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HomeMy WebLinkAbout01/18/2005, C2 - APPROVAL OF MILLS ACT CONTRACT FOR THE HISTORIC MICHAEL RIGHETTI HOUSE (O 197-04). i council M"dx°� ,l acEnaa REpoRt h. C ITY O F SAN LU I S O B I S P O FROM: John Mandeville, Director of Community Developmenqll�t Prepared By: Jeff Hook, Senior Planner SUBJECT: APPROVAL OF MILLS ACT CONTRACT FOR THE HISTORIC MICHAEL RIGHETTI HOUSE (O 197-04). CAO RECOMMENDATION: As recommended by the Cultural Heritage Committee (CHC), adopt resolution approving a Mills Act contract for the historic Michael Righetti House, located at 1314 Palm Street. DISCUSSION Advisory Body Recommendation At its November 22, 2004 public hearing, the CHC voted 5-0 to recommend that the City Council approve a Mills Act Contract for the historic Michael Righetti House (Attachment 7). Background In December 2000, the City Council approved the Mills Act Program as an on-going historic preservation program and allowed up to 10 additional historic properties to be included in the program annually. Originally begun in 1996 as a pilot program, the Mills Act Program allows - the City to enter into preservation contracts with the c , owners of designated historic properties who promise * to preserve, maintain and in some cases, improve the �- properties in return for property tax savings. Twenty " historic properties are already benefiting from the i r program and realizing property tax reductions of up to + 50 percent (see list of Mills Act properties, Attachment 5). The City recently received a request 16bythe new owners of the historic Michael Righetti house to be included in the Mills Act program. The property is on the City's Master List of Historic Resources due to its architectural and historical significance. The building's new owners are doing an ----- extensive restoration of the original Victorian-styled - �"'!' ''' -• house which was converted to apartments in the early 1900s. f 'I Historic Reconstruction of the Michael Righetti House I � City Council Staff Report, 1314 Palm Street Page 2 Mills Act Contracts Historic Preservation is an important goal of the City's General Plan. By providing a financial incentive, the Mills Act Program is one of the most effective preservation tools available to achieve that goal and encourage the preservation of heritage properties. Only commercial and residential properties on the Master List of Historic Resources are eligible for the program. The Mills Act contracts were prepared using standard language provided by the State Historic Preservation Office. The contracts differ substantively only in Exhibits A and B, which describe the historic property and the property owners' planned maintenance and improvement programs. Standard features of the contracts include: 1. The County Tax Assessor assesses the historic property's value using a "Capitalization of Income" method. This assessment method can often result in significant property tax savings, particularly for properties acquired after the 1990s. If the contract is canceled, the assessment is gradually increased to market value basis over the remaining contract term. 2. The property owner must promise to preserve the building and to use the tax savings to maintain and/or improve the historic building to enhance its historical value, exterior appearance, structural condition, or longevity. Each contract includes an exhibit which lists the maintenance and improvement measures for which tax savings will be used. 3. The contract is recorded, and is binding on subsequent owners, heirs, or assigns until the agreement is canceled. There is a significant financial penalty for breach of the historic contract. 4. Mills Act Contracts have a minimum 10-year term. The agreement is self-renewing annually for additional one-year terms, so there is always 10 years remaining on the contract until the owner or City decides not to renew the contract. Once written notice of non-renewal is given, the contract will remain in effect for the balance of the term remaining since the original contract execution or since the last renewal date, as the case may be. The agreement may be amended by mutual consent of the City and property owner. 5. Building changes are possible under the contract, however changes must comply with all City requirements and with the Secretary of the Interior's Standards for Historic Preservation Projects, with the guiding objective being the preservation of the building's original historical character and significance. Site Data Address: 1314 Palm Street Historic Name: Michael Righetti House Owners: Vince Fonte, Brendan McAdams, Rob Rossi Current Use: Apartments Zoning: R-3-H (Medium-High Density Residential) Status: The Master List property is undergoing historic restoration and a new "coach bam" addition. 