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HomeMy WebLinkAboutPL2017-29.pdfeN:t nr COMMUNITY DEVELOPMENT DIAMONDBAR CALIF O PROJECT FILE CHECKLIST Clear Form Instructions: This form is to be used when closing out project files. Please complete electronically and include this form as the cover page prior to scanning. Project Name: CUP for a Chess School/Tutoring Planning Case Number: P L2017-29 Street Address: 1155 S. Diamond Bar Blvd. Unit T 8717-031-010 APN: Lot Number: Tract Number: Parcel Map Number: Key documents to be scanned in the following order: o Planning Application o Approval / Denial Letter o Relevant Correspondence o Final Signed Resolution o Agenda and Minutes o Staff Report and Resolution (including all attachments to the staff report) o Plans a Architectural Grading Landscape Covenant W Signed Affidavit City Attorney Correspondence Digitally signed by Natalia T. Eapinoza DN: C=US. E=NEspinoza@DiamondBa GN.goNatalieT. Espinoza O=City of Diamond Bar, OU -Planning Project Manager's Signature: DIa,,: .GN=NalafieTEspi600' Date:2019.02.25lle T. E.pim 0' Date: 2/25/19 RECEIVED PIPMning Applicafion FolFtIR N -,B t 2 20H par(I rommunity osymopq)-li, DepIrli-jant 2lVM'airkWID1AMANPvPa, 'A f1785 - iIN`Ti 829-7630- wixDiamoNiBaickgov Na, -m of Prqolvted PrqN.J, C7, Li 12 A Lokqaf De-copHon of Project (Assessor a Rzlo,,o; No,!: C') L'L Address: DepopAlFee 6 1Recciptit 18V Fax Numher Phone rlijfobxv,- Diamond Bar Munildleal Code Section 22MNO statas an application fee fouro; accompany this appNontion. The application fee is ofther a flat fee or a deposit plus payrdiam of Ulu Cltys proresting coots computed on an houdy lxqialfl, It U is a deposit, the appiloant Shot! PSY any PrOOOPSing coots thet aticsod the amount of this doposf% priOrtri leslllliflan of the pernift; If preleassing Potts are loss than the deposit, a refund veill be said - Type of Review ;Requested (Please Chack Ali Applicable Boxes} D Administrative Review ;l General Plan Amendment Q Svbdtvision 1 Annexation 0 Minor Conditional Use Permit 1"] Tree Permit L) Comprer enq!ve Sign progi "un E) Minor Vadance 01 Variance 0q, Conditional Use Penytil J Planned 1 jInit Devioloprnenx Q Zone Chinos Q Development Review 0 Plot Plan Lt Zoninq Clearance Development Agreement 0 1—clitninary Review Cl Olhor_ D Development Code Ame-nd-Ment Q. Specific Plain Amendment P jet Description Datafled Deswridon cf PMoO$Od ProJect IAttich Adftonal Sheers if r1ecessaryl It- Owner .Certification t certify mat j am Ismsooliy the regal owner of the *bOvc-dCscn.0Iid P, peq, Fud, or. i aaawiviedim the Rfiog of ff)i* alorli"'Mon and Iwiffy 1.1W Y ofaher. above infernatiM JS loje Zino Win, ('if the undersigned ir d*Mnt fmn for, tegelp,opeor oivmr. a Telfer Owner Dale: Data, L tSfr rratinc i, 7 Pqrif Name and 10 u. 0 Page 1 c 2 4 UtPlanning Division APplication Form Part 2 offmmrNryDevelownenlDepartment - 21810 Copley Drive -Diamond Bar. CA 91765 (901p 939-7030 - v vw,Dierr gENERAL.REQUIREMENTS (Print or. Type) PrPiecl tocaaon. 1 Staff Use Only Lm Case Na. APPlicaA <1 1 Contact Person: COncunV ni Case N0. 41 ") (-. Address: L 111VPhonyNumber, Fix - r-=- C Myall Atltlress, Additional Contact Person: (Plesse qxe jfy name, cemeeny, lirlel Adores: l CLn; Legal Property Ownec ' lbItrh •XA 841E ec«h 4..ea. Ari r. rrcZr e. y',tf,G c.tsr f1W -7 Phone Number: Fax: E -Mail Address Y— f G Nie SrSs Yt,1 l/30 77'f T /t'.ns' /i°v0ae2yr Architect. Address: -- Phone Number Fax: I E -Mail AtldresS: Engineer. Adores. -- Phone Number Fax. E -Mail Address, Landscape Archltect. Addrass: E -Mail Atl Phone Number: tlress CominDav/APPlNnl(mmAPPVUIv!orm Apcfoadon-lrpdaled 7t14*012 Pape 2 of 61 111,1e111 1111310 Planning Division Development Summary Table Non - Residential Project Community Development Department — 21810 Copley Drive •- Diamond Bar, CA 917135 — (909) 839-7030— w.» v.DiamondBarCA.gov Pt oject•Area Gross Acres: Area Distribution (lased on Not Area) Aeres!$q. Ft. % of Mei Area Building Coverage Landscape Coverage Vehicular Coverage (Including Parking) Floor Area Distribution by Proposed Wse (Based on Net Area) Area of Building Pad No. of Stories Gross Floor Area (sq. ft.) Proposed Use I'D 17 Abon iYZIO Parking: (Calculata Each Use Within Building Separately) Type of Use Parking Ratio of Spaces Required of Spaces Provided 113 UIE -DTS s31,o 1155 tea kbDX 9N a5 iia l.N 15 Totals: ComDav6landcut Applicaliom/Final AppfiWions/Dev Summary THM09--Updated U1312014 MM06\roperties INC. Phone 562-430-4545 Fax: 562-430-7799 PROPERTY MANAGEMENT CONTRACT AGREEMENT made this -3`d -day of August, 20111 by and between KENSKI PROPERTIES INC. (herein called "Agent") , and DEBORAH DRUCKER (herein called "Owner"): WITNESSETH IN CONSIDERATION of the mutual promises and covenants herein contained, Owner and Agent agree as follows: Owner hereby appoints and employs Agent as the sole and exclusive managing and renting agent of Owner's premises, located at 1155 S. Diamond Bar Boulevard Diamond Bar, Ca. 91765 for the period from to Thereafter, this Agreement shall continue in effect from year to year unless and until terminated as hereinafter provided. Either party may terminate this Agreement at any time by giving notice in writing of intention to terminate at least thirty (30) days prior to date of intended termination. Upon breach or termination of this agreement, all monies due Agent shall become immediately due and payable, Agent hereby accepts such appointment and employment for and in consideration of the compensation hereinafter provided, and agrees to use its best efforts in managing and keeping said premises rented to desirable tenants. Owner hereby authorizes Agent to perform the following in the name of, for the account of, and at the expense of, and with the approval of Owner: A. Execute all leases, renewals or extensions or agreement for the rental, occupancy, or operation of said premises, or any part thereof; B. Institute all legal actions or proceedings for the collection of rent or other amounts from said premises, or the ousting or dispossessing of tenants or other persons therefrom, can engage attorneys for any such matters; C. Hire, promote, discharge and supervise contractors as Agent may determine advisable to be contracted in the care, management or operation of said premises. It is understood and agreed that all such contractors are under contract with owner solely, and that Agent is in no way liable to such contractors for their wages or other compensation nor to owner or others for any action or omission on the part of such contractors; Owner reserves the right to require Agent to use contractorsfromOwner's approved list. D. Make or cause to be made all repairs, replacements, alterations, additions, improvements and decorations in and to said premises as Agent may determine advisable. The expense incurred for any one item of same shall not exceed the sum of $500.00 (Five hundred dollars) unless authorized by Owner, except under such circumstances as Agent shall deem to be an emergency; E. Purchase all supplies and materials as Agent may determine advisable; F. Make all contracts for electricity, gas, fuel, steam, water, telephone, window cleaning, rubbish removal, exterminating, equipment maintenance, and other services, or such of them as Agent shall deem advisable; Owner reserves the right to require Owner's approval on said contracts; G. Subject to Owner's approval, advertise said premises or portions thereof, prepare and secure signs, plans, circular matter and other forms of advertising. 4. Agent shall render to Owner a monthly statement of receipts and disbursements, budget, rent rolls, and other reports as discussed with Owner. a A. All monies furnished by owner as working funds and all monies received by Agent for or on behalf of Owner shall be deposited by Agent in a bank mutually approved by owner and Agent in account(s) maintained by Agent and not mingled with the funds of Agent, and shall be disbursed by Agent in such amounts and at such times as the same are required to pay for obligations, liabilities, costs, expenses and fees (including, without limitation, the compensation of Agent as hereinafter provided) arising on account of or in connection with this Agreement. B. Owner shall pay all obligations, liabilities, costs, expenses and fees arising on account of or in connection with this Agreement. C. Owner shall reimburse Agent promptly for any monies which Agent may elect to advance for the account of Owner. Nothing herein contained, however, shall be construed to obligate Agent to make any such advances. D. Agent shall pay from such account(s) interest or amortization on mortgages, taxes or assessments unless owner, in writing, directs Agent otherwise. 6. Agent is clothed with such other general authority and powers as may be necessary or advisable to carry out the intent of this Agreement. 7. Owner agrees to comply with all statutes, ordinances, laws, rules and orders of any federal, state or local government or department of officer thereof having jurisdiction in said premises respecting the use, operation or construction thereof, as well as with all orders and requirements of the local Board of Fire Underwriters or any other body exercising similar functions, Q A. Owner agrees to indemnify and hold and save Agent free and harmless from any and all damages or injuries to person or property, or claims, action, obligations, Aug U8 11 12:57p Randall Nesbi 94 51815 p.1 or shown said premises during the term hereof with respect to any lease, in the event of constmmration thereof, regardless of by whom such consummation is effected Owner shall pay to Agent a commission. 13. All notices to be given hereunder shall be-ia writin es cer6£ted—aril, return receipt requested, postage prepaid, addressed to owner at or to such other addresses as may from time to time be given as provided in this Paragraph 13. Any notice mailed as herein provided shall be deemed and treated to have been received on the date of mailing. 14. Agent is not and never shall be liable to any creditor of Owner or to any claimant against the property of Owner. Nothing contained in this Agreement shall constitute or be construed to be or create a partnership or joint venture between Owner and Agent. This Agreement shall be binding upon the parties hereto, their heirs, legal representatives, successors and assigns, and may not be changed orally but only by a writing signed by the party to be changed thereby. IN WITNESS WHEREOF the parties hereto have executed this Agreement the day and year first above written. OWNER: AGENT: DEBORAH DRUCKE KENSKI PROPERTIES, INC. By: Linda Kenski, President Date: /a U// Date: 2t — z — /r P r o p e r t 1 e s, I n C . Phone1562) 430-4545 Fax (562) 430-7799 F,mail: kenskiproperties@verizon.net August 15, 2011 AMENDMENT TO THAT PROPERTY MANAGEMENT CONTRACT' Dated August 3, 2011 by and between Kenski Properties, Inc., AGENT And Deborah Drucker, OWNER: The above referenced Contract shall be amended as follows: 1. Owner shall be known as "Diamond Bar Town Center, LLC" 2. Period of contract shall commence September 6, 2011 3. All other terms and conditions shall remain the same. Approved by: Owner: Diamond Bar Town Center, LLC By:, Deborah Drucker Date: 9114 /// Agent: Kenski Properties, Inc. By: Linda 6621 E. Pacific Coast Highway Suite 270 Long Beach, Ca. 90803 r This page is part of your document • DO NOT DISCARD 03 2557005 RECORDEDIFILEO IN OFFICIAL RECORDS RECORDER'S OFFICE LOS ANGELES COUNTY CALIFORNIA SEP 03 2003 AT 8 A.M. TITLE(S) : lzz:_l-0 G FEE D.T.T FEE $ T --O} J CODE 20 CODE 19 CODE 9 Assessor's Identification Number (AIN) To be completed by Examiner OR Title Company in black ink. t 0, - 010 THIS FORM NOT TO BE DUPLICATED NO Number of Parcels Shown o04 Non -Order Search Page 1 of 4 Requested By: jenny.hong, Printed: 111 0/201 7 4:35 PM Doc: CALOSA:2003 02557005 913/03 ,3 A,R.O." 8f/17-031-010 Grant Deed - continued File No.: VOX -988355 (ps) Date: 08/13/2003 A non-exclusive easements over the common area of Parcel 1 of Parcel Map 16890, as per map filed in Book 180 Pages 74 and 75 of Parcel Maps, in the office of the county recorder of said county, for parking vehides, vehicular and pedestrian traffic and incidental purposes, as contained In a document entitled Reciprocal Easement Agreement recorded December 4, 1985 as Instrument No. 85-1428475 of Official Records. Parcel C: A non-exdusive easement over the parking areas, driveways and service areas within the common area of Parcel 3 of Parcel Map 16890, as per map filed In Book 280 Pages 74 and 75 of Parcel Maps, In the office of the county recorder of said county, for the purposes of unobstructed pedestrian and vehicular use and passage and parking of motor vehicles, as contained In a document entitled Reciprocal Easement and Development Agreement, recorded March 26, 1986 as Instrument No. 86- 372095 of Official Records. Parcel D- A non-exclusive easement over the parking areas, driveways and service areas within the common area of Parcel 2 of Parcel Map 17337, as per map flied in Book 186 Pages 43 and 44 of Parcel Maps, In the office of the county recorder of said county, for the purpose of unobstructed pedestrian and vehicular use and passage and parking of motor vehicles and utilities as contained in a document entitled Declaration of Covenants, Conditions and Restrictions and Grant of Easement recorded 3une 6, 1986 as Instrument No. 86-711603 of Official Records, Dated: _ _0811312003 Page 2 o 3 03 2557005 Non -Order Search Page 3 of 4 Requested By: jenny. thong, Printed: 1110/20 1 7 4:35 PM Doc: CALOSA:2003 02557005 v 7 UI 3 C/) Q Q CL 7 Q cw O co C w p a 3 M S 0O N N o n o C N N c o A v 7 UI 3 C/) Q Q CL 7 Q cw O co C w p a 3 M S AIR COMMERCIAL REAL ESTATE ASSOCIATION STANDARD RETAIL/MULTI-TENANT LEASE - NET 1. Basic Provisions ("Basic Provisions"). 1.1 Parties: This Lease (Lease"), dated for reference purposes only March 11, 2016 is made by and between Diamond Bar Town Center. LLC 'Lessor") and Shiile Chen cleat Wing Chess Academy ("Lessee") (collectively the "Parties% or individually a Party'). 1.2 Premises: That certain portion of the Shopping Center (as defined below), including all improvements therein or to be provided by Lessor under the terms of this Lease, commonly known by the street address of 1155 S. Diamond Bar Blvd., #T located in the City of Diamond Bar, County of Los Angeles in the State of California with zip code 91765, as outlined on Exhibit _ and generally described as (describe briefly the nature of the Premises): apx. 675 sq. ft. of retail space. In addition to Lessee's rights to use and occupy the Premises as hereinafter specified, Lessee shall have non-exclusive rights to the Common Areas (as defined in Paragraph 2.7 below) as hereinafter specified, but shall not have any rights to the roof, exterior walls or Utility raceways of the building containing the Premises ("Building") or to any other buildings in the Shopping Center. The Premises and the Building are situated within the Shopping Center known as Diamond Bar Town Center. The Premises, the Building, the Common Areas and all other buildings and improvements within said Shopping Center, together with the land upon which they are located, are herein collectively referred to as the "Shopping Center." (See also Paragraph 2) 1.3 Term: Three years and two weeks commencing May 15, 2016 ("Commencement Date") and ending May 31, 2019 Expiration Date"). (See also Paragraph 3) 1.4 Early Possession: Upon full execution of the lease free of Base Rent ("Early Possession Date"). (See also Paragraphs 3.2 and 3.3) 1.5 Base Rent: $1181.25 per month ("Base Rent"), payable on the First day of each month commencing May 15, 2016 If this box is checked, there are provisions in this Lease for the Base Rent to be adjusted. 1.6 Percentage Rent Rate: NIA percent (,%) of Gross Sales. Percentage Rent shall be due and payable in accordance with the provisions of the Percentage Rent Addendum, If any, attached hereto and made a part hereof, and Paragraph 4 hereof. 1.7 Lessee's Share of Common Area Operating Expenses: Three point eleven percent 3.11%) Notwithstanding 1.8 Merchants' Association Annual Dues: $N/A per year ("Merchants' Association Dues"). Lessee shall pay Merchants' Association Dues and/or become a member of the Merchants' Association In accordance with the provisions of the Merchants' Association Addendum, if any, attached hereto. - 1.9 Base Rent and Other Monies Paid Upon Execution: a) Base Rent: $1181.25 for the period First Full Month. b) Common Area Operating Expenses: included in Paragraph 1.9(e) c) Security Deposit: $5080 ("Security Deposit"). (See also Paragraph 5) d) Merchants' Association Dues: $N/A for the period N/A. e) Other: $449 for NNN charges commencing on the date of Lessee's execution of lease agreement M Total Due Upon Execution of this Lease: $8701.25. 