so long as the property remains so classified, owner covenants to limit the use of such property to a Single Family Residential uses as defined under the Edmonds Community Development Code (ECDC) as the same exists or is hereafter amended, subject to the following restrictive conditions: 4.1 Development of the property shall be consistent with an Approved Planned Residential Development (PRD) application. 4.2 The building pad shall occupy a maximum of 21 % of the net buildable area determined in accordance with the provisions of the ECDC. 4.3 A landscaping plan shall be fixed for both entrances. 4.4 The homeowner shall create a homeowner association in a form sufficient to fund and maintain the landscaping located at the entrances to the PRD. 4.5 A through three street 'connecting 80th Pl. W. at 184th Street SW to Olympic View Drive shall be constructed at the owner's expense, dedicated to the City of Edmonds and completed prior to the issuance of any building permit for construction within the rezoned area. 4.6 A private cul-de-sac shall be constructed that runs from the south from the new public street proposed on the map submitted in accordance with the rezone application as Exhibit 3 , incorporated by this reference as fully as if herein set forth. 4.7 The houses designed and constructed under the Planned Residential Development application shall be consistent in the style and theme with those approved in the PRD application. 4.8 The maximum height permitted in a structure shall be 25 feet as measured from an average grade according to the City of Edmonds Community Development Code requirements. 0) 4.9 All sidewalks, gutters, street lights and signs required by The Edmonds Community Development Code and the approval process shall be supplied and constructed by the Owners at their sole expense. (exclusive of the City of Edmonds). 5. No application shall be made by the Owners, its heirs, successors or assigns to amend this Concomitant Zoning Agreement for a period of ten (10) years from the date hereof. Thereafter, Owners or their successors, heirs or assigns or Edmonds may, upon application, apply to.amend or terminate the provisions of this Agreement or to change the zoning on said property. Said application to change or terminate the provisions and covenants or to rezone said property shall be heard in accordance with the application requirements for any other rezone of property in the City of Edmonds. Such action by other parties shall not release the Owners, their heirs, successors or assigns from the obligations assumed under this Agreement, unless or until such application shall be duly approved by Edmonds. 6. In the event that a suit is brought to enforce any of the provisions of this Agreement, the prevailing parties shall be entitled to reimbursement for all costs of said litigation together with a sum for reasonable attorney's fees. 7. It is further expressly agreed that any covenant, condition or restriction herein contained or any force thereof is valid or void, such invalidity or voidness shall in no way affect any other covenant, condition or restriction herein contained. IN WITNESS WHEREOF, the parties have expressed this Agreement this day of , 1998. Dr. Han Z. Park Mrs. Han Z. Park Mr. Russell C. Kim Mrs. Russell C. Kim 3 THE CITY OF EDMONDS, as Owner Mayor Barbara S. Fahey ATTEST/AUTHENTICATED : City Clerk, Sandra S. Chase APPROVED AS TO FORM: OFFICE OF THE CITY ATTORNEY: W. Scott Snyder STATE OF WASHINGTON ) ss. COUNTY OF ) On this day of , 1998, before me, a Notary Public, duly commissioned and sworn, personally appeared DR. HAN Z. PARK AND MRS. HAN Z. PARK, husband and wife, appeared before me, and said persons. acknowledged that they signed this instrument and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. WITNESS my hand and official seal affixed the day and year first above written. Dated: (print or type name) NOTARY PUBLIC in and for the State of Washington, residing at: My Commission expires: 4 STATE OF WASHINGTON ) ss. COUNTY OF ) On this day of , 1998, before me, a Notary Public, duly commissioned and sworn, personally appeared MR. RUSSELL C. KIM AND MRS. JAME.S C. KIM, husband and wife, appeared before me, and said persons acknowledged that they signed this instrument and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. WITNESS my hand and official seal affixed the day and year first above written. (print or type name) NOTARY PUBLIC in and for the State of Washington, residing at: My Commission expires: STATE OF WASHINGTON ) ss. COUNTY OF ) On this day of , 1998, before me, a Notary Public in and for the City of Edmonds, duly commissioned and sworn, personally appeared , known to be the MAYOR of the CITY OF EDMONDS, the municipal corporation that executed the foregoing instrument, and acknowledged the instrument to be the free and voluntary act and deed of that corporation for the uses and purposes therein mentioned, and on oath stated that he was authorized to execute the instrument on behalf of the corporation. WITNESS my hand and official seal affixed the day and year first above written. Wss198 875.1 ACR/F0006.900000 (Printed or typed name) NOTARY PUBLIC My appointment expires: 5 LEGAL DESCRIPTIONS: Park property: ' EXHIBIT "All PARCEL A: Tax Account No. 3708-001-009-0008 Lot 9, Block 1, Plat of Admiralty Acres, as per plat recorded in Volume 12 of Plats on page 48, records of Snohomish County. Situate in the County of Snohomish, State of Washington. PARCEL B: Tax Account No. 3708-001-010-0005 Lot 10, Block 1, Plat of Admiralty Acres, as per plat recorded in Volume 12 of Plots, page 48, records of Snohomish County. Situate in the County of Snohomish, State of Washington. PARCEL C: Tax Account No. 4346-000-106-0107 All that portion of Tract 106, Edmonds, Sea View Tracts, as per plat recorded in Volume 3 of Plats on page 76, records of Snohomish County, lying Southwesterly of Beverly Park —Edmonds Road; EXCEPT the East 212 feet thereof as measured along south line of said Tract 106 and EXCEPT any portion lying within Beverly Park —Edmonds Road. Situate in the County of Snohomish, State of Washington. Kim Property PARCEL A Tax Account No. 3708-001-011-0004 Lot 11, Block 1, Admiralty Acres, as per plat recorded in Volume 12 of Plats, page 48, records of Snohomish County; EXCEPT the east 12.0 feet thereof. Situate in the County of Snohomish, State of Washington. PARCEL B Tax Account No. 3708-001-011-0004(same as A) The East 120 of Lot 11, Block 1, Admiralty Acres, as per plat recorded in Volume 12 of Plats, page 48, records of Snohomish County. Situate in the County of. Snohomish, State of Washington. City of Edmonds property. Tax Account No. 3708-001-0120003 Lot 12, Block 1, Plat of Admiralty Acres, as per plat recorded in Volume 12 of Plats page 48, records of Snohomish County. Situate in the County of Snohomish, State of Washington. SUMMARY OF ORDINANCE NO. 3217 of the City of Edmonds, Washington On the 21 st day of July , 199 8 , the City Council of the City of Edmonds, passed Ordinance No. 3217 A summary of the content of said ordinance, consisting of the title, provides as follows: AN ORDINANCE OF THE CITY OF EDMONDS, WASHINGTON, AMENDING THE OFFICIAL ZONING MAP OF THE CITY OF EDMONDS TO CHANGE THE ZONING DESIGNATION ON CERTAIN REAL PROPERTY COMMONLY KNOWN AS THE PARK REZONE, NO. R-97-28, FROM RS-12 (SINGLE FAMILY RESIDENTIAL 12,000 SQUARE FEET)TO RS-8 (SINGLE FAMILY RESIDENTIAL 8,000 SQUARE FEET); AUTHORIZING EXECUTION OF A CONCOMITANT ZONING AGREEMENT AND ESTABLISHING AN EFFECTIVE DATE. The full text of this Ordinance will be mailed upon request. DATED this 22nd day of July , 199 8 . ITY CLERK, SANDRA S. CHASE 4 STATE Or WASHINGTON, couNTY Or SNOHO.M1ISH, Affidavit of Publication RECEIVED J U L 2 9 1998 E'OMONCS CITY CLERIC The undersigned, being first duly sworn on oath deposes and says that she is Principal Clerk of THE HERALD, a daily newspaper printed and published in the City of Everett, County of Snohomish, and State of Washington; that said newspaper is a newspaper of general circulation in said County and State; that said newspaper has been approved as a legal newspaper by order of the Superior Court of Snohomish County and that the notice...... ................ ................. ._Summary of Ordinance No. 3217 ...............I............. I _...... .................... ............................................................................................................................. a printed copy of which is hereunto attached, was published in said newspaper proper and not in supplement form, in the regular and entire edition of said paper on the following days and times, namely: July 26, 1998 ............................................................................................... and cribers ............. 1 Clerk Subscribed and sworn to before me this ....... 27th of......... ... ....... ,7uI.....................-..........., 1998.... .................... ... ... ....... ..... ................----........ Notary Public in and for the St e o Washington, residingat Everett, Snohomish ount . �-.`� 51B J, �. �t3`Sg 1 O N F�A� ram: 0 NOTARY Nam : PUBLIC ti Z •'1 o 9j;• 4y ZQ B-2-1 r e DEN U�PHY ALLACE P. L. L. C. ATTORNEYS AT LAW May 16, 2001 Greg Home GREG HOME, INC., P.S. 300 Bellevue Place 800 Bellevue Way NE Bellevue, WA 98004 Re: City of Edmonds and Kim/Park Developments/Contract Rezone Dear Mr. Home: W. Scott Snyder ssnyder@omwlaw.com RECEIVED MAY 18 2001 DEVELOPMENT SERVICES I will gather the minutes and other documents you requested. You and/or your client would have the right to them under the Public Records Act. The City's position rests on a very simple set of factors. First, the conditional sales agreement reserves to the Mayor and City Council their full quasi judicial legislative and administrative discretion. Second, as the zoning body, the City has the ability to consider the application of any individual citizen as well as staff initiated rezone applications. The Council's decision in a rezone would be an independent, quasi judicial decision based on the record and the criteria established by law and ordinance. Second, your client, through his then agent Charles Mackey, proposed an arrangement for the development of Mr. Parks' property. His property can be better accessed and more readily developed, in conjunction with City property. There were a variety of benefits to both parties arising from the joint development of the site. The City entered into a series of administrative and legislative actions based on your client's representations. A conditional vacation was approved, the property was rezoned and the table set for the development of the site. Only through site development and dedication would the City receive the benefits of the access which you mentioned. Your client elected to discharge Mr. Mackey and halt the process. The City has reserved the right to act in its various administrative, quasi judicial and legislative capacity, and the City staff, wearing its proprietary hat, intends to bring forward a rezone to return the parties to their original positions. Absent final development approval, your client has no obligation to purchase the City property. Similarly, the City Council in its legislative capacity retains full authority to act with Established 1902 A Member of the International Lawyers Network with independent member law firms worldwide 1601 Fifth Avenue, Suite 2100 • Seattle, WA 98101-1686 • 206.447.7000 • Fax: 206.447.0215 • Web: www.omwlaw.com { WSS479125.DOC;1/00006.900000/} Greg Home May 16, 2001 Page 2 respect to the site as it does any other piece of property within the City. The City staff in its proprietary capacity is free to bring those matters forward. What I have suggested is a practical resolution of this matter, which would allow your client to proceed at his own pace. Practically, your client needs to fulfill the representations that his agent made regarding the property or we need to restructure the understandings between the parties to better address the current state of affairs. If your client does not want to purchase the property, he should say so, and this matter can be returned to its original status by rezone, and wording of the vacation. Very truly yours, OGDEN MURPHY WALLACE, P.L.L.C. W. Scott Sn` der WSS/gjz CC. Mayor Gary Haakenson Duane Bowman { W SS474715.DOC;1 /00006.190047/1 r DEN ff UIRHY ACE P.L.L.0 . ATTORNEYS AT LAW W. Scott Snyder ssnyder@omwlaw.com May 4, 2001 Greg Home GREG HOME, INC., P.S. 300 Bellevue Place 800 Bellevue Way NE Bellevue, WA 98004 s MAY 0 7 ZV-01 DEVELOPMENT SERVICES Re: City of Edmonds and Kim/Park Developments/Contract Rezone Dear Mr. Home: I left a message requesting a return call on Monday. I have not heard from you. Therefore I am writing to confirm the substance of my telephone message. I am writing under the assumption that you continue to represent Dr. Park. If you do not, please advise me at your earliest opportunity. As you know, you were advised by Mayor Haakenson last year that the failure of Dr. Park to proceed with subdivision and development of the Kim/Park site would result in a City initiated rezone. Our prior letters adequately cover that situation. Following discussions with you, the City allowed an additional year for Dr. Park to find a developer and proceed with the development of the property. Those efforts appear to have been fruitless and to date nothing has been done. Your letter of June 1, 2000 also raised concerns regarding the timing of the action relating to the rezone. The additional year has cured those concerns. Therefore, we are once again at the point where we were at the beginning of last summer. I am prepared on behalf of the City to initiate the process to, (1) rezone the property back to its original RS-12 designation, (2) void the requested street vacation, and (3) accordingly cancel the City's conditional sales contract. At the heart of the City's concern are two issues. First is the failure to proceed in a timely fashion to develop the property in accordance with the assurances of the developers. Second, is that the value of the sales contract to the City becomes increasingly impaired with each passing year. The City negotiated a selling price of $100,000 in 1997 with the understanding that the development was proceeding that year. It's now four years later and nothing to date has occurred. No applications are pending with the City and no further necessary action has been taken to subdivide or otherwise develop the property. Established 1902 A Member of the International Lawyers Network with independent member law firms worldwide 1601 Fifth Avenue, Suite 2100 • Seattle, WA 98101-1686 • 206.447.7000 • Fax: 206.447.0215 • Web: www.omwlaw.com { W SS474715. DOCJ /00006.190047/} Greg Home May 4, 2001 Page 2 As I mentioned in my voice mail message, there may be other practical solutions to that impasse. First, Mr. Kim could purchase the City property for the $100,000 agreed upon price. He would then be free to develop the property at his own pace. A second option would be to reform the sales agreement in order to insert an escalator clause with respect to the purchase price. It could increase annually based upon an agreed factor such as the index of home prices in South Snohomish County. At your earliest convenience, please advise me of whether or not you represent Dr. Park. If you do please convey this letter to him for discussion. I will look fort;yard to hearing from you in the near future. If I do not hear from you by the close of business on May 11, I will assume the necessity to proceed with the rezone and revocation processes. Very truly yours, OGDEN MURPHY WALLACE, P.L.L.C. W. Scott Sny 4r G1 WSS/kkr/gj'z CC. Mayor Gary Haakenson Duane Bowman { W SS474715.DOC;1 /00006.190047/1 laims for (D) ACKNOWLEDGE RECEIPT OF CLAIMS FOR DAMAGES FROM JAMES N. NOLAN amages ($493.90), AND MEGAN HOAG/ALLSTATE INSURANCE COMPANY ($765.00) Update Hwy 9 Project (E) UPDATE ON HIGHWAY 99 PROJECT Update Public Safety (F) UPDATE ON PUBLIC SAFETY PROJECT Project Approval (G) APPROVAL OF PUBLIC WORKS TEAMSTERS UNION LABOR AGREEMENT W Agmt [nterlocal (H) AUTHORIZATION FOR MAYOR TO SIGN THE INTERLOCAL AGREEMENT choof Dist BETWEEN THE EDMONDS SCHOOL DISTRICT AND CITY OF EDMONDS POLICE PD DEPARTMENT FOR COMMUNITY -ORIENTED POLICING AGENT IRFQ Bank 1 (1) AUTHORIZATION TO ADVERTISE FOR REQUEST FOR PROPOSALS FOR CITY ervices BANKING SERVICES Bids for (K) AUTHORIZATION TO ADVERTISE FOR BIDS FOR UNIFORMS AND LAUNDRY Uniforms & SERVICES FOR PUBLIC WORKS, PARK MAINTENANCE, AND TREATMENT PLANT Laundry Svcs EMPLOYEES MOU with (L) AUTHORIZATION FOR MAYOR TO SIGN MEMORANDUM OF UNDERSTANDING ort re Park WITH PORT OF EDMONDS REGARDING DEVELOPMENT IN RELATION TO CITY'S MARINA BEACH PARK AND ACCEPTANCE OF SIX-FOOT EASEMENT Wing - (M) AUTHORIZE MAYOR TO SIGN REVISED CONCOMITANT ZONING AGREEMENT gmt 97-28 RELATED TO THE PARK REZONE, NO.97-28 rd 3243 (P) ORDINANCE NO. 3243 FORMING NORTH PERRINVILLE LOCAL IMPROVEMENT LID 216 1 DISTRICT (LID) NO.216 - Bid for 1999 Item J: Authorization to Advertise for Bids to Purchase a 1999 Harley Davidson Police Motorcycle Police and Item O: Authorization for Mayor to Sign a Lease Agreement with Lynnwood Cycle Barn, Inc. otorc cle Councilmember White observed the purchase of a police motorcycle is less expensive than the lease, and ease Agmt questioned why one Consent Agenda item proposed the purchase of a police motorcycle and another with Cycle Consent Agenda item proposed a lease. Public Works Director Noel Miller responded funds are not am currently available to purchase the second motorcycle. When the budget was developed, the lease amount was unknown; however, recent analysis indicates a purchase is slightly less expensive; therefore, it was felt the lease could be continued for one year until the funds can be identified to purchase another motorcycle. He said this also rotates the motorcycles into the pool on a staggered basis. "tract for Item N: Authorization for Mayor to Sign Contract for Victim Advocacy Services with Laura R. dvocacy Lindstrand services Councilmember White expressed concern this had not been reviewed by the Public Safety Committee and suggested more information be provided regarding Ms. Lindstrand including a presentation to the Council in the future. He pointed out the number of hours this individual will be working has been left blank in the contract. He said Paragraph A (Termination of Agreement at Cities' Option) in Section 5 and Paragraph B (Termination for Cause) were in conflict. He said if the City has the option to terminate at will, it is inappropriate to state that cause is required prior to termination as this suggests there must always be cause to terminate. Councilmember White questioned why resolution of dispute (Section IX) must be filed in King County rather than Snohomish County. He preferred the contract be reviewed and considered by the Public Safety Committee. Edmonds City Council Approved Minutes March 16, 1999 Page 2 EDMONDS CITY COUNCIL APPROVED MINUTES MARCH 16, 1999 Following a Special Meeting at 6:45 p.m. to interview a candidate for the Architectural lXsign Board, the Edmonds City Council meeting was called to order at 7:00 p.m. by Mayor BarX Fahey in the Library Plaza Room, 650 Main Street. The meeting was opened with the flag salute. ELECTED OFFICIALS PRESENT Barbara Fahey, Mayor Gary Haakenson, Council President Michael Plunkett, Councilmember Jim White, Councilmember Dick Van Hollebeke, Councilmember Thomas A. Miller, Councilmember ALSO PRESENT Meghan Cross, Student Representative ABSENT John Nordquist, Councilmember Dave Earling, Councilmember 1. APPROVAL OF AGENDA COUNCILMEMBER WHITE HOLLEBEKE, TO APPROVE T STAFF PRESENT Robin Hickok, Police ief Mike Smith, Fire In4arshal ctor John Westfall, Fire Paul Mar, Com nity Services Director Ray Miller, D elopment Services Director Peggy Hetzl , Administrative Services Director Joan Fereb e, Court Administrator Jeff Wil n, Planning Supervisor Noel Her, Public Works Director Karl a Kawamoto, Planner A llla Ohlde, Parks and Recreation Director colt Snyder, City Attorney Sandy Chase, City Clerk Sherrie Ringstad, Deputy City Clerk ✓ED, SECONDED BY COUNCILMEMBER VAN ENDA AS SUBMITTED. MOTION CARRIED. 2. CONSENT AGENDA ITEMS Councilmember White requested Ite s J, N, and O be removed from the Consent Agenda. COUNCILMEMBER LER MOVED, SECONDED BY COUNCILMEMBER VAN HOLLEBEKE, TO AP OVE THE BALANCE OF THE CONSENT AGENDA. MOTION CARRIED. The agend items approved areas follows: (A) ROLL CA Appro9Ve (B) APPR AL OF CITY COUNCIL MEETING MINUTES OF MARCH 2, 1999 Minutes (C) APT OVAL OF CLAIM WARRANTS #29337 THROUGH #31217 FOR THE WEEK OF [Approve M CH 1, 1999, IN THE AMOUNT OF $148,117.10. APPROVAL OF CLAIM Paim W RRANTS #29340 THROUGH #31395 FOR THE WEEK OF MARCH 8, 1999, IN THE l arrants OUNT OF $171,916.67. APPROVAL OF PAYROLL WARRANTS #22502 THROUGH #22629 FOR THE PERIOD FEBRUARY 16 THROUGH FEBRUARY 28, 1999, IN THE AMOUNT OF $332,571.49 Edmonds City Council Approved Minutes March 16, 1999 Page 1 4lzlg6 Melissa Marks Mike & Shayne Nagel 18325 8152 Avenue West 7925 182"d Place SW Edmonds, WA 98026 Edmonds, WA 98026 David W. Elkins Steven P. Slater 18508 79`h Place W 7817 185`h Place SW Edmonds, WA 98026 Edmonds, WA 98026 Lars & Polly Johnson Edith & Diane Broughton 7816 182"d Place SW 8006 181"Place SW Edmonds, WA 98026 Edmonds, WA 98026 Dan Gossett Marilyn Holden 18105 80`h Avenue 18017 80`h Aveune W Edmonds, WA 98026 Edmonds, WA 98026 Tom Langland 18226 80`h Avenue W Edmonds, WA 98026 Gary & Jeanne Wichman 7800 185`h Place SW Edmonds, WA 98026 Cathryn Rankin 8005 181"Place SW Edmonds, WA 98026 Resident 7922 180`h Street SW Edmonds, WA 98026 ...... ..... C'.'. t u-�-- qt�.�f 1 2 RECQVED APR 0 8 1998 OM OFTHE MAYOR ,X— �—�s� 1hc.1S911 DATE: TO: CC: FROM: RE: CITY OF EDMONDS 121 5TH AVENUE NORTH • EDMONDS, WA 98020 • (425) 771-0220 • FAX (425) 771-0221 DEVELOPMENT SERVICES DEPARTMENT Planning • Building • Engineering MEMORANDUM August 31, 2000 Mayor Gary Haakenson City of Edmonds Rob Chave, Planning Manager Duane Bowman, Development Services Director W. Scott Snyder, Office of the City Attorney Han Park Rezone GARY HAAKENSON MAYOR This memo is an update regarding the Han Park Rezone. At my suggestion, the Mayor wrote a letter giving Mr. Park giving a deadline of June 1 to initiate this PRD, If he did. not respond by that time, the City was going to commence a rezone of the property to put things back where they were and void the contract rezone. Park's attorney responded that the dates used in the letter were off, that his client had not signed the agreement in November of 1998, but rather in March of 1999, The letter also contained a good bit of innuendo and conspiracy theory. He has assured me in a variety of phone calls and letters that Park is pursuing a developer. This is confirmed by contact within the Planning Department in the last couple of weeks by a development company. Today, I again spoke with Greg Home, Park's attorney, and told him that if the deal was not inked in September, the revocation of the current zoning -- that is rezoning it back to where it was and voiding the street vacation, would take place. He acknowledged that if a deal was not in place in September, it would have fallen through with the current development company,. I am proceeding on the assumption that the City does not want to scare off this developer by starting a process that might kill the "deal". If the project falls through, I continue to recommend that the City initiate a rezone to put the property back to its original status and void the vacation. If Park wants to propose the deal again, we should negotiate an agreement which has clear time frames for completion. WSS/gjz IWSS448436.DOC;L/00006.900000/} • Incorporated August 11, 1890 Sister City - Hekinan, Japan CITY OF EDMONDS GARYHAAKENSON CITY HALL • THIRD FLOOR MAYOR 121 5TH AVENUE NORTH • EDMONDS, WA 98020 • (425) 771-0247 - FAX (425) 771-0252 OFFICE OF THE MAYOR the .18Wv February 23, 2000 Mr. and Mrs. Russell Kim 13809 N. Creek Drive Edmond, OK 73013 Dr. and Mrs. Han Park 7704 Olympic View Drive Edmonds, WA 98026 Re: Contract Rezone Dear Sirs and Madams, The City of Edmonds conditionally approved a street vacation, File Nos. ST-96-77 and ST-96-78. This vacation was contingent upon the development of properties that are jointly owned by you and the City of Edmonds and located adjacent to or across 7704 Olympic View Drive, 18325 80`h Avenue West, and 18408 79"' Place West. In addition, the City entered into a condition sales agreement with Dr. and Mrs. Park on December 18, 1997. The sale was conditioned upon the development of the property through the subdivision process. Finally, the Edmonds City Council approved rezone of the property on April 21, 1998 contingent upon submission of a concomitant zoning agreement. That agreement was finally executed and submitted on November 6, 1998. To date, the Planning Department reports that no application to subdivide or develop the property has been received by the City of Edmonds. Please note that under paragraph 2 of the agreement, no amendment to the agreement may be brought by you or your successors or assigns for a period of two years. While the City in its regulatory function is not bound by paragraph 2, the City is an owner of the property and therefore potentially limited by paragraph 2 as well. This letter constitutes your notice that, if a fully completed application for development of the property is not received by the City's Planning Department on or before June 1, 2000 and substantial progress with regard to redevelopment reached by November 6, 2000, I, as Mayor of the City and its property manager, intend to initiate a rezone of the property from a regulatory standpoint from RS-8 back to its original RS-12 status. In addition, I will report to the City Council that the conditions of the street vacation have not been met and will request that the street vacation be denied. Finally, upon rezone of the property back to RS-12 and the voiding of the vacation, I intend to cancel City's conditional sales contract. • Incorporated August 11, 1890 • It is my hope that you will move promptly to initiate the development envisioned in your contract rezone representations. If you fail to do so within a reasonable period of time, the City will move to restore the property and parties to their original position. Sincerely, Gary Haakenson Mayor GH\lbc C AMayor00\KimPaik.doc cc: City Council Scott Snyder, Ogden Murphy Wallace 02/18/00 FRI 10:35 FAX 206 447 0215 Wiff 5EATTLE 10002 AUPdIHY CEr t.. L.0 A T T b K N F Y S A T L A W 100 Wesllakc CenlCf Tower IGill L`i(tII Avenue • Sea111c.. WA 9S101-I68(; . (204) 4.17.7D00 • r;rx (206) 447 02I s MEMORANDUM DATE: February 18, 2000 TO: Mayor Gary Haakenson City ofE-dlnonds CC: Jeff Wilson, Planning City of Edmonds FROM: Scott Snyder, Office of the City Attorney RE: Park Rezone Jeff Wilson has brought to my sttcntioil that Dr. and Mrs. Han Park and Mr. and Mrs. Russell C. Kini have not moved forward with a development application reoardillg properties owned by the Kims, the Parks and the City at 7704 Olympic View Drive, 18408 701 Place West and 18305 and 18325 80`�' Avenue West, The City entered into a bare bones conditional sales contract on December 1.8,1997. Dr. Park, through his went Charles Maki, proposed to the City that the Parks' property, which was difficult to develop due to shape and topogrrapliy be incorpoiatcd with City real property to provide for a logical dcvclopmcnt, relieve the Citv of a problematic piece of property that was of no use to its future plans and provide a needed S100,000 to the City. Basically, that amount was to be delivered and the sale closed when development approval had been given by the City for the subdivision or planned unit development of the Park/Kini/City site. The sales agreement was executed December 18, 1997. The agreement is also tied to a street vacation (ST-96-77 and ST-97-78) to vacate the plan line extension of 180' Street S-W„ 20 feet of light-of-��%ay adjacent to Olympic View :Drive and to delete a plan line for 60 feet of right-of- wa.y between Olympic View Drive and 80`I' Avenue West. In sUM, this right-of-way made the Park property difficult to develop and was physically unsuited for street use. In a nutshell, it wiLs one of those llfics that looks good on paper brL1 .is impossible to construct on the ground because of the depth of a ravine, traversing the plan lined street. While the Findings of tract were approved September 27, 1996, the vacation was'continbent upon development of the parcel and the dedication of a new alternative right-of-way which would service the development and adjacent parcels. (Hr5542a653.DoC;1/00006.900i10o/� ES'IADLISFIED 19it2 A Mcrnher of dto IntcrnaiionaI Lawycrs NeIwori wiIII indvrundent member law firms worldwitle. 02/18/00 FRI 10:36 FAX 206 447 0215 OMW SEATTLE 0 003 Mayor Gary Ilaakenson City of Edmonds February 18, 2000 Page 2 1-inally, the subject property was rezoned on July 31, 1998. The rezone was a contract rezone and dependent upon the presentation by the Parks and the Kims of a concomitant zoning agreement. The Parks refused to execute the originally preferred agreement raising a variety of issues. Those objections were worked out by Paul Mar over a period of many months. The concomitant rezone agreement bears the date of Nove �ltbcr G; 1998 —the date it was s.igncd the Mayor. The City Council initially heard this matter in April 1998 and it took until November for Mr. Mar to work out the difficulties with the (arks. The City cannot require a concomitant zoning' ad eement — it must be freely offered — and therefore the Parks' concurrence was essential. At the core of the current problem is that the Parks evidently fired. Charles Maki, the individual who was masking this project go forward. 'There is no application pending and the City has the prior vacation approval, the sales agreement and a rezone, all hanging on the filing of an application. As an aside (since the City Council will be wearing its regulatory and not its proprietary hat in this function) the sales prices of $100,000 becomes increasingly discounted as time goes by and inflation makes inroads onto the value of the City's initial bargain. The sales agreement can be voided if the property is not rezoned or the development application is denied. The City's full discretion and ability to act in its regulatory capacity without reference to the sales agreement is confirmed by the agreement. On the negative side, the agreement does not have a sunset date. I recommend that the Parks and Kims be sent the enclosed letter. Basically, the letter gives them until November of 2000 to submit and make substantial progress towaxd completion of development of the property in accordance with the terms of the concomitant rezone. IC they have not done so by November 6, 1998, the City wilt institute a rezone of the property back to its original state, void the vacation and rescind the sales contract. I recommend this series obactions in order to put the parties back to where they were before this mess got tinder way. It was a good idea when it was initiated, but in hindsight it is clear that Mr. Maki needed an "irrevocable" attorney in fact from Dr. and Mrs. Park before trying. to bring this project forward. This recommendation is made to the Mayor as the City's property manager in order to initiate these actions. Because the City Council would later sit in a decision making capacity to void the vacation and rezone the property, I do not recommend that this matter be brought to the City Council, for approval but it rather be handled by the Mayor in his administrative and regulatory capacity, keeping the City Council apprised of his actions through ofFcial documents which will be a part of the public record should this matter be heard by the City Council at a future date. WSS/gjz WSS424G5 a. DOC. 1100006.9u000011 02/18/00 FRI 10:36 FAX 206 447 0215 oMV SEATTLE Z 004 M � February 18, 2000 Russell C. & Christina P. Kim Han Z. and Regi.aza K. Park Charles Maki Re: Contract Rezone Dear Sirs and Madarris: The City of Edmonds conditionally aliprovcd a street vacation, File Nos. ST-96-77 aatd ST-96- 7S. This vacation was contingent upon the dcveloptrtent of properties which are jointly owned by you and the City of Edmonds and located adjacent to or across 7704 Olympic View Drive, 1 S )25 80"' Avenuc West and 18408 79"' Place West. Tn addition, the City elitercd into a condition sales agrC;CMent with Dr. and Mrs. Park on December 18, 1997. The sale was conditioned upon the development of the property through the subdivision process. Finally, the Edmonds City Council approved rezone of tllc property on April 21, 1998 contingent upon submission of a concomitant zoning agreement. That agreement ryas finally executed and submitted on November 6, 1998. To date, the Planning Department reports that no application to subdivide or develop the property has been received by the City of Edmonds. Please note that under para.Jraph 2. of the agreement, no amendment to the aorccment. may be brought by you or your successors ur assigns for a period of two years. While the City in its regulatory function is not bound by paragraph 2., the City is an owner of the property and therefore potentially limited by paragraph 2, as well. This :letter constitutes your tlotice that, if a fully completed application lur (level opmeiit. of the property is not received by the City's Planning Department on or before June 1, 2000 and suUstandal pro�.ress with regard to redevelopment reached by November 6, 2000, 1, as Mayor of the City and its property manager, intend to initiate a rezone of the property from a regulatory standpoint from RS-8 back to its original RS-12 status. In addition, I will rcj?ort to the City Council that the conditions of the street vacation have not been met and will request that the street vacation be denied. Finally, upon rezone of the property back to RS-1.2 and the voiding of the vacation, 1 intend to caricel City's conditional sales contract. It is my ]lope that you will move promptly to initiate the development. envisionecl in your contract rezone represcntations. if you fail to do so within a reasonable period of tirnc, the City will move to restore the property and parties to their original position. Very truly yours, CITY OF EDMONDS Mayor Cary Haakcnson wss424a54. r>OC.. I /il(in4G_900uo0/ f FLftik-,U DEFT. MEMORANDUM Date: November 20, 1998 To: ✓Jeff Wilson, Scott Snyder From: Paul Mar 01___ Subject: Han Park Contract Rezone Had a brief meeting with Chuck Maki today. Good news —Park has agreed to everything but three items. Bad news —we have to deal with the three items. Jeff, remind me on the two year versus ten year life of the agreement. Park wants to go back to two years. Does this make any difference for the City? If not, does it require reopening the hearing to change? If not, let's just do it. Maki has no problems with it being two years. This is condition #2 in the Contract Rezone. The second item is a little bit more difficult and I suggest that Scott be the one to put together something in writing. Park claims that the City should pay Park for that portion of the property needed to build the through street. Clearly, the granting of the contract rezone is "payment" for the street in that Park will reap benefits that he would not otherwise realize. Maki agrees with my observation. We both believe that Scott rather than either Jeff or myself best deliver such a statement. I told chuck that we would confer with Scott upon his return. As for Thompson withdrawing from the project, I believe we all agreed that no changes needed to be made to the agreement. Is this your recollection? I have attached Park's letter to Chuck for your review. Thanks for your attention. Let's get this buttoned up by December 111h. Cc: Cindy Bouldin Cindi Cruz City of Edmonds c�R Community Services EDMUNDS BUILDING COMPP TEL:1-206-771-7968 Nov 11 98 12:56 N0.001 P.02 November 9, 1998 To: Chock Maki & Dennis Parker Edmonds flay Ventures From :i-PA--rJk near -Chock and Dennis: Enclosed you'll find two copies of the revised contract rezone agreement autographed and notarized. Reviewing the documents and materials concerning this project, and also the first and second drafts you have editted, the format of an example you have provide as ( City vs. Port of Edmonds ) is better suited for this purpose. We have attempted to include some of the pertinent stipulations and recommendations of city officials in S 1' 96-77, & ST 96-78, and also R 97-28. These are narrated in order to avoid possible semantic slid other misunderstanding which may rise in future. Obviously, we could not put all the items we wish to elaborate, and these should be discussed at PRD application process. The revision of wording is prepared in consideration of following major items: 1. Thompson has withdrawn from the project after the application for rezone was submitted, and this action necessitated major changes such as placement and contour of streets, change in building'lot location, grading plan and others aspects of previously Yuhmitted development plan. 2. The property( s ) involved in widening of 20, street to 40, wide for 184th street SW should be included in final calculation of compensation discussed in findings of ST 96-77 and ST 96-78. City Council's decision that we are required to build the public street with our expense is contrary to Mr. Snyder's legal opinion expressed pt council hearing that we are not legally required to implement the street with our cost. Now that we, are to implement the City's requirement, we have to give up part of our property, In addition to the requirement that we have to pay for the vacated land. To be fair on this double or duplicate assessment, there should be a chance to review this matter. 3. Restriction for 6 ,years was changed to two years which is same as in the case of City vs. Port of F,dmonds. It is imperative that we should not have any major defect in covenants for future buyer. 1 sm certain that you and The City officials would agree with this revision. Thanks, EDMONDS Nov 11 98 12 56 No.001 P.03 AGRFEMENT AND COVENANT CONSTITUTING A CONTRACT REZONE This agreement contain the covenants entered into between Dr. and Mrs. Han Z. Park, Mr. and Mrs. Russell C. Kim, and City of Pdlnonds, Washington A Municipal Corporation, hereafter referred as"The Owners" and City of Edmonds, A Municipal Corporation, hereafter referred to as "The City", W ITNESSETIIL Whereas, The Owners proposes the development of approximately 5.8 acres of real property in Edmonds, generally located at 7704 Olympic view Dr.,18408 79th Ave. W., and a vacant parcel between 18305 and 18325 Ave. W. in the City of Edmonds, all being more specially described by Exhibit A attached hereto. Whereas, The Owners have applied for a change in zoning of the subject property from its current Single family Residential 12,0o0 sq. ft. ( RS-12 ) classification to Single Family Residential 8,000 sq. ft. ( RS-8 ); and Whereas, The City has caused the application in its entirety, including, but not limited to the environmental check list, to be reviewed by its Planning and Engineering Department and by its Planning Board, and 1►as fully considered recommendation made after such review; and Whereas, on April 21, 1999, the City Council of the City of Edmonds adopted that the rezone specified above does not adversely affect the public health, safely, general welfare and also not sufficiently change in the character of surrounding area. Whereas, Mr. and Mrs. James L. Thompson, owner of property al 18305 80th Ave. W. it) Edmonds, have withdrawn from the proposed development project after an application was submitted, that included their real property which withdrawal has caused The Owners to make a substantial revision of previously submitted development plan in accordance with guideline of Planned Residential Development ( PRD ); and Whereas, Tile Owners are willing and able to implement the terms of this agreement in the course of development; and Whereas, The Owners and The City are willing to enter into an Agreement for is Contract Rezone; and Now, Therefore. It is hereby agreed as follows: EDMONDS BUILDING COMPP TEL:1=206-771-7968 Nov 11 98 12:57 No.001 P.04 I. In consideration of The City reclassifying the subject property from RS-12 to R.S-8, and for so long as the property remains so classilled, The Owners covenant as follows: 1.1 To develop the subject property in substantial accord with the approved TRD application and Finding of Fact, Conclusion of law, and Ordinance of 4,;'.1' 96-77 and ST 96-78 (September 27, 1996 ); The Owners shall submit a Revised Development Plan for the purpose of deleting the property of Mr. and Mrs. James L. Thompson from the plan. Accordingly, the project specifics, including but not limited to lot locations, grading and placement of street are subject to revision. The revised plan may be submitted for approval in accordance with PRD guideline. A minor change in covenants and agreement may be allowed to accommodate that revision. 