Legislation Details

File #: HIST-2126    Version: 1 Subject:
Type: Historical Status: Action Item
In control: City Council Meeting Agenda
On agenda: 3/27/2006 Final action: 3/27/2006
Title: Consideration of a Request Submitted by Sony Pictures Entertainment for an Amendment to extend the Term of the Development Agreement Relating to Property at 10202 Washington Boulevard in the Studio (S) Zone.
Attachments: 1. A-5__3.27.06 Sony development Agreement.pdf, 2. Sony Agreement.pdf
City of Culver City, California City Council Agenda Item Report Meeting Date: 03/27/06 Item Number: A-5 AGENDA ITEM: Consideration of a Request Submitted by Sony Pictures Entertainment for an Amendment to extend the Term of the Development Agreement Relating to Property at 10202 Washington Boulevard in the Studio (S) Zone. Contact Person/Dept.: Elinor Aurthur Phone Number: (310) 253-5728 Fiscal Impact: Yes [X] No [ ] General Fund: Yes [ ] No [X] Public Hearing: [X] Action Item: [X] Attachments: [X] Public Notification: Notice was published in the Culver City News on 03/1/06. On 03/16/06, a public notice was mailed to all owners and occupants within a 500-foot radius, extended to the end to the block; notices were mailed to the Downtown Business Association, Culver City Homeowner Association, Culver City News, Culver City Observer, Culver City Chamber of Commerce, East Culver City Neighborhood Alliance, and various City personnel. Notices were also mailed on March 16, 2006, to all City Council, Planning Commission, and Cultural Affairs Commission members, as well as to the Culver City Historical Society. Notices were emailed to the Master Notification List on March 23, 2006. Department Approval: Susan Evans (03/22/06) CAO Approval: Jerry B. Fulwood (03/23/06) City Controller Approval: Marlee Chang (03/22/06) RECOMMENDATION: That the City Council: 1. Find that pursuant to the California Environmental Quality Act (CEQA) Guidelines, any potentially significant effects that the project may have on the environment (a) have been analyzed adequately in the Environmental Impact Reports (EIRs) certified by the City Council for the original development agreement, and compared with information in the most recent General Plan Update Program EIR or the Culver City Redevelopment Plan Amendment and Merger Program Subsequent EIR, as well as with other environmental analyses available to the City, and (b) have been avoided or mitigated pursuant to that environmental analysis, therefore, pursuant to CEQA, nothing further is required. 2. Introduce for first reading the First Amendment to the Development Agreement by and among the City of Culver City, Sony Pictures Entertainment, Inc. and Lot, Inc. as recommended by the Planning Commission in Resolution No. 2006-P007. City of Culver City, California City Council Agenda Item Report PROCEDURE: 1. Mayor seeks motion to receive and file affidavit of mailing and publishing of public notice. 2. Mayor calls on staff for a brief staff report and City Council poses questions to staff as desired. 3. Mayor declares the public hearing open, providing the applicant the first opportunity to speak, followed by the general public. 4. Mayor seeks a motion to close the public hearing after all testimony has been presented. 5. City Council thoroughly discusses the matter and arrives at its decision. BACKGROUND: In September, 1993, the City entered into a twenty-year development agreement with Sony Pictures Entertainment (Attachment No. 6) allowing Sony to expand and renovate the existing 1,537,743 gross-square-foot studio to a total of 2,542,819 gross square feet (the Project). The Agreement sets forth the Applicable Rules under which the Project would be reviewed by the City and gives Sony the assurance that the City will not apply any new rules or limitations in its review of any part of the Project, unless those rules are (i) mandated by State or Federal law, (ii) are part of uniforms codes, such as the Uniform Building Code and (iii) if a condition dangerous to resident’s health or safety is involved. At the same time, the City Council also approved a Comprehensive Plan, which includes conditions of approval intended to mitigate the significant impacts identified in an EIR prepared for the Project in 1992. Some of these conditions require ongoing compliance. Others are applicable only when new construction is proposed or when certain development or new vehicle trip thresholds are reached. Also included are conditions not directly tied to any impacts of the Project (such as donations to the Culver City Unified School District and film showings at the Culver City Senior Center). Although the Development Agreement has a vesting term of twenty years and was initially due to expire in September, 2013, the Agreement provides for its term to be reduced by five years if Sony did not commence construction of at least 500,000 net new square feet by December 31, 2001. Since Sony did not commence that amount of development by that date, the term of the Agreement City of Culver City, California City Council Agenda Item Report was reduced from twenty to fifteen years and is now due to expire in September 2008. DISCUSSION: Request On January 24, 2006, Sony submitted an application to extend the term of the Development Agreement by twenty years, or to 2028 (Attachment No. 7) . Sony further requested that all other provisions of the agreement and all the conditions of approval of the Comprehensive Plan remain the same. The Development Agreement The Development Agreement describes benefits expected to accrue to both Sony and the City as a result of the Agreement. Sony is assured that the Project can be completed under the known Applicable Rules, which are set forth in the Agreement. The City stands to benefit economically, to achieve certain comprehensive planning objectives, and solidify the historic presence and operation of the entertainment industry in the city. The Agreement provides for the expansion of the studio, within the existing lot, by more than a million net new square feet. Since 1993 Sony has completed many rehabilitation and adaptive reuse projects, preserving the historic structures on the site and maintaining a state-of-the art television and movie studio. However, the development of the site has not occurred on the scale allowed by the Development Agreement. At present the site is 18,991 square feet larger than it was when the Development Agreement was adopted in 1993. Instead of building new buildings or expanding the size of buildings on the lot, Sony made the decision to use its resources to improve a site that, in 1993, showed severe effects of deferred maintenance. Sony’s work on the lot is detailed in their letter dated October 2005 requesting the proposed extension. However, Sony has not yet fulfilled the potential of the Agreement; both the City and Sony stand to benefit from the proposed extension of its term. Sony Compliance with Conditions of Approval Since 1993 Sony has maintained vigilant compliance with all conditions of approval of the Comprehensive Plan that was approved at the same time as the Development Agreement. Sony submits annual reports detailing compliance; Planning staff also monitors Sony’s adherence to conditions applicable to City of Culver City, California City Council Agenda Item Report proposed construction or rehabilitation projects on the site, to special conditions of approval, such as development of a childcare center and free tours for people who live or work in Culver City, and to conditions that come due annually, such as required annual traffic studies. A matrix showing Sony’s compliance with the conditions of approval is provided as Attachment No. 8. Sony has also made numerous voluntary contributions to the City. These are not required by the Comprehensive Plan Conditions of Approval or Development Agreement. Some of these are highlighted in the most recent issue of the Sony Annual Report, (Attachment No. 9). Provisions of First Amendment to Development Agreement The First Amendment (Attachment No. 4) to the Development Agreement provides for the following: • The First Amendment provides for the vesting term of the Development Agreement to be extended for eighteen years, until September 15, 2026. At Sony’s request, the Vesting Term will be extended an additional two years, until September 2028, if Sony commences at least three hundred thousand (300,000) square feet of net new construction on the lot on or before December 31, 2011. • In March 2002 Sony expanded the lot by the purchase of a piece of land, about 20,300 square feet in size, from Southern California Edison. That area has been used by Sony per a lease with Edison. Sony has now purchased that property, at Edison’s request. Under the First Amendment to the Agreement, this land purchased from Edison will become part of the legal description of the site covered by the Sony Development Agreement. • The First Amendment to the Agreement permits Sony to develop the site in accordance with the Applicable Rules that were in effect when the Development Agreement was adopted in 1993, except as noted above and subject to the provisions of the new Zoning Code adopted in October 2005. The First Amendment also allows Sony a period of two months to review the 2005 Zoning Code to determine if there are any provisions in it that would have a “material adverse effect on Sony’s ability to develop the Project,” and provides a process for Sony and the City to work out an agreement if Sony believes there is such an effect. • In July 2000, the City Council adopted an ordinance to re-codify the Culver City Municipal Code. Wherever the Development Agreement refers to a City of Culver City, California City Council Agenda Item Report title, chapter or section number of the Municipal Code it will be understood as a reference to the re-codified Municipal Code. Consideration for City in Exchange for Extension of Term In granting the requested extension, the City agrees not to impose any additional new rules in its review of new development at the studio for up to 20 years. Sony and the City have agreed that the requested extension is a benefit to Sony, for which the City is to receive some consideration in return. Under the terms of the First Amendment to the Development Agreement, the City is to receive the following: • For the next ten years, or until the year 2015, Sony will continue its annual contribution of Twenty-Five Thousand Dollars ($25,000) to the Culver City Unified School District. • For the next ten years, or until the year 2015, Sony will contribute to the City’s Unified Fund at least Twenty-Five Thousand Dollars ($25,000) per year. The City’s Unified Fund supports City-sponsored events and programs. Comments Received During Public Comment Period As of March 15, 2006, no public comments had been received. Environmental Determination Section 21166 of the Public Resources Code and Section 15162 of the California Environmental Quality Act (CEQA) Guidelines state that when an EIR has been certified for a project no subsequent EIR shall be prepared for a subsequent project whose impacts are fully addressed in the initial EIR, unless there is substantial evidence of the following: 1. The subsequent project will require major revisions to the initial EIR; 2. The circumstances under which the EIR was prepared have significantly changed; or 3. New information of substantial importance, which was not previously known, could impact the project. An Initial Study prepared for this project found that the proposed project could have a significant effect on the environment. Pursuant to Section 21166 of the Public Resources Code and Section 15162 of the CEQA Guidelines, no new City of Culver City, California City Council Agenda Item Report environmental analysis is needed because there is no substantial evidence that the First Amendment to the Development Agreement will require substantial revisions to either the EIR certified by the City Council for the original Development Agreement, the General Plan Update Program EIR (PEIR 1), or the Culver City Redevelopment Plan Amendment and Merger Program Subsequent EIR (PEIR 2), the circumstances under which the EIR certified by the City Council for the original Development Agreement, PEIR 1 and PEIR 2 were prepared have not significantly changed and no new significant information has been found that would impact either the Original Development Agreement EIR, PEIR 1 or PEIR 2 and all potentially significant effects (a) have been analyzed adequately. Fiscal Impact Sony will contribute $25,000 annually to the City’s United Fund to support City- sponsored events and programs. ATTACHMENTS: 1. Sony Vicinity Map 2. Sony Vicinity Aerial Map 3. Planning Commission Resolution No. 2006-P007; 4. First Amendment to the Development Agreement (Exhibit A to Attachment 3); 5. Ordinance No. 2006-___ (Exhibit B to Attachment 3); 6. 1993 Development Agreement; 7. Sony October 2005 request to extend term of Development Agreement; 8. Matrix of compliance with Comprehensive Plan Conditions of Approval; and 9. Sony Annual Report September 2005. MOTION: 1. Find that pursuant to the CEQA and CEQA Guidelines, any potentially significant effects on the environment (a) have been analyzed adequately in the EIRs certified by the City Council for the original development agreement, and compared with information in the General Plan Update Program EIR, or the Culver City Redevelopment Plan Amendment and Merger Program Subsequent EIR, as well as other environmental analyses available to the City, and (b) have been avoided or mitigated pursuant to that environmental analysis, pursuant to CEQA and CEQA Guidelines, nothing further is required. City of Culver City, California City Council Agenda Item Report 2. Introduce for first reading Ordinance No. 2006-___ approving the execution of a First Amendment to the Development Agreement by and among the City of Culver City, Sony Pictures Entertainment, Inc. and Lot, Inc. relating to real property located at 10202 Washington Boulevard. MEETING DATE 3/27/2006 AGENDA ITEM Request for Twenty-Year Extension of Term of Sony Pictures Entertainment Development Agreement Relating to the Site at 10202 Washington Boulevard in the Studio (S) Zone ATTACHMENTS Pages 1 Sony Pictures Entertainment Vicinity Map 1 2 Sony Pictures Entertainment Aerial Map 2 3 Planning Commission Resolution No 2006-P007 3-5 4 First Amendment to Development Agreement by and among City of Culver, Sony Pictures Entertainment, Inc and Lot, Inc 6-22 March 27, 2006 5 Ordinance No 2006- 23-26 6 Development Agreement by and among City of Culver, Sony Pictures Entertainment, Inc and Lot, Inc September 15, 1993 27-120 7 Sony Pictures Entertainment October 2005 Request to Extend Term of Development Agreement 121-126 8 Matrix of Compliance with Comprehensive Plan Conditions of Approval 127-156 9 Sony Pictures Entertainment Annual Report September 2005 157-170Attachment No 1 SONY PICTURES ENTERTAINMENT DEVELOPMENT AGREEMENT EXTENSION \ / \ \ \ \ \ \ \ \ \ - \ \ \\ \ \ \\ \ \ \ \\\ \ \ ,-) C \ S \\ \ \\ \ '\ \ \ \., ,--7- \ \ ) ,,,, \ \\\\\\ \\\\\ \\)\\ \ \\, \ '\\\ \ \\\ \ \ \\\\ \\\ . \ ./ \ 7 ,, , \ \ \ \ \ \.-- \ \ \ \\\\ \ \ \\\\ \ \ '\\ 7" , /7 \\ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ 7\ 7.' \ \7 Z \ .-'-''' • \ \ \ \ \ \ \ \ \ \ „ -, \ < 7" ,, \ \ \ ..., ,. .-'7 \ , \ \ V ./.7./. \ \ \ \ s \ \ ,,,,,,,, \ \\ \\ \ \ \ \\\\ \ \ /-., \ \ \ \ \ , \ \.' ,/ ,...,''' < S \ \ \ \ \ \ \ ., <" 7, ,,,,/ \ \ \ \\ S \ \ \ \\/' , \ \ \ \ \\ \ \ \ 7-7.' \ \ \ .'7 \ \,7 \ \ \ \ \ \ \ \ \ \ \ S \ \ \,---.--. \ \ \ \\ ,_, 7 \ \ .7 \ \.- \ \ \ \ \ \ 7:/7\\ 9 , \ \ \ \ .V /7' \ ''''7 \ C, '7 \ \ \ \ \ ' "--' ' \\ \ n \ \\\ 2 \ \ \ S \ ' 1n1".• \ --"'-' ' \ \ \ .\,'''' Art l** ## \ '' Legend Sony Pictures Entertainment ualIL = -City Boundary II Ilir City of Culver City Planning Division March 14 2005 Planning Commission March 22 2006 0 125 250 500 750 1 000 Feet 10202 Washington BoulevardAttachment No 2|1010|a_ 0 03|1010|.71 > c = o0 L 132 C C|109| • 0 E 5:|910|- 15 c`' o o|101010|a) C cn 2c|10101010|_C 311rAttachment No 3 1 Il RESOLUTION NO 2006-P007|109| A RESOLUTION RECOMMENDING TO THE CITY COUNCIL APPROVAL OF A|109| FIRST AMENDMENT TO A DEVELOPMENT AGREEMENT BY AND AMONG THE CITY OF CULVER CITY, SONY PICTURES ENTERTAINMENT INC AND LOT, INC|109| RELATING TO REAL PROPERTY LOCATED AT 10202 WASHINGTON BOULEVARD|101010|(Development Agreement Amendment|109| Related to Comprehensive Plan, CP No 90-01, et al , Sony Pictures Studios))|1010 9| WHEREAS, the City of Culver City ("City"), Sony Pictures Entertainment Inc ("SPE' ) 10 and Lot, Inc ("Lot") (together SPE and Lot are referred to in this Resolution as "Sony") are 11 jj parties to that certain Development Agreement dated September 15, 1993 recorded 12 13 September 16, 1993 as Document No 93-1803934 (the "Development Agreement"), 14 WHEREAS the original term of the Development Agreement was reduced by five (5) 15 years to September 15, 2008, pursuant to the provisions of the Development Agreement, 16 which reduction was memorialized in a "Certification of Reduction of Term of Development 17 Agreement," which was recorded on April 19, 2002, as Document No 02-0927563, 18 19 WHEREAS, Sony has applied to the City for the City's approval of a First Amendment 20 to Development Agreement by and between City and Sony (the "First Amendment"), which 21 First Amendment will have the effect of extending the 'Vesting Term ' (as defined in the 22 Development Agreement) for an additional eighteen (18) year period to September 15, 2026 23 24 with a further extension of two (2) additional years if Sony commences at least three hundred 25 thousand (300,000) square feet of new construction at the Studio on or before December 31, 26 2011 A copy of the First Amendment is hereby incorporated by reference into the provisions 27 of this Resolution, 28 29 Page 1 2005-P017WHEREAS, after due notice, the Planning Commission did conduct a duly noticed|1010|2 public hearing on the First Amendment on March 22, 2006,|109| WHEREAS, an Initial Study has been prepared pursuant to the requirements of the|1010|California Environmental Quality Act ( CEQA') The Initial Study demonstrates that the First|1010|6 Amendment will not have a significant effect on the environment and that none of the 7 elements set forth in Public Resources Code Section 21166 or Section 15162 of the State 8 CEQA Guidelines ('CEQA Guidelines') exists, and|10 10|WHEREAS, following conclusion of the public discussion and thorough deliberation of 10 the subject matter, the Planning Commission determined by a vote of _ to _ approval of the 11 12 First Amendment is in the public interest and is consistent with the City's General Plan and is 13 adequately supported by due consideration 14 15 NOW, THEREFORE, THE PLANNING COMMISSION OF THE CITY OF CULVER CITY, CALIFORNIA, RESOLVES AS FOLLOWS 16 SECTION 1 Pursuant to the foregoing recitations and the provisions of Culver City 17 18 Municipal Code (CCMC) and State law, the Planning Commission recommends the City 19 Council should 20 A Determine none of the elements set forth in Public Resources Code Section 21166 21 or Section 15162 of the CEQA Guidelines exists 22 23 B Determine, in accordance with Public Resources Code Section 21166 and Section 24 15162 of the CEQA Guidelines, that no subsequent or supplemental Environmental Impact 25 Report or Mitigated Negative Declaration is required prior to adopting the Ordinance 26 approving the First Amendment, 27 28 C Approve the First Amendment, a draft of which is set forth in Exhibit 'A," attached 29 hereto and incorporated into this Resolution by this reference, and Page 2 2005-P0171 D Introduce and adopt the proposed Ordinance, a draft of which is set forth in Exhibit 2 "B," attached hereto and incorporated into this Resolution by reference|10101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 APPROVED and ADOPTED this 22 nd day of March, 2006 SHEILA M THOMAS, CHAIRPERSON PLANNING COMMISSION CITY OF CULVER CITY, CALIFORNIA Attested by Yvonne Hunt Administrative Secretary Page 3 2005-P017Attachment No 4 RECORDING REQUESTED BY SONY PICTURES ENTERTAINMENT, INC 10202 West Washington Boulevard Culver City, CA 90232 Attention Apnl Dmytrenko AND WHEN RECORDED MAIL TO COX, CASTLE & NICHOLSON LLP 2049 Century Park East, Suite 2800 Los Angeles, California 90067-3284 Attention Ronald I Silverman, Esq Space Above This Line Is For Recorder's Use Only FIRST AMENDMENT TO DEVELOPMENT AGREEMENT BY AND AMONG THE CITY OF CUL'VER CITY, SONY PICTURES ENTERTAINMENT INC AND LOT, INC THIS FIRST AMENDMENT TO DEVELOPMENT AGREEMENT ("First Amendment") is entered mto as of the 10th day of May, 2006 by and among the CITY OF CULVER CITY, a chartered city (the "City"), SONY PICTURES ENTERTAINMENT INC , a Delaware corporation ("SPE') and LOT, INC , a Delaware corporation ("Lot") Together, SPE and Lot are referred to in this First Amendment as "Sony" RECITALS A Sony and City are parties to that certain Development Agreement dated September 15, 1993, recorded September 16, 1993, as Document No 93-1803934 (the "Development Agreement") Unless otherwise specified herein or the context requires otherwise, capitalized terms used in this First Amendment shall have the same definitions as those set forth in the Development Agreement Since the Effective Date of the Development Agreement, September 15, 1993, Sony has complied with each of the terms and conditions of the Development Agreement and the terms and conditions of each of the Project Approvals Over the past thirteen (13) years, Sony has made a business decision to invest m improving the Property While this investment approach has limited the completion of net new development on the Property, it has resulted in important improvement projects that involve adaptive-reuse and remodeling of existing structures, upgrading infrastructure and lot 22640\1199801v6 1 3/13/2006beautification This focus has preserved many of the Property's original structures, increased the value of the Property and surrounding areas, established Sony as a state-of-the-art Studio, and enhanced Sony s business operations on the Property and in the City Sony estimates that approximately Five Hundred Million Dollars ($500,000,000) has been invested in adaptive-reuse and remodeling of existing structures, upgrades to existing infrastructure and lot beautification E The original Vesting Term of the Development Agreement was reduced by five (5) years in accordance with the provisions of Section III C of the Development Agreement and was memorialized in a "Certification of Reduction of Term of Development Agreement," which was recorded on April 19, 2002, as Document No 02-0927563 Therefore, the Vesting Term of the Development Agreement currently expires on September 15, 2008 Having invested significant funds in adaptive reuse and remodeling of existing structures, upgrades to existing infrastructure and lot beautification, Sony currently anticipates new development on the Property in accordance with the development concepts set forth in the Development Agreement and the Project Approvals and therefore has requested the City to amend the Development Agreement to extend the Vesting Term of the Development Agreement for eighteen (18) years until September 15 2026 In addition, Sony has requested the City to extend the Vesting Term an additional two (2) years, i e, until September 15, 2028, if Sony commences at least three hundred thousand (300,000) square feet of "new construction" (as defined in the Development Agreement) on the Property on or before December 31, 2011 F Under the Development Agreement, Sony was required, for a period of ten (10) years, to purchase for the Culver City Unified School District (the "District") at least Twenty- Five Thousand Dollars ($25,000) worth of equipment and programs, as approved by the Superintendent of the District Sony's obligation to contribute Twenty-Five Thousand Dollars ($25,000) to the District expired in 2003 In the Spring of 2005, Sony voluntarily announced that it would renew its commitment to the District for another ten (10) years with an annual contribution of at least Twenty-Five Thousand Dollars ($25,000) In this First Amendment, Sony desires to confirm Sony's commitment to the District (the "School District Commitment") G In addition to the School District Commitment, Sony has voluntarily agreed, for a period of ten (10) years, to contribute to the City's Unified Fund (the "Unified Fund") at least Twenty-Five Thousand Dollars ($25,000) per year The City's Unified Fund supports City sponsored cultural and environmental events and programs H On March 12, 2002, Lot acquired title from Southern California Edison to a piece of property approximately twenty thousand three hundred (20,300) square feet in size near the southwest corner of the Property (the "Edison Parcel ) City and Sony have therefore agreed to amend Exhibit "A" to the Development Agreement (the legal description of the Property) to add the Edison Parcel I Subject to certain exceptions set forth in the Development Agreement, the Development Agreement permits Sony to develop the Project in accordance with the Applicable Rules that were in effect on the Effective Date of the Development Agreement, September 15, 1993 In connection with the adoption of this First Amendment, the City has requested Sony to agree to an additional exception to the vesting provisions of the Development Agreement, namely, agreeing to be subject to the City's current Zoning Code, adopted October, 2005 (Title final 2 3/20/200617 of the Culver City Municipal Code) (the 2005 Zoning Code") Subject to the provisions of the Development Agreement, as amended by this First Amendment, Sony has agreed to be subject to the provisions of the 2005 Zoning Code Council has determined that none of the elements set forth in Public Resources Code Section 21166 or Section 15162 of the State CEQA Guidelines ("CEQA Guidelines") exists and therefore has determined, in accordance with Public Resources Code Section 21166 and Section 15162 of the CEQA Guidelines, that no subsequent or supplemental Environmental Impact Report or Mitigated Negative Declaration is required to be prepared pnor to adopting the Ordinance approving this First Amendment On March 22, 2006, the Planning Commission held a duly noticed public heanng on this First Amendment and, at the conclusion thereof, adopted Resolution No recommending to the City Council approval of this First Amendment Section IV L of the Development Agreement provides for amendment of the Development Agreement upon mutual consent of the parties and in accordance with the procedures established by the Development Agreement Act The Council has found that this First Amendment has been adopted in conformance with the procedures of the Development Agreement Act On March 27, 2006, the Council introduced Ordinance No and on Apnl 10, 2006, the Council adopted Ordinance No approving this First Amendment Ordinance No became effective on May 10, 2006 (the "First Amendment Effective Date' ) NOW, THEREFORE, in consideration of the above recitals and the covenants hereinafter contained, the parties agree as follows 1 Extension of Vesting Term The Vesting Term of the Development Agreement is hereby extended an additional eighteen (18) years to September 15, 2026 In addition, to encourage continued development of the Project, if construction of at least three hundred thousand (300,000) square feet of "new construction" (as defined in the Development Agreement) is commenced by December 31, 2011, the Vesting Term shall be increased by an additional two (2) years to September 15, 2028 2 School District Commitment Annually, on or before July 1 of each year following the First Amendment Effective Date, for a penod of ten (10) years, Sony agrees to purchase for the Distnct at least Twenty-Five Thousand Dollars ($25,000) worth of equipment and programs, as approved by the Supenntendent of the Distnct 3 Unified Fund Commitment Annually, on or before July 1 of each year following the First Amendment Effective Date, for a period of ten (10) years, Sony agrees to contribute at least Twenty-Five Thousand Dollars ($25,000) to the Unified Fund|109| 2005 Zoning Code final 3 3/20/2006a Sony's Agreement to be Bound by 2005 Zoning Code Notwithstanding the vesting provisions of the Development Agreement and subject to the provisions of the "ZC Review" set forth in Section 4 b below Sony hereby agrees to be bound by the provisions of the 2005 Zoning Code In addition, the 2005 Zoning Code shall constitute a part of the Applicable Rules and shall vest as of the First Amendment Effective Date so that no change in the 2005 Zoning Code following the First Amendment Effective Date shall be applied by the City to the Project unless the City determines that the failure to apply such change would place the residents of the City in a condition dangerous to their health or safety, or both Zoning Code Review Notwithstanding Sony's agreement to be bound by the terms of the 2005 Zoning Code, Sony has requested and the City has agreed that Sony shall have a period of two (2) months following the First Amendment Effective Date in which to review the 2005 Zoning Code in order for Sony to determine whether there are any provisions in the 2005 Zoning Code that would have a material adverse effect on Sony's ability to develop the Project in accordance with the provisions of the Project Approvals (the "ZC Review Period") If, during the ZC Review Period, Sony identifies one or more provisions in the 2005 Zoning Code that, in Sony's opinion, could have a matenal adverse effect on Sony's ability to develop the Project in accordance with the provisions of the Project Approvals ("Adverse Provision(s)"), then Sony shall notify the City of the Adverse Provision(s) and the City shall have a period of ten (10) days in which to review the Adverse Provision(s) identified by Sony and to advise Sony if the City agrees or disagrees that the Adverse Provision(s) identified by Sony would have a material adverse effect on Sony's ability to develop the Project in accordance with the provisions of the Project Approvals If the City fails to respond to Sony within such ten (10) day period, the City shall be deemed to have disagreed that the Adverse Provision(s) identified by Sony would have a matenal adverse effect on Sony s ability to develop the Project If, during the ten (10) day penod, the City agrees that the Adverse Provision(s) identified by Sony would have a material adverse effect on Sony's ability to develop the Project in accordance with the provisions of the Project Approvals, then Sony and the City shall execute an Operating Memorandum in accordance with the provisions of Section IV M of the Development Agreement confirming those Adverse Provision(s) that shall not be an Applicable Rule and shall not be applicable to the Project If the City notifies Sony within such ten (10) day period that it disagrees or is deemed to have disagreed with Sony that one or more Adverse Provision(s) would have a material adverse effect on Sony's ability to develop the Project in accordance with the provisions of the Project Approvals, then the Adverse Provision(s) about which Sony and the City disagree or are deemed to have disagreed shall be submitted to a reference procedure in accordance with the provisions of Section IV D 3 of the Development Agreement If Sony fails to notify the City within the ZC Review Period of any Adverse Provision(s), then Sony shall be deemed to have agreed to be bound by the provisions