1.10 Agreed Use: After School Chess Program (See also Paragraph 6) 1 11 Agreed Trade Name: Wing Chess Academy (See also Paragraph 6) 1.12 Insuring Party. Lessor is the "Insuring Party". (See also Paragraph 8) 1.13 Real Estate Brokers: (See also Paragraph 15) a) Representation: The following real estate brokers (the "Brokers") and brokerage relationships exist in this transaction check applicable boxes): David Pal Commercial: David Pal represents Lessor exclusively ("Lessors Broker'): NAI Capital Inc.. Jenny Eng represents Lessee exclusively ("Lessee's Broker'); or represents both Lessor and Lessee ("Dual Agency"). b) Payment to Brokers: Upon execution and delivery of this Lease by both Parties, Lessor shall pay to the Brokers the brokerage fee agreed to in a separate written agreement (or if there is no such agreement, the sum of _ or _% of the total Base Rent) for the brokerage services rendered by the Brokers. 1.14 Guarantor. The obligations of the Lessee under this Lease are to be guaranteed by NIA ("Guarantor"). (See also Paragraph 37) 1.15 Attachments. Attached hereto are the following, all of which constitute a part of this Lease: an addendum consisting of Paragraphs 52 through 60; a site plan marked Exhibit ,depicting the Premises; Ela site plan marked Exhibit _, depicting the Shopping Center; a current set of Rules and Regulations for the Shopping Center; Exhibit C a current set of the Sign Criteria for the Shopping Center; Exhibit B Page 1 Initials Initials 9)2003 - AIR COMMERCIAL REAL. ESTATE ASSOCIATION FORM RMTN-1-5/05E requirement for such Capital Expenditure, or (ii) complete such Capital Expenditure at its own expense. Lessee shall not have any right to terminate this Lease. 2.4 Acknowledgements. Lessee acknowledges that: (a) it has been advised by Lessor and/or Brokers to satisfy itself with respect to the condition of the Premises (including but not limited to the electrical, HVAC and fire sprinkler systems, security, environmental aspects, and compliance with Applicable Requirements and the Americans with Disabilities Act), and their suitability for Lessee's intended use, (b) Lessee has made such investigation as it deems necessary with reference to such matters and assumes all responsibility therefor as the same relate to its occupancy of the Premises, and (c) neither Lessor, Lessor's agents, nor Brokers have made any oral or written representations or warranties with respect to said matters other than as set forth in this Lease, In addition, Lessor acknowledges that: (1) Brokers have made no representations, promises or warranties concerning Lessee's ability to honor the Lease or suitability to occupy the Premises, and (it) it is Lessor's sole responsibility to investigate the financial capability and/or suitability of all proposed tenants. 2.5 Lessee as Prior Owner/Occupant. The warranties made by Lessor in Paragraph 2 shall be of no force or effect if immediately prior to the Start Date Lessee was the owner or occupant of the Premises. in such event, Lessee shall be responsible for any necessary corrective work. 2.6 Vehicle Parking. Lessee shall not use and shall not permit its employees to use any parking spaces in the Shopping Center except for parking by vehicles that are no larger than full-size passenger automobiles or pick-up trucks, herein called "Permitted Size Vehicles." Lessee shall permit its employees to only occupy those parking spaces, if any, as depicted as employee parking spaces on the Shopping Center site plan. Lessor may regulate the loading and unloading of vehicles by adopting Rules and Regulations as provided in Paragraph 2.9. No vehicles other than Permitted Size Vehicles may be parked in the Common Area without the prior written permission of Lessor, In addition: a) Lessee shall not permit or allow any vehicles that belong to or are controlled by Lessee or Lessee's employees, suppliers, shippers, contractors or invitees to be loaded, unloaded, or parked in areas other than those designated by Lessor for such activities. b) Lessee shall not service or store any vehicles in the Common Areas. c) If Lessee permits or allows any of the prohibited activities described in this Paragraph 2.6, then Lessor shall have the right, without notice, in addition to such other rights and remedies that it may have, to remove or tow away the vehicle involved and charge the cost to Lessee, which cost shall be immediately payable upon demand by Lessor. 2.7 Common Areas - Definition. The term "Common Areas' is defined as all areas and facilities outside the Premises and within the exterior boundary line of the Shopping Center and interior utility raceways and installations within the Premises that are provided and designated by the Lessor from time to time for the general non-exclusive use of Lessor, Lessee and other tenants of the Shopping Center and their respective employees, suppliers, shippers, customers, contractors and invitees, including parking areas, loading and unloading areas, trash areas, roadways, walkways, driveways and landscaped areas. 2.8 Common Areas - Lessee's Rights. Lessor grants to Lessee for the benefit of Lessee and Its employees, suppliers, shippers, contractors, customers and invitees, during the term of this Lease, the non-exclusive right to use, in common with others entitled to such use, the Common Areas as they exist from time to time, subject to any rights, powers, and privileges reserved by Lessor under the terms hereof or under the terms of any rules and regulations or restrictions governing the use of the Shopping Center. Under no circumstances shall the tight herein granted to use the Common Areas be deemed to include the right to store any property, temporarily or permanently, in the Common Areas, nor the right to display merchandise or conduct sales in the Common Areas. Any such storage, display or sales shall be permitted only by the prior written consent of Lessor or Lessors designated agent, as exercised in Lessor's sole discretion, which consent may be revoked at any time. In the event that any unauthorized storage or displays shall occur then Lessor shall have the right, without notice, in addition to such other rights and remedies that it may have, to remove the property and charge the cost to Lessee, which cost shall be immediately payable upon demand by Lessor. 2.9 Common Areas - Rules and Regulations. Lessor or such other person(s) as Lessor may appoint shall have the exclusive control and management of the Common Areas and shall have the right, from time to time, to establish, modify, amend and enforce reasonable rules and regulations ("Rules and Regulations') for the management, safety, rare, and cleanliness of the grounds, the parking and unloading of vehicles and the preservation of good order, as well as for the convenience of other occupants or tenants of the Building and the Shopping Center and their Invitees. Lessee agrees to abide by and conform to all such Rules and Regulations, and shall use its best efforts to cause its employees, suppliers, shippers, customers, contractors and invitees to so abide and conform. Lessor shall not be responsible to Lessee for the non-compliance with said Rules and Regulations by other tenants of the Project. 2.20 Common Areas - Changes. Lessor shall have the right, in Lessors sole discretion, from time to time: a) To make changes or additions to the Common Areas, including, without limitation, changes in the location, size, shape and number of driveways, entrances, parking spaces, parking areas, loading and unloading areas, ingress, egress, direction of traffic, elevations, landscaped areas, signage, walkways and utility raceways; b) To use and close temporarily any of the Common Areas for the purpose of maintaining, repairing and altering the Shopping Center, so long as reasonable access to the Premises remains available, and to close temporarily any of the Common Areas to whatever extent is required in the opinion of Lessors counsel to prevent a dedication of or the accrual of any rights of any persons or of the public to any of the Common Areas; C) To designate other land outside the boundaries of the Shopping Center to be a part of the Common Areas or to be entitled to use the Common Areas on a reciprocal basis; d) To add additional buildings and improvements to the Common Areas; and e) To do and perform such other acts and make such other changes in, to or with respect to the Common Areas and Shopping Center as Lessor may, in the exercise of sound business judgment, deem to be appropriate. Page 3 Initials Initials 02003 - AIR COMMERCIAL. REAL ESTATE ASSOCIATIO14 FORM RMTN-1.5/05E separately metered. ( it) The cost of water, gas, electricity and telephone to service the Common Areas and any utilities not iii) Trash disposal, pest control services, property management (including, but not be limited to, a property management fee to Lessor equal to 5% of Base Rent and Percentage Rent, security services, and the costs of any environmental inspections. iv) Reserves set aside for equipment, maintenance, repair and replacement of Common Areas. v) Real Property Taxes (as defined in Paragraph 10). vi) The cost of the premiums for the insurance maintained by Lessor pursuant to Paragraph 8. vii) Any deductible portion of an insured loss concerning the Building or the Common Areas. viii) Auditors', accountants' and attorneys' fees and costs related to the operation of the Shopping Center. ix) The cost of any capital improvement to the Building or the Shopping Center not covered under the provisions of Paragraph 2.3; provided, however, that Lessor shall allocate cost of any such capital improvement over a 12 year period and Lessee shall not be required to pay more than Lessee's Share of 1/144th of the cost of such capital improvements in any given month. x) Any other services to be provided by Lessor that are stated elsewhere in this Lease to be a Common Area Operating Expense. b) If Lessor determines that the method of proration of any item Included within Common Area Operating Expenses is inequitable, Lessor may prorate such Item on the basis of usage or other equitable considerations. Any Common Area Operating Expenses and Real Property Taxes that are specifically attributable to the Premises, the Building or to any other premises or building in the Shopping Center or to the operation, repair and maintenance thereof shall be allocated entirely to such premises or building. However, any Common Area Operating Expenses and Real Property Taxes that are not specifically attributable to any premises or building or to the operation, repair and maintenance thereof shall be equitably allocated by Lessor to all buildings in the Shopping Center. c) The inclusion of the improvements, facilities and services set forth in Subparagraph 4.2(a) shall not be deemed to impose an obligation upon Lessor to either have said improvements or facilities or to provide those services unless the Shopping Center already has the same, Lessor already provides the services, or Lessor has agreed elsewhere in this Lease to provide the same or some of them. d) Lessee's Share of Common Area Operating Expenses is payable monthly on the same day as the Base Rent is due hereunder, The amount of such payments shall be based on Lessor's estimate of the annual Common Area Operating Expenses. Within 60 days after written request (but not more than once each year) Lessor shall deliver to Lessee a reasonably detailed statement showing Lessee's Share of the actual Common Area Operating Expenses incurred during the preceding year. If Lessee's payments during such year exceed Lessee's Share, Lessor shall credit the amount of such over -payment against Lessee's future payments. If Lessee's payments during such yearwere less than Lessee's Share, Lessee shall pay to Lessor the amount of the deficiency within 10 days after delivery by Lessor to Lessee of the statement. e) If there are one or more Major Tenants (as hereinafter defined) within the Shopping Center, then at Lessor's sole option, the amount to be reimbursed by such Major Tenants to Lessor for all or a portion of the Common Area Operating Expenses may be determined by alternative equitable methods (e.g., a Major Tenant may pay directly for its own security), and the actual amount paid by such Major Tenants shall be credited against the Common Area Operating Expenses allocated to other tenants of the Shopping Center; provided, however, that in such event the rentable area of the buildings leased to such Major Tenants shall be excluded from the rentable area of the Shopping Center for purposes of determining Lessee's Share of Common Area Operating Expenses for those specific items, notwithstanding the percentage set forth in Paragraph 1.7. As used herein, the term "Major Tenant" shall mean a tenant leasing at least 15,000 square feet of rentable area within the Shopping Center. f) Common Area Operating Expenses shall not include any expenses paid by any tenant directly to third parties, or as to which Lessor is otherwise reimbursed by any third. party, other tenant; or insurance proceeds. 4.3 Payment. Lessee shall cause payment of Rent to be received by Lessor in lawful money of the United States, without offset or deduction (except as specifically permitted in this Lease), on or before the day on which it is due. All monetary amounts shall be rounded to the nearest whole dollar. In the event that any Invoice prepared by Lessor is inaccurate such inaccuracy shall not constitute a waiver and Lessee shall be obligated to pay the amount set forth in this Lease. Rent for any period during the term hereof which is for less than one full calendar month shall be prorated based upon the actual number of days of said month. Payment of Rent shall be made to Lessor at its address stated herein or to such other persons or place as Lessor may from time to time designate in writing. Acceptance of a payment which is less than the amount then due shall not be a waiver of Lessors rights to the balance of such Rent, regardless of Lessor's endorsement of any check so stating. In the event that any check, draft, or other instrument of payment given by Lessee to Lessor is dishonored for any reason, Lessee agrees to pay to Lessor the sum of $25 in addition to any Late Charge and Lessor, at its option, may require all future Rent be paid by cashiers check. Payments will be applied first to accrued late charges and attorney's fees, second to accrued interest, then to Base Rent and Common Area Operating Expenses, and any remaining amount to any other outstanding charges or costs. 