1.2 The building pad shall occupy a maximum of 21%of the net buildable area. Net buildable arcs means the total area of property minus right of way area in accordance with Edmonds City Development Code ( LCDC ). 1.3 A landscaping plan shall be implemented for both entrances. The landscaping .shall be maintained by a 110meowuer's Association to be formed. 1.4 The Owners shall pay for the widening of preexisting 20 feet wide 184 street SW. to width of 40 feet. The street shall connect 80 Ave. W. to Olympic view Dr. The easterly half of 184th Street , which is currently closed, shall he relocated to fit a newly created contour and grading as depicted and in accordance with Findings of ST 96-77 and ST 96-73. The finished street shall be dedicated to The City upon its completion. Accordingly, the loss of property(s) for this purpose by The Owners shall be compensated in conjunction with Findings of ST 96-77 and ST 96-78. 1.5 A private cul-de-sac qs depicted in ST 96-77 and ST 96-78 shall be constructed and It's north end shall be connected to a revised 184th Street SW. 1.6 All residential structures shall be designed and constructed in a style and theme consistent with the approved PRO. 1.7 The maximum height of any permitted structure shall be 25 feet measured from average ground height in accordance with ECDC. 1.9 Sidewalks, gutters, street lights and signs required by LCDC; and approved shall be supplied and constructed by The Owners. 2. Expect as provided in paragraph 1.1, no amendment to this agreement may be made by The Owners, or their heirs, successors or their assigns to amend the underlying Boning of RS 8 for a period of two years from date of this agreement. Thereafter, either The Owners or their heirs, successors or their assigns cony, upon application filed in the same manner as rezone application, apply to amend or terminate the provisions of this agreement or to change the zoning on said Property- Said Application shall be heard in accordance with application requirements for any other rezone of property in the City of Edmonds. 3. The City shall be under no obligation to issue The Owners or their heirs, successors or their assigns a building permit unless The Owners fully comply with the terms of this agreement and the applicable ordinance in effect at the time of approval of this rezone. EDMONDS BUILDING COMPP TEL:1=206-771-7968 Nov 11 98 12:57 No.001 P.05 4. This agreement and each part of it shall be considered as covenants running with the land covered hereby above and s1kaU be binding upon The Owners, their heirs, successors and assigns. It shall be recorded with the Snohomish County Auditor in the Grantor/Grantee index with The Owners being listed as Grantor and The City as Grantee. Such recordation and payment of said cost shall be a condition precedent to The Owners expressing any rights under this agreement. S. The term of this agreement may he specifically enforced. If either party shall bring snit to enforce any of the provisions of this agreement, the prevailing party shall be entitled reimbursement for all cost of said litigation together with a sum for reasonable attorney fees, as set by the court. IN WITNESS WHEREOF, the partlel have expressed this agreement this --e� day of f tLS�199R. 1) - AAWZ. PAR �K.,�PA�RK �Z' C. KIM MILS. CHRISTMA T. KIM THE CITY OF EDMONDS, as Owner MAYOR BARBARA S. FAHEY ,. 10/07/98 WED 15:28 FAX 0 002 CONCOMITANT ZONING AGREEMENT WHEREAS, Dr. and Mrs. Han Z. park, husband and wife, and Mr. and Mrs. Russell C. Kim, husband and wife, and the City of Edmonds, Washington, a municipal corporation, jointly and severely referred to as "Owners" are the owners of certain real estate legally described on the attached Exhibit A and incorporated by this reference as fully as if herein set forth, comprising approximately 5.98 acres and located at 7704 Olympic View Drive, 18325 80th Avenue W., 18408 79th Pl. W. and a vacant parcel between 18325 and 18305 - 80th Avenue W. in the City of Edmonds, WHEREAS, the Owners tender this agreement and covenants to the City of Edmonds, a municipal corporation in its quasi judicial and governmental capacity, hereinafter referred to as "Edmonds" and the same having been duly considered by the City Council of the City of Edmonds and on the recommendation of its Planning Board, and WHEREAS, the Owners have applied for changes in the zoning of Residential real property from Single Family Residential 12,000 sq. ft. (R.S. 12) to Single Family Residential 8,000 sq. ft. (R.S. 8), and WHEREAS, the application has been reviewed by the City's Planning Board which has recommended that the rezone be approved subject to certain conditions contained in the April 17, 1998 recommendations to the City Council; NOW. THEREFORE, concurrently with the approval of an ordinance adopting findings of the City Council of the City of Edmonds that the rezone to the subject property as specified above does not adversely affect the public health, safety and general welfare and that the rezone of justified by sufficient changes in the character of the surrounding area, and in consideration of the City Council's rezoning of the subject property and fnr so long as subject property remains rezoned, the Owaers and the City of Edmonds hereby covenant and agree to the following on behalf of themselves, their heirs, successors and assigns: 1. This ,Agreement is voluntarily tendered by Owners to Edmonds and accepted by Edmonds, and all parties hereto agree that it shall be applicable to the parties to this Agreement, their heirs, successors and assigns both as to duties and to benefits. The terms —to this Agreement shall be enforceable at law or specifically enforceable in equity by Edmonds as it in its sole discretion deems appropriate. 2. Edmonds shall be under no obligation to issue to the Owners, their heirs, successors and assigns a building permit and/or other permits for improvements, structures or uses upon any of the subject property of the Owners unless such improvements and/or uses fully comply with the terms of this Agreement and the applicable ordinance in effect at the time of submission of any fully completed applications for said permits. "lolly completed applications" 10-07-1998 03:23PN P.02 •10/07/98 WED 15:28 FAX Q 009 shall mean an application sufficient to vest the applicant's rights under state law and City ordinance. 3. This Agreement and covenant and each part thereof shall be considered covenants running with the land described above and shall be binding upon the Owners, their heirs, successors and/or assigns. It shall be recorded with the Snohomish County Auditors in the grantor/grants index with the Owners being listed as the grantor and Edmonds as grantee. All recording costs are to be paid by Owners. Such recordation and payment of said costs shall be a condition precedent to the ownership, the rights and obligations of this Agreement shall be assumed by the new Owner. 4. In consideration of Edmonds reclassifying the subject property from RS12 to RS8, and for so long as the property remains so classified, owner covenants to limit the use of such property to a Single Family Residential uses as defined under the Edmonds Community Development Code (ECDC) as the same exists or is hereafter amended, subject to the following restrictive conditions: 4.1 Development of the property shall be consistent with an approved Planned Residential Development (PRD) application. 4.2 The Building pads shall occupy a maximum of 21 % of the net buildable area determined in accordance with the provisions of the ECDC. 4.3 A landscaping plan shall be fixed for both entrances. The homeowner shall create a homeowner association in a form sufficient to fund and maintain the landscaping located at the entrances to the PRD. 4.4 A through street connecting 80th Pl. W. at 184th Street SW to Olympic View Drive shall be constructed at the owner's expense and dedicated to the City of Edmonds. 4.5 A private cul-de-sac shall be constructed that runs to the south from the public street referenced in 4.4 above. 4.6 The houses designed and constructed under the Planned Residential Development application shall be consistent in style and theme as those approved_ in the PRD application. 4.7 The maximum height permitted in a structure shall be 25 feet measured from an average grade according to the City of Edmonds Community Development Code requirements. 4.8 All sidewalks, gutters, street lights and signs required by the Edmonds Community Development Code and the approval process shall be supplied and constructed by the Owners at their sole expense (exclusive of the City of Edmonds). 2 10-07-1998 03:23PM P.03 •'10/07/98 WED 15:29 FA% 0004 S. Exccpt as specifically set forth in paragraph 4 and the subparagraphs thereof, the placement of houses, lot size and configuration, and other project specific approvals, will occur in the platting and Planned Residential Development (PRD) approval process and are neither limited nor determined by this Agreement. 6. No application shall be made by the Owners, its heirs, successors or assigns to amend this Concomitant Zoning Agreement for a period of six (6) years from the date hereof. Thereafter, Owners or their successors, heirs or assigns or Edmonds may, upon application, apply to amend or terminate the provisions of this Agreement or to change the zoning on said property. Said application to change or terminate the provisions and covenants or to rezone said property shall be heard in accordance with the application requirements for any other rezone of property in the City of Edmonds. Such action by other patties shall not release the Owners, their heirs, successors or assigns from the obligations assumed under this Agreement, unless or until such application shall be duly approved by Edmonds. 7. In the event that a suit is brought to enforce any of the provisions of this Agreement, the prevailing parties shall be entitled to reimbursement for all costs of said litigation together with a sum for reasonable attorney's fees. S. It is further expressly agreed that any covenant, condition or restriction herein contained or any force thereof is valid or void, such invalidity or voidness shall in no way affect any other covenant, condition or restriction herein contained. IN WITNESS WHl3RE01~, the parties have expressed this Agreement this day of , 1998. Dr. Han Z. Park Mrs. Han Z. Park Mr. Russell C. Kim Mrs. Russell C. Kim 10-07-1998 03:23PM P.04 •10/07/98 WED 15:29 FAX Q 005 THE CITY OF EDMONDS, as Owner Mayor Barbara S. Fahey ATTEST/AUTHENTICATED: City Clerk, Sandra S. Chase APPROVED AS TO FORM: OFFICE OF THE CITY ATTORNEY: W. Scott Snyder STATE OF WASHINGTON ) ) ss. COUNTY OF } On this day of , 1998, before me, a Notary Public, duly commissioned and sworn, personally appeared DR. HAN Z. PARK AND MRS. HAN Z. PARK, husband and wife, appeared before me, and said persons acknowledged that they signed this instrument and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. WITNESS my hand and official seal affixed the day and year first above written. Dated: (print or type name) NOTARY PUBLIC in and for the State of Washingwa, residing at: My Commission expires: 4 10-07-1999 03:24PM P.05 •10/07/98 WED 15:29 FAX Q 006 STATE OF WASIUNGTON ) ss. COUNTY OF On this day of , 1998, before me, a Notary Public, duly commissioned and sworn, personally appeared MR. RUSSELL C. IUM AND MRS. JAMES C. KIM, husband and wife, appeared before me, and said persons acknowledged that they signed this instrument and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. WITNESS my hand and official seal affixed the day and year lust above written. (print or type :name) NOTARY PUBLIC in and for the State of Washington, residing at: My Commission expires:- - STATE OF WASIIINGTON ) ss. COUNTY OF ) On this day of , 1998, before me, a Notary Public in and for the City of Edmonds, duly commissioned and sworn, personally appeared , known to be the MAYOR of the CITY OF EDMONDS, the municipal corporation that executed the foregoing instrument, and acknowledged the instrument to be the free and voluntary act and deed of that corporation for the uses and purposes therein mentioned, and on oath stated that he was authorized to execute the instrument on behalf of the corporation. WITNESS my hand and official seal affixed the day and year first above written. W 55198875.2AGRIFOOD6.90000U (Printed or typed name) NOTARY PUBLIC My appoint ent expires: S 10-07-1998 03:24PM P.06 Lead Worker- (E) APPROVAL OF NEW LEAD WORKER POSITION IN STREET DIVISION FOR Street Div. STORMWATER UTILITY SERVICES Custodian I Replacemen (F) APPROVAL OF FUNDING FOR CUSTODIAN REPLACEMENT WHILE INCUMBENT IS ON SHARED LEAVE Planning (G) APPROVAL OF PLANNING DIVISION STAFFING PROPOSAL TO ADDRESS Division Staffing RECENT STAFFING CHANGES AND LONG TERM CUSTOMER SERVICE NEEDS LCD rojector APPROVAL OF PURCHASE OF LCD PROJECTOR uxiliary (I) AUTHORIZATION TO CALL FOR BIDS FOR INSTALLATION OF AUXILIARY enerator GENERATOR AT THE WASTEWATER TREATMENT PLANT Donated Aid ehicle (J) ACCEPTANCE OF DONATED AID VEHICLE Ord. #3217 (K) ORDINANCE NO. 3217 AMENDING THE OFFICIAL ZONING MAP OF THE CITY OF Park Rezone EDMONDS TO CHANGE THE ZONING DESIGNATION ON CERTAIN REAL PROPERTY COMMONLY KNOWN AS THE PARK REZONE, NO. R-97-28, FROM RS- 12 (SINGLE-FAMILY RESIDENTIAL 12,000 SQUARE FEET) TO RS-8 -(SINGLE- FAMILY RESIDENTIAL 8,000 SQUARE FEET); AND AUTHORIZING EXECUTION OF A CONCOMITANT ZONING AGREEMENT Reso #919 Haley/Klein (L) RESOLUTION NO. 919 AUTHORIZING THE CIRCULATION OF A 60% nnexation ANNEXATION PETITION FOR THE HALEY/KLEIN ANNEXATION AREA (File No. AX-92-62) 3. AUDIENCE There were no members of the audience present who wished to comment. 4. REPORT ON COUNCIL COMMITTEE MEETINGS Community Community Services Committee Services Committee Member Plunkett reported Parks and Recreation Director Arvilla Ohlde provided an update Committee regarding the aquatic center. Per a suggestion made at the joint City Council/Edmonds School Board meeting, the language on the November 3 ballot was broadened to indicate the aquatic center will be located in the Edmonds area near the Hwy. 99 corridor or other appropriate location that provides for regional use of the facility. Funding for the aquatic center will be provided via a property tax levy lid of $0.10 per $1,000 of assessed valuation or $10 for a home valued at $100,000. The siting of the aquatic center at the Edmonds-Woodway High School site as well as other options were discussed. Ms. Ohlde indicated if the pool were sited at the south end of the school property, approximately 24 parking spaces would be gained. The Edmonds School District prefers the pool be sited further from the high school building, which would result in no additional parking and use of the existing high school parking to serve the pool. The committee next discussed the requirement for homeowners in the Meadowdale landslide hazard area to obtain liability insurance prior to requesting final occupancy approval. Changes in State insurance laws makes it virtually impossible for individual homeowners to obtain such a policy. The committee requested staff begin holding public forums with Meadowdale area homeowners to inform residents of Edmonds City Council Approved Minutes July 21, 1998 Page 2 EDMONDS CITY COUNCIL APPROVED MIND 'ES JULY 219 1998 The Edmonds City Council meeting was called to order at 7:00 7ag Council President Gary Haakenson in the Library Plaza Room, 650 Main Street, followed by thute. ELECTED OFFICIALS PRESENT Barbara Fahey, Mayor (arrived 7:03 p.m.) Gary Haakenson, Council President Dave Earling, Councilmember Michael Plunkett, Councilmember Jim White, Councilmember Dick Van Hollebeke, Councilmember ABSENT John Nordquist, Councilmember Thomas A. Miller, Councilmember ALSO PRESENT Andrea Reid, Student Representative 1. FA STAFF Robin ickok, Police Chief PaulAar, Community Services Director R96 Chave, Planning Manager tephen Koho, Wastewater Treatment Plant Mgr Brent Hunter, Human Resources Director Doug Farmen, Accounting Manager Scott Snyder, City Attorney Sandy Chase, City Clerk Jeannie Dines, Recorder COUNCILMEMBERAN HOLLEBEKE MOVED, SECONDED BY COUNCILMEMBER PLUNKETT, FOR AjrPROVAL OF THE AGENDA. MOTION CARRIED. COUNCILnMEpnBER VAN HOLLEBEKE MOVED, SECONDED BY COUNCILMEMBER PLUNKETT kOR APPROVAL OF THE CONSENT AGENDA. MOTION CARRIED. The agenda items appr ed are as follows: (A) OLL CALL pprove (B) APPROVAL OF CITY COUNCIL MEETING MINUTES OF JULY 7, 1998 Minutes pprove (C) APPROVAL OF CLAIM WARRANTS #25645 THRU #26187 FOR THE WEEK OF JULY Claim 6, 1998, IN THE AMOUNT OF $423,854.42. APPROVAL OF CLAIM WARRANTS Warrants #25648 THRU #26343 FOR THE WEEK OF JULY 13, 1998, IN THE AMOUNT OF $485,925.62 Purchase and Salle (D) AUTHORIZATION FOR MAYOR TO SIGN PURCHASE AND SALE AGREEMENT Agreement / ACQUISITION WITH WATERFRONT PARK ASSOCIATES FOR TIDELANDS/ Tidelands / EASEMENT; AUTHORIZATION FOR CITY CLERK AND CITY ATTORNEY TO Easement EXECUTE CLOSING DOCUMENTS; AND APPROVAL OF DEED OF RIGHT. Edmonds City Council Approved Minutes July 21, 1998 Page 1 Item #: Originator: Planning Division For Action: X For Information: Subject: PROPOSED ORDINANCE AMENDING THE OFFICIAL ZOINING MAP OF THE CITY OF EDMONDS TO CHANGE THE ZONING DESIGNATION ON CERTAIN REAL PROPERTY COMMONLY KNOW AS THE PARK REZONE, NO. R-97-28, FROM RS-12 (SINGLE-FAMILY RESIDENTIAL 12,000 SQUARE FEET) TO RS-8 (SINGLE-FAMILY RESIDENTIAL 8,000 SQUARE FEET); AND AUTHORIZING EXECUTION OF A CONCOMITANT ZONING AGREEMENT. Clearances: Department/Initials Agenda Time: Consent Admin Svcs/Finance _ Community Svcs City Attorney Engineering Agenda Date: July 21, 1998 City Clerk Parks & Rec Court Planni _ t J Exhibits Attached: Personnel Public W rks 1. April 21, 1998, Council Minutes Fire Treatment Plant Police City Council 2. Proposed "Concomitant Zoning Mayor Agreement" Reviewed by Council Finance 3. Proposed Rezone Ordinance Committee: Community Services 4. May 9, 1998, letter from Mr. Charles R. Public Safety Maki to Mr. & Mrs. James L. Thompson Approved for Consent Agenda: Recommend Review by Full Council: Expenditure Amount Appropriation Required: $ 0 Budgeted: $ 0 Required: $ 0 Funding Source: Not Applicable. Previous Council Action: On April 21, 1998, the Council conducted a closed record meeting to consider the recommendation of the Planning Board regarding a proposed "contract" rezone (File No. R-97-28) of approximately 5.4 acres located in the approximate vicinity of 184`s Street Southwest and Olympic View Drive from RS-12 to RS- 8. After consideration of the record before them, the Council voted to adopt the recommendation of the Planning Board and approved the proposed "contract" rezone (see Exhibit 1). Page 1 of 2 R•97-28 C2.DOGI&NL-98 FILE3/REPORMCOUNCIL 4) Narrative: Attached for the Council's consideration, are the revised "Concomitant Zoning Agreement" and proposed Ordinance to implement the approved rezone as prepared by the City Attorney (see Exhibits 2 and 3). The revised "Concomitant Zoning Agreement" and proposed Ordinance reflect the proposed rezone area, less the Thompson property, which has been removed from the rezone area as a result from Mr. Thompson's desire to not be included (see Exhibit 4). Recommended Actions: 1. Approve the proposed "Concomitant Zoning Agreement" (see Exhibit 2) and authorize the Mayor to sign said agreement. 2. Adopt the proposed Ordinance approving the "Contract" rezone of the subject property, as defined in the Ordinance, from RS-12 to RS-8 (see Exhibit 3). Council Action: included expanding to a WebPage or a City newsletter. Staff was directed to return to the Community Services Committee with a proposal and costs for the two preferred methods. Proposed 6. CLOSED RECORD MEETING ON THE RECOMMENDATION OF THE PLANNING BOAR Contract TO APPROVE A PROPOSED CONTRACT REZONE FROM RS-12 TO RS-8 OF Rezone- APPROXIMATELY 5 4 ACRES LOCATED IN THE APPROXIMATE VICINITY OF 184TH 184t° St./ STREET SOUTHWEST AND OLYMPIC VIEW DRIVE (Applicants: Dr. & Mrs. Han Z.Tark Mr. Olympic - View Dr. and_Mrs. Russell C. Kim. Mr. and Mrs. James L. Thompson, and the City of Edmonds / File No R- ile No. 97-28) -97-28 Mayor Fahey explained this was a Closed Record Meeting and only those who were parties of record at previous hearings would be allowed to speak and only information admitted to the record previously could be considered by the Council. Councilmember Earling disclosed he owns investment property located at 8018 181st Place Southwest, which is 2'/2 blocks from the property under consideration. He did not believe there was any conflict of interest. Councilmember Plunkett said he received a telephone call from Jim Thompson prior to receiving the Council packet and was unsure what issue he was referring to. Mr. Thompson advised him that he was not an applicant and felt he was not able to speak at a Planning Board meeting. Councilmember Plunkett advised Mr. Thompson this was apparently a matter that would be addressed by the Council and he could not discuss it. City Attorney Scott Snyder explained the Appearance of Fairness Doctrine prohibits ex parte contact. As situations as described by Councilmember Plunkett may arise, the Doctrine allows a Councilmember to reveal the substance of any ex parte contact prior to the hearing process so that any parties of record may respond. Mayor Fahey said Mr. Thompson also contacted her office and she had a conversation with him regarding this issue. Mr. Thompson is a party of record and will be permitted to make comments during tonight's closed record meeting. Councilmember Earling said Mr. Thompson also contacted him; he advised Mr. Thompson he could not discuss the matter as it was an issue that would be addressed by the Council. Council President Haakenson said he too was contacted by Mr. Thompson and told him he could not discuss the matter. Council President Haakenson said the applicant's representative, Mr. Maki, was one of his neighbors but they had never discussed this issue.. Councilmember White advised Mr. Thompson had attempted to contact him but he had not returned his telephone call. Councilmember Nordquist said he also received a message from Mr. Thompson but was unable to reach him. Mayor Fahey asked if there were any objections to the participation of any Councilmember. There were no objections. Mayor Fahey described the closed record meeting procedure and time periods. Edmonds City Council Approved Minutes �/ Ape 21, 1998 EXHIBIT 1 Page opportunities for volunteers, noting volunteering enriched the community as well as oneself. She explained their involvement as volunteers have helped them make friends, learn new skills, work with young and old, and has been an enriching experience. Councilmembers congratulated Mr. and Mrs. Lawrence and Mr. Kerr. Mayor Fahey expressed her appreciation to Executive Assistant Dee McGrath for organizing the volunteer recognition. She noted Ms. McGrath works as a volunteer as well as a staff member. 5. REPORT ON COUNCIL COMVIITTEE MEETINGS Public Public Safety Committee Safety Committee Member White reported (1) the Public Safety Committee discussed the outdated Public Committee Safety Base Station Radio and purchasing new equipment which was approved as Item J on the Consent Agenda. (2) Assistant Fire Chief Kevin Taylor presented information concerning maintenance and decontamination of firefighters' work uniforms; authorization for the Mayor to sign a uniform service contract was approved as Item M on the Consent Agenda. (3) Assistant Fire Chief Taylor presented information regarding the surplusing of two (1974 and 1972) fire engines with the arrival of two 1998 fire engines; this was approved as Item F on the Consent Agenda. (4) A discussion of breathing apparatus used by the Edmonds firefighters followed; authorization to surplus the old breathing apparatus was approved as Item E on the Consent Agenda. (5) Assistant Fire Chief Taylor provided a report on Med-Accounts of the month. (6) Police Chief Robin Hickok presented information regarding the Edmonds Police Foundation who recently received their 501 C.3 status from the IRS and described the organization's focus for the future. (7) Police Chief Hickok requested the Council authorize the signing of the Indemnity and Hold Harmless Agreement between Edmonds and the Designated Animal Control Officer which was approved as Item H on the Consent Agenda. (8) Police Chief Hickok requested the Council authorize the signing of the Agreement for Animal Control Services with the City of Mountlake Terrace which was approved as Item G on the Consent Agenda. (9) Police Chief Hickok presented information on the Youth Services Unit which the Public Safety Committee recommended be presented to the full Council for review. (10) Police Chief Hickok advised the joint South County SWAT Team was considering the purchase of a used bus from Metro for $1,000 to be used as a Command Center. Staff was advised to bring the matter to the Council when a bus becomes available. (11) Police Chief Hickok advised an officer was scheduled for an out-of-state school in May, a previously budgeted expense. Authorization will be placed on an upcoming Consent Agenda. finance Finance Committee Chairperson Earling reported the Finance Committee also discussed the dysfunctional Public Safety base station radio and recommended the purchase of a new radio be placed on the Consent Agenda. In addition, authorization to increase the petty cash purchasing dollar amount was discussed. The committee recommended the current purchasing limit of $25 be increased to $50 and the purchasing limit of the Council Assistant and Mayor's Executive Assistant be increased to $100. This recommendation was approved as Item I on the Consent Agenda. ommunity Community Services Committee �'c03 Committee Member Plunkett reported the Community Services Committee discussed improvements to ommittCe public notice for code amendments as a result of citizen criticism of notification of public hearings at the City Council and Planning Board. Although the current method of notification, publishing legal notices in the newspaper, meets legal requirements, it may not adequately inform the public. Options considered Edmonds City Council Approved Minutes April 21, 1998 Page 7 Planning Supervisor Jeff Wilson displayed a vicinity and zoning map and identified the property. He observed the Council received an extensive record of the hearing process before the Planning Board. He explained the request was a contract rezone of approximately 5.4 acres from RS-12 (single family minimum lot size 1,200 square feet) to RS-8 (single family minimum lot size 8,000 square feet). As part of the contract proposal, the applicant submitted a set of ten conditions they agree to abide by if the rezone is approved (Attachments 4, 5, and 6 of Exhibit 3). The subject property includes all or portions of the following properties: 7704 Olympic View Drive, 18325 88th Avenue West, 18305 88th Avenue West, 18408 79th Place West, and a vacant parcel between 18325 and 18305 88th Avenue West. Mr. Wilson explained that the application was first submitted to the City in March 1997. The Planning Board held a public hearing on January 28, 1998, and continued their deliberations to the February 11, 1998, meeting. Mr. Wilson said the minutes and a verbatim transcript of both Planning Board meetings were included in the Council's packet (Exhibits 9, 10, 11, and 12). On February 11, 1998, the Planning Board adopted a recommendation to approve the proposed contract rezone. He noted the packet indicated the Planning Board unanimously approved the recommendation but in fact the decision was 3-1 with the Chair abstaining. He noted all members of the Planning Board at that time participated but there were several vacancies. The Planning Board's recommendation to the Council for approval of the contract rezone requested the applicant agree to amendments to the contract conditions. Mr. Wilson referred to the Planning Board's recommendation in the Council's packet (Exhibit 2) and the proposed amendments to the contract conditions (pages 3 and 4 of Exhibit 2). He explained if the rezone from RS-12 to RS-8 was approved, the maximum number of lots that would be available on the 5.4 acres would be approximately 26 lots. This project would also include the development of public rights -of - way connecting Olympic View Drive to 88th Avenue West as well as cul-de-sacs to reach interior lots. One of the main conditions of the applicant's proposed contract rezone was that the future subdivision of the property would also be subject to the City's Planned Residential Development (PRD) review process, an extra level of scrutiny before the Architectural Design Board, the Hearing Examiner, and a recommendation to the City Council. This process includes a review of the layout of the plat but consideration of the design of the plat that is in addition to the normal review of a subdivision as well as the character and style of the development to ensure the homes are consistent with the surrounding neighborhood. Council President Haakenson observed Mr. Thompson was listed as an applicant on the Agenda Memo but had also signed a petition opposed to the rezone. Mr. Wilson referred to the Land Use Application (Attachment 2 of Exhibit 3), and said the applicant's agent, Mr. Maki, indicated all properties involved in the application and property ownership which included Mr. and Mrs. Thompson. He noted in the past, the City has initiated rezones of property in order to implement the City's adopted Comprehensive Plan. Properties can be included in a rezone without the property owner's consent but staff would evaluate whether it was consistent with the City's Comprehensive Plan. Council President Haakenson said he lived across the street from Eagle's Crest and Eagle's Nest in the Meadowdale area and asked if the proposed development was similar. Mr. Wilson answered it would be a similar process; the PRD process allows applicants with a minimum of five lots to make certain modifications to underlying standards. He noted the property must be subdivided and units must be detached single family units as the PRD process did not allow attached residential units. He said only a portion of the proposed 5.4 acres may actually be developed; individual lots sizes may be less than 8,000 square feet allowed by the RS-8 zoning but the cumulative density of the entire project would not exceed that allowed for the total property. The remaining area is typically set aside for open space, which is intended, via the PRD process, to preserve unique or fragile environmental areas. This proposal would Edmonds City Council Approved Minutes April 21, 1998 Page 9 preserve the steep slope areas as open space to preserve vegetation and cluster the units to leave larger open space areas. Council President Haakenson asked what the zoning was in the Eagle's Nest and Eagle's Crest developments. Mr. Wilson answered there was lower density zoning in the Meadowdale area, RS-20. The PRD could be in an RS-20 zone and allow clustering of the units. He recalled the properties in those developments were not rezoned and the PRD was used to provide modification in the lot design, smaller individual lots to cluster units and preservation of larger areas. Council President Haakenson referred to letters from residents in the area and said letters from the Barringers and the O'Neils discuss the stability of the bank if a road is constructed. Mr. Wilson said this issue was brought up during the Planning Board hearing. Staff did not provide a detailed response to the issue of slope stability as this would be a two-phase application -- the first is the rezone of the property and does not address specifics of site development. The second phase, the PRD and subdivision, would address specifics of site development such as preliminary engineering plans, road profiles, topography, stability issues, etc. Modifications could be made at that stage to address any stability issues that may arise during the road design including possibly additional geotechnical analysis. Council President Haakenson observed if the Council approved the rezone, there would be another public hearing process. Mr. Wilson agreed, and explained the subsequent process would address how the lots are laid out, where the roads would be located and how they would be designed. Mr. Snyder said this hearing relates to the uses for this property under the proposed zoning classification. The site development standards would be reviewed at a later date. He explained the Council is required to find that the rezone application meets the criteria of the Community Development Code and is consistent with the Comprehensive Plan. He said an applicant may voluntarily submit themselves to contract conditions such as the greater scrutiny of the PRD process; however, neither the Planning Board nor the City Council could impose a contract rezone. He asked Mr. Maki to indicate whether the Planning Board's proposed amendments are acceptable to the applicant. Councilmember Earling observed the PRD process was applicable to all zones in the City. Mr. Wilson agreed. Councilmember Earling recalled a PRD process was utilized for Elm Place and noted some of the lots were as small as 3,000 - 3,500 square feet. Mr. Wilson said in a PRD in a multi -family zone, the footprint of the unit may be the lot itself. The most recent PRD was at the corner of 9th and Puget, the Orchard, which provided open space but reduced the lots to slightly larger than the footprint of the unit to provide the larger open space area. Mr. Snyder said, due to the proposed contract rezone, the only way this property could be developed if the contract were approved, was via a PRD; it could not be developed at RS-8 via a simple subdivision. Councilmember Miller said he lived in a planned residential community in Issaquah, where the lot sizes vary from 6,000 to 7,000 square feet but greenbelts existed throughout the development. He observed the open space in the proposed development appeared to be on only one side and asked if this had been considered by the applicant in this proposal. Mr. Wilson explained a parcel must .have a unique environmental feature in order to be considered/approved for a PRD as the intent of the PRD is to protect that feature. In order to protect the steep slope adjacent to Olympic View Drive as well as adjacent to the northern property lines, the units are proposed to be clustered in the more buildable plateau area and the steep slopes retained as a greenbelt. Mr. Snyder said the Council's approval of the rezone did not bind this Council or future Councils to approval of the PRD plan. Edmonds City Council Approved Minutes April 21, 1998 Page 10 Charles Maki, 8235 Talbot Road, Edmonds, representing the applicant, said the project began with an application for road adjustments and originally only included approximately half of the property now proposed to be developed. The Council agreed to the road adjustments but questions arose regarding the roads and neighbors indicated a desire for a through road from 80th to Olympic View Drive. In working with City staff, it became apparent that if all the property were included, a contract rezone and PRD would allow development of lots that would be economically feasible to build reasonably priced homes and fund a public street and sidewalks from 80th to Olympic View Drive. He said the applicants would accept the Planning Board's recommendations in the PRD application. He pointed out it was unfortunate they were not allowed to apply for the contract rezone and the PRD at the same time as that would provide many more answers, particularly to neighbors regarding issues such as the retaining wall, engineering requirements, etc. He pointed out other Councils have approved similar plans, the Planning Division staff recommends approval, the Planning Board recommends approval, and he requested the Council pass the contract rezone for the betterment of Edmonds and the neighborhood. David Johnson, 7810 182nd Place SW, Edmonds (lot 7 of Seaview Firs, north of the proposed development), spoke in opposition to the rezone. He disagreed with Mr. Wilson's statement in the summary that the rezone to RS-8 would be consistent with the neighborhood particularly where it abuts the RS-8 zone to the south. Mr. Johnson said the RS-8 zone to the south did not include any 8,000 square foot lots; they ranged from 10,000 - 12,000 square feet with single family homes. He pointed out the application for rezone had been denied twice in the past. When it was denied in 1992, one of Mr. Wilson's statements was that it would result in "an island of RS-8 zoning which would not be consistent with the pattern of zoning in the area." Mr. Johnson also expressed concern with the clustering of houses to retain open space that is undevelopable steep slopes. As a result, the homes will be clustered into smaller lot}sizes than exist in the surrounding neighborhood. He said although it may be attractive to the City to have a road developed, it would be more of a convenience than a necessity as there is traffic on 80th but no congestion. He pointed out Mr. Maki indicated at the January 28 hearing that the road was not necessary to construct this project. He reiterated this project would change the character of the neighborhood from single homes on single lots to a large number of homes in a small area. He noted the RS-8 zoning would allow 26 homes; the RS-12 would allow 17 homes. He pointed out this would make development profitable for the developer but at the expense of the neighborhood. He urged the Council to deny the rezone rather than defer to the PRD process. Jim Thompson,18305 80th Avenue W, Edmonds, said he owned a portion of the property proposed to be developed and questioned why his property was included. He referred to plans of the property as it is proposed to be developed. Mr. Thompson said the drawing indicated there would be 8 - 10 feet between the homes; Mayor Fahey told him the City required at least 15 feet. Mr. Thompson identified his property on the map, noting several of the homes would be on his bank and would result in the removal of huge trees and destabilization of his bank. He said he is not a participant in the proposal as he has not sold his property and objected to his name being included as an applicant. He felt rezoning the property to RS-8 would be "terrible." Regarding Mr. Thompson's status as an applicant, Mr. Maki explained the reason his name was added to the application was because he received a letter from Tom Buckmeir, an attorney representing Mr. Thompson, to confirm his agreement to sell 12,000 square feet of his property (a parcel consists of 100 x 120 feet measured from the east property line) for the sum of $50,000 less up to $250 and directing him to prepare an appropriate purchase and sale agreement. Mr. Maki apologized for his assumption that the letter indicated Mr. Thompson wanted to be an applicant. If the contract rezone was approved as the map states, Mr. Thompson would have the right to sell that portion of his property to the project if he Edmonds City Council Approved Minutes April21, I998 Page I 1 chose. Mr. Maki said Mr. Thompson has indicated to him that he would like to sell the property if the contract rezone is approved. He said the map being displayed was a conceptual map not the final PRD application; therefore, any measurement was not appropriate and the space between houses would meet the Edmonds Code. He said the road was included due to Mr. Thompson's insistence at an earlier hearing that the road be developed. Mayor Fahey said when she answered Mr. Thompson's question, she was relaying information from Mr. Wilson regarding the setbacks that would normally occur in an RS-8 zone. Mr. Wilson said the Planning Board wanted it to be clear in the revised contract conditions that while the map may depict a proposed PRD, the map has not been approved. The applicant must submit their subdivision which must meet the RS-8 zoning standards such as 25-foot front street setback, a 15-foot rear setback, and 7.5 feet from each property line which is a 15-foot separation between structures. If the applicant wished, they could request modifications to the setbacks through the PRD process, which includes a public hearing. The Planning Board also wanted to ensure that separation between structures would be a key element during the PRD review process. Mr. Wilson said one of the reasons the proposed road between 80th Avenue West and Olympic View Drive was a key element was because a connection in that area had been on the City's Official Street Map for a number of years. One of the main changes that has occurred since staffs recommendations on previous rezone applications was the City's adoption of its Comprehensive Plan in 1995. One of the key elements in the Housing Element is to consider support for infill development, recognizing the City is now required to meet population targets under GMA and a preferred method would be single family development. Methods for accomplishing this includes flexible development standards and utilizing tools such as the PRD to allow innovative ways to develop new single family housing developments within existing single family neighborhoods. He said the Council has the ability to reduce the boundaries of the rezone, which would result in a corresponding net reduction in the number of lots that could be developed. Councilmember Plunkett asked whether the RS-8 zoning or RS-12 zoning would provide more protection for the sensitive areas on this 5.4 acre parcel. Mr. Snyder said there would be no difference, sensitive area requirements would be the same but the PRD process would allow greater scrutiny. Mr. Wilson said the zoning only addressed density on the parcel; the PRD process allowed clustering that would preserve the same amount of open space as if it were developed using RS-12 standards. Mr. Snyder said the number of units referred to were the maximum number that could be developed on this parcel if the rezone was approved; the Council's passage of the rezone did not guarantee the action of the PRD. Mayor Fahey closed the informational presentation and remanded the matter to Council for deliberation. Councilmember Miller said he struggled with the development of a plat that is currently zoned RS-12 in an established neighborhood with a PRD that designates a steep embankment to the east and slope to the north as open space. He pointed out this results in the developer "shoehorning in" as many as 26 single- family homes. He expressed concern with the resulting lack of buffer between the new homes and existing residents as well as the resale value of existing homes. For these reasons, he was opposed to the rezone request. Councilmember Earling observed there were three areas in the City that have undergone a similar PRD process, Eagle's Nest and Eagle's Crest in the Meadowdale area and Elm Place in South Edmonds. When Edmonds City Council Approved Minutes April 21, 1998 Page 12 these projects were proposed, neighbors had many of the same concerns. However, over time, property values in those areas have accelerated equal to or beyond market values as have the properties adjacent to the developments. He said his experience has been that the developments compliment each other. He observed much of the area was unbuildable whether it was zoned RS-8 or RS-12. He said there is a developable area adjacent to the proposed development that is zoned RS-8 and another that is zoned RS- 12. He pointed out the construction of a street and sidewalks as well as connection of neighborhoods would benefit the City but still preserve the park -like spirit of the area due to the retention of the open space. He indicated he would support the Planning Board's recommendation. Council President Haakenson acknowledged he and his neighbors were skeptical when the PRD process was considered for the development of Eagle's Crest and Eagle's Nest as the woods were steep and there were a lot of wetlands and drainage. However, the developer constructed a very nice looking development and the houses were more expensive than those in the surrounding neighborhood. The project included pathways and play structures -- a first class development. He was comfortable with the PRD process and supported the rezone request. COUNCILMEMBER MILLER MOVED, SECONDED BY COUNCILMEMBER NORDQUIST, TO DENY THE REZONE. MOTION FAILED, COUNCILMEMBERS NORDQUIST AND MILLER IN FAVOR; COUNCIL PRESIDENT HAAKENSON AND COUNCILMEM 3ERS FARLING , PLUNKETT, AND WHITE OPPOSED. COUNCIL PRESIDENT HAAKENSON MOVED, SECONDED BY COUNCILMEMBER FARLING, THAT THE COUNCIL ADOPT THE PLANNING BOARD'S RECOMMENDATION TO#APPROVE THE PROPOSED CONTRACT REZONE AND DIRECT THE CITY ATTORNEY TO PREPARE THE APPROPRIATE CONTRACT AND ORDINANCE TO IMPLEMENT THE REQUESTED REZONE. _ MOTION CARRIED, COUNCIL PRESIDENT HAAKENSON AND COUNCILMEM 3ERS FARLING, PLUNKETT, AND WHITE IN FAVOR; COUNCILMEMBERS NORDQUIST AND MILLER OPPOSED. Mayor Fahey declared a brief recess. Proposed 7. CONTINUED DELIBERATION REGARDING THE PROPOSED AMENDMENT TO EDMONDS Amendment COMMUNITY DEVELOPMENT CODE SECTION 16,20.010.C.1 PERTAINING TO THE CDC 16. 