0a �a City Council Staff Report, 1314 Palm Street Page 3 Historic Background Built in 1877, the Michael Righetti house is one of the largest and best examples of the Queen Anne style of home building, and one of the oldest surviving wood frame residences of this genre in the City. Highly detailed, and with extensive exterior and interior ornamentation, the property was divided into apartments and underwent several significant exterior changes, including exterior stairs and wall modifications. The house had become dilapidated and the grounds overgrown until the property's recent purchase. The new owners hope to use the Mills Act and possibly, federal historic rehabilitation tax credits, to offset the costs of this extensive restoration. The new owners are restoring the home to original character for continued use as high-quality, historic apartments. The rehabilitation process has already begun with the installation of a new foundation. Additional work planned includes seismic strengthening, replacing/restoring the roof, repainting the house exterior, repairing, replacing and restoring original exterior architectural features, replacing, restoring windows and doors, restoring exterior siding, restoring interior architectural features, replacing/restoring original stairs and Queen Anne style porches, replacing original landscape elements, installing heating and fire protection systems, and correcting structural, electrical and safety problems. And perhaps most notable from a historical context perspective, removing the 4-unit apartment building built in the front yard, thus restoring the full view of the home from Palm Street not seen since the 1940s.. The garages fronting on Johnson Avenue (not believed to be original) will be demolished, and a new coach bam constructed with 3 studio units above. Surface parking spaces will be added adjacent to Johnson Avenue, recessed and screened from street view.. The new units will be consistent with Zoning Regulations and their design will complement the historic house. The proposed design will be reviewed by the Cultural Heritage Committee and the Architectural Review Commission. FISCAL IMPACT Approval of the agreement will not have any significant fiscal impact. ATTACHMENTS 1. Vicinity Map 2. Property Owners' Letter 3. CHC Historic Inventory 4. Historic Photo 5. List of Historic Properties under Mills Act Contracts 6. Cultural Heritage Committee Minutes 7. Draft Council Resolution and Mills Act Contract 1h/UM illsAcMghetdHouse_CCrpt ca�3 1314 PALM 001-223-008 /* A........ ........ .... WA Attachment 1 CITY OF SAN LUIS OBISPO GEODATA SERVICES 955 MORRO STREET SAN LUIS OBISPO,CA 93401 (805)781-7167 11/10/200 10:27 Attachment 2 Vincent S. Fonte Brendan McAdams Rob Rossi 1825 Tiburon Way San Luis Obispo CA 93401 805 543-2285 805 541-6761 FAX October 12,2004 City of San Luis Obispo 990 Palm Street San Luis Obispo CA 93401 Attention: Jeff Hook, Community Development Department Re: Mills Act Program Property: 1314 Palm Street, San Luis Obispo CA 93401 Parcel#: 01-223-08 Dear Jeff Hook: This is a letter of interest to have our property at 1314 Palm Street, San Luis Obispo, be considered for the Mills Act Program. We are restoring the above property to its original character. This property is known as the Michael Righetti House. It was constructed in 1877. (See attached Historic Resources Inventory.) Character-defining features shall include, but are .not limited to: roof, eaves, trim, porches, walls and siding, architectural detailing, doors and windows, window screens and shutters, balustrades and railings, foundations and surface treatments. We will be doing the following improvements: Installing new foundation Seismically strengthening the buildling Replacingtrestoring the roof Repainting house exterior Repairing, replacing and restoring original exterior architectural features Replacing, restoring windows and doors Restoring exterior siding Restoring interior architectural features Replacing/restoring original stairs and Queen Anne style porches Replacing original landscape elements Installing heating and fire protection systems Correcting structural,electrical and safety problems Attachment 2 This is one of the oldest surviving wood frame residences in the city today. We are very elated to be part of this renovation of this fine home in San Luis Obispo. The improvements will enhance the building's historic character in an exemplary fashion, and will follow the Secretary of Interior's Standards for Historic Preservation Projects. Sincerely, Vincent S. Fonte State of California-The Rescurp ,my ) 0086-05R _..No. DEPARTMENT OF PARKS AND RECREATION HAGS_ HAER NR9_ SHL _ Loc_ UTM: A 10/713090/39070308 HISTORIC RESOURCES INVENTORY C D IDENTIFICATION Attachment 31. Common name: 2. Historic name: Michael Rivhetti House 3. Street or rural address: 1314 Palm Street Cit% San Luis ObispoZip X33401 County San Talts Obispo . 