5. Security Deposit. Lessee shall deposit with Lessor upon execution hereof the Security Deposit as security for Lessee's faithful performance of its obligations under this Lease. If Lessee fails to pay Rent, or otherwise Defaults under this Lease, Lessor may use, apply or retain all or any portion of said Security Deposit for the payment of any amount due already due Lessor, for Rents which will be due in the future, and/ or to reimburse or compensate Lessor for any liability, expense, loss or damage which Lessor may suffer or incur by reason thereof. If Lessor uses or applies all or any portion of the Security Deposit, Lessee shall within 10 days after written request therefor deposit monies with Lessor sufficient to restore said Security Deposit to the full amount required by this Lease. If the i Page 6 Initials Initials 02003 - AIR COMMERCIAL REAL ESTATE ASSOCIATION FORM RMTN-1-5/05E to which any Applicable Requirements requires that a notice be given to persons entering or occupying the Premises or neighboring properties Notwithstanding the foregoing, Lessee may use any ordinary and customary materials reasonably required to be used in the normal course of the Agreed Use, ordinary office supplies (copier toner, liquid paper, glue, etc.) and common household cleaning materials, so long as such use is in compliance with all Applicable Requirements, is not a Reportable Use, and does not expose the Premises or neighboring property to any meaningful risk of contamination or damage or expose Lessor to any liability therefor. In addition, Lessor may condition its consent to any Reportable Use upon receiving such additional assurances as Lessor reasonably deems necessary to protect itself, the public, the Premises and/or the environment against damage, contamination, injury and/or liability, including, but not limited to, the Installation (and removal on or before Lease expiration or termination) of protective modifications (such as concrete encasements) and/or increasing the Security Deposit. b) Duty to Inform Lessor. If Lessee knows, or has reasonable cause to believe, that a Hazardous Substance has come to be located in, on, under or about the Premises, other than as previously consented to by Lessor, Lessee shall immediately give written notice of such fact to Lessor, and provide Lessor with a copy of any report, notice, claim or other documentation which it has concerning the presence of such Hazardous Substance. c) Lessee Remedlation. Lessee shall not cause or permit any Hazardous Substance to be spilled or released in, on, under, or about the Premises (including through the plumbing or sanitary sewer system) and shall promptly, at Lessee's expense, comply with all Applicable Requirements and take all investigatory and/or remedial action reasonably recommended, whether or not formally ordered or required, for the cleanup of any contamination of, and for the maintenance, security and/or monitoring of the Premises or neighboring properties, that was caused or materially contributed to by Lessee, or pertaining to or involving any Hazardous Substance brought onto the Premises during the term of this Lease, by or for Lessee, or any third party. d) Lessee Indemnification. Lessee shall indemnify, defend and hold Lessor, its agents, employees, lenders and ground lessor, if any, harmless from and against any and all loss of rents and/or damages, liabilities, judgments, claims, expenses, penalties, and attorneys' and consultants' fees arising out of or involving any Hazardous Substance brought onto the Premises by or for Lessee, or any third party (provided, however, that Lessee shall have no liability under this Lease with respect to underground migration of any Hazardous Substance under the Premises from areas outside of the Shopping Center not caused or contributed to by Lessee). Lessee's obligations shall include, but not be limited to, the effects of any contamination or injury to person, property or the environment created or suffered by Lessee, and the cost of investigation, removal, remediation, restoration and/or abatement, and shall survive the expiration or termination of this Lease. No termination, cancellation or release agreement entered into by Lessor and Lessee shall release Lessee from its obligations under this Lease with respect to Hazardous Substances, unless specifically so agreed by Lessor in writing at the time of such agreement. e) Lessor Indemnification. Lessor and its successors and assigns shall indemnify, defend, reimburse and hold Lessee, its employees and lenders, harmless from and against any and all environmental damages, including the cost of remediation, which are suffered as a direct result of Hazardous Substances on the Premises prior to Lessee taking possession or which are caused by the gross negligence or willful misconduct of Lessor, its agents or employees. Lessor's obligations, as and when required by the Applicable Requirements, shall include, but not be limited to, the cost of investigation, removal, remediation, restoration and/or abatement, and shall survive the expiration or termination of this Lease. f) Investigations and Remedlations. Lessor shall retain the responsibility and pay for any Investigations or remediation measures required by governmental entities having jurisdiction with respect to the existence of Hazardous Substances on the Premises prior to Lessee taking possession, unless such remediation measure is required as a result of Lessee's use (including Alterations", as defined in paragraph 7.3(a) below) of the Premises, in which event Lessee shall be responsible for such payment. Lessee shall cooperate fully in any such activities at the request of Lessor, including allowing Lessor and Lessor's agents to have reasonable access to the Premises at reasonable times in order to carry out Lessor's investigative and remedial responsibilities. g) Lessor Termination Option. If a Hazardous Substance Condition (see Paragraph 9.1(a)) occurs during the term of this Lease, unless Lessee is legally responsible therefor (in which case Lessee shall make the investigation and remediation thereof required by the Applicable Requirements and this Lease shall continue in PoII force and effect, but subject to Lessor's rights under Paragraph 62(d) and Paragraph 13), Lessor may, at Lassur's option, either (1) investigate and remediate such Hazardous Substance Condition, if required, as soon as reasonably possible at Lessors expense, in which event this Lease shall continue in full force and effect, or (it) if the estimated cost to remediate such condition exceeds 12 times the then monthly Base Rent or $100,000, whichever is greater, give written notice to Lessee, within 30 days after receipt by Lessor of knowledge of the occurrence of such Hazardous Substance Condition, of Lessors desire to terminate this Lease as of the date 60 days following the date of such notice. In the event Lessor elects to give a termination notice, Lessee may, within 10 days thereafter, give written notice to Lessor of Lessee's commitment to pay the amount by which the cost of the remediation of such Hazardous Substance Condition exceeds an amount equal to 12 times the then monthly Base Rent or $100,000, whichever is greater. Lessee shall provide Lessor with said funds or satisfactory assurance thereof within 30 days following such commitment. In such event, this Lease shall continue in full force and effect, and Lessor shall proceed to make such remediation as soon as reasonably possible after the required funds are available. If Lessee does not give such notice and provide the required funds or assurance thereof within the time provided, this Lease shall terminate as of the date specified in Lessor's notice of termination. 6.3 Lessee's Compliance with Applicable Requirements. Except as otherwise provided in this Lease, Lessee shall, at Lessee's sole expense, fully, diligently and in a timely manner, materially comply with all Applicable Requirements, the requirements of any applicable fire insurance underwriter or rating bureau, and the recommendations of Lessors engineers and/or consultants which relate in any manner to such Requirements, without regard to whether said Requirements are now in effect or become effective after the Start Date. Lessee shall, within 10 days after receipt of Lessors written request, provide Lessor with copies of all permits and other documents, and other information evidencing Lessee's compliance with any Applicable Requirements specified by Lessor, and shall i dia tely upon receipt, notify Lessor in writing (with copies of any documents involved) of any threatened or actual claim,notice, 06 Page 7 Initials Initials Ct2003- AtR COMMERCIAL REAL ESTATE ASSOCIATION FORM RMTN-I-5/05E cost thereof during this Lease as extended does not exceed a sum equal to 3 month's Base Rent in the aggregate or a sum equal to one month's Base Rent in any one year, Notwithstanding the foregoing, Lessee shall not make or permit any roof penetrations and/or install anything on the roof without the prior written approval of Lessor, Lessor may, as a precondition to granting such approval, require Lessee to utilize a contractor chosen and/or approved by Lessor, Any Alterations or Utility Installations that Lessee shall desire to make and which require the consent of the Lessor shall be presented to Lessor in written form with detailed plans. Consent shall be deemed conditioned upon Lessee's: (i) acquiring all applicable governmental permits, (ii) furnishing Lessor with copies of both the permits and the plans and specifications prior to commencement of the work, and (iii) compliance with all conditions of said permits and other Applicable Requirements in a prompt and expeditious manner. Any Alterations or Utility Installations shall be performed in a workmanlike manner with good and sufficient materials. Lessee shall promptly upon completion furnish Lessor with as -built plans and specifications. For work which costs an amount in excess of one month's Base Rent, Lessor may condition its consent upon Lessee providing a lien and completion bond in an amount equal to 150% of the estimated cost of such Alteration or Utility Installation and/or upon Lessee's posting an additional Security Deposit with Lessor c) Liens; Bonds. Lessee shall pay, when due, all claims for labor or materials furnished or alleged to have been furnished to or for Lessee at or for use on the Premises, which claims are or may be secured by any mechanic's or materiaiman's lien against the Premises or any interest therein. Lessee shall give Lessor not less than 10 days notice prior to the commencement of any work in, on or about the Premises, and Lessor shall have the right to post notices of non -responsibility, If Lessee shall contest the validity of any such lien, claim or demand, then Lessee shall, at its sole expense defend and protect itself, Lessor and the Premises against the same and shall pay and satisfy any such adverse judgment that may be rendered thereon before the enforcement thereof. if Lessor shall require, Lessee shall furnish a surety bond in an amount equal to 150% of the amount of such contested lien, claim or demand, indemnifying Lessor against liability for the same. If Lessor elects to participate in any such action, Lessee shall pay Lessor's attorneys' fees and costs. 7.4 Ownership; Removal; Surrender; and Restoration. a) Ownership. Subject to Lessor's right to require removal or elect ownership as hereinafter provided, all Alterations and Utility Installations made by Lessee shall be the property of Lessee, but considered a part of the Premises. Lessor may, at any time, elect in writing to be the owner of all or any specified part of the Lessee Owned Alterations and Utility Installations, Unless otherwise instructed per Paragraph 7.4(b) hereof, all Lessee Owned Alterations and Utility Installations shall, at the expiration or termination of this Lease, become the property of Lessor and be surrendered by Lessee with the Premises. b) Removal. By delivery to Lessee of written notice from Lessor not earlier than 00 and not later than 30 days prior to the end of the term of this Lease, Lessor may require that any or all Lessee Owned Alterations or Utility Installations be removed by the expiration or termination of this Lease. Lessor may require the removal at any time of all or any part of any Lessee Owned Alterations or Utility Installations made without the required consent, c) Surrender; Restoration. Lessee shall surrender the Premises by the Expiration Date or any earlier termination date, with all of the improvements, parts and surfaces thereof broom clean and free of debris, and in good operating order, condition and state of repair, ordinary wear and tear excepted. "Ordinary wear and tear" shall not include any damage or deterioration that would have been prevented by good maintenance. practice. Notwithstanding the foregoing, if this Lease is for 12 months or less, then Lessee shall surrender the Premises in the same condition as delivered to Lessee on the Start Date with NO allowance for ordinary wear and tear. Lessee shall repair any damage occasioned. by the installation, maintenance or removal of Trade Fixtures, Lessee Owned Alterations and/or Utility Installations, furnishings, and equipment as well as the removal of any storage tank installed by or for Lessee. Lessee shall also completely remove from the Premises any and all Hazardous Substances brought onto the Premises by or for Lessee, or any third party (except Hazardous Substances which were deposited via underground migration from areas outside of the Premises), even if such removal would require Lessee to perform or pay for work that exceeds statutory requirements, Trade Fixtures shall remain the property of Lessee and shall be removed by Lessee. Any personal property of Lessee not removed on or before the Expiration Date or any earlier termination date shall be deemed to have been abandoned by Lessee and may be disposed of or retained by Lessor as Lessor may desire. The failure by Lessee to timely vacate the Premises pursuant to this Paragraph 7.4(c) without the express written consent of Lessor shall constitute a holdover under the provisions of Paragraph 26 below, 8. Insurance; Indemnity. 8.1 Payment of Premiums. The cost of the premiums for the insurance policies required to be carried by Lessor, pursuant to Paragraphs 8.2(b), 8.3(a) and 8.3(b), shall be a Common Area Operating Expense. Premiums for policy periods commencing prior to. or extending beyond, the term of this Lease shall be prorated to coincide with the corresponding Start Date or Expiration Date. 8.2 Liability Insurance. a) Carried by Lessee. Lessee shall obtain and keep in force a Commercial General Liability policy of insurance protecting Lessee and Lessor as an additional insured against claims for bodily injury, personal injury and property damage based upon or arising out of the ownership, use, occupancy or maintenance of the Premises and all areas appurtenant thereto. Such insurance shall be on an occurrence basis providing single limit coverage in an amount not less than $1,000,000 per occurrence with an annual aggregate of not less than $2,000,000, Lessee shall add Lessor as an additional insured by means of an endorsement at least as broad as the Insurance Service Organization's "Additional Insured -Managers or Lessors of Premises" Endorsement and coverage shall also be extended to include damage caused by heat, smoke or fumes from a hostile fire. The policy shall not contain any intra -insured exclusions as between insured persons or organizations, but shall include coverage for liability assumed under this Lease as an "insured contract" for the performance of Lessee's indemnity obligations under this Lease. The limits of said insurance shall not, however, limit the liability of Lessee nor relieve Lessee of any obligation hereunder. Lessee shall provide an endorsement on its liability policy,({, ) which provides that its insurance shall be primary to and not contributory with any similar insurance carried by Lessor, whose insti .3 shall be considered excess insurance only. 666 r i Page 9 Initials Initials 02003 - AIR COMMERCIAL REAL ESTATE ASSOCIATION FORM RMTN-1.5/05E goods, wares, merchandise or other property of Lessee, Lessee's employees, contractors, invitees, customers, or any other person in or about the Premises, whether such damage or injury Is caused by or results from fire, steam, electricity, gas, water or rain, indoor air quality, the presence of mold or from the breakage, leakage, obstruction or other defects of pipes, fire sprinklers, wires, appliances, plumbing, HVAC or lighting fixtures, or from any other cause, whether the said injury or damage results from conditions arising upon the Premises or upon other portions of the building of which the Premises are a part, or from other sources or places, (ii) any damages arising from any act or neglect of any other tenant of Lessor or from the failure of Lessor or its agents to enforce the provisions of any other lease in the Shopping Center, or (iii) injury to Lessee's business or for any loss of income or profit therefrom. Instead, it is intended that Lessee's sole recourse in the event of such damages or injury be to file a claim on the insurance policy(ies) that Lessee is required to maintain pursuant to the provisions of paragraph 8. 8.9 Failure to Provide Insurance. Lessee acknowledges that any failure on its part to obtain or maintain the insurance required herein will expose Lessor to risks and potentially cause Lessor to incur costs not contemplated by this Lease, the extent of which will be extremely difficult to ascertain. Accordingly, for any month or portion thereof that Lessee does not maintain the required insurance and/or does not provide Lessor with the required binders or certificates evidencing the existence of the required insurance, the Base Rent shall be automatically increased, without any requirement for notice to Lessee, by an amount equal to 10% of the then existing Base Rent or $100, whichever is greater, The parties agree that such Increase in Base Rent represents fair and reasonable compensation for the additional dsk/costs that Lessor will incur by reason of Lessee's failure to maintain the required insurance. Such increase in Base Rent shall in no event constitute a waiver of Lessee's Default or Breach with respect to the failure to maintain such insurance, prevent the exercise of any of the other rights and remedies granted hereunder, nor relieve Lessee of its obligation to maintain the insurance specked in this Lease. 9. Damage or Destruction. 