0.010.C.1 FACILITIES REGULATIONS GOVERNING THE LOCATION OF COMMUNITY FACES IN SINGLE Community FAMILY (ES) ZONES (Applicant: Edmonds Planning Division I File No. CDC-97-123) Facilities) Planning Manager Rob Chave explained this application was initiated by the Planning Division in response to letters from churches indicating it was difficult or impossible for them to get permits for improvements. Upon review of the Code, the main problem appeared to be requiring community facilities such as elementary schools, nursery schools, fire stations, electric substations, pumping stations, water storage, libraries, churches, parks, recreation facilities and bus stop shelters to be on collector/arterial streets. A number of facilities were identified throughout the City that were not located on collector/arterial streets which resulted in the proposed code amendment. Mr. Chave said the Council held a hearing on March 2, 1998, and voted to reconsider the issue on March 17, 1998. City Attorney Scott Snyder explained the Council continued this hearing to get a report from staff regarding non -conforming community facilities in residential zones. The Council may take administrative notice of this item and can ask questions regarding preparation of this information. Edmonds City Council Approved Minutes April 21, 1998 Page 13 Councilmember Plunkett complimented Mayor Fahey on her opening statements as well as her letter to the residents of South Edmonds which assisted them in understanding the administration's approach to this issue. Councilmember Plunkett preferred the Council not proceed with a decision tonight, observing the public was, to a great extent, denied an opportunity to speak on this issue. COUNCILMEMBER PLUNKETT MOVED, SECONDED BY COUNCILMEMBER MILLER, TO SET A DATE CERTAIN TO REOPEN THE PUBLIC PARTICIPATION PORTION OF THE HEARING ON FILE NO.123. Councilmember Miller agreed with reopening the hearing but proposed the Council have some deliberation as well as additional input from staff this evening to allow those present to develop questions for the hearing. Mr. Snyder said the Council could raise issues they would like staff to address at the public hearing but questions of staff and the resulting information would not be appropriate tonight as this was not a hearing. Council President Haakenson advised the public hearing could be scheduled for May 19, 1998. MOTION CARRIED. Mr. Snyder advised this would be an entirely new hearing; there would be no limitations on comments. 8. CONTINUED HEARING - RESOLUTION NO 905 - HEARING ON THE PROPOSED Proposed Vacation of VACATION OF PORTIONS OF 72ND AVENUE WEST 1FROM NORTH MEADOWDALE ROAD - 2ndAve. W TO A POINT 378 FEET SOUTH) RESERVING UTILITY EASEMENTS. STTRsiACE AND (From North SUBSURFACE Meadowdale Rd. Point 78 Planning Manager Rob Chave said this item was continued to allow the Council to receive information Feet South regarding possible development of a public walkway which was included in the packet. Staffs recommendation is to approve the vacation subject to the retention of an easement and to direct the City Attorney to prepare the appropriate ordinance. Staff did not feel the cost of the walkway warranted proceeding with the walkway. Mayor Fahey opened the public participation portion of the hearing. Jeannie Anderson, 16727 74th Place W, Edmonds, spoke in opposition to the vacation of the right-of- way and urged the Council to oppose it. She said the issue was not money as the City was not being requested to develop the walkway but only whether the vacation should be approved. She requested the Council oppose the vacation to keep the City's options open. By vacating the right-of-way, the City would be giving away future options. She referred to the landscape architect's report, which indicated he found evidence of a trail in use. She said 72nd Avenue West was a natural bridge between Meadowdale Beach Road on the south and North Meadowdale Road on the north. The only other streets that connect these are 76th Avenue West, which is busy and has no sidewalks, and Olympic View Drive. She urged the Council to think 50-75 years in the future. Councilmember White asked Ms. Anderson if she lived in the area. Ms. Anderson answered she is not an abutting property owner (she lives off Meadowdale Beach Road) but walks in the area. Council President Haakenson asked if she lived at least six blocks away. Ms. Anderson answered yes. Edmonds City Council Approved Minutes April 21, 1998 Page 14 CONCOMITANT ZONING AGREEMENT WHEREAS, Dr. and Mrs. Han Z. Park, husband and wife, and Mr. and Mrs. Russell C. Kim, husband and wife, and the City of Edmonds, Washington, a municipal corporation, jointly and severely referred to as "Owners" are the owners of certain real estate legally described on the attached Exhibit A and incorporated by this reference as fully as if herein set forth, comprising approximately 5.98 acres and located at 7704 Olympic View Drive, 18325 80th Avenue W., 18408 79th Pl. W. and a vacant parcel between 18325 and 18305 - 80th Avenue W. in the City of Edmonds, WHEREAS, the Owners tender this agreement and covenants to the City of Edmonds, a municipal corporation in its quasi judicial and governmental capacity, hereinafter referred to as "Edmonds" and the same having been duly considered by the City Council of the City of Edmonds and on the recommendation of its Planning Board, and WHEREAS, the Owners have applied for changes in the zoning of Residential real property from Single Family Residential 12,000 sq. ft. (R.S. 12) to Single Family Residential 8,000 sq. ft. (R.S. 8), and WHEREAS, the application has been reviewed by the City's Planning Board which has recommended that the rezone be approved subject to certain conditions contained in the April 17, 1998 recommendations to the City Council; NOW, THEREFORE, concurrently with the approval of an ordinance adopting findings of the City Council of the City of Edmonds that the rezone to the subject property as specified above does not adversely affect the public health, safety and general welfare and that the rezone of justified by sufficient changes in the character of the surrounding area, and in consideration of the City Council's rezoning of the subject property and for so long as subject property remains rezoned, the Owners and the City of Edmonds hereby covenant and agree to the following on behalf of themselves, their heirs, successors and assigns: 1. This Agreement is voluntarily tendered by Owners to Edmonds and accepted by Edmonds, and all parties hereto agree that it shall be applicable to the parties to this Agreement, their heirs, successors and assigns both as to duties and to benefits. The terms to this Agreement shall be enforceable at law or specifically enforceable in equity by Edmonds as it in its sole discretion deems appropriate. 2. Edmonds shall be under no obligation to issue to the Owners, their heirs, successors and assigns a building permit and/or other permits for improvements, structures or uses upon any of the subject property of the Owners unless such improvements and/or uses fully comply with the terms of this Agreement and the applicable ordinance in effect at the time of submission of any fully completed applications for said permits. "Fully completed applications" 1 EXHIBIT 2 shall mean an application sufficient to vest the applicant's rights under state law and City ordinance. 3. This Agreement and covenant and each part thereof shall be considered covenants running with the land described above and shall be binding upon the Owners, their heirs, successors and/or assigns. It shall be recorded with the Snohomish County Auditors in the grantor/grantee index with the Owners being listed as the grantor and Edmonds as grantee. All recording costs are to be paid by Owners. Such recordation and payment of said costs shall be a condition precedent to the ownership, the rights and obligations of this Agreement shall be assumed by the new Owner. 4. In consideration of Edmonds reclassifying the subject property from RS 12 to RS8, and for so long as the property remains so classified, owner covenants to limit the use of such property to a Single Family Residential uses as defined under the Edmonds Community Development Code (ECDC) as the same exists or is hereafter amended, subject to the following restrictive conditions: 4.1 Development of the property shall be consistent with an Approved Planned Residential Development (PRD) application. 4.2 The building pad shall occupy a maximum of 21 % of the net buildable area determined in accordance with the provisions of the ECDC. 4.3 A landscaping plan shall be fixed for both entrances. 4.4 The homeowner shall create a homeowner association in a form sufficient to fund and maintain the landscaping located at the entrances to the PRD. 4.5 A through three street connecting 80th Pl. W. at 184th Street SW to Olympic View Drive shall be constructed at the owner's expense, dedicated to the City of Edmonds and completed prior to the issuance of any building permit for construction within the rezoned area. 4.6 A private cul-de-sac shall be constructed that runs from the south from the new public street proposed on the map submitted in accordance with the rezone application as Exhibit 3 , incorporated by this reference as fully as if herein set forth. 4.7 The houses designed and constructed under the Planned Residential Development application shall be consistent in the style and theme with those approved in the PRD application. 4.8 The maximum height permitted in a structure shall be 25 feet as measured from an average grade according to the City of Edmonds Community Development Code requirements. 2 4.9 All sidewalks, gutters, street lights and signs required by The Edmonds Community Development Code and the approval process shall be supplied and constructed by the Owners at their sole expense. (exclusive of the City of Edmonds). 5. No application shall be made by the Owners, its heirs, successors or assigns to amend this Concomitant Zoning Agreement for a period of ten (10) years from the date hereof. Thereafter, Owners or their successors, heirs or assigns or Edmonds may, upon application, apply to amend or terminate the provisions of this Agreement or to change the zoning on said property. Said application to change or terminate the provisions and covenants or to rezone said property shall be heard in accordance with the application requirements for any other rezone of property in the City of Edmonds. Such action by other parties shall not release the Owners, their heirs, successors or assigns from the obligations assumed under this Agreement, unless or until such application shall be duly approved by Edmonds. 6. In the event that a suit is brought to enforce any of the provisions of this Agreement, the prevailing parties shall be entitled to reimbursement for all costs of said litigation together with a sum for reasonable attorney's fees. 7. It is further expressly agreed that any covenant, condition or restriction herein contained or any force thereof is valid or void, such invalidity or voidness shall in no way affect any other covenant, condition or restriction herein contained. IN WITNESS WHEREOF, the parties have expressed this Agreement this day of , 1998. Dr. Han Z. Park Mrs. Han Z. Park Mr. Russell C. Kim Mrs. Russell C. Kim C THE CITY OF EDMONDS, as Owner Mayor Barbara S. Fahey ATTEST/AUTHENTICATED : 'City, Clerk, Sandra S. Chase APPROVED AS TO FORM: OFFICE OF THE CITY ATTORNEY: W. Scott Snyder STATE OF WASHINGTON ) ss. COUNTY OF ) On this day of , 1998, before me, a Notary Public, duly commissioned and sworn, personally appeared DR. HAN Z. PARK AND MRS. HAN Z. PARK, husband and wife, appeared before me, and said persons acknowledged that they signed this instrument and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. WITNESS my hand and official seal affixed the day and year first above written. Dated: (print or type name) NOTARY PUBLIC in and for the State of Washington, residing at: My Commission expires: 4 STATE OF WASHINGTON ) ss. COUNTY OF ) On this day of , 1998, before me, a Notary Public, duly commissioned and sworn, personally appeared MR. RUSSELL C. KIM AND MRS. TAMES C. KIM, husband and wife, appeared before me, and said persons acknowledged that they signed this instrument and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. WITNESS my hand and official seal affixed the day and year first above written. (print or type name) NOTARY PUBLIC in and for the State of Washington, residing at: My Commission expires: STATE OF WASHINGTON ) ss. COUNTY OF ) On this day of , 1998, before me, a Notary Public in and for the City of Edmonds, duly commissioned and sworn, personally appeared , known to be the MAYOR of the CITY OF EDMONDS, the municipal corporation that executed the foregoing instrument, and acknowledged the instrument to be the free and voluntary act and deed of that corporation for the uses and purposes therein mentioned, and on oath stated that he was authorized to execute the instrument on behalf of the corporation. WITNESS my hand and official seal affixed the day and year first above written. WSS198875.IAOR/F0006.900000 (Printed or typed name) NOTARY PUBLIC My appointment expires: 5 LEGAL DESCF"DTIONS: Park property. EXHIBIT "All PARCEL A: Tax Account No. 3708-001-009-0008 Lot 9, Block 1, Plot of Admiralty Acres, as per plat recorded in Volume 12 of Plats on page 48, records of Snohomish County. Situate in the County of Snohomish, State of Washington. PARCEL B: Tax Account No. 3708-001-010-0005 Lot 10, Block 1, Plat of Admiralty Acres, as per plat recorded in Volume 12 of Plats, page 48, records of Snohomish County. Situate in the County of Snohomish, State of Washington. PARCEL C: Tax Account No. 4346-000-106-0107 All that portion of Tract 106, Edmonds, Sea View Tracts, as per plat recorded in Volume 3 of Plats on page 76, records of Snohomish County, lying Southwesterly of Beverly Park —Edmonds Road; EXCEPT the East 212 feet thereof as measured along south line of said Tract 106 and EXCEPT any portion lying within Beverly Park —Edmonds Road. Situate in the County of Snohomish, State of Washington. Kim Property PARCEL A Tax Account No. 3708-001-011-0004 Lot 11, Block 1, Admiralty Acres, as per plat recorded in Volume 12 of Plats, page 48, records of Snohomish County; EXCEPT the east 120 feet thereof. Situate in the County of Snohomish, State of Washington. PARCEL B Tax Account No. 3708-001-011-0004(some as A) The East 120 of Lot 11, Block 1, Admiralty Acres, as per plat recorded in Volume 12 of Plats, page 48, records of Snohomish County. Situate in the County of. Snohomish, State of Washington. City of Edmonds property. Tax Account No. 3708-001-0120003 Lot 12, Block 1, Plot of Admiralty Acres, as per plat recorded in Volume 12 of Plats page 48, records of Snohomish County. Situate in the County of Snohomish, State of Washington. 0006.150.04B WSS/gjz 07/07/98 ORDINANCE NO. AN ORDINANCE OF THE CITY OF EDMONDS, WASHINGTON, AMENDING THE OFFICIAL ZONING MAP OF THE CITY OF EDMONDS TO CHANGE THE ZONING DESIGNATION .ON CERTAIN REAL PROPERTY COMMONLY KNOWN AS THE PARK REZONE, NO. R-97-28, FROM RS-12 (SINGLE FAMILY RESIDENTIAL 8,000 SQUARE FEET TO RS-8 (SINGLE FAMILY RESIDENTIAL 8,000 SQUARE FEET); AUTHORIZING EXECUTION OF A CONCOMITANT ZONING AGREEMENT AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, the Planning Board at a public hearing, considered the following amendments to the Official Zoning Map and made their findings and recommendations which were forwarded to the City Council, and WHEREAS, the City Council after, a public hearing reviewed the recommendations of the Planning Board and determined that the proposed amendment and agreement should be approved and hereby adopts the Findings and Conclusions of its Planning Board amended to acknowledge the withdrawal of property located at 18305 - 80th Ave. W., Edmonds, Washington, owned by Mr. and Mrs. James L. Thompson, husband and wife, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EDMONDS, WASHINGTON, DO ORDAIN AS FOLLOWS: 198910 i EXHIBIT 3 Section 1. The Official Zoning Map of the City of Edmonds, as adopted by Section 17.00.010 of the Edmonds Community Development Code is hereby amended to change the zoning classification of certain property hereinafter described from RS-12 (single family residential 12,000 sq. ft.) to RS-8 (single-family residential 8,000 sq. ft.), subject to the Concomitant Zoning Agreement, Exhibit A executed and recorded as provided herein. The legal description of the property rezoned is set forth in Exhibit A, attached hereto and incorporated herein by this reference as if set forth in full. Section 2. The Planning Director is hereby instructed to effectuate the necessary amendments to the Official Zoning Map of the City of Edmonds pursuant to this ordinance. Section 3. The Mayor is hereby authorized to execute and the City Clerk to attest to that certain document entitled "Agreement and Covenants," attached hereto as Exhibit B and incorporated herein by this reference as if set forth in full. The City Clerk is further directed to record said Concomitant Zoning Agreement in the land records of Snohomish County as a covenant running with the land. The cost of said recordation shall be paid by the owners. Section 4. This ordinance, being an exercise of a power specifically delegated to the City legislative body, is not subject to referendum and shall take effect five (5) days after its publication, or publication of a summary thereof consisting of its title, in the City's official newspaper. 198910 0A APPROVED: MAYOR, BARBARA S. FAHEY ATTEST/AUTHENTICATED: CITY CLERK, SANDRA S. CHASE APPROVED AS TO FORM: OFFICE OF THE CITY ATTORNEY: IEM FILED WITH THE CITY CLERK: PASSED BY THE CITY COUNCIL: PUBLISHED: EFFECTIVE DATE: ORDINANCE NO. 198910 3 SUMMARY OF ORDINANCE NO. of the City of Edmonds, Washington On the day of , 199_, the City Council of the City of Edmonds, passed Ordinance No. A summary of the content of said ordinance, consisting of the title, provides as follows: AN ORDINANCE OF THE CITY OF EDMONDS, WASHINGTON, AMENDING THE OFFICIAL ZONING MAP OF THE CITY OF EDMONDS TO CHANGE THE ZONING DESIGNATION ON CERTAIN REAL PROPERTY COMMONLY KNOWN AS THE PARK REZONE, NO. R-97-28, FROM RS-12 (SINGLE FAMILY RESIDENTIAL 8,000 SQUARE FEET TO RS-8 (SINGLE FAMILY RESIDENTIAL 8,000 SQUARE FEET); AUTHORIZING EXECUTION OF A CONCOMITANT ZONING AGREEMENT AND ESTABLISHING AN EFFECTIVE DATE. The full text of this Ordinance will be mailed upon request. DATED this day of 199 CITY CLERK, SANDRA S. CHASE 4 EXHIBIT "A" CONCOMITANT ZONING AGREEMENT WHEREAS, Dr. and Mrs. Han Z. Park, husband and wife, and Mr. and Mrs. Russell C. Kim, husband and wife, and the City of Edmonds, Washington, a municipal corporation, jointly and severely referred to as "Owners" are the owners of certain real estate legally described on the attached Exhibit A and incorporated by this reference as fully as if herein set forth, comprising approximately 5.98 acres and located at 7704 Olympic View Drive, 18325 80th Avenue W., 18408 79th Pl. W. and a vacant parcel between 18325 and 18305 - 80th Avenue W. in the City of Edmonds, WHEREAS, the Owners tender this agreement and covenants to the City of Edmonds, a municipal corporation in its quasi judicial and governmental capacity, hereinafter referred to as "Edmonds" and the same having been duly considered by the City Council of the City of Edmonds and on the recommendation of its Planning Board, and WHEREAS, the Owners have applied for changes in the zoning of Residential real property from Single Family Residential 12,000 sq. ft. (R.S. 12) to Single Family Residential 8,000 sq. ft. (R.S. 8), and WHEREAS, the application has been reviewed by the City's Planning Board which has recommended that the rezone be approved subject to certain conditions contained in the April 17, 1998 recommendations to the City Council; NOW, THEREFORE, concurrently with the approval of an ordinance adopting findings of the City Council of the City of Edmonds that the rezone to the subject property as specified above does not adversely affect the public health, safety and general welfare and that the rezone of justified by sufficient changes in the character of the surrounding area, and in consideration of the City Council's rezoning of the subject property and for so long as subject property remains rezoned, the Owners and the City of Edmonds hereby covenant and agree to the following on behalf of themselves, their heirs, successors and assigns: 1. This Agreement is voluntarily tendered by Owners to Edmonds and accepted by Edmonds, and all parties hereto agree that it shall be applicable to the parties to this Agreement, their heirs, successors and assigns both as to duties and to benefits. The terms to this Agreement shall be enforceable at law or specifically enforceable in equity by Edmonds as it in its sole discretion deems appropriate. 2. Edmonds shall be under no obligation to issue to the Owners, their heirs, successors and assigns a building permit and/or other permits for improvements, structures or uses upon any of the subject property of the Owners unless such improvements and/or uses fully comply with the terms of this Agreement and the applicable ordinance in effect at the time of submission of any fully completed applications for said permits. "Fully completed applications" 1 shall mean an application sufficient to vest the applicant's rights under state law and City ordinance. 3. This Agreement and covenant and each part thereof shall be considered covenants running with the land described above and shall be binding upon the Owners, their heirs, successors and/or assigns. It .shall be recorded with the Snohomish County Auditors in the grantor/grantee index with the Owners being listed as the grantor and Edmonds as grantee. All recording costs are to be paid by Owners. Such recordation and payment of said costs shall be a condition precedent to the ownership, the rights and obligations of this Agreement shall be assumed by the new Owner. 4. In consideration of Edmonds reclassifying the subject property from RS12 to RS8, and for so long as the property remains so classified, owner covenants to limit the use of such property to a Single Family Residential uses as defined under the Edmonds Community Development Code (ECDC) as the same exists or is hereafter amended, subject to the following restrictive conditions: 4.1 Development of the property shall be consistent with an Approved Planned Residential Development (PRD) application. 4.2 The building pad shall occupy a maximum of 21 % of the net buildable area determined in accordance with the provisions of the ECDC. 4.3 A landscaping plan shall be fixed for both entrances. 4.4 The homeowner shall create a homeowner association in a form sufficient to fund and maintain the landscaping located at the entrances to the PRD. 4.5 A through three street connecting 80th Pl. W. at 184th Street SW to Olympic View Drive shall be constructed at the owner's expense, dedicated to the City of Edmonds and completed prior to the issuance of any building permit for construction within the rezoned area. 4.6 A private cul-de-sac shall be constructed that runs from the south from the new public street proposed on the map submitted in accordance with the rezone application as Exhibit 3 , incorporated by this reference as fully as if herein set forth. 4.7 The houses designed and constructed under the Planned Residential Development application shall be consistent in the style and theme with those approved in the PRD application. 4.8 The maximum height permitted in a structure shall be 25 feet as measured from an average grade according to the City of Edmonds Community Development Code requirements. 2 4.9 All sidewalks, gutters, street lights and signs required by The Edmonds Community Development Code and the approval process shall be supplied and constructed by the Owners at their sole expense. (exclusive of the City of Edmonds). 5. No application shall be made by the Owners, its heirs, successors or assigns to amend this Concomitant Zoning Agreement for a period of ten (10) years from the date hereof. Thereafter, Owners or their successors, heirs or assigns or Edmonds may, upon application, apply to amend or terminate the provisions of this Agreement or to change the zoning on said property. Said application to change or terminate the provisions and covenants or to rezone said property shall be heard in accordance with the application requirements for any other rezone of property in the City of Edmonds. Such action by other parties shall not release the Owners, their heirs, successors or assigns from the obligations assumed under this Agreement, unless or until such application shall be duly approved by Edmonds. 6. In the event that a suit is brought to enforce any of the provisions of this Agreement, the prevailing parties shall be entitled to reimbursement for all costs of said litigation together with a sum for reasonable attorney's fees. 7. It is further expressly agreed that any covenant, condition or restriction herein contained or any force thereof is valid or void, such invalidity or voidness shall in no way affect any other covenant, condition or restriction herein contained. IN WITNESS WHEREOF, the parties have expressed this Agreement this day of , 1998. Dr. Han Z. Park Mrs. Han Z. Park Mr. Russell C. Kim Mrs. Russell C. Kim 3 THE CITY OF EDMONDS, as Owner Mayor Barbara S. Fahey ATTEST/AUTHENTICATED: City Clerk, Sandra S. Chase APPROVED AS TO FORM: OFFICE OF THE CITY ATTORNEY: W. Scott Snyder STATE OF WASHINGTON ) ss. COUNTY OF ) On this day of , 1998, before me, a Notary Public, duly commissioned and sworn, personally appeared DR. HAN Z. PARK AND MRS. HAN Z. PARK, husband and wife, appeared before me, and said persons acknowledged that they signed this instrument and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. WITNESS my hand and official seal affixed the day and year first above written. Dated: (print or type name) NOTARY PUBLIC in and for the State of Washington, residing at: My Commission expires: 4 STATE OF WASHINGTON ) ss. COUNTY OF ) - On this day of , 1998, before me, a Notary Public, duly commissioned and sworn, personally appeared MR. RUSSELL C. KIM AND MRS. JAMES C. KIM, husband and wife, appeared before me, and said persons acknowledged that they signed this instrument and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. WITNESS my hand and official seal affixed the day and year first above written. (print or type name) NOTARY PUBLIC in and for the State of Washington, residing at: My Commission expires: STATE OF WASHINGTON ) ss. COUNTY OF ) On this day of , 1998, before me, a Notary Public in and for the City of Edmonds, duly commissioned and sworn, personally appeared , known to be the MAYOR of the CITY OF EDMONDS, the municipal corporation that executed the foregoing instrument, and acknowledged the instrument to be the free and voluntary act and deed of that corporation for the uses and purposes therein mentioned, and on oath stated that he was authorized to execute the instrument on behalf of the corporation. WITNESS my hand and official seal affixed the day and year first above written. WSS198875.1A©R/F0006.900000 (Printed or typed name) NOTARY PUBLIC My appointment expires: 5 LEGAL DESCR"TIONS: Park property. EXHIBIT "A" - PARCEL A: Tax Account No. 3708-001-009-0008 Lot 9, Block 1, Plat of Admiralty Acres, as per plat recorded in Volume 12 of Plats on page 48, records of Snohomish County. Situate in the County of Snohomish, State of Washington. PARCEL B: Tax Account No. 3708-001-010-0005 Lot 10, Block 1, Plat of Admiralty Acres, as per plat recorded in Volume 12 of Plats, page 48, records of Snohomish County. Situate in the County of Snohomish, State of Washington. PARCEL C: Tax Account No. 4346-000-106-0107 All that portion of Tract 106, Edmonds, Sea View Tracts, as per plat recorded in Volume 3 of Plats on page 76, records of Snohomish County, lying Southwesterly of Beverly Park —Edmonds Road; EXCEPT the East 212 feet thereof as measured along south line of said Tract 106 and EXCEPT any portion lying within Beverly Park —Edmonds Road. Situate in the County of Snohomish, State of Washington. Kim Property PARCEL A Tax Account No. 3708-001-011-0004 Lot 11, Block 1, Admiralty Acres, as per plat recorded in Volume 12 of Plats, page 48, records of Snohomish County; EXCEPT the east 12.0 feet thereof. Situate in the County of Snohomish, State of Washington. PARCEL B Tax Account No. 3708-001-011-0004(some as A) The East 120 of Lot 11, Block 1, Admiralty Acres, as per plat recorded in Volume 12 of Plats, page 48, records of Snohomish County. Situate in the County of, Snohomish, State of Washington. City of Edmonds property. Tax Account No. 3708-001-0120003 Lot 12, Block 1, Plat of Admiralty Acres, as per plat recorded in Volume 12 of Plats page 48, records of Snohomish County. Situate in the County of Snohomish, State of Washington. 0 Charles R. Maki 823 5 Talbot Road Edmonds, Wa. 98026 May 9, 1998 Mr. and Mrs. James L. Thompson 18305 - 80th Ave. West Edmonds, Wa. 98026 Dear Mr. and Mrs. Thompson: RECEIVED D MAY 12 1998 P1.AN%m6 DEPT. On February 10, 1998, I hand delivered a conditional sales contract whereby Dr. and Mrs. Han Park offered to purchase 12000 sq. ft. of your property, subject to the conditions of the contract, for the purpose of being included in the development to be known as "Seaview Park Estates". The contract was signed by me as agent for the Parks and my signature was witnessed by a notary and stamped. If I do not have the original sales contract signed by me with your notarized signatures affixed and delivered to my residence at 8235 Talbot Road, Edmonds, Wa., 98026, by 5:00 P.M., Pacific Daylight Time on Thursday, May 14, 1998, the offer will be null and void. If the contract is not returned as stated, your property will not be included in the Planned Residential Development application to the City of Edmonds and will be dropped from the contract rezone accepted by the City of Edmonds on April 21, 1998. The City of Edmonds Planning Division is aware of this letter. Sinc ely, � (� '/Z Charles R. Maki cc: Mr. Jeff Wilson EXHIBIT 4 ;1 Charles R. Maki 8235 Talbot Road Edmonds, Wa. 98026 May 9, 1998 Mr. and Mrs. James L. Thompson 18305 - 80th Ave. West Edmonds, Wa. 98026 Dear Mr. and Mrs. Thompson: RECEIVED MAY 12 1999 PLANwwi� DEPT. On February 10, 1998, I hand delivered a conditional sales contract whereby Dr. and Mrs. Han Park offered to purchase 12000 sq. ft. of your property, subject to the conditions of the contract, for the purpose of being included in the development to be known as "Seaview Park Estates". The contract was signed by me as agent for the Parks and my signature was witnessed by a notary and stamped. If I do not have the original sales contract signed by me with your notarized signatures affixed and delivered to my residence at 8235 Talbot Road, Edmonds, Wa., 98026, by 5:00 P.M., Pacific Daylight Time on Thursday, May 14, 1998, the offer will be null and void. If the contract is not returned as stated, your property will not be included in the Planned Residential Development application to the City of Edmonds and will be dropped from the contract rezone accepted by the City of Edmonds on April 21, 1998. The City of Edmonds Planning Division is aware of this letter. Sinc ely, /Z Charles R. Maki cc: Mr. Jeff Wilson a CONDITIONAL SALES CONTRACT THIS CONDITIONAL SALES CONTRACT (the "Contract") is made this [91-0 day of U el(-, (�Uu , 1997, by and between Dr. and Mrs. Han Park (hereinafter "Park"), and City of Edmonds (hereinafter "City"). The parties wish to engage in a conditional sales contract the terms of which are outlined in this document. In consideration of the mutual covenants hereinafter set forth, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged by each party from the other, THE PARTIES HERETO AGREE TO THE FOLLOWING TERMS: This Contract is contingent upon the parties successfully applying to the City of Edmonds to obtain a contract rezone and obtaining authorization from the City to construct a planned residential development out of the subject site. The real estate to be developed is as shown on the preliminary site plan which is enclosed and known as "Enclosure A". Enclosure A is hereby incorporated into this Agreement as if fully set forth herein. The subject property shall be known as "Seaview Park Estates". The City and its City Council's discretion to exercise its governmental and quasi- judicial power is intended to be fully preserved under the terms of this agreement. This agreement shall not be interpreted to impair the decision making and quasi-judicial authority of any official or officials representing the City. WHEREAS the City's involvement would be limited to providing title to the subject property and providing an authorization to include this property in the subdivision request which will be made by Park. WHEREAS the City grants to Mr. Charles Maki power of attorney to act on behalf of the City in proceeding throughout the application process described above. WHEREAS the City's liability will be limited to the value of the property contributed and Dr. Park will personally indemnify the City as to all development costs associated with the development of the subdivision. WHEREAS this conditional sales contract will automatically terminate upon denial by the Edmonds City Council of a request to subdivide the property; This contract, will close within 30 days after the project is recorded in Snohomish County. CONDITIONAL SALES CONTRACT-1- WHEREAS the price of the subject property shall be fixed at $100,000.00 if all property is rezoned. If the property is not rezoned, the price of the subject property should be subject to negotiation. This Agreement may be modified, altered or amended only by a writing signed by each of the Parties and duly notarized. Waiver of any term or provision in this Agreement by any Parry shall not be considered to be a waiver of any other term or provision of this Agreement or breach of this Agreement regardless of the nature of such subsequent event or breach. This Agreement shall be interpreted as the final written agreement of the Parties. It is agreed and understood that all prior conversations, discussions, letters, and agreements have been merged into this Agreement and that this written Agreement constitutes the Final Agreement between the Parties, notwithstanding any prior oral or written understanding to the contrary. IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above -written. Dr. and Mrs. Han Park By /Z ; W'& Charles Maki, Project anager Its CONDITIONAL SALES CONTRACT -2- City of Edmonds B Barbara S. Fahey Its STATE OF WASHINGTON ) ) ss. COUNTY OF SNOHOMISH ) On this 1g4 ti day of ACC tn111C1u , 1997, before me, the undersigned, a Notary Public in and for the State of Washington, duly commissioned and sworn, personally appeared CHARLES MAKI, to me known to be the Representative of Dr. and Mrs. Han Park, the Parties that executed the within and foregoing instrument, and acknowledged the said instrument to be the free and voluntary act and deed of said Parties, for the uses and purposes therein mentioned, and on oath stated that he is authorized to execute the said instrument. WITNESS my hand and official seal hereto affixed the day and year above written. Notary.Public in and for the State of W hington, residing at C� wt f.