of the 2005 Zoning Code 5 Revised Municipal Code References On July 24, 2000, the City Council adopted an ordinance to recodify and renumber titles, chapters and sections of the Culver City Municipal Code Therefore, wherever the Development Agreement refers to a title, chapter or section number of the Culver City Municipal Code it shall be deemed to be a reference to the recodified/renumbered applicable title, chapter or section and any future recodified/renumbered applicable title, chapter or section of the Municipal Code applicable, provided, however, nothing in this Section 5 shall affect the vesting provisions of the Development Agreement, as amended final 4 3/20/2006by this First Amendment, including, without limitation, Sections III B 1 and 2 of the Development Agreement 6 Revision to Legal Description of the Property In order to add the Edison Parcel, Exhibit "A" to the Development Agreement is hereby amended in its entirety as more particularly set forth on Exhibit "A" attached hereto The Edison Parcel shall constitute a part of Comprehensive Plan Design Area 5|109| Inconsistencies The Development Agreement is hereby amended to add a new Section IV Y to read as follows "Y Inconsistencies In the event of any inconsistency between an Applicable Rule and a Project Approval, the provisions of the Project Approval shall control In the event of any inconsistency between the provisions of any Applicable Rule, a Project Approval and the provisions of this Development Agreement, as amended by this First Amendment, the provisions of this Development Agreement, as amended by this First Amendment, shall control"|109| No Other Revisions to Development Agreement Except as set forth herein, all terms and conditions of the Development Agreement shall remain in full force and effect|10 9| First Amendment Effective Date This First Amendment shall become effective on the First Amendment Effective Date IN WITNESS WHEREOF, this First Amendment has been executed by the parties on the day and year first written above SONY PICTURES ENTERTAINMENT INC , a Delaware corporation Date , 2006 By Leah Weil Its Senior Vice President, General Counsel and Assistant Secretary LOT, INC , a Delaware corporation Date , 2006 By Its final 5 3/20/2006Date , 2006 By Its CITY OF CULVER CITY Date , 2006 By , Mayor APPROVED AS TO FORM Carol A Schwab, City Attorney final 6 3/20/2006STATE OF CALIFORNIA ) ) SS COUNTY OF LOS ANGELES ) On March , 2006 before me, (here insert name of the officer), Notary Public, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscnbed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authonzed capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument WITNESS my hand and official seal Notary Public STATE OF CALIFORNIA ) ) SS COUNTY OF LOS ANGELES ) On March , 2006 before me, (here insert name of the officer), Notary Public, personally app eared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscnbed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument WITNESS my hand and official seal Notary Public final 7 3/20/2006STATE OF CALIFORNIA ) ) SS COUNTY OF LOS ANGELES ) On March , 2006 before me, (here insert name of the officer), Notary Public, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument WITNESS my hand and official seal Notary Public STATE OF CALIFORNIA ) ) SS COUNTY OF LOS ANGELES ) On March , 2006 before me, (here insert name of the officer), Notary Public, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authonzed capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument WITNESS my hand and official seal Notary Public final 8 3/20/2006EXHIBIT A THE LAND REFERRED TO IN THIS EXHIBIT IS DESCRIBED AS FOLLOWS PARCEL A PARCEL 1 THAT PORTION OF THE 819 63 ACRE TRACT, RANCHO LA BALLONA, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, ALLOTTED TO MACEDONIA AGUILAR, BY FINAL DECREE OF PARTITION HAD IN CASE NO 965 OF THE DISTRICT COURT OF SAID COUNTY, DESCRIBED AS FOLLOWS BEGINNING AT THE INTERSECTION OF THE NORTHEAST LINE OF OVERLAND AVENUE (FORMERLY FIRST STREET OR SAN PEDRO ROAD) WITH THE SOUTHEAST LINE OF WASHINGTON STREET (FORMERLY BALLONA ROAD NO 2), THENCE SOUTHEASTERLY ALONG THE NORTHEAST LINE OF SAID OVERLAND AVENUE, 1118 29 FEET, MORE OR LESS, TO A POINT DISTANT NORTHWESTERLY 210 FEET, MEASURED ALONG SAID NORTHEAST LINE FROM THE NORTHWEST LINE OF THE RIGHT-OF-WAY OF THE PACIFIC ELECTRIC RAILWAY COMPANY (DEL REY BRANCH) AS DESCRIBED IN DEED RECORDED IN BOOK 1684 PAGE 159 OF DEEDS, THENCE NORTHEASTERLY IN A DIRECT LINE 546 90 FEET, MORE OR LESS, TO A POINT IN THE SOUTHWEST LINE OF THE LAND CONVEYED TO LOS ANGELES TRUST & SAVINGS BANK, BY DEED RECORDED IN BOOK 6578 PAGE 31 OF SAID DEED RECORDS, DISTANT NORTHWESTERLY ALONG SAID SOUTHWEST LINE, 111 33 FEET FROM SAID NORTHWEST LINE OF THE RIGHT-OF-WAY OF THE PACIFIC ELECTRIC RAILWAY COMPANY, THENCE SOUTHEASTERLY ALONG SAID SOUTHWEST LINE 111 33 FEET TO THE NORTHWEST LINE OF SAID RIGHT-OF-WAY, THENCE NORTHEASTERLY ALONG SAID RIGHT-OF-WAY LINE, 1422 44 FEET, MORE OR LESS, TO THE SOUTHWEST LINE OF THE 150 ACRE TRACT OF LAND DESCRIBED IN DEED TO VICTOR PONET, RECORDED IN BOOK 150 PAGE 403 OF SAID DEED RECORDS, THENCE NORTHWESTERLY ALONG THE SOUTHWESTERLY LINE OF THE LAND OF PONET, 631 13 FEET TO SAID SOUTHEASTERLY LINE OF WASHINGTON STREET, THENCE SOUTHWESTERLY ALONG SAID SOUTHEASTERLY LINE OF WASHINGTON STREET TO THE POINT OF BEGINNING PARCEL 2 LOTS 1 THROUGH 15, INCLUSIVE, IN BLOCK 2 AND LOTS 2 THROUGH 16, INCLUSIVE, IN BLOCK 3 IN TRACT NO 1775, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER 22640\111210v3 1MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY PARCEL 3 GRANT AVENUE AS SHOWN ON THE MAP OF TRACT 1775, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191, OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY EXCEPT THAT PORTION OF SAID GRANT AVENUE WHICH WOULD PASS WITHIN A CONVEYANCE OF LOT 1, BLOCK 3 OF SAID TRACT NO 1775 PARCEL 4 THAT PORTION OF PUTNAM AVENUE, NOW KNOWN AS CULVER BOULEVARD, 40 00 FEET WIDE, LYING NORTHWESTERLY OF THE PACIFIC ELECTRIC RAILWAY, 60 00 FEET WIDE, AS SHOWN ON THE MAP OF TRACT 1775, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, BOUNDED SOUTHWESTERLY BY THE SOUTHWESTERLY BOUNDARY LINE OF SAID TRACT 1775 AND BOUNDED NORTHEASTERLY BY THE SOUTHEASTERLY PROLONGATION OF THE NORTHEASTERLY LINE OF LOT 16 IN BLOCK 3 OF SAID TRACT 1775 PARCEL 5 THAT PORTION OF THAT CERTAIN 60-FOOT STRIP OF LAND IN THE RANCHO LA BALLONA IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS SHOWN ON MAP RECORDED IN BOOK 3 PAGES 204 TO 209 INCLUSIVE OF MISCELLANEOUS RECORDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED IN DEED TO THE LOS ANGELES HERMOSA BEACH AND REDONDO RAILWAY COMPANY, RECORDED ON AUGUST 7, 1902 IN BOOK 1630 PAGE 26 OF DEEDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, A PORTION OF CULVER BOULEVARD FORMERLY PUTNAM AVENUE (NORTH ROADWAY) 40 FEET WIDE, AS SHOWN ON THE MAP OF TRACT NO 1775, RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS OF SAID COUNTY AND A PORTION OF MADISON AVENUE, 100 FEET WIDE, AS SHOWN ON THE MAP OF SAID TRACT NO 1775 ALL OF WHICH WERE VACATED AND ABANDONED BY RESOLUTION NO 83-R138 OF THE CITY COUNCIL OF THE CITY OF CULVER CITY, A CERTIFIED COPY OF WHICH WAS RECORDED ON OCTOBER 27, 1983 AS DOCUMENT NO 83-1271984 IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS A WHOLE AS FOLLOWS 22640\111210v3 2BEGINNING AT THE MOST EASTERLY CORNER OF LOT 16 IN BLOCK 3 OF SAID TRACT NO 1775, THENCE ALONG THE NORTHEASTERLY LINE OF SAID LOT 16 TO AND ALONG THE NORTHEASTERLY LINE OF LOT 1 IN SAID BLOCK 3, NORTH 35 DEGREES 29 MINUTES 00 SECONDS WEST 149 58 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE NORTHEASTERLY AND HAVING A RADIUS OF 960 00 FEET, THENCE SOUTHEASTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 09 DEGREES 40 MINUTES 08 SECONDS, AN ARC DISTANCE OF 162 01 FEET TO THE BEGINNING OF A REVERSE CURVE CONCAVE TO THE WEST HAVING A RADIUS OF 25 00 FEET THROUGH WHICH A RADIAL LINE BEARS NORTH 44 DEGREES 50 MINUTES 52 SECONDS EAST, THENCE SOUTHERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 79 DEGREES 11 MINUTES 27 SECONDS, AN ARC DISTANCE OF 34 55 FEET, THENCE SOUTH 34 DEGREES 02 MINUTES 19 SECONDS WEST 72 65 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHEAST HAVING A RADIUS OF 191 24 FEET, THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 9 DEGREES 27 MINUTES 44 SECONDS, AN ARC DISTANCE OF 31 58 FEET, THENCE NORTH 24 DEGREES 34 MINUTES 35 SECONDS WEST 30 83 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE NORTHWEST HAVING A RADIUS OF 171 24 FEET, THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 9 DEGREES 27 MINUTES 44 SECONDS AN ARC DISTANCE OF 28 28 FEET, THENCE SOUTH 34 DEGREES 02 MINUTES 19 SECONDS WEST 18 63 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHEAST HAVING A RADIUS OF 1647 00 FEET, THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 4 DEGREES 59 MINUTES 40 SECONDS, AN ARC DISTANCE OF 143 57 FEET, THENCE SOUTH 29 DEGREES 02 MINUTES 39 SECONDS WEST 74 38 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE NORTHWEST HAVING A RADIUS OF 1552 00 FEET, THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 4 DEGREES 53 MINUTES 42 SECONDS, AN ARC DISTANCE OF 123 59 FEET TO A POINT OF INTERSECTION WITH A CURVE CONCAVE TO THE NORTHWEST HAVING A RADIUS OF 100 00 FEET TO WHICH POINT A RADIAL LINE OF SAID 100 00-FOOT-RADIUS CURVE BEARS SOUTH 60 DEGREES 57 MINUTES 28 SECONDS EAST, SAID 100 00-FOOT- RADIUS CURVE BEING A COURSE IN THE NORTHWESTERLY BOUNDARY OF PARCEL 6-5 IN DEED RECORDED MARCH 4, 1964 AS INSTRUMENT NO 4596, THENCE NORTHEASTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 12 DEGREES 39 MINUTES 36 SECONDS, AN ARC DISTANCE OF 22 10 FEET, THENCE CONTINUING ALONG SAID NORTHWESTERLY BOUNDARY OF PARCEL 6-5 NORTH 16 DEGREES 22 MINUTES 56 SECONDS EAST 66 89 FEET TO THE INTERSECTION OF THE NORTHWESTERLY LINE OF HEREINBEFORE-MENTIONED 60-FOOT-WIDE STRIP OF LAND WITH THE SOUTHWESTERLY LINE OF SAID TRACT 1775, THENCE ALONG THE SOUTHEASTERLY LINE OF A 1 25-FOOT-WIDE STRIP AS VACATED BY THE CITY OF CULVER CITY BY ORDINANCE NO 253, PASSED AND APPROVED OCTOBER 10, 1927 AND PURSUANT TO RESOLUTION NO 1887, ADOPTED 22640\111210v3 3MAY 6, 1929 NORTH 34 DEGREES 02 MINUTES 19 SECONDS EAST 1 31 FEET TO THE NORTHEASTERLY LINE OF SAID 1 25-FOOT-WIDE STRIP, THENCE ALONG SAID NORTHEASTERLY LINE NORTH 38 DEGREES 36 MINUTES 46 SECONDS WEST 31 43 FEET TO THE SOUTHEASTERLY LINE OF THAT PORTION OF CULVER BOULEVARD AS VACATED BY THE CITY OF CULVER CITY BY ORDINANCE NO 465, APPROVED AND ADOPTED JUNE 28, 1937, THENCE ALONG LAST SAID SOUTHEASTERLY LINE NORTH 34 DEGREES 02 MINUTES 19 SECONDS EAST 30 12 FEET TO THE NORTHEASTERLY LINE OF SAID PORTION OF CULVER BOULEVARD, THENCE ALONG LAST SAID NORTHEASTERLY LINE NORTH 38 DEGREES 36 MINUTES 46 SECONDS WEST 10 48 FEET TO THE SOUTHEASTERLY LINE OF LOT 9, BLOCK 3 OF SAID TRACT NO 1775, THENCE ALONG LAST SAID SOUTHEASTERLY LINE AND THE SOUTHEASTERLY LINE OF LOTS 10 THROUGH 16 INCLUSIVE, OF SAID BLOCK 3, TRACT NO 1775 NORTH 34 DEGREES 02 MINUTES 19 SECONDS EAST 417 76 FEET TO THE POINT OF BEGINNING EXCEPT THAT PORTION OF SAID LAND LYING SOUTHWESTERLY OF A STRAIGHT LINE DRAWN PERPENDICULAR TO THE NORTHWESTERLY LINE OF THE HEREINABOVE UNRECORDED 60 FOOT WIDE STRIP OF LAND AND WHICH PASSES THROUGH THE INTERSECTION OF SAID NORTHWESTERLY LINE WITH THE SOUTHEASTERLY PROLONGATION OF THE SOUTHWESTERLY LINE OF SAID TRACT NO 1775 ALSO EXCEPT THAT PORTION OF SAID LAND DESCRIBED AS FOLLOWS THAT PORTION OF PUTNAM AVENUE, NOW KNOWN AS CULVER BOULEVARD, 40 00 FEET WIDE, LYING NORTHWESTERLY OF THE PACIFIC ELECTRIC RAILWAY, 60 00 FEET WIDE, AS SHOWN ON THE MAP OF TRACT 1775, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, BOUNDED SOUTHWESTERLY BY THE SOUTHWESTERLY BOUNDARY LINE OF SAID TRACT 1775 AND BOUNDED NORTHEASTERLY BY THE SOUTHEASTERLY PROLONGATION OF THE NORTHEASTERLY LINE OF LOT 16 IN BLOCK 3 OF SAID TRACT 1775 ALSO EXCEPT THAT PORTION OF SAID LAND LYING NORTHWESTERLY OF A LINE DRAWN PERPENDICULAR TO THE NORTHEASTERLY LINE OF LOT 1 IN BLOCK 3 OF TRACT NO 1775 AND WHICH PASSES THROUGH THE MOST EASTERLY CORNER OF SAID LOT 1 22640\111210v3 4PARCEL B THE LAND SITUATED IN THE STATE OF CALIFORNIA, COUNTY OF LOS ANGELES, AND DESCRIBED AS FOLLOWS LOT 1 IN BLOCK 3 OF TRACT 1775, IN THE CITY OF CULVER CITY, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY EXCEPT THEREFROM THAT PORTION OF LOT 1 IN BLOCK 3, AS SHOWN ON TRACT 1775, IN THE CITY OF CULVER CITY, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY DESCRIBED AS FOLLOWS BEGINNING AT THE MOST NORTHERLY CORNER OF LOT 1 IN BLOCK 3 OF SAID TRACT 1775, SAID POINT BEING ALSO THE INTERSECTION OF THE SOUTHEAST PROPERTY LINE OF GRANT AVENUE, SIXTY FEET WIDE AND THE SOUTHWEST PROPERTY LINE OF MADISON AVENUE, ONE HUNDRED FEET WIDE ON SAID TRACT 1775, THENCE ALONG THE NORTHEASTERLY LINE OF SAID LOT 1, SOUTH 35 DEGREES 29 MINUTES 00 SECONDS EAST 14 42 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHWEST HAVING A RADIUS OF 10 00 FEET, THENCE NORTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 110 DEGREES 32 MINUTES 7 SECONDS AN ARC DISTANCE OF 19 29 FEET TO THE NORTHWESTERLY LINE OF SAID LOT 1, THENCE ALONG SAID NORTHWESTERLY LINE NORTH 33 DEGREES 58 MINUTES 53 SECONDS EAST 14 42 FEET TO THE POINT OF BEGINNING EXCEPT ALL OIL, GAS AND OTHER HYDROCARBON SUBSTANCES IN AND UNDER ALL OF THE ABOVE DESCRIBED REAL PROPERTY, BUT WITHOUT THE RIGHT TO PENETRATE, USE OR DISTURB THE SURFACE OF SAID PROPERTY OR ANY PORTION OF SAID PROPERTY WITHIN 500 FEET OF THE SURFACE THEREOF, AS RESERVED BY SMITH AND SALSBURY IN DEED RECORDED APRIL 27, 1984 AS INSTRUMENT NO 84-510558 22640\111210v3 5PARCEL C PARCEL 1 THAT PORTION OF GRANT AVENUE AS SHOWN ON THE MAP OF TRACT 1775, IN THE CITY OF CULVER CITY, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, BOUNDED AS FOLLOWS ON THE SOUTHEAST BY THE NORTHWEST LINE OF LOT 1, BLOCK 3 OF SAID TRACT 1775, ON THE NORTHWEST AND NORTHEAST RESPECTIVELY BY THE SOUTHEASTERLY LINE OF BLOCK 2 AND SOUTHEASTERLY PROLONGATION OF THE NORTHEASTERLY LINE OF BLOCK 2 OF SAID TRACT 1775, AND ON THE SOUTHWEST BY THE NORTHWESTERLY PROLONGATION OF THE SOUTHWESTERLY LINE OF LOT 1 OF BLOCK 3 OF SAID TRACT 1775, AS DESCRIBED AND SHOWN ON EXHIBIT "A" TO RESOLUTION NO CS-6468 RECORDED SEPTEMBER 18, 1970 AS INSTRUMENT NO 3468 PARCEL 2 THAT PORTION OF LOT 1 IN BLOCK 3, AS SHOWN ON TRACT 1775, IN THE CITY OF CULVER CITY, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS BEGINNING AT THE MOST NORTHERLY CORNER OF LOT 1 IN BLOCK 3 OF SAID TRACT 1775, SAID POINT BEING ALSO THE INTERSECTION OF THE SOUTHEAST PROPERLY LINE OF GRANT AVENUE, 60 00 FEET WIDE AND THE SOUTHWEST PROPERLY LINE OF MADISON AVENUE, 100 00 FEET WIDE, ON SAID TRACT 1775, THENCE SOUTHEASTERLY ALONG THE NORTHEASTERLY LINE OF SAID LOT 1, 14 42 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHWEST HAVING A RADIUS OF 10 00 FEET, THENCE NORTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 110 DEGREES 32 MINUTES 7 SECONDS AN ARC DISTANCE OF 19 29 FEET TO THE NORTHWESTERLY LINE OF SAID LOT 1, THENCE ALONG SAID NORTHWESTERLY LINE 14 42 FEET TO THE POINT OF BEGINNING SEE EXHIBIT "A" ATTACHED HERETO AND MADE A PART OF THE LEGAL DESCRIPTION BY REFERENCE HEREIN EXCEPT ALL OIL, GAS AND OTHER HYDROCARBON SUBSTANCES IN AND UNDER ALL OF THE ABOVE DESCRIBED REAL PROPERTY, BUT WITHOUT THE RIGHT TO PENETRATE, USE OR DISTURB THE SURFACE OF SAID PROPERTY OR ANY PORTION OF SAID PROPERTY WITHIN 500 FEET OF THE SURFACE 22640\111210v3 6THEREOF, AS RESERVED BY SMITH AND SALSBURY, IN DEED RECORDED APRIL 27, 1984 AS INSTRUMENT NO 84-510-558 22640\111210v3 7PARCEL D THE LAND SITUATED IN THE STATE OF CALIFORNIA, COUNTY OF LOS ANGELES, AND DESCRIBED AS FOLLOWS THAT PORTION OF RANCHO LA BALLONA, IN THE CITY OF CULVER CITY, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS SHOWN ON CLERK'S FILED MAP NO 16, ON FILE IN THE OFFICE OF COUNTY ENGINEER OF SAID COUNTY, AS DESCRIBED IN THE DEEDS TO THE LOS ANGELES HERMOSA BEACH & REDONDO RAILWAY COMPANY, A CORPORATION, RECORDED AUGUST 14, 1902, IN BOOK 1605 PAGE 299 OF DEEDS AND RECORDED NOVEMBER 8, 1902 IN BOOK 1684 PAGE 159 OF DEEDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY EXCEPT THEREFROM THAT PORTION OF SAID LAND INCLUDED WITHIN THE LAND AS DESCRIBED IN PARCEL 6-4 IN THE DEED TO THE CITY OF CULVER CITY, RECORDED MARCH 4, 1964 AS INSTRUMENT NO 4429, IN BOOK D-2382 PAGE 721, OFFICIAL RECORDS OF SAID COUNTY ALSO EXCEPT THEREFROM THAT PORTION OF SAID LAND, INCLUDED WITHIN THE LAND AS DESCRIBED IN THE PARTIAL JUDGMENT AND FINAL ORDER OF CONDEMNATION ENTERED IN THE LOS ANGELES COUNTY SUPERIOR COURT CASE NO C470,345, A CERTIFIED COPY OF WHICH WAS RECORDED OCTOBER 23, 1985, AS INSTRUMENT NO 85-1252160 OF OFFICIAL RECORDS OF SAID COUNTY PARCEL E THAT PORTION OF THE LANDS DESCRIBED WITHIN THAT CERTAIN CORPORATION GRANT DEED FILED IN BOOK 6968, PAGE 225 OF DEEDS, IN THE OFFICE OF THE COUNTY RECORDER OF LOS ANGELES COUNTY, LYING NORTHEASTERLY OF THE FOLLOWING DESCRIBED LINE COMMENCING AT THE INTERSECTION OF THE SOUTHEASTERLY PROLONGATION OF THE NORTHEASTERLY LINE OF OVERLAND AVENUE (FORMERLY FIRST STREET), SAID NORTHEASTERLY LINE BEING 53 00 FEET NORTHEASTERLY AND PARALLEL WITH THE CENTERLINE OF SAID OVERLAND AVENUE, AND THE NORTHWESTERLY LINE OF THE SOUTHERN PACIFIC RAILROAD RIGHT OF WAY (FORMERLY PACIFIC RAILWAY, PLAYA DEL REY BRANCH), AS SHOWN ON TRACT NO 10078, FILED IN BOOK 141, PAGES 23 THROUGH 25, INCLUSIVE OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THENCE NORTH 34°00'30" EAST, 381 31 FEET, ALONG SAID NORTHWESTERLY LINE OF SOUTHERN PACIFIC RAILROAD RIGHT OF WAY TO 22640\111210v3 8THE TRUE POINT OF BEGINNING OF THIS DESCRIPTION, THENCE NORTH 38°40'34" WEST, 139 59 FEET, TO A POINT ON THE NORTHWESTERLY LINE OF SAID CORPORATION GRANT DEED, SAID POINT BEING SOUTH 43°55'32" WEST, 156 85 FEET, ALONG SAID NORTHWESTERLY LINE FROM THE NORTHERLY CORNER OF THE LANDS DESCRIBED WITHIN SAID CORPORATION GRANT DEED SHOWN AS PARCEL 1 OF THAT CERTAIN LOT LINE ADJUSTMENT NO P- 2001042, WHICH RECORDED MARCH 15, 2002 AS INSTRUMENT NO 02- 0632134 22640\111210v3 9Attachment No 5 ORDINANCE NO 2006- AN ORDINANCE OF THE CITY OF CULVER CITY, CALIFORNIA, APPROVING, ADOPTING, AND AUTHORIZING THE EXECUTION OF, A FIRST AMENDMENT TO DEVELOPMENT AGREEMENT BY AND AMONG THE CITY OF CULVER CITY, SONY PICTURES ENTERTAINMENT INC AND LOT, INC RELATING TO REAL PROPERTY LOCATED AT 10202 WASHINGTON BOULEVARD|109| WHEREAS, the City of Culver City (`City"), Sony Pictures Entertainment 8 Inc ("SPE") and Lot, Inc ( Lot ) (together SPE and Lot are referred to in this Ordinance|10 10|as 'Sony") are parties to that certain Development Agreement dated September 15, 10 1993 recorded September 16, 1993 as Document No 93-1803934 (the "Development 11 12 Agreement ), 13 WHEREAS, the original term of the Development Agreement was 14 reduced by five (5) years to September 15, 2008, pursuant to the provisions of the 15 Development Agreement, which reduction was memorialized in a "Certification of 16 Reduction of Term of Development Agreement," which was recorded on April 19, 2002, 17 as Document No 02-0927563, 18 WHEREAS, Sony has applied to the City for City s approval of a First 19 20 Amendment to Development Agreement (the First Amendment ), which First 21 Amendment will have the effect of extending the 'Vesting Term" (as defined in the 22 Development Agreement) for an additional eighteen (18) year period to September 15, 23 2026 with a further extension of two (2) additional years if Sony commences at least 24 three hundred thousand (300,000) square feet of new construction at the Studio on or 25 before December 31, 2011 A copy of the First Amendment is hereby incorporated by 26 reference into the provisions of this Ordinance, 27 28|101010101010|6•|1010101010101010 10 10|•1 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 WHEREAS, after due notice, the City Planning Commission (the Planning Commission ) did conduct a duly noticed public hearing on the First Amendment on March 22, 2006, WHEREAS, the Planning Commission has recommended that the City Council approve the First Amendment, WHEREAS, after due notice, the City Council did conduct a public hearing on the First Amendment on March 27, 2006, WHEREAS, an Initial Study has been prepared pursuant to the requirements of the California Environmental Quality Act ( CEQA") The Initial Study demonstrates that the First Amendment will not have a significant effect on the environment, that none of the elements set forth in Public Resources Code Section 21166 or Section 15162 of The State CEQA Guidelines ( 1 0EQA Guidelines") exists, WHEREAS, the City Council has determined that none of the elements set forth in Public Resources Code Section 21166 or Section 15162 of the CEQA Guidelines exists and therefore has determined, in accordance with Public Resources Code Section 21166 and Section 15162 of the CEQA Guidelines, that no subsequent or supplemental Environmental Impact Report or Mitigated Negative Declaration is required prior to adopting the Ordinance approving this First Amendment, WHEREAS, the City Council has reviewed and considered the First Amendment and the findings and recommendations of the Planning Commission, and WHEREAS, the City Council has determined that approval of the First Amendment is in the public interest, and is consistent with the City's General Plan and is adequately supported by due consideration 27 28 -2-1 The City Council of the City of Culver City, California, DOES HEREBY 2 ORDAIN as follows 3 The City Council finds, with respect to the First Amendment|1010| Section 1 It is consistent with the City's General Plan,|1010| Section 2 The First Amendment will not be detnmental to the public 6 health, safety and general welfare since it encourages the development of a project|1010|which continues to be desirable and beneficial to the public,|1010|Section 3 The First Amendment complies with all applicable State and|10 10|10 City regulations governing development agreements and amendments to development 11 agreements 12 Section 4 The City Council hereby approves and adopts the First 13 Amendment which is hereby incorporated by this reference as though fully set forth 14 herein 15 Section 5 The Mayor is authorized and directed to sign the First 16 Amendment in the name of the City of Culver City and, the City Council further directs 17 18 that the First Amendment and this Ordinance be presented to the County Recorder for 19 recordation within ten (10) days after this First Amendment becomes effective 20 Section 6 This Ordinance shall take effect thirty (30) days from the 21 date of its adoption and prior to the expiration of fifteen (15) days from the adoption 22 23 24 25 26 27 28 -3-hereof the City Clerk shall cause this Ordinance to be published in the Culver City News Additionally the City Clerk shall post this Ordinance or a summary thereof in at least three public places within the City pursuant to Section 517 of the City Charter APPROVED and ADOPTED this day of April, 2006 ALBERT VERA, Mayor City of Culver City, California 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ATTEST -4- APPROVED AS TO FORM CHRISTOPHER ARMENTA, City Clerk A06 00122 CAROL A SCHWAB, City Attorney I|1010101010101010|9Attachment No 6|1010|ORDINANCE NO 93 015 AN ORDINANCE OF THE CITY OF CULVER CITY, CALIFORNIA, AUTHORIZING THE EXECUTION OF THE DEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF CULVER CITY, SONY PICTURES ENTERTAINMENT, INC AND LOT, INC, RELATING TO REAL PROPERTY LOCATED AT 10202 WASHINGTON BOULEVARD II|109| WHEREAS, on August 9, 1990, the applicant Sony Pictures|1010|I Entertainment, Inc (hereinafter "SPE"), filed applications for approval of a Comprehensive Plan and related applications, for the phased renovation and i expansion of the existing studio facilities located at 10202 Washington Boulevard in the Studio (S-1) Zone (hereinafter "Project"), WHEREAS, to implement the proposed Project, the applications filed by SPE include a Design For Development, Building Height Determination Zone Change, ZC No 90-04, Street Tree Master Plan Amendment, STMPA No 92-01, Comprehensive Plan CF No 90-01 Conditional Use Permit, CUP No 90-10, and Development Agreement, and the City-initiated related applications include a General Plan Amendment, CPA No 90-02 and Zoning Code Amendment, ZCA No 92-05, WHEREAS, the Project site is approximately 46 11 acres located within the Washington-Culver Redevelopment Project Area No 3 and bounded by Madison Avenue Washington Boulevard Overland Avenue and Culver Boulevard and includes the existing studio site, 3941 Madison Avenue referred to as the "Thalberg Annex", and 10181 through 10641 Culver Boulevard referred to as the "Railroad Strip", but excludes 4080 Overland Avenue owned by Southern California Edison and operated as an electrical substation with a portion of the property leased to Sony Pictures Studios for non-credited off-site parking|101010101010101010 10 10|11 12 13 14 ) ] 5 16 17 18 19 20 21 22 23 24 25 26 11 27 I I 28 il 93-0159|1010|i 8 1|101010|i|109| WHEREAS, in accordance with the California Environmental Quality Act 1 of 1970, as amended and after the proposed written responses to comments from public agencies were duly provided to such agencies as required by Public Resources Code section 21092 5, an Environmental Impact Report (hereinafter ' EIR") for this Project was certified by the City Council and Culver City Redevelopment Agency (hereinafter "Agency") on October 5, 1992, by adoption of Resolutions No 92-R083 and 92-A013, respectively, WHEREAS, in February, 1991, the City Council and Agency agreed with staffs recommendation to supplement the standard public notice requirements for this EIR and Project, by mailing notice to property owners and tenants within 2,300+ feet of i the Project site WHEREAS, notice of the public hearing on this Project was mailed to property owners and tenants within the expanded boundary and to all persons expressing interest in this Project by publication of notices in The Outlook and Culver City News, and by posting placards as required by the Culver City Municipal Code, WHEREAS the proposed Project, and specifically the Design for Development and Comprehensive Plan, was reviewed by the Redevelopment Project 3 Committee on January 7, 1993 which following discussion recommended conditional approval of the proposed Project, WHEREAS the Planning Commission held a duly noticed public hearing on May 19, 1993, and following review of the certified EIR, the applications staff report public testimony and thorough discussion of the matter including the applicant's withdrawal of the Conditional Use Permit CUP No 90-10, application at the May 19 hearing the Planning Commission determined all remaining applications should be recommended to the City Council or the Agency for approval as set forth in Resolution No 93-P013,|10101010101010 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 I 26 i , 27 I 28 i|1010|-2 93-0151 ( 1 ---) 2|10101010101010 10 10|11 12 13 14 ) 1 5 16 17 18 19 20 21 22 23 24 25 26 27 28 i|101010|WHEREA, the 1992 EIR has identified certain significant effects which may occur as a result of the Project, or on a cumulative basis in conjunction with other past, present, and reasonably foreseeable future projects, and the City Council has considered the differences between the Project analyzed in the EIR and the Project as currently approved, WHEREAS, the City Council and Agency held a duly noticed public hearing on June 28, 1993, and on July 12 and 28, 1993 held duly noticed public meetings, and following review of the certified EIR, the applications staff reports, public testimony, Planning Commission recommendations, and thorough discussion of the matter, including SPE's withdrawal of CUP No 90-10 application, voted to conditionally approve the Project, WHEREAS, in compliance with the CEQA Guidelines, the City Council made written findings for each of the significant environmental effects identified in the EIR, and adopted a Statement of Overriding Considerations by adoption of Resolution No 93-R070, WHEREAS, the Agency conditionally approved the Design for Development and the Comprehensive Plan, by Resolution No 93-A011, and the City Council conditionally approved the Comprehensive Plan, CP No 90-01, Building Height Determination, General Plan Amendment GPA No 90-02, Street Tree Master Plan Amendment, STMPA No 92-01, and adopted a mitigation monitoring Program in accordance with Public Resources Code section 21081 6, by Resolution No 93-R071, approved the Zone Change, ZC No 90-04 by Ordinance No 93-016, and Zoning Code Amendment, ZCA No 92-05 by Ordinance No 93-017,and WHEREAS, the City Council has determined approval of the Development Agreement by and between Sony Pictures Entertainment, Inc and Lot, Inc is in the public interest, and is consistent with the City's General Plan and Zoning Code -3- 93-015NOW THEREFORE the City Council of the City of Culver City, California, DOES HEREBY ORDAIN as follows SECTION 1 The City Council finds, with respect to the Development Agreement (a) It is consistent with the objectives, policies and programs specified in the City's General Plan, Comprehensive Plan, the Agency's Redevelopment Plan for Project Area No 3, and the adopted Design for Development, (b) The density, intensity, building heights and uses set forth in the Development Agreement are permitted by the underlying zone of the subject property and are consistent with the adopted Comprehensive Plan (c) The Development Agreement will not be detrimental to the public health, safety and general welfare since it encourages the construction of a project which is desirable and beneficial to the public, (d) The Development Agreement complies with all applicable and State regulations governing development agreements, and (e) The Development Agreement is necessary and desirable to strengthen the public planning process and to reduce the public and private costs of development uncertainty SECTION 2 The City Council hereby approves and adopts the Development Agreement by and between the City of Culver City, Sony Pictures Entertainment, Inc and Lot, Inc which is hereby incorporated by this reference as though fully set forth herein SECTION 3 The Mayor is authorized and directed to sign the Development Agreement in the name of the City of Culver City and, further, directs the Development Agreement and this Ordinance be presented to the County Recorder for recordation within ten ( 1 0) days after the Development -4 93-015|10101010101010|7 |101010 10 10|11 12 13 14 15 16 17 18 19 20 21. 