4. Parcel number: 01-223-08 5. Present Owner: Kalman, T. and I. Address: 14 56 Tanglewood Ct. City San Luis Obispo Zip 93401 Ownership is: Public Private X 6. Present Use: Multiple Residence Original use: Residence DESCRIPTION 7a. Architectural style: Pueen Anne 7b. Briefly describe the present physical description of the site or structure and describe any major alterations from its original condition: This large two story Oueen Anne fronts on Palm Street, with an irregular L-shaped side entrance facing Johnson. The ornamentation and indentation are reflected in the multiple roof lines with gables facing in all directions at different heights. There is clapboard siding below and fishscale in .the upper areas. Many richly detailed appliques and ornaments adorn the home. A verandah extends across the front, curving at the corner. There is a double door entry, topped with a mullioned transom. A door in three panel wood with etched glass in the upper left is there. A front window is one-over-one double hung, stained glass transom. A second floor balcony over the porch has an arched opening revealing multi-lite French doors. There is another curved verandah- A gable with overhead triplet has 1/1 double hung windows and roof brackets. The higher gable has a row of four fixed pane windows. "AD 1877" is carved into the pediment. The .curved bay window is topped by a separate gable roof, and a multi-light window. a..t 8. Construction� 7 csa`� Estimated Factual Unknown < ,'•i /� S. Architect i Unknown \ tl� 10. Builder i 11. Approx.property size (in feet) ? 1 Frontage 130' Depth 180' or approx. acreage i o 12. Dafe(s) of enclosed photograph(s) January 1982 DPR 523 (Rev.4/79) Attachment 3 13. Condition: Excellent _uuod X Fair_ Deteriorated No -")r in existence 14. Alterations: 15. Surroundings: (Check more than one if necessary) Open land ._,Scattered buildings_Densely built-up Residential X Industrial _Commercial Other: 16. Threats to site: None known-R—Private development_ Zoning _ Vandalism Public Works project Other: 17. Is the structure: On its original site?YeS Moved? Unknown? 18. Related features: SIGNIFICANCE 19. Briefly state historical and/or architectural importance(include dates,events.and persons associated with the site.) A graceful nueen Anne home, embracing the corner of Palm Street and Johnson Avenue, with an entrance on each street, was the family home of Michael Righetti, his wife and two daughters. Presumably it was built in 1877, as tete date is etched into a third floor cupola. This makes it one of the oldest surviving wood frame residences in the city today. The Righetti family, of Swiss background were dairy ranchers and producers of milk products for many years. Sold to the Welch family, the home was divided into apartments and -remains a multiple dwelling. 7 Locational sketch map(draw and label site and { surrounding streets,roads,and prominent landmarks): 20. Main theme of the historic resource: (If more than one is NORTH i checked,number in order of importance.) Architecture 1 Arts& Leisure Economiclindustrial 2 Exploration/Settlement Government Military Religion Social/Education 21. Sources(List books,documents,surveys,personal interviews and their dates). History of San Luis Obispo County by Myron Angel, 1883 22. Date form prepared 'runp 1 5 1981 By (name).. - or - S11"MI-. Ctaff Organization ('i tv of Can T rti c A i c=n Address•P.O. Box 321 City San Luis Obispo Zip 93401 Phone: 80 4 -1000 .r s S s s ro 3 !L r 1 •'s:.�ye� 1t �.,g. �^\^�•• � iii 4A�,t''�a: +/1 ffi w A y ,v N � t h � Y 'T. December 2004 Attachment 5 � ciV 0f San lues OBISp0 List of Historic Properties Under Mills Act Contracts Listing Property Owner Address Historic Name 1. Randy and Shane LaVack 670 Islay St. Fitzpatrick House 2. Robt. and Zoe Schrage 1167 Marsh St. Graves House 3. G. Johnson and V. Wood 547 Marsh St. Kaetzel House 4. Malcolm and Peggy Carlaw 461 Islay St. Erickson House 5. David and Cathy Holmes 591 Islay St. Sandercock Home 6. Lorilee M. Silvaggio 752 Buchon St. Stanton House 7. Astrid Gallagher 1763 Santa Barbara Tribune-Republic Bldg. 8. Astrid Gallager. 1717 Santa Barbara William M. Duff House 9. Astrid Gallagher 1105 George St. Edward F. Bushnell House 10. Gregory and Kristi Logan 896 Buchon St. Crosset.House 11. Carol Adams 745 Buchon St. Bradbury Home 12. Bill and Michelle Walters 1504 Broad St. Vetterline House 13. J. Kelly Moreno 1511 Morro St. Martha Dunlap House 14. Mary Marquardt 1435 Broad St. George Miller House 15. Keith and Kathy Godfrey 963 Broad St. Manderscheid House 16. Dan and Kathy Smith 1212 Garden St. McCaffrey/Goldtree House Ca - I ) Properties Under Mills Act Contracts — Attachment 5 Page 2 17. David W. Hannings 642 Monterey St. Hays-Latimer'Adobe 18. Stephen and Eileen Sicanoff 1720 Johnson Ave. The Judge's House 19. Gordon and Deanne Oliver 1428 Nipomo St. Rogers/Sandercock House 20. Lorilee Silvaggio 1117-1119 Marsh St. Esquar House jhILIMiusncd:mus04ist ca. - � � A CHC Meeting Minutes,November 22, 2004 Attachi hent 6 Page 2 2. 1117 Marsh Street.ARC MI 2-04; Review minor changes to existing historic residence,O zone; Charle a Souza and Gary Toll,applicants. The applicants were not esent for this item. Committee members felt the window changes were not consistent wit Secretary of the Interior Standards for the Treatment of Historic Properties, but seeing a applicants were not present, continued the item to allow discussion with the applicant. St was directed to relay the Committee's concerns to the applicants and explore alternative str tegies to rehabilitate the original windows or replace with matching windows where necess On a motion by Committee member Baer, seconded by Committee member Crotser, the Co 'ttee continued the item to a date uncertain. 3. 