�t Ci. S WA - My commission expires: &C> Type or Print Name Above STATE OF WASHINGTON ) ) ss. COUNTY OF SNOHOMISH ) On this t day of L U , 1997, before me, the undersigned, a Notary Public in and for the State of Washington, duly commissioned and sworn, personally appeared to me, BARBARA S. FAHEY, known to be the Representative of the City of Edmonds, the Party that executed the within and foregoing instrument, and acknowledged the said instrument to be the free and voluntary act and deed of said Party, for the uses and purposes therein mentioned, and on oath stated that he is authorized to execute the said instrument. WITNESS my hand and official seal hereto affixed the day and year above written. Notary Public in and for the States4 Washington, residing at My commission expires: r-, T-�'O-.AVP_ A - t�1C7,CC��-�l Type or Print Name Above Owp51\c ients\edsbayv\city.con CONDITIONAL SALES CONTRACT -3- Lot 12,. Admiralty Acres, according to Plat thereof recorded in Volume 12, Page 48, records of Snohomish County, Washington --� --`— --_— 80th AVENUE � 1-- -- r - T— --� — 1 0 Ioo! I N I I —�zl • I � I � I I' rq X I I 1\ 1 N N 1 I 7« u N N N c I -�-• I I I` ` Q` N o � � 1 �� g U 3t7.68' Enclosure A Item #: Originator: Community Services Director For Action: X 4 For Information: Subject: AUTHORIZATION FOR MAYOR TO SIGN CONDITIONAL SALES CONTRACT TO SELL SURPLUS CITY PROPERTY LOCATED ON 80TH AVE. W. BETWEEN 182ND PL. SW AND 184TH ST. SW Agenda Time: 10 minutes Agenda Date: December 9, 1997 Exhibits Attached: 1. Vicinity Maps 2. Conditional Sales Contract 3. Appraisal Report Cover Page Clearances: Department/Initials Admin Svcs/Finance _ City Attorney City Clerk _ Court Personnel Fire Police Community Svcs s3J L Engineering Parks & Rec Planning Public Works Treatment Plant City Council Mayor 1 Reviewed by Council Finance Committee: Community Seri ices Public Safety Approved for Consent Agenda: _ Recommend Review by Full Council: _ Expenditure Amount Appropriation Required: $ 0 Budgeted: $ 0 Required: $ 0 Previous Council Action: None Narrative: In 1996, Mr. Charles Maki, representing Dr. Han Park, approached the City about purchasing a City -owned lot located on 80th Ave. W. between 182nd Pl. SW and 184th St, SW. The City acquired this property in 1966 for the purposes creating a right-of-way(ROW) and installation of a sanitary sewer line and storm sewer line. The ROW was created on this City -owned and three adjoining properties(see Exhibit 1). Staff has concluded that the City has no plans to develop this property in the foreseeable future, On September 3, 1996, the Edmonds City Council granted applicant Dr. Park tentative approval for two street vacations pending agreed -upon realignment of a proposed future ROW connection between 80th Ave. W. and Olympic View Drive in the vicinity of 184th St. SW. In order for the applicant to complete the development plans, use of the above noted City -owned property (in addition to the above mentioned City owned ROW) was determined to be necessary. The applicant anticipates to apply for a contract rezone from the current RS-12 to an RS-8 designation. Mr. Maki and City staff cooperatively explored a number of arrangements so that the City's property could be an integral part of the proposed development. It was concluded that an outright purchase -sale agreement was the best approach for all parties, The terms of the contract include authorization to apply for necessary approvals to develop the property. The agreement reserves complete discretion to the City Council to hear and determine any development proposal for the property. The City Attorney and the developer's legal counsel have prepared a draft Conditional Sales Contract(see Exhibit 2) wherein the City would sell the property at $100,000. Pursuant to the possible sale of this property , the City commissioned an appraisal'to determine the property's estimated market value. The appraised price is $81,000, as shown in Exhibit 3. Recommended Action: Authorize. the Mayor to sign the attached Conditional Sales Contract. T ' n I . ., I''. 1 ". FIRS r r I•' t` I I I 3 3 i I 3 A SD f ► I 1 FIRST AX S Avr[w OrER'$ UJI ar vr£w +. 1 A 0 0 00L? )181It s"4 181STPSN.a 3 4 3 W y To C S e' +ouCS ~O.. AO IRA TY.�•. ACREc 3 . e , 7 R w 66j I f 3 I C ITY ST. S.W. �J I - r ,. d7� 6 ' 2182 nd P ,SAY L±.I i IS .. - - d fo ° z 1 Q 12 1 rt all I r I U 2, AO - W SoEOMONOS1 I 14 7 i Y Z� O 4 ' 3 S a n 4. 6 4 LIJ, Q 13 29 T - z 3 07 fa so BNto J°° �o�,s 9 I SEAVIEw f -� l06 e a • iL s I 6 _7 ti r i . } $EnvlEw FOREST ] : s o A R K • n Ce z; - ° ) > ° 11 Q HEN ON S All _ i ffSWLSELw FORE$TI ~ TRACT$ ,0 DIV NO 3 z DIY. Np I l 3t = IAS Pu$'A, 72 :186TH EAi S T S.W. MENg : w D I V No. R ,p C t' .7 '.�* SCAVIEw ' " i S • 3 z I, = i 9 t M ro Z➢ •5- " -, -. _. 3 .. S.W. 7.1 T•.! SEAViEw i FOREST J ALBE RT BAICH'B � p 26 7 -.. I FOREST • a i n! •' 1 '7 1 t3 .. A I) 1 a 3 r._ a J7 Wx IS 1 I r .O J nz. ...�. J 3Noz r4 qA� H PL.S.w. 187TH ST S.W. _.. _. ' 76 I = v a 2'd l g a n r I I SEAvtE4 ` » 0 I " 103 T$ 2' 'A, q .e ,� ZO6 I A 3 I TRACT$ I , I W 3 .._ 0) m K .�.. L. N 33 77 T f f On/ ZNO 23 Ls Z7 ! zi I 2+ ?! I 7fi III 2,' 7e 6 I ! • q n 2 ,Ie7TH PC 3+t H ST. S.W i 1 6 1 7 I S I • y t 6 ° IRarm* $T ISw y � N I �. I tAl 3 A .rWOODLAND E TATESSEAVIEW 0 3 . n 2 ± A '' 7 7> J .. a HEIGHTS * ..- _..__ . 3 _�-._T..._—_. __..._ GRACE s �3soss a x 10 ELEMENTARY •T OSCAR E—'-- - -JENSENS ( I b 189TH PL. S.W. CIO ¢ y, • • • i 7 ° t 7 T i 7 • i II K i "S H '' tACT-5 - 190 TH ST S o. IS dF�C wi• o 17 SEA VIEW SEATTLE P --. • / It z 3t2 SIERRA PARK ® T It h _23 _ : L 7 ESTATES '402 II ♦ a ° o ! 191 ST ST,' S.W. ,• f e f to l 3•'' , f y m 9 I E f 6 I 7 7 • y 6 I :191 ST S SU8UA 8AN - --TA CT$ - VILLACL N0, E t I j • r �e ) ST. S. W. r • ° < , �, 11 7 6 ! •c `• SIERRA R ,SIERRA 7 i 31CRRA ! ' - i -••} y :SIERRA A K, s wLLAGE 49 33 I Y 192 NPL. S (�' .W.: •T" .} -- 26; 2. 1 t3 I z: I -0f f 7 ; n :! of ; No S f ` zevtLLAOE 7' �2 '3 z �VILLACE N I n t! 7• 231 7r 7' m I . n Ir K l$ONS 1 d = 7 s p e m 7' '•� w n •3 n m r' 27 � 23 m H 3 , I )• a teEAOD• LQ EN 3RO.Pl•' Via. �T 3A i 3' III m " " DRIVE I S — H 193 RD PL. 14 I $.Y S W. 'E HI T f N 08'S pP PIc V1EW 280 OOM 29510.0 ''_ too -I oj N p-) C� \ `---_ \ � �+—�-_-..---•_.�,,�.-.-----fir oor SCE Y2. tnj 10, !, O I o , hnI _ s— '9 rn I :.:: i.• N N ti . I WLi t- Z .I r IY• _; I �y4`ir."x. yY \ I Q_ f Af n L------------- -=-� � !EXHIBIT 1 CONDITIONAL SALES CONTRACT THIS CONDITIONAL SALES CONTRACT (the 11contract") is made this I day of , 1997, by and between Dr. and Mrs, Han Park (hereinafter "Park"), and City of Edmonds (hereinafter "City"). The parties wish to engage in a oonditional sales contract the terms of which are outlined in this document,. in consideration of the mutual covenants hereinafter set forth, and other good.and valuable consideration, the receipt and sufficiency of which is hereby acknowledged by each party from the other, THE PARTIES HERETO AGREE TO THE FOLLOWING TFFZMS : This Contract is contingent upon the parties successfully applying to the City of Edmonds tolobtain a contract rezone and obtaining authorization from the City to construct a planned residential development out of the .subject site. The real estate to be developed is as shown on the preliminary site plan which is enclosed and known as "Enclosure Au. Enclosure A is hereby incorporated into this Agreement as if fully set forth herein. The subject property shall be'known as "Seaview Park Estates". The. City and its City Councilfs discretion to`exercise its governmental and quad -judicial power is intended to be fully preserved under the terms of this agreement. This agreement shall not be interpreted to impair the decision making and quasi judicial authority.of.any official or officials representing the city. WHEREAS the City's involvement would be limited to providing title to the subject property and providing an authorization to include this property in the subdivision request which will be made by Park. WHEREAS the City grants to Mr. Charles Maki power of attorney to act on behalf of the City in proceeding throughout the application process described above. WHEREAS the City's liability will be limited to the value of the property contributed and Dr. Park will personally indemnify the .City as to all development costs associated with the development of the subdivision. WHEREAS this conditional sales contract will automatically' terminate upon denial by the Edmonds City Council of a request to subdivide theproperty; This contract, will close within 30 days after the project is recorded in Snohomish County. caasnsTZnNAL sA.Zs couTFLACT -1- EXHIBIT 2 WHEREAS the price of the subject property shall be fixed at 0100,000.00' if rill property is rezoned. If the property is not rezoned, the price of the subject Property shOuld becsubject to negotiation. This Agreement may be modified, altered or amended only by a writing signed by each of the Parties and duly notarized, Waiver of any term or provision in this .Agreement by any Party shall not be considered to be a waiver of any other term or provision of this Agreement or breach of this ,Agreement regardless of the nature of such subsequent event or breach. This Agreement shall be interpreted as the final written agreement.of the Parties. It is agreed and understood that all prior conversations, discussions, letters, and agreements have been merged into this Agreement and that this written Agreement constitutes -the Final. Agreement between the Parties, notwithstanding any prior oral or written understanding.ty.the .contrary. . .. IN WITNE910 WIIZRXOF, the parties hereto have executed this :Agreement the -day and year first above -written. Dr. and mrs. Han Farr By Charles Maki, Project Manager Its CONDITIONAL SALES CONTRACT -2- City of Edmonds. gY Barbara S . Fahey Zta WA0114W STATE OF WASHINGTON ) COUTY or SNOBOXISH } On this _ day of , 1997, before me, the undersigned, a Notary PZiblio in and for the state of Washington, duly commissioned and swgrn. personally appeared C ,$ mur, to me known to be the Repranentativa of Dr. and Mrs. Han Park, the Parties that: executed the within and foregoing instrument, and acknowledged the said instrument to be the ftea and voluntary act and deed of said Parties, for the uses and purposes therein mentioned,- and on oath stated that no is authorized to execute the said instrument. . WITNESS my hand and official seal hereto affixed the day and year above writtat. Notary Publia in an or tho stats.of Washington,' rasidfng at My eommiasion expires: Type or Print Name Above STATS OF WASHINGTON ) COUNTY OF SNOROMISH, ) On this flay or , 1997, before me, the undersigned, a Notary Public in and for the State of Washington, duly cemmnieoioned and sworn, personally appeared to (no, xARsA s s. FANCY, kncmm to ho the Representative•of the City cf Bdmonds,. the Party that executed the within "d.foregoing instrument, and acknowledged the said instrument to be the free and voluntarryy act and deed of said Party, for the uses and purposes therein mentioned, 44- on oath stated that he'le authorized to execute the said instrument. WITNESS fay hand and official seal hereto affixed the day and year above written. =:\wp91\cl1ent$\ed&baMcity.con COMITIONAt SALTS C`CNTRACT -3- votary Public M an or the State of Waahington, rasiding at My com;ni0sion expirest _-- Type or Print Nacre Alcove EXHIBIT 2 Lot 12, Admiralty Acresz according to Plat thereof recorded in Volume 12e Page 48t records of Snohomish Countyr Washington - - - - - - - - - - 80th AVENUE 10 LA 1, LQ EXHIBIT 2 • - I. l : 8 i+ r St IV N , : �� \ � , !, �,�, 1, }�`' • ....... .. . • � u 1 \ {l ....::...:. :: Bradford and Robbins Borrower Census Tract U5U3.UU Map Reference PropertyAddress 183AA BUth Avenue West city Edmonds county Snohomish state WA alp Code 98026 Legal Description B lock 001 D•00 - Lot 12 Admiralty Acres Sale Pace $ N/A Dale of Sale N/A Loan Tenn Urdmown yre. Property Rights Appraised Q Fee ❑ Leasehold De Minfmts PUD Actual Real Estate Taxes 8 Exempt (yr) Loan Charges Io be paid by salter S N/A Other Sales Concessions N/A Lander/Client City of Edmonds Address _ 250 5th Avenue North, Edmonds, WA 98020 Ocaipant Vacant Appraiser Henry L. Kierf k r Instructions to Appraiser Appraise fee simple interest in above referenced nronerl Location ❑Urban X 3uburoen Rural Good Avg. Fair Poor Built Up ® Ovar 75% ❑ 25% to 75 % ❑ Under 25% Employment Stability ❑ ®❑ ❑ Growth Rate ❑ Fully Dv, ❑ Rapid 7 Steady ❑ Slow Convenience to Employment ❑ 0 ❑ ❑ Property Values ❑ Increasing M Stable ❑ DeGirdng Convenience to Stopping ❑ ❑X ❑ ❑ Demand/Supply ❑ Shortage ® in Balance ❑ Oversupply Convenience to Schools ❑ ®❑ ❑ Marketing Tlme ❑Under 3 Mos, 4.8 Mos. ❑ Over 6 Mos. Adequacy of Public Transportation ❑ a ❑ ❑ Present Land Use 75 %1 Famiy 2 %2-4 Family 5 % Apts 3 % Condo 5 %Commercial RecreatlonatFachilles ❑ 0 ❑ ❑ _%Industrial 10 % Vacant _ % Adequacy of Utilities❑ ❑X ❑ ❑ Change In Present Land Use ® Not Likely ❑ Llkely(7 Takng Place (ry Property of Compatibility ❑ ®❑ ❑ (*) From To 1-`acilidesf Protection from Detrimental Conditions ❑ ❑X ❑ ❑ Predominate Occupancy 00 wner ❑ Tenant 0-5 % Vacant Police and Fire Protection El ©❑ ❑ Single Family Price Range s 100 to $ 500 Predominant Value S 165 General Apprerance of Properties El ❑X ❑ ❑ Single Family Age 0 yrs to 80 yrs. Predominant Age 40 yrs Appeal to Market ❑ ®❑ ❑ New, nolsa):The su •ea's neigh boyhood consists mainl ' Comments Including those factors, favorable or unfavorable, affecting matketabhky (e.g. public parks, schools. northeast of the of averse quality homes. The subject has access to all necessary support facilities. It is located approximatelY two miles central business district of Edmonds. Commuting s stems in the area include Highway 99 Interstate 5 and Interstate405. Recreational in file area include Snohomish Courity Park, Meadowdale Pia fields and Lnndale Park. Local sboT)ping is available along Flwy 99, Dimensions See Plat Map a 28,750 Sq ft sq. Ft. or Acres IN Comer Lot Zoning Classification RS-12000 Residential Present Improvements ❑ do ❑ do not conform to zoning regulations Highest and best use ® Preset us-= Other (spectly) Public Other (Describe) OFF SITE IMPROVEMENTS Topo Sloped to middle Elec. Q Street Access [K Public ❑ Private Size Typical Gas ❑ surface Paved Shape Rec=Frular Water 0 Maintenance ❑X Public Private View Territorial Sen. SewerQ ❑X storm sewer ❑ Curb/Gutter Drainage Appears adequate O Underground Elod. rt Tel. Sidewalk Street Li hts Is the properly located In a HUD Identified Special Flood Hazard Area? ❑X No Yes Comments (favorable or unfavorable Including any apparent adverse easements, encroachments or other adverse conx8norts): 7beie Wem no gipparent adVe= tasernelltS, encroadimmics. svedal assessments, Qr. slide areas the tinie of inspcctionwould negadvely affect VTQD= value- 1a of the subject is typical of the neighborhood. A title report was not provided as part of this assignmeriL The undersigned has recited three recent sales of properties most similar and praximete to subject and has considered these In the market analysis. The description Includes a dollar adjustment reflecting market reaction to those Items of significant variation between the subject and comparable properties. If a significant hem In the comparable property Is superior to or more favorable than the subject property, a minus (-) adjustment Is made thus reducing the Indicated value of subject; it a signkloant hem In The comparable Is Interior to or less favorable than the subject property, a plus (t) adjustment is made thus Increasing the Indicated value of the subject. SUBJECT PROPERTY COMPARABLE NO,i COMPARABLE NO.2 COMPARABLE NOA Address 183XX 80th Avenue West 7421 Meadowdale Beach (toad 156XX 72nd Avenue West 87XX Olympic View Drive Edmonds Edmonds Edmonds Edmonds Progmft to Subject >pa' ' ;'�M $ N/A 1 Mile Northeast 2 Miles North .5 Mile Northwest Ica Pace >`: : 96 550 8 000 ri Mxz €:n 80,000 Price fo S tiara o s N/A ^£ :s 3.96 >s�< Ylsi>. s 6.50 Ree#9607020177 Metro MLS aY •• .$ 2.40 a Oats Source Inspection,MetroScar Rec#9702240229 Metro MLS I Rec#9608090407 Metro NILS Date of Sale and DESCRIPTION DESCRIPTION I Allf m DESCRIPTION Ad —FM DESCRIPTION Adigl- Time Adjustment N/A February 24 1997 July 2, 1996 August9,1996 Location Averse Averaille Averse Average sltamew 28,750 SF/Terr 24,394 SFITerr 13,068 SF/Fair Snd Similar 33,302 SF*/Fair Snd -5 Utilities availabl Elect Water Sewer Elect Water Sewer Elect Water Sewer Elec Water Sewer Preliminary won None known To o Geo SuryPlan -IS None known None known Sales or Flnancfng N/A Cash Cash Cash Concessions NIA None noted None noted None noted Not A otal ,Ui <> .`>^s'" -''?'S'<': Pius X Minus $ -15 00 Pius minus s 0 Plus X Mfius $ -5 00 Indicated Value i u c .. C 82 W of Subject ..: ,..,, .... ,.....:. .. ....:......... <, ,.,:.: .. :.:: s 85,0 ...:...< .:s.,....�.. �t $ 75 000 Comments on Market Data The adjusted value for each of the corn arabtes have been rounded to the nearest $1000. The indicated sales date for each of the corn arables is the close of escrow date. *Site size of Comparable No. 3 is estimated by using MeuoScan's plat ma calculation section due to the lack of site size informadon.on Snohomish County records. This estimate does not refute an actual site survey, • Comments and Conditions of Appraisal: The subject is a raised "As Is" and is not subject to any repairs, alterations or further inspections. A title re rt was not furnished as part of this report. No pcmonal PrpPerLy was included in this valuation. Final Reconciliation: All Cnmpamblesare locate I within the su�jml'-q marketam and contain significant similarities to the Subi=Y1AdL2U= the determined market: value. Therefore. in j g the auljecfs market value by the Sales Comparison Ap=ach all sales z= considered ecivally. The indicated value = square foot reflects the marginal utility of each site; as the site size increases the value per so ft decreases. I ESTIMATE THE MARKET'�rALUE, AS DEFINED, OF SUBJ):�TPROPERTYAS OF March 10 19 97 to be $ 81,000 • Appralser(s) "!/ �' A �Revtew Appraiser (k applicable) H Kieneker7 Did Did Not PhysicaRy inspect Property MacAppralset- Real Estate Appraisal Software by Bradford and Robbins (800) 622-8727. EXHIBIT 3 Charles R. Maki 8235 Talbot Road Edmonds, Wa. 98026 December 18, 1997 Mr. Jeff Wilson Planning Department City of Edmonds 121- 5th Ave N. Edmonds, WA. 98020 Dear Mr. Wilson: The attached copy of the Conditional Sales Contract between the City of Edmonds and Dr. and Mrs. Han Park transfers the control of the property described in the contract to me for the purpose of applying to the City for a contract rezone and authorization to construct a planned residential development.. This control is transferred in paragraph eight granting Charles R. Maki power of attorney for this purpose. This document and this letter should complete the application for the contract rezone. If there is any other documents that are needed, please call me a 425-774-2717. Thank you for your help and consideration. Sincerely, /4 j 1142 Charles R. Maki Agent for Dr. and Mrs. Han Park FAX to Scott Snyder From Paul Mar Scott: I need you advice as how best to bring this Han park matter to an expeditious closure. All parties have concurred with the City's changes to the agreement. In talking to Chuck Maki, he would like to just have the parties initial the changes and then be done with this whole thing rather than going through the entire signing process again. To that end, Cindi Cruz had recreated pages of the agreement. There is a new page 1, new page 2, and a new page three. There is also a revised/modified page 3A. I have created initial blocks on the bottom of each of the noted pages for the parties to fill in. I've circled these so you can easily see them on the faxed copy. I would like your concurrence that this is legally appropriate so that we can bring agreement to Council within the next 30 days. Chuck has agreed to bird dog the initialing if you bless this approach. Please let me know ASAP. Thanks for your patience and help. Paul 2/17/99 57 F R-1,O) MAR-03-1997 16:47 QUANTUM APPRAISAL COMPANY 20S 74S 1216 P.O1 drafi 110tter agrowent March 3,1997 Mr. Henry L. MeneW Quartttmt appralsal company 521 ISM Pl. SW t ymwood WA WW17 Door Mr. Kionoker. This fetter Is to wnrrm your faxed proposal, died Psbruary 1 T, 1997, and serve ss our autfiorizWw to procead(uptm receipt of your sipnsture) with the apprasW essignmsm for the City-0wned property legally d*tWbsd as Admiralty Apes, BILK 001 D-00, Lot 12 for a In of PW. The purpO$S of this appraisal Is to astimots the marmot value of the subject propWs fse Wimple interest, The required time to complMs this asslgnmant is March 15, 1997. Three wpi s of the appraisal will be prcvi@d. The report and analysis w« meet or excesq tre appraisal roquiremants of the Uniform Standards of Professional Appraisal PraEtetice. Please provide the City with a list of need information In artlsr far your firms to =m*ety this sssignmwnt. If the Ww= of this agree mend we ecceptsbis, please sign both copies of this (suer and return om Tor our files. Sir>oereiy, Paul Mar Director TOTAL P.01 • FEE-21-1997 O9:32 QUANTUM APPRAISAL COMPANY 20G 745 121G P.O1 Quantum Appraisal Company 521 150th Place Southwest Lynnwood, 'VGA 98037 Phone (206) 742-2326 Fax (206) 745-1216 Date: ?—�z z 1 z � 7 - - From: ..� r. , Number of Pages (Including Cover Page): Metes: �DU — Please call if you do not receive all pages of this fax transmission. FEB-21-1997 09:32 GIURNTUM APPRAISAL COMPANY 206 745 1216 P.02 APPRAISAL FEE SCUEDULE SERVICES RENDERED SCHEDULED FEE Single Family Appraisals (FNNfA Form 1004) Base. Fee ...................................................... $400,000-$500,000, add . --• •--..................... ..... $1()0 Horne on "Horse Acre" to 5 acres, add ..................... . . . . ................... . ...$50 Mobile f Modular Homes, add ...................--................... •--................$50 Waterfront, Acreage in excess of 5 acres, $_500,0(X)+ .. -. . . . . ................. .Quoted RuralProperty ....................... .................................................. Quoted Condominium Appraisals (FNMA Form 1073) BaseFee:.............................................................. $4011 Watcrfrontor$200,000+,add ................................ ........................mo Multifamily Appraisals (2-4 Family -FNMA Form 1025) Base Fee .................. ....... .....:............................... $800 Operating Income Statement -------------------- .-------- ................................. $50 Other Services Drive By Appraisal (FHLMC Foam 704)...:...................- __......... $20U Re -inspection (FHLMC Form 442) ................... ...... $10() Re -certification of Value (records check & drive by) ............................. $150 Retype - Name Change (must comply with FIRREA) ... . ......................... $150 Rent Schedule (FNMA Form 1i1)7)........ . . . . . . . . . . . . . . ... . ...................... —$150 $150 Operating income Statement (FNMA Form 216) .. _ _ _ _ ......................... - - ... $50 PUT) Addendum (FIILMC Form 70) ............ . .. . ................... . ......... . . . . . $50 Construction Draw Inspection (Sin8le Property) ............................ . . .. . . . ..$7,5 Update Report (new data& cumparables)...................... .------------- ...• ..$300 Land Appraisal ........................................... -.......................Quoted Environmental Checklist.................................................••--------......$50 Review-USPAP Standard 3 - Desk... ................... 2 Review-USPAP Standard 3 - Field ................. .------------------------ .........$200 Review-USPAP Standard 1 - Field ------------------ -----------................... $300 "No Show"land trip access........................................................-----_$50 CANCELLATION FEE (After Inspection Only) ............................. . . .. . . $100 These appraisal fees are, not Lased on the value of the propeaty. The correlation between value and fees is a result of the estimated degree of additional work. s21 150th Place Southwest, Lynnwood, WA 98t137 Y Telephone: 206-742.2326 Facsimile: 206-745-1216 Residential and income Real Estaf0 Appraisal TOTAL P.02 FEB-21-1997 09:33 OLIANTLIM APPRAISAL COMPANY 206 745 1216 P.01 UA TUNi NE e« February 17, 1.997 Paul Mar City of Edmonds (206) 771-0221 Please add us to your small works roster. Attached is a fee schedule. Please call ilk you need additional information. P.el5v� rely, �Kiener WA270-1.7 KI-EN-EH-L328PP $21150th Place Southwest, Lynnwood, WA 95037 • Telephone: 206-742.1426 Facsist0a: 206.745-121E+ Rcojaenttal and income Real Evt6 t Appraisal TOTAL P.Oi HP-20-97 RRI 10:50 AM COLUMBIA FAY, idO, 2063648556 P. I COLUMBIA VALUATION GROUP, INC. - SEATYLE Real. Estate Appraisers and Consultants 17763 15th Avenue Northeast Seattle, 'WA 99155 Voice: 206-364.6580 Fax.4 206-364-8556 CONFIDENTIALITY NOTICE: TMS AUSSAGL I5 INTENDED ONLY FOR TIR USs of YME INVIVIVUAL OR Zr4-n `% �o W MCIi IT 10 AppR 18NED AND MAY CONTAIN IMPORMA77ON THAT IS PRIVXLZCSD CONRIDEN77A4 A.,4z) RnMPT FROM DISCLOSURE UNDER APPLICABLE LAW. 37 THE READER OF THIS MESSAGE IS NOT THE INTENDED RECIPIENT OY THE EMPLOYEE OR AGENT RESPONSIBLE FOR DELIVERING THI MESSAGE TO MG INTENDED RECIPIENT, YOU AIM EZREBY NOTII = TItAT ANY DI,sENWATION, DISTRrKMON, 0a COPYING OP TNX COMM16ZICATION IS STRICTLY PROHMMM. ip YOU HAVE RECEIVED TMS COMM KICATION IN ERROR, PLEASE NOTIFY US IMMEDIATELY BY TaamONE AT Moo x4. 3588. Phone: Total number of pages including this Cover sheet~ RECEIVER, P EASE FORWARD TO: �` Company-. d i WfollC.5 PAX NUMBER! �r%/'" Gt Z �• 1 COMMENTS: i Please direct any Communication regarding this transmission to the person listed below: SENDER:l I FC /�Ifi •v DONE : g� V ` DATE.- .2727411 C LU1b M VALUAT=gCROVP Itvc - 5EATTLB YAM" sgokae® yhkzu Valley Cow ar Aisne FEB-20-97 FR1 10:51 AM COLUMBIA FAX NO. 2063648556 F. 2 IVMCAuLIFFE & MCMAHON COLUMBIA VALUATION' GROUP, INC. -- SEATTLE Real Estate Appraisers rind Comic WL6 17763 15th Avenue NE Seattle, Washington 98155 206-364-8556 (Fax) 206-364-8560 Mr. Paul Mar Community Services Director City of Edmonds Civic Center Edmonds, WA 4$020 February 14, JR97 Ike: Limited Summary Appraisal, Unimproved Land, Edmunds, WA Dear Paul: Our firm can prepare a limited summary appraisal of the above referenced property within 4 weeks of your authorization to proceed, at a cost of $1,500. The report would meet or exceed the appraisal requireim?nts of the Uniform Stazidards of Professional Appraisal Practice for a limited summary appraisal report_ Three copies of the report will be provided. It is MY understanding that the property consists of an unimproved Wid parcel located in Edmonds, Washington. The function of the appraisal would be to estimate the market value of the fee simple estate of the real property appraised for a possible sale of the property. The following items axe needed, if availeable° 1. Legal de5cript'On of the Property, Including tine tam acLount tnvzr�.r(s). Z. A Cop y C� any leYSes tl �T tare r-iow or• Evill encumber the Vroperty- 3. A recent title report on the pro �erh,- 4. Level 1 environmental ,audit ofthe property. 5. Soils report on the site. 6. A letter of authorization and en-aSemcnt #rat you to prc}c��d. 7. A survey of the site. If the terms of this assignment are acceptable, please sign a cogy of thi3 letter and return it to me along with the requested information. lZe5pectfully Submitted, COLUMBIA VALUATION GROUP, INC. - SEATTLE Michael J_ McMahon, MAI Accepted by-: Paul Mar Date SEATTLI s TACOMA • Spo"NE Yh,KtF. 1 VALLLEY • COEUR o'ALENE COMMENT ADDENDUM rueNo-1967 H.W*W ]Latin . P "Address 18325 80th Avenue West MY Edmunds C.—ty Snnhnmiah st■1. WA zroco" 9R026 LeAdWo em Pacific Northwest Bank Address 6400 1961h Street Southwest, Lynnwood WA 98036 FUNCTION: The function of this appraisal report is to assist the underwriter in making a mortgage loan decision. HIGHEST AND BEST USE: In estimating the subject's Highest and Best Use as a single-family residence, it was determined that this use was: physically possible, legally permissible, economically feasible, and maximally productive. *The subject's lot is .76 of an acre, level parcel with RS-12000 zoning. Although the lot is large enough to be legally short platted, a soils report, location of current improvements, along with a conceptual layout that includes ingress and egress easements would be needed before the parcel could be considered for a shortplat. For these reasons, the subject's Highest an Best Use is residential with future potential for additional use. COST APPROACH: The estimated site value as shown in the Cost Approach area was derived through extraction and from similar vacant land sales in the area. Extraction involves calculating the total estimated new cost for the building (minus the total depreciation accrued), plus the site improvements, subtracted from the sales price. ' Comparable No. 1: This site contains 116,000 square feet. After deducting the depreciated value '.of the improvements, the indicated site value is $75,000 (R): Cdtnparable No. 2: This site contains 24,829 square feet. After deducting the depreciated value of the improvements, the indicated site value is $80,00D (R). Comparable No. 3: This site contains 8,568 square feet. After deducting the depreciated value of the improvements, the indicated site value is $72,OW (R). Land Sale No. 1 is the sale of tax #373100 2002 in the subjects subdivision. This property consists of 1.00 acre. 'Ile sale closed August 28, 1996 for $109,000 according to the listing agent. The subject's site contains 33,106 square feet. Comparable No. 1 is a smaller lot in a similar location and inferior utility. Comparable No. 2 is a smaller size lot in a similar location with an inferior utility. Comparable No. 3 is a smaller size lot in a similar location with an inferior utility and is not located on an arterial. Land Sale No. 1 is larger the subject and is located 2 miles east, it was given equal consideration in determining the subject's land value. The land value for the subject is estimated at $85,000. SALES COMPARISON (Scope): A thorough search was made to find the most comparable properties to the subject which have sold recently. The sources of information utilized include Northwest Multiple Listing Service's Moore Compass system, Transamerica Information Management Service's MetroScan system, county assessors records, and conversations with persons familiar with the local real estate market. The subject's market area was searched for similar style homes with a GLA within 400 square feet of the subject's. The comparables utilized in the report are the best market data available. Several adjustments were necessary to equate the difference in the comparable propenies, they are as follows: Standard adjustments are made at $500 per year for differences in effective age. Bathroom adjustments are made at $250 per quarter bathroom. Gross living area (GLA) adjustments are made at the market reflection of $20 per square foot for differences greater than 50 square feet and rounded to the nearest $100. Garage adjustments are made at $2,000 for difference in garage count. Report Comparable No. 1 is a similar style home that is located on a smaller size lot with an inferior utility. The adjustment for site is based on the extracted land values shown in the Cost Approach. The quality of construction and condition of this home are similar. However, it is a newer home with a lower effective age. Downward adjustments were made for superior bathroom count, larger GLA, larger total basement area, larger finished basement area and superior parking facilities. Report Comparable No. 2 is a similar style home that is located on a smaller size lot with an inferior utility. The adjustment for site is based on the extracted land values shown in the Cost Approach. The quality of construction and effective age of this home ate similar. Downward MecAPPteies- Reel EsWO AOWe11111 SonWM b) 6t9tl1oM AM HeOEIA MM 8222727. Pepe t of WA COMMENT ADDENDUM rn. N.. 1967 Borrower Hahn Property Addrow 18325 80th Avenue West cry Ends ____... County .Snohomish state_ _._._WA_ Zip Code 98026 f.andonCBont Pacific Northwest Barre Address 6400196th Street Southwest, Lynnwood, WA 98036 adjustments were made for superior condition, larger finished basement area, superior parking facilities, a deck and partial fence. An upward adjustment was made for lack of a fireplace. Report Comparable No. 3 is a similar style home that is located on a smaller size lot with an interior utility.The adjustments for site and location are based on the extracted land values shown in the Cost Approach. The quality of construction and condition of this home are similar. However, it is a newer home with a lower effective age. Downward adjustments were made for superior bathroom count, larger GLA, larger total basement area, larger finished basement area and superior parking facilities. FINAL RE-CONCIIIAnON. All comparables are located within the subject's market area and contain significant similarities to the subject which support the determined market value. Therefore, in deriving the subject's market value by the Sales Comparison Approach all sales were considered equally. MarAppralsel- Rear Eefate Apprefeal Software by Bradford and ReDWna (8W) 622.8727. Pape 2 or 2 JOINT VENTURE AGREEMENT TABLE OF CONTENTS Page RECITALS ......... NAME OF JOINT VENTURE ..................................................... 1 RELATIVE INTERESTS OF THE PARTIES ........................................... 2 REPRESENTATIVES........................................................... 2 MANAGEMENT 3 ACCOUNTS AND ACCOUNTING ................................................. 3 BID AND PROJECT BONDING ............................................... 3 INSURANCE 4 MONIES CONTRIBUTED AND RECEIVED 4 BANKRUPTCY OR DISSOLUTION 4 DETERMINATION OF COSTS .................................................... 5 ADJUSTMENTS OF ACCOUNTS 5 TERMINATION............................................................... 5 PROCEDURES UPON TERMINATION ............................................... 5 COUNTERPARTS............................................................. 6 INTEGRATION..................................:............................ 6 FINAL AGREEMENT...................................................:....... 6 GOVERNING LAW AND VENUE ................................................ 7 NOTICES ............. 