22 23 24 25 26 Ii h 27 I 28Agreement becomes effective SECTION 4 This Ordinance shall take effect thirty (30) days from the date of its adoption and prior to the expiration of fifteen (15) days from the adoption hereof the City Clerk shall cause this Ordinance to be published in the Culver City News APPROVED and ADOPTED this 16th day of August ,1993 MIKE BALKMAN, Mayor City of Culver City, California ATTEST APPROVED AS TO FORM PAULINE C DOLCE NORM,AN Y HERR! City Clerk City Attorney ospedev (eek) ?I 7 lictA, PUBLISHED IN THE CULVER CITY NEWS ON AUGUST 21 AND 26, 1993|1010|I 1 i|1010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25|1010|26 1 h 27 'I 28 -5- 93-015-- 93 1803934 RECORDING REQUESTED BY 7) AND WHEN RECORDED MAIL TO City of Culver City P 0 Box 507 Culver City, California 90232-0507 Attention City Attorney [Space Above Line for Recorder's Use Only] DEVELOPMENT AGREEMENT BY AND AMONG CITY OF CULVER CITY, SONY PICTURES ENTERTAINMENT, INC AND LOT, INC. September 15, 1993DEVELOPMENT AGREEMENT BY AND AMONG CITY OF CULVER CITY, SONY PICTURES ENTERTAINMENT, INC AND LOT, INC TABLE OF CONTENTS II DEFINITIONS RECITALS OF PREMISES, PURPOSE AND INTENT Page|101010|A State Enabling Statute 3 City Procedures 4 The Property 5 The Project 5 Project Approvals 6|109| Environmental Impact Report 6|109| Discretionary Approvals 6 Comprehensive Planning Objectives and Public Benefits in Return for Assurance of Completion 6 Additional Public Benefits in Return for Assurances by City|1010|Public Benefits/Comprehensive Plan Conditions 11 Owner Objectives 13 III AGREEMENT AND ASSURANCES 14 A Agreement and Assurances on the Part of Owner 14 Agreement and Assurances on the Part of the City 15|109| Entitlement to Develop 16|109| Subsequent Development Review 18|109| Justifiable Reliance 19|109| Consistency with Applicable Rules 19|109| Subsequent Discretionary Actions 19|109| Term of Map(s) and Other Project Approvals 20|109| No Other Exactions 20|109| Credit/In-lieu Credit for Public Financing 20|10 9| Helicopter Operations - Conditional Use Permit 21 Consequences of Failure to Develop 22 IV GENERAL PROVISIONS 25 A Effective Date, Recordation 25 B Duration 25 C Cooperation and Implementation 25|109| Cooperation in the Event of Legal Challenge 26|109| Public Financing Districts 27|109| Other Governmental Bodies 27 -1- 93 1803934) -) D "Commission" means the Planning Commission of Culver City E "Comprehensive Plan" means Comprehensive Plan, CP No 90-01, and any conditions thereto, as approved by Council Resolution No 93-R071 F "Council" means the City Council of Culver City G "Development Agreement Act" means Sections 65864, et seq , of the California Government Code H "Director" means the Director of Community Development of Culver City I "Discretionary Action, Discretionary Approval" means an action which requires the exercise of judgment, deliber- ation or a decision on the part of City, including any board, commission or department and any officer or employee thereof, in the process of approving or disapproving a particular activity, as distinguished from an activity which merely requires City, including any board, commission or department and any officer or employee thereof, to determine whether there has been compliance with applicable statutes, ordinances, regulations or Project Approvals J "General Plan" means the General Plan of City K "Mortgagee" means a mortgagee of a mortgage and a beneficiary under a deed of trust L "Owner" means Lot, Inc ("Lot") and Sony Pictures Entertainment, Inc ("SPE"), jointly and severally, and each of their successors and assigns|101010101010101010 10 10|11 12 13 ) 14 15 16 17 18 19 20 21 22 23 24 25 26 27 RISILVER 12640 496453 11 2 93 1803934 LkwuncEs0F2|1010|COX CAST! E & NICHOLSON LOS ANGELES CA 08/11/93I|1010|M "Project" means the Property and the proposn development of the Property described in Section II D N "Project Approvals" means 1 Council Resolution No 93-R071 approving General Plan Amendment, GPA No 90-02, the Comprehensive Plan, Street Tree Master Plan Amendment, STMPA No 92-01, building heights to exceed 56 feet, and a Mitigation Monitoring Program, and 2 Ordinance No 93-017 approving Zoning Code Amendment, ZCA No 92-05, and Ordinance No 93-016 approving Zone Change, ZC No 90-04 O "Property" means that certain real property in which Owner owns a legal or equitable interest located in City and more particularly described on Exhibit "A" attached hereto and incorporated herein P "Zoning Code" means Chapter 37 of the Code II RECITALS OF PREMISES, PURPOSE AND INTENT A State Enabling Statute To strengthen the public planning process, encourage private participation in comprehensive planning and reduce the economic risk of development, the Legislature of the State of California adopted the Development Agreement Act which authorizes any city to enter into binding development agreements establishing certain development rights in real property with persons having legal or equitable interests in such property 93 1803934 RISILVER 22640 49663 11 3 08/11/93|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGFI FC CASection 65864 of the Development Agreement Act expressly provides, in part, as follows "The Legislature finds and declares that "(a) The lack of certainty in the approval of development projects can result in a waste of resources, escalate the cost of housing and other development to the consumer, and discourage investment in and a commitment to comprehensive planning which would make maximum efficient utilization of resources at the least economic cost to the public "(b) Assurance to the applicant for a development project that upon approval of the project, the applicant may proceed with the project in accordance with existing policies, rules and regulations, and subject to condi- tions of approval will strengthen the public planning process, encourage private participa- tion in comprehensive planning, and reduce the economic cost of development " B City Procedures The parties hereto have determined that the Project is a development for which a development agreement is appropriate Development of the Project in accordance with a development agreement will provide for the orderly development of the Property in accordance with the objectives set forth in the General Plan and the Comprehensive Plan Moreover, a development agreement for the Project will eliminate uncertainty in planning for and securing orderly development of the Project, ensure attainment of the maximum efficient utilization of resources within the City at the least economic cost to its citizens and otherwise achieve the goals and purposes for which the Development Agreement Act was enacted In exchange for these and other benefits to the City, Owner will receive the assurance that, subject to the exercise of Owner's discretion described in Section III A 1 below, RISILVER /2640 49663 11 4 93 1803934 08,11/93 ) 1|1010101010101010 10 10|11 12 13 ) 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES 0E 28 COX CASTLE & NICHOLSON LOS ANGELES CA) -) , ( Owner shall develop the Project during the term of this Agreem(—) in accordance with the Applicable Rules, subject to the terms and conditions herein contained City has undertaken the necessary proceedings, has found and determined that this Agreement is consistent with the General Plan and the Comprehensive Plan and has adopted Ordinance No 93-015 approving this Agreement which ordinance became effective on September 15, 1993 This Agreement does not (1) grant density or intensity in excess of that otherwise established in the Project Approvals, (2) supersede, nullify or amend any condition imposed in the Project Approvals, (3) guarantee to Owner any profits from the Project, (4) subject to the provisions of Section II G 4 below, prohibit or, if legally required, indicate Owner's consent to, the Property's inclusion in any public financing district or assessm 1 district, or (5) amend the General Plan or the Comprehensive Plan C The Property Lot is the owner of the Property, which consists of approximately 46 11 acres and which is shown on the Location Map attached hereto as Exhibit "B" and incorporated herein SPE is responsible for coordinating the development of the Project D The Prolect The proposed project consists of the expansion and renovation of the existing television and motion picture studio facility At the completion of the phased construction program, if fully implemented, the project will include approximately two million, five hundred forty-two thousand, eight hundred ninete (2,542,819) gross square feet of studio offices, stage, post 93 1803934|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES 0E 28 COX CASTLE & NICHOLSON LOS ANGELES CA RISILVER 22640 49663 11 5 08n1/93production, retail and support space, as well as on site and offsite infrastructure improvements The permitted uses, the density or intensity of use, the maximum height and size of proposed buildings, including architectural and facade features, parking structures and roof top mechanical equipment, and provisions for reservation or dedication of land for public purposes shall be those set forth in the Project Approvals E Project Approvals 1 Environmental Impact Report By Council Resolution No 92-R083, the Council certified, after making appro- priate findings, the Environmental Impact Report for the Project dated October 5, 1992, under the provisions of the California Environmental Quality Act [California Public Resources Code Section 21000, et seq ] (the "EIR")|109| Discretionary Approvals In addition to certifying the EIR, the Council approved the Project Approvals F Comprehensive Planning Objectives and Public Benefits in Return for Assurance of Completion In accordance with the legislative findings set forth in Section 65864 of the Development Agreement Act, City wishes to attain certain objectives that will be furthered by this Agreement By entering into this Agreement, City assures Owner that the Project may be completed in accordance with the Applicable Rules Completion of the Project will further the comprehensive planning objectives contained within the General Plan and the Comprehensive Plan and will result in public benefits, including, among others, the following ) 1|1010101010101010 10 10|11 12 13 ) 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGEI ES CA 93 1803934 RIS1LVER 72640 49663 11 6 omuu1|1010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA|109| Fulfilling long term economic and so( goals for the subject area, 2 Providing high-quality planned developments with upgraded landscaping, underground utilities, open space, pedestrian areas (courtyard, walks and benches), quality design and protection of historic buildings, 3 Improvement of the circulation system in the vicinity of the Project through the implementation of the transportation/traffic mitigation measures required by the Applicable Rules,|109| Providing positive ongoing fiscal benefit to the City's General Fund,|109| Providing for both short-term construction employment and long-term permanent employment within City, ID|109| Assuring the long-term viability of the economy of the City and of the surrounding community,|109| Solidifying the historic presence and operation of the movie and entertainment industry in City,|109| Enhancing the vicinity in and around the downtown area of City,|10 9| Coordinating the phasing of public facilities with private development, and 10 Minimizing public expenditure for infrastructure and other improvements Additional Public Benefits in Return for Assurances by City In addition to the public benefits outlined J.11 Section II F above, as consideration for the assurances provided by RISILVER /2640 49663 11 7 93 1803934 Nn uw1 D ) 14 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA - 22 23 24 25 26 27 20 21 15 16 17 18 19|101010101010 10 10|11 12 13|101010|City in this Agreement, Owner agrees to provide the following additional public benefits 1 Owner agrees to provide at least one (1) free monthly screening of SPE's films or videos at the Senior Center or other locations to be agreed upon by SPE and City's Chief Administrative Officer, 2 Owner agrees to provide upgraded equipment, including closed caption equipment for the Senior Center, as determined by Owner and the Chief Administrative Officer, 3 Owner agrees to pay a pro rata share of the cost for undergrounding the offsite utility lines along Overland Avenue between Venice and Culver Boulevards (excluding the Southern California Edison substation), provided that Owner's pro rata share shall be equal to a percentage (as calculated below) of the total actual cost for such undergrounding, and provided further that a No part of such payment shall be made before the undergrounding has been commenced, b One-half (1/2) of such payment shall be made upon the issuance of any building permit for any "net new development" (as defined in the Comprehensive Plan) in excess of twenty-five thousand (25,000) square feet in Comprehensive Plan Design Area 5, c One-half (1/2) of such payment shall be made upon the issuance of any building permit for any net new development in excess of twenty-five thousand (25,000) square feet in Comprehensive Plan Design Area 6, and RISILVER 22640 49663 11 8 93 1803934 08/11/931 The method of calculation for Owner's|1010|percentage of Overland Avenue undergrounding shall be as follow_-)|1010|Property's Overland Avenue frontage|1010|in linear feet (A) divided by the sum of the total linear feet of|1010|Overland Avenue frontage on the west side between Venice Boulevard|1010|and Culver Boulevard (B) plus the total linear feet of Overland|1010|frontage on the east side between Washington Boulevard and Culver|1010|Boulevard (C) multiplied by one hundred (100) equals Owner's|10 10|percent share (D), i e 10 11 ‘B+Cij 12 13|109| Notwithstanding the provisions of 14 Section III B 7 below, Owner agrees to pay a storm drain fee that 15 is adopted by City following the Effective Date, the payment 16 such fee to be in accordance with and subject to the provisions of 17 Condition VI A of the Comprehensive Plan City hereby acknowledges 18 that nothing in this Section II G 4 shall be interpreted as a 19 waiver of Owner's right to contest the calculation of the fee 20 Owner hereby agrees that the storm drain fee may be levied directly 21 or through an assessment or other public financing district, 22|109| From time to time, Owner agrees to provide 23 advice and assistance to the Culver City Historical Society, and 24 further agrees to identify historical materials and to donate no 25 fewer than ten (10) items of movie memorabilia, selected at Owner's 26 discretion, to the Historical Society within one (1) year of City's 27 approval of the Comprehensive Plan, LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA R1SILVER /2640 49663 11 9 93 1803934 08/11/936 Owner agrees to offer free public tours of the Project to residents of and persons employed in Culver City at least three (3) times per year The scope of such tours shall be reasonably determined by Owner Tour dates shall be coordinated with City Owner shall advertise each tour in selected Culver City media at least thirty (30) days in advance, 7 Owner agrees to establish and maintain a Sony Pictures film history museum either on site or, so long as Owner leases or owns the Sony Pictures Plaza Building, in the lobby area of the Sony Pictures Plaza Building If located on site, the museum shall constitute a part of the retail square footage that is permitted on the site The size of the museum, the hours of operation and the composition of the exhibits in the museum shall be determined by Owner, after consultation with City's Chief Administrative Officer, 8 Owner agrees to comply with the waste water "zero net flow increase" provisions of Condition V F 4 of the Comprehensive Plan 9 Beginning with the effective date of the Comprehensive Plan and on July 1 of every year thereafter for a period of at least ten (10) years, Owner agrees to purchase for the Culver City Unified School District at least twenty-five thousand dollars ($25,000) worth of equipment and programs, as approved by the Superintendent of the District, 10 Owner agrees to pay to the City the following costs of providing vehicle and parking enforcement in the neighborhoods and commercial areas in the vicinity of the Project site The payment shall be made upon the effective date of the RISILVER 22640 49663 11 10 93 1803934 08/11/93 D |101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CALAW OFFICES OF 28 COX CANTLE & NICHOLSON LOS ANGELES CA 24 25 26 27 22 23 20 21|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 Comprehensive Plan ("Year One") and every year thereafter for') period of four (4) years, as follows a Year One $60,000 July 1, 1994 $49,900 July 1, 1995 $38,922 July 1, 1996 $26,986 July 1, 1997 $14,033, 11 To the satisfaction of the City Treasurer, Owner agrees to self-accrue and pay to the State of California applicable sales taxes on items purchased from businesses which are located outside the State, 12 Owner agrees that City shall be the point of sale for all retail sales generated by the retail space on the Project site, and 13 Owner agrees to ensure funding is available for the operation and replacement of the bus described in Condition XII F 4 h of the Comprehensive Plan by complying with the provisions of the revenue guarantee set forth in Condition XII F 4 i of the Comprehensive Plan Public Benefits/Comprehensive Plan Conditions In finalizing the conditions to the Comprehensive Plan and the terms of this Agreement, City and Owner discussed, at length, whether certain items belonged in the conditions to the Comprehensive Plan or were more appropriately designated "benefits" under this Agreement Throughout the discussions, City expressed a concern that designating the items a "benefit" in the Development Agreement represented a concession the City that it could not have required the items as conditions to RISILVER /2640 49663 11 11 93 1803934 ogn 1 /93- D i|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA the Comprehensive Plan, if there were no Development Agreement On the other hand, Owner expressed a concern that including the items as conditions to the Comprehensive Plan represented a concession by Owner that the items could be required by City without this Agreement To resolve the matter, City and Owner have agreed that the inclusion of the following items in this Agreement do not represent a concession by City that these items could not have been imposed as conditions of the Comprehensive Plan without this Development Agreement and do not represent a concession by Owner that these items could, without this Agreement, be required as conditions to the Comprehensive Plan 1 Owner agrees to prepare photographic [eight inches by ten inches (8" X 10")] black and white and color prints with negatives and a video tape (color video, high speed, with pictures and narration) documentation of all "landmark" and "significant" structures in accordance with the provisions of the Comprehensive Plan 2 Owner agrees that in perpetuity, the designated structures listed below shall not be demolished, except that Owner may apply for a Certificate of Economic Hardship, pursuant to Chapter 38 of the Code, after the term of this Agreement a Colonnade Building b Commissary Building c Gable Building d Myrna Loy Building e Stage 4 building RISILVER 22640 49663 11 12 93 1803934 08/11/93Stage 6 building (but not includ the rooftop sign) Thalberg Building Owner Oblectives In accordance with the legislative findings set forth in Section 65864 of the Development Agreement Act, Owner wishes to obtain reasonable assurances that, having received the necessary Discretionary Approvals for the Project (1 e , the Project Approvals), Owner may develop the Project in accordance with the Applicable Rules, with the conditions established in the Project Approvals and with the terms of this Agreement Because of the nature of the Project and the type and extent of the public improvements to be provided by the Project, the development of the Project will take a long period of time to complete Owne decision to commence the Project is based on expectations of proceeding with the Project to completion In the absence of this Agreement, Owner would have no assurance that it could complete the Project and would therefore be exposed to significant economic risk For any number of currently foreseeable and unforeseeable reasons, including, without limitation, regional traffic and related impacts (e q , impacts on air quality) resulting from development outside the jurisdiction of City, pressures on City could be created to (1) halt the Project at a point short of total build-out, as such build-out is permitted by the Project Approvals, (11) reduce the intensity of the Project, (iii) defer or delay completion of the Project, or (iv) apply new rules, regulations or official policies to the Project in such a manner as significantly increase the cost of the Project The burden of RISILVER 12640 49663 II 13 93 1803934 08/11/93|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CAD )|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CAST! E & NICHOLSON LOS ANGELES CA interest carrying costs, the difficulty of obtaining construction and/or permanent financing and the potential loss of anticipated revenue associated with these development risks and uncertainties would, in the absence of this Agreement, deter and discourage Owner from making a long-term commitment to the implementation of the Project Owner has expended and will continue to expend large amounts of time and money on the planning and infrastructure construction of the Project In addition, Owner will expend large amounts of time and money in constructing public improvements and facilities and providing for public services in connection with the Project Owner would not make such additional expenditures without this Agreement and such additional expenditures will be made in reliance upon this Agreement Accordingly, Owner cannot prudently commence the development of the Project and the public improvements and facilities without reasonable assurance that it will be able to complete the Project in accordance with the Applicable Rules III AGREEMENT AND ASSURANCES A Agreement and Assurances on the Part of Owner 1 In consideration of the premises, purposes and intentions set forth in Article II above, and in consideration of the assurances for completion of the Project pursuant to the terms and conditions of City assurances set forth in Section III B below, in the event Owner, using its own business judgment, after taking into consideration all relevant factors influencing Owner's business decisions, elects to proceed with the development of the Project, Owner agrees to develop the Project in accordance with the RISILVER 72640 49663 II 14 93 1803934 08/11/93terms and conditions of this Agreement, with the conditin established in the Project Approvals and with the Applicable Rules 2 Notwithstanding anything set forth in this Agreement, in the event that the Project is not developed for any reason, including, without limitation, litigation attacking any of the Project Approvals or this Agreement, subject to the sentence immediately following, Owner shall be under no obligation to make any improvements or pay any fees required by the Applicable Rules, and any such fees paid by Owner shall be refunded by City, if pursuant to City's normal refund procedures, such refund is appropriate If Owner is unable or elects not to proceed with development of the Project as a result of litigation attacking any of the Project Approvals or litigation attacking this Agreement, City and Owner shall review the fees, exactions, benefits and ott ) consideration paid by Owner to City pursuant to the Applicable Rules or pursuant to this Agreement and shall make a good faith effort to determine whether any portion or all of the fees, exactions, benefits and other consideration previously paid by Owner should, under the circumstances, be refunded to Owner, provided, if City and Owner are unable to agree, the determination of the refund, if any, of such fees, exactions, benefits and other consideration shall be made in accordance with the provisions of Section IV D 3 below Agreement and Assurances on the Part of the City In order to effectuate the premises, purposes and intentions set forth in Article II above, and as an induceme for Owner to obligate itself to carry out the covenants and RISILVER 22640 49663 11 15 93 1803934 wn 1 /93|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA) 1 conditions set forth in the preceding Section III A of this Agreement, and in consideration for Owner's doing so, City hereby agrees and assures Owner that Owner will be permitted to carry out and complete the entire Project, subject to the terms and conditions of this Agreement, the conditions established in the Project Approvals and the Applicable Rules In furtherance of such Agreement and assurance, and pursuant to the authority and provisions set forth in the Development Agreement Act, City, in entering into this Agreement, hereby agrees and acknowledges that 1 Entitlement to Develop City agrees that Owner has the right to develop the Project, subject to the conditions imposed by the Project Approvals and in accordance with the Applicable Rules, and finds the Project consistent with the General Plan, as amended, the Comprehensive Plan, and the Zoning Code Any change in the Applicable Rules, including, without limitation, any change in any applicable general, specific or comprehensive plan, zoning, subdivision, or building regulation, including, without limitation, any such change by means of an ordinance, City Charter amendment, initiative, resolution, policy, oraer or moratorium, initiated or instituted for any reason whatsoever and adopted by the City Council, Planning Commission or any other Board, Commission or Department of City, or any officer or employee thereof, or by the electorate, as the case may be, which would, absent this Agreement, otherwise be applicable to the Project and which would conflict in any way with or be more restrictive than the Applicable Rules, shall not be applied by City to the Project unless City determines that the failure to apply RISILVER 22640 49663 11 16 93 1803934 08/11/93|101010101010101010 10 10|11 12 13 ) 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 LAW OFFICES OF COX CAST! E & NICHOLSON LOS ANGELES CAsuch change would place the residents of City in a conditi -) dangerous to their health or safety, or both Notwithstanding the above, development of the Project shall be subject to changes occurring from time to time in City rules, regulations and official policies relating to uniform codes, including, but not limited to, the Uniform Building Code, Uniform Electrical Code, Uniform Grading Code, Uniform Mechanical Code, Uniform Plumbing Code, or Uniform Fire Code applicable to private improvements to be constructed on the Property, provided that such changes (a) are found by City to be necessary to the health and safety of the citizens of City and (b) are generally applicable to all property in City that is being used for the same or similar purposes as the Property Any subsequent Discretionary Actions by City or any conditions, terms, restrictions and requirements f ) such Discretionary Actions by City, shall not prevent development of the Property for the uses and to the maximum density or inten- sity of development set forth in the Project Approvals and this Agreement The City acknowledges that Owner cannot at this time predict when or the rate at which the Project will be developed Such decisions depend upon numerous factors which are not within the control of Owner, such as market orientation and demand, interest rates, absorption, competition, and other similar factors Because the California Supreme Court held in Pardee Construction Co v City of Camarillo (1984) 37 Cal 3d 465, that failure of the parties therein to provide for the timing of devel- opment resulted in a later adopted initiative restricting timing of development to prevail over such parties' agreement, it RIS1LVER 72640 49663 11 17 93 1803934 08/11/93|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CAD )|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 LAW OFFICES OF 28 COX CASTI F Se NICHOLSON LOS ANGELES CA 23 24 25 26 27 22 21 is the parties' intent to cure that deficiency by acknowledging and providing that Owner shall have the right to develop the Project in such order and at such rate and at such times as Owner deems appropriate within the exercise of its subjective business judgment In addition to and not in limitation of the foregoing, it is the intent of Owner and City that no moratorium or other limitation (whether relating to the rate, timing or sequencing of the development or construction of all or any part of the Project, whether imposed by City Charter amendment, initiative, ordinance, resolution, policy, order or otherwise, and whether enacted by the City Council, Planning Commission or any other Board, Commission or Department of City, or any officer or employee thereof, or by the electorate) affecting parcel or subdivision maps (whether tentative, vesting tentative or final), building permits, occupancy certificates, or other entitlements to use or service (including, without limitation, water and sewer) approved, issued or granted within City, or portions of City, shall apply to the Project to the extent such moratorium or other limitation is in conflict with this Agreement 2 Subsequent Development Review City shall not require Owner to obtain any approvals or permits for the development of the Project in accordance with this Agreement other than those permits or approvals which are required by the Applicable Rules All subsequent review of development of the Project shall be subject to the terms and conditions of this Agreement As provided for in Section 65869 5 of the Development Agreement Act, this Section III B 2 shall not preclude the RISILVER 22640 49663 11 18 93 1803934 08/11/931|1010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES 0E 28 COX CASTLE & NICHOLSON LOS ANGELES CA application to the Property of changes in City rules, regulaticTh ) or official policies, the terms of which are specifically mandated and required by changes in State or federal laws or regulations 3 Justifiable Reliance City acknowledges that, in investing money and planning effort in and to the Project and all public improvements required hereunder, and in undertaking commencement of the Project, Owner will be doing so in reliance upon City's covenants contained in this Agreement and upon the enforceability of this Agreement, and City agrees that it will be reasonable and justifiable for Owner to so rely 4 Consistency with Applicable Rules City finds, based upon all information made available to City prior to or concurrently with the execution of this Agreement, that there are no Applicable Rules that would prohibit or prevent the fi ) completion and occupancy of the Project in accordance with the uses, densities, designs, and heights approved in the Project Approvals and agreed to herein 5 Subsequent Discretionary Actions With respect to any Discretionary Action or Discretionary Approval that is required subsequent to the execution of this Agreement, City agrees that it will not unreasonably withhold from Owner or unreasonably condition any Discretionary Action or Discretionary Approval which must be issued by City in order for the Project to proceed to construction and occupancy In addition, no condition shall preclude or otherwise limit Owner's ability to develop the Project in accordance with the height, density and size speci- fications set forth in the Project Approvals nor otherwise confli with any provision of this Agreement RISILVER 22640 49663 11 19 93 1803934 08/11/936 Term of Map(s) and Other Project Approvals Pursuant to California Government Code Sections 66452 6(a) and 65863 9, the term of any subdivision or parcel map that may be processed on all or any portion of the Property during the term of this Agreement and the term of each of the Project Approvals shall be extended for a period of time through the scheduled termination date of this Agreement as set forth in Section IV B below 7 No Other Exactions Except as provided in the Project Approvals and this Agreement, no other exactions shall be required to be paid, dedicated, constructed, or