720 Islay Street. AR 98-04; Review of a new one-bedroom unit in the R-2-H zone; Patrick Aurignac,app6 t. Jeff Hook presented the staff report an rnie Kim, project architect, described the project. He explained that the four-car garage would s e the house and the rear one-bedroom apartment. He said the garage and apartment addition wou atch colors and materials of the house which the CHC previously approved and which is nearing c pletion. Linda Overton, 1536 Broad Street, was concerned abou the height of the house and the rear building and noted that she lived immediately adjacent to a project in a one-story house. She was concerned about the loss of privacy due to overlook fro the new units into her house and yard, and would, as a minimum, like to see a taller fence be een the properties and appropriate screen landscaping. She objected to the Redwood tree prop sed along the property line since she felt it become a maintenance problem when it grew acro their common property line onto her property. Neighbor Steve Matejcek, 1544 Broad Street, s Ms. Overton's concerns. Committee members supported the sect design and felt it was consistent with Historic Preservation Program Guidelines a compatible with the Historic District, although members were concerned with the privacy/o erlook issue raised by neighbors. Mr. Kim indicated that his client was amenable to working w h neighbors to address the privacy issue and felt a taller fence was possible. After a brief discussio , d on a motion by Committee member Crotser, seconded by Committee member Breska, the Co determined that the proposed garage and one bedroom apartment were compatible with the D ntown Historic District, and consistent with the Secretary of the Interior's Standards for the atment of Historic Properties and the City's Historical Preservation Program Guide]' and referred the project to the Community Development Director to approve th oject, with consideration of privacy protection measures to address neighbor concerns. The carried, 5-0. 4. 1314 Pahn Street. O 197-04; Mills Act Contract for historic Michael Righetti House; R-3-H zone; Vince Fonte,applicant. Jeff Hook presented slides showing the condition of the building's interior and exterior and current construction to restore the home's original exterior. Rob Rossi and Vince Fonte, property ea - a �1 CHC Meeting Minutes,November 22, 2004 Attachi nent 6 Page 3 owners, explained the project and noted that the house would continue to be used as apartments, but that the number of apartments was being reduced from 12 to 10(nine apartments in the house and three new apartments over the garage in the rear). The "boxy" four-unit apartment at the corner of Palm and Johnson was being removed as part of this project, and the house was being completely restored and refurbished in to quality apartments. Mr. Rossi asked for the Committee's support to include the house in the Mills Act Program and to consider tonight's review as satisfying the historical review requirement for house's restoration. He acknowledged the three-unit apartment and garage would come back for CHC review later. John Taylor, owner of the Palm Court Apartments at 949 Johnson, supported the project and felt it was a"poster child" for the Mills Act Program. Linda Overton agreed the house was historically important and felt the Mills Act would help in its restoration and preservation. Committee members commended the applicants for restoring a historical community treasure and on a motion by Vice-Chairperson Wheeler, seconded by Committee member Crotser, voted 5-0 to recommend the City Council approve a Mills Act contract for the historic Michael Righetti House, as provided in the draft contract attached to the November 22, 2004 staff report. 5. 1429 Osos Street. ARC 97-0 . Consideration of request to no the Frank Mitchell House to the r List of Historic Resources, R-2-H zone; Eric Meyer, applicant. Jeff Hook presented a brief st ff report and Eric Meyer, property owner, explained his request. He explained he was restoring house as close as possible to its original appearance when Frank Mitchell owned and lived the He felt the property clearly met the City's eligibility criteria. for the Master List, given Mr. Mitc 's importance as a local builder, Mayor and City Council member, and County Supervisor: He int ed to apply for the Mills Act contract if the CHC supported Master List status. After a brief discussion, and on a motion by Committee m mber Pavlik, seconded by Committee member Baer, the Committee voted 5-0 to determine hat the property meets the Historical Preservation Program Guidelines eligibility criteri or listing on the Master List of Historic Resources, and to forward a nomination to the C' Council based on these findings: Findings: Architectural Criteria I. Style 2. Rarity of existence i. The house is perhaps the onl aining pre-1880 brick residence in San Luis Obispo. C�.