7 JOINT VENTURE AGREEMENT THIS JOINT VENTURE AGREEMENT (the "Agreement") is made this day of , 19 , by and between Dr. and Mrs. Han Park (hereinafter 'Park"), and The City of Edmonds (hereinafter "City"), (hereinafter collectively referred to as the 'Parties" or the "Joint Venture"). RECITALS WHEREAS the Parties have agreed to establish a Joint Venture to develop specific real estate owned by the two Parties. This Agreement is contingent upon the Parties successfully applying to the City of Edmonds to obtain a contract rezone and obtaining authorization from the City to construct a planned residential development out.of the subject site. The real estate to be developed is as shown on the preliminary site plan which is enclosed and known as "Enclosure A". Enclosure A is hereby incorporated into this Agreement as if set forth herein. WHEREAS both Parties would contribute certain property which is owned by the respective parties and which lies within the boundaries as shown in Enclosure A; and WHEREAS the Park/Mithun contract for project site development will be assigned to the Joint Venture; and WHEREAS the Parties have agreed upon the terms of which are described herein; and WHEREAS the Parties to this Agreement desire that their respective interest in the services to be rendered; the work to be done under any construction engineering or design contract, the profits to be derived from and any losses arising out of the performance of the contract, as well as the allocation of certain expenses of the Joint Venture be defined in writing; and WHEREAS the Parties constitute themselves as Joint Venturers for the purpose of performance and completion of certain design, construction, and engineering activities necessary in the developing the subject property; and WHEREAS it is further understood that the Parties are not entering into any permanent partnership agreement or joint venture agreement to bid for or undertake any contracts other than this contract; and WHEREAS the Parties agree that nothing in this Agreement is to be construed as a limitation of the powers or rights of any party to the Agreement to carry on its separate business for its sole benefit except, however, that the parties shall cooperate with one another according to the terms and spirit of the Agreement and use their best efforts in completing this contract. NOW THEREFORE in consideration of the mutual covenants hereinafter set forth, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged by each party from the other, THE PARTIES HERETO AGREE AS FOLLOWS: I. PURPOSE AND NAME OF JOINT VENTURE The Parties hereby establish the Joint Venture for the sole purpose of performing the Work in accordance with the Agreement. The Joint Venture shall be formally known as Seaview Gardens. II. LIABILITIES The parties shall execute the Contract, with joint and several liability to each of them, and shall take such other steps as may be required to make the Contract a legal and binding agreement between the Parties. Each Joint Venturer agrees that it will execute any Contract containing agreed upon terms upon the presentation of the same for signature. III. INTERESTS OF THE PARTIES Subject to this Agreement, the Joint Venturers shall be entitled to share in the Net Income and will be obligated to pay out on any Net Losses that are incurred by the Joint Venture according to the relative proportions of their percentage ownership interests as set forth hereunder: THE FOLLOWING CALCULATIONS ARE NOT CURRENTLY ACCURATE AND MUST BE UPDATED FOLLOWING COMPLETION OF SURVEY. THIS FORMAT WILL CONTINUE TO BE USED BY THE PARTIES IN ASCERTAINING THE RELATIVE OWNERSHIP PERCENTAGES AS WELL AS RELATIVE LIABILITIES TO BE ASSUMED BY EACH JOINT VENTURE PARTY: PARK PROPERTY 212,165 Sq.Ft. OR 85.29% of the Total (Property owned by Dr. Park which is part of this project) CITY PROPERTY 36,600 Sq.Ft. OR 14.71% of the Total (Property owned by the City of Edmonds which is part of this project) TOTAL 248,765 Sq.Ft. OR 100% of the Total (hereinafter referred to as the "Percentage Interests"). Area needed for total right-of-way is 40,576 Sq.Ft. or 16.31% of the available land. Therefore the available square feet for 8,000 square foot Lots is 208,189 Sq.Ft or 83.69% of the total land. Park property available for Lots is 177,560 Sq.Ft. or 22.2 Lots of 8,000 Sq.Ft. each. City property available for Lots is 30,630 Sq.Ft. or 3.8 Lots of 8,000 Sq.Ft. each. Mr. Thompson will be asked to join the Venture and contribute that Lot known as Lot 13 to the Joint Venture. (See Exhibit "A".) If Mr. Thompson, Owner of Lot 13, were to join the Venture the logic as described above would apply and different percentages would apply. All expenditures authorized or approved for the performance of the Joint Venture's obligations shall be an expense or obligation of the Joint Venture. IV. ACCOUNTS No bank accounts will be set up; Current expenses will be paid out on as needed basis by Dr. Park. These expenses will be reimbursed subsequent to a final accounting being performed. V. MANAGEMENT OF THE JOINT VENTURE (a) The Joint Venturers hereby establish a Joint Venture management committee (the "Committee"). Each Joint Venturer shall designate one member to serve on the Committee. Either party may at any time change its representative on the Committee by sending to the other Joint Venturer written notice of the change. Until the filing of such notice, the actions of the representative shall be conclusively biding on each party. Each member shall be entitled to appoint an alternate to attend meetings in his/her absence. The quorum for any meeting of the Committee shall be one representative from each Party. The initial members of the Committee shall be: Park: Charles Maki City: Kirk Vinish (b) Each member of the Committee shall have full authority to act for and bind the Joint Venturer which he/she represents in any and all matters involving, and/or matters arising out of and/or relating to the duties and responsibilities described in this Agreement. The duties of the Committee will be to resolve any special problems which may arise from time to time in carrying out this Contract. The Committee shall have the power to consider and decide action to be taken to resolve such special problems. The decision of the Committee shall be final and binding on all matters. No representative or alternate shall be personally liable to the Parties by reason of their acts as such, except in the case of their gross negligence or actual fraudulent or dishonest conduct. (c) Decisions shall be taken by resolution with each member of the Committee having, a vote equal to his/her Party's Percentage Interest in the Joint Venture. Should it not prove possible to obtain a unanimous decision then the decision shall be taken by majority vote based on the Parties' Percentage Interest, except for certain major decisions, which shall at all times and in all respects require unanimous approval which shall include the following matters, .namely: (i) any amendment to, alteration and/or modification of this Joint Venture Agreement; the commencement, defense or and/or settlement of any lawsuit or claim by or against the Joint Venture greater than $25,000.00; the commencement of any action or claim against the client greater than $25,000.00; (iv) any variations to the Contract, by Change Order or otherwise, that results in a variation in Contract price in excess of one percent (1%) of the Contract value; (v) any matters affecting or relating to the Joint Venture's relationship with any labor union or labor group; and (vi) the determination of the Joint Venture's accounting methods and tax treatment, including, but not limited to, contributions of equipment and/or other assets and determining allocations of net income or net loss; (hereinafter referred to as the "Major Decisions"). Every decision of the Committee upon any of the matters within its powers shall be binding upon the Parties as if the same had been included in the provisions of this Agreement at the time of the execution hereof. (d) Meetings of the Committee may be called by any Joint Venturer on seventy-two (72) hours' notice (excluding weekends) provided in accordance with the notice provisions hereof. (e) Each member of the Committee shall be indemnified out of the funds of the Joint Venture against all liabilities suffered or incurred by him/her in the bona fide discharge of his/her duties as a member of the Committee. (f) Meeting minutes shall be prepared describing all business transacted at meetings of the Committee. The minutes shall be distributed in a timely manner to all Parties hereto for comment, correction and/or acceptance. (g) Matters which are routine in nature or which would ordinarily be considered to be of a "day-to-day" nature will be addressed by the Project Manager and/or Superintendent. VI. PROJECT MANAGER (a) The practical execution and carrying out of the Work shall be delegated to the Project Manager appointed by Park. The Project Manger may be removed or replaced at the advice of the Committee, if removal or replacement is deemed to be in the best interests of the Joint Venture. (b) The Project Manger shall be responsible for property executing and carrying out the Work in accordance with this Contract. The Project Manger shall not consent to any unauthorized alteration, extension and/or variation to or of the Work without the prior consent of the Committee. (c) The Project Manager shall be responsible to conduct all business affairs on behalf of the Joint Venture including, but not limited to, payment of wages and accounts, and furnishing statements and reports concerning the financial status of the Joint Venture and progress of the Work s required by the Committee. The Project Manger shall furnish each of the Parties with a monthly cost report and a monthly financial statement calculated on the percentages of completion basis and such other reports which may reasonably be required by either of the Parties. The Project Manger shall also arrange for an annual audit to be performed by an independent public accounting firm approved by the Committee. VII. RECORDS AND BOOKKEEPING (a) The Committee shall cause to be kept at a convenient place full and proper books of account and records relating to the Joint Venture and all matters covered by the Contract and this Joint Venture Agreement. (b) The said books and all document of records shall be available at all reasonable times for inspection by the Joint Venturers. (c) The fiscal year end for the Joint Venture shall be December 31, 1996. VIII. PROCEDURES AFTER COMPLETION OF WORK/TERMINATION OF CONTRACT (a) Within six (6) months after the completion of the Work or termination of the Contract, all plant, equipment, materials and other real or personal property acquired by the Joint Venturers for the purpose of the Joint Venture (other than plant and equipment hired to the Joint Venture by one of the Joint Venturers) shall, unless otherwise unanimously agreed to by the Parties, be sold by tender or auction. Any Joint Venturer may bid or tender for such equipment. With respect to equipment originally contributed by a Joint Venturer, that Joint Venturer shall have a right to first refusal to acquire such equipment at such price any third party is willing to pay for such equipment. The proceeds of such sale shall be paid to the credit of the bank account or accounts as aforesaid. (b) interim returns of working capital subscribed by the Joint Venturers, surplus funds for the time being in the control of the Joint Venture and distributions of profits shall be made at such time or times and in such manner as the Committee shall from time to times determine, provided always, however, that any interim payments shall be deemed to be provisional payments only and subject to adjustments at the time of the final statement of accounts of the Joint Venture. (c) The cost of independent audits and the keeping and maintaining of the books of account during the life of the Project shall be a part of the cost of the Joint Venture. To the extent that records must be kept subsequent to the completion, and acceptance by all the Parties, of the final accounting, such records shall be kept at such place as the Parties shall determine and the cost shall be borne by the Parties in accordance with the proportionate interests. (d) Cost incurred by any of the Parties hereto in performance of the Contract or while directly engage in the business of the Joint Venture shall be reimbursed to such Partyincurring such cost. As a principle andy costs reimbursed or otherwise paid shall be at reasonable market rates. Reimbursable costs shall be limited to: (1) the salary and applicable payroll burden of approved home office and field personnel, which are not carried on the Joint Venture payroll, for the period of direct involvement provided prior approval of the Committee has been received; (2) all reasonable costs of travel, lodging, food, subsistence and such related miscellaneous expenses in accordance with policies approved by the Committee; (3) compensation for services or equipment rental provided by any one of the Parties provided prior approval of the Committee has been recieved; and (4) such other costs as approved by the Committee. (e) Each Party shall submit to the Joint Venture, at least five (5) days before billing are to be submitted by the Joint Venture to the Client under the Contract, documentation approved by its designated representative, showing amounts due such Party for costs incurred to date. Said documentation shall be in form as to enable the Joint Venture, in all respects, to meet the billing requirements of the specifications of the Contract. IX. FINAL ACCOUNT OF THE JOINT VENTURE On completion of payment to the Joint Venturers by the Client of all monies due them under the Contract and on receipt of all the proceeds of the sale of plant, equipment, materials, and other real or personal property sold in accordance with the provisions of Clause 8, the Committee shall cause a final account or accounts to be prepared showing (after deduction of such management expenses of either Joint Venturer as shall have been mutually agreed in writing between them) the total net profit earned or loss incurred by them jointly in connection with the Joint Venture. Upon such account or accounts being agreed by both the Joint Venturers, such total net profit, if any, shall be divided between them in accordance with their Percentage Interests, and the said bank account or accounts shall be closed after any outstanding balance therein due to either Joint Venturer shall have been paid out of it. Nothing herein contained shall prevent the interim division of profits of between the Joint Venturers as unanimously determined by the Committee. X. SERVICES TO BE SUPPLIED BY THE PARTIES Each Party agrees that it shall supply and make available to the Joint Venture, to the extent such Party is capable of supplying and making available without jeopardizing or otherwise adversely affecting its performance on any other projects, such of its supervisory, managerial and/or other personnel as shall reasonably be required in order to successfully perform the Contract. Such individual(s) shall cooperate with and serve under the authority of the Project Manager. All costs of employment of such individuals shall be paid by the Joint Venture. The Joint Venture shall be liable for acts or omissions of such employees. It is anticipated that Park will be supplying project management necessary to oversee performance of the Work. Park's expenses will be credited at 120% of actual costs because of the cost of credit. It is also anticipated that the City will provided engineering, surveying, and planning development to the extent it is capable of performing such activities. The City will receive a credit of $70.00 per hour for its efforts XI. TERMINATION OF JOINT VENTURE (a) Each of the following circumstances shall constitute an "Event of Default" for purposes of this Agreement: (i) If Park shall: (1) admit in writing as to its inability to pay debts as they become due; (2) commence a case or file a Petition for liquidation, reorganization or an arrangement under the Federal Bankruptcy Code or to take advantage of any other insolvency act, state or federal; (3) make any assignment for the benefit of creditors; or (4) consent to the appointment of a receiver or other public administrator of itself or of the whole or any substantial part of its property. (ii) Any third party shall: (1) file an involuntary case or Petition requesting or any court shall enter an order, judgment or decree appointing, without consent of Park, as the case may be, a receiver or other public administrator of such corporation or of the whole or any substantial part of this property; or (2) file an involuntary case or Petition against Park seeking, or any court shall enter an order approving, liquidation, reorganization or arrangement of such corporation under the Federal Bankruptcy Code or any similar law or statute, state or federal, and such case, Petition, order, judgment, or decree as described in either Clause (i) or Clause (ii) above shall not be vacated, set aside or stayed within sixty (60) days from the date of entry thereof. (iii) Under the provisions of any other law for the relief or aid of debtors, any court of competent jurisdiction shall assume or confer upon a public officer or administrator custody or control shall not be terminated or stayed within sixty (60) days from the date of assumption of such custody or control. (iv) Under any provision of law, the registration or certificate of authority of Park to do business in any jurisdiction in which the nature of the business requires it to register and qualify to do business is suspended or revoked and such suspension or revocation is not terminated within sixty (60) days form the date of entry thereof and is effective to legally disable the venture from pursuing the activities comtemplated by this Agreement. (v) A Joint Venturer shall fial to make its required capital contributions prusuant to this Agreement. (vi) Any representation or warranty by any Party hereot set forth in Clause 21 hereof shall prove to be incorrect in any material respect as of the date of the Agreement. (vii) A Joint Venturer shall fail to make its member of the Committee available for consultation and transcatin of the Committee's business at any two connective regular or special meetings of the Committee duly called. (viii) A Joint Venturer shall have failed in any material respect to observe perform and comply with any material agreement, condition, or obligation required by this Agreement to be observed, performed or complied with by it. (b) Termination by Notice Upon Default Upon the occurrence of any Event of Default as defined in Clauses 12 (a)(i) through (viii) hereof, in respect of either Joint Venturer, or upon the occurance of an Event of Default as defined in Clauses 12 (a)(vi) through 12 (a)(ix) hereof, in respect of either Joint Venturer, and the continuance of such Event of Default for a period of thirty (30) days after writtne notice thereof from the non -defaulting Joint Venturer referring to this Clause 12(b) and specifying such Event of Default the Joint Venture shall thereupon cease and determine but without prejudice to the rights and liabilites of the Joint Venturers against or towards each other at the time of such determination. (c) After such determination, the other Joint Venturer (hereinafter referred to as teh "Continuing Party") shall have a right to: (i) wind up the affairs of the Joint Venture and carry on and complete the performance of the Contract without further participation by the Joint Venturer which is responsible for the default (hereinafter referred to as the "Defaulting Party"); operate said bank account or accounts alone and without reference to the Defaulting Party; and (iii) retain for the performance of the Contract all plant, equipment and materials purchased therefore and all assets owned by the Joint Venture or by the Defaulting Party, but in the possession of the Joint Venture at the time of determinatin, until the completion and handing over of the Work. The Defaulting Party shall executed all acts, documents and such things necessary or expedient to facititate the exercise of such rights. (d) Upon completion or earlier determination of all amounts due under the Contract, the Continuing Party shall account to the Defaulting Party, and the Defaulting Party shall be entitled to receive an amount equal to the sums provided by it towards the working capital of the Joint Venture plus it proportionate share of any profits earned to the date of termination of the Joint Venture. Such profit earned to the date of termination of the Joint Venture shall be in the same proportion to the whole profit as the amount of Work done under the Contract at such time, bears to the total of all the Work done when the Contract is completed or determined. The proportionate share of the Defaulting Party of the profit so computed shall be that referred to in Clause 3. (e) Any losses on the Contract in such final account shall be borne by the Parties in the proportions referred to in Clause 3 provided always that the Continuing Party shall be entitled to claim against the Defaulting Party the full amount of any additional expenses or losses suffered by the Continuing Party as a result of the liquidation or receivership and determination of the Joint Venture. The Continuing Party may deduct from the share or any profit on the Contract allocated tot he Defaulting Party the amount of such expenses, losses and damages. (f) In the event that the share of the losses chargeable to the Defaulting Party in liquidation or receivership exceeds the sums provided by the Defaulting Party towards the working capital of the Joint Venture, then the Defaulting Party shall promptly pay the excess to the Continuing Party. (g) The audited books of accounts of the Joint Venture shall be conclusive in establishing whether a profit has been realized or a loss sustained, the amount thereof and the proportionate amount of Work done as of any given date. VI. EFFECTIVE DATE This Agreement shall be deemed to be effective on , 19 , and it shall continue in effect until completion of all obligations under the Contract, including warranty obligations, and until payment is made to each Joint Venturers of all monies due 'to it under this Agreement. VII. AUTHORIZATION OF PLEDGE CREDIT Nothing in this Agreement or in the Contract shall authorize either of the Joint Venturers to pledge the credit of the other of them except insofar as that right may be expressly authorized herein. VIII. INDEMNIFICATION Each Party shall fully indemnify the other against all losses or damages suffered by the other by reason of the former Party's failure to strictly observe all its obligations and agreements hereunder, under the Contract or in accordance of this Joint Venture Agreement. IX. GOVERNING LAW (a) This Agreement shall be governed by and construed in accordance with the laws of the State of Washington. (b) Any controversy or claim arising out of or relating to this Agreement of the breach or interpretation hereof which cannot be resolved in accordance with the terms hereof, shall be settled by the filing of an action in Snohomish County Superior Court. No litigation arising out of or relating to this Joint Venture Agreement shall include, by consolidation, joinder or in any other manner, any additional person not a party to this Joint Venture Agreement except by written consent containing a specific reference to this Joint Venture Agreement and signed by the Parties hereto and any other person sought to be joined. X. EXCLUSIVITY (a) It being acknowledged that each Party is entering into this Agreement in reliance upon the other Party being and remaining a Party to this Agreement, no Party may assign, transfer, pledge and/or hypothecate its interest, or any Party thereof, under this Joint Venture or under the Contract or its interest in any property or monies of this Joint Venture except with prior written consent of the other Party and upon such terms as they may reasonably require. (b) Subject to the foregoing provisions, this Agreement shall inure to the benefit of and be binding upon the Parties thereto, their successors, permitted assigns, and legal representatives. XI. DISSOLUTION (a) If dissolution of the Joint Venture is caused by an event described herein, or if a dissolution is caused by any other event, then the Parties shall proceed with the liquidation of the Joint Venture. "Liquidation " means with respect to the Joint Venture, the earlier of the date upon which the Joint Venture is terminated under Section 708 (b)(1) of the Internal Revenue Code or the date upon which the Joint Venture ceases to be a going concern (even though it may continue to existence for the purpose of winding up its affairs, paying its debts and distributing any remaining balances to the Joint Venturers), and with respect to the Joint Venturer when the Joint Venture is not in Liquidation means the liquidation of a Joint Venturer's interest in the Joint Venture under Treasury Regulation Section 1.76-1(d). During such winding up process, the tax items, net income, net losses and cash flow distributions shall continue to be shared by the Joint Venturers in accordance with this Agreement. The assets shall be liquidates as promptly as consistent with obtaining a fair value therefor,and the proceeds therefrom, to the extent available, and shall be applied and distributed by the Joint Venturer on or before the end of the taxable year of such Liquidation, or if later, within ninety (90) days after such Liquidation, in the following order: (i) First, to creditors in the order of priority as provided by law; (ii) Second,to the setting up of any reserves with the Parties, in their reasonable discretion, may deem necessary for an contingent or unforeseen liabilities or obligations of the Joint Venture. After passage of a reasonable time and payment of any contingencies arising in that time, any remaining reserves shall be distributed to the Joint Venturers in the manner provided by Clause 19 (a)(iii) through (iv); (iii) Third, to repayment of any losses made to the Joint Venture by the Joint Venturers . which remain outstanding after dissolution of the Joint Venture; (iv) Fourth, to payment of the Joint Venturers of their share of Liquidating Distributions as determined in Clause 3 which is in excess of capital contributions made by the Joint Venturers. "Liquidating Distribution" means a distribution of cash flow or other property to the Joint Venturers occurring upon the earlier of the date upon which there is a Liquidation of the Joint Venture, or the date upon which there is a Liquidation of the Joint Venturer's interest in the Joint Venture under Treasury Regulations; and (v) Fifth, to the Joint Venturers of the remaining balance of its Liquidating Distributions. (b) Upon the Liquidation of the Joint Venturer's interest in the Joint Venture, Liquidating Distributions to such Joint Venturer shall be in an amount equal to the positive balance in the Joint Venturer's capital account, as determined after taking into account all capital account adjustments for the Joint Venture taxable year during which such Liquidation occurs, and shall be made by the end of such taxable year (or, if later, within ninety (90) days after the date of such Liquidation). (c) Upon the dissolution or Liquidation of the Joint Venture, or upon the Liquidation of the Joint Venturer's interest in the Joint Venture, and if there shall then be a deficit balance in the Joint Venturer's capital account, the Joint Venturer shall contribute to the Joint Venture an amount equal to the difference between the deficit balance of its capital account, provided however, that any such contribution shall be used to pay obligations of the Joint Venture for which the Joint Venturer has personal liability, to the extent that any such obligation exist. (d) If a Joint Venturer is liable for any Recourse Debt and such Joint Venturer is called upon to mae payment because the Joint Venture fails to repay this Recourse Debt, the Joint Venturer shall contribute the necessary funds to the Joint Venture as an additional capital contribution. Upon receipt of the Joint Venturer's payment on the Recourse Debt, the Joint Venture shall pay the amount contributed to the creditor for whose benefit the Joint Venturer's payment was given in satisfaction of the obligations of the Joint Venturer on the Recourse Debt. "Recourse Debt" means the debt of the Joint Venture or any portion thereof, which any Joint Venturer has guaranteed or is otherwise secondarily liable for ad which is secured by the real or personal property of the Joint Venture. XII. ADDRESSES be: For the purposes of this Agreement, the respective addresses of the Parties for notices shall To Park: Mr. Charles Maki Edmonds, WA 98020 Fax: (206) To City of Edmonds: City of Edmonds Attn: Mr. Paul Mar Edmonds, WA 98020 Fax: (206) Either Party may change its above address for service by written notice to the other Party. XIII. WARRANTIES Each Joint Venturer hereto represents and warrants to each other that: (a) The execution, delivery, and performance of this Agreement by each Party has been authorized by all requisite corporate action and this Agreement is valid and legally binding. (b) There is no action, suit, proceeding or investigation pending, at law or in equity, or before any court or any Federal, State, Municipal or other Governmental department, commission, board, bureau, agency of instrumentality, nor to the knowledge of the Joint Venturer has any such action, suit, proceeding,or investigation been threatened against it, nor has such Party received an adverse decision from any court or any Federal, State, Municipal or other Governmental Department, commission, board, bureau, agency or instrumentality which might materially affect its ability to perform its obligations under this Agreement. (d) It is not in violation of or in default with respect to any termor provision of its Articles of Incorporation or Bylaws or of any mortgage, indenture, contract, agreement or instrument applicable to it or by which it is bound which materially affects the execution, delivery and performance of, and compliance with, this Agreement will not result in any such violation or be in conflict with or constitute a default under any such term or provision, or result in the creation of any mortgage, lien or charge on any of its properties or assets not contemplated by this Agreement, and there is no term of its Articles of Incorporation or Bylaws or any mortgage, indenture, contract, agreement or instrument applicable to it, or by which it is bound, which materially adversely affects its business or prospects or conditions (financial or other) or any of its properties or assets. XIV. INTEGRATION This Agreement may be modified, altered or amended only by a writing signed by each of the Parties and duly notarized. Waiver of any term or provision in this Agreement by any Party shall not be considered a waiver of any other term or provision of this Agreement or breach of this Agreement regardless of the nature of such subsequent event or breach. This Agreement shall be interpreted as the final written agreement of the Parties. It is agreed and understood that all prior conversations, discussions, letters, and agreements have been merged into this Agreement and that this written Agreement constitutes the Final Agreement between the Parties, notwithstanding any prior oral or written understanding to the contrary. IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above -written. Dr. and Mrs. Han Park City of Edmonds By Charles Maki, Project Manager Its By Paul Mar, Its STATE OF WASHINGTON ) ) ss. COUNTY OF SNOHOMISH ) On this day of , 1996, before me, the undersigned, a Notary Public in and for the State of Washington, duly commissioned and sworn, personally appeared CHARLES MAKI, to me known to be the Representative of Dr. and Mrs. Han Park, the Parties that executed the within and foregoing instrument, and acknowledged the said instrument to be the free and voluntary act and deed of said Parties, for the uses and purposes therein mentioned, and on oath stated that he is authorized to execute the said instrument. WITNESS my hand and official seal hereto affixed the day and year above written. Notary Public in and for the State of Washington, residing at My commission expires: Type or Print Name Above STATE OF WASHINGTON ) ) ss. COUNTY OF SNOHOMISH ) On this day of , 1996, before me, the undersigned, a Notary Public in and for the State of Washington, duly commissioned and sworn, personally appeared to me, PAUL MAR, known to be the Representative of the City of Edmonds, the Party that executed the within and foregoing instrument, and acknowledged the said instrument to be the free and voluntary act and deed of said Party, for the uses and purposes therein mentioned, and on oath stated that he is authorized to execute the said instrument. WITNESS my hand and official seal hereto affixed the day and year above written. Notary Public in and for the State of residing at My commission expires: Type or Print Name Above JOINTNEN Paul Mar From: Kirk Vinish To: Paul Mar Subject: Maki Project Date: Monday, October 14, 1996 12:34PM Priority: High Paul, Mr. Maki called me this morning with several questions related to the joint venture. 1) At what point in the process will the City need to be reimbursed for City staff time? 01 � Can we wait until homes begin to sell? Should they send a check to the City? (or should that money be earmarked for being returned to Community Services, etc.?) 2) How will the City go about selling the property? Can the property be treated like the Park property, or do we need to surplus it? Mr. Maki needs this information before he can go to his attorney and create a contract. I also have a couple of questions: Do you want me to start tracking my time on this project? I was thinking of pulling together a project timeline in MS Project, is that ok? Thanks! Page 1 rl Jh� IIwIL rj,,T,� RECEIVED n U ON 10 1996 COMMUNITY SERVICES MEMORANDUM DIRECTOR Date: October 3, 1996 To: Paul Mar, Community Services Director From: Barb Fahey, Mayor ,�ol Subject: RIGHT OF WAY FOR DR. PARK On September 3, 1996, the Edmonds City Council granted applicant Dr. Han Park two street vacations(File # ST96-77 and #96-78) and reviewed conditions for realignment of a proposed future right-of-way(ROW) connection between 80th Ave. W. and Olympic View Drive in the vicinity of 184th Ave. W. In order for the applicant to complete the development plans, use of City -owned property(in addition to City owned ROW) may have to be included as part of the project. I am assigning you the role of the City's lead spokesperson in working with Dr. Park and/or his representatives to cooperatively develop a mutually satisfactory functional and economic solution for the future right-of-way and best use of the City -owned property. When you and the applicant have arrived at the solution, this should be brought forward to the City via the appropriate permit application process, including all proper notifications. To avoid any appearance of prejudgment of the issues, all communication between you and me or the City Council on this topic should be in writing, subject to prior review by the City Attorney. BF/PM/dm City Attorney WinWord6\CS96\ParkROW City of Edmonds cQ Mayor's Office Economic Feasibility Analysis of Park/City Joint Venture 10/15/96 Property address 7704 Olympic View Drive+++ total park city thompson Land area Lot 9(square feet) 47,000 47,000 Lot 10(square feet) 24,500 24,500 Lot 106(square feet) 105,000 105,000 Lot 11(square feet) 33,106 33,106 Lot 12(square feet) 28,750 28,750 Lot 13(square feet) 28,750 28,750 total gross land area(sq ft) 267,106 209,606 28,750 28,760 less: area for ROW 41,000 32,174 4,413 4,413 row as % of total 15.3% 15.3% 15.3% 15.3% total developable area 226,106 177,432 24,337 24,337 226,106 current zoning IRS 8,000 maximum units 28.3 22.2 3.0 3.0 Development cost analysis $2,060,649 net return for land value $1,954,146 $1,533,476 $210,335 $210,335 net return per sq ft of land $7.32 $7.32 $7.32 1 $7.32 Economic Feasibility Analysis of Park/City Joint Venture 10/15/96 Property address 7704 Olympic View Drive+++ Development cost analysis: # unit unit cost total cost comments planning and design costs: conceptual planning 1 LS $21,910.00 $21,910 cwmdwinmkm legal fees 50 hours $75.00 $3,750 Triad cwtraded by Maki specialized enginering studies 1 LS $20,000.00 $20,000 ifneeded $0 $0 park's markup of espenses 20% percent $45,660.00 $9,132 eostofparksc a city staff effort 248 hours $60.00 $14,880 statfsh%Mkmpfimcar&stadingomfg/1M $0 $0 total planning and design costs $69,672 site development costs demolish existing buildings 2,000 sf $3.00 $6,000 aretherem? dispose existing bldgs 1,000 cy $20.00 $20,000 ROW grading 19,500 cy $15.00 $292,500 maft 9 from one part of sic to awfim ROW construction 41,000 sf $15.00 $615,000 cost ofbuAWthe road site grading 226,106 sf $1.00 $226,106 ra* ra&gasrequed site development 226,106 sf $3.50 $791,371 fwd work to mate &N"a* kts stormwater requirment 1 LS $10,000.00 $10,000 to meet DOE mandates off iste utility requirements 100.00% LS $30,000.00 $30,000 required to make the development work total site development cost $1,990,977 total development costs $2,060,649 Economic Analysis: Total gross revenue from sales 28 units $150,000.00 $4,239,488 less selling/holding costs 5.30% percent sales price ($224,693) less development costs 1 LS ($2,060,649) net return for land value $1,954,146 City's Level of Effort for Park/City Joint Venture 10/15/96 staff contact(hours) task* Mar Walker Chrisman Hyde Chave Vinish total SEPA preparation 2 0 4 4 2 20 32 CADD coordination 0 4 40 0 0 0 44 surveys 0 4 40 0 0 0 44 road design 8 20 10 40 0 0 78 project mgmt/coordiantion 30 10 0 0 10 0 50 0 0 0 0 0 0 total 40 38 94 44 12 20 248 *note: Cit 's normal permit review effortts are NOT part of this matrix. MITHUN P A R T N E R S September 27,1996 Dr. Han Park, c/o Chuck Maki Edmonds Bay Venture, Inc. 8235 Talbot Road Edmonds, WA 98026 Re: Proposal for Professional Planning Services Olympic View Property, Edmonds, Washington MPI Job No. 96283 Dear Dr. Park: E�RC98VED Q C T 0 9 1996 MMIT COUNTER Mithun Partners is pleased to submit this proposal to perform professional planning services for the Olympic View property in Edmonds. As you know, we met with Dennis Parker, Chuck Maki and Kirk Vinnish (City of Edmonds) to discuss the property, and we visited the site. Needless to say, it is an exceptional property with some wonderful opportunities, as well as significant constraints. We look forward to providing a site plan which is respectful of the existing neighborhoods and desired circulation patterns, as well as the site's topography and vegetation. We also look forward to providing the density and product which makes this a worthwhile project for your investment. It is our understanding that Chuck Maki will be the project manager. To maximize efficiency and minimize confusion, all project information and requests will be made through Mr. Maki by Mithun Partners. To prepare such a plan, we propose the following scope of work: Phase 1- Data Collection ■ Initial project meeting - Meet with project team to collect information developed since the first site visit, clarify project goals, outline team responsibilities and schedules, and clarify the development program for the project. It is our understanding that the City of Edmonds will be the project engineer. ■ City of Edmonds Code and Project Data analysis - Review the Edmonds Code for submittal requirements and compare that with the data collected. If additional data is required, requests will be made through the project manager. Analyze data and place crucial information on a CADD base map to be provided by the project engineer. ARCHITECTURE P L ANN ING & INTERIOR DESIGN 414 OLIVE WAY S U I T E 5 0 0 SEATTLE WA 98101 ( 2 0 6 ) 623 3344 FAX (206) 623 7005 MITHUN PARTNERS. INC. Dr. Han Park PROPOSAL Edmonds Building Company September 27,1996 Page 2 ■ Phase 2 - Conceptual Design ■ Architecture - Develop conceptual architectural footprints which will fulfill the program for the target market, relate appropriately to the topography, and best meet the density goals of the site. We anticipate developing three (3) footprints which will work with the topography - uphill unit, downhill unit, and flat unit. Develop conceptual elevations for the homes. ■ Planning - In concert with the development of the conceptual architectural footprints, conceptual site plans will be developed which explore various development techniques. These hand drawn site plans will include data such as roads, lot lines, pedestrian circulation, greenbelts, anticipated water retention areas, critical dimensions and a development summary. We anticipate 2-3 different conceptual site plans will be developed. ■ Present to project team for review and comment. Phase 3 - Revised Plan ■ Revised Site Plan and Architecture - To be developed from the comments received by the team regarding the conceptual plans. The site plan will be a refined version developed from the best portions of the conceptual plans and from comments received from the project team. This plan will contain the same information as the conceptual plans, and will be drawn on CADD for a greater degree of accuracy on the plan. Prepare a conceptual grading plan for the plan. Hand drawn conceptual architectural footprints and elevations will be modified per team comments. ■ Distribute - To Project Team for comment. ■ (1) Pre -application meeting with the City of Edmonds to discuss the plan. ■ Revise plan as necessary from the comments received by the team, the City, and the neighborhood. ■ Prepare colored site plan and architectural elevations for presentation. Phase 4 - Submittal to the City of Edmonds ■ A PRD/Preliminary Plat submittal will be made to the City of Edmonds. Mithun Partners will transfer the site plan on CADD disc to the City of Edmonds Engineering Department, which will formalize the plan to City of Edmonds Plat standards. ■ SEPA documentation will be prepared by the City of Edmonds, with input relating to site planning and architecture provide by Mithun Partners. ■ The project manager will prepare formal submittal documentation and applications. ■ Mithun Partners will prepare Building Elevations, a materials and color board, and project description. ■ (1) Architectural Review Board Meeting ■ (1) Hearing Examiners Meeting ■ (1) City Council Meeting Dr. Han Park PROPOSAL Edmonds Building Company September 27,1996 Page 3 FEES Services shall be performed on an hourly fee basis with the following estimates to be used for your budgeting purposes only. The estimated fees of the above services do not include reimbursable expenses, meetings other than those listed in the Scope of Work. Phase I Data Collection $2,800 (13%) Phase II Conceptual Design $5,640 (26%) Phase III Revised Plans $7,130 (33%) Phase IV Submittal to City $6,330 (28%) Total Estimate of Fees for phases I -IV $21,910 (100%) Thank you for the opportunity to submit this proposal for site planning and architectural services for your property in Edmonds. If this proposal meets with your approval, please sign and return one copy which will be our authorization to proceed. We look forward to producing a quality, highly marketable and cost effective project. If you have any questions, please do not hesitate to call Sin rel , William H. Kreager, AIA, MIRM / Managing Principal jrBryon er Associate %283-Proposa1s-Park-W K-BZ-pm Approved and Accepted By. - Dr. Han Park Owner Date: JOINT VENTURE MEMO Date: 9118/96 To: KIRK VINISH From: CHUCK MAKI Subject: PROPOSAL FOR A CONTRACT REZONE AND PRD JOINT VENTURE THE FOLLOWING IS A DRAFT OF A PROPOSAL OF A JOINT VENTURE BETWEEN THE CITY OF EDMONDS AND DR. AND MRS. HAN PARK TO DEVELOP SPECIFIC REAL ESTATE OWNED BY THE TWO PARTIES. THE PARTIES WOULD JOINTLY APPLY TO THE CITY OF EDMONDS FOR A CONTRACT REZONE AND A PLANNED RESIDENTIAL DEVELOPMENT. BOTH PARTIES WOULD CONTRIBUTE PROPERTY AND DEVELOPMENT WORK, EITHER BY USING THEIR OWN STAFF OR HIRED OUTSIDE VENDERS, AND PARTICIPATE IN THE PROFITS OF THE PROJECT ON A FORMULA BASIS. THE FORMULA IS ARRIVED AT BY THE FOLLOWING METHOD ( THE FOLLOWING CALCULATIONS ARE NOT ACCURATE AND MUST BE DONE BY THE SURVEY TEAM BUT ARE CLOSE AND WILL DEMONSTRATE THE FORMULA) PARK PROPERTY 212165SQ.FT. OR 85.29% OF THE TOTAL CITY PROPERTY 36600SQ.FT. OR 14.71% OF THE TOTAL TOTAL 248765SQ.FT. OR 100% OF THE TOTAL AREA NEEDED FOR TOTAL RIGHT-OF-WAY IS 40576SQFT. OR 16.31% OF THE AVAILABLE LAND. THEREFOR THE AVAILABLE SQ.FT. FOR 8000SQ.FT. LOTS IS 208189SQ.FT. OiR 83.69% OF THE TOTAL LAND. PARK PROPERTY AVAILABLE FOR LOTS IS 177560SQ.FT. OR 22.2 LOTS OF 8000 SQ.FT EACH CITY PROPERTY AVAILABLE FOR LOTS IS 30630SQ.FT OR 3.8 LOTS OF 8000 SQ.FT. EACH. IF MR. THOMPSON, OWNER OF LOT 13 WERE TO JOIN THE VENTURE, OR 6F LOT 12 WERE PURCHASED BY SOMEONE OTHER THAN PARK, THE SAME LOGIC WOULD APPLY FOR A NEW FORMULA. THE CITY WILL PROVIDE ENGINEERING, SURVEYING, AND PLANNING/DEVELOPMENT AS TH&RE ABLE AND WILL BE CREDITED AT A RATE OF $50 PER HOUR. PARK EXPENSES WILL BE CREDITED AT 120% OF ACTUAL COSTS BECAUSE OF THE COST OF CREDIT. memorandum of understanding/intent to Mr. Charles Maki The goal of this memorandum is to review conditions for a realignment of the proposed future right-of-way(ROW) connection between 80th Ave. W. and Olympic View Drive in the vicinity of 184th Ave. SW and clarify related ROW issues. 