9.1 Definitions. a) "Premises Partial Damage" shall mean damage or destruction to the improvements on the Premises, other than Lessee Owned Alterations and Utility Installations, which can reasonably be repaired in 3 months or less from the date of the damage or destruction, and the cost thereof does not exceed a sum equal to B month's Base Rent. Lessor shall notify Lessee in writing within 30 days from the date of the damage or destruction as to whether or not the damage is Partial or Total. Notwithstanding the foregoing, Premises Partial Damage shall not include damage to windows, doors, and/or other similar items which Lessee has the responsibility to repair or replace pursuant to the provisions of Paragraph 7 1. b) "Premises Total Destruction' shall mean damage or destruction to the improvements on the Premises, other than Lessee Owned Alterations and Utility Installations and Trade Fixtures, which cannot reasonably be repaired in 3 months or less from the date of the damage or destruction and/or the cost thereof exceeds a sum equal to 6 month's Base Rent. Lessor shall notify Lessee in writing within 30 days from the date of the damage or destruction as to whether or not the damage is Partial or Total. c) "Insured Loss" shall mean damage or destruction to improvements on the Premises, other than Lessee Owned Alterations and Utility Installations and Trade Fixtures, which was caused by an event required to be covered by the insurance described in Paragraph 8.3(a), irrespective of any deductible amounts or coverage limits involved. d) "Replacement Cost" shall mean the cost to repair or rebuild the improvements owned by Lessor at the time of the occurrence to their condition existing immediately prior thereto, including demolition, debris removal and upgrading required by the operation of Applicable Requirements, and without deduction for depreciation. e) "Hazardous Substance Condition" shall mean the occurrence or discovery of a condition involving the presence of, or a contamination by, a Hazardous Substance as defined in Paragraph 6.2(a), in, on, or under the Premises or Common Areas, which requires repair, remediation, or restoration. 9.2 Partial Damage - Insured Loss. If a Premises Partial Damage that is an insured Loss occurs, then Lessor shall, at Lessor's expense, repair such damage (but not Lessee's Trade Fixtures or Lessee Owned Alterations and Utility Installations) as soon as reasonably possible and this Lease shall continue in full force and effect; provided, however, that Lessee shall, at Lessors election, make the repair of any damage or destruction the total Replacement Cost of which is $1D,000 or less, and, in such event, Lessor shall make any applicable insurance proceeds available to Lessee on a reasonable basis for that purpose. Notwithstanding the foregoing, if the required insurance was not in force or the insurance proceeds are not sufficient to effect such repair, the Insuring Party shall promptly contribute the shortage in proceeds as and when required to complete said repairs. in the event, however, such shortage was due to the fact that, by reason of the unique nature of the improvements, full Replacement Cost insurance coverage was not commercially reasonable and available, Lessor shall have no obligation to pay for the shortage in insurance proceeds or to fully restore the unique aspects of the Premises unless Lessee provides Lessor with the funds to cover same, or adequate assurance thereof, within 10 days following receipt of written notice of such shortage and request therefor, if Lessor receives said funds or adequate assurance thereof within said 10 day period, the parry responsible for making the repairs shall complete them as soon as reasonably possible and this Lease shall remain in full force and effect. if such funds or assurance are not received, Lessor may nevertheless elect by written notice to Lessee within 10 days thereafter to: (1) make such restoration and repair as is commercially reasonable with Lessor paying any shortage in proceeds, In which case this Lease shall remain in full force and effect, or (ii) have this Lease terminate 30 days thereafter. Lessee shall not be entitled to reimbursement of any funds contributed by Lessee to repair any such damage or destruction. Premises Partial Damage due to flood or earthquake shall be subject to Paragraph 9.3, notwithstanding that there may be some insurance coverage, but the net proceeds of any such insurance shall be made available for the repairs if made by either Party. 9.3 Partial Damage - Uninsured Loss. If a Premises Partial Damage that is not an Insured Loss occurs, unless caused by a negligent or willful act of Lessee (in which event Lessee shall make the repairs at Lessee's expense), Lessor may either: (i) repair such damage as soon as reasonably possible at Lessor's expense, in which event this Lease shall continue in full force and effect, or ii) terminate this Lease by giving written notice to Lessee within 30 days after receipt by Lessor of knowledge of the occurrence of such damage. Such termination shall be effective 60 days following the date of such notice. In the event Lessor elects to terminate this Page 1 i Initials Initials 62003 -AIR COMMERCIAL REAL ESTATE ASSOCIATION FORM RMTN-1-5/05E lessees or by Lessor for the exclusive enjoyment of such other lessees. Notwithstanding Paragraph 10.2 hereof, Lessee shall, however, pay to Lessor at the time Common Area Operating Expenses are payable under Paragraph 4.2, the entirety of any increase in Real Property Taxes if assessed solely by reason of Alterations, Trade Fixtures or Utility Installations placed upon the Premises by Lessee or at Lessee's request, or by reason of any alterations or improvements to the Premises made by Lessor subsequent to the execution of this Lease by the Parties. 10.4 Joint Assessment. If the Building is not separately assessed, Real Property Taxes allocated to the Building shall be an equitable proportion of the Real Property Taxes for all of the land and improvements Included within the tax parcel assessed, such proportion to be determined by Lessor from the respective valuations assigned in the assessors work sheets or such other information as may be reasonably available. Lessors reasonable determination thereof, in good faith, shall be conclusive. 10.5 Personal Property Taxes. Lessee shall pay prior to delinquency all taxes assessed against and levied upon Lessee Owned Alterations and Utility Installations, Trade Fixtures, furnishings, equipment and all personal property of Lessee contained in the Premises. When possible Lessee shall cause its Lessee Owned Alterations and Utility Installations, Trade Fixtures, furnishings, equipment and all other personal property to be assessed and billed separately from the real property of Lessor. if any of Lessee's said property shall be assessed with Lessor's real property, Lessee shall pay Lessor the taxes attributable to Lessee's property within 10 days after receipt of a written statement setting forth the taxes applicable to Lessee's property. 11. Utilities and Services. Lessee shall pay for all water, gas, heat, light, power, telephone, trash disposal and other utilities and services supplied to the Premises, together with any taxes thereon. To the extent any such utilities and/or services are not separately metered, Lessee shall pay Lessee's Share thereof in accordance with Paragraph 4.2. Notwithstanding the provisions of Paragraph 4.2, if at any time in Lessor's sole judgment, Lessor determines that Lessee is using a disproportionate amount of water, electricity or other commonly metered utilities, or that Lessee is generating such a large volume of trash as to require an increase in the size of the trash receptacle and/or an increase in the number of times per month that it is emptied, then Lessor may increase Lessee's Base Rent by an amount equal to such increased costs. There shall be no abatement of Rent and Lessor shall not be liable in any respect whatsoever for the inadequacy, stoppage, interruption or discontinuance of any utility or service due to riot, strike, labor dispute, breakdown, accident, repair or other cause beyond Lessors reasonable control of in cooperation with governmental request or directions. 12. Assignment and Subletting. 12.1 Lessor's Consent Required. a) Lessee shall not voluntarily or by operation of law assign, transfer, mortgage or encumber (collectively, assign or assignment") or sublet all or any part of Lessee's interest in this Lease or in the Premises without Lessors prior written consent. b) Unless Lessee is a corporation and its stock is publicly traded on a national stock exchange, a change in the control of lessee shall constitute an assignment requiring consent. The transfer, on a cumulative basis; of 25% or more of the voting control of Lessee shall constitute a change in control for this purpose. c) The involvement of Lessee or its assets in any transaction, or series of transactions (by way of merger, sale, acquisition, financing, transfer, leveraged buy-out or otherwise), whether or not a formal assignment or hypothecation of this Lease or Lessee's assets occurs, which results or will result in a reduction of the Net Worth of Lessee by an amount greater than 25% of such Net Worth as it was represented at the time of the execution of this Lease or at the time of the most recent assignment to which Lessor has consented, or as it exists immediately prior to said transaction or transactions constituting such reduction, whichever was or is greater, shall be considered an assignment of this Lease to which Lessor may withhold its consent. "Net Worth of Lessee" shall mean the net worth of Lessee (excluding any guarantors) established under generally accepted accounting principles. d) An assignment or subletting without consent shall, at Lessor's option, be a Default curable after notice per Paragraph 13.1(c), or a noncurable Breach without the necessity of any notice and grace period, If Lessor elects to treat such unapproved assignment or subletting as a noncurable Breach, Lessor may either: (1) terminate this Lease, or (it) upon 30 days written notice, increase the monthly Base Rent and Percentage Rent Rate to 110% of the Base Rent and Percentage Rent Rate then in effect. Further, in the event of such Breach and rental adjustment, (i) the purchase price of any option to purchase the Premises held by Lessee shall be subject to similar adjustment to 110% of the price previously in effect, and (ii) all fixed and non -fixed rental adjustments scheduled during the remainder of the Lease term shall be increased to 110% of the scheouled adjusted rent. e) Lessee's remedy for any breach of Paragraph 12.1 by Lessor shall be limited to compensatory damages and/or injunctive relief. f) Lessor may reasonably withhold consent to a proposed assignment or subletting if Lessee is in Default at the time consent is requested. g) Notwithstanding the foregoing, allowing a de minimis portion of the Premises, is. 20 square feet or less, to be used by a third party vendor in connection with the installation of a vending machine or payphone shall not constitute a subletting 12.2 Terms and Conditions Applicable to Assignment and Subletting. a) Regardless of Lessors consent, no assignment or subletting shall: (i) be effective without the express written assumption by such assignee or sublessee of the obligations of Lessee under this Lease,.(Il) release Lessee of any obligations hereunder, or (iii) alter the primary liability of Lessee for the payment of Rent or for the performance of any other obligations to be performed by Lessee. b) Lessor may accept Rent or performance of Lessee's obligations from any person other than Lessee pending approval or disapproval of an assignment. Neither a delay in the approval or disapproval of such assignment nor the acceptance of Rent or performance shall constitute a waiver or estoppel of Lessor's right to exercise its remedies for Lessee's Default or Breach. c) Lessors consent to any assignment or subletting shall not constitute a consent to any subsequent assignment or subletting. Page 13 Initials Initials 02003 -AIR COMMERCIAL REAL-ESTATE ASSOCIATION FORM RMTN-1-5/05E M The occurrence of any of the following. events: (i) the making of any general arrangement or assignment for the benefit of creditors; (it) becoming a "debtor" as defined in 11 U.S.C, § 101 or any successor statute thereto (unless, in the case of a petition filed against Lessee, the same is dismissed within 60 days); (iii) the appointment of a trustee or receiver to take possession of substantially all of Lessee's assets located at the Premises or of Lessee's interest in this Lease, where possession is not restored to Lessee within 30 days; or (iv) the attachment, execution or other judicial seizure of substantially all of Lessee's assets located at the Premises or of Lessee's interest in this Lease, where such seizure is not discharged within 30 days; provided, however, in the event that any provision of this subparagraph is contrary to any applicable law, such provision shall be of no force or effect, and not affect the validity of the remaining provisions. g) The discovery that any financial statement of Lessee or of any Guarantor given to Lessor was materially false. h) If the performance of Lessee's obligations under this Lease is guaranteed: (i) the death of a Guarantor, (ii) the termination of a Guarantor's liability with respect to this Lease other than in accordance with the terms of such guaranty, (iii) a Guarantors becoming insolvent or the subject of a bankruptcy filing, (iv) a Guarantor's refusal to honor the guaranty, or (v) a Guarantor's breach of its guaranty obligation on an anticipatory basis, and Lessee's failure, within 60 days following written notice of any such event, to provide written alternative assurance or security, which, when coupled with the then existing resources of Lessee, equals or exceeds the combined financial resources of Lessee and the Guarantors that existed at the time of execution of this Lease. 13.2 Remedies. if Lessee fails to perform any of its affirmative duties or obligations, within 10 days after written notice (or in case of an emergency, without notice), Lessor may, at its option, perform such duty or obligation on Lessee's behalf, including but not limited to the obtaining of reasonably required bonds, insurance policies, or governmental licenses, permits or approvals. Lessee shall pay to Lessor an amount equal to 115% of the costs and expenses incurred by Lessor in such performance upon receipt of an invoice therefor. In the event of a Breach, Lessor may, with or without further notice or demand, and without limiting Lessor in the exercise of any right or remedy which Lessor may have by reason of such Breach: a) Terminate Lessee's right to possession of the Premises by any lawful means, in which case this Lease shall terminate and Lessee shall immediately surrender possession to Lessor. In such event Lessor shall be entitled to recover from Lessee: i) the unpaid Rent which had been earned at the time of termination; (ii) the worth at the time of award of the amount by which the unpaid Rent which would have been earned after termination until the time of award exceeds the amount of such rental loss that the Lessee proves could have been reasonably avoided; (iii) the worth at the time of award of the amount by which the unpaid Rent for the balance of the term after the time of award exceeds the amount of such rental loss that the Lessee proves could be reasonably avoided; and (iv) any other amount necessary to compensate Lessor for all the detriment proximately caused by the Lessee's failure to perform its obligations under this Lease or which in the ordinary course of things would be likely to result therefrom, including but not limited to the cost of recovering possession of the Premises, expenses of relating, including necessary renovation and alteration of the Premises, reasonable attomeys' fees, and that portion of any leasing commission paid by Lessor in connection with this Lease applicable to the unexpired tern of this Lease. The worth at the time of award of the amount referred to in provision (ill) of the immediately preceding sentence shall be computed by discounting such amount at the discount rate of the Federal Reserve Bank of the District within which the Premises are located at the time of award plus one percent. Efforts by Lessor to mitigate damages caused by Lessee's Breach of this Lease shall not waive Lessors right to recover damages under Paragraph 12. if termination of this Lease is obtained through the provisional remedy of unlawful detainer, Lessor shall have the right to recover in such proceeding any unpaid Rent and damages as are recoverable therein, or Lessor may reserve the right to recover all or any part thereof in a separate suit. If a