- (3 \ j DRAFT Attachment 7 RECORDING REQUESTED BY: CITY OF SAN LUIS OBISPO WHEN RECORDED RETURN TO: City of San Luis Obispo 990 Palm Street San Luis Obispo,CA 93401 Attn: City Clerk Recorded for the benefit of the City of San Luis Obispo at No Fee Under Section 27383 of the Government Code. The undersigned declare that there is no documentary transfer tax on this matter. RESOLUTION NO. (2005 Series) APPROVING AN HISTORIC PROPERTY PRESERVATION AGREEMENT BETWEEN THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO,IN THE COUNTY OF SAN LUIS OBISPO,STATE OF CALIFORNIA,AND VINCE FONTE, BRENDAN MCADAMS,AND ROB ROSSI, OWNERS OF A DESIGNATED HISTORIC RESOURCE AT 1314 PALM STREET,IN SAN LUIS OBISPO. WHEREAS, the City Council of the City of San Luis Obispo is authorized by California Government Code Section 50280 et seq. (Known as "the Mills Act") to enter into contracts with the owners of qualified historical properties to provide for appropriate use, maintenance, and rehabilitation such that these historic properties retain their historic characteristics; and WHEREAS, the City Council has adopted Resolution No. 9136 (2000 Series), establishing the Mills Act Historic Property Tax Incentive Program as an on-going historic preservation program to promote the preservation, maintenance and rehabilitation of historic resources through financial incentives; and WHEREAS, the owners possess fee title in and to that certain qualified real property, together with associated structures and improvements thereon, located on Assessor's Parcel Number 001-223-008, located at 1314 Palm Street, San Luis Obispo, California 93401, also described as the Michael Righetti House, (hereinafter referred to as the "historic property"); and WHEREAS, the City Council of the City of San Luis Obispo has designated this property as an historic resource of the City of San Luis Obispo pursuant to the policies in the City's Historic Preservation Program Guidelines and WHEREAS, the City and owners, for their mutual benefit, now desire to enter into this agreement to limit the use of the property to prevent inappropriate alterations and to ensure that CQ - 14 i Attachment 7 Council Resolution No. (2005 Series) Page 2 character-defining features are preserved and maintained in an exemplary manner, and repairs and/or improvements are completed as necessary to carry out the purposes of California Government Code, Chapter 1, Part 5 of Division 1 of Title 5, Article 12, Sec. 50280 et seq., and to qualify for an assessment of valuation pursuant to Article 1.9, Sec. 439 et. M. of the Revenue and Taxation Code. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of San Luis Obispo as follows: SECTION 1. Historic Preservation Agreement approved. The City Council hereby approves the attached historic preservation agreement between the City of San Luis Obispo and the owners, Attachment 1. SECTION 2. Mayor Authorized to Sign Agreement for City. The City Council hereby authorizes the Mayor to execute said agreement on behalf of the Council of the City of San Luis Obispo. SECTION 3. Environmental Determination. The City Council has determined that this historic preservation agreement is not a project, as defined by Section 15378 of the California Environmental Quality Act and is exempt from environmental review. SECTION 4. Recordation of the Agreement. No later than twenty (20)days after the parties execute and enter into said agreement, the City Clerk shall cause this agreement to be recorded in the Office of the County Recorder of the County of San Luis Obispo. Upon motion of , seconded by , and on the following roll call vote: AYES: NOES: ABSENT: The foregoing Resolution was adopted this . 2005. Mayor David F. Romero ATTEST: Audrey Hooper, City Clerk Attachment 7 APPROVED: Jo Lowell, City Attorney Ca. - f � Attachment 7 Attachment 1 HISTORIC PROPERTY PRESERVATION AGREEMENT BETWEEN THE CITY OF SAN LUIS OBISPO AND THE OWNERS OF HISTORIC PROPERTY LOCATED AT 1314 PALM STREET, IN THE CITY AND COUNTY OF SAN LUIS OBISPO,STATE OF CALIFORNIA. THIS AGREEMENT is made and entered into this_day of , 2005, by and between the City of San Luis Obispo, a municipal corporation (hereinafter referred to as the "City"), and Vince Fonte, Brendan McAdams, and Rob Rossi (hereinafter referred to as "Owners"), and collectively referred to as the "parties." Section 1. Description of Preservation Measures. The owners, their heirs or assigns hereby agree to undertake and complete, at their expense, the preservation, maintenance and improvements measures described in "Exhibit A", attached hereto. Section 2. Effective Date and Term of Agreement. This agreement shall be effective and commence upon recordation, and shall remain in effect for an initial term of ten (10) years thereafter. Each year upon the anniversary of the agreement's effective date, such initial term will automatically be extended as provided in California.Government Code Section 50280 through 50290 and in Section 3, below. Section 3. Agreement Renewal and Non-renewal. A. Each year on the anniversary of the effective date of this agreement (hereinafter referred to as "annual renewal date"), a year shall automatically be added to the initial term of this agreement unless written notice of nonrenewal is served as provided herein. B. If the Owner or the City desires in any year not to renew the agreement, the Owner or the City shall serve written notice of nonrenewal of the agreement on the other party. Unless such notice is served by the Owner to the City at least ninety (90)days prior to the annual renewal date, or served by the City to the Owner at least sixty(60)days prior to the annual renewal date,one (1) year shall automatically be added to the term of the agreement as provided herein. C. The Owner may make a written protest