1. The City would vacate the entire 20 foot ROW of 184th St. SW between 80th Ave. W. and.Olympic View Drive. 2. The City will retain an utility easement along the entire length of the vacated 20 foot ROW on 184th St. SW between 80th Ave. W. and Olympic View Drive. 3. The City would vacate the 10720' ROW along the eastern boundary of Lots 9 and 10 adjacent to Olympic View Drive. 4. The owner of Lot 11 would dedicate an appropriate ROW on its northern boundary for a portion of a future road that would connect 80th Ave. W. with Olympic View Drive. 5. The City would dedicate an appropriate ROW on the southern boundary of Lot 12 for a portion of a future road that would connect 80th Ave. W. with Olympic View Drive. 6. The owner of Lots 9 and 10 would be responsible for building a road from Olympic View Drive to their western boundary that meets "City and County Design Standards" and connects to the road from Lots 11 /12. 7. The owner of Lot 11 would be responsible for building a road from 80th Ave. W. to the eastern boundary that meets "City and County Design Standards" and connects to the road from Lots 9/10. 8. Exact location of the road that would connect 80th Ave. W. with Olympic View Drive will be determined in the future with joint agreement by the owners of Lots 9, 10, 11 and 12, upon completion of appropriate engineering studies. *-------------------------- : MetroScan/Snohomish :--------------------------- * Owner :SMITH EARL RTSQ :04E-27N-18-NE CoOwner APN:3708 001 011 00 04 Site Addr:18325 BOTH AVE W EDMONDS 98026 Struct:$82,800 Mail Addr:18325 80TH AVE W EDMONDS WA 98026 Land :$78 000 Rec Date :10/00/69 Deed :WARRANTY Total : 160,800 Price :$25,000 Loan LevyCd:00217 Aud Fee #: Ln Amt: 1996Tx:$1,828.42 ActualUse: Lender: Phone :206-774-1652 Vest Type: IntTyp: %Owned: Bldg Name: -- Census -- Land Use :11101 RES,SGL FAMILY RES,DETACHED,1 UNIT Tract :503.00 NbrhdCode:520 Block :2 Zoning :RS-12000 ZoningRest: Easement:YES Sub/Plat :ADMIRALTY ACRES Vol:12 Page:48 Legal :BLK 001 D-00 LOT 11 .......... ........ Bedrooms :3 Bldg SF:2,632 ........ LotAcre:.76 ......... Year B1t:1959 Bath F3H :3 / / 1st SF :1,316 Lot SF :33,106 EffYrBlt: Stories :1 2nd SF : Heating:FORCED B1dgGrad:AVG Fireplace:2 3rd SF : Roof :COMPOSITIONB1dgCond:AVG Spa 4th SF : View WaterSrc:PUBLIC Units -:1 BsmntSF:1,316 WtFront: Sewer :SEWER *-------------------------- : MetroScan/Snohomish :-------------------- Owner :THOMPSON JAMES L RTSQ :04E-27N-18-NE CoOwner APN:3708 001 013 00 02 Site Addr:18305 80TH AVE W EDMONDS 98026 Struct:$105,400 Mail Addr:18305 BOTH AVE W EDMONDS WA 98026 Land :$65,000 Rec Date Deed Total 170,400 Price Loan LevyCd:00217 Aud Fee #: Ln Amt: 1996Tx:$1,204.86 ActualUse: Lender: Phone :206-776-1987 Vest Type: IntTyp: %Owned: Bldg Name: -- Census -- Land Use :11101 RES,SGL FAMILY RES,DETACHED,1 UNIT Tract :503.00 NbrhdCode:520 Block :2 Zoning :RS-12000 ZoningRest: Easement: Sub/Plat :ADMIRALTY ACRES Vol:12 Page:48 Legal :BLK 001 D-00 - LOT 13 .......... ........ Bedrooms :3 Bldg SF:2,654 ........ LotAcre:.66 ......... Year B1t:1966 Bath F3H :2 / / 1st SF :1,574 Lot SF :28,750 EffYrBlt: Stories :1 2nd SF : Heating:RADIANT B1dgGrad:AVG Fireplace:2 3rd SF : Roof :COMPOSITIONB1dgCond:GOOD Spa 4th SF : View WaterSrc:PUBLIC Units :1 BsmntSF:1,080 WtFront: Sewer :SEWER The Information Provided Is Deemed Reliable, But Is Not Guaranteed. *-------------------------- : MetroScan/Snohomish :--------------------------- * Owner :EDMONDS CITY OF CoOwner . Site Addr:*NO SITE ADDRESS* Mail Addr:250 5TH AVE N EDMONDS WA 98020 Rec Date Deed . Price Loan . Aud Fee #: Ln Amt: ActualUse: Lender: Vest Type: IntTyp: Bldg Name: Land Use :91000 VACANT,UNDEVELOPED,UNUSED LAND NbrhdCode:520 Zoning :RS-12000 ZoningRest: Sub/Plat :ADMIRALTY ACRES Legal :BLK 001 D-00 - LOT 12 RTSQ :04E-27N-18-NE APN:3708 001 012 00 03 Struct: Land Total LevyCd:00217 1996Tx: Phone :206-771-0220 %Owned: -- Census -- Tract Block Easement: V01:12 Page:48 .......... Bedrooms ........ Bldg SF: ........ LotAcre:.66 ......... Year Blt: Bath F3H / / 1st SF : Lot SF :28,750 EffYrBlt: Stories 2nd SF : Heating: B1dgGrad: Fireplace: 3rd SF : Roof B1dgCond: Spa 4th SF : View WaterSrc:PUBLIC Units BsmntSF: WtFront: Sewer :SEWER The Information Provided Is Deemed Reliable, But Is Not Guaranteed. - ------ ol fir- �� 12 i-'o �`,-'4".'L �.,�► r. I I I I 2 3 vim---------------L—� _Ii2Z PLACES .,\ 4 I --------r-------r---;` 1 I I E D IM O N D IS S E Al ir'9 EWe1P T R A C T S I I 185th PLACE S.W. zz ! v I —-- I i 2e zs i 24 i 23 t la F_--1----T-----�_.--'�---------- I zi I IP I L----------- ----- ------ L------------ ----------------------------- _ _ _ _ teeth STtEET S.w. I - a 4 _ �a PLANNED RESIDENTIAL COMMUNITY PRELIMINARY SITE PLAN requesting VACATION of UNOPENED R/W of a portion of 184th STREET SW EDMONDS, WASHINGTON ..w..�e.um ,,. „�„�, ,r.� OWNER - DR. HAN PARK 7704 OLYMPIC VIEW DRIVE EDMONDS, WASHINGTON 98026 �� WATER - SEWER FUND SALARIES Labor 95,563.50 Office of the City Engineer ('/s) 6,720.00 Employee Benefits Employee Benefits - Engineers Office (pa) Contractual Services - office Machines Contractual Services - Engineering I ar for Pumps Plater Purchased Materials & Supplies - Office Materials & Supplies Engineers Office (Y3) Disposal Plant Expense --Fxcise Tay; jity Tax Mtlk. Sewage Pump Charge Equipment Pool Rental Supt. Expense Insurance Auditing New Shop & Equipment Plater Mains, Tanks, Storage, Equipment, etc. Anticipated L.I.D. Assessment Engineers Office (Ja) TRANSFER TO BOND MD TOTAL EXPENDITLRES FIATER DEPARTMENT RECEIPTS MAINTENANCE CAPITAL TOTAL & OPERATION OUTLAY 95,563.50 6,720.00 9,072.24 9,072.24 6o4.8o 604.80 295.00 295.00 2,500.00 2,500.00 3,750.00 3,750.00 178,87o.00 178,870.00 5,500.00 5,500.00 20,000.00 20,000.00 466.66 466.66 22,000.00 22,000.00 7,450.00 7,450.00 7,750.00 7,750.00 7,000.00 7,000.00 15,000.00 15,000.00 150.00 150.00 918.0o 918.00 1,000.00 1,000.00 45,000.00 45,000.00 60,462.67 6o,462.67 800.00 800.00 1,308.33 1,308.33 $102,283.50 $282,326.70 $102,283.50 $282,326.7o $107,571.00 $492,181.20 57,568.80 $107,571.00 $549,750.00 Cash on hand 1-1-66 78,00o.0o Plater Service, Meters, etc. 268,000.00 Sewer Service Charge 112,000.00 Metro Contract (Mountlake) 29,000.00 Hydrant Rental (500 @ $5.00) 2,500.00 Permits & Licenses (Septic Tanks) 3,800.00 Sewer Connections & Miscellaneous 33,000.00 Sale of Property 17,250.00 wilding Rent (Street Dept.) 4,200.00 TOTAL RECEIPTS $549,750.00 CL c CD CD cn o z �o o 'm. C � C d y c CD A. Introduction 1. Applicant: Charles Maki 2. Case No. ST 96-77 ST 96-78 3. Location: 7704 Olympic View Drive 4. Application: as outlined in the official agenda 5. Amended application: Address the recommendations of the Hearing Examiner and the neighborhood concerns. 6. Major issues: a. Remove from the Official Street Map the proposed 60 foot right-of-way between Olympic View Drive and 80th Avenue West. (colored yellow on the attached map) b. Remove from the Official Street Map and vacate the unopened 184th Street Southwest 20 foot right-of-way lying east of the proposed plat road, provided that a utility easement is retained. ( colored light blue) c. a right-of-way be retained by the City on the unopened extension of the 184th Street Southwest right-of-way lying west of the proposed plat road. When the property is platted, that section of the right-of- way shall be widened and relocated to accommodate a street extension to 80th Avenue West from the future plat road, currently on the south of Lot 11. ( colored red) d. Removal from the Official Street Map the and vacate the right-of-way adjacent to Olympic View Drive. The City would be granted an easement for bank erosion control for the same property plus a 20 foot strip adjacent to Olympic View Drive from the above strip south to the south boundary of the property. (colored orange) e. Approval of the items be transferable. B. Reasons and Logic for Approval 1. The reason to approve (a.) is that it is being replaced with the proposed plat road (outlined in green), plus a connection to a proposed street on the west boundary that will meet the street standards now in force. 2. The reason to approve (b.) is that it is being replaced with the proposed plat road that will be far easier and less expensive to build, considering the topography of the property. The city will be giving a 20foot right-of-way and gaining a 30 foot or 40 foot completed street. 3. The original application asked for a removal of the right-of-way described in (c.). However, to accommodate the concerns and the request of the neighbors, the applicant will accept the Hearing Examiners recommendations. 4. The engineering department of the City has agreed that the City does not need the property (d.)and would only use it for bank erosion control. The property owner will grant an easement to the City for erosion control on the property described in the application and further will grant to the City an easement for erosion control for a 20 foot strip adjacent to Olympic View Drive from the above strip south to the south boundary that borders Olympic View Drive. C. Advantages to the City 1. The City would gain a completed street from Olympic View Drive to the west property line of Lot 10 that borders Lot 11 and 12. 2. The owners of Lot 11 and 12 could negotiate the placement of the street that continues from Lot 10 to 80 Avenue West. The City of Edmonds owns Lot 12. 3. The City would have erosion control authority for the entire high bank adjacent to Olympic View Drive. 4. The City would have a net gain in property right-of-way and a net gain in erosion control. 5. The City would give up approx. 9,400 sq. ft. and gain approx. 18,275 sq. ft. for a net gain of 8,875 sq.ft. 6. Lots 11, 12, and 13 could be developed with a connecting street. D. Advantages to the neighborhood 1. The right-of-way between Olympic View Drive and 80th Avenue West would be preserved. 2. If Lot 11, Lot 12, and Lot 13 were to be developed, a street would be completed between Olympic View Drive and 80th Avenue West. E. Advantages to the owners of 7704 Olympic View Drive 1. A street can be constructed to best utilize the property with its severe topographical problems that replaces 184th Street.. 2. Restore the logical property lines along Olympic View Drive. 3. Provide for neighborhood agreement. 01/14/97 TUE 15,0E FAX OGDEN MURPHY Q OOE a- DEN 4L.RfaHYCE A'T'r0'k N 1: Y5 AT 1, A 2100 We511ake C: entel Ti�Wer ' 161J1 Fifrh A�anuo . t44uttl0, WA 9610'1-7 nAd a (200) 447-TUOO - Fax (206) 447-0215 MEMORANDUM BATE; January 13, 1997 TO: Paul Mar, community Services Director City of Edmonds FROM: W. Scott Snyder, Office of the City Attor? )ZE: Joint Venture Agreement -- Iian. park I have reviewed the Joint Venture,'. Agreement with Ilan Park and have enclosed a proposed response letter for your review, The .issues which I raised in the letter are fairly straightforward. As we have discussed, nay clmT preference is for a simplified agreement, the sort a developer reaches with an elderly neighbor of a project in which the developer makes all decisions and guarantees a portion of the Proceeds in exchange for use of the person's property in the development. This removes the City from any contribution or role in decisionmaking for the project and to avoid an appearance of fairness doctrine or, conPact of intcrest problem. In this case, that goals rewires snaking the following changes. x, Clearly reserving the City Council's discretion to exercise its governmental. POWers, qula,6 iudicial decisionrnaking authority and any other authority vested in it by state or federal. statute. 2, Clearly indicating that the City's only contribution will be of the property and that it will have no other continuing cost or liability. 3. Liriit the City's liability to the cost of the property which it is putting forward and .receive, indemnification from Park any claims or liability which arises during the course of development. This obligation would be supported by appropriate insurance or bonding. 4. Neither the City t)or any Official participate in the management of the venture delcti-ig references to the City in Sections `J and X. Wcnatchae. Office , ohe- yr)uth Chem, 4treet + P.Cl. 140.% 1606 - WeBaicke, VIA YER07 • (i(ly) 662-1¢74 - Fax (504) 66t.ls53 01/14/97 TUE 15:09 FAI QGDEN MURPHY 2003 Paul Mar, Community Services Director January 13, 1997 Page 2 S. Provide in Section )a that the project shall terminate and the title to the City's Property immediately revert upon denial of the Subdivision by the Edmonds City Council. 6. Provide for payment of the fair market value of the property by the City off the top of any proceeds. As you can see with these changes, the agreement ceaSes to be a Joint venture. I am wondering if it would not be appropriate to review this matter with the City Council and see whether it wants to eliminate the downside risk by making contingent sale of the property to Park. Being a joint venturer carries with it downside risks and potential liability, particularly if Park goes bankrupt, the City Could end up getting almost nothing for its property if the project is poorly managed. You may know better than I, but it seems to me that Mr. Park is not a developer with whom the City has a track record. I look forward to discussing these thoughts with you at your convenience before the letter is sent to Mr. Park's attorney, WSS:rin:gjz Enclosure W88151975.ISMIF(jOW.1'7o,0001D0M f I� �Yt�✓/. J � wLL cpm.. sarmc 1N3WON3WV dVW 133aS WOUJO ao; NVId 3115 121VNIW1l32ld NOlONIHSVM 'S(INOW03 3ARI0 M31A OWMIO NNVd NHVH •80 — 83NMO �i kiNnviviop WUN301SMI 03NNV'Id DAM _ ra Yli .�1 88 N a 0 0 "' —'_ _ �``--- t U 1 0 — L-------------J ' L------__ dW 0) T--_ G`_ I _ --------------- -- ' -- — A 3nN3AV 449L —I--------- �' w o I i `ft I U ~ I ry 00 I I �.p• p A, I d 11/ I,oM. \� § Z vi I r' m LL �L } I �1� Pa�° F � d I -0 I I z w W \ I I I \ �® �\ - L \ \\C s ol_ z''�1------------ \ �\ I \ I� \ �� I W \ A 30V1d 4164 •„� j' I Q I I I il� � I��-•� I I �� I � I o f I I �\ o ------ .m 3nN3AV 4409 T-----------� ---� L_— ---.L---I___----_— L----------- -- -� � ( — — — — — — — — ------ •m 3nN3nv v�os r-------------- I I >i8Vd M31AV3S �. 0 0 Q r FORM L58 Statutory Warranty Deed THE GRANTOR W. E. SHULTZ and THELMA SHULTZ, his wife, for and in consideration of Six Hundred Dollars ($600.00) in hand paid, conveys and warrants to the City Of Edmonds the following described real estate, situated in the County of Snohomish State of Washington: Lot 12, Admiralty Acres, according to Plat thereof recorded in Volume 12, Page 48, records of Snohomish County, Washington NO SALES TAX REQUIRED VEN�SfloqqfljlseasEirluty Dated this X �"/ STATE OF WASHINGTON, ss. County of SNCYHOAUSH day of W1966. (SEAL) /_1ld' •l'.y!.;,: �, �G7.. _ . "Z" (SEAL) On this day personally appeared before me W. E. SHULTZ and THELMA SHULTZ, his Wife, vt to me known tq�,j9e+ttfre„�ndivduab described in and who executed the within and foregoing instrument, and acknowledges-`�B� signed the same as their free and voluntary act and deed, for the uses and pti e fiMij�krterf6oned. GIVJP- 9d(to end arii3 official seal this 1 / day of 1966 �� '•"ro Notary Public in and for th State of Washington, °` 'l residing at odJ or)n \) E A S E M E N T 14 § 8N CONSUQERATION OF 13Is"NEFITS TO ACCRUE TO THE GRANTORS HEREIN BY REASON OF JI 4-4 THE CONSTRUCTION AND SSTABLISHMCNT OF A SEWER SYSTEM, THE UNDERSIGNED, W.E. r SHULTZ a/k/a William E. Shultz AND THELMA SHULTZ IQEREBY GRANT TO TalE a A MUN COPAL RPORATION$ A PERMANENT CASEMENT FOR THE INSTALLATOON, OPCRATION, AND MAIN79MANCE OF SANITARY AND/OR ST001 SEVIER LINE OVER* ACII SSp THROUGH AND BELOW THE FOLLOWING DESCRIBED PROPERTY, AND THE FURTHER RIGHT TO REMOVC.TRUS, BUSHES, UNDERGROWTH AND OTHER OSSTRUCTIONB INTER- FERING WITH THE LOCATION, CONSTRUCTION AND MAINTENANCE OF SAID SEWER LINES* THE CASEMENT AND YOGHT-OF MAY HEREFiY GRANTED IS LOCATED IN THE COUNTY OF SNOMONIONt STATE OF WASHINGTON, AND IS MORE PARTICULARLY DESCRIBED AS FOLLOWS- THAT PORTION OF LOT 11, ADMIRALTY AGRES,_-AC.CORD-ING TO THE PLAT THEREOF RECORDED IN VOLUME 12, PAGE 48, RECORDS OF SSNOHOMISH COUNTY, WASHINGTON; DESCRIBED AS FOLLOWS: A STRIP OF LAND 10,00 FEET IN WIDTH, 5 FEET ON EITHER SIDE OF THE FOLLOWING DESCRIBED -CENTERLINE: COMMENCING AT THE SOUTHWEST CORNER OF LOT 11, THENCE ALONG THE WEST BOUNDARY OF LOT 11 N 0°35'09"E 60.00 FEET TO THE TRUE POINT OF BEGINNING; THENCE N 63e03130"E 117;.41, FEET, MORE OR LESS., TO A POINT ON THE NORTH BOUNDARY OF LOT 11, THE CITY AGREES TO PROVIDE TWO SEWER CONNECTIONS FOR Lc T,^�I 1:J,LS TAX EXTRA CHARGE TO THE PROPERTY OWNER. VREQUfRED JUN 2 4INS E�S,_S�a4afl'm�rd' B Deputy THE CO TV AGREES TO PIRSTORE 'E0SUSBTAPIYIAP»lV THE_0 IGIfRAG_CONDIS_QON_�ISCI9_ IMPROV994ENTS AS ARE DOBTURSED DURING THE CONSTRUCTION, MAINTENANCE AND REPAIR OF SAID SEWER LINES] PROVADCO, THE GRANTORS, THEIR HEIRS OR ASSIGNS IIIHALL NOT CON- STRUCT ANY PERMANENT STRUCTURE OVER, UPON OR WITHIN T1t PERMANENT EASCHI>NT. C1A'TED Trtl s 19th DAY OF May , 1966 a 19 W STATE OF WASHON ISS-^"-� COMY 4F t0) ON THIS DAY PERSONALLY APPEARED BEFORE MWILLIAM E. SHULTZ a/k/a W. E. SHULTZ AND THELMA SHULTZ , TO HE KNOWN TO BE THE INDIVIDUAL S DESCRIBED IN AND WHO EXCCUTSD THE WITHIN &NO FOREGOING INSTRUMENT, AND ACKNOWLEDGED THAT the SOGNED THE SAME A€ithe@fi F C AND VOLUNTARY ACT AND OECD, FOR THE USES AND PURPOSES TFXREIN IhSNTIONLZDo WEN ClNneft V.V HAND AND OFFICIAL SEAL THIS 19th DAY OF 1966 WrARV- WASHINGTONr RESIDING AE,` 7bo ti p` e-4 a c\I T K OFFICIAL RE ORDS �� 38 4CF391 i _ 80th AVENUE � — I \ 1 1- I� all� Ln I Lz c • � ,+ �20fi 3$2 0950 WORAMN HPITAI SFax Cover This is a confidential message, intended safely for the person to whom in error. it is addressed. >f receive this sa you message in please forward it �..Z tothe correct person, or maN it hack to us. Thank you. �-4 � To C'.►ndy Cruz � Fax No. 425-771-0252 •� From Gharies FL Maid D3telTiene 9/27!98 at 9:IM 5QA SU6jett Seaview Park Estates Paces 3, including thisone Cindy seethed are the requests of Dr. Park. 206-NIL-0615 Fv P.01 �'P08 382 HH K9SHIN M CAPITAL 091 N8 H:H PAH/003 9,17/98 TO. CrrYOFEnMONDS FROM: S,EAVHW PARS ESTATES RE. "Woq CHANGES IN PROPOSED CONCOMMAWAGREEMENT FOR OBDYNAIVCE3217 DATED 7/ 7/98 MINOR CMANC.&V IN LAIVGUAG ,; OF THE PROPOSED AGREEMENT IS REQUESTED lArW FOLLOWINGREASONS; i _ THE PROPOSSED PAPER WAS RECEIVED ON $N 3 BY KZ6 BY EXPRESS NAIL IN OKLAHOMA CITY. THERE WAS NO KNOWLFI)GFJNOTICE OF OR ANY PRIORDISCUSSIOINWITH ff"Z. PARK WHO IS REPRESENTING TEE OWNERS. OBVIOUSLY, WE WERE ENTITLED TO I4AVE RECEIVED THE DRAIZ BEFORE ALL TEM AC HONS WERE TAKEN 2. THE PACKET DID NOT ENCLOSE ANY EXHIBITS OR ATTACHMENT. EXHIBIT SUCH A.4 REFERENCE 3 HAS NOT BEEN PROVIDED AS YET. 3, DESPITE THE DOCUMENT WAS PREPARED ON OR BEFORE 7107/93, WHATEVER THE REASONS, Cf WAS MAILED TO US 30 DAYS LATER WHICH IS DAYS AFTER TT WAS TO BE PUBLISHED AND EFFECTIVE WITHOUT THE CONCOMITANT AGREEMENT.. 4. THE APPROPRIATE LANGUAGE OF RECOMMENDATION BY PLANNING BOARD FOR R 97 29 AND OF MR. J. WiLSON WAS DELETED AND/ OR CHANGED_ 5_ WTCHDRAWAL OF MR. THOMPSON FROM THE APPLICATION CAUSED THE MAJOR CHANGES DEFICIENCIES GREATED BY MITIim & PARTNrJBLCONTAIN TWO MAYOR DEFECTS GRADING OF PUBLIC STREET WHICH WILL BE ABOUT 30 TO 40 % . SETBACK IN FRONT OF MY HOUSE.,'WIB!CH WILL BE ONLY 5 TO 6 FEET. IF NO AMENDMENT WAS ALLOWED AND THIS CONCEPTUAL PLAN IS FORCED AS FINAL PLAN ( AS 4.6 IN PROPROPOSAL X MY HOUSE HAVE TO BE COND90W AND LOST. THIS CONCERN MkVE BEEN ADRESSED AMONG MR. W[LSON- MlL WALKER AND OUR REPRESENTATIVE DURING LAST 5 MONTHS AND REVISEDIAMENDED PLAN WAS ALREADY PREAPPROVED BY CITY OFFICIALS FOR PRD APPLICATION. THEREFORE, ALL DUE RESPECT, WE N,EQUEST FOLLOWING CHANGES/ AM MMENT B8 MADE TO ALLEVIATE ABOVEPROBLEMS_ A_ IN SECTION 4, ALL THE LANGUAGES OF THE SECTION BE REVISED EXACTLY AS IN PLANNING BOARD AND MEL WILSON'S RECOM'ivlE4DATI4N ( REF_ 2 , 3 , & 4 ). ALSO IN PLACE OF DELETED PARAGRAPH.'), INSERT PARAGRAPH 10 OF ATTAC&AENT 6, I; 97-28 (REF, 4 ).. MINOR ALTERATION FOR THE LOCATION OF BUILDING AND STREET MAY BE ALLOWED TO COMPLY wITH CITY CODES" I/2 09-22-1998 09:53AM 206 382 0950 P.02 ,� �206 382 0900 WHINGTON CAPITAL 09I22/H oHi PAH/003 s. LINE 1 OF SECTION 5 LINE 2, CHANGE " PERIOD OF TEN YEARS TO READ AS " 'PERIOD OF TWO(2) YEARS" C. IN SECTION 5. PAGE 3 DELETE LINE " TO AMEND OR TERMINATE THE PROVISION OF TiIIS AGREVASNT }D. DELETE THE LINE S , SECTION 5 PAGE 3 - TO CHANGE OR TER%W4AT& PROVISIONS AND COVENANTS OR" UPON RECEIVTI+iG THE REVISED DRAFT, WE PLAN TO CONSULT WITH OUR ATTORNEY AS WELL AS KWS ATTORNEY. I HOPE THAT THEY RECONIMEND THE APPROVAL OF YOUR PROPOSAL IN ENTRELTTY. WE APPRECIATE YOUR. COOPERATION IN THIS MATTER, WPAR KESTATES COPY: To vv[IOM rr CONCERN. MMU. MR PARI ENCLOSURES: COPY OF RECDMMENDAT[ON OF PLANNiNGBOARD AND MR- WILSON, CITY OF EDNMONDS COPY OF CONDITIONS OF THE CONTRACT FOR REZONE,R 97-29 APPLICATION NEWOS TO EBV. 9101198, 9/04/98 9112199 212 09-22-1998 09:53AM 206 382 0950 P.03 Bradford and Robbins Software 1 Amp APpRA1SAl REPORT File No 2226 r Borrower N/A Census Tract 0503.00- Map Reference TB 455 A3 Property Address 183XX 80th Avenue West city Edmonds county Snohomish State ,-WA Zip code 98026 Legal Description Block 001 D-00 - Lot 12 Admiralty Acres Sale Price $ N/A Date of Sale N/A Loan Tenn Unknown yrs. Property Rights Appraised ❑ Fee Leasehold ❑ De Minimis PUD Actual Real Estate Taxes $ Exempt (yr) Loan Charges lobe paid by seller $ N/A Other Sales Concessions _ N/A ' Lender/Client City of Edmonds Address _ 250 5th Avenue North Edmonds, WA 98020 Occupant Vacant Appraiser Henry L. Kieneker Instructions to Appraiser Appraise fee simple interest in above referenced o ert . Location ❑ Urban ❑X Suburban ❑ Rural Good Avg. Fair Poor Built Up ❑ Over 75% ❑ 25%to 75°Jo ❑Under 25% Employment Stability ❑ ❑ o o Growth Rate ❑ Fully Dev. [—IRapid ❑X Steady ❑ Slow Convenience to Employment ❑ ❑% ❑ ❑ Property Values ❑ Increasing Stable ❑ Declining Convenience to Shopping ❑ FRI ❑ ❑ Demand/Supply ❑ Shortage FX1 In Balance ❑ Oversupply Convenience to Schools ❑ ❑X Marketing Time ❑ Under 3 Mos, ❑ 4.6 M.S. ❑ Over 6 Mos. Adequacy of Public Transportation ❑ ❑ ❑ ❑ Present Land Use 75 %l Family 2 I2.4 Family 5 % Apls 3 % Condo 5 % Commercial Recreational Facilities ❑ 1XI ❑ ❑ % Industrial 10 % Vacant % Adequacy of Utilities ❑ ❑ ❑ ❑ _ _ Charge In Present Land Use ❑ Not Likely ❑ Likely(') ❑ Taking Place (') Property of Compatibility ❑ ❑ ❑rl❑ fi (') From To Protection from Detrimental Conditions ❑ IN ❑ u • Predominate Occupancy 0 Owner ❑ Tenant 0-5 % Vacant Police and Fire Protection ❑ ❑X ❑ ❑ Single Family Price Range $ 100 to $ 500 Predominant Value $ 165 General Apprerance of Properties ❑ ❑X ❑ ❑ • Single Family Age 0 yrs to $O yrs. Predominant Age 40 yrs Appeal to Market ❑ ❑X ❑ ❑ Comments Including those factors, favorable or unfavorable, affecting marketability (e.g. public parks, schools, view, noise):The subjects neighborhood consists mainly- located approximately two miles northeast of the of average quality homes. The subject has access to all necessary support facilities. It is central business district of Edmonds. Commuting systems in the area include Highway 99, Interstate 5 and Interstate 405. Recreational facilities in the area include Snohomish County Park, Meadow_ dale Playfields and Lnndale Park. Local shopping is available along Hw 99. Dimensions See Plat Map = 28,750 Sq ft Sq. Ft. or Acres 91 Comer Lot _ Zoning Classification RS-12000 _(Residential) Present Improvements [::]do ❑ do not conform to zoning regulations Highest and best use [X� Present use ❑ Other (specify) .- Public Other (Describe) OFF SITE IMPROVEMENTS Topo Sloped to middle Elec. ❑X Street Access ❑X Public ❑ Private Size Typical Gas ❑ surface Paved _ ._ Shape Rectangular _ Water ❑ _ Maintenance ❑ Public ❑ Private View Territorial San. Sewer FX i� Storm Sewer ❑ Curb/Gutter Drainage Ap 1(�earS adequate �� OX Underground Eled. & Tel. Sidewalk ❑ Street Lights Is the property located in a HUD identified Special Flood Hazard Area? X l No ❑ Yes Comments (favorable or unfavorable Including any apparent adverse easements, encroachments or other adverse conditions): There were no apparent adverse easements encroachments special assessments .or slide areas noted at the time of inspection that would ne ativel affect ro r value. Size and sha of the subject is teal of the neighborhood._A title report was not provided as pazt oP this assignmeru. The undersigned has recited three recent sales of properties most similar and proximate to subject and has considered these in the market analysis. The description includes a dollar adjustment reflecting market reaction to those items of significant variation between the subject and comparable properties. If a significant item in the comparable property is superior to or more favorable than the subject properly, a minus (•) adjustment is made thus reducing the indicated value of subject; if a significant Hem in the - comparable is inferior to or less favorable than the subject property, a plus (+) adjustment is made thus increasing the indicated value of the subject. _77177SUBJECT PROPERTY COMPARABLE NO.1 COMPARABLE NO.2 COMPARABLE NO.3 Address 183XX $Oth Avenue West 7421 Meadowdale Beach Road 156XX 72nd Avenue West 87XX Olympic View Drive Edmonds Edmonds Edmonds Edmonds Proximity to Subject ">I '<? " i Mile Northeast 2 Miles North 5 Mile Northwest Sales Price _£`'>il' $ N/A .. ' $ 96,550 r: a. i .M ..... 5 85 000 ::... .... ...... ...: $ 80,000 Price iS uare foo $ NIA f ;:;:::r>:::�;>::>::>::>::�,s::::,:::::. $ x> :. ,.,:.;.___..:::........:. :::::::::>::: >:<::::>:::>:_:»:>:_:-:. ,:: :.:....,....:....�:>€:�;:i<a>::.. Data Source Ins ection IVletroSeat .........:...... Rec#9702240229, Metro, MLS Rec#9607020177, Metro, MLS Rec#9608090407, Metro, MLS Date of Sale and DESCRIPTION DESCRIPTION Ad'ulstsmeM DESCRIPTION Ad'uslment DESCRIPTION AdsAent Time Adjustment N/A February 24, 1997 July 2, 1996 _------------- August 9, 1996 Location Average Average Average Average sHe/View 28,750 SF/Tern 24,394 SF/Terr 13,068 SF/Fair Snd Similar 33,302 SF*/Fair Sod -5 00 Utilities availabl Elect Water Sewer Elect,Water,Sewer Elect,Water,Sewer Elect,Water,Sewer Preliminary won None known None known None known _Topo,Geo,Surv,Plaw_-15,000 Sales or Financing N/A Cash Cash Cash Concessions N/A None noted None noted None noted Net Adj.(Total .,. ... ;;;: Plus X Minus $ -15,00 Plus Minus $ O Plus X Minus $ -5,000 indicated Value ._ �... ...._ ... `; of Subject ::::..:::m.::..,.:.._x--::..:........._..-..:::: $ 82 000.....:>.:ri ,... �.....:.: s $5,000"< $ 75,000 Comments on Market Data The adjusted value for each of the comparables have been rounded to the nearest $1,000. The indicated sales date for • each of the comparables is the close of escrow date. *Site size of Comparable No. 3 is estimated by using MetroScan's plat map calculation section due to the lack of site size information on Snohomish County records. This estimate does not refute an actual site survey. Comments and Conditions of Appraisal: The subject is appraised "As Is" and is not subject to any repairs, alterations or further inspections. A title report was not furnished as Mt of this report. No personal property was included in this valuation. Final Reconciliation: All comparables are located within the subiect's market area and contain significant similarities to the subject which sup" the determined market value 'I1lerefore in deriving the subject's market value by the Sales ComRarison Approach all sales were c nsid equally. The indicated value r square foot reflects the mazginal utility of each site as the site size increases the value er s ft decreases. ' I ESTIMATE THE MARKET ALOE, AS DEFINED, OF SUBJ PROVE _ March 10 19 97 tube $ 81,000 _ r Z:�viewAppraiser(if Appraiser(s) applicable) Henn Kieneke[El Did Did Not Physically inspect Property MacAppraiser- Real Estate Appraisal Software by Bradford and HObbins (auu) bzL-a2 t. COMMENT ADDENDUM File No. 2226 Borrower N/A Property Address 183XX 80th Avenue West City Edmonds county Snohomish state WA Zip Code 98026 Lender/Client City of Edmonds Address 250 5th Avenue North, Edmonds, WA 98020 SALES COMPARISON (Scope): A thorough search was made to find the most comparable properties to the subject which have sold recently. The sources of information utilized include Northwest Multiple Listing Service's Moore Compass system, Transamerica Information Management Service's Metroscan system, county assessors records, and conversations with persons familiar with the local real estate market. The subject's market area was searched for similar size lots that have transferred sale in the past year. The comparables utilized in the report are the best market data available. Report Comparable No. 1 is a smaller size lot with a steeply sloped topography up from the street. Approximately $14,000 to $16,000 was spent on preliminary work on this property, including a geo-tech report, topographical survey, land survey, and building plans. The view is territorial. Report Comparable No. 2 is a smaller size lot with a similar topography to the subject's. There is a fair sound and mountain view. Report Comparable No. 3 is a larger size lot that is steeply sloped down to the north from the street. There is a home on the property now that is near completion and was not a part of the sale. There is a fair sound and mountain view. The lot size of this comparable was calculated using MetroScan's plat map calculation program. Therefore, the lot size is an approximation and does not refute an actual survey. This estimation is relied upon as the best information available. MacApprafser- Real Estate Appraisal Software by Bradford and Robbins (800) 622-8727. Page 1 of 1 PLAT MAP File No. 2226 Property Address 183XX 80th Avenue West City Edmonds County Snohomish stale WA zip Code 98026 Lander/Client City of Edmonds Address 250 5th Avenue North, Edmonds, WA 98020 II ti 3 4 OLYMPIC VIEW ao F c1t DRtV E MacApprelserTm Real Estate Appraisal Software by Bradford and Robbins (8W) 622-8727. LOCATION MAP ADDENDUM File No. 2226 Property Address 183XX 80th Avenue West City Edmonds County Snohomish State WA zip code 98026 Lender/Client City of Edmonds Address 250 5th Avenue North, Edmonds, WA 98020 MaCAppralserw Heal tStale Appraisal WIlWare oy orauloru anu m—m two/ uccror c I. FIRREA ADDENDA, Page I of 3 Quantum Appraisal Company This report has been prepared to comply with appraisal standards set forth in the Financial Institution Reform, Recovery and Enforcement act of 1989. This report conforms to the provisions contained in the Office of Comptroller of the Currency 12 CFR Part 34, Subpart C - Appraisals as published in the Federal Register Volume 55. No. 165. Additionally, this appraisal conforms to the Office of Thrift Supervision Treasury's final rule 12 CFR Parts 506, 545, 563, 564 and 571. PURPOSE OF THE APPRAISAL The purpose of this appraisal is to estimate the subject's "Market Value", as defined in this report. This definition of "Market Value" is sufficient for Federally related mortgage purposes. DATES Unless otherwise noted, the effective date of the appraisal and the report date are the same and are shown on the URAR. USE OF THE APPRAISAL This appraisal has been prepared in conformity with the Uniform Standards of Professional Appraisal Practice and therefore can be used for the following: 1. Transfer of ownership, 2. Financing and credit, 3. Arbitration, 4. Taxation and 5. Estate settlement. SCOPE OF THE APPRAISAL The completion of this appraisal assignment involved a number of steps which can be summarized as follows: The public information specific to the subject and the comparable sales was analyzed. A physical inspection of the interior and exterior of the subject property was conducted. An exterior inspection of the most comparable sales was conducted and the sales comparable information was confirmed. The subject and comparables were analyzed as described in The Valuation Process below. THE VALUATION PROCESS The valuation process is a systematic procedure employed to provide the answer to a client's question about real property value. Three approaches can be applied to the analysis of data to derive a well -supported value conclusion. Although the approaches are interrelated, the property type and use will determine which approach of approaches are most appropriate. The Sales Comparison Approach is useful when date on recently sold or currently offered properties similar to the subject are available. These data are adjusted to reflect the differences between the comparable properties and the subject property. The Cost Approach is effective in valuing new improvements and properties that are not frequently exchanged in the market. In this approach a separate land value estimate is added to an estimate of the current cost to construct a reproduction or replacement of the improvements. Entrepreneurial profit is also added when applicable. From this total, the estimated depreciation and obsolescence from all causes is subtracted. The Income Capitalization Approach is used to appraise income -producing properties. The present value of the future benefits of property ownership is measured, and the property's anticipated income stream and resale value, or reversion, are capitalized into a present value. The Income Approach to value was considered and in most cases this approach was not applicable as single family residences are not typically purchased as an income amenity and there was insufficient data available to use this approach. In those instances where the subject property has been or will be used as an income producing property or when the subject property is located in an active rental market for single family residences, a rental analysis has been included. The appraisal report was completed in conformance with the current Uniform Standards of Professional Practice, as adapted by the Appraisal Standards Board of the Appraisal Foundation as of August 9, 1990. The Departure Provision of the USPAP does not apply to federally related transactions. USE OF RECOGNIZED APPRAISAL APPROACHES The appraiser has made reasonable effort to employ the three recognized approaches to value. As single family residences are less commonly purchased for investment purposes, the use of the Income Approach will only be used under the following conditions: 1.) At the request of the client for non -owner occupied residences or income producing properties. 2.) When sufficient market evidence exists in a neighborhood to indicated that rental properties or investor purchasers are typical, measurable and the analysis of same adds value to the appraisal process. FIRREA ADDENDA, Page 2 of 3 Quantum Appraisal Company HIGHEST AND BEST USE In estimating the subject's highest and best use to be for a single family residence, it was determined that this use is; physically possible, legally permissible, economically feasible and maximally productive. COMPETENCY OF THE APPRAISER The appraisers have the appropriate knowledge and experience to complete this assignment competently. SALES HISTORY Unless otherwise noted in the Comment Addenda, the subject property has not been sold in the past year, nor is there a current listing or pending sale. RENTS AND VACANCIES If applicable, current market rents and vacancies are reported and analyzed in an attached addendum. Typically the applicable form for a rent survey is the 1007. TREND ANALYSIS Market trends for this appraisal have been reported and discussed in the Neighborhood Analysis and/or the General Market Conditions sections of the appraisal. In addition, a Market Trend Analysis is included in the Comment Addenda. DEDUCTIONS AND DISCOUNTS The "As Is" value of the subject property is shown on the URAR. If the subject is appraised "Subject To" , Deductions and/or Discounts will be specifically identified in the Comment Addenda. PROHIBITED INFLUENCES The appraisal assignment was not based upon a requested minimum valuation, a specific evaluation or approval of a loan. Employment of the appraiser was not conditioned upon the appraisal producing a specific value or value within a given range. Neither employment nor compensation are based upon approval of any related loan application. APPRAISAL TYPE This is a summary appraisal report which is intended to comply with the report requirements set forth under Standard Rule 2-2(b) of the Uniform Standards of Professional Appraisal Practice for a summary appraisal report. As such, it might not include full discussions of the data, reasoning, and analyses that were used in the appraisal process to develop the appraiser's opinion of value. Supporting documentation concerning the data, reasoning, and analyses is retained in the appraiser's file. The information contained in this report is specific to the needs of the client and for the intended use stated in this report. The appraiser is not responsible for unauthorized use of this report. PERSONAL PROPERTY Any personal property involved in the transaction has been excluded from the valuation of the real property. Should a transaction which includes personal property of sufficient value to effect the market value of the real property be evident, a separate assessment of the personal property fixtures or intangible items will be included with the report as a separate valuation. HAZARDOUS SUBSTANCES DISCLAIMER Unless otherwise noted in this report, the existence of hazardous substances, including without limitation asbestos, polychlorinated biphenyls, petroleum leakage or agricultural chemicals, which may or may not be present on the property, or other environmental conditions, were not called to the attention of nor did the appraiser become aware of such during the appraiser's inspection. The appraiser has no knowledge of the existence of such materials on or in the property unless otherwise stated. The appraiser, however, is not qualified to test such substances or conditions. If the presence of such substances, such as asbestos, urea formaldehyde foam insulation, or other hazardous substances or environmental conditions, may affect the value of the property, the value estimate is predicated on the assumption that there is no such condition on or in the property or in such proximity thereto that it would cause a loss in value. No responsibility is assumed for any such conditions, nor for any expertise or engineering knowledge required to discover them. FIRREA ADDENDA, Page 3 of 3 Quantum Appraisal Company CERTIFICATION I certify that, to the best of my knowledge and belief - The reported analyses, opinions and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the Appraisal Institute. I certify that the use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. This appraisal was prepared exclusively for use of the client referenced throughout this report. The statements of fact contained in this report are true and correct. -The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal unbiased professional analyses, opinions and conclusions. I have no present or prospective interest in the property that is the subject of this report, and I have no personal interest or bias with respect to the parties involved. My compsensation is not contingent on an action or event resulting from the analyses, opinions, or conclusions in, or the use of, this report. I have made a personal inspection of the property that is the subject of this report. No one provided significant professional assistance to the person signing this report. March 10, 1997 enry L. Kien ker Date WA270-17 KI-EN-EH-L328PP DEFINITION OF MARKET VALUE: The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller, each acting prudently, knowledgeably and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: (1) buyer and seller are typically motivated; (2) both parties are well informed or well advised, and each acting in what he considers his own best interest; (3) a reasonable time is allowed for exposure in the open market; (4) payment is made in terms of cash in U. S. dollars or in terms of financial arrangements comparable thereto; and (5) the price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions* granted by anyone associated with the sale. *Adjustments to the comparables must be made for special or creative financing or sales concessions. No adjustments are necessary for those costs which are normally paid by sellers as a result of tradition or law in a market; these costs are readily identifiable since the seller pays these costs in virtually all sales transactions. Special or creative financing adjustments can be made to the comparable property by comparisons to financing terms offered by a third party institutional lender that is not already involved in the property or transaction. Any adjustment should not be calculated on a mechanical dollar for dollar cost of the financing or concession but the dollar amount of any adjustment should approximate the market's reaction to the financing or concessions based on the appraiser's judgment. STATEMENT OF LIMITING CONDITIONS AND APPRAISER'S CERTIFICATION CONTINGENT AND LIMITING CONDITIONS: The appraiser's certification that appears in the appraisal report is subject to the following conditions: 1. The appraiser will not be responsible for matters of a legal nature that affect either the property being appraised or the title to it. The appraiser assumes that the title is good and marketable and, therefore, will not render any opinions about the title. The property is appraised on the basis of it being under responsible ownership. 