notice and grace period required under Paragraph 13.1 was not previously given, a notice to pay rent or quit, or to perform or quit given to Lessee under the unlawful detainer statute shall also constitute the notice required by Paragraph13.1. in such case, the applicable grace period required by Paragraph 13.1 and the unlawful detainer statute shall run concurrently, and the failure of Lessee to cure the Default within the greater of the two such grace periods shall constitute both an unlawful detainer and a Breach of this Lease entitling Lessor to the remedies provided for in this Lease and/or by said statute. b) Continue the Lease and Lessee's right to possession and recover the Rent as t becomes due, in which event Lessee may sublet or assign, subject only to reasonable limitations, Acts of maintenance, efforts to relet, and/or the appointment of a receiver to protect the Lessor's interests, shall not constitute a termination of the Lessee's right to possession. c) Pursue any other remedy now or hereafter available under the laws or judicial decisions of the state wherein the Premises are located. The expiration or termination of this Lease and/or the termination of Lessee's right to possession shall not relieve Lessee from liability under any indemnity provisions of this. Lease as to matters occurring or accruing during the term hereof or by reason of Lessee's occupancy of the Premises, 13.3 Inducement Recapture. Any agreement for free or abated rent or other charges, or for the giving or paying by Lessor to or for Lessee of any cash or other bonus, inducement or consideration for Lessee's entering into this Lease, all of which concessions are hereinafter referred to as "Inducement Provisions", shall be deemed conditioned upon Lessee's full and faithful performance of all of the terms, covenants and conditions of this Lease, Upon Breach of this Lease by Lessee, any such Inducement Provision shall automatically be deemed deleted from this Lease and of no further force or effect, and any rent, other charge, bonus, inducement or consideration theretofore abated, given or paid by Lessor under such an Inducement Provision shall be immediately due and payable by Lessee to Lessor, notwithstanding any subsequent cure of said Breach by Lessee, The acceptance by Lessor of rent or the cure of the Breach which initiated the operation of this paragraph shall not be deemed a waiver by Lessor of the provisions of this paragraph unless specifically so stated in writing by Lessor at the time of such acceptance. 13.4 Late Charges. Lessee hereby acknowledges that late payment by Lessee of Rent will cause Lessor to incur costs not contemplated by this Lease, the exact amount of which will be extremely difficult to ascertain. Such costs include, but are not limited to, processing and accounting charges, and late charges which may be imposed upon Lessor by any Lender. Accordingly, if any Rent shall not a received by Lessor within 5 days after such amount shall be due, then, without any requirement for notice to Lessee, Page 15 Initials Initials 02003 -AIR COMMERCIAL REAL ESTATE ASSOCIATION FORM RMTN-1-510517 16. Estoppel Certificates. a) Each Party (as "Responding Party") shall within 10 days after written notice from the other Party (the Requesting Party") execute, acknowledge and deliver to the Requesting Party a statement in writing in form similar to the then most current "Estoppel Certificate" form published by the AIR Commercial Real Estate Association, plus such additional information, confirmation and/or statements as may be reasonably requested by the Requesting Party. b) If the Responding Party shall fail to execute or deliver the Estoppel Certificate within such 10 day period, the Requesting Party may execute an Estoppel Certificate stating that: (i) the Lease is in full force and effect without modification except as may be represented by the Requesting Party, (ii) there are no uncured defaults in the Requesting Party's performance, and (iii) if Lessor is the Requesting Party, not more than one month's rent has been paid in advance. Prospective purchasers and encumbrances may rely upon the Requesting Party's Estoppel Certificate, and the Responding Party shall be estopped from denying the truth of the facts contained in said Certificate. c) If Lessor desires to finance, refinance, or sell the Premises, or any part thereof, Lessee and all Guarantors shall deliver to any potential lender or purchaser designated by Lessor such financial statements as may be reasonably required by such lender or purchaser, including but not limited to Lessee's financial statements for the past 3 years. All such financial statements shall be received by Lessor and such lender or purchaser in confidence and shall be used only for the purposes herein set forth. 17. Definition of Lessor. The term "Lessor" as used herein shall mean the owner or owners at the time in question of the fee title to the Premises, or, if this is a sublease, of the Lessee's interest in the prior lease. In the event of a transfer of Lessor's title or interest in the Premises or this Lease, Lessor shall deliver to the transferee or assignee (in cash or by credit) any unused Security Deposit held by Lessor. Upon such transfer or assignment and delivery of the Security Deposit, as aforesaid, the prior Lessor shall be relieved of all liability with respect to the obligations and/or covenants under this Lease thereafter to be performed by the Lessor, Subject to the foregoing, the obligations and/or covenants in this Lease to be performed by the Lessor shall be binding only upon the Lessor as hereinabove defined. 18. Severability. The invalidity of any provision of this Lease, as determined by a court of competent jurisdiction, shall in no way affect the validity of any other provision hereof. 19. Days. Unless otherwise specifically indicated to the contrary, the word "days" as used in this Lease shall mean and refer to calendar days 20. Limitation on Liability. The obligations of Lessor under this Lease shall not constitute personal obligations of Lessor, or its partners, members, directors, officers or shareholders, and Lessee shall look to the Premises, and to no other assets of Lessor, for the satisfaction of any liability of Lessor with respect to this Lease, and shall not seek recourse against Lessor's partners, members, directors, officers or shareholders, or any of their personal assets for such satisfaction. 21. Time of Essence. Time is of the essence with respect to the performance of all obligations to be performed or observed by the Parties under this Lease. 22, No Prior or Other Agreements; Broker Disclaimer. This Lease contains all agreements between the Parties with respect to any matter mentioned herein, and no other prior or contemporaneous agreement or understanding shall be effective. Lessor and Lessee each represents and warrants to the Brokers that it has made, and is relying solely upon, its own investigation as to the nature, quality, character and financial responsibility of the other Party to this Lease and as to the use, nature, quality and character of the Premises, Brokers have no responsibility with respect thereto or with respect to any default or breach hereof by either Party. 23. Notices. 23.1 Notice Requirements. All notices required or permitted by this Lease or applicable law shall be in writing and may be delivered in person (by hand or by courier) or may be sent by regular, certified or registered mail or U.S. Postal Service Express Mail, with postage prepaid, or by facsimile transmission, and shall be deemed sufficiently given if served in a manner specified in this Paragraph 23. The addresses noted adjacent to a Party's signature on this Lease shall be that Party's address for delivery or mailing of notices, Either Party may by written notice to the other specify a different address for notice, except that upon Lessee's taking possession of the Premises, the Premises shall constitute Lessee's address for notice. A copy of all notices to Lessor shall be concurrently transmitted to such party or parties at such addresses as Lessor may from time to time hereafter designate in writing. 23.2 Date of Notice. Any notice sent by registered or certified mail, return receipt requested, shall be deemed given on the date of delivery shown on the receipt card, or if no delivery date is shown, the postmark thereon. if sent by regular mail the notice shall be deemed given 72 hours after the same is addressed as required herein and mailed with postage prepaid. Notices delivered by United States Express Mail or overnight courier that guarantee next day delivery shall be deemed given 24 hours after delivery of the same to the Postal Service or courier, Notices transmitted by facsimile transmission or similar means shall be deemed delivered upon telephone confirmation of receipt (confirmation report from fax machine is sufficient), provided a copy is also delivered via delivery or mail. If notice is received on a Saturday, Sunday or legal holiday, it shall be deemed received on the next business day. 24. Waivers. a) No waiver by Lessor of the Default or Breach of any term, covenant or condition hereof by Lessee, shall be deemed a waiver of any other term covenant or condition hereof, or of any subsequent Default or Breach by Lessee of the same or of any other term, covenant or condition hereof Lessor's consent to or approval of, any act shall not be deemed to render unnecessary the obtaining of Lessor's consent to, or approval of, any subsequent or similar act by Lessee, or be construed as the basis of an estoppel to enforce the provision or provisions of this Lease requiring such consent. b) The acceptance of Rent by Lessor shall not be a waiver of any Default or Breach by Lessee. Any payment by Lessee may be accepted by Lessor on account of moneys or damages due Lessor, notwithstanding any qualifying statements or conditions made by Lessee in connection therewith, which such statements and/or conditions shall be of no force or effect whatsoever unless specifically agreed to in writing by Lessor at or before the time of deposit of such payment. 1 AA Page 17 Initials Initials D2003 - AIR COMMERCIAL REAL ESTATE ASSOCIATION FORM RMTN-1-5/05E hereby superior to the lien of its Security Device by giving written notice thereof to Lessee, whereupon this Lease and such Options shall be deemed prior to such Security Device, notwithstanding the relative dates of the documentation or recordation thereof. 30.2 Attomment. In the event that Lessor transfers title to the Premises, or the Premises are acquired by another upon the foreclosure or termination of a Security Device to which this Lease is subordinated (1) Lessee shall, subject to the non -disturbance provisions of Paragraph 30.3, abom to such new owner, and upon request, enter into a new lease, containing all of the terms and provisions of this Lease, with such new owner for the remainder of the term hereof, or, at the election of the new owner, this Lease will automatically become a new lease between Lessee and such new owner, and (ii) Lessor shall thereafter be relieved of any further obligations hereunder and such new owner shall assume all of Lessor's obligations, except that such new owner shall not: (a) be liable for any act or omission of any prior lessor or with respect to events occurring prior to acquisition of ownership; (b) be subject to any offsets or defenses which Lessee might have against any prior lessor, (c) be bound by prepayment of more than one month's rent, or d) be liable for the return of any security deposit paid to any prior lessor. 30.3 Non -Disturbance. With respect to Security Devices entered into by Lessor after the execution of this Lease, Lessee's subordination of this Lease shall be subject to receiving a commercially reasonable non -disturbance agreement (a "Non - Disturbance Agreement") from the Lender which Non -Disturbance Agreement provides that Lessee's possession of the Premises, and this Lease, including any options to extend the term hereof, will not be disturbed so long as Lessee is not in Breach hereof and aftorns to the record owner of the Premises. Further, within 60 days after the execution of this Lease, Lessor shall, if requested by Lessee, use its commercially reasonable efforts to obtain a Non -Disturbance Agreement from the holder of any pre-existing Security Device which is secured by the Premises. In the event that Lessor is unable to provide the Non -Disturbance Agreement within said 60 days, then Lessee may, at Lessee's option, directly contact Lender and attempt to negotiate for the execution and delivery of a Non -Disturbance Agreement. 30.4 Self -Executing. The agreements contained in this Paragraph 30 shall be effective without the execution of any further documents; provided, however, that, upon written request from Lessor or a Lender in connection with a sale, financing or refinancing of the Premises, Lessee and Lessor shall execute such further writings as may be reasonably required to separately document any subordination, attornment andlor Non -Disturbance Agreement provided for herein. 31 Attorneys' Fees, if any Party or Broker brings an action or proceeding involving the Premises whether founded in tort, contract or equity, or to declare rights hereunder, the Prevailing Party (as hereafter defined) in any such proceeding, action, or appeal thereon, shall be entitled to reasonable attorneys' fees. Such fees may be awarded in the same suit or recovered in a separate suit, whether or not such action or proceeding is pursued to decision orjudgment. The term "Prevailing Party" shall include, without limitation, a Party or Broker who substantially obtains or defeats the relief sought as the case may be whether by compromise, settlement, judgment, or the abandonment by the other Party or Broker of its claim or defense. The attomeys' fees award shall not be computed in accordance with any court fee schedule, but shall be such as to fully reimburse all attorneys' fees reasonably incurred. In addition, Lessor shall be entitled to attomeys' fees, costs and expenses incurred in the preparation and service of notices of Default and consultations in connection therewith, whether or not a legal action is subsequently commenced in connection with such Default or resulting Breach ($200 is a reasonable minimum per occurrence for such services and consultation). 32. Lessor's Access; Showing Premises; Repairs. Lessor and Lessor's agents shall have the right to enter the Premises at any time, in the case of an emergency, and otherwise at reasonable times after reasonable prior notice for the purpose of showing the same to prospective purchasers, lenders or tenants and making such alterations, repairs, improvements or additions to the Premises as Lessor may deem necessary or desirable and the erecting using and maintaining of utilities, services, pipes and conduits through the Premises and/or other premises as long as there is no material adverse effect on Lessee's use of the Premises. All such activities shall be without abatement of rent or liability to Lessee. 33. Auctions. Lessee shall not conduct, nor permit to be conducted, any auction upon the Premises without Lessor's prior written consent, which consent shall be granted or denied at Lessor's sole discretion. 34. Signs. Lessor may place on the Premises ordinary "For Sale" signs at any time and ordinary "For Lease" signs during the last 6 months of the term hereof. All signs must comply with all Applicable Requirements. Lessee shall not place, construct, or maintain on the glass panes or supports of the show windows of the Premises, the doors, exterior walls or the roof of the Building, or anywhere else within the Shopping Center outside of the Premises, or on any interior portions of the Premises that are visible from the exterior of the Premises, any signs, advertisements, names, insignia, trademarks, descriptive material or any other items without Lessor's prior written consent, which consent shall be granted or denied at Lessor's sole discretion. Lessor shall designate the size, shape, color, design, and location of all exterior sign(s) to be installed by Lessee, and Lessee shall, at Lessee's sole cost and expense, fabricate, construct and install all such sign(s) in full compliance with Lessor's designation and in accordance with the Sign Criteria for the Shopping Center attached hereto, if any. Lessee agrees to submit plans and specifications for Lessee's sign(s) for Lessors written approval within 30 days after the full execution hereof and to install such sign(s) prior to opening for business at the Premises. Lessor, at Lessee's cost, may remove any item placed, constructed or maintained in, upon or about the Premises or Shopping Center which does not comply with this paragraph. In the event there is a pole, pylon or monument sign for the Shopping Center, Lessor shall have the right, but not the obligation, to install lettering designating Lessee's business on such sign, at Lessee's expense, with Lessors approval of location, size, style and color. All signs that are permanently attached to the Premises or Building shall become the property of Lessor at the expiration or earlier termination hereof; provided, however, that Lessee shall promptly remove all such signs if Lessor so elects, and Lessee shall promptly repair all damage caused by such removal. Lessee shall not place, construct or maintain in, upon or about the Premises any search lights, flashing lights, loudspeakers, phonographs or other visual or audio media. 