contributed by Owner in connection with this Agreement or any Project Approval For purposes of this Agreement, exaction shall mean any requirement of City in connection with or pursuant to any Applicable Rule or any Project Approval for dedication of land, construction or improvement of public facilities, payment of fees or making any other contribution required in order to address impacts of development on the community or the impacts of this Agreement For purposes of this Agreement, usual and customary application, processing and permit fees of the type now in effect shall not be considered exactions|109| Credit/In-lieu Credit for Public Financing If, after the Effective Date, the Property, or any portion thereof, is included in any public financing district or assessment district, Owner shall be given credit or in-lieu credit for any exactions or benefits previously provided or to be provided by Owner in connection with any Project Approval or this Agreement to the extent any such exactions or benefits represent the types of RISILVER /2640 49663 11 20 93 1803934 08/11/93 7) 1|1010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOI SON LOS ANGELES CA)benefits, improvements, equipment, facilities or services for whic 11 the public financing district or assessment district is formed|10 9| Helicopter Operations - Conditional Use Permit Owner hereby acknowledges that, based upon concerns about noise and safety under current technology and the sentiment of the community, if Owner had not withdrawn its application for a Conditional Use Permit ("CUP") for helicopter operations, the Council would have denied such application The parties further acknowledge such denial would have still allowed helicopter operations for emergency and construction purposes City hereby acknowledges that it is Owner's desire that, if and when technology is capable of producing a helicopter with noise and safety characteristics that are acceptable to the Council, Owner should be permitted to apply for a CUP that will authorize helicoptr operations Owner hereby acknowledges and agrees that the decision of the Council as to whether to issue a CUP and the terms and conditions of the permit (including, without limitation, frequency, hours and flight path) will be in the Council's sole and absolute discretion Based on and subject to the foregoing, Owner shall be permitted to apply for a CUP for helicopter operations in accordance with the provisions of Chapter 17A, as amended, of the Code In addition, Owner hereby agrees that any helicopter landing (other than for emergency or construction purposes) authorized by or made for the benefit of Owner, prior to Owner's receipt of a CUP, shall result in a fine, in each instance, of $10,000 Owner further agrees it shall not conduct or allow for its benefit helicopter operations (other than for emergency or constructi purposes) within a 750 foot radius of the Culver City RIS1LVER 22640 49663 11 21 93 1803934 mn v93|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA1|1010|D LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA 23 24 25 26 27 16 17 18 19 20 21 22 13 14 12 15|101010101010 10 10 1010|jurisdictional boundary Such 750 foot limitation may be modified, in the sole and absolute discretion of the Council, when and if the Council grants a CUP, as provided above The $10,000 fine provided for above shall likewise apply to helicopter operations prohibited within the 750 foot radius C Consequences of Failure to Develop Recognizing that the timing of development of the Project will be subject to future market and economic conditions and that the dates set forth in the Comprehensive Plan for completing various phases of the Project represent estimated timeframes only, it is City's position that if development of the Project is not undertaken by Owner in some reasonable fashion, the term of this Agreement should be reduced In response to City's concerns and in order to assure City that Owner intends to proceed with development of the Project, Owner hereby agrees to the following consequences should development of the Project not proceed in a reasonable fashion 1 If construction of at least 300,000 square feet of "new construction" (as hereinafter defined) in the Project is not commenced by December 31, 1996, the term during which the vesting provisions of Section III B 1 and 2 of this Agreement (the "Vesting Term") remain in effect shall be reduced one day for each day beyond December 31, 1996 that construction of 300,000 square feet is not commenced If the Vesting Term of this Agreement is required to be reduced in accordance with the provisions of this subparagraph 1, at City's request City and Owner shall execute a certificate, in form sufficient for recordation purposes, indicating the reduction in the Vesting Term, and such certificate RISTLVER 22640 49663 1 I 22 93 1803934 mn u93shall be recorded in the offices of the County Recorder of Lo ch Angeles County A reduction in the Vesting Term in accordance witn/ the provisions of this subparagraph 1 shall not constitute an amendment to this Agreement requiring notice or public hearing 2 If construction of at least 500,000 square feet of new construction, a. e , an additional 200,000 square feet, in the Project is not commenced by December 31, 2001, the Vesting Term of this Agreement shall be reduced one day for each day beyond December 31, 2001 that construction of 500,000 square feet is not commenced If a reduction in the Vesting Term is continuing under the provisions of subparagraph 1 above, the reduction in the Vesting Term shall be cumulative, a. e , two days, for so long as the commencement of construction requirements of subparagraph 1 are not satisfied If the Vesting Term of this Agreement is requir e- to be reduced in accordance with the provisions of this subparagraph 2, at City's request City and Owner shall execute a certificate, in form sufficient for recordation purposes, indicating the reduction in the Vesting Term, and such certificate shall be recorded in the offices of the County Recorder of Los Angeles County A reduction in the Vesting Term in accordance with the provisions of this subparagraph 2 shall not constitute an amendment to this Agreement requiring notice or public hearing 3 If construction of at least 800,000 square feet of new construction, a. e , an additional 300,000 square feet, in the Project is not commenced by December 31, 2006, the Vesting Term of this Agreement shall be reduced one day for each day beyond December 31, 2006 that construction of 800,000 square feet is r commenced If a reduction in the Vesting Term is continuing under|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 LAW OFFICES OF COX CASTLE & NICHOLSON LOS ANGELES CA RISILVER 22640 49663 11 23 93 1803934 08/11/93the provisions of subparagraph 1 and/or 2 above, the reduction in the Vesting Term shall be cumulative, i e , three days, for so long as the commencement of construction requirements of both subparagraphs 1 and 2 are not satisfied, and two days, for so long as the commencement of construction requirements of subparagraph 2 are not satisfied If the Vesting Term of this Agreement is required to be reduced in accordance with the provisions of this subparagraph 3, at City's request City and Owner shall execute a certificate, in form sufficient for recordation purposes, indicating the reduction in the Vesting Term, and such certificate shall be recorded in the offices of the County Recorder of Los Angeles County A reduction in the Vesting Term in accordance with the provisions of this subparagraph 3 shall not constitute an amendment to this Agreement requiring notice or public hearing 4 As used in this Section III C , the term "new construction" shall mean the construction of any structures, including stages, that replace demolished structures as well as the construction of new structures, including stages, as additions to the Project The term "new construction" shall not include the construction of any above ground, surface or below ground parking structures or facilities As used in this Section III C, construction shall be deemed to have "commenced" when the pouring of a foundation for a structure is completed or, in the case of a structure that has been demolished and a new structure is being constructed on the demolished structure's foundation, construction shall be deemed to have commenced when framing of such structure is completed ) 1|1010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 ) 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA RISILVER 22640 49663 11 24 93 1803934 08/11/935 Notwithstanding the provisions ) subparagraphs 1, 2 and 3 above, in no event shall the Vesting Term of this Agreement be reduced by a cumulative total of more than five (5) years IV GENERAL PROVISIONS A Effective Date, Recordation This Agreement shall be effective on September 15, 1993 (the "Effective Date") As provided in Section 65868 5 of the Development Agreement Act, a copy of this Agreement shall be recorded with the Los Angeles County Recorder within ten (10) days following its execution by both parties B Duration This Agreement shall commence upon f -/ ) Effective Date and shall remain in effect for a term of twenty (20) years thereafter, unless this Agreement is terminated, modified or extended by the provisions of this Agreement or by mutual consent of the parties hereto Following the expiration of said term, this Agreement shall be deemed terminated and of no further force and effect, provided, however, such termination shall not automatically affect any right arising from City approvals on the Property prior to, concurrently with or subsequent to the Effective Date of this Agreement or the rights and obligations set forth in Section IV C 1 below C Cooperation and Implementation City represents that it will cooperate with Owner to the fullest extent reasonable and feasible to impleme this Agreement Upon satisfactory completion by Owner of all RISILVER /2640 49663 ii 25 93 1803934 Nn uu|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CADl|1010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES COX CAST1 E & NICHOLSON LOS ANGELES CA required preliminary actions and payments of appropriate fees, City shall promptly commence and diligently proceed to complete all steps necessary for the implementation of this Agreement and the development of the Property in accordance with the terms of this Agreement, including, but not limited to, the processing and check- ing of any and all Project Approvals, agreements, covenants, and related matters required under the conditions of this Agreement, building plans and specifications, and any other plans necessary for the development of the Property, filed by or on behalf of Owner Owner shall, in a timely manner, provide City with all documents, plans and other information necessary for City to carry out its obligations hereunder 1 Cooperation in the Event of Legal Challenge In the event of any legal action instituted by a third party or other governmental entity or official challenging the validity of any provision of this Agreement, the parties hereby agree to cooperate in defending said action, provided, however, Owner shall indemnify and hold City harmless from all litigation expenses, including reasonable attorneys' fees and costs, arising out of any legal action instituted by a third party or other governmental entity or official (other than City or an official of City) challenging the validity of any provision of this Agreement, the Project Approvals, or any City action relating thereto City shall promptly notify Owner of any such action, and City shall cooperate fully in the defense thereof If City falls to promptly notify Owner of any such action or if City fails to cooperate fully in the defense, Owner shall not thereafter be responsible to defend, indemnify or hold City harmless To the extent attorneys' 93 1803934 RISILVER 22640 49663 11 ogn 1 /93 26fees and costs become payable pursuant to the provisions of th -) Section IV C 1 , City may submit billings for such fees and costs no less frequently than quarterly to Owner The filing of any third party lawsuit(s) against City or Owner relating to this Agreement or to other development issues affecting the Project shall not delay or stop the processing or issuance of any permit or authorization necessary for development of the Project, unless the third party obtains a court order preventing the activity City shall not stipulate to the issuance of any such order 2 Public Financing Districts City agrees to cooperate with Owner in the establishment of one or more Mello- Roos Districts and/or assessment districts covering all or a portion of the Property to enable the issuance of bonds to finan those improvements required in connection with the development of the Project 3 Other Governmental Bodies To the extent that City, its City Council, Planning Commission or any other Board, commission or Department of City constitutes any other board or agency, it shall not take any action that is inconsistent with the terms of this Agreement D Enforceability Subject to the terms of this Agreement, Owner's obligation to City is to develop the Project, subject to the conditions established in the Project Approvals, and City's obliga- tion to Owner is to permit Owner to complete the Project in accordance with the Project Approvals and the Applicable Rules turn, the parties anticipate that City's promises in Section III B RISILVER 22640 49663 11 27 93 1803934 N/11/93|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA )D )|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICI1OLSON LOS ANGELES CA --) will induce Owner to start and complete the Project Therefore, the parties agree that the following provisions shall govern the availability of remedies should either party breach its obligations under this Agreement The provisions of Section III A may not be specifically enforced by City, nor may City in any way compel Owner to either start or complete the Project, nor may City seek any monetary damages from Owner for failure to start or complete the Project 1 Default Failure by either party to perform any term or provision of this Agreement for a period of thirty (30) days after receipt of written notice thereof from the other party shall constitute a default under this Agreement, subject to extensions of time by mutual consent in writing Said notice shall specify in detail the nature of the alleged default and the manner in which said default may be satisfactorily cured If the nature of the alleged default is such that it cannot reason- ably be cured within such 30-day period, the commencement of the cure within such time period and the diligent prosecution to completion of the cure shall be deemed a cure within such period For purposes of this Section IV D 1 , any notice of default delivered by City to Owner and any determination that Owner has failed to cure a default must first be approved by Council Subject to the foregoing, after notice and expiration of the 30-day period without cure, the other party to this Agreement, at its option, may institute legal proceedings pursuant to this Agreement RISILVER 22640 49663 11 28 93 1803934 ofin v93D|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 OX CASTLE & NICHOLSON LOS ANGELES CA Evidence of default may also arise in the course of the regularly scheduled annual review described in Section IV D 2 below 2 Periodic Review Each year prior to the anniversary date of the Council's approval of this Agreement, Owner shall demonstrate to Director its good faith compliance with the terms of this Agreement in the form of an annual report If as a result of such periodic review, the Director finds and determines, on the basis of substantial evidence, that Owner has not complied in good faith with the terms or conditions of this Agreement, the Director shall set a date for a hearing on the matter before the Council Notice of such hearing shall be given to Owner at least thirty (30) days prior to the hearing and shall specify in detail the nature of the alleged non-compliance and the manner in which it may be satisfactorily cured If as a result of its review, Council reasonably determines, on the basis of substantial evidence pre- sented at such meeting, that Owner has not complied in good faith with the terms and conditions hereof, City shall provide written notice thereof ("Notice of Non-Compliance"), specifying in specific detail and specific reasons for such finding After the City delivers the Notice of Non-Compliance, Owner shall have the right to cure such non-compliance as provided in Section IV D 1 above In the event that Owner does not timely cure the non-compliance after a Notice of Non-Compliance is delivered by City or if, during the period which Owner must cure such default, Owner ceases to use reasonable efforts to effect such cure, City shall have the right to modify or terminate this Agreement or institute legal action RISILVER 12640 49663 11 29 93 1803934 om u933 Institution of Legal Action Subject to notice of default and opportunity to cure under Sections IV D i-) and IV D 2 , in addition to any other rights of remedies, either party may institute legal action to cure, correct or remedy any default, to enforce any covenants or agreements herein, to enjoin any threatened or attempted violation hereof, to recover damages for any default, or to obtain any other remedies consistent with the purpose of this Agreement Such legal action shall be heard by a reference from the Los Angeles County Superior Court pursuant to Code of Civil Procedure Section 638, et sea Owner and City shall agree upon a single referee who shall then try all issues, whether of fact or law, and report a finding and judgment thereon and issue all legal and equitable relief appropriate under the circumstances of the controversy before him If Owner and City are unable to agree on a referee within ten (10) days of a written request to ao so by either party hereto, either party may seek to have one appointed pursuant to Code of Civil Procedure Section 640 The costs of such proceeding shall initially be borne equally by the parties Any referee selected pursuant to this Section IV D 3 shall be considered a temporary judge appointed pursuant to Article 6, Section 21, of the California Constitution Nothing in this Section IV D 3 shall preclude either party's right to appeal the decision of the referee If a legal action or proceeding is brought by any party because of default under this Agreement, or to enforce a provision thereof, the prevailing party therein shall be enti- tled, in addition to any other relief, to recover reasonab attorneys' fees and court costs from the losing party as determined RISILVER 22640 49663 11 30 93 1803934 Nn uu|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA1 7) 2|10101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFTCES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA by the court in which said action or proceeding is pending Attorneys' fees under this Section shall include attorneys' fees for any appeal and, in addition, a party entitled to attorneys' fees shall be entitled to all other reasonable costs and expenses incurred in connection with such action In addition to the award of attorneys' fees to the prevailing party, the prevailing party in any lawsuit shall be entitled to its attorneys' fees incurred in any post judgment proceedings to collect or enforce the judgment This provision is separate and several and shall survive the merger of this Agreement into any judgment on this Agreement Assignment 1 Right to Assign Owner shall have the right to sell, transfer or assign the Property, in whole or in part (provided that no such partial transfer shall be permitted to cause a violation of the Subdivision Map Act, Government Code section 66410, et seq , or the Covenant to Hold as a Single Parcel being executed as a condition to the Comprehensive Plan (the "Covenant to Hold as a Single Parcel")), to any person or entity at any time during the term of this Agreement, provided, however, that no sale, transfer or assignment of any right or interest under this Agreement shall be made unless made together with the sale, transfer or assignment of the part of the Property being transferred 2 Release of Transferring Owner Notwith- standing any sale, transfer or assignment, a transferring Owner shall continue to be obligated under this Agreement unless such transferring Owner is given a release in writing by City, which 93 1803934 RISILVER 22640 49663 11 31 081 1/93release shall be provided by City upon the full satisfaction 1--) such transferring Owner of all the following conditions a The transferring Owner no longer has a legal or equitable interest in the part of the Property being transferred The transferring Owner is not then in default under this Agreement (relating to the part of the Property being transferred) The transferring Owner has provided City with an executed agreement, in a form reasonably acceptable to City, by the purchaser, transferee or assignee and providing therein that the purchaser, transferee or assignee expressly and unconditionally assumes all the duties and obligations of Owner under this Agreement (relating to the part of the Property bel transferred) The purchaser, transferee or assignee provides City with security reasonably satisfactory to City to secure performance of Owner's monetary obligations under this Agreement (relating to the part of the Property being transferred) The parties agree that satisfaction of any of the following by the purchaser, transferee or assignee shall be acceptable security (1) the purchaser, transferee or assignee has a net worth (based on financial statements certified by an independent certified public accountant) of at least fifty percent (50%) of the financial obligations that remain to be performed by Owner under this Agreement (relating to the part of the Property being transferred), provided, however, that determining net worth, City shall have the opportunity to evaluate RISILVER 7264o 4%63 11 32 93 1803934 08/11/93|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA1|1010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 ) LAW OFFICES OF 28 COX CAST1 E & NICHOLSON LOS ANGELES CA any contingent liabilities (determined in accordance with generally accepted accounting principles) of the proposed assignee and to reduce the assignee's net worth by any contingent liability that City reasonably determines is likely to be realized, (2) the purchaser, transferee or assignee furnishes a letter of credit (in a form and from an institution acceptable to City) or such other security as City shall reasonably approve, the effect of which shall be to guarantee the financial obligations that remain to be performed by Owner under this Agreement (relating to the part of the Property being transferred), or (3) City otherwise approves the financial capability of the proposed purchaser, transferee or assignee Failure to deliver or decline such release within thirty (30) days from receipt of notice of assignment shall conclusively be deemed to constitute release by City of Owner Following compliance by the transferring Owner with the requirements of this Section IV E 2, City agrees to look solely to the transferee for compliance by such transferee with the provisions of this Agreement (relating to the part of the Property being transferred) "Compliance," as used in this Section IV E, shall include, without limitation, compliance with reporting and annual review requirements and the payment of fees In addition, any amendment to this Agreement between City and a transferee shall only affect the portion of the Property owned by such transferee, and a default by any transferee shall only affect that portion of the Property owned by such transferee 93 1803934 RISILVER /2640 49663 Ii om u93 333 Transfers to Affiliates Nothing se 1 forth in this Section IV E shall preclude (a) a transfer to an "Owner Affiliate" (as hereinafter defined) or (b) Owner's transferring an undivided interest in the Property to another person so long as, following such transfer, SPE or an Owner Affiliate owns at least a fifty percent (50%) undivided interest in the Property For purposes of the foregoing sentence, the term "Owner Affiliate" shall mean any of the following a Any corporation which owns and controls, directly or indirectly, fifty percent (50%) or more of the common stock of SPE ("Owner Parent"), Any corporation in which an Owner Parent and/or SPE owns and controls, directly or indirectly, fifty percent (50%) or more of the common stock (an "Owner Controll( Corporation"), and Any general or limited partnership in which SPE, Owner Parent or an Owner Controlled Corporation is the managing general partner of such partnership Following compliance by the transferring Owner with the requirements of this Section IV E 3, City agrees to look solely to the transferee for compliance by such transferee with the provisions of this Agreement|109| Effect of Covenant to Hold as a Single Parcel Notwithstanding any reference in this Section IV E to a sale or transfer of less than all of the Property, i e , any reference to a sale or transfer of "part of the Property," Owner hereby acknowledges that no sale or transfer of any part of tl Property, i e , less than the entire site, would be permitted RISILVER 22640 49663 11 34 93 1803934 08/11/93|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 7.0X CASTLE & NICHOLSON LOS ANGELES CAwithout Owner's complying with the Subdivision Map Act and obtaining an amendment to the Covenant to Hold as a Single Parcel F Relationship of Parties It is understood and agreed by the parties hereto that the contractual relationship created between the parties hereunder is that Owner is an independent contractor and not an agent of City Nothing contained herein or in any document executed in connection herewith shall be construed as making City and Owner joint venturers or partners G Notices All notices or other communications required or permitted hereunder shall be in writing, and shall be personally delivered (including by means of professional messenger service), or sent by registered or certified mail, postage prepaid, return receipt required, or by electronic facsimile transmission followed by delivery of a "hard" copy, and shall be deemed received on the date of receipt thereof Unless otherwise indicated in writing, such notice shall be sent addressed as follows If to the City City Attorney City of Culver City P 0 Box 507 Culver City, California 90232-0507 With a copy to Community Development Director City of Culver City P 0 Box 507 Culver City, California 90232-0507 City Clerk City of Culver City P 0 Box 507 Culver City, California 90232-0507 93 1803934|101010101010101010 10 10|11 12 13 14 ) 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & 'slICHOLSON LOS ANGELES CA RISR.VER 72640 49663 11 35 wn 1 /93If to the Owner Lot, Inc Thalberg Building, #2501 10202 West Washington Boulevard Culver City, California 90232 Attn Mr Kenneth S Williams With a copy to Sony Pictures Entertainment, Inc Thalberg Building, #2501 10202 West Washington Boulevard Culver City, California 90232 Attn Mr Kenneth S Williams Allan L Alexander, Esq Armstrong & Hirsch 1888 Century Park East, Suite 1888 Los Angeles, California 90067 H Termination This Agreement shall be deemed terminated and of no further effect upon the occurrence of any of the follow events|109| Expiration of the stated term of this Agreement as set forth in Section IV B 2 Completion of the Project in accordance with the terms of this Agreement including issuance of all required occupancy permits|109| Termination due to default as set forth in 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA Section IV D Termination of this Agreement shall not constitute termination of any other land use entitlements approved for the Property Upon the termination of this Agreement, no party shall have any further right or obligation hereunder except with respect to any obligation to have been performed prior to su termination or with respect to any default in the performance of 93 1803934|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 ) RIS1LVER /264o 49663 11 mn u93 361|1010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE 8c NICHOLSON LOS ANGELES CA the provisions of this Agreement which has occurred prior to such termination or with respect to any obligations which are specifically set forth as surviving this Agreement No Third Party Beneficiaries This Agreement is made and entered into for the sole protection and benefit of the parties and their successors and assigns No other person shall have any right of action based upon any provision of this Agreement • Time of Essence Time is of the essence for each provision of this Agreement of which time is an element • Applicable Rules Prior to the Effective Date, the parties shall use reasonable efforts to identify two (2) sets of the Applicable Rules, one (1) set for the City and one (I) set for the Owner, so that if it becomes necessary in the future to refer to any of the Applicable Rules, there will be a common set of the Applicable Rules available to both parties The cost of duplicating Owner's set of the Applicable Rules shall be borne by Owner The inadvertent omission of an Applicable Rule from the sets to be prepared hereunder shall not preclude its later application • Modification or Amendment Subject to meeting the notice and hearing requirements of Section 65867 of the Development Agreement Act, this Agreement may be modified or amended from time to time by mutual consent of the parties or their successors in interest in accordance with the provisions of Section 65868 of the Development Agreement Act Any modification which does not relate to the term, R1SILVER 12640 49663 11 37 93 1803934 asn vupermitted uses, density or intensity of use, height or size of|1010|buildings, provisions for reservation and dedication of land,- conditions, terms, restrictions and requirements relating to subsequent Discretionary Actions, or any conditions or covenants relating to the use of the Property, shall not require notice or public hearing before the parties may execute an amendment hereto M Operating Memoranda The provisions of this Agreement require a close degree of cooperation between City and Owner and the refinements and further development of the Property hereunder may demonstrate that clarifications are appropriate with respect to the details of performance of City and Owner If and when, from time to time, during the term of this Agreement, City and Owner agree that such clarifications are necessary or appropriate, they shal' effectuate such clarifications through operating memoranda approved by City and Owner, which, after execution, shall be attached hereto as addenda and become a part hereof, and may be further clarified from time to time as necessary with future approval by City and Owner No such operating memoranda shall constitute an amendment to this Agreement requiring public notice or hearing The Chief Administrative Officer, in consultation with the City Attorney, shall be authorized to make the determination whether a requested clarification may be effectuated pursuant to this Section IV M or whether the requested clarification is of such a character to constitute an amendment hereof pursuant to Section IV L The Chief Administrative Officer shall be authorized to execute any operating memoranda hereunder on behalf of City|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGFI FS CA|1010|93 1803934 RISILVER 12640 49663 11 38 OS/I1/93) )|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 ) LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA N Waiver No waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly author- ized representative of the party against whom enforcement of a waiver is sought and referring expressly to this Section No waiver of any right or remedy in respect of any occurrence or event shall be deemed a waiver of any right or remedy in respect of any other occurrence or event O Successors and Assigns The burdens of this Agreement shall be binding upon, and the benefits of this Agreement shall inure to, all successors in interest to the parties to this Agreement P Governing State Law This Agreement shall be construed in accordance with the laws of the State of California Q Constructive Notice and Acceptance Every person who now or hereafter owns or acquires any right, title, or interest in or to any portion of the Property is and shall be conclusively deemed to have consented and agreed to every provision contained herein, whether or not any reference to this Agreement is contained in the instrument by which such person acquired an interest in the Property R Processing Fees Owner shall pay City a reasonable fee for processing this Agreement, based upon the actual cost to City of processing this Agreement 93 1803934 R1SILVER /2640 49663 11 39 08/11/93LAWOFFICES01 28 COX CASTLE & NICHOLSON LOS ANGELES CA 24 25 27 23 26 22|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 Statement of Compliance Within fifteen (15) working days following any written request, in accordance with the notice provisions of this Agreement, which either party may make from time to time, the other party shall execute and deliver to the requesting party a statement certifying that (a) this Agreement is unmodified and in full force and effect or, if there have been modifications hereto, that this Agreement is in full force and effect, as modified, and stating the date and nature of such modifications, (b) there are no current uncured defaults under this Agreement or specifying the dates and nature of any such defaults, and (c) any other informa- tion reasonably requested The failure to deliver such statement within such time shall be conclusive upon the party which fails to deliver such statement that this Agreement is in full force ard effect without modification except as may be represented by the requesting party and that there are no uncured defaults in the performance of the requesting party Mortgagee Protection The parties hereto agree that this Agreement shall not prevent or limit Owner's, in any manner, at Owner's sole discretion, encumbering the Property or any portion thereof or any improvement thereon by any mortgage, deed of trust or other security device securing financing with respect to the Property The City acknowledges that the lenders providing such financing may require certain Agreement interpretations and modifications and agrees upon request, from time to time, to meet with Owner and representatives of such lenders to negotiate in good faith any st request for interpretation or modification City will not RISILVER /2640 49663 11 40 93 1803934 om 1 /931 --) 2|10101010101010 10 10|11 12 13 14 15 16 17 18 ) 19 20 21 22 23 24 25 26 27 LAW OFFICES 01 28 z0X CASTLE & NICHOLSON LOS ANGELES CA unreasonably withhold its consent to any such requested interpretation or modification provided such interpretation or modification is consistent with the intent and purposes of this Agreement Any Mortgagee of the Property shall be entitled to the following rights and privileges|109| Neither entering into this Agreement nor a breach of this Agreement shall defeat, render invalid, diminish, or impair the lien of any mortgage or deed of trust on the Property made in good faith and for value 2 The Mortgagee of any mortgage or deed of trust encumbering the Property, or any part thereof, which Mort- gagee has submitted a request in writing to the City in the manner specified herein for giving notices, shall be entitled to receive written notification from City of any default by Owner in the performance of Owner's obligations under this Agreement 3 If City timely receives a request from a Mortgagee requesting a copy of any notice of default given to Owner under the terms of this Agreement, City shall provide a copy of that notice to the Mortgagee within ten (10) days of sending the notice of default to the Owner The Mortgagee shall have the right, but not the obligation, to cure the default during the remaining cure period allowed such party under this Agreement 4 Any Mortgagee who comes into possession of the Property, or any part thereof, pursuant to foreclosure of the mortgage or deed of trust, or deed in lieu of such foreclosure, shall take the Property, or part thereof, subject to the terms of this Agreement, provided, however, in no event shall such Mortgagee be liable for any defaults or monetary obligations of Owner arising RISILVER 22640 49663 11 41 93 1803934 08/11/93prior to acquisition of title to the Property by such Mortgagee al provided further in no event shall any such Mortgagee or its successors or assigns be entitled to a building permit or occupancy certificate until all fees and other monetary obligations due under this Agreement have been paid to the City U Section Headings All Article and Section headings and subheadings are inserted for convenience only and shall not affect any construction or interpretation of this Agreement V Force Majeure Neither party shall be deemed to be in default where failure or delay in performance of any of its obligations under this Agreement is caused by floods, earthquakes, other Acts of God, fires, wars, riots or similar hostilities, strikes ? q ) other labor difficulties beyond the party's control (including the party's employment force), shortage of materials, governmental restrictions imposed or mandated by other governmental entities or litigation involving this Agreement or any of the Project Approvals or any permits or entitlements derived therefrom which directly or indirectly makes it more difficult for Owner to commence or to continue the development of the Project If any such events shall occur, the term of this Agreement and the time for performance by either party of any of its obligations hereunder shall be extended for the period of time that such events prevented such performance, provided that the term of this Agreement shall not be extended under any circumstances for more than an aggregate total of five (5) years|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA R1SILVER 21640 49663 11 42 93 1803934 08/11/93D )|101010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 W Severabilitv Invalidation of any of the provisions contained in this Agreement, or of the application thereof to any person, by judgment or court order shall in no way affect any of the other provisions hereof or the application thereof to any other person or circumstance, and the same shall remain in full force and effect, unless enforcement of this Agreement, as so invalidated, would be unreasonable or inequitable under all the circumstances or would frustrate the purposes of this Agreement and/or the rights and obligations of the parties hereto X Counterparts This Agreement may be executed in duplicate counterpart originals, each of which is deemed to be an original and all of which when taken together shall constitute one and the same instrument This Agreement consists of forty-four (44) pages, two (2) pages of notarial jurats and two (2) exhibits, which constitute the entire understanding and Agreement of the parties Said Exhibits are identified as follows Exhibit "A" Legal Description Exhibit "B" Location Map 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA RISILVER /2640 49663 11 43 93 1803934 om u9393 1803934 44 08/11/93 R1SILVER 22640 49663 11 IN WITNESS WHEREOF, the parties have each executed tl —) Agreement on the date first above written LOT, INC , a Delaware corporation|109| / ,a6L(Ar/ Its 5,- ,t& k, G s( te eicts5cr sec:yea,. 3-pro Ep D-ussirl SONY PICTURES ENTERTAINMENT, INC a Delaware corporation By tr\ It Its c_c By CITY OF CULVER CITY APPROVED AS TO FORM NORMAN Y 9RRING City Attor ey By By 1|1010101010101010 10 10|11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 LAW OFFICES OF 28 COX CASTLE & NICHOLSON LOS ANGELES CA e kko-PA IS VoVR • r PAULINE C DOL E City Clerk By DATED TESTROSE M BATES COMM. 4966455 Notary Pubic-California LOS AGE[ S COUNTY comm erq ...Ires MAY 2119% c o y '7; 7 4M- Notary Public WITNESS my hand and official seal STATE OF CALIFORNIA ) s s COUNTY OF p:c-V--)A,16C-i- On (---/-'721/7,q,, / 4 5— , 199 =S, before me, the undersigned, a Notary Public in and for said County and State, personally appeared 11,1,7Ah. -5-t-/-1 6, o e___//4 n271414 tc-)IP) personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the within instrument STATE OF CALIFORNIA COUNTY OF L-‘) (t-s ) ss On 5r)-17`z72-,-;;e7a,s-- , 199 ., before me, the undersigned, a Notary Public in and for said County and State, personally appeared t( e- Altv 5 a itc_i0 t) //7 personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the within instrument WITNESS my hand and official seal /)e,2 Notary Public „..-. POSE M RATES ir COMM A #9664 ,- 56|109| ) ' ,!-1 otary P ublic-California f LOS AN G8.ES COUNTY i z comm c *mires MAY 21 1996 93 1803934 Nn u93 RISILVER 71640 49663 11ACKNOWLEDGMENT (Civil Code Section 1181) STATE OF CALIFORNIA SS COUNTY OF LOS ANGELES ) On If• ' 3 before me the undersigned City Attorney of the City of appeared ,k4.1(4, /54.114.,Ka44 known to me to be the of the City of Culver City that executed the within instrqient known to me to be the person who executed the within instrument on behalf of the City therein named and acknowledged to me that said City executed the same 7(11/YrIN- NORMAN Y ZRRING, City Attorney City of Culver City 93 1803934EXHIBIT A ) D LEGAL DESCRIPTION ) 93 1803934EXHIBIT A THE LAND REFERRED TO IN THIS EXHIBIT IS DESCRIBED AS FOLLOWS PARCEL A PARCEL 1 THAT PORTION OF THE 819 63 ACRE TRACT, RANCHO LA BALLONA, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, ALLOTTED TO MACEDONIA AGUILAR, BY FINAL DECREE OF PARTITION HAD IN CASE NO 965 OF THE DISTRICT COURT OF SAID COUNTY, DESCRIBED AS FOLLOWS BEGINNING AT THE INTERSECTION OF THE NORTHEAST LINE OF OVERLAND AVENUE (FORMERLY FIRST STREET OR SAN PEDRO ROAD) WITH THE SOUTHEAST LINE OF WASHINGTON STREET (FORMERLY BALLONA ROAD NO 2), THENCE SOUTHEASTERLY ALONG THE NORTHEAST LINE OF SAID OVERLAND AVENUE, 1118 29 FEET, MORE OR LESS, TO A POINT DISTANT NORTHWESTERLY 210 FEET, MEASURED ALONG SAID NORTHEAST LINE FROM THE NORTHWEST LINE OF THE RIGHT-OF-WAY OF THE PACIFIC ELECTRIC RAILWAY COMPANY (DEL REY BRANCH) AS DESCRIBED IN DEED RECORDED IN BOOK 1684 PAGE 159 OF DEEDS, THENCE NORTHEASTERLY IN A DIRECT LINE 546 90 FEET, MORE OR LESS, TO A POINT IN THE SOUTHWEST LINE OF THE LAND CONVEYED TO LOS ANGELES TRUST & SAVINGS BANK, BY DEED RECORDED IN BOOK 6578 PAGE 31 OF SAID DEED RECORDS, DISTANT NORTHWESTERLY ALONG SAID SOUTHWEST LINE, 111 33 FEET FROM SAID NORTHWEST LINE OF THE RIGHT-OF-WAY OF THE PACIFIC ELECTRIC RAILWAY COMPANY, THENCE SOUTHEASTERLY ALONG SAID SOUTHWEST LINE 111 33 FEET TO THE NORTHWEST LINE OF SAID RIGHT-OF-WAY, THENCE NORTHEASTERLY ALONG SAID RIGHT-OF-WAY LINE, 1422 44 FEET, MORE OR LESS, TO THE SOUTHWEST LINE OF THE 150 ACRE TRACT OF LAND DESCRIBED IN DEED TO VICTOR PONET, RECORDED IN BOOK 150 PAGE 403 OF SAID DEED RECORDS, THENCE NORTHWESTERLY ALONG THE SOUTHWESTERLY LINE OF THE LAND OF PONET, 631 13 FEET TO SAID SOUTHEASTERLY LINE OF WASHINGTON STREET, THENCE SOUTHWESTERLY ALONG SAID SOUTHEASTERLY LINE OF WASHINGTON STREET TO THE POINT OF BEGINNING PARCEL 2 LOTS 1 THROUGH 15, INCLUSIVE, IN BLOCK 2 AND LOTS 2 THROUGH 16, INCLUSIVE, IN BLOCK 3 IN TRACT NO 1775, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY ) n RIS1LVER 22640 111210 2 -1- 93 1803934PARCEL 3 GRANT AVENUE AS SHOWN ON THE MAP OF TRACT 1775, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191, OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY EXCEPT THAT PORTION OF SAID GRANT AVENUE WHICH WOULD PASS WITHIN A CONVEYANCE OF LOT 1, BLOCK 3 OF SAID TRACT NO 1775 PARCEL 4 THAT PORTION OF PUTNAM AVENUE, NOW KNOWN AS CULVER BOULEVARD, 40 00 FEET WIDE, LYING NORTHWESTERLY OF THE PACIFIC ELECTRIC RAILWAY, 60 00 FEET WIDE, AS SHOWN ON THE MAP OF TRACT 1775, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, BOUNDED SOUTHWESTERLY BY THE SOUTHWESTERLY BOUNDARY LINE OF SAID TRACT 1775 AND BOUNDED NORTHEASTERLY BY THE SOUTHEASTERLY PROLONGATION OF THE NORTHEASTERLY LINE OF LOT 16 IN BLOCK 3 OF SAID TRACT 1775 PARCEL 5 THAT PORTION OF THAT CERTAIN 60-FOOT STRIP OF LAND IN THE RANCHO LA BALLONA IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS SHOWN ON MAP RECORDED IN BOOK 3 PAGES 204 TO 209 INCLUSIVE OF MISCELLANEOUS RECORDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED IN DEED TO THE LOS ANGELES HERMOSA BEACH AND REDONDO RAILWAY COMPANY, RECORDED ON AUGUST 7, 1902 IN BOOK 1630 PAGE 26 OF DEEDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, A PORTION OF CULVER BOULEVARD FORMERLY PUTNAM AVENUE (NORTH ROADWAY) 40 FEET WIDE, AS SHOWN ON THE MAP OF TRACT NO 1775, RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS OF SAID COUNTY AND A PORTION OF MADISON AVENUE, 100 FEET WIDE, AS SHOWN ON THE MAP OF SAID TRACT NO 1775 ALL OF WHICH WERE VACATED AND ABANDONED BY RESOLUTION NO 83-R138 OF THE CITY COUNCIL OF THE CITY OF CULVER CITY, A CERTIFIED COPY OF WHICH WAS RECORDED ON OCTOBER 27, 1983 AS DOCUMENT NO 83-1271984 IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS A WHOLE AS FOLLOWS BEGINNING AT THE MOST EASTERLY CORNER OF LOT 16 IN BLOCK 3 OF SAID TRACT NO 1775, THENCE ALONG THE NORTHEASTERLY LINE OF SAID LOT 16 TO AND ALONG THE NORTHEASTERLY LINE OF LOT 1 IN SAID BLOCK 3, NORTH 35 DEGREES 29 MINUTES 00 SECONDS WEST 149 58 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE NORTHEASTERLY AND HAVING A RADIUS OF 960 00 FEET, THENCE SOUTHEASTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 09 DEGREES 40 MINUTES 08 SECONDS, AN ARC DISTANCE OF 162 01 FEET TO THE BEGINNING OF A REVERSE CURVE CONCAVE TO THE WEST HAVING A RADIUS OF 25 00 FEET RISELVER 22640 111210 2 -2- 93 1803934THROUGH WHICH A RADIAL LINE BEARS NORTH 44 DEGREES 50 MINUTES 52 SECONDS EAST, THENCE SOUTHERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 79 DEGREES 11 MINUTES 27 SECONDS, AN ARC DISTANCE OF 34 55 FEET, THENCE SOUTH 34 DEGREES 02 MINUTES 19 SECONDS WEST 72 65 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHEAST HAVING A RADIUS OF 191 24 FEET, THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 9 DEGREES 27 MINUTES 44 SECONDS, AN ARC DISTANCE OF 31 58 FEET, THENCE NORTH 24 DEGREES 34 MINUTES 35 SECONDS WEST 30 83 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE NORTHWEST HAVING A RADIUS OF 171 24 FEET, THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 9 DEGREES 27 MINUTES 44 SECONDS AN ARC DISTANCE OF 28 28 FEET, THENCE SOUTH 34 DEGREES 02 MINUTES 19 SECONDS WEST 18 63 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHEAST HAVING A RADIUS OF 1647 00 FEET, THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 4 DEGREES 59 MINUTES 40 SECONDS, AN ARC DISTANCE OF 143 57 FEET, THENCE SOUTH 29 DEGREES 02 MINUTES 39 SECONDS WEST 74 38 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE NORTHWEST HAVING A RADIUS OF 1552 00 FEET, THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 4 DEGREES 53 MINUTES 42 SECONDS, AN ARC DISTANCE OF 123 59 FEET TO A POINT OF INTERSECTION WITH A CURVE CONCAVE TO THE NORTHWEST HAVING A RADIUS OF 100 00 FEET TO WHICH POINT A RADIAL LINE OF SAID 100 00-FOOT-RADIUS CURVE BEARS SOUTH 60 DEGREES 57 MINUTES 28 SECONDS EAST, SAID 100 00-FOOT- RADIUS CURVE BEING A COURSE IN THE NORTHWESTERLY BOUNDARY OF PARCEL 6-5 IN DEED RECORDED MARCH 4, 1964 AS INSTRUMENT NO 4596, THENCE NORTHEASTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 12 DEGREES 39 MINUTES 36 SECONDS, AN ARC DISTANCE OF 22 10 FEET, THENCE CONTINUING ALONG SAID NORTHWESTERLY BOUNDARY OF PARCEL 6-5 NORTH 16 DEGREES 22 MINUTES 56 SECONDS EAST 66 89 FEET TO THE INTERSECTION OF THE NORTHWESTERLY LINE OF HEREINBEFORE-MENTIONED 60-FOOT-WIDE STRIP OF LAND WITH THE SOUTHWESTERLY LINE OF SAID TRACT 1775, THENCE ALONG THE SOUTHEASTERLY LINE OF A 1 25-FOOT- WIDE STRIP AS VACATED BY THE CITY OF CULVER CITY BY ORDINANCE NO 253, PASSED AND APPROVED OCTOBER 10, 1927 AND PURSUANT TO RESOLUTION NO 1887, ADOPTED MAY 6, 1929 NORTH 34 DEGREES 02 MINUTES 19 SECONDS EAST 1 31 FEET TO THE NORTHEASTERLY LINE OF SAID 1 25-FOOT-WIDE STRIP, THENCE ALONG SAID NORTHEASTERLY LINE NORTH 38 DEGREES 36 MINUTES 46 SECONDS WEST 31 43 FEET TO THE SOUTHEASTERLY LINE OF THAT PORTION OF CULVER BOULEVARD AS VACATED BY THE CITY OF CULVER CITY BY ORDINANCE NO 465, APPROVED AND ADOPTED JUNE 28, 1937, THENCE ALONG LAST SAID SOUTHEASTERLY LINE NORTH 34 DEGREES 02 MINUTES 19 SECONDS EAST 30 12 FEET TO THE NORTHEASTERLY LINE OF SAID PORTION OF CULVER BOULEVARD, THENCE ALONG LAST SAID NORTHEASTERLY LINE NORTH 38 DEGREES 36 MINUTES 46 SECONDS WEST 10 48 FEET TO THE SOUTHEASTERLY LINE OF LOT 9, BLOCK 3 OF SAID TRACT NO 1775, THENCE ALONG LAST SAID SOUTHEASTERLY LINE AND THE SOUTHEASTERLY LINE OF LOTS 10 THROUGH 16 INCLUSIVE, OF SAID BLOCK 3, TRACT NO 1775 NORTH 34 DEGREES 02 MINUTES 19 SECONDS EAST 417 76 FEET TO THE POINT OF BEGINNING RIS1LVER 22640 111210 2 -3- 93 1803934EXCEPT THAT PORTION OF SAID LAND LYING SOUTHWESTERLY OF A STRAIGHT LINE DRAWN PERPENDICULAR TO THE NORTHWESTERLY LINE OF THE HEREINABOVE UNRECORDED 60 FOOT WIDE STRIP OF LAND AND WHICH PASSES THROUGH THE INTERSECTION OF SAID NORTHWESTERLY LINE WITH THE SOUTHEASTERLY PROLONGATION OF THE SOUTHWESTERLY LINE or SAID TRACT NO 1775 ALSO EXCEPT THAT PORTION OF SAID LAND DESCRIBED AS FOLLOWS THAT PORTION OF PUTNAM AVENUE, NOW KNOWN AS CULVER BOULEVARD, 40 00 FEET WIDE, LYING NORTHWESTERLY OF THE PACIFIC ELECTRIC RAILWAY, 60 00 FEET WIDE, AS SHOWN ON THE MAP OF TRACT 1775, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, BOUNDED SOUTHWESTERLY BY THE SOUTHWESTERLY BOUNDARY LINE OF SAID TRACT 1775 AND BOUNDED NORTHEASTERLY BY THE SOUTHEASTERLY PROLONGATION OF THE NORTHEASTERLY LINE OF LOT 16 IN BLOCK 3 OF SAID TRACT 1775 ALSO EXCEPT THAT PORTION OF SAID LAND LYING NORTHWESTERLY OF A LINE DRAWN PERPENDICULAR TO THE NORTHEASTERLY LINE OF LOT 1 IN BLOCK 3 OF TRACT NO 1775 AND WHICH PASSES THROUGH THE MOST EASTERLY CORNER OF SAID LOT 1 PARCEL B THE LAND SITUATED IN THE STATE OF CALIFORNIA, COUNTY OF LOS ANGELES, AND DESCRIBED AS FOLLOWS LOT 1 IN BLOCK 3 OF TRACT 1775, IN THE CITY OF CULVER CITY, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY EXCEPT THEREFROM THAT PORTION OF LOT 1 IN BLOCK 3, AS SHOWN ON TRACT 1775, IN THE CITY OF CULVER CITY, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY DESCRIBED AS FOLLOWS BEGINNING AT THE MOST NORTHERLY CORNER OF LOT 1 IN BLOCK 3 OF SAID TRACT 1775, SAID POINT BEING ALSO THE INTERSECTION OF THE SOUTHEAST PROPERTY LINE OF GRANT AVENUE, SIXTY FEET WIDE AND THE SOUTHWEST PROPERTY LINE OF MADISON AVENUE, ONE HUNDRED FEET WIDE ON SAID TRACT 1775, THENCE ALONG THE NORTHEASTERLY LINE OF SAID LOT 1, SOUTH 35 DEGREES 29 MINUTES 00 SECONDS EAST 14 42 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHWEST HAVING A RADIUS OF 10 00 FEET, THENCE NORTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 110 DEGREES 32 MINUTES 7 SECONDS AN ARC DISTANCE OF 19 29 FEET TO THE NORTHWESTERLY LINE OF SAID LOT 1, THENCE ALONG SAID NORTHWESTERLY LINE NORTH 33 DEGREES 58 MINUTES 53 SECONDS EAST 14 42 FEET TO THE POINT OF BEGINNING EXCEPT ALL OIL, GAS AND OTHER HYDROCARBON SUBSTANCES IN AND UNDER ALL OF THE ABOVE DESCRIBED REAL PROPERTY, BUT WITHOUT THE RIGHT RISILVER 22640 111210 2 -4- 93 1803934TO PENETRATE, USE OR DISTURB THE SURFACE OF SAID PROPERTY OR ANY PORTION OF SAID PROPERTY WITHIN 500 FEET OF THE SURFACE THEREOF, AS RESERVED BY SMITH AND SALSBURY IN DEED RECORDED APRIL 27, 1984 AS INSTRUMENT NO 84-510558 PARCEL C PARCEL 1 THAT PORTION OF GRANT AVENUE AS SHOWN ON THE MAP OF TRACT 1775, IN THE CITY OF CULVER CITY, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, BOUNDED AS FOLLOWS ON THE SOUTHEAST BY THE NORTHWEST LINE OF LOT 1, BLOCK 3 OF SAID TRACT 1775, ON THE NORTHWEST AND NORTHEAST RESPECTIVELY BY THE SOUTHEASTERLY LINE OF BLOCK 2 AND SOUTHEASTERLY PROLONGATION OF THE NORTHEASTERLY LINE OF BLOCK 2 OF SAID TRACT 1775, AND ON THE SOUTHWEST BY THE NORTHWESTERLY PROLONGATION OF THE SOUTHWESTERLY LINE OF LOT 1 OF BLOCK 3 OF SAID TRACT 1775, AS DESCRIBED AND SHOWN ON EXHIBIT "A" TO RESOLUTION NO CS-6468 RECORDED SEPTEMBER 18, 1970 AS INSTRUMENT NO 3468 PARCEL 2 THAT PORTION OF LOT 1 IN BLOCK 3, AS SHOWN ON TRACT 1775, IN THE CITY OF CULVER CITY, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS BEGINNING AT THE MOST NORTHERLY CORNER OF LOT 1 IN BLOCK 3 OF SAID TRACT 1775, SAID POINT BEING ALSO THE INTERSECTION OF THE SOUTHEAST PROPERLY LINE OF GRANT AVENUE, 60 00 FEET WIDE AND THE SOUTHWEST PROPERLY LINE OF MADISON AVENUE, 100 00 FEET WIDE, ON SAID TRACT 1775, THENCE SOUTHEASTERLY ALONG THE NORTHEASTERLY LINE OF SAID LOT 1, 14 42 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHWEST HAVING A RADIUS OF 10 00 FEET, THENCE NORTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 110 DEGREES 32 MINUTES 7 SECONDS AN ARC DISTANCE OF 19 29 FEET TO THE NORTHWESTERLY LINE OF SAID LOT 1, THENCE ALONG SAID NORTHWESTERLY LINE 14 42 FEET TO THE POINT OF BEGINNING SEE EXHIBIT "A" ATTACHED HERETO AND MADE A PART OF THE LEGAL DESCRIPTION BY REFERENCE HEREIN EXCEPT ALL OIL, GAS AND OTHER HYDROCARBON SUBSTANCES IN AND UNDER ALL OF THE ABOVE DESCRIBED REAL PROPERTY, BUT WITHOUT THE RIGHT TO PENETRATE, USE OR DISTURB THE SURFACE OF SAID PROPERTY OR ANY PORTION OF SAID PROPERTY WITHIN 500 FEET OF THE SURFACE THEREOF, AS RESERVED BY SMITH AND SALSBURY, IN DEED RECORDED APRIL 27, 1984 AS INSTRUMENT NO 84-510-558 RISILVER 22640 111210 2 -5- 93 1803934PARCEL D -) THE LAND SITUATED IN THE STATE OF CALIFORNIA, COUNTY OF LOS ANGELES, AND DESCRIBED AS FOLLOWS THAT PORTION OF RANCHO LA BALLONA, IN THE CITY OF CULVER CITY, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS SHOWN ON CLERK'S FILED MAP NO 16, ON FILE IN THE OFFICE OF COUNTY ENGINEER OF SAID COUNTY, AS DESCRIBED IN THE DEEDS TO THE LOS ANGELES HERMOSA BEACH & REDONDO RAILWAY COMPANY, A CORPORATION, RECORDED AUGUST 14, 1902, IN BOOK 1605 PAGE 299 OF DEEDS AND RECORDED NOVEMBER 8, 1902 IN BOOK 1684 PAGE 159 OF DEEDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY EXCEPT THEREFROM THAT PORTION OF SAID LAND INCLUDED WITHIN THE LAND AS DESCRIBED IN PARCEL 6-4 IN THE DEED TO THE CITY OF CULVER CITY, RECORDED MARCH 4, 1964 AS INSTRUMENT NO 4429, IN BOOK D-2382 PAGE 721, OFFICIAL RECORDS OF SAID COUNTY ALSO EXCEPT THEREFROM THAT PORTION OF SAID LAND, INCLUDED WITHIN THE LAND AS DESCRIBED IN THE PARTIAL JUDGMENT AND FINAL ORDER OF CONDEMNATION ENTERED IN THE LOS ANGELES COUNTY SUPERIOR COURT CASE NO C470,345, A CERTIFIED COPY OF WHICH WAS RECORDED OCTOBER 23, 1985, AS INSTRUMENT NO 85-1252160 OF OFFICIAL RECORDS OF SAID COUNTY RISILVER 22640 111210 2 -6- 93 18039341 A Z N z|1010|...4,1_,;41 t s is 1=3 , •••• ... 1) n WASH 1NL, ION ---------2 0 in - Lo-r iS LY UN aLoc,|1010|EXI-1t C5r7 4,a, 4 _ ..... ._!_m V. F.- -ZI 4,FR 1 L 1 , 1= Z vi M MO AA,cx l' t l '=" --,Z. =TtPl-tr-N R GRe...GMR LZ P:afm Fr -OF p rn IC r AT =.=, s u AN/ MY0 R = -7O wIt_nritRr_ a - fI LVC::), SUIT ' CO 93 1803934 Lon AN GE:La.-_-_, c :soonEXHIBIT B D LOCATION MAP ) 93 1803934EXHIBIT B PROJECT LOCATIO N MAP SONY PICTURES STUDIOS WASHING1ON BOULEVARD CPDA 5 W CD z ia CPDA 4 CAI > g iii.ai 2 1 CD 1---J I N01 PAM' GIO . f. A ;a I 4b 5,04z C4 fl 1 Car 1, ,••• n|109| v3 0.PIN9 C•2 CULVER CITY CLANNING DIVISION / ARIL 1993 .4N .1;;n 0' C\-.ADMINISTRATIVE OFFICE CITY OF CULVER CITY 9770 CULVER BOULEVARD CULVER CITY CALIFORNIA 90232-0507 (310) 253-6001 • FAX (310) 253-6010 JODY HALL ESSER Chief Administrative Officer March 5, 1997 Mr Arnie Shupack, President Sony Pictures Studios Cohn Building, #100 10202 West Washington Boulevard Culver City, CA 90232 NOTICE OF REDUCTION OF THE VESTING TERM ESTABLISHED BY THAT CERTAIN DEVELOPMENT AGREEMENT AMONG THE CITY OF CUL'VER CITY (the "City"), SONY PICTURES ENTERTAINMENT, INC , AND LOT, INC (collectively, " SPE") (th e "Agreement") Dear Mr Shupack This letter is sent solely to provide formal notice that certain terms of the Agreement have become operative It is not intended to create an adversarial relationship or to change the City's commitment to obtain the important objectives of the Agreement Pursuant to subparagraph 1 of Subsection C of Section III of the Agreement, the Vesting Term (as defined in that subparagraph 1) shall be reduced one day for each day beyond December 31, 1996, that 300,000 square feet of new construction (as defined in subparagraph 4 of that Subsection C) has not been commenced (also as defined in subparagraph 4 of that Subsection C) To date, only 63,341 square feet of new construction has been commenced Although not required by the Agreement, the purpose of this letter is to give SPE notice such reduction is occurring and will continue to occur until the requirements of that subparagraph 1 are met Also, please be advised that pursuant to subparagraphs 2 and 3 of that Subsection C, the reduction is subject to future increases based on cntena set forth in those subparagraphs Pursuant to that subparagraph 2, the City could request SPE to execute a recordable document indicating the reduction in the Vesting Term The City is not presently making that request since the reduction is continuing to occur The City reserves the nght to make such a request at the time the 300,000 square foot requirement has been met or the reduction in the Vesting Term has reached the maximum of five years Culver City Employees take pnde in effectively providing the highest levels of service to enncil the quality of life for the community by building on our tradition of more than seventy five years of pubhc service by our present commitment and by our dedication to meet the challenges of the future PRINTED ON EEC CLEO PAPERMr Arnie Shupack, PresidD Sony Pictures Studio Page 2 March 5, 1997 We reiterate, this letter is not intended to communicate any change in the City's relationship with SPE nor in its desire to achieve the mutually beneficial purposes of the Agreement The City continues to believe SPE is an important asset to the community If you have any questions, please call Mark Wmogrond, Commututy Development Director, at 310/253-5702 Sincerely, Mrs Jody Hall-Esser Chief Administrative Officer JHE MW EA jrs Copy Honorable Mayor and Members of the City Council Mark Wmogrond, Community Development Director Norman Y Hemng, City Attorney Elinor Aurthur, Contract Planner Robert J Sirchia, Vice President, Public Affairs ) Allan L Alexander, Esq Joseph W Pannone, Special Counsel PRINTED ON RECYCLED PAPERCITY OF CULVER CITY INTER-OFFICE CORRESPONDENCE ) ) Date March 14, '1994 To MRS JODY HALL-ESSER, Chief Administrative Officer From NORMAN Y HERRING, CITY ATTORNEY|1010|Subject RECORDED DEVELOPMENT AGREEMENT - SONY PICTURES ENTERTAINMENT Attached please find a copy of the Sony Pictures Entertainment Development Agreement for your files cc w/onginal City Clerk cc w/copy City Planner Community Development Director City Engineer Joseph Pannone, Esq PCEIVED ',Arc 2 1 '1994 .. Wit te .7 ri anning DivisiorFEE ) D T T D 11119111 ‘1 lipi 111111111 111111o! 02 0927563 / R CORDED/FILED IN OFFICIAL RECORDS RECORDE R S OFFICE LOS ANGELES COUNTY CALIFORNIA 3 01 PM APR 19 2002 SPACE ABOVE THIS LINE FOR RECORDERS USE A • TITLE(S) CODE 20 CODE 19 CODE|10 10|DAIFEE Code 2 C 13-9--- 0 Assessor's Identification Number (AIN) To Be Completed By Examiner OR Title Company In Black Ink Number of Parcels Shown A A THIS FORM IS NOT TO BE DUPLICATEDRECORDING REQUESTED BY SONY PICTURES ENTERTAINMENT, INC 10202 West Washington Boulevard Culver City, CA 90232 Attention Apnl Dmytrenko AND WHEN RECORDED MAIL TO COX, CASTLE & NICHOLSON LLP 2049 Century Park East, Suite 2800 Los Angeles, California 90067-3284 Attention Ronald I Silverman, Esq THIS IS A REDUCTION OF THE TERM OF A DEVELOPMENT AGREEMENT AND THE CONSIDERATION AND VALUE ARE LESS THAN $100- R&T 11911 Space Above This Line Is For Recorder's Use Only CERTIFICATION OF REDUCTION OF TERM OF DEVELOPMENT AGREEMENT This Certification of Reduction of Term of Development Agreement ("Certificate") is made as of theo2Gerr- day of March, 2002 by SONY PICTURES ENTERTAINMENT INC ("SPE") and LOT, INC ("Owner") and THE CITY OF CULVER CITY ("City") SPE, Owner and City are parties to that certain Development Agreement dated September 15, 1993 recorded September 16, 1993 as Document No 93-1803934 (the "Agreement"), which Agreement affects that certain real property located in City and more particularly descnbed on Exhibit "A" attached hereto and incorporated herein by reference Section III C of the Agreement provides for a reduction in the "Vesting Term' (as defined in the Agreement) of the Agreement if certain levels of "new construction" (as defined in the Agreement) at the 'Project" (as defined in the Agreement) have not been commenced by dates set forth in Section III C of the Agreement As a result of the level of new construction activity commenced at the Project, a reduction of the Vesting Term in accordance with the provisions of Section III of the Agreement is appropn ate Based on the foregoing, this Certificate confirms the Vesting Term of the Agreement has been, in accordance with the provisions of Section III C, reduced from twenty (20) to fifteen (15) years so that the Vesting Term will now end on September 15, 2008 Except as set forth herein, the Agreement remains in full force and effect 22640\943558v3 1Date I/ 4 4.Ar elk 24 , 2002 6F-A)2- Jared J im Its Assistant Secretary Date 02 0927563 |1010|IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written SONY PICTURES ENTERTAINMENT INC , a Delaware corporation By Leah Weil Its Senior Vice President, General Counsel and Assistant Secretary LOT, INC , a Delaware corporation Date Ar 1 j , 2002 CITY OF CULVER CITY ) , APPROVED AS TO FORM 22640\943558v3 2WITNESS my hand and official seal •"" SUSAN DE A RDOPFF COMMISS*1 # 101148 7. Notary Rhai Ca/ a Los Angeles Ccur py r MyCv— rn Eçr ysJJ14 2D7 4 9 -7` STATE OF CALIFORNIA 02 0927563 SS COUNTY OF LOS ANGELES On March W., 2002 before me, the undersigned, a Notary Public in and for said County and State, personally appeared Ate-7 , personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(*whose name(s) is/44-subscnbed to the within instrument and acknowledged to me that 1/she/thy executed the same in authonzed capacity(leyr), and that by WsZher/th* signatureNon the instrument the person, or the entity upon behalf of which the person(4 acted, executed the instrument WITNESS my hand and official seal SUSAN CEA RDUIFF Cornms 1,2614B Notary FJC C M LOS Arg,oes CO3117 c( --n J)14 21" STATE OF CALIFORNIA COUNTY OF LOS ANGELES On March c2E72002 before me, the undersigned, a Notary Public in and for said County and State, personally appeared e-4hi Jg7L— , personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(whose names) is/ -subscnbed to the within instrument and acknowledged to me that bilshe/thexexecuted the sarhe in luteher/th* authorized capacity(i*, and that byhlig/her/theirsignature(Aon the instrument the person* or the entity upon behalf of which the person 0K) acted, executed the instrument 22640\943558v3 943558v3 3 SSCRYSTAL GRIFFIN Commission #1257094 :# Notary Public California 41" Los Angeles County Aty Comm. Espires Mar 17 201:14 02 0927563 STATE OF California SS COUNTY OF LOS ANGELES On &IL 3 , 2002 before me, the undersigned, a Notary Public in and for said County and State, personally appeared .