2. The appraiser has provided a sketch in the appraisal report to show approximate dimensions of the improvements acid the sketch is included only to assist the reader of the report in visualizing the property and understanding the appraiser's determination of its size. 3. The appraiser has examined the available flood maps that are provided by the Federal Emergency Management Agency (or other data sources) and has noted in the appraisal report whether the subject site is located in an identified Special Flood Hazard Area. Because the appraiser is not a surveyor, he or she makes no guarantees, express or implied, regarding this determination. 4. The appraiser will not give testimony or appear in court because he or she made an appraisal of the property in question, unless specific arrangements to do so have been made beforehand. 5. The appraiser has estimated the value of the land in the cost approach at its highest and best use and the improvements at their contributory value. These separate valuations of the land and improvements must not be used in conjunction with any other appraisal and are invalid if they are so used. 6. The appraiser has noted in the appraisal report any adverse conditions (such as, needed repairs, depreciation, the presence of hazard wastes, toxic substances, etc.) observed during the inspection of the subject property or that he or she became aware of during the normal research involved in performing the appraisal. Unless otherwise stated in the appraisal report, the appraiser has no knowledge of any hidden or unapparent conditions of the property or adverse environmental conditions (including the presence of hazardous wastes, toxic substances, etc.) that would make the property more or less valuable, and has assumed that there are no such conditions and makes no guarantees or warranties, express or implied, regarding the condition of the property. The appraiser will not be responsible for any such conditions that do exist or for any engineering or testing that might be required to discover whether such conditions exist. Because the appraiser is not an expert in the field of environmental hazards, the appraisal report must not be considered as an environmental assessment of the property. 7. The appraiser obtained the information, estimates, and opinions that were expressed in the appraisal report from sources that he or she considers to be reliable and believes them to be true and correct. The appraiser does not assume responsibility for the accuracy of such items that were furnished by other parties. 8. The appraiser will not disclose the contents of the appraisal report except as provided for in the Uniform Standards of Professional Appraisal Practice. 9. The appraiser has based his or her appraisal report and valuation conclusion for an appraisal that is subject to satisfactory completion, repairs, or alterations on the assumption that completion of the improvements will be performed in a workmanlike manner. 10. The appraiser must provide his or her prior written consent before the lender/client specified in the appraisal report can distribute the appraisal report (including conclusions about the property value, the appraiser's identity and professional designations, and references to any professional appraisal organizations or the firm with which the appraiser is associated) to anyone other than the borrower; the mortgagee or its successors and assigns; the mortgage insurer; consultants; professional appraisal organizations; any state or federally approved financial institution; or any department, agency, or instrumentality of the United States or any state or the District of Columbia; except that the lender/client may distribute the property description section of the report only to data collection or reporting service(s) without having to obtain the appraisers prior written consent. The appraiser's written consent and approval must also be obtained before the appraisal can be conveyed by anyone to the public through advertising, public relations, news, sales, or other media. Freddie Mac Form 439 (6-93) MacAppraiseff- Real Estate Appraisal Software by Bradford and Robbins (800) 622-8727. Fannie Mae Form 1004E (6-93) APPRAISER'S CERTIFICATION: The Appraiser certifies and agrees that: 1. I have researched the subject market area and have selected a minimum of three recent sales of properties most similar and proximate to the subject property for consideration in the sales comparison analysis and have made a dollar adjustment when appropriate to reflect the market reaction to those items of significant variation. If a significant item in a comparable property is superior to, or more favorable than, the subject property, I have made a negative adjustment to reduce the adjusted sales price of the comparable and, if a significant item in a comparable property is inferior to, or less favorable than the subject property, I have made a positive adjustment to increase the adjusted sales price of the comparable. 2. I have taken into consideration the factors that have an impact on value in my development of the estimate of market value in the appraisal report. I have not knowingly withheld any significant information from the appraisal report and I believe, to the best of my knowledge, that all statements and information in the appraisal report are true and correct. 3. I stated in the appraisal report only my own personal, unbiased, and professional analysis, opinions, and conclusions, which are subject only to the contingent and limiting conditions specified in this form. 4. I have no present or prospective interest in the property that is the subject to this report, and I have no present or prospective personal interest or bias with respect to the participants in the transaction. I did not base, either partially or completely, my analysis and/or the estimate of market value in the appraisal report on the race, color, religion, sex, handicap, familial status, or national origin of either the prospective owners or occupants of the subject property or of the present owners or occupants of the properties in the vicinity of the subject property. 5. I have no present or contemplated future interest in the subject property, and neither my current or future employment nor my compensation for performing this appraisal is contingent on the appraised value of the property. 6. I was not required to report a predetermined value or direction in value that favors the cause of the client or any related party, the amount of the value estimate, the attainment of a specific result, or the occurrence of a subsequent event in order to receive my compensation and/or employment for performing the appraisal. I did not base the appraisal report on a requested minimum valuation, a specific valuation, or the need to approve a specific mortgage loan. 7. I performed this appraisal in conformity with the Uniform Standards of Professional Appraisal Practice that were adopted and promulgated by the Appraisal Standards Board of The Appraisal Foundation and that were in place as of the effective date of this appraisal, with the exception of the departure provision of those Standards, which does not apply. I acknowledge that an estimate of a reasonable time for exposure in the open market is a condition in the definition of market value and the estimate I developed is consistent with the marketing time noted in the neighborhood section of this report, unless I have otherwise stated in the reconciliation section. 8. I have personally inspected the interior and exterior areas of the subject property and the exterior of all properties listed as comparables in the appraisal report. I further certify that I have noted any apparent or known adverse conditions in the subject improvements, on the subject site, or on any site within the immediate vicinity of the subject property of which I am aware and have made adjustments for these adverse conditions in my analysis of the property value to the extent that I had market evidence to support them. I have also commented about the effect of the adverse conditions on the marketability of the subject property. 9. I personally prepared all conclusions and opinions about the real estate that were set forth in the appraisal report. If I relied on significant professional assistance from any individual or individuals in the performance of the appraisal or the preparation of the appraisal report, I have named such individual(s) and disclosed the specific tasks performed by them in the reconciliation section of this appraisal report. I certify that any individual so named is qualified to perform the tasks. I have not authorized anyone to make a change to any item in the report; therefore, if an unauthorized change is made to the appraisal report, I will take no responsibility for it. SUPERVISORY APPRAISER'S CERTIFICATION: If a supervisory appraiser signed the appraiser report, he or she certifies and agrees that: I directly supervise the appraiser who prepared the appraisal report, have reviewed the appraisal report, agree with the statements and conclusions of the appraiser, agree to be bound by the appraiser's certifications numbered 4 through 7 above, and am taking full responsibility for the appraisal and the appraisal report. ADDRESS OF PROPERTY APPRAISED: 183XX 80th Avenue West; Edmonds, WA 98026 APPRAISER- S ignature: Name: Hen L. Kieneker Date Signed: March 14, 1997 State Certification #: 270-17 KI-EN-EH-L328PP or State License #: State: WA SUPERVISORY APPRAISER (only if required) Signature: Name: Date Signed: State Certification #: or State License #: Slate: Expiration Date of Certification or License:I_0_!_17/97 Expiration Date of Certification or License: ❑ Did ❑ Did Not Inspect Property Freddie Mac Form 439 6-93 MacAppraiser- Real Estate Appraisal Software by Bradford and Robbins (800) 622-8727. Fannie Mae Form 1004B 6-93 EXPERIENCE QUANTUM APPRAISAL COMPANY (206) 814-1474 Lynnwood, WA President September 1994 to Present Quantum Appraisal Company is a Puget Sound Area appraisal firm that offers valuation and analytical services for financial institutions and other real estate professionals. Areas of specialization include residential and small income real estate appraisal for one to four unit properties. NORTHWEST CHARTER VALUATION (206) 282-2000 Seattle, WA Supervising Review Manager October 1993 to September 1994 Supervised operations for a practice offering a full range of valuation and analytical services for financial institutions and other real estate professionals. Areas of specialization include: residential appraisal, condemnation, tax reduction, feasibility studies, business valuations and litigated appraisals. The Seattle office had as many as 25 residential appraisers. Appraiser October 1991 to October 1993 Appraised single family homes, multi -family homes, condominiums, waterfront, and million dollar plus in accordance with standard regulations, including; Uniform Standards of Professional Appraisal Practice, FIRREA, FHLMC, and FNMA. Top producer for 1992 and 1993. Record breaking month in September of 1993 with $21,000 in gross billings. EDUCATION University of Washington B.A. Economics RELATED Appraisal Institute COURSES AND • Technology Videoconference October 1995 SEMINARS • Fundamentals ofRelocation Appraising October 1995 • Appraisal Review - Residential Properties May 1994 • Advanced Residential Form and Narrative Report Writing May 1994 • Appraisal Principles April 1994 • Appraisal Procedures April 1994 • Standards of Professional Practice, Parts A & B April 1994 Mykut School of Real Estate • Real Estate Law August 1993 North Seattle Community College • Real Estate Appraisal Principles April 1993 to June 1993 • Real Estate Appraisal -- Residential September 1992 to December 1992 • Standards of Professional Practice January 1992 to March 1992 • Real Estate Seminar January 1992 to March 1992 Green River Community College • Appraising for HUD/FHA December 1994 PROFESSIONAL Washington State Certified Real Estate Appraiser January 1994 to Present LICENSES & SRA Candidate Affiliate April 1994 to Present AFFILIATIONS FREA member April 1994 to Present State Accredited Affiliate of the Appraisal Institute August 1994 to Present STATE OF WASHINGTON DEPARTMENT OF LICENSING - BUSINESS AND PROFESSIONS DIVISION THIS CERTIFIES THAT THE PERSON NAMED HEREON IS AUTHORIZED, AS PROVIDED BY LAW, AS A CERTIFIED RESIDENTIAL REAL ESTATE APPRAISER KIENEKER,HENRY L QUANTAM APPRAISAL CO 521 150TH PLACE SW LYNNWOOD WA 98037-2682 Reference Number Issued Date Expiration Date 27017 KI-EN-EH-L328PP 01-27-94 10-17-97 DIRECTOR r Bradford and Robbins Software 1 Akin A000AI42AI 01=101n crrou„ 7726 rower N/A census Tract 0503.00 Map Reference TB 455 A3 perty Address 183XX 80th Avenue West Edmonds county Snohomish State WA zip code 98026 gal Description Block 001 D-00 - Lot 12 AdmiraltyAcres e Price $ N/A Data of Sale N/A Loan Tenn Unknown yrs. Property Rights Appraised � Fee ❑ Leasehold ❑ De Minimis PUD [operty.. ual Real Estate Texas $ Exempt (yr) Loan Charges to be paid by seller $ N/A Other Sales Concessions N/A nder/Client City of Edmonds Address 250 5th Avenue North Edmonds WA 98020 cupant Vacant Appraiser Henry L. Kieneker Instructions to Appraiser A raise fee sim le interest in above referenced Location ❑ Urban OX Suburban ❑ Rural Good Avg. Fair Poor Built Up ® Over 75% ❑ 25% to 75% ❑ Under 25% Employment Stability ❑ ® 0 ❑ Growth Rate ❑ Fully Dev. ❑ Rapid 7X Steady ❑ Slow Convenience to Employment El 0 El f� Property Values u Increasing ❑X Stable ❑ Declining Convenience to Stropping ❑ 0 ❑ Demand/Supply ❑ Shortage [K In Balance ❑ oversupply Convenience to Schools ❑ ®❑ ❑ Marketing Time ❑ Under 3 Mos, ❑X 4-6 Mos. ❑ Over 6 Mos. Adequacy of Public Transportation ❑ a ❑ o Present Land Use 75 %1 Family 2 %2-4 Family 5 % Apts 3 %Condo 5 %Commercial Recreational Facilities ❑ FX El❑ 10 % Vacant % Adequacy of Utilities ❑ EXI ❑ ❑ _%hMustrial - Charge In Present Land Use © Not Likely- ❑ Llkey(-) ❑ Taking Piece (') Property of Compatibility ❑ [A] ❑ ❑ ()From To Protection from Detrimental Conditions ❑ ❑ ❑ • Owner ❑ Tenant 0-5 % Vacant Predominate Occupancy ❑X Police and Fire Protection ❑ ❑X Single Family Price Range $ 100 to $ 500 Predominant Value $ 165 General Apprerance of Properties Elo ❑ ❑ a Single Family Age 0 yrs to 80 yrs. Predominant Age 40 yrs Appeal to Market ❑ © L1 Q • Comments Includtag those factors, favorable or unfavorable, affecting marketability (e.g. public parks, schools, view, noise). -The subject's neighborhood consists mains of averse quality homes. The subject has access to all necessary support facilities. It is located approximately two miles northeast of the central business district of Edmonds. Commuting systems in the area include Highway 99, Interstate 5 and Interstate 405. Recreational facilities in the area include Snohomish Coun Park, Meadowdale Pla fields, and Lnndale Park. Local sh ipin is available atollg Hwy 99. Dimensions See Plat Map = 28,750 Sq ft Sq. Ft. or Acres ® Comer Lot Zoning Classification RS-12000 (Residential) Present Improvements 0 do [::] do not conform to zoning regulations Highest and best use LK Present use Q Other (specify) Public; Other (Describe) OFF SITE IMPROVEMENTS Topo Sloped to middle Ems, O Street Access 0 Public O Private Size Typical Gas ❑ Surface Paved shape Rectangular Water ❑X Maintenance [X] Public ❑ Private View Territorial San. Sewer❑R �X Storm Sewer ❑ Curb/Guner Drainage Appears adequate O Underground Elect. & Tel. Sidewalk Street Lights is the property located In a HUD Identified special Flood Hazard Area? ❑X No ❑ Yea Comments (favorable or unfavorable including "apparent adverse easements, encroachments or other adverse conditions): There Were no apparent adVerSe easements encroachments, special assessments or slide azeas noted at rite time of inspection that would ne uvely affect property value. Size and she of the subject is typical of the nei hborhood. A title report was not provided as art of this assi nment. The undersigned has recited three recent sales of properties most similar and proximate to subject and has considered these in the market analysis. The description includes a dollar adjustment reflecting market reaction to those Items of significant variation between the subject and comparable properties. If a significant Item In the comparable property Is superior to or more favorable than the subject property, a minus (-) adjustment Is made thus reducing the Indicated value of subject; If a significant hem In the comparable Is imerkx to or less favorable than the subject property, a plus (+) adjustment is made thus Increasing the Indicated value of the subject. SUBJECT PROPERTY COMPARABLE NO.1 COMPARABLE NO.2 COMPARABLE NO.3 • Address 183XX 80th Avenue West 7421 Meadowdale Beach Road 156XX 72nd Avenue West 87XX Olympic View Drive Edmonds Edmonds Edmonds Edmonds Proximiy to SuDJect .: -- .::.�.:.: �.• ,<<..;; "` 1 Mile Northeast 2 Miles North .. 5 Mile Northwest . Sales Price $ NIA $ 96,550 e $ 85,000 ..: $ 80,000 Price /S uare foo $ N/A s> ;;..;': >:::,:;i $ 3.96 $ 6.50 $ 2.40 f Data Source Inspecdon,MetroScar Rec#9702240229 Metro MLS I Rec#9607020177, Metro, MLS Rec#9608090407 Metro MILS Date of Sale and DESCRIPTION DESCRIPTION Adjus mart DESCRIPTION DESCRIPTION Ad'udment Time Ad siment N/A Febru 24 1997 July 2, 1996 August 9 1996 Location Averse Averse Averse Average skeMew 28,750 SF/I'err 24,394 SF/Terr 13,068 SF/Fair Snd Similar 33,302 SF*/Fair Snd -5 Utilities availabli Elect Water Sewer Elect,Water Sewer Elect Water,Sewer Elect.Water Sewer Preliminarywon None known To Geo,Surv,Plan -15000 None known None known sales or Financing N/A Cash Cash Cash Concessions N/A None noted None noted None noted t Ad. olal.x _ Plus X Minors $ -l5 Plus Minus $ 0 Plus X Minus $ -5 icated Value �Ie :s: r r Comments on Market Data The adjusted value for each of the comparables have been rounded to the nearest $1000. The indicated sales date for • each of the comparables is the close of escrow date. *Site size of Comparable No. 3 is estimated b usin MetroSca s lat ma calculation section due to the lack of site size information on Snohomish County records. This estimate does not refute an actual site survey. a Comments and Conditions of Appraisal: The subject is appraised "As Is" and is not subject to any re airs alterations or further inspections. A title report was not furnished as part of this report. No personal property was included in this valuation. Final Reconciliation: All comparables are located I hill thubject's market area and contain signifcant similarities the sujectwhich SupWr the m�rin�l market vallre. Therefor, in deriyin"Uubject's market value by the SalesComRarison ADptOach�ll n i equally. The indicated value per square foot ret7ecrs the maz final utilit of each site as the site size increases the value r s ft decreases. I ESTIMATE THE MARKET VALUE, AS DEFINED, OF SUBJECT PROPE TY AS OF March 10 ig 97 to be $ 81,000 a Apprelser(s) few Appraiser (It applicable) Hen . KienekerK15��M Oki Did Not Physically Inspect Properly MacAppralser- Real Estate Appraisal Software by Bradford are r000ms (mu) bra-urtr. COMMENT ADDENDUM File No. 2226 Property Address 183XX 80th Avenue West City Edmonds couray Snohomish stare WA zip code 98026 t.endenCilent City of Edmonds Address 250 5th Avenue North, Edmonds, WA 98020 SALES COMPARISON (Scope): A thorough search was made to find the most comparable properties to the subject which have sold recently. The sources of information utilized include Northwest Multiple Listing Service's Moore Compass system, Transamerica Information Management Service's Metroscan system, county assessors records, and conversations with persons familiar with the local real estate market. The subject's market area was searched for similar size lots that have transferred sale in the past year. The comparables utilized in the report are the best market data available. Report Comparable No. 1 is a smaller size lot with a steeply sloped topography up from the street. Approximately $14,000 to $16,000 was spent on preliminary work on this property, including a geo-tech report, topographical survey, land survey, and building plans. The view is territorial. Report Comparable No. 2 is a smaller size lot with a similar topography to the subject's. There is a fair sound and mountain view. Report Comparable No. 3 is a larger size lot that is steeply sloped down to the north from the street. There is a home on the property now that is near completion and was not a part of the sale. There is a fair sound and mountain view. The lot size of this comparable was calculated using MetroScan's plat map calculation program. Therefore, the lot size is an approximation and does not refute an actual survey. This estimation is relied upon as the best information available. MacAppralser^A Real Estate Appraisal Software by Bradford and Robbins (800) 622-8727. Page f of 1 PLAT MAP Fl,a No. 2226 Property Address 183XX 80th Avenue West city Edmonds county Snohomish state WA Zip Code 98026 Lenderr- err City of Edmonds Address 250 5th Avenue North Edmonds WA 98020 to % I es Q) OL.YMPIC VIEW pRIVE a b w b I q is/!—_- 1 yM '� O V O y N � W �,. � �✓ � Q --=f ---� H± 3AV yio8 rztTT 'T r•. O 1 L.r �� 9� L_ � ,. L�r vi o 0- �t v co ON co 1_l_1 _ i 1'o' ° ' :LS �103`0 I'k w ` t„ •,I I::`� y ` "N f41-of4— ih T 1 IS NBAOCNV cy 11 T T �" I7 r� 1 11 —1 l r1 I 1 7 itl•:'� �.I �� `�' � ; ;1., a tom: I�:...I :1,:. ,{r rl • ib...,l<r, r 1. 1 "�., 4=; :�`�, 1�" �I}.': •I � • �o it �,al...;l ...I .I . � L.�,�I:;�1,.:�.. •..I,.�'i:.. - LJs' 1 �1 L JJ � % �ii11 � t. LI -1 .; � -�I �1 L -1 L l t _ MacAppralser- Real Estate Appraisal Software by Bradlord and Robbins (800) 622.8727. LOCATION MAP ADDENDUM He No. 2226 Properly Address 183XX 80th Avenue West Cuy Edmonds County Snohomish state WA Zip Code 98026 Lender/Chord City of Edmonds Address 250 5th Avenue North, Edmonds, WA 98020 MaCAppralsafm float tstate Appraisal Soewere oY oremora ana no [M tow! -i 4+. FIRREA ADDENDA, Page 1 of 3 Quantum Appraisal Company This report has been prepared to comply with appraisal standards set forth in the Financial Institution Reform, Recovery and Enforcement act of 1989. This report conforms to the provisions contained in the Office of Comptroller of the Currency 12 CFR Part 34, Subpart C - Appraisals as published in the Federal Register Volume 55. No. 165. Additionally, this appraisal conforms to the Office of Thrift Supervision Treasury's final rule 12 CFR Parts 506, 545, 563, 564 and 571. PURPOSE OF THE APPRAISAL The purpose of this appraisal is to estimate the subject's "Market Value", as defined in this report. This definition of "Market Value" is sufficient for Federally related mortgage purposes. DATES Unless otherwise noted, the effective date of the appraisal and the report date are the same and are shown on the URAR. USE OF THE APPRAISAL This appraisal has been prepared in conformity with the Uniform Standards of Professional Appraisal Practice and therefore can be used for the following: 1. Transfer of ownership, 2. Financing and credit, 3. Arbitration, 4. Taxation and 5. Estate settlement. SCOPE OF THE APPRAISAL The completion of this appraisal assignment involved a number of steps which can be summarized as follows: The public information specific to the subject and the comparable sales was analyzed. A physical inspection of the interior and exterior of the subject property was conducted. An exterior inspection of the most comparable sales was conducted and the sales comparable information was confirmed. The subject and comparables were analyzed as described in The Valuation Process below. THE VALUATION PROCESS The valuation process is a systematic procedure employed to provide the answer to a client's question about real property value. Three approaches can be applied to the analysis of data to derive a well -supported value conclusion. Although the approaches are interrelated, the property type and use will determine which approach of approaches are most appropriate. The Sales Comparison Approach is useful when date on recently sold or currently offered properties similar to the subject are available. These data are adjusted to reflect the differences between the comparable properties and the subject property. The Cost Approach is effective in valuing new improvements and properties that are not frequently exchanged in the market. In this approach a separate land value estimate is added to an estimate of the current cost to construct a reproduction or replacement of the improvements. Entrepreneurial profit is also added when applicable. From this total, the estimated depreciation and obsolescence from all causes is subtracted. The Income Capitalization Approach is used to appraise income -producing properties. The present value of the future benefits of property ownership is measured, and the property's anticipated income stream and resale value, or reversion, are capitalized into a present value. The Income Approach to value was considered and in most cases this approach was not applicable as single family residences are not typically purchased as an income amenity and there was insufficient data available to use this approach. In those instances where the subject property has been or will be used as an income producing property or when the subject property is located in an active rental market for single family residences, a rental analysis has been included. The appraisal report was completed in conformance with the current Uniform Standards of Professional Practice, as adapted by the Appraisal Standards Board of the Appraisal Foundation as of August 9, 1990. The Departure Provision of the USPAP does not apply to federally related transactions. USE OF RECOGNIZED APPRAISAL APPROACHES The appraiser has made reasonable effort to employ the three recognized approaches to value. As single family residences are less commonly purchased for investment purposes, the use of the Income Approach will only be used under the following conditions: 1.) At the request of the client for non -owner occupied residences or income producing properties. 2.) When sufficient market evidence exists in a neighborhood to indicated that rental properties or investor purchasers are typical, measurable and the analysis of same adds value to the appraisal process. FIRREA ADDENDA, Page 2 of 3 Quantum Appraisal Company HIGHEST AND BEST USE In estimating the subject's highest and best use to be for a single family residence, it was determined that this use is; physically possible, legally permissible, economically feasible and maximally productive. COMPETENCY OF THE APPRAISER The appraisers have the appropriate knowledge and experience to complete this assignment competently. SALES HISTORY Unless otherwise noted in the Comment Addenda, the subject property has not been sold in the past year, nor is there a current listing or pending sale. RENTS AND VACANCIES If applicable, current market rents and vacancies are reported and analyzed in an attached addendum. Typically the applicable form for a rent survey is the 1007. TREND ANALYSIS Market trends for this appraisal have been reported and discussed in the Neighborhood Analysis and/or the General Market Conditions sections of the appraisal. In addition, a Market Trend Analysis is included in the Comment Addenda. DEDUCTIONS AND DISCOUNTS The "As Is" value of the subject property is shown on the URAR. If the subject is appraised "Subject To" , Deductions and/or Discounts will be specifically identified in the Comment Addenda. PROHIBITED INFLUENCES The appraisal assignment was not based upon a requested minimum valuation, a specific evaluation or approval of a loan. Employment of the appraiser was not conditioned upon the appraisal producing a specific value or value within a given range. Neither employment nor compensation are based upon approval of any related loan application. APPRAISAL TYPE This is a summary appraisal report which is intended to comply with the report requirements set forth under Standard Rule 2-2(b) of the Uniform Standards of Professional Appraisal Practice for a summary appraisal report. As such, it might not include full discussions of the data, reasoning, and analyses that were used in the appraisal process to develop the appraiser's opinion of value. Supporting documentation concerning the data, reasoning, and analyses is retained in the appraiser's file. The information contained in this report is specific to the needs of the client and for the intended use stated in this report. The appraiser is not responsible for unabthorized use of this report. PERSONAL PROPERTY Any personal property involved in the transaction has been excluded from the valuation of the real property. Should a transaction which includes personal property of sufficient value to effect the market value of the real property be evident, a separate assessment of the personal property fixtures or intangible items will be included with the report as a separate valuation. HAZARDOUS SUBSTANCES DISCLAIMER Unless otherwise noted in this report, the existence of hazardous substances, including without limitation asbestos, polychlorinated biphenyls, petroleum leakage or agricultural chemicals, which may or may not be present on the property, or other environmental conditions, were not called to the attention of nor did the appraiser become aware of such during the appraiser's inspection. The appraiser has no knowledge of the existence of such materials on or in the property unless otherwise stated. The appraiser, however, is not qualified to test such substances or conditions. If the presence of such substances, such as asbestos, urea formaldehyde foam insulation, or other hazardous substances or environmental conditions, may affect the value of the property, the value estimate is predicated on the assumption that there is no such condition on or in the property or in such proximity thereto that it would cause a loss in value. No responsibility is assumed for any such conditions, nor for any expertise or engineering knowledge required to discover them. FIRREA ADDENDA, Page 3 of 3 Quantum Appraisal Company CERTIFICATION I certify that, to the best of my knowledge and belief: The reported analyses, opinions and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the Appraisal Institute. I certify that the use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. This appraisal was prepared exclusively for use of the client referenced throughout this report. The statements of fact contained in this report are true and correct. The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal unbiased professional analyses, opinions and conclusions. I have no present or prospective interest in the property that is the subject of this report, and I have no personal interest or bias with respect to the parties involved. My compsensation is not contingent on an action or event resulting from the analyses, opinions, or conclusions in, or the use of, this report. I have made a personal inspection of the property that is the subject of this report. No one provided significant professional assistance to the person signing this report. March 10. 1997 Henry L. Kieneket Date WA270-17 KI-EN-EH-L328PP DEFINITION OF MARKET VALUE: The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller, each acting prudently, knowledgeably and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: (1) buyer and seller are typically motivated; (2) both parties are well informed or well advised, and each acting in what he considers his own best interest; (3) a reasonable time is allowed for exposure in the open market; (4) payment is made in terms of cash in U. S. dollars or in terms of financial arrangements comparable thereto; and (5) the price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions* granted by anyone associated with the sale. *Adjustments to the comparables must be made for special or creative financing or sales concessions. No adjustments are necessary for those costs which are normally paid by sellers as a result of tradition or law in a market; these costs are readily identifiable since the seller pays these costs in virtually all sales transactions. Special or creative financing adjustments can be made to the comparable property by comparisons to financing terms offered by a third party institutional lender that is not already involved in the property or transaction. Any adjustment should not be calculated on a mechanical dollar for dollar cost of the financing or concession but the dollar amount of any adjustment should approximate the market's reaction to the financing or concessions based on the appraiser's judgment. STATEMENT OF LIMITING CONDITIONS AND APPRAISER'S CERTIFICATION CONTINGENT AND LIMITING CONDITIONS: The appraiser's certification that appears in the appraisal report is subject to the following conditions: 1. The appraiser will not be responsible for matters of a legal nature that affect either the property being appraised or the title to it. The appraiser assumes that the title is good and marketable and, therefore, will not render any opinions about the title. The property is appraised on the basis of it being under responsible ownership. 2. The appraiser has provided a sketch in the appraisal report to show approximate dimensions of the improvements and the sketch is included only to assist the reader of the report in visualizing the property and understanding the appraiser's determination of its size. 3. The appraiser has examined the available flood maps that are provided by the Federal Emergency Management Agency (or other data sources) and has noted in the appraisal report whether the subject site is located in an identified Special Flood Hazard Area. Because the appraiser is not a surveyor, he or she makes no guarantees, express or implied, regarding this determination. 4. The appraiser will not give testimony or appear in court because he or she made an appraisal of the property in question, unless specific arrangements to do so have been made beforehand. 5. The appraiser has estimated the value of the land in the cost approach at its highest and best use and the improvements at their contributory value. These separate valuations of the land and improvements must not be used in conjunction with any other appraisal and are invalid if they are so used. 6. The appraiser has noted in the appraisal report any adverse conditions (such as, needed repairs, depreciation, the presence of hazard wastes, toxic substances, etc.) observed during the inspection of the subject property or that he or she became aware of during the normal research involved in performing the appraisal. Unless otherwise stated in the appraisal report, the appraiser has no knowledge of any hidden or unapparent conditions of the property or adverse environmental conditions (including the presence of hazardous wastes, toxic substances, etc.) that would make the property more or less valuable, and has assumed that there are no such conditions and makes no guarantees or warranties, express or implied, regarding the condition of the property. The appraiser will not be responsible for any such conditions that do exist or for any engineering or testing that might be required to discover whether such conditions exist. Because the appraiser is not an expert in the field of environmental hazards, the appraisal report must not be considered as an environmental assessment of the property. 7. The appraiser obtained the information, estimates, and opinions that were expressed in the appraisal report from sources that he or she considers to be reliable and believes them to be true and correct. The appraiser does not assume responsibility for the accuracy of such items that were furnished by other parties. 8. The appraiser will not disclose the contents of the appraisal report except as provided for in the Uniform Standards of Professional Appraisal Practice. 9. The appraiser has based his or her appraisal report and valuation conclusion for an appraisal that is subject to satisfactory completion, repairs, or alterations on the assumption that completion of the improvements will be performed in a workmanlike manner. 10. The appraiser must provide his or her prior written consent before the lender/client specified in the appraisal report can distribute the appraisal report (including conclusions about the property value, the appraisers identity and professional designations, and references to any professional appraisal organizations or the firm with which the appraiser is associated) to anyone other than the borrower; the mortgagee or its successors and assigns; the mortgage insurer; consultants; professional appraisal organizations; any state or federally approved financial institution; or any department, agency, or instrumentality of the United States or any state or the District of Columbia; except that the lender/client may distribute the property description section of the report only to data collection or reporting service(s) without having to obtain the appraiser's prior written consent. The appraiser's written consent and approval must also be obtained before the appraisal can be conveyed by anyone to the public through advertising, public relations, news, sales, or other media. Freddie Mac Form 439 (6.93) MacAppralser- Real Estate Appraisal Software by Bradford and Robbins (800) 622-8727. Fannie Mae Form 10048 (6.93) APPRAISER'S CERTIFICATION: The Appraiser certifies and agrees that: 1. I have researched the subject market area and have selected a minimum of three recent sales of properties most similar and proximate to the subject property for consideration in the sales comparison analysis and have made a dollar adjustment when appropriate to reflect the market reaction to those items of significant variation. If a significant item in a comparable property is superior to, or more favorable than, the subject property, I have made a negative adjustment to reduce the adjusted sales price of the comparable and, if a significant item in a comparable property is inferior to, or less favorable than the subject property, I have made a positive adjustment to increase the adjusted sales price of the comparable. 