35. Termination; Merger. Unless specifically stated otherwise in writing by Lessor, the voluntary or other surrender of this Lease by Lessee, the mutual termination or cancellation hereof, or a termination her by Lessor for Breach by Lessee, shall automatically terminate sublease or lesser estate in the Premises; provided, however, that Lessor may elect to continue any one or all existing GLA Page 19 Initials Initials 02003 - AIR COMMERCIAL REAL ESTATE ASSOCIATION FORM RMTN-I-5i05E 42. Building Planning. Lessor shall have the right at any time or times, upon giving Lessee not less than 60 days prior written notice, to provide and furnish Lessee with space of comparable visibility located elsewhere within any of the buildings within the Shopping Center and to move Lessee into such new space, provided that the usable area of such new space is not less than the usable area of the Premises and provided that all of Lessee's reasonable out-of-pocket moving expenses (including but not limited to the cost of moving Lessee's personal property, the cost of reprinting Lessee's stationery or other business materials with the new address, and the cost to relocate and reinstall tenant improvements and Lessee's telecommunications and computer equipment) shall be paid by Lessor, and provided further that Lessor shall construct at Lessor's expense such improvements to such new space as shall be necessary to place It in a condition that is substantially comparable to the Premises. Except as provided in the immediately preceding sentence, Lessor shall have no obligation to improve such space or pay any other expenses incurred by Lessee as a result of such relocation. On such relocation, the terms and conditions of this Lease shall remain in full force and effect, including but not limited to the Base Rent payable hereunder and Lessee's Share (even if the usable area of such relocated Premises is in excess of the usable area of the Premises), except that the Premises shall be in such new location. Upon Lessor's request, the Parties shall execute an amendment to this Lease in form required by Lessor confirming the relocation of the Premises to such new location. If the new space does not meet with Lessee's approval, which approval Lessee shall give or withhold in accordance with Paragraph 36, Lessee shall have the right to cancel this Lease by giving Lessor written notice thereof within 15 days of receipt of Lessor's notification of its intent to relocate Lessee. Lessee's failure to give such notice within such 15 day period shall be deemed Lessee's approval of the new space. if timely notice is given by Lessee, then this Lease shall terminate unless Lessor rescinds Lessor's prior notice of its intent to relocate Lessee within 10 days after Lessors receipt of Lessee's notice of car cancellation. 43. Performance Under Protest. If at any time a dispute shall arise as to any amount or sum of money to be paid by one Party to the other under the provisions hereof, the Party against whom the obligation to pay the money is asserted shall have the right to make payment "under protest" and such payment shall not be regarded as a voluntary payment and there shall survive the right on the part of said Party to institute suit for recovery of such sum. If it shall be adjudged that there was no legal obligation on the part of said Party to pay such sum or any part thereof, said Party shall be entitled to recover such sum or so much thereof as it was not legally required to pay. A Party who does not initiate suit for the recovery of sums paid "under protest" within 6 months shall be deemed to have waived its right to protest such payment. 44. Authority; Multiple Parties; Execution. a) If either Party hereto is a corporation, trust, limited liability company, partnership, or similar entity, each individual executing this Lease on behalf of such entity represents and warrants that he or she is duly authorized to execute and deliver this Lease on its behalf. Each Party shall, within 30 days after request, deliver to the other Party satisfactory evidence of such authority. b) If this Lease is executed by more than one person or entity as "Lessee", each such person or entity shall be jointly and severally liable hereunder. It Is agreed that any one of the named Lessees shall be empowered to execute any amendment to this Lease, or other document ancillary thereto and bind all of the named Lessees, and Lessor may rely on the same as If all of the named Lessees had executed such document. c) This Lease may be executed by the Parties in counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same instrument. 45. Conflict. Any conflict between the printed provisions of this Lease and the typewritten or handwritten provisions shall be controlled by the typewritten or handwritten provisions. 46. Offer. Preparation of this Lease by either Party or their agent and submission of same to the other Party shall not be deemed an offer to lease to the other Parry. This Lease is not intended to be binding until executed and delivered by all Parties hereto. 47. Amendments. This Lease may be modified only in writing, signed by the Parties in interest at the time of the modification. As long as they do not materially change Lessee's obligations hereunder, Lessee agrees to make such reasonable non -monetary modifications to this Lease as may be reasonably required by a Lender in connection with the obtaining of normal financing or refinancing of the Premises. 48. Waiver of Jury Trial. THE PARTIES HEREBY WAIVE THEIR RESPECTIVE RIGHTS TO TRIAL BY JURY IN ANY ACTION OR PROCEEDING INVOLVING THE PROPERTY OR ARISING OUT OF THIS AGREEMENT. 49. Mediation and Arbitration of Disputes. An Addendum requiring the Mediation and/or the Arbitration of all disputes between the Parties and/or Brokers arising out of this Lease ® is is not attached to this Lease. 50. Americans with Disabilities Act. Since compliance with the Americans with Disabilities Act (ADA) is dependent upon Lessee's speck use of the Premises, Lessor makes no warranty or representation as to whether or riot the Premises comply with ADA or any similar legislation, in the event that Lessee's use of the Premises requires modifications or additions to the Premises in order to be in ADA compliance, Lessee agrees to make any such necessary modifications and/or additions at Lessee's expense. 51. ADA Section 55.53. The property being leased or rented has Ones not undergone inspection by a Certified Access Specialist CA Sp), and has ® has not been determined to meet all applicable construction -related accessibility standards pursuant to Section 55.53. eft. Page 21 Initials Initials 02003 - AIR COMMERCIAL REAL ESTATE ASSOCIATION FORM RMTN-1-5105E decision explaining the factual and legal basis for the decision as to each of the principal controverted issues. The decision shall be conclusive and binding, and it may thereafter be confirmed as a judgment by the court of applicable jurisdiction, subject only to challenge on the grounds set forth in the applicable statutory or case law (e.g., in California Code of Civil Procedure Section 1286.2), The validity and enforceability of the Arbitrators decision is to be determined exclusively by the court of appropriate jurisdiction pursuant to the provisions of this Lease. The Arbitrator may award costs, including without limitation, Arbitrators fees and costs, attorneys' fees, and expert and witness costs, to the prevailing party, if any, as determined by the Arbitrator in his discretion. Whenever a matter which has been submitted to arbitration involves a dispute as to whether or note particular act or omission (other thane failure to pay money) constitutes a Default, the time to commence or cease such action shall be tolled from the date that the Notice of Arbitration is served through and until the date the Arbitrator renders his or her decision. Provided, however, that this provision shall NOT apply in the event that the Arbitrator determines that the Arbitration Notice was prepared in bad faith. Whenever a dispute arises between the Parties concerning whether or not the failure to make a payment of money constitutes a default, the service of an Arbitration Notice shall NOT toll the time period in which to pay the money. The Party allegedly obligated to pay the money may, however, elect to pay the money "under protest" by accompanying said payment with a written statement setting forth the reasons for such protest. If thereafter, the Arbitrator determines that the Party who received said money was not entitled to such payment, said money shall be promptly returned to the Party who paid such money under protest together with Interest thereon as defined in Paragraph 13.5. If a Party makes a payment under protest" but no Notice of Arbitration is filed within thirty days, then such protest shall be deemed waved 53. Customer Parking: Notwithstanding any provision of this Lease to the contrary, all parking is for the use of all tenants of the Shopping Center, including Lessee, and their customers, invitees and licensees throughout the Lease. Lessee's customers may park in any Shopping Center parking facilities. 54. Employee Parking: Lessor shall have the right to designate where employees park during peak parking hours, so as to maximize convenient parking for Lessee's customer. Lessee's employees shall be treated fairly with other tenants in the Center. 55. Right to Relocate: The Lessor reserves the right, upon ninety days prior written notice to the Lessee, to relocate such Lessee to another location within the Shopping Center or any other Shopping Center of approximately the same size as the original Premises described herein: Any relocation shall be at the sole cost and expense of the Lessor. In the event the Lessee declines such a move, it shall inform the Lessor within thirty (30) days of the receipt of the above described written notice. The Lessor shall then have the election to either terminate this Lease upon thirty (30) days written notice to the Lessee which notice shall be given within thirty (30) days receipt of the Lessee's Notice of Refusal or in the alternative the Lessor may withdraw its Notice of Relocation. 56. Lessee shall accept the Premises in an As -is Where -Is condition. 57. Rent Escalations: a. On June 1, 2017 and each June 18' thereafter the monthly rent payable under paragraph 4 plus subsequent Rent Increases of the attached Lease shall be adjusted by the increase, if any, from the date this Lease commenced, in the Consumer Price Index of the Bureau of Labor Statistics of the U.S. Department of Labor for Urban Wage Earners and Clerical Workers, Los Angeles/Long Beach/Anaheim, California, (1967 equals 100), "All items" herein referred to as C.P.I " b. The sum of the monthly rent payable in accordance with paragraph a. of this Addendum shall be calculated as follows: the rent payable for the first month of the term of this Lease, as set forth in paragraph 4 of the attached Lease plus subsequent Rent Increases shall be multiplied by a fraction the numerator of which shall be the C.P.I. of the calendar month during which the adjustment is to take effect, and the denominator of which shall be the C.P.I. for the calendar month in which the original Lease term commences. The sum so calculated shall constitute the new monthly rent hereunder, but in no event, shall such new monthly rent be less than the rent payable for the month immediately preceding the date for rent adjustment. Page 23 Initials Initials 02003 -AIR COMMERCIAL REAL ESTATE ASSOCIATION FORM RMTN-I-S/OSE The parties hereto have executed this Lease at the place and on the dates Specified above their respective signatures. Executed at: Facsimile:(562) 430.7799 E-Mail.:KenskiProperties Verizon.net Executed at. 4 LESSEE: Shilie Chen dba Wina Chess unen Page 25 Initials Initials 212003 - AIR COMMERCIAL REAL ESTATE ASSOCIATION FORM RMTN-1-5105E EXHIBIT A DRUCKER. TRUST 1155-1 SOUTH DIAMOND BAR BOULEVARD DIAMOND BAR, CALIFORNIA ENVIRONMENTAL DISC'LOSORE HAZARDOUS SUBSTANCE/WASTE/PROP65 CHEMICAL CONTAMINATED SOIL AND CROUr-,DWATER DISCLOSURE California Health and Safety Cods; § 25359.7 Thin is to advise you as a prospective commercial tenant of the real pruperty located at or adjacent to 1155-1 Srnnth Diamond Bar Boulevard, Diamond Bar, California Property's that the Property is known to have soil and groundwater containing hazardous substances, hazardous wastes and Prop 65 Chemicals (substances known to the State of California to cause cancer and/or reproductive harm). The nature and extent of the Property's contaminants, anticipated cleanup tasks, anticipated cleanup timetable, and anticipated cleanup costs are discussed in the ENVIRONMENTAL FACT DISCLOSURE & SUMMARY which is heieby incorporated by reference, C.. -- 1') Page 26 Initials Initials 02003 - AIR COMMERCIAL REAL ESTATE ASSOCIATION FORM RMTN-I-5/05E DRUCKER TRUST -DIAMOND BART OWN CENTER 1155-( SOUTH DIAMOND BARBOULEVARD DIAMOND BARXALIFORNIA ENVIRONMENTALFACI SUMMARY & DISCLOSURE SUMMARY OP' FACTS tav_mi Pj lvjwdlr= The Diamond Liar Town Canter conuai , a former dryckanur. The dryclearnr was called Camlvy Hills Claatsers. Country 14112 Claimers occupied the space located at 1155-1 South Diamond Bar Boulevard in Diamond nor, California („Cloanen Site”). Countty Hills Cleartus used Tetrachlomethene (PCF.) as psn ofnortnal business operations from 1990 to 2002, when alt of the dry doanina equipment was rsmoved. From 2002 1v 2010, the 'I"' speer was usdi as a location R+f the prop -oft of laundry articfes but nn dry cieonnag npmationa were colidueled during Ihia time. The retail space is correctly vacant. Based on the drilling logs, sediments beneath the site consist mostly of silty clay And silly surd with variable sand and pebble content to about 25.30 Rn below grado. Historically, the deptb to water has been steady at about 24 feet below gmde and (lowing generally cas . g1VVIRONMNN1AL IMEA97N & vnrlil ATQRV 0VF1tSIC[iT Beginning in March 2001, Diumc d no, Town Center's owner Dmcker 'dust hired Crntee Engineering. Inc. ('-Censco'j to conduct Nalowtfoce inveatiga6anc C"Ice identified a limited nice of sail that had leen cnnmmmatcd with PCH within the dry cleaner premises. 'Che sampting data and Geld observations indicated that rise mlense had occurred (tom an in -ground poor sump, located At the roar of the Flom. Drucker Tnmt's diacovvy of PCL spills was fmmedutely mponed to the Los Angeles County rim Department ('4-ACFrY') and ResioMl Vr4nn Quutity Contra[ Board -Los Angeles Rcginn r'ARWQCB'1. Theruattor, the LARWQCB began supervising all environmental i'esNnsatinnsandcleanupactivitiesatrileClWnetsSilt. Since the LARWQCB's neolvctnont eievon (1)) on -elm and lbrev (3) oR-sno 8mundwuter wells have been iostallcd to defiuc the ratmd of dixs.dved PCC wnraatirsnrinn. '1'hcu .vAI. hate 111' elbil• defined the dissolved plume inatt directions, licit'koon t in 7:102. 16medial aCKen. Wlxe .... d Krtd to excavate told Kmw-e ov sm), M'av Zhu Cram" sump inside the runner dry cleaner. and to camereuce rrmwiiati o, of the rxmmdwatce by Liocemediaiion injection.. Mort recently, the t,ARWQCB mnluaizal Ami ulluovLxJ a plan by )hacker Trust to fudhc( tednce PCR ronrc,nmik ns by iuilimigc vapor csttadlaa un+1 dxzl-iilase cxnnN.iun to lcrome the mannan conlansranru anm..nii dal pto',Iwmrr -. Page27 Initials Initials 02003 -AIR COMMERCIAL REAL ESTATE ASSOCIATION FORM RMTN-1-5l05E DRUCKERTRUST-DIAMONDRARTOWN CENTER 1155.1 SOUTH DIAMOND RAR BOULEVARD DIAMOND BAR. CALIFORNIA ENVIRONMENTAL FACT SUMMARY &D18CLOSO RB OTIMRIMUPa&MATT RS Addilim.i m& moMoo about the Ckuwr 51. Ott, ba towel in Sulc of C,UR Mjk OooTmeker dalabava ("OeoarckeY') and can ba readily downloadod aunt the fbllnavinc Oe rwAcc Web addreaa: bgplv.-c+n.ck.r llatsxlxtPuls,Cnaevi...am. .ceon .: t 15tbP!