FROM: Robert Thompson, General Manager
Originator: Mike Dorman, Director of Engineering
SUBJECT:
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PARTIAL QUITCLAIM DEED, EASEMENT RELINQUISHMENT AGREEMENT, GRANT OF EASEMENT, AND ENCROACHMENT AGREEMENT AT 3150 BEAR STREET, COSTA MESA
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GENERAL MANAGER'S RECOMMENDATION
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RECOMMENDATION: Recommend to the Board of Director to:
A. Approve the execution of a Partial Quitclaim Deed and the Easement Relinquishment Agreement for an easement at 3150 Bear Street, Costa Mesa, California, with MTHCALV-I BEAR STREET, LLC, and accept $165,000 as consideration for the relinquished easement rights, together with a Grant of Easement and an Encroachment Agreement, in forms approved by General Counsel; and
B. Direct the Clerk of the Board to record documents with the Orange County Clerk-Recorder’s Office.
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BACKGROUND
MTHCALV-I BEAR STREET, LLC is constructing a 142-unit single-family residential development consisting of attached and detached homes located at 3150 Bear Street in Costa Mesa. To accommodate the proposed development, three separate real estate actions are required.
Partial Quitclaim of Easement and Easement Relinquishment Agreement: The developer has requested that Orange County Sanitation District (OC San) partially quitclaim an underutilized portion of its existing easement located near the northeast corner of the property, as depicted in Exhibit B of the Quitclaim Deed. As consideration for the partial relinquishment of easement rights, the developer will pay OC San. The value of the relinquishment was established based on a property survey and a formal appraisal prepared by a licensed real estate appraiser.
Grant of Easement: To maintain long-term access to OC San's facilities, the developer will grant OC San a new access easement over a portion of the property, as depicted in Exhibit A of the Grant of Easement. The new access easement provides an alternative access route and ensures OC San retains the necessary access for the operation, maintenance, and protection of its facilities.
Encroachment Agreement: The developer and OC San will enter into an Encroachment Agreement authorizing the construction and installation of paving, a private storm drainage system and associated utilities within the easement area, together with parking facilities, landscaping and planting improvements, turf block, and an access roadway. The Encroachment Agreement authorizes these improvements within OC San's property interests established under that certain Final Judgment in Condemnation, recorded November 15, 1962, in Book 6324, Page 712 of the Official Records of Orange County, California, while preserving OC San's property rights and continued access to its facilities.
RELEVANT STANDARDS
• Protect OC San assets
• Maintain collaborative and cooperative relationships with regulators, stakeholders, and neighboring communities
• Operate and maintain facilities to minimize impacts on surrounding communities, including odor, noise, and lighting
PROBLEM
OC San retains its easement rights at 3150 Bear Street unless and until a Quitclaim Deed is recorded. Any improvements or encroachments within OC San's easement areas require prior approval and authorization from OC San.
PROPOSED SOLUTION
Approve the Partial Quitclaim Deed, Easement Relinquishment Agreement, Grant of Easement, and Encroachment Agreement.
TIMING CONCERNS
Development is starting to move forward. If these actions do not occur, it could lead to potential delays.
RAMIFICATIONS OF NOT TAKING ACTION
The proposed improvements would remain an unauthorized encroachment within OC San's existing easement, and OC San would have reduced access to its sewer infrastructure for future operation, maintenance, and emergency response activities.
PRIOR COMMITTEE/BOARD ACTIONS
N/A
CEQA
N/A
ATTACHMENT
The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package:
• Partial Quitclaim Deed
• Easement Relinquishment Agreement
• Grant of Easement
• Encroachment Agreement