of the notice. The City may, at any time prior to the annual renewal date, withdraw its notice to the Owner of nonrenewal. D. If either the City or the Owner serves notice to the other party of nonrenewal in any year, the agreement shall remain in effect for the balance of the term then remaining. Section 4. Standards and Conditions. During the term of this agreement, the historic property shall be-subject to the following conditions: k.A ' I Attachment 7 Historic Property Agreement, 1314 Palm Street Page 2 A. Owner agrees to preserve, maintain, and, where necessary;restore or rehabilitate the property and its character-defining features, including: the building's general architectural form, style, materials;design, scale;proportions, organization of windows, doors, and other openings; interior architectural elements that are integral to the building's historic character or significance; exterior materials, coatings, textures, details, mass, roof line, porch and other aspects of the appearance of the building's exterior, as described in Exhibit A, to the satisfaction of the Community Development Director or his designee.. B. If the building's interior closely relates to the property's eligibility as a qualified historic property, the Owner agrees to allow pre-arranged tours on a.limited basis, to the approval of the Community Development.Director or his designee. C. All building changes shall comply with applicable City specific plans, City regulations and guidelines, and conform to the rules and regulations of the Office of Historic Preservation of the California Department of Parks and Recreation, namely the U.S. Secretary of the Interior's Standards for Rehabilitation and Standards and Guidelines for Historic Preservation Projects. Interior remodeling shall retain original, character- defining architectural features such as oak and mahogany details, pillars and arches, special tilework or architectural ornamentation,to the greatest extent possible. D. The Community Development Director shall be notified by the Owner of changes to character-defining exterior features prior to their execution, such as major landscaping projects and tree removals, exterior door or window replacement, repainting; remodeling, or other exterior alterations requiring a building permit. The Owner agrees to secure all necessary City approvals and/or permits prior to changing the building's use or commencing construction work. E. Owner agrees that property tax savings resulting from this agreement shall be used for property maintenance and improvements as described in Exhibit A. F. The following are prohibited: demolition or partial demolition of the historic building or accessory buildings; exterior alterations or additions not in keeping with the standards listed above; dilapidated, deteriorating or unrepaired structures such as fences, roofs, doors, walls, windows; outdoor storage of junk, trash, debris, appliances, or furniture visible from a public way; or any device, decoration, structure or vegetation which is unsightly due to lack of maintenance or because such feature adversely affects, or is visually incompatible with, the property's recognized historic character, significance and design, as determined by the Community Development Director. G. Owner shall allow reasonable periodic examination, by prior appointment, of the interior 0a I �, Attachment 7 Historic Property Agreement, 1314 Palm Street Page 3 G. and exterior of the historic property by representatives of the County Assessor; the State Department of Parks and Recreation, the State Board of Equalization, and the City, as may be necessary to determine the owners' compliance with the terms and provisions of this agreement. Section 5. Furnishing of Information. The Owner hereby agrees to furnish any and all information requested by the City which may be necessary or advisable to determine compliance with the terms and provisions of this agreement. Section 6. Cancellation. A. The City, following a duly noticed public hearing by the City Council as set forth in Government Code Section 50285, may cancel this agreement if it determines that the Owner has breached any of the conditions of this agreement or has allowed the property to deteriorate to the point that it no longer meets the standards for a qualified historic property; or if the City determines that the Owner has failed to preserve, maintain or rehabilitate the property in the manner specified in Section 4 of this agreement. If a contract is canceled because of failure of the Owner to preserve, maintain, and rehabilitate the historic property as specified above, the Owner shall pay a cancellation fee to the State Controller as set forth in Government Code Section 50286, which states that the fee shall be 12 1/2% of the full value of the property at the time of cancellation without regard to any restriction imposed with this agreement. B. If the historic property is acquired by eminent domain and the City Council determines that the acquisition frustrates the purpose of the agreement, the agreement shall be canceled and no fee imposed, as specified in Government Code Section 50288. Section 7. Enforcement of Agreement. A. In lieu of and/or in addition to any provisions to