2. I have taken into consideration the factors that have an impact on value in my development of the estimate of market value in the appraisal report. I have not knowingly withheld any significant information from the appraisal report and I believe, to the best of my knowledge, that all statements and information in the appraisal report are true and correct. 3. I stated in the appraisal report only my own personal, unbiased, and professional analysis, opinions, and conclusions, which are subject only to the contingent and limiting conditions specified in this form. 4. I have no present or prospective interest in the property that is the subject to this report, and I have no present or prospective personal interest or bias with respect to the participants in the transaction. I did not base, either partially or completely, my analysis and/or the estimate of market value in the appraisal report on the race, color, religion, sex, handicap, familial status, or national origin of either the prospective owners or occupants of the subject property or of the present owners or occupants of the properties in the vicinity of the subject property. 5. I have no present or contemplated future interest in the subject property, and neither my.current or future employment nor my compensation for performing this appraisal is contingent on the appraised value of the property. 6. I was not required to report a predetermined value or direction in value that favors the cause of the client or any related party, the amount of the value estimate, the attainment of a specific result, or the occurrence of a subsequent event in order to receive my compensation and/or employment for performing the appraisal. I did not base the appraisal report on a requested minimum valuation, a specific valuation, or the need to approve a specific mortgage loan. 7. I performed this appraisal in conformity with the Uniform Standards of Professional Appraisal Practice that were adopted and promulgated by the Appraisal Standards Board of The Appraisal Foundation and that were in place as of the effective date of this appraisal, with the exception of the departure provision of those Standards, which does not apply. I acknowledge that an estimate of a reasonable time for exposure in the open market is a condition in the definition of market value and the estimate I developed is consistent with the marketing time noted in the neighborhood section of this report, unless I have otherwise stated in the reconciliation section. 8. 1 have personally inspected the interior and exterior areas of the subject property and the exterior of all properties listed as comparables in the appraisal report. I further certify that I have noted any apparent or known adverse conditions in the subject improvements, on the subject site, or on any site within the immediate vicinity of the subject property of which I am aware and have made adjustments for these adverse conditions in my analysis of the property value to the extent that I had market evidence to support them. I have also commented about the effect of the adverse conditions on the marketability of the subject property. 9. 1 personally prepared all conclusions and opinions about the real estate that were set forth in the appraisal report. If I relied on significant professional assistance from any individual or individuals in the performance of the appraisal or the preparation of the appraisal report, I have named such individual(s) and disclosed the specific tasks performed by them in the reconciliation section of this appraisal report. I certify that any individual so [tamed is qualified to perform the tasks. I have not authorized anyone to make a change to any item in the report; therefore, if an unauthorized change is made to the appraisal report, I will take no responsibility for it. SUPERVISORY APPRAISER'S CERTIFICATION: If a supervisory appraiser signed the appraiser report, he or she certifies and agrees that: I directly supervise the appraiser who prepared the appraisal report, have reviewed the appraisal report, agree with the statements and conclusions of the appraiser, agree to be bound by the appraiser's certifications numbered 4 through 7 above, and am taking full responsibility for the appraisal and the appraisal report. ADDRESS OF PROPERTY APPRAISED: 183XX 80th Avenue West; Edmonds WA 98026 APPRAISER: SUPERVISORY APPRAISER (only if required) Signature: �ignature: Name: Henry L. Kieneker Name: Date Signed: March 14 1997 Date Signed: State Certification #: 270-17 KI-EN-EH-L328PP State Certification #: or State License #: or State License #: State: WA State: Expiration Date of Certification or License: 10/17/97 Expiration Date of Certification or License: ❑ Did ❑ Did Not Inspect Property Freddie Mac Form 439 6.93 MarAppraiser- Real Estate Appralsal Software by Bradford and Robbins (800) 622-8727. Fannie Mae Form 1004E 6.93 HENRY L. KIENEKER EXPERIENCE QUANTUM APPRAISAL COMPANY (206) 814-1474 Lynnwood, WA President September 1994 to Present Quantum Appraisal Company is a Puget Sound Area appraisal firm that offers valuation and analytical services for financial institutions and other real estate professionals. Areas of specialization include residential and small income real estate appraisal for one to four unit properties. NORTHWEST CHARTER VALUATION (206) 282-2000 Seattle, WA Supervising Review Manager October 1993 to September 1994 Supervised operations for a practice offering a full range of valuation and analytical services for financial institutions and other real estate professionals. Areas of specialization include: residential appraisal, condemnation, tax reduction, feasibility studies, business valuations and litigated appraisals. The Seattle office had as many as 25 residential appraises. Appraiser October 1991 to October 1993 Appraised single family homes, multi -family homes, condominiums, waterfront, and million dollar plus in accordance with standard regulations, including; Uniform Standards of Professional Appraisal Practice, FIRREA, FHLMC, and FNMA. Top producer for 1992 and 1993. Record breaking month in September of 1993 with $21,000 in gross billings. EDUCATION University of Washington B.A. Economics RELATED Appraisal Institute COURSES AND - Technology Videoconference October 1995 SEMINARS - Fundamentals of Relocation Appraising October 1995 - Appraisal Review - Residential Properties May 1994 - Advanced Residential Form and Narrative Report Writing May 1994 - Appraisal Principles April 1994 -Appraisal Procedures April 1994 - Standards of Professional Practice, Parts A & B April 1994 Mykut School of Real Estate - Real Estate Law August 1993 North Seattle Community College - Real Estate Appraisal Principles - Real Estate Appraisal — Residential - Standards of Professional Practice - Real Estate Seminar Green River Community College - Appraising for HUDIFHA April 1993 to June 1993 September 1992 to December 1992 January 1992 to March 1992 January 1992 to March 1992 December 1994 PROFESSIONAL Washington State Certified Real Estate Appraiser January 1994 to Present LICENSES & SRA Candidate Affiliate April 1994 to Present AFFILIATIONS FREA member April 1994 to Present State Accredited Affiliate of the Appraisal Institute August 1994 to Present STATE OF WASHING_ TON DEPARTMENT OF LICENSING - BUSINESS AND PROFESSIONS DIVISION THIS CERTIFIES THAT THE PERSON NAMED HEREON IS AUTHORIZED, AS PROVIDED BY LAW, AS A CERTIFIED RESIDENTIAL REAL ESTATE APPRAISER KIENEKER,HENRY L OI IANTAM APPRAISAL CO 521 150TH PLACE SW LYNNWOOD WA 98037-2682 Reference Number Issued Date Expiration Date �" z} 27017 KI-EN-EH-L328PP 01-27-94 10-17-97. DIRECTOR Bradford and Robbins Software R Akin ADODAICA1 RFDt1RT FilnNn 7776 NIA Census Tract 0503.00 Map Reference TB 455 A3 ddress 183XX 80th Avenue West Edmonds County Snohomish State WA zip code 98026 cription Block 001 D-00 - Lot 12 AdmiraltyAcres $ NIA Date of Sale N/A Loan Tenn Unknown yrs. Property Rights Appraised ❑X Fee ❑ Leasehold ❑ De Minimis PUD [PrIce al Estate Taxes $ Exempt (yr) LoanChargestobepaidbyseRer$ N/A Other Sales Concessions NIA lient City of Edmonds Address 250 5th Avenue North Edmonds WA 98020 Vacant Appraiser Henry L. Kieneker Instructions to Appraiser Appraise fee sim le interest in above referenced Location ❑ Urban EK Suburban ❑Rural Good Avg. Fair Poor Built Up ® Over 75% ❑ 25%to 75% ❑ Under 25% Employment Stability ❑ ❑X ❑ ❑ Growth Rate ❑ Fully Dev. ❑ Rapid ❑X Steady ❑ Slow Convenience to Employment ❑ ❑X ❑ ❑ Property Values ❑ Increasing ❑X Stable ❑ Declining Convenience to Shopping ❑ ❑X ❑ ❑ Demand/Supply Q Shortage © In Balance ❑ Oversupply Convenience to Schools ❑ ®❑ ❑ Marketing Time ❑ Under 3 Mos, FX 46 Mos. ❑ Over 6 Mos. Adequacy of Public Transportation ❑ ❑X ❑ ❑ Present Lard Use 75 %1 Family 2 9/2.4 Family 5 %Apts 3 % Condo 5 % Commercial Recreational Facilities ❑ ❑X ❑ ❑ 10 %Vacant % Adequacy of Utilities ❑ ❑X ❑ ❑ _%Industrial _ Change In Present Land Use [ Not Likely ❑ Likely(`) ❑Taking Place (') Property of Compatibllify ❑ 0 0 ❑From To ITA6 Protection from Detrimental Conditions ❑ FX❑❑ Predominate Occupancy 0 Owner❑ Tenant 0-5 % vacant Police and Fire Protection ❑ 0 ❑ ❑ Single Family Price Range $ 100 to $ 500 Predominant value $ 165 General Apprerance of Properties ❑ 0 ❑ ❑Si gle Family Age 0 yrs to 80 yrs. Predominant Age 40 yrs Appeal to Market ❑ Q Q ❑Comments Including those factors, favorable or unfavorable, affecting marketability (e.g. public parks, schools, view, noise):The subject's net borhood consists maimof averse uali homes. The subject has access to ail nece su rt facilities. It is located a roximatel two miles northeast of the central business district of Edmonds. Commuting systems in the area inlities in the area include Snohomish County Park Meadowdale Playftelds, and Lnndale Park. Local shopping is available along Hwy 99. Dimensions See Plat Map = 28,750 Sq ft Sq. Ft. or Acres N❑ Comer Lot Zoning Classification RS-12000 (Residential) Present improvements [—]do [:]do not conform to zoning regulations Highest and best use ❑ Present use 0 Other (specify) Public Other (Describe) OFF SITE IMPROVEMENTS Topo Sloped to middle EIK, ❑ Street Access ❑X Public ❑ Private Size Typical Gas ❑ surface Paved shape Rectangular Water ❑X Maintenance ❑X Public ❑ Private View Territorial San. Sewer 0 ❑X Storm Sewer ❑ Curb/Guner Drainage Armears ad llate 0 Underground Elect. & Tel. Sidewalk Street Lights Is the property located in a HUD Identified Special Flood Hazard Area? ❑ No ❑ yes Comments (favorable or unfavorable Including any apparent adverse easements, encroachments or other adverse conditions): There Were no apparent adverse eAwnnentS encroachments special assessments o� r slide areas noted at the time of insReetion that would tie ag tivelyaaffect property value. Size aIsbaof the subject is typical of the neighThe undersigned has recited three recent sales of properties most similar and proximate to subject and has considered these in the market analysis. The descripta dollar adjustment reflecting market reaction to those Items of significant variation between the subject and comparable properties. tf a significant Rem In the cproperty Is superior to or more favorable than the subject property, a minus (-) adjustment Is made thus reducing the Indicated value of subject; if a significant comparable is Inferior to or less favorable than the subject property, a plus (+) adjustment is made thus increasing the indicated value of the subject. SUBJECT PROPERTY COMPARABLE NOA COMPARABLE NO.2 COMPARABLE NO.3 Address 183XX 80th Avenue West 7421 Meadowdale Beach Road 156XX 72nd Avenue West 87XX Olympic View Drive Edmonds Edmonds Edmonds Edmonds Proximity to Subject ..'x .. 1 Mile Northeast 2 Miles North 5 Mile Northwest - Sales Price $ NIA ` .. -.::.� $ 96 550 .. .. ....# $ 8.5,000:: :...:. `: : 3.. $ 80 000 Price /S uare fop $ NIA ..:.:. $ 3.46 ,:: a $ 6.50 :... $ 2.40 • Data Source Inspection,MetroScat Rec#9702240229 Metro MLS I Rec#9607020177 Metro, MLS Rec#9608090407 MetroMl S Date of Sale and DESCRIPTION DESCRIPTION All us meM DESCRIPTION Aciusim ml DESCRIPTION Ad'usimsM TnLAd uslment NIA Februarv24,1997 Jul 2, 1996 —August 9 1996 Location Averse Averse Average Average saervlew 28,750 SF/Terr 24,394 SF/Terr 13,068 SF/Fair Sod Similar 33,302 SF*/Fair Sind -5,000 Utilities availabl El Water Sewer Elec Water Sewer Elect Water Sewer ElecLWater,Sewer Preliminary wort None known To Geo SuryPlan -15 None known None known Saws or Financing N/A Cash Cash Cash concesalons N/A None noted None noted None noted -15, Plus Minus $ 0 Plus X Minus $ -5,000 indfcated Value ' F� $ 85 000 $ 75,000 Comments on Market Data The adjusted value for each of the comparaMes have been rounded to the nearest $1,000, The indicated sales date for • each of the comparables is the close of escrow date. *Site size of Comparable No. 3 is estimated by usin MetroScan's let ma calculation section due to the tack of site size information on Snohomish County records. This estimate does not refute an actual site survey. • Comments and Conditions of Appraisal: The subject is appraised "As Is" and is not subject to any repairs, alterations or further inspections. A title report was not furnished as part of this report. No personal property was included in this valuation. Final Reconciliation: All" jnza_rtble$ar� located within the subi s m�rk�I ar �n(1 contain i nifi ant imi � ' i , t j . whi hsuppor —the—determined—mark -M f9r —in-deft -g libUttlZjs were"insiidere equally. The indicated value per square foot reflects the marginal utility of each site as the site size increases the value per sq ft decreases. I ESTIMATE THE MAR VALUE, AS DEFINED, OF SUBJECT PROPERTY AS OF March 10 19 97 to be $ 81,000 • Appraiser( s Review Appraiser IN applicable) ehly L. ieneker F7 Did Did Not Physically Inspect Property MacAppraiser- Real Estate Appraisal Software by Bradford and Hobbins (ado) 622-utz/. COMMENT ADDENDUM File No. 2226 Property Address 183XX 80th Avenue West City Edmonds Courtly Snohomish state WA zip code 98026 Lender/Client City of Edmonds Address 250 5th Avenue North, Edmonds, WA 98020 SALES COMPARISON (Scope): A thorough search was made to find the most comparable properties to the subject which have sold recently. The sources of information utilized include Northwest Multiple Listing Service's Moore Compass system, Transamerica Information Management Service's Metroscan system, county assessors records, and conversations with persons familiar with the local real estate market. The subject's market area was searched for similar size lots that have transferred sale in the past year. The comparables utilized in the report are the best market data available. Report Comparable No. 1 is a smaller size lot with a steeply sloped topography up from the street. Approximately $14,000 to $16,000 was spent on preliminary work on this property, including a geo-tech report, topographical survey, land survey, and building plans. The view is territorial. Report Comparable No. 2 is a smaller size lot with a similar topography to the subject's. There is a fair sound and mountain view. Report Comparable No. 3 is a larger size lot that is steeply sloped down to the north from the street. There is a home on the property now that is near completion and was not a part of the sale. There is a fair sound and mountain view. The lot size of this comparable was calculated using MetroScan's plat map calculation program. Therefore, the lot size is an approximation and does not refute an actual survey. This estimation is relied upon as the best information available. MacAppralser^" Real Estate Appraisal Software by Bradford and Robbins (800) 622-8727. Page i of 1 PLAT MAP Rio NO. 2226 Property Address _ 183XX 80th Avenue West CRY Edmonds County Snohomish State WA zip Code 98026 Lander/Clierd City of Edmonds.., Address 250 5th Avenue North, Edmonds, WA 98020 11 % j OLY M P I C VIEW M -JAV 44Uti CL I I , 1 3 F % F th IS -11030 1S 83AOCNV > life it'! -I.- 111mmom N, MacAppralser7m Real Estate Appraisal Software by Bradford and Robbins (800) 622-8727. LOCATION MAP ADDENDUM File No. 2226 P Address 183XX 80th Avenue West city Edmonds county Snohomish state WA zlpCode 98026 Larder/CAeM City of Edmonds Address 250 5th Avenue North Edmonds WA 98020 MacAppralser- Real Estate Appraisa15011ware uy Craaara anc nouoms (am) o«wrcr. FIRREA ADDENDA, Page 1 of 3 Quantum Appraisal Company This report has been prepared to comply with appraisal standards set forth in the Financial Institution Reform, Recovery and Enforcement act of 1989. This report conforms to the provisions contained in the Office of Comptroller of the Currency 12 CFR Part 34, Subpart C - Appraisals as published in the Federal Register Volume 55. No. 165. Additionally, this appraisal conforms to the Office of Thrift Supervision Treasury's final rule 12 CFR Parts 506, 545, 563, 564 and 571. PURPOSE OF THE APPRAISAL The purpose of this appraisal is to estimate the subject's "Market Value", as defined in this report. This definition of "Market Value" is sufficient for Federally related mortgage purposes. DATES Unless otherwise noted, the effective date of the appraisal and the report date are the same and are shown on the URAR. USE OF THE APPRAISAL This appraisal has been prepared in conformity with the Uniform Standards of Professional Appraisal Practice and therefore can be used for the following: 1. Transfer of ownership, 2. Financing and credit, 3. Arbitration, 4. Taxation and 5. Estate settlement. SCOPE OF THE APPRAISAL The completion of this appraisal assignment involved a number of steps which can be summarized as follows: The public information specific to the subject and the comparable sales was analyzed. A physical inspection of the interior and exterior of the subject property was conducted. An exterior inspection of the most comparable sales was conducted and the sales comparable information was confirmed. The subject and comparables were analyzed as described in The Valuation Process below. THE VALUATION PROCESS The valuation process is a systematic procedure employed to provide the answer to a client's question about real property value. Three approaches can be applied to the analysis of data to derive a well -supported value conclusion. Although the approaches are interrelated, the property type and use will determine which approach of approaches are most appropriate. The Sales Comparison Approach is useful when date on recently sold or currently offered properties similar to the subject are available. These data are adjusted to reflect the differences between the comparable properties and the subject property. The Cost Approach is effective in valuing new improvements and properties that are not frequently exchanged in the market. In this approach a separate land value estimate is added to an estimate of the current cost to construct a reproduction or replacement of the improvements. Entrepreneurial profit is also added when applicable. From this total, the estimated depreciation and obsolescence from all causes is subtracted. The Income Capitalization Approach is used to appraise income -producing properties. The present value of the future benefits of property ownership is measured, and the property's anticipated income stream and resale value, or reversion, are capitalized into a present value. The Income Approach to value was considered and in most cases this approach was not applicable as single family residences are not typically purchased as an income amenity and there was insufficient data available to use this approach. In those instances where the subject property has been or will be used as an income producing property or when the subject property is located in an active rental market for single family residences, a rental analysis has been included. The appraisal report was completed in conformance with the current Uniform Standards of Professional Practice, as adapted by the Appraisal Standards Board of the Appraisal Foundation as of August 9, 1990. The Departure Provision of the USPAP does not apply to federally related transactions. USE OF RECOGNIZED APPRAISAL APPROACHES The appraiser has made reasonable effort to employ the three recognized approaches to value. As single family residences are less commonly purchased for investment purposes, the use of the Income Approach will only be used under the following conditions: 1.) At the request of the client for non -owner occupied residences or income producing properties. 2.) When sufficient market evidence exists in a neighborhood to indicated that rental properties or investor purchasers are typical, measurable and the analysis of same adds value to the appraisal process. FIRREA ADDENDA, Page 2 of 3 Quantum Appraisal Company HIGHEST AND BEST USE In estimating the subject's highest and best use to be for a single family residence, it was determined that this use is; physically possible, legally permissible, economically feasible and maximally productive. COMPETENCY OF THE APPRAISER The appraisers have the appropriate knowledge and experience to complete this assignment competently. SALES HISTORY Unless otherwise noted in the Comment Addenda, the subject property has not been sold in the past year, nor is there a current listing or pending sale. RENTS AND VACANCIES If applicable, current market rents and vacancies are reported and analyzed in an attached addendum. Typically the applicable form for a rent survey is the 1007. TREND ANALYSIS Market trends for this appraisal have been reported and discussed in the Neighborhood Analysis and/or the General Market Conditions sections of the appraisal. In addition, a Market Trend Analysis is included in the Comment Addenda. DEDUCTIONS AND DISCOUNTS The "As Is" value of the subject property is shown on the URAR. If the subject is appraised "Subject To" , Deductions and/or Discounts will be specifically identified in the Comment Addenda. PROHIBITED INFLUENCES The appraisal assignment was not based upon a requested minimum valuation, a specific evaluation or approval of a loan. Employment of the appraiser was not conditioned upon the appraisal producing a specific value or value within a given range. Neither employment nor compensation are based upon approval of any related loan application. APPRAISAL TYPE This is a summary appraisal report which is intended to comply with the report requirements set forth under Standard Rule 2-2(b) of the Uniform Standards of Professional Appraisal Practice for a summary appraisal report. As such, it might not include full discussions of the data, reasoning, and analyses that were used in the appraisal process to develop the appraiser's opinion of value. Supporting documentation concerning the data, reasoning, and analyses is retained in the appraiser's file. The information contained in this report is specific to the needs of the client and for the intended use stated in this report. The appraiser is not responsible for unauthorized use of this report. PERSONAL PROPERTY Any personal property involved in the transaction has been excluded from the valuation of the real property. Should a transaction which includes personal property of sufficient value to effect the market value of the real property be evident, a separate assessment of the personal property fixtures or intangible items will be included with the report as a separate valuation. HAZARDOUS SUBSTANCES DISCLAIMER Unless otherwise noted in this report, the existence of hazardous substances, including without limitation asbestos, polychlorinated biphenyls, petroleum leakage or agricultural chemicals, which may or may not be present on the property, or other environmental conditions, were not called to the attention of nor did the appraiser become aware of such during the appraiser's inspection. The appraiser has no knowledge of the existence of such materials on or in the property unless otherwise stated. The appraiser, however, is not qualified to test such substances or conditions. If the presence of such substances, such as asbestos, urea formaldehyde foam insulation, or other hazardous substances or environmental conditions, may affect the value of the property, the value estimate is predicated on the assumption that there is no such condition on or in the property or in such proximity thereto that it would cause a loss in value. No responsibility is assumed for any such conditions, nor for any expertise or engineering knowledge required to discover them. FIRREA ADDENDA, Page 3 of 3 Quantum Appraisal Company CERTIFICATION I certify that, to the best of my knowledge and belief: The reported analyses, opinions and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the Appraisal Institute. I certify that the use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. This appraisal was prepared exclusively for use of the client referenced throughout this report. The statements of fact contained in this report are true and correct. The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal unbiased professional analyses, opinions and conclusions. I have no present or prospective interest in the property that is the subject of this report, and I have no personal interest or bias with respect to the parties involved. My compsensation is not contingent on an action or event resulting from the analyses, opinions, or conclusions in, or the use of, this report. I have made a personal inspection of the property that is the subject of this report. No one provided significant professional assistance to the person signing this report. March 10. 1997 Henry L. Kie er Date WA270-17-EN-EH-L328PP DEFINITION OF MARKET VALUE: The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller, each acting prudently, knowledgeably and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: (1) buyer and seller are typically motivated; (2) both parties are well informed or well advised, and each acting in what he considers his own best interest; (3) a reasonable time is allowed for exposure in the open market; (4) payment is made in terms of cash in U. S. dollars or in terms of financial arrangements comparable thereto; and (5) the price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions* granted by anyone associated with the sale. *Adjustments to the comparables must be made for special or creative financing or sales concessions. No adjustments are necessary for those costs which are normally paid by sellers as a result of tradition or law in a market; these costs are readily identifiable since the seller pays these costs in virtually all sales transactions. Special or creative financing adjustments can be made to the comparable property by comparisons to financing terms offered by a third party institutional lender that is not already involved in the property or transaction. Any adjustment should not be calculated on a mechanical dollar for dollar cost of the financing or concession but the dollar amount of any adjustment should approximate the market's reaction to the financing or concessions based on the appraisers judgment. STATEMENT OF LIMITING CONDITIONS AND APPRAISER'S CERTIFICATION CONTINGENT AND LIMITING CONDITIONS: The appraiser's certification that appears in the appraisal report is subject to the following conditions: 1. The appraiser will not be responsible for matters of a legal nature that affect either the property being appraised or the title to it. The appraiser assumes that the title is good and marketable and, therefore, will not render any opinions about the title. The property is appraised on the basis of it being under responsible ownership. 2. The appraiser has provided a sketch in the appraisal report to show approximate dimensions of the improvements and the sketch is included only to assist the reader of the report in visualizing the property and understanding the appraiser's determination of its size. 3. The appraiser has examined the available flood maps that are provided by the Federal Emergency Management Agency (or other data sources) and has noted in the appraisal report whether the subject site is located in an identified Special Flood Hazard Area. Because the appraiser is not a surveyor, he or she makes no guarantees, express or implied, regarding this determination. 4. The appraiser will not give testimony or appear in court because he or she made an appraisal of the property in question, unless specific arrangements to do so have been made beforehand 5. The appraiser has estimated the value of the land in the cost approach at its highest and best use and the improvements at their contributory value. These separate valuations of the land and improvements must not be used in conjunction with any other appraisal and are invalid if they are so used. 6. The appraiser has noted in the appraisal report any adverse conditions (such as, needed repairs, depreciation, the presence of hazard wastes, toxic substances, etc.) observed during the inspection of the subject property or that he or she became aware of during the normal research involved in performing the appraisal. Unless otherwise stated in the appraisal report, the appraiser has no knowledge of any hidden or unapparent conditions of the property or adverse environmental conditions (including the presence of hazardous wastes, toxic substances, etc.) that would make the property more or less valuable, and has assumed that there are no such conditions and makes no guarantees or warranties, express or implied, regarding the condition of the property. The appraiser will not he responsible for any such conditions that do exist or for any engineering or testing that might be required to discover whether such conditions exist. Because the appraiser is not an expert in the field of environmental hazards, the appraisal report must not be considered as an environmental assessment of the property. 7. The appraiser obtained the information, estimates, and opinions that were expressed in the appraisal report from sources that he or she considers to be reliable and believes them to be true and correct. The appraiser does not assume responsibility for the accuracy of such items that were furnished by other parties. 8. The appraiser will not disclose the contents of the appraisal report except as provided for in the Uniform Standards of Professional Appraisal Practice. 9. The appraiser has based his or her appraisal report and valuation conclusion for an appraisal that is subject to satisfactory completion, repairs, or alterations on the assumption that completion of the improvements will be performed in a workmanlike manner. 10. The appraiser must provide his or her prior written consent before the lender/client specified in the appraisal report can distribute the appraisal report (including conclusions about the property value, the appraiser's identity and professional designations, and references to any professional appraisal organizations or the firm with which the appraiser is associated) to anyone other than the borrower; the mortgagee or its successors and assigns; the mortgage insurer; consultants; professional appraisal organizations; any state or federally approved financial institution; or any department, agency, or instrumentality of the United States or any state or the District of Columbia; except that the lender/client may distribute the property description section of the report only to data collection or reporting service(s) without having to obtain the appraiser's prior written consent. The appraisers written consent and approval must also be obtained before the appraisal can be conveyed by anyone to the public through advertising, public relations, news, sales, or other media. Freddie Mac Form 439 (6.93) MacAppralsetr- Real Estate Appraisal Software by Bradford and Robbins (800) 622-8727. Fannie Mae Form 1004E (6-93) APPRAISER'S CERTIFICATION: The Appraiser certifies and agrees that: 1. I have researched the subject market area and have selected a minimum of three recent sales of properties most similar and proximate to the subject property for consideration in the sales comparison analysis and have made a dollar adjustment when appropriate to reflect the market reaction to those items of significant variation. If a significant item in a comparable property is superior to, or more favorable than, the subject property, I have made a negative adjustment to reduce the adjusted sales price of the comparable and, if a significant item in a comparable property is inferior to, or less favorable than the subject property, I have made a positive adjustment to increase the adjusted sales price of the comparable. 2. I have taken into consideration the factors that have an impact on value in my development of the estimate of market value in the appraisal report. I have not knowingly withheld any significant information from the appraisal report and I believe, to the best of my knowledge, that all statements and information in the appraisal report are true and correct. 3. I stated in the appraisal report only my own personal, unbiased, and professional analysis, opinions, and conclusions, which are subject only to the contingent and limiting conditions specified in this form. 4. I have no present or prospective interest in the property that is the subject to this report, and I have no present or prospective personal interest or bias with respect to the participants in the transaction. I did not base, either partially or completely, my analysis and/or the estimate of market value in the appraisal report on the race, color, religion, sex, handicap, familial status, or national origin of either the prospective owners or occupants of the subject property or of the present owners or occupants of the properties in the vicinity of the subject property. 5. I have no present or contemplated future interest in the subject property, and neither my current or future employment nor my compensation for performing this appraisal is contingent on the appraised value of the property. 6. I was not required to report a predetermined value or direction in value that favors the cause of the client or any related party, the amount of the value estimate, the attainment of a specific result, or the occurrence of a subsequent event in order to receive my compensation and/or employment for performing the appraisal. I did not base the appraisal report on a requested minimum valuation, a specific valuation, or the need to approve a specific mortgage loan. 7. I performed this appraisal in conformity with the Uniform Standards of Professional Appraisal Practice that were adopted and promulgated by the Appraisal Standards Board of The Appraisal Foundation and that were in place as of the effective date of this appraisal, with the exception of the departure provision of those Standards, which does not apply. I acknowledge that an estimate of a reasonable time for exposure in the open market is a condition in the definition of market value and the estimate I developed is consistent with the marketing time noted in the neighborhood section of this report, unless I have otherwise stated in the reconciliation section. 8. I have personally inspected the interior and exterior areas of the subject property and the exterior of all properties listed as comparables in the appraisal report. I further certify that I have noted any apparent or known adverse conditions in the subject improvements, on the subject site, or on any site within the immediate vicinity of the subject property of which I am aware and have made adjustments for these adverse conditions in my analysis of the property value to the extent that I had market evidence to support them. I have also commented about the effect of the adverse conditions on the marketability of the subject property. 9. I personally prepared all conclusions and opinions about the real estate that were set forth in the appraisal report. If I relied on significant professional assistance from any individual or individuals in the performance of the appraisal or the preparation of the appraisal report, I have named such individual(s) and disclosed the specific tasks performed by them in the reconciliation section of this appraisal report. I certify that any individual so named is qualified to perform the tasks. I have not authorized anyone to make a change to any item in the report; therefore, if an unauthorized change is made to the appraisal report, I will take no responsibility for it. SUPERVISORY APPRAISER'S CERTIFICATION: If a supervisory appraiser signed the appraiser report, he or she certifies and agrees that: I directly supervise the appraiser who prepared the appraisal report, have reviewed the appraisal report, agree with the statements and conclusions of the appraiser, agree to be bound by the appraiser's certifications numbered 4 through 7 above, and am taking full responsibility for the appraisal and the appraisal report. ADDRESS OF PROPERTY APPRAISED: 183XX 80th Avenue West; Edmonds, WA 98026 APPRAISER: Signature: k �— Name: Henry . Kieneker Date Signed: March 14 1997 State Certification #: 270-17 KI-EN-EH-L328PP or State License #: State: WA Expiration Date of Certification or License: 10/17/97 SUPERVISORY APPRAISER (only if required) Signature: Name: Date Signed: State Certification #: or State License #: State: Expiration Date of Certification or License: ❑ Did ❑ Did Not Inspect Property Freddie Mac Form 439 6-93 MacAppralserm Real Estate Appraisal Software by Bradford and Robbins (800) 622-8727. Fannie Mae Form 1004E 6-93 EXPERIENCE QUANTUM APPRAISAL COMPANY (206) 814-1474 Lynnwood, WA President September 1994 to Present Quantum Appraisal Company is a Puget Sound Area appraisal firth that offers valuation and analytical services for financial institutions and other real estate professionals. Areas of specialization include residential and small income real estate appraisal for one to four unit properties. NORTHWEST CHARTER VALUATION (206) 282-2000 Seattle, WA Supervising Review Manager October 1993 to September 1994 Supervised operations for a practice offering a full range of valuation and analytical services for financial institutions and other real estate professionals. Areas of specialization include: residential appraisal, condemnation, tax reduction, feasibility studies, business valuations and litigated appraisals. The Seattle office bad as many as 25 residential appraisers. Appraiser October 1991 to October 1993 Appraised single family homes, multi -family homes, condominiums, waterfront, and million dollar plus in accordance with standard regulations, including; Uniform Standards of Professional Appraisal Practice, FIRREA, FHLMC, and FNMA. Top producer for 1992 and 1993. Record breaking month in September of 1993 with $21,000 in gross billings. EDUCATION University of Washington B.A. Economics RELATED Appraisal Institute COURSES AND • Technology Videoconference October 1995 SEMINARS • Fundamentals of Relocation Appraising October 1995 • Appraisal Review - Residential Properties May 1994 • Advanced Residential Form and Narrative Report Writing May 1994 • Appraisal Principles April 1994 • Appraisal Procedures April 1994 • Standards of Professional Practice, Parts A & R April 1994 Mykut School of Real Estate • Real Estate Law August 1993 North Seattle Community College • Real Estate Appraisal Principles April 1993 to June 1993 • Real Estate Appraisal — Residential September 1992 to December 1992 • Standards of Professional Practice January 1992 to March 1992 • Real Estate Seminar January 1992 to March 1992 Green River Community College • Appraising for HUD/FHA December 1994 PROFESSIONAL Washington State Certified Real Estate Appraiser January 1994 to Present LICENSES & SRA Candidate Affiliate April 1994 to Present AFFILIATIONS FREA member April 1994 to Present State Accredited Affiliate of the Appraisal Institute August 1994 to Present STATE OF WASHINGTON DEPARTMENT OF LICENSING - BUSINESS AND PROFESSIONS DIVISION THIS CERTIFIES THAT THE PERSON NAMED HEREON IS AUTHORIZED, AS PROVIDED BY LAW, AS A CERTIFIED RESIDENTIAL REAL ESTATE APPRAISER KIENEKER,HENRY L OUANTAM APPRAISAL CO 521 150TH PLACE SW LYNNWOOD WA 98037-2682 Reference Number Issued Date Expiration Date 27017 KI-EN-EH-L328PP 01-27-94 10-17.97 DIRECTOR