_lil=St:L''1t44'.f Ptwkcr Trost does nix eunerNy bsv koowiad, of, olbcr n W ial anvi(nnn.eslnt u," febted to port ProPettr use. TIM tINDERSIGN£D ACKNOWLEDGES THAT IT HAIL R£l.RIVED AND READ TIIIS ENVIRONMENTAL PACT DISCLOSURE & SUMMARY. a Datadt-al _,2014 Nmtr r/cq-'7-rte/ 101.2.1 olL Page 29 Initials Initials 02003 -AIR COMMERCIAL REAL FSTATH:ASSOCIATION FORM RMTN-1.5,105E 60. OPTION TO EXTEND Lessor hereby grants to Lessee the option to extend the term of this Lease for one (1) three (3) - year period commencing when the prior term expires upon each and all of the following terms and conditions: a. Lessee gives to Lessor and Lessor actually receives on a date which is prior to the date that the option period would commence (if exercised) by at least six (6) and not more than nine 9) months, a written notice of the exercise of the option to extend this Lease for said additional term, time being of the essence. If said notification of the exercise of said option is not so given and received, this option and any subsequent options shall automatically expire; b. The provisions relating to default of Lessee set forth in this Lease are conditions of this option; c. All of the terms and conditions of this Lease except where specifically modified by this option shall apply; d. The monthly rent for the option period shall be the then current rental rate in effect for comparable space, but in no case shall the rent for the option period be less than the rent paid during the period prior to the option period plus the scheduled rent increase per the terms of the lease. e. The monthly rent as determined in paragraph d. above shall be subject to increase under the same terms and conditions as contained in the original Lease. W14 F'age 3D Initials Initials 02003 -AIR COMMERCIAL REAL ESTATE. ASSOCIATION FORM RMTN-1-5/05E I I . Any sign that does not conform to the specific criteria shall constitute a default of this Lease. C. Application for Tenant Sign Approval 1. Tenant shall submit to Landlord four (4) copies of a sign layout and shop drawings using a legible scale (such as '/4" scale), for Landlord's written approval prior to sign fabrication and application for permit. Drawings shall also show a side view of lettering indicating construction methods, neon tubing sizes, colors, voltages and intensity. 2. All drawings submitted by Tenant and returned by Landlord marked "disapproved" or Approved as Noted" must be resubmitted to Landlord as set forth in subparagraph 1 above with the required corrections. 3. Following receipt of Landlord's written approval, Tenant shall submit approved shop drawings to the applicable governmental authority for approval and issuance of the appropriate permit authorizing installation of the signs. Tenant shall pay for the costs of obtaining the required permits. 4. Signs built and/or installed without Landlord's and County's approval and permit, or contrary to corrections made by Landlord or City, shall be altered to conform to these standards at the Tenant's expense. If Tenant's sign has not been brought into conformance within fifteen (15) days after wwitten notice from Landlord, then Landlord shall have the right to correct said sign at the expense of the Tenant; provided, however, if the problem cannot be corrected within that time, as long as Tenant has begun a cure within that time and at all times thereafter diligently pursues a cure, Tenant shall have such additional time as, is reasonably necessary. 5. Approval or disapproval of Tenant's sign drawing, based upon code conformance, aesthetics and design; shall remain the sole right of Landlord. D. Installation of Signs 1. Tenant shall pay for the installationand maintenance of all signs. Landlord will provide primary electrical service stubbed to the approved signage area. 2. It is the responsibility of the Tenant's sign contractor to verify all conduit, transformers and main service locations prior to fabrication and installation of sign. Tenant is responsible for the cost of the electrical hookup of his sign. 3. All signs shall cant' the UL label and be installed per local building codes, including P -K" housing for all illuminated signs. 4. All signs must be installed prior to T'enant's opening for business, unless prior authorization is given by Landlord. C/w--- Page 32 Initials Initials L2003 - AIR COMMERCiAL REAL ESTATE ASSOCIATION rORNI RMTN-1-5/05E EXHIBIT "C" RULES AND REGULATIONS A. REFUSE: All garbage and refuse shall be kept in the CONTAINER SUPPLIED BY LESSEE and placed at the location prepared for refuse collection, in the manner and at the times and places specified by Lessor. B. PARKING: Lessee shall be entitled to park in common with other tenants of Lessor. Lessee agrees not to overburden the parking facilities and agrees to cooperate with Lessor and other tenants in the use of parkingfacilities. Lessor reserves the right in its absolute discretion to determine whether parking facilities are becoming crowded and, in such event, to allocate parking spaces among Lessees or to designate areas within which Lessee must park. Overnight parking is not permitted. Parking of trailers is not permitted. C. SIGN CRITERIA: No sign, placard, picture, advertisement, name or notice shall be inscribed, displayed or printed or affixed on or to any part of the outside or inside of the Building without the written consent of Lessor first obtained and LESSOR SHALI, HAVE THE RIGHT TO REMOVE any non -approved sign, placard, picture, advertisement, name or notice without notice to and AT THE EXPENSE OF LESSEE. Lessee shall be entitled to signage which complies with governmental regulations and similar to that allowed other tenants in the park, subject to Lessor's approval. D. AERIAL: No aerial shall be erected on the roof or exterior walls of the Premises, or on the grounds, without in each instance, the written consent of the Lessor. Any aerial so installed without such written consent shall be subject to removal without notice at any time and any necessary repairs shall be charged back to Lessee. E. NOISE: No loud speakers, televisions, phonographs, radios, or other devices shall be used in a manner so as to be heard or seen outside of the Premises without the prior written consent of the Lessor. F. COMMON AREAS: The outside areas immediately adjoining the Premises shall be kept clean and free from dirt and rubbish by the Lessee to the satisfaction of the Lessor and Lessee shall not place or permit any obstruction or materials in such areas. No exterior storage shall be allowed without permission in writingfromLessor. G. PLUMBING: The plumbing facilities shall not be used for any other purpose than that which they are constructed, and no foreign substance of any kind shall be thrown therein, and the expense of any breakage, stoppage or damage resulting from a violation of this provision shall be borne by Lessee, who shall, or whose employees, agents, or invitees, have caused it. H. FIRE/BURN: Lessee shall not burn any trash or garbage of any kind in or about the Premises, or the park. I. EXTERIOR WALLS: Lessee is responsible for keeping the exterior walls of Lessee's premises clean and free from dirt and markings. ANY REPAIRS NECESSARY SHALL BE CHARGED BACK TO LESSEE. J. NO WORK OR STORAGE OUTSIDE PREMISES: each incident of work or storage outside premises by Lessee shall result in a $500.00 fine to Lessee without further notice to Lessee by Lessor. Page 34 Initials Initials 02003 - AIR COMMERCIAL REAL ESTATE ASSOCIATION FORM RMTN-1-5/05E n ECEI E1 APR 12 2(fll Business Plan CTI Y Or DJA Fi?ND BAR Jason Chen is a national chess master. I am starting the Wing Chess Academy to tutor kids in Chess. I have already done the Chess After School Program in Quail Summit Elementary School and Evergreen Elementary School for two years. This helps their critical thinking. Tutoring will be primary kid private Ion 1 lessons from Coach Jason and Coach Harlin. Each time only one coach will teach the class. Our Classes are divided into two types. Private lesson 1 on 1 and small group classes which is at most 4 students. Private 1 on 1 lesson is good for player who are advanced in chess. Coach will find out their weakness and help them improve faster. Small group 4 students class is good for players who knows the basic rule of chess but wants to learn more. Coach will continue stimulate their interest in chess and training them calculation and build up their own personality. We will teach kids skills and play causal games with them during the class. Parents just need to drop off the kids. Usually they will go to Walmart or Alberton to buy something which is very convenient to them. For quality of our teaching, we will separate the different levels based on their chess ability. Each Class is 30min. They will do l Omin puzzles, 10 min playing games and l Omin review games. Wing Chess Academy Group Class Separated by different levels. Group Class on Monday is from 4:30pm-5:OOpm, 6:00-6:30pm, and 7:30-8:OOpm. Group Class on Wednesday is 6:00-6:30pm. Group Class on Friday is 4:30-5: OOpm, 6:00-6:30pm and 7:30-8:OOpm. Group Class on weekend is 10:00- 10:30am, 11:30-12:OOpm, and 1:00-1:30pm. I am renting 674 sq.ft of office space in Diamond Bar Town Center for this purpose. Group Class & Private Time Table Monday Wednesday Friday Saturday Sunday 10:00-10:30am 10:00-10:30am 11:30-12:00pm 11:30-12:00pm 1:00-1:30pm 1:00-1:30pm 4:30-5:00pm 4:30-5:00pm 2:30-3:00pm(private) 2:30-3:00pm(private) 6:00-6:30pm I 6:00-6:30pm 6:00-6:30pm 4:30-5:00pm(private) 4:30-5:00pm(private) 7:30-8:00pm 7:30-8:00pm 7:30-8:00pm I 7:00-7:30pm(private) I 7:00-7:30pm(private) Jimmy Lin Mayor Ruth M. Low Mayor Pro Tem Carol Herrera Council Member Nancy A. Lyons Council Member Steve Tye Council Member June 2, 2017 City of Diamond Bar 21810 Copley Drive • Diamond Bar, CA 91765-4178 909) 839-7000 . Fax (909) 861-3117 www.DiamondBarCA.gov VIA CERTIFIED MAIL Shijie Chen Diamond Bar Town Center LLC 618 N. McPherrin Ave. 6621 E. Pacific Coast Hwy #270 Monterey Park, CA 91754 Long Beach, CA 90803 Re: Conditional Use Permit No. PL2017-29, for property located at 1155 S. Diamond Bar Blvd., Diamond Bar, CA Dear Applicants: On May 23, 2017, the City of Diamond Bar approved the above -referenced project. Enclosed please find a certified copy of Planning Commission Resolution No. 2017-14 for your records and an Affidavit of Acceptance for the Resolution. Please have the Affidavit signed and notarized and return it to the Planning Division at the address located above. Thank you, and should you have any questions, please contact city staff at 909)839-7030. Sincerely, Stella Marquez, Administrative Coordinator to Natalie T. Espinoza, Assistant Planner Enclosures s 1, 2, and S. A. Signature I 0 Agent I e and address on the reverse X 0 Addressee i return the card to you. B. Received by (Printed Name) C. Date of Delivery d to the back of the mailplece, I if space permits. Q r • -2 D. Is deliveryaddress different frotkitem i? 0 Yes I d to: If YES, enter delivery address below: 0 No I lerrin Ave. d to: I I Irk, CA 91754 If YES, enter delivery address below: 0 No I down Center LLC 3. Service Type P Priority Melt Express® o Adult Signature Adwt signature 0 RegFt. gistered Ma1. dli n IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII pperttledMadReat3 sptedbtricted ° very" Rata Aeecelptto"` re°' i Aenature sa220066123252209CollectonDelivery0SignatureConfrmation*e I transfer from services lanae Collect on Delivery Restricted Delivery Insured Mail 3 Signature Co ion liveryRestrictedDelivery aoa 7102 5408 Insured Mail Restricted Delivery over 2006 6123 2521 93 Mail® 2 0 Certified Mail Restricted Deliveryfar04E71 Domestic Return Receipt July 2015 PSN 7530-02-000.9053 0 Signature Confirmationtran;lar from Service fabe0 1s 1, 2, and 3. A. Signature I is and address on the reverseX 0 Agent I return the card to you, 0 Addressee R• Received by (Printed Name) C. Date of Deliverydtothebackofthemailplece, if space permits. Orj r 19 - )- d to: D. Is delivery address differentfrom item 17 Oyes, i If YES, enter delivery address below: 0 No I down Center LLC Coast Hwy #270 A 90803 I 3. Se vloe3. Service Type RdodtyMail a® Lure Merr- El Registered Maine0IIIIIIIIIIIIIIIIIIIIIIi111111110AdultSignatureRestrictedDeliveryResMctedertHied 2006 6123 2521 93 Mail® 2 0 Certified Mail Restricted Deliveryfar04E71CollectonDelivery D Colied on Delivery Restricted Deliveryrmation*"' insured Mail 0 Signature Confirmationtran;lar from Service fabe0 a a a o 7102 5 415nsuredd MeMe Restrictedoelivery Restricted Delivery nsur July 2015 PSN 7530-02-000-9053 Domestic Return Receipt AFFIDAVIT OF ACCEPTANCE STATE OF CALIFORNIA COUNTY OF LOS ANGELES CITY OF DIAMOND BAR PLANNING COMMISSION RESOLUTION NO. 2017-14 related to Conditional Use Permit No. 2017-29 for property located at 1155 S. Diamond Bar Blvd., Unit T, Diamond Bar, CA I] [WE] the undersigned state: I am] [We are] the owner/applicant of the real property described in the above -numbered Planning Commission Resolution. I am] [We are] aware of, and accept, all the stated conditions in said Planning Commission Resolution No. 2017-14. I] [We] certify (or declare) under the penalty of perjury that the foregoing is true and correct. Where the owner and applicant are not the same, both must sign) Type or Print Applicant Name Address City, State Signature Owner Name Address City, State Signature This signature must be acknowledged by a notary public. Attach appropriate acknowledgements. CERTIFICATE OF MAILING I, Stella Marquez, hereby certify that on Friday, June 2, 2017, 1 mailed [a copy/copies] of City of Diamond Bar Planning Commission Resolution No. 2017-14, documenting the Commission's final decision made at the close of the hearing on Tuesday, May 23, 2017, concerning the Conditional Use Permit of applicants, Shijie Chen, and Diamond Bar Town Center, for the property located at 1155 S. Diamond Bar Blvd., Unit T, Diamond Bar, CA, and that [a copy or copies] of the resolution [was/were] transmitted, by placing it/them in [a] sealed envelope(s) via prepaid Certified Mail Receipt, addressed to the following and depositing [it/them] in the U.S. Mail: Shijie Chen Diamond Bar Town Center LLC 618 N. McPherrin Ave. 6621 E. Pacific Coast Hwy #270 Monterey Park, CA 91754 Long Beach, CA 90803 I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct. Executed at Diamond Bar, California, on June 2, 2017. By . Stella Marquez Administrative Co rdinator Jimmy Lin Mayor Ruth M. Low Mayor Pro Tem Carol Herrera Council Member Nancy A. Lyons Council Member Steve Tye Council Member March 20. 2017 City of Diamond Bar 21810 Copley Drive • Diamond Bar, CA 91765-4178 Shijie Chen 618 N. Mcpherrin Ave. Monterey Park, CA 91754 Subject: First Review Project Location: Dear Applicants: On February 22, 2017, the above Planning Division for review of a within Diamond Bar Town Center. materials, and in accordance with 909) 839-7000 . Fax (909) 861-3117 www.DiamondBarCA.gov Linda Kanski Diamond Bar Town Center, LLC 6621 E. Pacific Coast Highway #270 Long Beach, CA 90803 Conditional Use Permit No. PL 2017-29 1155 S. Diamond Bar Blvd. Unit T Diamond Bar, CA 91765 referenced application was submitted to the request to operate a chess tutoring business The Planning Division reviewed the submitted California Government Code Section 65943, hereby deems the application incomplete. To facilitate the continued processing of your application, please address all of the comments identified in the attached correction list. Please submit the requested information to the Planning Division along with three (3) full-size copies of the revised plans, and one 11 "X17" set of plans to the Planning Division. The information and/or plans necessary to deem the application complete should be received within 60 days from the date of this letter. Should you have any questions regarding the review process, or if I can be of further assistance, please feel free to contact me at (909) 839-7034. Our office hours are 7:30 a.m. to 5:30 p.m. Monday through Thursday, and Friday 7:30 a.m. to 4:30 p.m. Sincerely, TIV Natalie . Espinoza Assistant Planner Enclosures CONDITIONAL USE PERMIT NO. PL 2017-29 Chess Tutoring 1155 S. Diamond Bar Blvd. Unit T, Diamond Bar, CA 91765 CORRECTIONS, COMMENTS AND SUBMITTAL REQUIREMENTS — IST REVIEW NOTE: The corrections listed below pertain only to the plans submitted for Development Review approval. Construction documents submitted for building permit issuance will be subject to a separate submittal and plan check process. Planning Division (909) 839-7034 — Please address the following: A. Incompleteness Items — Additional information is needed for a thorough review of this application to take place. Below is a list of the documents and information that must be submitted. Upon review of this information, additional comments may follow. 