--j--- 6zArej Tarr,c(ryl, , personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose names is/ariesubscnbed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/thew authonzed capacity(tes)s and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument WITNESS my hand and official seal et(r44.-1—eNotariblic 22640\943558v3 4ACKNOWLEDGMENT (Civil Code Section 1181) State of California SS County of Los Angeles On April 10, 2002 , before me, the undersigned City Attorney of the City of Culver City, California personally appeared Edward M Wolkowitz known to me to be the Mayor, known to me to be the person who executed the within instrument on behalf of the City therein named, and acknowledged to me that said City executed the same 02 0927563 5EXHIBIT A LEGAL DESCRIPTION i 02 0927563 ) }EXHIBIT A THE LAND REFERRED TO IN THIS EXHIBIT IS DESCRIBED AS FOLLOWS PARCEL A PARCEL 1 THAT PORTION OF THE 819 63 ACRE TRACT, RANCHO LA BALLONA, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, ALLOTTED TO MACEDONIA AGUILAR, BY FINAL DECREE OF PARTITION HAD IN CASE NO 965 OF THE DISTRICT COURT OF SAID COUNTY, DESCRIBED AS FOLLOWS BEGINNING AT THE INTERSECTION OF THE NORTHEAST LINE OF OVERLAND AVENUE (FORMERLY FIRST STREET OR SAN PEDRO ROAD) WITH THE SOUTHEAST LINE OF WASHINGTON STREET (FORMERLY BALLONA ROAD NO 2), THENCE SOUTHEASTERLY ALONG THE NORTHEAST LINE OF SAID OVERLAND AVENUE, 1118 29 FEET, MORE OR LESS, TO A POINT DISTANT NORTHWESTERLY 210 FEET, MEASURED ALONG SAID NORTHEAST LINE FROM THE NORTHWEST LINE OF THE RIGHT-OF-WAY OF THE PACIFIC ELECTRIC RAILWAY COMPANY (DEL REY BRANCH) AS DESCRIBED IN DEED RECORDED IN BOOK 1684 PAGE 159 OF DEEDS, THENCE NORTHEASTERLY IN A DIRECT LINE 546 90 FEET, MORE OR LESS, TO A POINT IN THE SOUTHWEST LINE OF THE LAND CONVEYED TO LOS ANGELES TRUST & SAVINGS BANK, BY DEED RECORDED IN BOOK 6578 PAGE 31 OF SAID DEED RECORDS, DISTANT NORTHWESTERLY ALONG SAID SOUTHWEST LINE, 111 33 FEET FROM SAID NORTHWEST LINE OF THE RIGHT-OF-WAY OF THE PACIFIC ELECTRIC RAILWAY COMPANY, THENCE SOUTHEASTERLY ALONG SAID SOUTHWEST LINE 111 33 FEET TO THE NORTHWEST LINE OF SAID RIGHT-OF-WAY, THENCE NORTHEASTERLY ALONG SAID RIGHT-OF-WAY LINE, 1422 44 FEET, MORE OR LESS, TO THE SOUTHWEST LINE OF THE 150 ACRE TRACT OF LAND DESCRIBED IN DEED TO VICTOR PONET, RECORDED IN BOOK 150 PAGE 403 OF SAID DEED RECORDS, THENCE NORTHWESTERLY ALONG THE SOUTHWESTERLY LINE OF THE LAND OF PONET, 631 13 FEET TO SAID SOUTHEASTERLY LINE OF WASHINGTON STREET, THENCE SOUTHWESTERLY ALONG SAID SOUTHEASTERLY LINE OF WASHINGTON STREET TO THE POINT OF BEGINNING PARCEL 2 02 0927563 LOTS 1 THROUGH 15, INCLUSIVE, IN BLOCK 2 AND LOTS 2 THROUGH 16, INCLUSIVE, IN BLOCK 3 IN TRACT NO 1775, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY RLSII.VER 22640 111210 2 -1-PARCEL 3 GRANT AVENUE AS SHOWN ON THE MAP OF TRACT 1775, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191, OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY EXCEPT THAT PORTION OF SAID GRANT AVENUE WHICH WOULD PASS WITHIN A CONVEYANCE OF LOT 1, BLOCK 3 OF SAID TRACT NO 1775 PARCEL 4 THAT PORTION OF PUTNAM AVENUE, NOW KNOWN AS CULVER BOULEVARD, 40 00 FEET WIDE, LYING NORTHWESTERLY OF THE PACIFIC ELECTRIC RAILWAY, 60 00 FEET WIDE, AS SHOWN ON THE MAP OF TRACT 1775, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, BOUNDED SOUTHWESTERLY BY THE SOUTHWESTERLY BOUNDARY LINE OF SAID TRACT 1775 AND BOUNDED NORTHEASTERLY BY THE SOUTHEASTERLY PROLONGATION OF THE NORTHEASTERLY LINE OF LOT 16 IN BLOCK 3 OF SAID TRACT 1775 PARCEL 5 THAT PORTION OF THAT CERTAIN 60-FOOT STRIP OF LAND IN THE RANCHO LA BALLONA IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS SHOWN ON MAP RECORDED IN BOOK 3 PAGES 204 TO 209 INCLUSIVE OF MISCELLANEOUS RECORDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED IN DEED TO THE LOS ANGELES HERMOSA BEACH AND REDONDO RAILWAY COMPANY, RECORDED ON AUGUST 7, 1902 IN BOOK 1630 PAGE 26 OF DEEDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, A PORTION OF CULVER BOULEVARD FORMERLY PUTNAM AVENUE (NORTH ROADWAY) 40 FEET WIDE, AS SHOWN ON THE MAP OF TRACT NO 1775, RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS OF SAID COUNTY AND A PORTION OF MADISON AVENUE, 100 FEET WIDE, AS SHOWN ON THE MAP OF SAID TRACT NO 1775 ALL OF WHICH WERE VACATED AND ABANDONED BY RESOLUTION NO 83-R138 OF THE CITY COUNCIL OF THE CITY OF CULVER CITY, A CERTIFIED COPY OF WHICH WAS RECORDED ON OCTOBER 27, 1983 AS DOCUMENT NO 83-1271984 IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS A WHOLE AS FOLLOWS BEGINNING AT THE MOST EASTERLY CORNER OF LOT 16 IN BLOCK 3 OF SAID TRACT NO 1775, THENCE ALONG THE NORTHEASTERLY LINE OF SAID LOT 16 TO AND ALONG THE NORTHEASTERLY LINE OF LOT 1 IN SAID BLOCK 3, NORTH 35 DEGREES 29 MINUTES 00 SECONDS WEST 149 58 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE NORTHEASTERLY AND HAVING A RADIUS OF 960 00 FEET, THENCE SOUTHEASTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 09 DEGREES 40 MINUTES 08 SECONDS, AN ARC DISTANCE OF 162 01 FEET TO THE BEGINNING OF A REVERSE CURVE CONCAVE TO THE WEST HAVING A RADIUS OF 25 00 FEET RISILVER 22640 111210 2 -2- 02 0927563THROUGH WHICH A RADIAL LINE BEARS NORTH 44 DEGREES 50 MINUTES 52 SECONDS EAST, THENCE SOUTHERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 79 DEGREES 11 MINUTES 27 SECONDS, AN ARC DISTANCE OF 34 55 FEET, THENCE SOUTH 34 DEGREES 02 MINUTES 19 SECONDS WEST 72 65 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHEAST HAVING A RADIUS OF 191 24 FEET, THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 9 DEGREES 27 MINUTES 44 SECONDS, AN ARC DISTANCE OF 31 58 FEET, THENCE NORTH 24 DEGREES 34 MINUTES 35 SECONDS WEST 30 83 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE NORTHWEST HAVING A RADIUS OF 171 24 FEET, THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 9 DEGREES 27 MINUTES 44 SECONDS AN ARC DISTANCE OF 28 28 FEET, THENCE SOUTH 34 DEGREES 02 MINUTES 19 SECONDS WEST 18 63 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHEAST HAVING A RADIUS OF 1647 00 FEET, THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 4 DEGREES 59 MINUTES 40 SECONDS, AN ARC DISTANCE OF 143 57 FEET, THENCE SOUTH 29 DEGREES 02 MINUTES 39 SECONDS WEST 74 38 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE NORTHWEST HAVING A RADIUS OF 1552 00 FEET, THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 4 DEGREES 53 MINUTES 42 SECONDS, AN ARC DISTANCE OF 123 59 FEET TO A POINT OF INTERSECTION WITH A CURVE CONCAVE TO THE NORTHWEST HAVING A RADIUS OF 100 00 FEET TO WHICH POINT A RADIAL LINE OF SAID 100 00-FOOT-RADIUS CURVE BEARS SOUTH 60 DEGREES 57 MINUTES 28 SECONDS EAST, SAID 100 00-FOOT- RADIUS CURVE BEING A COURSE IN THE NORTHWESTERLY BOUNDARY OF PARCEL 6-5 IN DEED RECORDED MARCH 4, 1964 AS INSTRUMENT NO 4596, THENCE NORTHEASTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 12 DEGREES 39 MINUTES 36 SECONDS, AN ARC DISTANCE OF 22 10 FEET, THENCE CONTINUING ALONG SAID NORTHWESTERLY BOUNDARY OF PARCEL 6-5 NORTH 16 DEGREES 22 MINUTES 56 SECONDS EAST 66 89 FEET TO THE INTERSECTION OF THE NORTHWESTERLY LINE OF HEREINBEFORE-MENTIONED 60-FOOT-WIDE STRIP OF LAND WITH THE SOUTHWESTERLY LINE OF SAID TRACT 1775, THENCE ALONG THE SOUTHEASTERLY LINE OF A 1 25-FOOT- WIDE STRIP AS VACATED BY THE CITY OF CULVER CITY BY ORDINANCE NO 253, PASSED AND APPROVED OCTOBER 10, 1927 AND PURSUANT TO RESOLUTION NO 1887, ADOPTED MAY 6, 1929 NORTH 34 DEGREES 02 MINUTES 19 SECONDS EAST 1 31 FEET TO THE NORTHEASTERLY LINE OF SAID 1 25-FOOT-WIDE STRIP, THENCE ALONG SAID NORTHEASTERLY LINE NORTH 38 DEGREES 36 MINUTES 46 SECONDS WEST 31 43 FEET TO THE SOUTHEASTERLY LINE OF THAT PORTION OF CULVER BOULEVARD AS VACATED BY THE CITY OF CULVER CITY BY ORDINANCE NO 465, APPROVED AND ADOPTED JUNE 28, 1937, THENCE ALONG LAST SAID SOUTHEASTERLY LINE NORTH 34 DEGREES 02 MINUTES 19 SECONDS EAST 30 12 FEET TO THE NORTHEASTERLY LINE OF SAID PORTION OF CULVER BOULEVARD, THENCE ALONG LAST SAID NORTHEASTERLY LINE NORTH 38 DEGREES 36 MINUTES 46 SECONDS WEST 10 48 FEET TO THE SOUTHEASTERLY LINE OF LOT 9, BLOCK 3 OF SAID TRACT NO 1775, THENCE ALONG LAST SAID SOUTHEASTERLY LINE AND THE SOUTHEASTERLY LINE OF LOTS 10 THROUGH 16 INCLUSIVE, OF SAID BLOCK 3, TRACT NO 1775 NORTH 34 DEGREES 02 MINUTES 19 SECONDS EAST 417 76 FEET TO THE POINT OF BEGINNING RISILVER 22640 111210 2 -3- 02 0927563EXCEPT THAT PORTION OF SAID LAND LYING SOUTHWESTERLY OF A STRAIGHT LINE DRAWN PERPENDICULAR TO THE NORTHWESTERLY LINE OF THE HEREINABOVE UNRECORDED 60 FOOT WIDE STRIP OF LAND AND WHICH PASSES THROUGH THE INTERSECTION OF SAID NORTHWESTERLY LINE WITH THE SOUTHEASTERLY PROLONGATION OF THE SOUTHWESTERLY LINE OF SAID TRACT NO 1775 ALSO EXCEPT THAT PORTION OF SAID LAND DESCRIBED AS FOLLOWS THAT PORTION OF PUTNAM AVENUE, NOW KNOWN AS CULVER BOULEVARD, 40 00 FEET WIDE, LYING NORTHWESTERLY OF THE PACIFIC ELECTRIC RAILWAY, 60 00 FEET WIDE, AS SHOWN ON THE MAP OF TRACT 1775, IN THE CITY OF CULVER CITY, IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, BOUNDED SOUTHWESTERLY BY THE SOUTHWESTERLY BOUNDARY LINE OF SAID TRACT 1775 AND BOUNDED NORTHEASTERLY BY THE SOUTHEASTERLY PROLONGATION OF THE NORTHEASTERLY LINE OF LOT 16 IN BLOCK 3 OF SAID TRACT 1775 ALSO EXCEPT THAT PORTION OF SAID LAND LYING NORTHWESTERLY OF A LINE DRAWN PERPENDICULAR TO THE NORTHEASTERLY LINE OF LOT 1 IN BLOCK 3 OF TRACT NO 1775 AND WHICH PASSES THROUGH THE MOST EASTERLY CORNER OF SAID LOT 1 PARCEL B THE LAND SITUATED IN THE STATE OF CALIFORNIA, COUNTY OF LOS ANGELES, AND DESCRIBED AS FOLLOWS LOT 1 IN BLOCK 3 OF TRACT 1775, IN THE CITY OF CULVER CITY, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY EXCEPT THEREFROM THAT PORTION OF LOT 1 IN BLOCK 3, AS SHOWN ON TRACT 1775, IN THE CITY OF CULVER CITY, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY DESCRIBED AS FOLLOWS BEGINNING AT THE MOST NORTHERLY CORNER OF LOT 1 IN BLOCK 3 OF SAID TRACT 1775, SAID POINT BEING ALSO THE INTERSECTION OF THE SOUTHEAST PROPERTY LINE OF GRANT AVENUE, SIXTY FEET WIDE AND THE SOUTHWEST PROPERTY LINE OF MADISON AVENUE, ONE HUNDRED FEET WIDE ON SAID TRACT 1775, THENCE ALONG THE NORTHEASTERLY LINE OF SAID LOT 1, SOUTH 35 DEGREES 29 MINUTES 00 SECONDS EAST 14 42 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHWEST HAVING A RADIUS OF 10 00 FEET, THENCE NORTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 110 DEGREES 32 MINUTES 7 SECONDS AN ARC DISTANCE OF 19 29 FEET TO THE NORTHWESTERLY LINE OF SAID LOT 1, THENCE ALONG SAID NORTHWESTERLY LINE NORTH 33 DEGREES 58 MINUTES 53 SECONDS EAST 14 42 FEET TO THE POINT OF BEGINNING EXCEPT ALL OIL, GAS AND OTHER HYDROCARBON SUBSTANCES IN AND UNDER ALL OF THE ABOVE DESCRIBED REAL PROPERTY, BUT WITHOUT THE RIGHT 02 0927563 RISELVER 22640 111210 2 -4-TO PENETRATE, USE OR DISTURB THE SURFACE OF SAID PROPERTY OR ANY PORTION OF SAID PROPERTY WITHIN 500 FEET OF THE SURFACE THEREOF, AS RESERVED BY SMITH AND SALSBURY IN DEED RECORDED APRIL 27, 1984 AS INSTRUMENT NO 84-510558 PARCEL C PARCEL 1 THAT PORTION OF GRANT AVENUE AS SHOWN ON THE MAP OF TRACT 1775, IN THE CITY OF CULVER CITY, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, BOUNDED AS FOLLOWS ON THE SOUTHEAST BY THE NORTHWEST LINE OF LOT 1, BLOCK 3 OF SAID TRACT 1775, ON THE NORTHWEST AND NORTHEAST RESPECTIVELY BY THE SOUTHEASTERLY LINE OF BLOCK 2 AND SOUTHEASTERLY PROLONGATION OF THE NORTHEASTERLY LINE OF BLOCK 2 OF SAID TRACT 1775, AND ON THE SOUTHWEST BY THE NORTHWESTERLY PROLONGATION OF THE SOUTHWESTERLY LINE OF LOT 1 OF BLOCK 3 OF SAID TRACT 1775, AS DESCRIBED AND SHOWN ON EXHIBIT "A" TO RESOLUTION NO CS-6468 RECORDED SEPTEMBER 18, 1970 AS INSTRUMENT NO 3468 PARCEL 2 ) THAT PORTION OF LOT 1 IN BLOCK 3, AS SHOWN ON TRACT 1775, IN THE CITY OF CULVER CITY, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 21 PAGES 190 AND 191 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS BEGINNING AT THE MOST NORTHERLY CORNER OF LOT 1 IN BLOCK 3 OF SAID TRACT 1775, SAID POINT BEING ALSO THE INTERSECTION OF THE SOUTHEAST PROPERLY LINE OF GRANT AVENUE, 60 00 FEET WIDE AND THE SOUTHWEST PROPERLY LINE OF MADISON AVENUE, 100 00 FEET WIDE, ON SAID TRACT 1775, THENCE SOUTHEASTERLY ALONG THE NORTHEASTERLY LINE OF SAID LOT 1, 14 42 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHWEST HAVING A RADIUS OF 10 00 FEET, THENCE NORTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 110 DEGREES 32 MINUTES 7 SECONDS AN ARC DISTANCE OF 19 29 FEET TO THE NORTHWESTERLY LINE OF SAID LOT 1, THENCE ALONG SAID NORTHWESTERLY LINE 14 42 FEET TO THE POINT OF BEGINNING SEE EXHIBIT "A" ATTACHED HERETO AND MADE A PART OF THE LEGAL DESCRIPTION BY REFERENCE HEREIN EXCEPT ALL OIL, GAS AND OTHER HYDROCARBON SUBSTANCES IN AND UNDER ALL OF THE ABOVE DESCRIBED REAL PROPERTY, BUT WITHOUT THE RIGHT TO PENETRATE, USE OR DISTURB THE SURFACE OF SAID PROPERTY OR ANY PORTION OF SAID PROPERTY WITHIN 500 FEET OF THE SURFACE THEREOF, AS RESERVED BY SMITH AND SALSBURY, IN DEED RECORDED APRIL 27, 1984 AS INSTRUMENT NO 84-510-558 RISILVER 22640 111210 2 -5- 02 0927563PARCEL D THE LAND SITUATED IN THE STATE OF CALIFORNIA, COUNTY OF LOS ANGELES, AND DESCRIBED AS FOLLOWS THAT PORTION OF RANCHO LA BALLONA, IN THE CITY OF CULVER CITY, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS SHOWN ON CLERK'S FILED MAP NO 16, ON FILE IN THE OFFICE OF COUNTY ENGINEER OF SAID COUNTY, AS DESCRIBED IN THE DEEDS TO THE LOS ANGELES HERMOSA BEACH & REDONDO RAILWAY COMPANY, A CORPORATION, RECORDED AUGUST 14, 1902, IN BOOK 1605 PAGE 299 OF DEEDS AND RECORDED NOVEMBER 8, 1902 IN BOOK 1684 PAGE 159 OF DEEDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY EXCEPT THEREFROM THAT PORTION OF SAID LAND INCLUDED WITHIN THE LAND AS DESCRIBED IN PARCEL 6-4 IN THE DEED TO THE CITY OF CULVER CITY, RECORDED MARCH 4, 1964 AS INSTRUMENT NO 4429, IN BOOK D-2382 PAGE 721, OFFICIAL RECORDS OF SAID COUNTY ALSO EXCEPT THEREFROM THAT PORTION OF SAID LAND, INCLUDED WITHIN THE LAND AS DESCRIBED IN THE PARTIAL JUDGMENT AND FINAL ORDER OF CONDEMNATION ENTERED IN THE LOS ANGELES COUNTY SUPERIOR COURT CASE NO C470,345, A CERTIFIED COPY OF WHICH WAS RECORDED OCTOBER 23, 1985, AS INSTRUMENT NO 85-1252160 OF OFFICIAL RECORDS OF SAID COUNTY RISILVER 22640 111210 2 -6- 02 0927563--n :b. =Tr-PHP-3.1 C4 GPM-GCS:4 Pn.rfx.CARD a=CCJATc-Z, 5U RVMYOR= -=- `470 WIL5Ht t'-` 1t)1...VO, 5 U IT M. ' CO ,- N -----rnIn) -Q n WASH 1 Nic_ 1 ON - -----.2 o in I I L.-r. ILOT 1 I BLOCK c TRp.C.T NCp 1775 I|1010|1 Lo-r tS UNE 3LCC.< a ...--- ----- GRANT AVE VAC-Vr" PcS RM=OLLITION NO C.5-64G5 NVLY FPROLCNGATION FWL:Y LANZ Cr 1.4)T 1, tC3C4.3 BLOCK 3 ,- TR,ACT NO 177' - )|101010101010|E.) 44' EXH 1 31T 'A" ..4a...= 1 8.• 50 041 -M. AMIL 1,1=Z TC.V1 3 r_ o AosaY 15, I.|1010|6‘,5) it, e -A)0 D tTi.1.1L_ 5c4a_rm I t1111 E3LVD FRAPigiC T1 02 0927563 > bk,,Attachment No 7 APPLICATION FOR AMENDMENT SONY PICTURES ENTERTAINMENT'S DEVELOPMENT AGREEMENT October 2005 APPLICATION Sony Pictures Entertainment respectfully requests an amendment to its Development Agreement with the City of Culver City to extend its term for an additional twenty years BACKGROUND INFORMATION SPE's Development Agreement (DA) with the City was signed on September 15, 1993 and provides for entitlements to develop approximately 1M square feet on the Sony Pictures Studios lot over a twenty year period The term of the DA was reduced in March, 2002 (in accordance with the provisions of the DA) from twenty to fifteen years because certain development milestones were not met The DA now expires in September, 2008 At the same time the DA was approved, the City approved a Comprehensive Plan (CP) with over 100 conditions Those conditions range from requirements to provide the Senior Center with free monthly films to funding a wide range of traffic improvements SPE continues to be in full compliance with the conditions of the DA and the CP While many of the conditions have been satisfied, a majority are on-going conditions or conditions that have yet to reach specified thresholds SITE DEVELOPMENT Over the past 12 years, SPE has continuously made business decisions to invest in improving the overall Studio lot, as well as the Culver Studios (prior to its sale) and the many properties SPE leases in Culver City This investment approach has preserved many of the Studio's original structures, increased the value of the Studio and surrounding areas, established SPE as a state-of-the-art Studio, and enhanced SPE's business operations on the lot and in Culver City SPE estimates that approximately $500 million dollars have been invested in new construction, adaptive reuse/remodel of existing structures, upgrades to existing infrastructure, lot beautification, and state-of-the art equipment This approach has been well received by the City and the community CONCLUSION By extending the term of the DA, the City will allow SPE an additional period of time to implement the entitlements of the DA and the CP, based on film and television industry demands, which allow for development of new Studio office stage, post-production, retail and support spaceAPPLICATION FOR AMENDMENT TO THE DEVELOPMENT AGREEMENT SUPPLEMENTAL INFORMATION Following is supplemental information to SPE's Application for Amendment to the Development Agreement (DA) BACKGROUND INFORMATION Comprehensive Plan Conditions of Approval The CP's Conditions of Approval are organized into the following sections Art in Public Places II Child Care III Construction IV Cultural Resources V Design and Development Standards VI Fees and Taxes VII Housing VIII Infrastructure IX Process X Signs XI Site Operations XII Transportation The Conditions of Approval generally fall into the following categories • Funding of Projects/Services Includes Website Museum, Childcare Center, feasibility of elimination of freeway on-ramps, and extraordinary plan review • Conducting Studies/Surveys Includes annual traffic/parking counts, parks and recreation facility use, and local hiring program • Public Services Includes free Studio tours for Culver City, and video loans for the Senior Center • Business/Development Fees Includes taxes, building permits, and traffic mitigation measures • Site Maintenance Includes hazardous waste handling, cleaning catch basins, and inspection of manholes and stationary internal combustion engines SPE has remained fully compliant with the conditions of the DA and the CP Compliance includes • Complying with the City's Art in Public Places Ordinance • Providing free monthly loans of SPE videos for the Senior Center • Offering 1,000 free tickets to SPE's Studio walking tours to those who live or work in the City • Establishing a Child Care Program 2APPLICATION FOR AMENDMENT TO THE DEVELOPMENT AGREEMENT SUPPLEMENTAL INFORMATION • Funding traffic mitigation measures including the purchase of a traffic monitoring camera and releasing of funds ($100,000) for potential new turn lanes • Establishing and maintaining a Rideshare Program • Purchasing annually $25 000 worth of equipment/programs for the CCUSD This condition was satisfied in 2004, however SPE voluntarily renewed its commitment in 2005 with another $250 000 over a ten year period • Conducting annual traffic studies that analyze traffic volume/parking demand • Establishing an SPE Website Museum that is an educational destination featuring the wonders of ftlmmaking and the Studio's rich history, it also includes a section on Culver City, the "Heart of Screenland • Complying with all CP and DA design, development, and infrastructure standards and requirements • Making efforts to hire Culver City residents, retain sales within Culver City, and retain/locate research, development, filming and other Studio related operations on the Studio site or within Culver City Si lb, DEVELOPMENT The following highlights many of the improvement projects that SPE has focused on over the past 12 years that have resulted in new construction, significant adaptive-reuse/remodel of existing structures, major upgrades to existing infrastructure and overall lot beautification • New Construction New construction has proceeded throughout the lot with each of the projects striving to maintain the design integrity of the studio New construction has included the o Astaire, Pokier, and Rosalind Russell office buildings o Logistic building which houses mail operations, shipping and receiving and location services o Athletic Club and The Studio Grill building • Adaptive Reuse/Remodel of Existing Structures A number of unused stages and buildings have been converted to productive space including dubbing theaters, sound studios, editing rooms and office space These projects have included o Stage 6 being converted from a limited use 6 500 sq ft stage to a fully utilized office building of over 50,000 sq ft o Stages 4 and 5 being converted from small unused spaces to state-of- the-art dubbing theaters IAPPLICATION FOR AMENDMENT TO THE DEVELOPMENT AGREEMENT SUPPLEMENTAL INFORMATION o Stage 3 being converted from support space to state-of-the-art sound recording studio o Stage 14 being converted from set lighting storage back to a working sound stage o The Gene Autry building being converted from a lab/film vault to editing rooms o The Robert Young David Lean, and Bartyrnore buildings being converted from primarily storage/warehouse space to office space o The Jimmy Stewart building being converted from production office space (small/compartmentalized) to a beautiful headquarter office building for SPE's Trt-Star operations • Infrastructure Upgrades A substantial investment has been made in upgrading the infrastructure of the Studio lot The lot that SPE purchased from MGM provided tremendous opportunities for improving efficiency, environmental protection, safety, and security Upgrades have included o Energy Conservation Improvements • Replacing electrical and lighting with new energy efficient systems • Installing new energy efficient boilers that are ISO 14000 compliant • Restoring existing air conditioner ducts to gam energy efficiency • Replacing windows with new energy efficient double panes o Clean Air Measures • Installing an additional Edison transformer that eliminates the use of pollutant enaimng diesel generators o Safety Measures • Upgrading older structures to meet current seismic code • Adding elevators to existing multi-storied buildings to bring them up to ADA code • Adding fire lanes and striping for emergency parking • Eliminating non-code compliant structures • Abating asbestos in all buildings o On-going Infrastructure Maintenance • Replacing over 2400 feet of substandard storm drains • Replacing older sprinkler heads inside stages • Replacing roofs with complete new roofing material o New Facilities and Parking • Adding new restroom facilities • Creating additional parking throughout the lot AAPPLICATION FOR AMENDMENT TO THE DEVELOPMENT AGREEMENT SUPPLEMENTAL INFORMATION • Lot Beautification Efforts to upgrade the aesthetic appearance and functionality of the Studio lot were initiated by SPE almost immediately upon moving into the community, and those efforts continue today Some of those upgrades include o Enclosing the Studio with an architectural pleasing perimeter wall o Renovating internal and external elements of lot buildings o Installing stunning entrance gates and lamps in art deco style o Creating a visitor friendly pedestrian Main Street attractive facades have been added to buildings and open eating areas have been created o Installing awnings, directional signs, and street/building exterior lighting o Enhancing green space flower beds and outdoor seating areas throughout the lot o Taking the opportunity to fulfill the Art In Public Places program with art on the Studio that is accessible to the public State-Of-The-Art Stu= SPE's development efforts have also included investment, maintenance and marketing a state- of-the-art Studio This has allowed SPE to produce and/or distribute such award-winning feature film hits as A Few Good Men, Air Force One, Ali, As Good As It Gets and Bewitched, City Slickers, Jerry Maguire, Men In Black 1 and 2, Sleepless in Seattle, Spider-Man 1 and 2, Stuart Little, to name a few Equally impressive are SPE's poplar television shows which have garnered high approval ratings such as Jeopardy, Joan of Arcadia, King of Queens, Mad About You, and Wheel of Fortune Development of a state-of-the-art Studio has further resulted m production, and post- production of television/films for other Studios including Armageddon, The Bourne Identity, Castaways, Deadwood, Harry Potter and the Sorcerer's Stone, The Matrix, Medium, Pearl Harbor, The Polar Express, Road to Perdition and The SimpsonsSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 go'nelitipn NO : Onalti On Responsible Division , Relpotisibie IndMiltial Trifle . Status 1A Comply with the CC Art in Public Places Program Cultural Affairs Christine Byers 253 5776 certificate of occupancy in compliance in compliance completed completed 1B Provide one free monthly screening of film or video at the Senior Center CAO Jerry Fulwood Monthly 1B Provide upgrade equipment to the Senior Center CAO Jerry Fulwood II A Prior to a new development of 50 000+ sq ft SPE shall develop a child care center for 90 children Center shall be operational prior to issuance of Certificate of Occupancy Planning/Building Sherry Jordan 253 5746 When a building permit is requested for 50 000 sq ft II B SPE may request a reduction or deletion of the child care center requirement CAO Jerry Fulwood expiration of development agreement not yet applicable no complaints reported III A Air Quality Requirements Building Craig Johnson 253 5802 during construction periods Ill B Noise Regulations Code Enforcement/ Building Pam Graves 253 5940 during construction periods no complaints reported Ill C Human Health and Safety Craig Johnson 253 5802 during construction periods no complaints reported Ill D Soil and Groundwater Contamination Building Craig Johnson 253 5802 during construction and as necessary no complaints reportedSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condition No nd ton Responsible Division • Respohsibló Individual Time Status IV A All proposed alternations to or removal or demolition affecting the exterior of a significant or landmark structure should be submitted to the Planning Commission Building/ Planning/Cultural Affairs Christine Byers 253 5776 Each building permit in compliance explanation of terms only IV B Planning Commission review of Cert of Appropriateness (Historical) Building Craig Johnson 253 5802 As necessary IV C Sony pictures cannot demolish Colonnade Commissary Gable Myrna Loy Stage 4 Stage 6 and Thalberg Building Planning/Cultural Affairs Christine Byers 253 5776 on going in compliance IV D Not later than due 180 days from approval on Comprehensive Plan prepare photographic black and white and color and negative prints and a videotape of all landmark and significant structures Planning Sherry Jordan 253 5746 180 days from approval of Comprehensive Plan completed in compliance IV E Sony shall comply with all City COA relating to the Sign of Historical Significance atop Sound Stage 6 Planning Sherry Jorday 253 5746 with each building permitSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condition No Condition 4 , , ' Responsible Division _Responsible Individual Time 4. Status IV F Prior to any issuance of certificate of occupancy for a building in excess of 300 000 sq ft SPE shall display a plaque stating the designation of all existing landmark or significant structures on the lot are in accordance with the CCMC Chapter 38 Cultural Affairs Christine Byers 253 5776 As necessary not yet applicable in compliance IV G SPE shall offer public tours to the public 3x a year SPE shall advertise the tour 60 days in advance CAO Jerry Fulwood 3x a year by terms of MOU IV H and MOU 4/02 SPE can establish a virtual web museum to meet the requirement of a film history museum CAO Jerry Fulwood MOU completed in compliance V A Air Quality Regulations on Design and Development Standards Building Craig Johnson 253 5802 with each building permit VB Water Supply/Demand regulations of Design and Development Standards Building/Code Enforcement/Planning Craig Johnson 253 5802 with each building permit in compliance VC Storm Drainage Regulation of Design and Development Standards Engineering Charles Herbertson 253 5630 with each building permit in complianceSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 C ndition No f - gondition e , Reip6nsIetbvisi9n ResponsOlalloOvicival , Time Status V D Solid Waste Generation refuse storage facilities of the size quantity and location required by the City Sanitation and Planning Divisions shall be provided and constructed as approved by City standards unless modified by the Waste Reduction Plan required by Condition XI D 4 Sanitation/Planning Sherry Jordan 253 5746 As necessary in compliance V E Police/Fire Services site plans should be submitted to the Police Department for review Police/Fire/Building Craig Johnson 253 5802 with each building permit in compliance not yet applicable V F Development Standards of Design and Development Standards prior to the issuance of any certificate of occupancy for any net new development in excess of 250 000 sq ft all remaining existing buildings visible from the Site perimeter including rooftop mechanical equipment shall be made free of excessive/abandoned elements and resurfaced or repainted as necessary Planning/ Engineering/Building Craig Johnson 253 5802 prior to certificate of occupancy for buildings greater than 250 000 sq ftSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Conclitioh No C'ourlition , kesponsible Ptvisjon . espoustbi udividual - Time Status V G Architectural Design Standards of Design and Development Standards the total area of all buildings on the site shall not exceed 2 542 819 gross sq ft The maximum allowable gross sq footage for office is 1 593 193 For post production 112 278 gross sq ft For retail 35 000 sq ft including the museum It can be increased to 50 000 if either a Sony corporate showroom of at least 20 000 sq ft or a theme restaurant of at least 10 000 sq ft is constructed No more than 35 000 sq ft of nonrestaurant retail space can be located on Culver Blvd Non public retail space can be 5 635 SPE may also provide up to 5 separate outlets no larger than 500 sq ft for each B26pickup and drop off services Planning Sherry Jordan 253 5746 with each building permit and as specified by the MOU of 12/14/94 in complianceSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Co nditionNo' w Condition ' A. Responsible pivfsion Responsible IndividuaF Time -' Status V G Allowable Development in Comprehensive Plan Design Areas Allowable Development Square Footage Transfer Building Envelope Standards Height requirements building footprints setbacks interior setbacks projections architectural features construction across comprehensive plan design area boundaries Planning Sherry Jordan 253 5746 on going in compliance not yet applicable VI A Storm Drainage Fee and Taxes SPE shall pay a storm drainage fee determined by the cost of the needed facilities in the master plan of drainage for the City of Culver City Engineering Charles Herbertson 253 5630 with each building permit VI B 1 Parks and Rec Survey SPE shall conduct a survey of its employees on an annual