cancel the agreement as referenced herein, the City may specifically enforce, or enjoin the breach of, the terms of the agreement. In the event of a default, under the provisions to cancel the agreement by the Owner, the City shall give written notice of violation to the Owner by registered or certified mail addressed to the address stated in this agreement. If such a violation is not corrected to the reasonable satisfaction of the Community Development Director or designee within thirty (30) days thereafter; or if not corrected within such a reasonable time as may be required to cure the breach or default of said breach; or if the default cannot be cured within thirty (30) days (provided that acts to cure the breach or default may be commenced within thirty(30) days and shall thereafter be diligently pursued to completion by the Owner); then the City may, without further notice, declare a default under the terms of this agreement and may bring any action necessary to specifically enforce the obligations of the Owner growing out of the terms of this agreement, apply to :,2- "r L� i Attachment 7 Historic Property Agreement,1314 Palm Street Page 4 any court, state or federal, for injunctive relief against any violation by the owners, or apply for such relief as may be appropriate. B. The City does not waive any claim of default by the Owner if the City does not enforce or cancel this agreement. All other remedies at law or in equity which are not otherwise provided for in this agreement or in the City's regulations governing historic properties are available to the City to pursue in the event that there is a breach or default under this agreement. No waiver by the City of any breach or default under this agreement shall be deemed to be a waiver of any other subsequent breach thereof or default herein under. C. By mutual agreement, City and Owner may enter into mediation or binding arbitration to resolve disputes or grievances growing out of this contract. Section & Binding Effect of Agreement. The Owner hereby subjects the historic property located at 1314 Palm Street, San Luis Obispo, California, to the covenants, reservations, and restrictions as set forth in this agreement. The City and Owner hereby declare their specific intent that the covenants, reservations, and restrictions as set forth herein shall be deemed covenants running with the land and shall pass to and be binding upon the Owner's successors and assigns in title or interest to the historic property. Every contract, deed, or other instrument hereinafter executed, covering or conveying the historic property or any portion thereof, shall conclusively be held to have been executed, delivered; and accepted subject to the covenants, reservations, and restrictions expressed in this agreement regardless of whether such covenants, restrictions, and reservations are set forth in such contract; deed, or other instrument. Section 9. Notice. Any notice required by the terms of this agreement shall be sent to the address of the respective parties as specified below or at other addresses that may be later specified by the parties hereto. To City: Community Development Director City of San Luis Obispo 990 Palm Street San Luis Obispo, CA 93401 To Owners: Section 10. General Provisions. A. None of the terms, provisions, or conditions of this agreement shall be deemed to create a partnership between the parties hereto and any of their heirs, successors or assigns, nor C� �� Attachment 7 Historic Property Agreement, 1314 Palm Street Page 5 shall such terms, provisions, or conditions cause them to be considered joint ventures or members of any joint enterprise. B. The Owner agrees to hold the City and its elected and appointed officials, officers, agents, and employees harmless from liability for damage, or from claims for damage for personal injuries, including death, and claims for property damage which may arise from the direct or indirect use or activities of the Owner, or from those of their contractor, subcontractor, agent, employee or other person acting on the Owner's behalf which relates to the use, operation, maintenance, or improvement of the historic property. The Owner hereby agrees to and shall defend the City and its elected and appointed officials, officers, agents, and employees with respect to any and all claims or actions for damages caused by, or alleged to have been cause by, reason of the Owner's activities in connection with the historic property, excepting however any such claims or actions which are the result of the sole negligence or willful misconduct of City, its officers, agents or employees. C. This hold harmless provision applies to all damages and claims for damages suffered, or alleged to have been suffered, and costs of defense incurred, by reason of the operations referred to in this agreement regardless of whither or not the City prepared, supplied, or approved the plans, specifications or other documents for the historic property. D. All of the agreements,.rights, covenants, reservations, and restrictions contained in this agreement shall be binding upon and shall inure to the benefit of the parties herein, their heirs, successors, legal representatives, assigns, and all persons acquiring