basis to determine use of municipal parks and recreation programs and facilities Parks and Rec yearly in compliance VI B 2 Fee for use of parks and recreation programs As specified in ordinance if adopted (Building/Park & Rec) As necessary not yet applicableSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condition No`:,- ReslionsiOle Division --1 keonsibte'Individbal , _ Time Status Condition , VI C SPE shall pay the Commercial and Industrial Development Tax as it existed on the date of approval of the Comprehensive Plan Building Craig Johnson 253 5802 with each building permit in compliance VID SPE shall pay the new development impact fee Planning Sherry Jordan 253 5746 with each building permit in compliance in compliance In compliance VIE SPE shall self accrue and pay to the state sales taxes on items purchased from business located outside of California Treasurer Crystal Alexander 253 5866 ongoing VIF SPE shall pay the Water Extraction Tax pursuant to CCMC Ch 33F for all water extracted from a well on the Site Engineering Charles Herbertson 253 5630 ongoing VIH SPE shall purchase $25 000 worth of equipment and programs for the CUSD CAO Jerry Fulwood Every July for 10 yrs From the adoption of the Comprehensive Plan completed VI I Efforts for SPE To retain sales in Culver City Treasurer Crystal Alexander 253 5866 ongoing in compliance VII 20% set aside for low income/moderate income housing programs in Culver City Housing Tevis Barnes 253 5782 ongoing explanation of terms onlySony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Conditibnitiii Condition Res'04-iiible Diviiibn Responsible Individual, ,Tinie-e , Status VIIIA Utilities regulations All onsite overhead utility service lines serving a Comprehensive Plan Design Area shall be undergrounded in accordance with CCMC Section 35A 20 when the building square footage exceeds 25 000 sq ft Within six months after approval of the Comprehensive Plan install a gauge on the existing onsite private well Engineering Charles Herbertson 253 5630 with each building permit exceeding 25 000 sq ft in compliance not yet applicable VIIIB 1 Human Health and Safety Prior to the issuance of any certificate of occupancy for a building exceeding 400 000 sq ft flow gauges should be installed on any line flowing from the site into the City of LA wastewater system and all underground tanks shall be tested and close and/ or remove all existing inactive underground tanks Engineering Pam Keyes 253 5630 prior to the certificate of occupancy for a building 400 000 sq ftSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 ConditionAo Condi iun Respiiiieitila Division Respcinsibl rkit ' ii I ' , , time|1010|Status VIII B2 3 A determination of the need for plugging and reabandonment of the abandoned wells on the Site shall be conducted by the State Oil and Gas Supervisor prior to the issuance of the first building permit for any new construction excluding tenant improvements SPE shall comply with all City requirements pertaining to National Pollutant Discharge Elimination System Permit No 0061654 that will be adopted in the future Engineering Charles Herbertson 253 5630 As necessary in compliance VIII B4 and MOU 12/14/94 SPE shall clean all catch basins on the site and by December 31 of every year SPE shall inform the City Engineer in writing of the date when this cleaning has been completed Engineering Charles Herbertson 253 5630 yearly in compliance VII B5 and MOU 12/14/95 SPE shall conduct sewer line and manhole inspections for the two sewer lines from the site SPE shall complete the inspection and submit a letter to the City Engineer verify that such inspection took place Engineering Charles Herbertson 253 5630 yearly in complianceSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condition No ,, OanditiOn RespOnsible Division Responsible IndiVidual Time , 4-- Status IXA SPE shall pay for extraordinary plan review and inspection services Planning/CAO Sherry Jordan 253 5746 ongoing in compliance IXB Explanation of Design for Development requirements Redevelopment Sherry Jordan 253 5746 with each building permit explanation of terms only IXC Covenant to hold separate parcels as one parcel City Attorney Carol Schwab 253 5660 no time specified in compliance IXD explanation of plan review process Planning Sherry Jordan 253 5746 ongoing explanation of terms only IXE Planning Commission may approve onsite alcoholic beverage sales as part of the Comprehensive Plan conformance review Planning Sherry Jordan 253 5746 ongoing explanation of terms only IXF Execute Document agreeing to all Conditions of Approval City Attorney Carol Schwab 253 5660 within 90 days of effective date of Comprehensive Plan completed IXG Terms for memoranda of understanding City Attorney/CAO Carol Schwab 253 5660 As necessary in compliance IXH City shall make all annual reports and studies required by these conditions available to the public for review and comment for a period of at least fifteen days before any City actions are taken in reliance on such studies Planning Sherry Jordan 253 5746 ongoing in compliance X All signs shall be in accordance with the Comprehensive Sign Plan Planning Sherry Jordan 253 5746 with each building permit in complianceSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condition No Condition FteP -Ponsibie Diyision „ Responsible bidiVidlial - , „ Time Status XI A 1 6 All vehicles owned and or operated by SPE shall comply with South Coast AQMD District Rule 402 which prohibits the discharge of air containments or other materials that may cause a nuisance SPE shall comply with South Coast AQMD Rule 1146 which requires boilers and water heaters rated at greater than five million british thermal units per hour to emit less than 05 pounds nitrogen oxide per million Birtish thermal units heat input SPE shall have water heaters and space heaters that are low emission designs and to the extent feasible SPE shall integrate the use of substitute compounds to reduce the use and release of toxic pollutants City Engineer/Building Official Pam Keyes 253 5630/ Craig Johnson 253 5802 Annually Monitored by AQMD No complaints reported XI A 3 All engines shall be properly operated and maintained This measure shall be enforced by the quarterly submission of certified mechanics records City Engineer Charles Herbertson 253 5630 quarterly in complianceSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condition No ConditiOni ReSponsible DtviSion Responsiblettndividnal Time 'k Status XI A 7 Local Hiring Program SPE shall submit an annual report before April 1st stating the number of CC residents hired and employed on the site in comparison to the total number of employees CAO Jerry Fulwood Annually in compliance XIB Noise levels from onsite mechanical equipment shall not exceed the specific noise levels prescribed in CCMC Code Section 23 44 Noise Regulations and Standards Code Enforcement Pamela Graves 253 5940 ongoing no complaints reported XIC 1 3 Human Health and Safety Annually SPE shall submit to the CCFD an annual inventory of hazardous materials in use onsite and a business emergency plan Fire Christine Parra 253 5930 Annually in compliance in compliance XIC 4 Hazardous Materials All hazardous waste shall be transported only during off peak hours to and from Site and a closure permit issued by the Los Angeles County Department of Public Works shall be issued prior to the closure of any industrial waste facilities Engineering Charles Herbertson 253 5630 ongoingSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condition kNo C6ndition ReSp-bniible Division Responsible Individual Time Status XIC5 A closure permit shall be obtained from the Los Angels County Department of Public Works prior to the closure of any industrial waste facilities on the project site Engineering Charles Herbertson 253 5630 ongoing in compliance in compliance in compliance in compliance XI D1 SPE shall participate in any waste reduction measures Sanitation Damian Skinner 253 6402 ongoing XI D2 SPE shall designate an onsite waste reduction coordinator to work with the City Sanitation Division Sanitation Damian Skinner 253 6402 ongoing XI D3 SPE shall presort recyclable waste materials prior to collection provided that struck sets may be sorted and recycled offsite Sanitation Damian Skinner 253 6402 ongoing XI D4 SPE shall initiate a comprehensive waste management plan Sanitation Damian Skinner 253 6402 ongoing in compliance in compliance in compliance XI El SPE shall donate excess paint to the City of Culver City for its graffiti control program CAO Jerry Fulwood ongoing XI E2 To the extent feasible SPE shall use all reasonable efforts to notify all persons conducting operations at the Site of the need to obtain a business tax certificate from the City CAO Jerry Fulwood ongoingSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condition No Condition,- Responsible DIvIon Resporli bIe1ndMdüal , T mel Status XII Al Transportation during construction periods All transportation materials to or from the site will buy way of routes designated by the City Engineer Prior to 30 days of the construction SPE shall meet with City Engineer to determine expected volumes of construction vehicles Engineering Max Paetzold 253 5622 during construction periods in compliance XII A2 Maintaining Haul Routes Code Enforcement Pamela Graves 253 5940 during construction periods in compliance in compliance in compliance XII A3 Construction Hours Code Enforcement/Police Pamela Graves 253 5940 during construction periods XII A4 A7 Construction Hours and construction equipment storage Code Enforcement Pamela Graves 253 5940 during construction periods XII A8 A10 Construction taking place in street City Engineer Charles Herbertson 253 5630 during construction periods no complaints reported XII All 12 Construction working driving routes and parking Code Enforcement Charles Herbertson 253 5630 dunng construction periods no complaints reported XII A13 All SPE construction contracts should include language regarding Section III and XII A CAO Jerry Fulwood Annually in complianceSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Candition No Coinditioit- Responsible Division RespOnsibleifidividual Time Status XIIB 2a Intersection Improvements Engineenng Max Paetzold 253 5622 Prior to the issuance of any certificate of occupancy for net new development which exceeds 25 000 sq ft In the City of Los Angeles not yet completed XIIB 2b 1 7 Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to the issuance of any certificate of occupancy for development estimated to cause net new trip generation to exceed 290 afternoon peak hour trips in compliance due to XII B XIIB 2b 8 Traffic Facilities Improvements Engineering Max Paetzold 253 5622 No longer contemplated because of Route 405 HOV Project in compliance due to XII B XIIB 2 9 Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Retain parking along the south side of the Culver Boulevard south roadway for a specified amount of time in compliance due to XII BSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Cortilition-No -, Condition ,, R spo Oils DiViWoril Responéb1e1ricIuvidUaIi ime,,i ,,,,,, Status XIIB 2 9c Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Within 6 months after approval of the Comprehensive Plan SPE may submit plans to the City Engineer for installation of a pedestrian crossing on Madison Avenue between the site and Sony Pictures Plaza completed XIIB 2 9d Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Installation of the Smart Street Corridor System in compliance XIIB 2 9e Traffic Facilities Improvements Engineering Max Paetzold 253 5622 SPE shall fund a study of the feasibility of the elimination of the northbound onramp facility of the San Diego Freeway at Braddock Drive In compliance SPE has reimbursed the City $48 593 33 for studySony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condition No _ ConditiOn- esponsible Diviiion , , Responsible Individual Time Status ,. XIIB 2 9f Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to the issuance of any certificate of occupancy for development causing net new trip generation to exceed 185 morning peak hour trips SPE shall implement specified improvements Presently being considered by City Engineer for installation XIIB 2 9g Traffic Facilities Improvements Engineenng Max Paetzold 253 5622 Prior to the issuance of any certificate of occupancy for development causing net new trip generation to exceed 211 afternoon peak hour trips SPE shall implement specified improvements In Los Angeles not yet applicableSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condition d lfr Condition - Responsible Divisionit , Responsible Individual - -, Thine- Status XIIB 2 9h Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to the issuance of any certificate of occupancy for development causing net new trip generation to exceed 405 morning peak hours In Los Angeles-not y e applicable app Condition may be altered by MTA- Light Rail Transit Project XIIB 2 91 Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to issuance of certificate of occupancy for development causing net new trip generation to exceed 466 morning peak hour trips not yet applicable XIIB 2 9j Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior the issuance of any certificate of occupancy for development causing net new trip generation to exceed 484 morning peak hour trips not yet applicableSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condition No Condition Rea06nsibie lOsjon Responithie Indiv'd I ' _ , ,i Y a , e ,,,,, tirn Status XIIB 2 9k Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to issuance of certificate of occupancy for development causing net new trip generation to exceed 519 morning peak hour trips Completed by the City of Los Angeles in 1996 however threshold for condition has not yet been met XIIB 2 91 Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to issuance of any certificate of occupancy for development causing net new trip generation to exceed 563 morning peak hour trips Already in compliance although threshold for condition has not yet been met XIIB 2 9m Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to issuance of any certificate of occupancy for development causing net new trip generation to exceed 590 morning peak hours not yet applicable In the City of Los Angeles Condition might change with MTA Light Rail Transit ProjectSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Conditiongs16. Conciitso - n Responsil* Division, „ e individual, Time Status XIIB 2 9n Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to the issuance of any certificate of occupancy for development causing net new trip generation to exceed 607 morning peak hour trips not yet applicable XIIB 2 90 Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to the issuance of any certificate of occupancy for development causing net new trip generation to exceed 607 morning peak hours not yet applicable XIIB 2 9p Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to the issuance of any certificate of occupancy for development causing net new trip generation to exceed 660 morning peak hour trips in compliance due to XII BSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 COnditiOn:No. Condition ResponSible Division ,, Resrionsible Individualr t' Tinriel Status XIIB 2 9q Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to the issuance of any certificate of occupancy for development causing net new trip generation to exceed 616 morning peak hour trips in compliance due to XII B XIIB 2 9r Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to issuance of any certificate of occupancy for development causing net new trip generation to exceed 625 morning peak hour trips Not yet applicable XIIB 2 9s Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to issuance of any certificate of occupancy for development causing net new trip generation to exceed 634 morning peak hour trips Not yet applicableSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condition No 4 6 Conditiop , Responsible Divisiori Res bIlsiblelMilliidUal Time Status XIIB 2 9t Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to issuance of any certificate of occupancy for development causing net new trip generation to exceed 642 afternoon hour trips not yet applicable XIIB 2 9u Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to Issuance of any certificate of occupancy for development causing net new trip generation to exceed 660 morning peak hour trips not yet applicable XIIB 2 9v Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to issuance of any certificate of occupancy for development causing net new trip generation to exceed 704 afternoon peak hour trips not yet applicableSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 goildition‘No. Conitittaii Responsibie Division Responsible,individual , , Tnni* ' . , - Status. XIIB 2 9w Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to issuance of any certificate of occupancy for development causing net new trip generation to exceed 713 afternoon peak hour trips not yet applicable XIIB 2 9x Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to issuance of any certificate of occupancy for development causing net new trip generation to exceed 722 morning peak hour trips not yet applicable XIIB 2 9y Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to issuance of any certificate of occupancy for development causing net new trip generation to exceed 774 morning peak hour trips not yet applicableSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Canditio No. Condition Respons Ole Oision ., Resp ns0 lid] idual „. Vine . Status XIIB 2 9z Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to issuance of any certificate of occupancy for development causing net new trip generation to exceed 836 morning peak hour trips not yet applicable XIIB 2 9aa Traffic Facilities Improvements Engineering Max Paetzold 253 5622 Prior to issuance of any certificate of occupancy for development causing net new trip generation to exceed 836 morning peak hour trips In compliance due to XII B XIIB 2 9bb Traffic Facilities Improvements Engineering Max Paetzold 253 5622 SPE and the City shall use all reasonable best efforts to complete all steps necessary to expedite Caltrans review and approval of any mitigation measure within Caltrans jurisdiction in complianceSony Pictures Studios Comprehensive Plan and Memoiandum of Understanding Status Report 2003 ConchtiptiNo n o'ilitin _ _ „ _ Respcinlible Divia ti J esponsibie Individual - Time , Status I '- — XIIC (all conditions) Parking Supply Requirements Planning Sherry Jordan 253 5746 with building permits as specified in each condition and in MOU of 12/14/94 in compliance XIIC Parking for Fleet Vehicles annually SPE shall submit to the City Planner and the City Engineer a list of all fleet vehicles counted onsite at any time during each of 3 weekdays of the high activity period of the year Planning and Engineering Pam Keyes 253 5630 Annually in compliance XIID Parking Design and Layout Planning Sherry Jordan 253 5746 prior to the issuance of a building permit and as specified in each condition an in MOU of 12/14/94 in compliance XII E 1 7 Site Access and Circulation Engineering Max Paetzold 253 5622 prior to the issuance of a building permit and or issuance of any certificate of occupancy in compliance XII E8 Transportation subterranean parking Planning/Engineering Sherry Jordan 253 5746 with building permits in complianceSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condttion, a. Condition -- Responsible Diyision ReSp:onsible IndiVidual Time Status XII F 1 2 Transportation Demand Management SPE shall form a transportation management association and shall be headed by a full. time transportation coordinator Annual employee commute mode surveys shall be completed Transportation Steve Cunningham 253 6540 ongoing/ annually in compliance XII F 3 a b SPE shall designate a # of parking spaces for preferential use by carpools and vanpools and display information on ndeshare programs Planning Sherry Jordan 253 5746 when building permits are issued in compliance in compliance XII F 3 c d Where feasible transit shelters and convenient routes should be provided to serve bus stops on the streets surrounding Sony and bicycle storage facilities should be provided Transportation Steve Cunningham 253 6540 ongoing XII F4 Additional transportation management conditions including acquisition of one new 40 long transit bus to meet the increased demand from the site Transportation Steve Cunningham 253 6540 one time not yet applicableSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Condition,No Condition Responsibie'Division, itasponsibi Individeal Time Status XII F4 i SPE guarantees that in the City s fiscal year first following the date the City purchases the above described bus and for 11 fiscal years after or until the development agreement expires the annual revenue received by the City from utility sales and business taxes generated on the site shall be at least 96 000 plus an increase based upon the previous year's CPI for every year after the 1st yr Treasurer Crystal Alexander 253 5866 Annually ongoing not yet applicable in compliance XII F4 g1 SPE shall pay all fees required by the congestion management plan of the LA County MTA Transportation Steve Cunningham 253 6540 XII F4 g2 SPE shall post a financial guarantee for the purpose of guaranteeing implementation of any traffic mitigation measures Building Craig Johnson 253 5802 prior to the issuance of a building permit in compliance XII H1 and 2a Traffic Flow on local streets Engineering/ Transportation/ Building Charles Herbertson 253 5630 prior to the issuance of any certificate of occupancy for net new development on the site exceeding 150 000 sq ft not yet applicableSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 Ctinditio or, ' Condition RespbeillileiDivision-',', esponsible individual Time , Status XII H 2b Security guards at SPE should not permit pedestrians to enter SPE except at unrestricted entrances to the public retail and restaurant unless they can provide proof that they used public transit live within 1 mile of SPE gate or are dropped off by a private vehicle Code Enforcement Pamela Graves 253 5940 ongoing in compliance in compliance XII H 2c Monitor parking on residential streets Engineering Max Paetzold 253 5622 ongoing XII H 2d SPE shall pay the City costs for enforcement in the neighborhoods Treasurer Crystal Alexander 253 5866 In compliance completed requirement in 1997 completed XII 1 a b SPE shall conduct a survey of all employees arriving or scheduled to arrive between 6 10 a m to determine their commute mode and the # of people per vehicle Survey shall be in compliance with the South Coast Air Quality Management District and be presented for SPE employees only and total employees from Sony parent company subsidiary companies and tenant companies renting space at the site for 1 month or more Transportation Steve Cunningham 253 6540 Annually not in compliance staff is looking into changing the terms of the MOU to state that if SPE is in compliance wit L the AQMD requirements then SPE meets the City requirementsSony Pictures Studios Comprehensive Plan and Memorandum of Understanding Status Report 2003 ConditiOnlio Condition* -1-; : ResponsibleOnnsion Responsible Incliiiiciiialt , , Time - - Status XII 2 Annual trip generation and parking survey and annual count of all vehicles entering and leaving at each vehicular driveway of the Site Engineenng Charles Herbertson 253 5630 Annually in compliance in compliance XII 3 SPE shall conduct counts of all vehicles parked on the site during a Tuesday Wednesday and Thursday in February or another peak activity month mutually agreed upon by the City and SPE during 3 hours 11 12 non 1 30 to 2 30 pm and 400 5 00 p m During this same time SPE shall count vehicles on both sides of specific streets Engineering Charles Herbertson 253 5630 Annually XII 4 Any application for a building permit for net new development in excess of 25 000 sq ft which could result in net new trip generation shall be analyzed by the Traffic Engineer and then a report shall be issued by such individual Engineering/Building Max Paetzold 253 5622 Upon application of building permit for 25 000 sq ft of net new development on goingr - VII SONY PICTU COMPREHENSIVE ro, ERTAINMENT LOPMENT AGREEMENT Attachment No 9 ( riurnTirmituniinunrif Flinn Iri ill1111Wil/ IllUILLIrrij r ITT ni zmituur ANN EPORT SEV, 2005 The Annual Report has been prepared to show Sony Pictures Entertainment Inc s (SPE) good faith compliance vnth the Comprehensive Plan and Development Agreement The Development Agreement was executed on September 15 1993 between Culver City and SPE for development of the Sony Pictures Studios (SPS) Each reported section includes a reference to the applicable article in the Comprehensive Plan Conditions of Approvaltl o r I t. Sony P'cturas palsems gi to announce, our Annus! 2005 Public W Wing Tours of the Sony Pictures Studios Waded seumiSerd 'kite* sn, avrtable Cursor Coy resiOsnu and Nuns* semis I d Culvfn Cmy ChrObet oCOMMerial 4249 (Nyland Avenue mes we to onneauorMaellti40,44......... Nrn Womb, 13 WoOnstnr 20* OM% norm sfylwo hp. Est% mono I. irs. obaa ye. hors ...law eir.e9 ft hr. re* la yew WI Mo. cep...000 Os Imo. lorpom for aouvoron solo ro.olMonte PIA 41 tau, IMO* not Cu., tay Ownberve Om* eft. Vuo. fontell fse.lial• leols.1 COIN. 4.1plowe mom. a, y0,0 lost ...or. r.r ors we:, ws, o.ssotienme, U,, 1.96 WSW I SONT nr-nnem inmoortyprdienssuesiowoom ART IN PUBLIC PLACES + FREE MONTHLY SCREENINGS SENIOR CENTER The Senior Center continues to enjoy Sony Pictures Home Entertainment videos on loan from Sony Pictures Entertainment s (SPE) Video Library SPE provides at least one movie per month in support of the Senior Center s Movie-of-the-Week program The popular titles this year included Spanghsh," Being Julia, and Spider-Man 2 The Center also kicked off its new monthly senes, Sony Sundays, with a screening of the ever- popular A League of Their Own Pictured here are Minerva Sanchez, SPE Studio Relations, and Debbie Cahill, Senior Center Social Services Specialist Section I B, page 1 4 4' HISTORIC BUILDING DESIGNATION — COLONNADE PLAQUE In May of last year, the first historical structure plaque was unveiled at the Sony Pictures Studios (SPS) colonnade entrance, which was built in 1915 SPE has continued to work with the City on installation of plaques on SPE's histoncally designated structures Installation of these plaques has been completed except for Stage 6, which will be installed next year upon completion The studio tour guides now refer to the plaques and historical significance of each building while conducting the daily studio walking tours Section IV F , page 7 CULTURAL RESOURCES • STUDIO TOURS SPE provides 1,000 free SPS walking tour tickets to the City every fall from September through November People who live and work in Culver City are eligible for these tickets and obtain them from the Culver City Chamber of Commerce office A newly designed ad promoting the free tours appears in The Culver City News in August, September and October SPE expects to distribute all 1,000 tickets again this year Section IV G page 7, MOU 08 29 00r|1010|\ I ll Ill 11 RL1 1 01 I. ( r- l _ + SONY PICTURES ENTERTAINMENT MUSEUM The Sony Pictures Entertainment Museum web site, wvvw sonypicturesmuseum corn, averages close to 200,000 visitor hits per month The Museum Collection, Film Preservation, Studio History and Culver City sections remain popular areas of the museum Visitors who take the studio tour are also able to visit the museum web site before or after their tour by using the touch screen kiosk located in the Studio Tours Museum section of Sony Pictures Plaza A link to the web museum can also be found on the official Culver City web site Recent additions to the web museum include o A collection of histonc Culver City photos, found in the Culver City History section, o A Film Preservation section about the film noir classic, The Big Heat, showcasing four film clips before and after restoration, and, o An exciting feature in the Post Production section highlighting Sound Effects with an interactive sound tool that allows visitors to hear actual sounds as they learn how sound effects are created and used in films The Culver City museum committee, consisting of members from SPE s Studio Relations, Culver City s Redevelopment Agency, Information Technology staff and the City Historian continues to meet on a quarterly basis, with creative ideas generating from this collaboration Section IV H , page 8, MOU 4 10 02 + PARKS AND RECREATION SURVEY This annual survey, conducted in June 2005, determines SPE employees usage of Culver City s parks and recreation programs and facilities Of approximately 3,500 Culver City based SPE employees and contractors surveyed, 298 responded Less than half of the respondents indicated that they use Culver City s parks and recreation programs and facilities The complete survey results were submitted to the City in July 2005 Section VI B 1 , page 37 2''') t )1 \ 1 , I- DEVELOPMENT + STAGE 6 The exterior rehabilitation and adaptive re-use of Stage 6 is progressing according to schedule Stage 6, once a thriving stage for MGM musicals, had outlived its intended purpose and will be converted mto office and support space After receiving final approval from the Planning Commission on September 8, 2004, interior demolition of the stage began in November The interior structural work commenced in January 2005 with each concrete floor being poured in succession, the most recent being the fourth floor in August 2005 New window openings on the south and west elevations were also removed in August Occupancy of the revitalized space is anticipated in April 2006 + STAGES 7 & 8 A project is currently underway to convert a mezzanine previously used as storage space into production offices above Stages 7 and 8 The mezzanine connects the second floors of the two stages The new open office space will be accessed internally and via two external staircases Work on the Stage 8 office space has been completed and Stage 7 construction will begin in October 2005 + BACK LOT ENHANCEMENT In an effort to enhance the aesthetics and safety of the back lot, SPE has embarked on a clean-up and maintenance project Storage containers located throughout the lot were removed and their contents relocated to a storage area in the Overland Garage Stages have been newly painted featuring a striking forest green dado line, and stage doors have been repainted The Grip Department now organizes its equipment on new resurfaced floor metal shelving and a 3‘N n I H ik_ V -46 Other infrastructure enhancements include the purchase of portable electric transformers, which take the place of multiple fuel-powered generators and provide a cleaner, healthier environment when used for events, productions and rehearsals on stages Sections of both 6th and 7th Avenues had two inches of surface paving removed before being smoothly repaved with blacktop The Heidelberg building, used primarily for production offices and art department space, went through a lead abatement treatment and was stuccoed in keeping with the look of the back lot stages In addition, custom windows and an exterior metal staircase were installed These projects represent SPE s continued efforts to improve the infrastructure, aesthetics, safety and operations of the lot OPERATIONS AND INFRASTRUCTURE SPE is in compliance with all required operations and infrastructure conditions Details on the fullfillment of these requirements follow STREET TREE MAINTENANCE SPE s landscape service monitors street tree maintenance removes tree debris from the public right-of-way and provides landscaping in all publicly viewed areas The Mexican Fan Palms on Washington Boulevard were trimmed in May and other studio perimeter trees are scheduled for trimming early next year Section VG 4 c page 36 •:• INTERNAL COMBUSTION ENGINES The studio continues to properly operate and maintain its five stationary internal combustion engines in accordance with all South Coast Air Quality Management District (SCAQMD) permit conditions Section XI A 3, page 47 4111H I R. r» + PLAN REVIEW AND INSPECTION A three-party agreement was signed in October 2004 between SPE, Culver City and Elinor Aurthur establishing her as the contract planner to handle SPE s extraordinary plan review In this role, Ms Aurthur handles a variety of planning tasks related to implementation of the Sony Comprehensive Plan Section IXA , page 43 + CATCH BASINS, SEWER LINES, AND MANHOLES During the past year, all storm drains on the SPS lot were cleared of debris All sewer lines and manholes were inspected and found to be in good working order One of the few remaining original MGM manhole covers is shown here Section VIII B 4 - 5 , page 42 • HUMAN RESOURCES REPORTING The SPE Human Resources department reported that during the period of April 2004 through March 2005, a total of 1,193 individuals were employed at Sony Pictures Studios Of these, fifty-five employees are residents of Culver City and five were hired during this period Section XI.A. 7, page 48 TRANSPORTATION + TRANSPORTATION DEMAND MANAGEMENT SPE s Rideshare Program SONY PICTURES STUDIOS continues to comply with ODESHARE the South Coast Air OPERATIONS Quality Management District (SCAQMD) requirements through participation in SCAQMD s Air Quality Investment Program (AQIP) Participation in the AQIP also supports ISO 14000 (global environmental standards ) SPE supports the TDM Program with two on-site, certified Employee Transportation Coordinators (ETCs) who handle the participation in AQIP, monitor the TDM measures and oversee daily activity of the incentive-based program SPE s Parking Department assists with the distribution of incentives to RideShare participantsV 4 , 11 , 11 I 1\ k. I) ( + I i This year the RideShare Program added alternative fuel vehicles to the eligibility category Owners of these vehicles are qualified to participate in the program and receive incentives The program s Intranet web site was also revised this past year, featuring more details about procedures, eligibility and incentives In September, the program ETCs will be attending the Association for Commuter Transportation's international conference being held in Anaheim, of which SPE is a sponsor Section XII F , page 79 + TRIP GENERATION/PARKING USE The annual SPE traffic study was conducted by Crain and Associates, an independent traffic engineering company, in February of this year This study analyzes traffic volume and parking demand on the SPS lot and on neighboring streets over a five business-day period The detailed report was submitted to the City in March 2005 No concentrated peaks of traffic were discovered, signifying a low level of traffic congestion for the daily traffic generation at the studio The report also stated that the supply of parking spaces on the lot sufficiently meets the current demand and a high percentage of the neighboring street parking remains available during the day These findings confirm that sufficient measures are in place to ensure that all SPS related vehicles park on-site _ The Conditions of Approval require SPE to make traffic improvements when specific thresholds of increased traffic (or net new trips ) at the studio are attained This year s report indicates that vehicle counts at the SPS lot do not exceed current thresholds and traffic improvements are not required at this time Section XII I 2-3 , pages 92 - 93 6c I rL J I 1 .,A « SPECIAL HIGHLIGHTS Sony Pictures Entertainment believes it is important to be an active presence in the community and to practice good corporate citizenship Following are some examples of SPE s community support + SONY GLOBAL VOLUNTEER DAY On Wednesday, May 4, 150 Sony Pictures employees gathered at the Exceptional Children's Foundation (ECF) in Culver City to take part in Sony Global Volunteer Day 2005 SPE's Sony Global Volunteer Day Honorary Chair was Executive Vice President and Chief Administrative Officer Beth Berke ECF is an organization offering a continuum of program services including early start, developmental activity, residential, work training, supported employment and recreation to nearly 2,000 developmentally challenged individuals and their families each year The volunteers were divided into three teams One team worked with TreePeople to create an inviting and environmentally friendly garden for the clients of ECF to enjoy the outdoors The group planted more than forty trees, shrubs and plants The second team assisted in painting an outdoor mural and set up an outdoor cafe The mural depicted an elaborate landscape with a lake, mountains, trees, wildflowers and butterflies The third team painted the facility s cafeteria An underwater seascape mural featuring marine life was painted along one wall Many ECF clients also participated in the project, making it an extra special day for everyone involved One of the clients, Maria, who is nonverbal, signed that the mural in the cafeteria made her feel "like a mermaid"^r + RENEWAL OF $250,000 EDUCATION GRANT TO CULVER CITY In 1993, Sony Pictures Entertainment made a ten-year, $250,000 commitment to the Culver City Unified School District SPE assisted in the creation of the Culver City High School Academy of Visual and Performing Arts, offering advanced courses in theater, film and video, music, visual art and dance SPE announced in the spnng of 2005 that it would renew its commitment to the Culver City Unified School District for another ten years with an annual contribution of $25,000 This year s grant will be directed toward the efforts to revive arts education in all schools in the District as part of Los Angeles County s Blueprint for Arts Education + CHAMBER OF COMMERCE SCREENING SPE continues to support the Culver City Chamber of Commerce by hosting a special fundraiser screening In June, SPE screened Bewitched, starring Nicole Kidman, Will Ferrell, Shirley MacLame, and Michael Caine Those who attended had a rare opportunity to preview the film before it was released to the theaters and heard a few behind-the-scenes fun facts' before the screening Wardrobe and prop pieces from the film were available for guests to view This popular event was once again sold out These Chamber fundraiser screenings always become a memorable community event, with local restaurants offering discounts and specials to those who purchase tickets + THE ART OF STUDIO ARCHIVES The City invited SPE to participate in their evening series, The Art Of which celebrates the unique talents and expertise of Culver City residents and businesses In June, April Dmytrenko, SPE s Vice President of Studio I)11111. I 1\ po Relations & Information Management, spoke about the Art of Studio Archives The presentation provided a special ghmpse into SPE s Archives program, dedicated to preserving its remarkable history Cohn Greene, Manager of Archives & Collection, joined the presentation to discuss SPE s continuing preservation efforts More than 200 attendees enjoyed the archival assets that were on display and passed around during the presentation The audience was also quizzed throughout the presentation on interesting film trivia and archive facts such as How many Spider-Man suits were created for Spider-Man 2 ? (See answer below ) Posters and DVDs were given away as prizes to the lucky guessers DONATION OF VIDEO GIFTS For the third year in a row, a number of Culver City based groups became the beneficianes of video donations from SPE s Video Library This year the SPE Video Library was pleased to donate videos to the Exceptional Children s Foundation (ECF ) Tolly Fallon, ECF Development and External Relations Coordinator, seen here with Kristin Cavanaugh, SPE Studio Relations Manager, accepted the donation and noted that the ECF members would enjoy watching the new videos on their movie days (Answer 35) 94 1 Video donations were also made to the Culver City Julian Dixon Library and the Senior Center to enhance their growing libraries And SPE was honored to donate a selection of DVDs to the Culver City Police Department for a special shipment sent to troops stationed in Iraq + CULTURAL AFFAIRS GRANT Sony Pictures Entertainment has once again provided Platinum Level Sponsorship ($25,000) for the Unified Fund for cultural events taking place in Culver City The fund provides support for the Summer Sunset Music Festival, Music in the Chambers, Performing Arts Grant program, Fiesta La Ballona, Holiday Tree Lighting, after-school/teen center programs and various City and environmental programs + SONY PICTURES ENTERTAINMENT SCHOLARSHIP'S The sixth annual Sony Pictures Entertainment Teacher of The Year award honoree was Culver City High School teacher, Kristine Hatanaka Ms Hatanaka received her award on Friday, May 6 th at the 2005 Tribute to the Stars dinner, an annual event hosted by the Culver City Unified School Distnct The 2005 Sony Pictures Entertainment Scholarship, awarded to a student interested in pursuing a career in film and video, was given to Culver City High School Academy of Visual Arts and Performing Arts senior Eon Mora at a ceremony held at Robert Frost Auditorium in June This is the thirteenth year that this scholarship has been awarded + CULVER CITY HIGH SCHOOL YOUNG FILMMAKERS In June 2005, SPE hosted the premiere screening of The Sky is Falling, a short film directed by Culver City High student Eon Mora, in the Jimmy Stewart Screening Room at Sony Pictures Studios The film was shot in high definition and the screening featured high definition projection More than 400 people attended five screenings at the theater and were then treated to a reception in the courtyard The audience included students, their families and friends and Culver City Unified School District faculty and staff 10' ) I I t (ti o|109| IT + NURTURING A SPIRIT OF COMMUNITY In the spring of 2005, Sony Pictures Entertainment released Nurturing a Spirit of Community, a sixteen page, full color booklet highlighting the many ways SPE has provided support to the City of Culver City It demonstrated the importance the corporate sector plays in helping to build stronger, better communities The booklet, distributed to community members and SPE management, now appears on the Culver City web site In addition, an electronic version of the report was sent via global email to all employees at the company + SONY PICTURES ENTERTAINMENT HEALTH FAIR On June 23, SPE sponsored it s eighth annual Health Fair, featuring vendors that specialize in the health and environmental fields SPE employees always enjoy the opportunity to learn more about local health products and services to improve their well-being This year, twelve Culver City based businesses participated in the SPE Health Fair, offering a wide range of services (massage therapy, optometry, podiatry) and social and environmental awareness (American Cancer Society, American Red Cross ) CULVER CITY BOARDS/COMMITTEES Following is a list of boards and committees that SPE executives serve on and volunteer for in Culver City April Dmytrenko, Vice President, Studio Relations and Information Management • Chamber of Commerce, Board and Executive Committee + Brotman Hospital Board of Directors + Culver City Historical Society + Downtown Business Association Janice Pober, Senior Vice President, Corporate Affairs • Los Angeles County Public Library Foundation, Board (Culver City has a County library) 11+ Culver City High School Academy of Visual and Performing Arts Advisory Council + Culver City Unified School District Art Team Lance Wedegaertner, Vice President, Real Estate Administration •:* Culver Palms Family YMCA, Board of Managers C 12I IJUTtIy t trt rtll Flt rum taw inju rutin tn 177U ti irrnur 'RN SONY PICTU COMPREHENSIVE P ERTAINMt - NT OPMENT AGREEMENT Attachment No 9 The Annual Report has been prepared to show Sony Pictures Entertainment Inc s (SPE) good faith compliance with the Comprehensive Plan and Development Agreement The Development Agreement was executed on September 15 1993 between Culver City and SPE for development of the Sony Pictures Studios (SPS) Each reported section includes a reference to the applicable article in the Comprehensive Plan Conditions of ApprovalBone Pe:Aurae plecancl to announce our Annual 2005 Pubfic Walking TOura of the Sony Pictures Studios A Wed reereen. 01 &Ws are avbeabhe to Clever Clly natant' aro business people I the Coher City Chamber of COMMIIWO 4449 Oeseland Mame ma* NO WannannUtranItment. MOAT, nee Woo ent Sereame. e wawa( te Welk erne roriet MAO trwm Inttnallmma ninon anon. Was Waft In Weft own... ...rift. eseepeamo Itt shrms Oven. Fannon for mounnwma P Vw. nt Cunt Coy CW.Wrof Common Ornmw no* wm ormaeomereseena we veered CO 4a Ingtwww.nr onen nal lo mtsonnawnnewnra 0411111.1mre Mtn ntormrt UøOwn pomnett so SONY M. NI nownryndonssinkwoon. C ART IN PUBLIC PLACES FREE MONTHLY SCREENINGS SENIOR CENTER The Senior Center continues to enjoy Sony Pictures Home Entertainment videos on loan from Sony Pictures Entertainment s (SPE) Video Library SPE provides at least one movie per month in support of the Senior Center s Movie-of-the-Week program The popular titles this year included Spanghsh,' Being Julia,' and Spider-Man 2 The Center also kicked off its new monthly series, Sony Sundays, with a screening of the ever- popular "A League of Their Own Pictured here are Minerva Sanchez, SPE Studio Relations, and Debbie Cahill, Senior Center Social Services Specialist Section IB, page 1 • HISTORIC BUM-DING DESIGNATION — COLONNADE PLAQUE In May of last year, the first historical structure plaque was unveiled at the Sony Pictures Studios (SPS) colonnade entrance, which was built in 1915 SPE has continued to work with the City on installation of plaques on SPE's historically designated structures Installation of these plaques has been completed except for Stage 6, which will be installed next year upon completion The studio tour guides now refer to the plaques and historical significance of each building while conducting the daily studio walking tours Section IV F , page 7 CULTURAL RESOURCES •:* STUDIO TOURS SPE provides 1,000 free SPS walking tour tickets to the City every fall from September through November People who live and work in Culver City are eligible for these tickets and obtain them from the Culver City Chamber of Commerce office A newly designed ad promoting the free tours appears in The Culver City News in August, September and October SPE expects to distribute all 1,000 tickets again this year Section IV G page 7 MOU 08 29 00 C\I 11 pc) t • SONY PICTURES ENTERTAINMENT MUSEUM The Sony Pictures Entertainment Museum web site, www sonypicturesmuseum corn, averages close to 200,000 visitor hits per month The Museum Collection, Film Preservation, Studio History and Culver City sections remain popular areas of the museum Visitors who take the studio tour are also able to visit the museum web site before or after their tour by using the touch screen kiosk located in the Studio Tours Museum section of Sony Pictures Plaza A link to the web museum can also be found on the official Culver City web site Recent additions to the web museum include o A collection of historic Culver City photos, found in the Culver City History section, o A Film Preservation section about the film noir classic, The Big Heat, showcasing four film clips before and after restoration, and, o An exciting feature in the Post Production section highlighting Sound Effects with an interactive sound tool that allows visitors to hear actual sounds as they learn how sound effects are created and used in films The Culver City museum committee, consisting of members from SPE's Studio Relations, Culver City s Redevelopment Agency, Information Technology staff, and the City Historian, continues to meet on a quarterly basis, with creative ideas generating from this collaboration Section IV H , page 8, MOU 4 10 02 + PARKS AND RECREATION SURVEY This annual survey, conducted in June 2005, determines SPE employees usage of Culver City s parks and recreation programs and facilities Of approximately 3,500 Culver City based SPE employees and contractors surveyed, 298 responded Less than half of the respondents indicated that they use Culver City s parks and recreation programs and facilities The complete survey results were submitted to the City in July 2005 Section VI B 1 , page 37 2'-'1 e drit d l',1)() [ -, , r I r C C DEVELOPMENT • STAGE 6 The exterior rehabilitation and adaptive re-use of Stage 6 is progressing according to schedule Stage 6, once a thriving stage for MGM musicals, had outlived its intended purpose and will be converted into office and support space After receiving final approval from the Planning Commission on September 8, 2004, interior demolition of the stage began in November The interior structural work commenced in January 2005 with each concrete floor being poured in succession, the most recent being the fourth floor in August 2005 New window openings on the south and west elevations were also removed in August Occupancy of the revitalized space is anticipated in April 2006 + STAGES 7 & 8 A project is currently underway to convert a mezzanine previously used as storage space into production offices above Stages 7 and 8 The mezzanine , , connects the second floors of the two stages The new open office space will be accessed internally and via two external staircases Work on the Stage 8 office space has been completed and Stage 7 construction will begin in October 2005 - + BACK LOT ENHANCEMENT In an effort to enhance the aesthetics and safety of the back lot, SPE has embarked on a clean-up and maintenance project Storage containers located throughout the lot were removed and their contents relocated to a storage area in the Overland Garage Stages have been newly painted featunng a striking forest green dado line, and stage doors have been repainted The Grip Department now organizes its equipment on new metal shelving and a resurfaced floor 3'1( 1 1 %PI lt Other infrastructure enhancements include the purchase of portable electric transformers, which take the place of multiple fuel-powered generators and provide a cleaner, healthier environment when used for events, productions and rehearsals on stages Sections of both 6 th and 7th Avenues had two inches of surface paving removed before being smoothly repaved with blacktop The Heidelberg building, used primarily for production offices and art department space, went through a lead abatement treatment and was stuccoed in keeping with the look of the back lot stages In addition, custom windows and an extenor metal staircase were installed These projects represent SPE s continued efforts to improve the infrastructure, aesthetics, safety and operations of the lot OPERATIONS AND INFRASTRUCTURE SPE is in compliance with all required operations and infrastructure conditions Details on the fulfillment of these requirements follow + STREET TREE MAINTENANCE SPE s landscape service monitors street tree maintenance, removes tree debris from the public right-of-way and provides landscaping in all publicly viewed areas The Mexican Fan Palms on Washington Boulevard were trimmed in May and other studio perimeter trees are scheduled for trimming early next year Section VG 4 c, page 36 + INTERNAL COMBUSTION ENGINES The studio continues to properly operate and maintain its five stationary internal combustion engines in accordance with all South Coast Air Quality Management District (SCAQMD) permit conditions Section XI A 3, page 47 4C)( P + PLAN REVIEW AND INSPECTION A three-party agreement was signed in October 2004 between SPE, Culver City and Elmor Aurthur establishing her as the contract planner to handle SPE s extraordinary plan review In this role, Ms Aurthur handles a variety of planning tasks related to implementation of the Sony Comprehensive Plan Section DCA , page 43 + CATCH BASINS, SEWER LINES, AND MANHOLES During the past year, all storm drams on the SPS lot were cleared of debris All sewer lines and manholes were inspected and found to be in good working order One of the few remaining original MGM manhole covers is shown here Section VIII B 4 - 5 , page 42 + HUMAN RESOURCES REPORTING The SPE Human Resources department reported that during the period of April 2004 through March 2005, a total of 1,193 individuals were employed at Sony Pictures Studios Of these, fifty-five employees are residents of Culver City and five were hired during this period Section XIA 7, page 48 TRANSPORTATION + TRANSPORTATION DEMAND MANAGEMENT SPE s Rideshare Program continues to comply with DESHARE the South Coast Air OPERATIONS Quality Management District (SCAQMD) requirements through participation in SCAQMD s Air Quality Investment Program (AQIP) Participation in the AQIP also supports ISO 14000 (global environmental standards ) SPE supports the TDM Program with two on-site, certified Employee Transportation Coordinators (ETCs) who handle the participation in AQIP, monitor the TDM measures and oversee daily activity of the incentive-based program SPE s Parking Department assists with the distribution of incentives to RideShare participants SONY PICTURES STUDIOSI P. This year the RideShare Program added alternative fuel vehicles to the eligibility category Owners of these vehicles are qualified to participate in the program and receive incentives The program s Intranet web site was also revised this past year, featuring more details about procedures, eligibility and incentives In September, the program ETCs will be attending the Association for Commuter Transportation s international conference being held in Anaheim, of which SPE is a sponsor Section XII F , page 79 + TRIP GENERATION/PARKING USE The annual SPE traffic study was conducted by Crain and Associates, an independent traffic engineering company, in February of this year This study analyzes traffic volume and parking demand on the SPS lot and on neighboring streets over a five business-day penod The detailed report was submitted to the City in March 2005 No concentrated peaks of traffic were discovered, signifying a low level of traffic congestion for the daily traffic generation at the studio The report also stated that the supply of parking spaces on the lot sufficiently meets the current demand and a high percentage of the neighboring street parking remains available during the day These findings confirm that sufficient measures are in place to ensure that all SPS related vehicles park on-site The Conditions of Approval require SPE to make traffic improvements when specific thresholds of increased traffic (or net new trips ) at the studio are attained This year s report indicates that vehicle counts at the SPS lot do not exceed current thresholds and traffic improvements are not required at this time Section XII I 2-3 , pages 92 - 93 6\ 11 III I I:, I ) [ SPECIAL HIGHLIGHTS Sony Pictures Entertainment believes it is important to be an active presence in the community and to practice good corporate citizenship Following are some examples of SPE s community support • SONY GLOBAL VOLUNTEER DAY On Wednesday, May 4, 150 Sony Pictures employees gathered at the Exceptional Children's Foundation (ECF) in Culver City to take part in Sony Global Volunteer Day 2005 SPE's Sony Global Volunteer Day Honorary Chair was Executive Vice President and Chief Administrative Officer Beth Berke ECF is an organization offering a continuum of program services including early start, developmental activity, residential, work training, supported employment and recreation to nearly 2,000 developmentally challenged individuals and their families each year The volunteers were divided into three teams One team worked with TreePeople to create an inviting and environmentally friendly garden for the clients of ECF to enjoy the outdoors The group planted more than forty trees, shrubs and plants The second team assisted in painting an outdoor mural and set up an outdoor cafe The mural depicted an elaborate landscape with a lake, mountains, trees, wildflowers and butterflies The third team painted the facility s cafeteria An underwater seascape mural featuring marine life was painted along one wall Many ECF clients also participated in the project, making it an extra special day for everyone involved One of the clients, Maria, who is nonverbal, signed that the mural in the cafeteria made her feel "like a mermaid" 7‘111)( pl), + RENEWAL OF $250,000 EDUCATION GRANT TO CULVER CITY In 1993, Sony Pictures Entertainment made a ten-year, $250,000 commitment to the Culver City Unified School District SPE assisted in the creation of the Culver City High School Academy of Visual and Performing Arts, offering advanced courses in theater, film and video, music, visual art and dance SPE announced in the spring of 2005 that it would renew its commitment to the Culver City Unified School District for another ten years with an annual contribution of $25,000 This year's grant will be directed toward the efforts to revive arts education in all schools in the District as part of Los Angeles County s Blueprint for Arts Education + CHAMBER OF COMMERCE SCREENING SPE continues to support the Culver City Chamber of Commerce by hosting a special fundraiser screening In June, SPE screened Bewitched, starring Nicole Kidman, Will Ferrell, Shirley MacLame, and Michael Caine Those who attended had a rare opportunity to preview the film before it was released to the theaters and heard a few behind-the-scenes fun facts before the screening Wardrobe and prop pieces from the film were available for guests to view This popular event was once again sold out These Chamber fundraiser screenings always become a memorable community event, with local restaurants offering discounts and specials to those who purchase tickets THE ART OF STUDIO ARCHIVES The City invited SPE to participate in their evening series, The Art Of which celebrates the unique talents and expertise of Culver City residents and businesses In June, April Dmytrenko, SPE s Vice President of StudioI 1\(.110 Relations & Information Management, spoke about the Art of Studio Archives The presentation provided a special glimpse into SPE s Archives program, dedicated to preserving its remarkable history Cohn Greene, Manager of Archives & Collection, joined the presentation to discuss SPE s continuing preservation efforts More than 200 attendees enjoyed the archival assets that were on display and passed around during the presentation The audience was also quizzed throughout the presentation on interesting film trivia and archive facts such as How many Spider-Man suits were created for Spider-Man 2 ? (See answer below) Posters and DVDs were given away as prizes to the lucky guessers • DONATION OF VIDEO GIFTS For the third year in a row, a number of Culver City based groups became the beneficianes of video donations from SPE s Video Library This year the SPE Video Library was pleased to donate videos to the Exceptional Children s Foundation (ECF ) lolly Fallon, ECF Development and External Relations Coordinator, seen here with Kristin Cavanaugh, SPE Studio Relations Manager, accepted the donation and noted that the ECF members would enjoy watching the new videos on their movie days (Answer 35)|10 10|JVideo donations were also made to the Culver City Julian Dixon Library and the Senior Center to enhance their growing libraries And SPE was honored to donate a selection of DVDs to the Culver City Police Department for a special shipment sent to troops stationed in Iraq + CULTURAL AFFAIRS GRANT Sony Pictures Entertainment has once again provided Platinum Level Sponsorship ($25,000) for the Unified Fund for cultural events taking place in Culver City The fund provides support for the Summer Sunset Music Festival, Music in the Chambers, Performing Arts Grant program, Fiesta La Ballona, Holiday Tree Lighting, after-school/teen center programs and various City and environmental programs + SONY PICTURES ENTERTAINMENT SCHOLARSHIPS The sixth annual Sony Pictures Entertainment Teacher of The Year award honoree was Culver City High School teacher, Knstme Hatanaka Ms Hatanaka received her award on Friday, May e h at the 2005 Tribute to the Stars dinner, an annual event hosted by the Culver City Unified School District The 2005 Sony Pictures Entertainment Scholarship, awarded to a student interested in pursuing a career in film and video, was given to Culver City High School Academy of Visual Arts and Performing Arts senior Eon Mora at a ceremony held at Robert Frost Auditorium in June This is the thirteenth year that this scholarship has been awarded + CULVER CITY HIGH SCHOOL YOUNG FILMMAKERS In June 2005, SPE hosted the premiere screening of The Sky is Falling, a short film directed by Culver City High student Eon Mora, in the Jimmy Stewart Screening Room at Sony Pictures Studios The film was shot in high definition and the screening featured high definition projection More than 400 people attended five screenings at the theater and were then treated to a reception in the courtyard The audience included students, their families and friends and Culver City Unified School District faculty and staff 10• NURTURING A SPIRIT OF COMMUNITY In the spring of 2005, Sony Pictures Entertainment released Nurturing a Spirit of Community, a sixteen page, full color booklet highlighting the many ways SPE has provided support to the City of Culver City It demonstrated the importance the corporate sector plays in helping to build stronger, better communities The booklet, distributed to community members and SPE management, now appears on the Culver City web site In addition, an electronic version of the report was sent via global email to all employees at the company • SONY PICTURES ENTERTAINMENT HEALTH FAIR On June 23, SPE sponsored it s eighth annual Health Fair, featuring vendors that specialize in the health and environmental fields SPE employees always enjoy the opportunity to learn more about local health products and services to improve their well-being This year, twelve Culver City based businesses participated in the SPE Health Fair, offering a wide range of services (massage therapy, optometry, podiatry) and social and environmental awareness (American Cancer Society, American Red Cross ) ClULVER CITY BOARDS/COMMITTEES Following is a list of boards and committees that SPE executives serve on and volunteer for in Culver City April Dmytrenko, Vice President, Studio Relations and Information Management • Chamber of Commerce, Board and Executive Committee • Brotman Hospital Board of Directors • Culver City Historical Society •:• Downtown Business Association Janice Pober, Senior Vice President, Corporate Affairs • Los Angeles County Public Library Foundation, Board (Culver City has a County library) 1 1\ !ILI 1! L • Culver City High School Academy of Visual and Performing Arts Advisory Council • Culver City Unified School District Art Team Lance Wedegaertner, Vice President, Real Estate Administration •:• Culver Palms Family YMCA, Board of Managers 12