any part or portion of the historic property, whether by operation of law or in any manner whatsoever. E. In the event legal proceedings are brought by any party or parties to enforce or restrain a violation of any of the covenants, reservations, or restrictions contained herein, or to determine the rights and duties of any party hereunder, the prevailing party in such proceeding may recover all reasonable attorney's fees to be fixed by the court, in addition to court costs and other relief ordered by the court. F. In the event that any of the provisions of this agreement are held to be unenforceable or invalid by any court of competent jurisdiction, or by subsequent preemptive legislation, the validity and enforceability of the remaining provisions, or portions thereof, shall not be effected thereby. G. This agreement shall be construed and governed in accordance with the laws of the State of California. Attachment 7 Historic Property Agreement, 1314 Palm Street Page 6 Section 11. Amendments. This agreement may be amended, in whole or in part, only by a written recorded instrument executed by the parties hereto. Section 12. Recordation and Fees. No later than twenty (20) days after the parties execute and enter into this agreement, the City shall cause this agreement to be recorded in the office of the County Recorder of the.County of San.Luis Obispo. Participation in the program shall be at no cost to the Owner; however the City may charge reasonable and necessary fees to recover direct costs of executing, recording, and administering the historical property contracts. IN WITNESS WHEREOF, the city,and owners have executed this agreement on the day and year written above. APPROVED AS TO FORM: CITY OF SAN LUIS OBISPO ortATxAv P Low�.t. David F. Romero, Mayor Date tY Attorney OWNERS Date Date Date STATE OF CALIFORNIA ) ) ss.. COUNTY OF SAN LUIS OBISPO ) On this day of. , 2005, before me, the undersigned, a Notary Public in and for said State,personally appeared , known to me to be the mayor of the City of San Luis Obispo, a municipal corporation existing and organized under the laws of the State of California. Witness my hand and official seal. Attachment 7 EXHIBrr A MAINTENANCE AND IMPROVEMENT MEASURES FOR PROPERTY LOCATED AT 1314 PALM STREET,SAN LUIS OBISPO, CALIFORNIA. 1. Owner shall preserve, maintain, and repair the historic building, including its character- defining architectural features in good condition, to the satisfaction of the Community Development Director or designee, pursuant to a Mills Act Preservation Contract with the City of San Luis Obispo for property located at 1314 Palm Street. Character-defining features shall include, but are not limited to: roof, eaves, dormers, trim, porches, walls and siding, architectural detailing, doors and windows, window screens and shutters, balustrades and railings, foundations, and surface treatments. 2. Owner agrees to make the following improvements and/or repairs during the term of this contract, but in no case later than January 31, 2015, or ten (10 ) years from the contract date, which ever comes first. All changes or repairs shall be consistent with the City's Historic Preservation Program Guidelines and the Secretary of the Interior's Standards for the Treatment of Historic Properties: A. Building foundation shall be replaced and/or repaired to comply with applicable construction codes. B. Building roof shall be replaced and or repaired to match the original architectural design of the house, to the approval of the Community Development Director. C. Exterior siding and trim shall be restored and/or replaced, where necessary, with new materials which match original materials, to the approval of the Community Development Director. D. Property owner shall repaint the building, fencing and accessory structures to match historic exterior finishes and treatments, to the approval of the Community Development Director. All painted surfaces shall be properly prepared, primed and painted with a high-quality exterior finish.. E. Building shall be seismically strengthened in accordance with City standards. F. Building's original exterior and interior architectural features shall be repaired,replaced or restored, to the approval of the Community Development Director. G. Queen Anne style stairs and porches shall be replaced or restored to match the originals. H. Windows and doors shall be restored, or replaced to match original,to the approval of the Community Development Director. I. Original landscape elements shall be restored or recreated to the extent these can be ca,a 3 - Attachment 7 I. Original landscape elements shall be restored or recreated to the extent these can be determined. I The new Coach Barn and studio apartments shall be designed to complement and be compatible with the historic house,to the approval of the Cultural Heritage Committee. K Owners shall continue to a high level of maintenance to the house's exterior and grounds, as evidenced by periodic repainting and repair of exterior materials and surfaces, high quality landscape maintenance, and repair or replacement of site features, such as fencing,walls, lighting,or other historic site features. OWNERS Date Date Date JWUmM act/R&cWhous=n0s=t=I 1-1044