1. Our records indicate there are 197 parking spaces for the shopping center, but the site plan shows 200 parking spaces. Revise the site plan to show the correct amount of parking spaces. 2. Revise the site plan to be clear and legible. Additionally, the sheets with the site plan and floor plan shall be the same size. 3. Revise the site plan to show the following: i. The square -footage of the unit; ii. The correct number of existing parking spaces; iii. The total number of required parking spaces. Required parking spaces are calculated as one space for each 200 square feet of gross floor area, plus one space for each employee. 4. Revise the business description to include the maximum number of employees at any one time. Additionally, submit a schedule of classes. 5. Our records indicate the shopping center is 39,965 square feet. Revise the multi -tenant initial parking study to show the correct square -footage of the shopping center. 6. The proposed business does not meet parking demand based on the current information that has been provided, per our phone conversation on March 16, 2017. Staff suggests reducing the number of students and scheduling classes with 30 -minute breaks between classes so the parking demand for the classes does not overlap. Otherwise, submit a parking study analyzing the parking demand for all uses in the center. O:\CUP\Diamond Bar 1155 Unit T CUP PL2017-29\Incomplete 1 3-14-17.docx II. Conditions of Approval — Upon project approval, the following requirements shall be incorporated into the conditions of approval: A. Building and Safety Division (909) 839-7020: No construction is considered under this permit application. 2. The maximum students at a time shall be no more than 10. 3. The applicant is responsible for readily achievable ADA upgrades required by Federal law. 1:4041C O:\CUP\Diamond Bar 1155 Unit T CUP PI-2017-29\Incomplete 1 3-14-17.docx Jimmy Lin Mayor Ruth M. Low Mayor Pro Tem Carol Herrera Council Member Nancy A. Lyons Council Member Steve Tye Council Member May 1, 2017 City of Diamond Bar 21810 Copley Drive Diamond Bar, CA 91765-4178 Shijie Chen 618 N. Mcpherrin Ave. Monterey Park, CA 91754 Subject: Complete Letter Project Location Dear Applicants: 909) 839-7000 • Fax (909) 861-3117 www.DiamondBarCA.gov Linda Kanski Diamond Bar Town Center, LLC 6621 E. Pacific Coast Highway #270 Long Beach, CA 90803 Conditional Use Permit No. PL2017-29 1155 S. Diamond Bar Blvd. Unit T Diamond Bar, CA 91765 Thank you for your resubmittal on April 12, 2017. The application is deemed complete with the following conditions: 1. Revise the information in the parking study table on the site plan with the following: use Sq. Ft. Parking Ratio Parking Required, Parking 7:2 Provided Shopping Center 36,968 11200 sq. ft. 148 Kumon Math & 1,147 11200 sq. ft. plus 1 per 11 Reading Center employee Fibo Art School 1,175 11200 sq. ft. plus 1 per 10 employee Proposed 1/200 sq. ft. plus 1 per Chess Tutoring 675 employee 4 Totall 39,965 1 1 173 198 2. Submit twenty (20) 11"X17" sets of plans and to the Planning Division by Thursday, May 11, 2017. A hearing before the Planning Commission is tentatively scheduled for Tuesday, May 23, 2017, at 7:00 p.m., and will take place at Diamond Bar City Hall — Windmill Community Room, 21810 Copley Drive, Diamond Bar, CA 91765. The Planning Commission agenda, staff report and draft resolution will be mailed to you by Friday, May 19, 2017. It is required that the project site be posted with a public hearing notice board. For your convenience, we have included specifications for the board and a list Shijie Chen Linda Kanski Page 2 May 1, 2017 of sign companies who construct public hearing notice boards. A copy of the enclosed public hearing notice must be affixed to the board as illustrated on the specification sheet. The project site must be posted by Friday, May 12, 2017. Please provide the Planning Division with a dated photograph of the posted board as evidence of posting. Failure to post the site by the deadline will result in a postponement of the Planning Commission hearing date. Should you have any questions regarding the review process, or if I can be of further assistance, please feel free to contact me at (909) 839-7034 between 7:30 a.m. to 5:30 p.m. Monday through Thursday, and 7:30 a.m. to 4:30 p.m. on Friday or N Espinoza(D_DiamondBarCA.gov. Sincerely, Nata ie T. Espinoza Assistant Planner Enclosure PLANNING COMMISSION RESOLUTION NO. 2017-14 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF DIAMOND BAR, CALIFORNIA, APPROVING CONDITIONAL USE PERMIT NO. PL2017-29, TO OPERATE A 675 SQUARE -FOOT CHESS SCHOOL WITHIN A 39,965 SQUARE -FOOT MULTI -TENANT SHOPPING CENTER LOCATED AT 1155 SOUTH DIAMOND BAR BOULEVARD, UNIT T, DIAMOND BAR, CA (APN 8717-031-010). A. RECITALS 1. Property owner, Diamond Bar Town Center LLC, and applicant, Shijie Chen, have filed an application for Conditional Use Permit No. PL 2017-29 to operate a 675 square -foot chess school located within an existing shopping center. The project site is more specifically described as 1155 S. Diamond Bar Blvd., Unit T, Diamond Bar, Los Angeles County, California. Hereinafter in this resolution, the subject Conditional Use Permit shall collectively be referred to as the "Project" or "Proposed Use." 2. The subject property is comprised of a 1.24 gross acre parcel. It is located in the Regional Commercial (C-3) zone with a General Plan land use designation of General Commercial. 3. The Assessor's Parcel Number is 8717-031-010. 4. On May 12, 2017, notification of the public hearing for this project was published in the San Gabriel Valley Tribune and the Inland Valley DailV Bulletin newspapers. On May 10, 2017, public hearing notices were mailed to property owners within a 700 -foot radius of the Project site and posted at the City's designated community posting sites. 5. On May 23, 2017, the Planning Commission of the City of Diamond Bar conducted a duly noticed public hearing, solicited testimony from all interested individuals, and concluded said hearing on that date. NOW, THEREFORE, it is found, determined and resolved by the Planning Commission of the City of Diamond Bar as follows: 1. The Planning Commission hereby specifically finds that all of the facts set forth in the Recitals, Part A, of this Resolution are true and correct. 2. The Planning Commission hereby determines the Project to be Categorically Exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to the provisions of Article 19, Section 15301(a) (Interior alterations involving partitions and electrical conveyances) of the CEQA 'Guidelines. Therefore, no further environmental review is required. C. FINDINGS OF FACT Based on the findings and conclusions set forth herein and as prescribed under Diamond Bar Municipal Code (DBMC) Section 22.58, this Planning Commission hereby finds and approves as follows: Conditional Use Permit Review Findings (DBMC Section 22.58) The Proposed Use is allowed within the subject zoning district with the approval of a conditional use permit and complies with all other applicable provisions of this Development Code and the Municipal Code. Pursuant to DBMC Section 22.10.030, Table 2-6, a non -degree school is permitted in the C-3 zoning district with approval of a conditional use permit. Through compliance with the conditions of approval stipulating the manner in which the use must be conducted, the proposed use will be compatible with neighboring uses in the shopping center and surrounding neighborhood. The Proposed Use is consistent with the general plan and any applicable specific plan. The Proposed Use is consistent with General Plan Strategy 1.3.3: Encourage neighborhood serving retail and service commercial uses') in that the proposed chess school meets Strategy 1.3.3 because the proposed chess school provides services to Diamond Bar residents. The Project site is not subject to the provisions of any specific plan. 3. The design, location, size and operating characteristics of the Proposed Use are compatible with the existing and future land uses in the vicinity. The Proposed Use is located within a multi -tenant shopping center occupied by retail stores, restaurants, personal service uses, tutoring center and art school. The existing gross floor area of the shopping center requires 148 parking spaces, the existing tutoring center requires 11 parking spaces, the existing art studio requires 10, and the proposed chess school requires 4 parking spaces based on Development Code requirements. There are 198 off-street parking spaces located at the existing project site, which will thus 2 PC Resolution No. 2017-14 exceed the requirement by providing a technical surplus of 25 parking spaces. The varying uses result in a range of peak business hours and parking demands. Assuming that the instructor and each student arrives in a separate vehicle, the proposed use could potentially generate a demand for five parking spaces. In addition, class times are spaced between one to two hour gaps to limit the demand for parking spaces during the chess school's operating hours. Therefore, staff does not foresee any parking issues at the site. As such, the operational characteristics and parking demands anticipated to be associated with the Proposed Use are compatible with the existing uses within the center. Through compliance with the conditions of approval stipulating the manner in which the use must be conducted, the Proposed Use will be compatible with the other uses within the shopping center. 4. The subject site is physically suitable for the type and density/intensity of use being proposed, including access, provision of utilities, compatibility with adjoining land uses, and the absence of physical constraints. The Project site is located within an existing shopping center that currently has similar uses, such as a tutoring center and an art school. The Proposed Use is physically suitable with the subject site because it will be located in an existing building and no additional square footage is being proposed. In addition, the proposed use is intended to operate within an existing shopping center and will be using existing access and parking in the center. 5. Granting the conditional use permit will not be detrimental to the public interest, health, safety, convenience, or welfare, or injurious to persons, property, or improvements in the vicinity and zoning district in which the property is located. Prior to the issuance of any city permits, the Project is required to comply with all conditions of approval within the attached resolution, and the Building and Safety Division. 6. The proposed Project has been reviewed in compliance with the provisions of the California Environmental Quality Act (CEQA). The proposed use is categorically exempt from the provisions of the California Environmental Quality Act (CEQA) as set forth under Article 19 Section 15301(a) (Interior alterations involving partitions and electrical conveyances) of the CEQA Guidelines. 3 PC Resolution No. 2017-14 D. CONDITIONS OF APPROVAL Based upon the findings and conclusion set forth above, the Planning Commission hereby approves Conditional Use Permit No. PL2017-29 subject to the following conditions: This approval is for the establishment and continued operation of a chess school as described in the application on file with the Planning Division, the Planning Commission staff report for Conditional Use Permit No. PL2017-29 dated May 23, 2017, and the Planning Commission minutes pertaining thereto, hereafter referred to as the "Use." 2. The Use shall substantially conform to the approved plans as submitted and approved by the Planning Commission and on file with the Community Development Department. This Conditional Use Permit shall be valid only for 1155 S. Diamond Bar Blvd., Unit T, as depicted on the approved plans on file with the Planning Division. If the proposed use moves to a different location or expands into additional tenant spaces, the approved Conditional Use Permit shall terminate and a new Conditional Use Permit, subject to Planning Commission and/or City Council approval shall be required for the new location. If the Use ceases to operate, the approved Conditional Use Permit shall expire without further action by the City. 4. If, at any time, the City finds that the Use is the cause of a parking deficiency or other land use impact, the Community Development Director may refer the matter back to the Planning Commission to consider amending this Conditional Use Permit to address such impacts. 5. No changes to the approved scope of services comprising the use shall be permitted unless the applicant first applies for an amendment to this Conditional Use Permit, pays all application processing fees and receives approval from the Planning Commission and/or City Council. The Planning Commission shall: a) Certify to the adoption of this Resolution; and b) Forthwith transmit a certified copy of this Resolution, by certified mail to the property owner, Diamond Bar Town Center, LLC, 6621 E. Pacific Coast Highway #270, Long Beach, CA 90803; and applicant, Shijie Chen, 618 N. McPherrin Ave., Monterey Park, CA 91754. 4 PC Resolution No. 2017-14 0 APPROVED AND ADOPTED THIS 231d DAY OF MAY, 2017, BY THE PLANNING COMMISSION OF THE CITY OF DIAMOND BAR. By: v" Raymo Wolfe, C irma I, Greg Gubman, Planning Commission Secretary, do hereby certify that the foregoing Resolution was duly introduced, passed, and adopted, at a regular meeting of the Planning Commission held on the 231d day of May, 2017, by the following vote: AYES: Commissioners: Barlas, Farago, Mahlke, VC/Mok, Chair/Wolfe NOES: Commissioners: None ABSENT: Commissioners: None ABSTAIN: Commissioners: None ATTEST: Greg Gubman, Secretary 5 CUP No. PL2017-29 COMMUNITY DEVELOPMENT DEPARTMENT STANDARD CONDITIONS USE PERMITS, COMMERCIAL AND RESIDENTIAL NEW AND' REMODELED STRUCTURES PROJECT #: Conditional Use Permit No. PL2017-29 SUBJECT: To operate a 675 square -foot chess school within a 39,965 square -foot multi -tenant shopping center. PROPERTY Diamond Bar Town Center, LLC OWNER(S): 6621 E. Pacific Coast Highway #270 Long Beach, CA 90803 APPLICANTS: Shijie Chen 618 N. McPherrin Ave. Monterey Park, CA 91754 LOCATION: 1155 S Diamond Bar Blvd. Unit T. Diamond Bar, CA 91765 ALL OF THE FOLLOWING CONDITIONS APPLY TO YOUR PROJECT. APPLICANT SHALL CONTACT THE PLANNING DIVISION AT (909) 839-7030, FOR COMPLIANCE WITH THE FOLLOWING CONDITIONS: A. GENERAL REQUIREMENT S The applicant shall defend, indemnify, and hold harmless -the City, and its officers, agents and employees, from any claim, action, or proceeding to attack, set-aside, void, or annul the approval of Conditional Use Permit No. PL 2017-29 brought within the time period provided by Government Code Section 66499.37. In the event the city and/or its officers, agents and employees are made a party of any such action: a) Applicant shall provide a defense to the City defendants or at the City's option reimburse the City its costs of defense, including reasonable attorneys fees, incurred in defense of such claims. 6 PC Resolution No. 2017-14 b) Applicant shall promptly pay any final judgment rendered against the City defendants. The City shall promptly notify the applicant of any claim, action of proceeding, and shall cooperate fully in the defense thereof. 2. This approval shall not be effective for any purpose until the applicant and owner of the property involved have filed, within twenty-one 21) days of approval of this Conditional Use Permit No. PL 2017-29 at the City of Diamond Bar Community Development Department, their affidavit stating that they are aware of and agree to accept all the conditions of this approval. Further, this approval shall not be effective until the applicants pay remaining City processing fees, school fees and fees for the review of submitted reports. The business owners and all designers, architects, engineers, and contractors associated with this project shall obtain a Diamond Bar Business License, and zoning approval for those businesses located in Diamond Bar. 4. Prior to any use of the project site or business activity being commenced thereon, all conditions of approval shall be completed. The project site shall be maintained and operated in full compliance with the conditions of approval and all laws, or other applicable regulations. Approval of this request shall not waive compliance with all sections of the Development Code, all other applicable City Ordinances, and any applicable Specific Plan in effect at the time of building permit issuance. To ensure compliance with all conditions of approval and applicable codes, the Conditional Use Permit shall be subject to periodic review. If non-compliance with conditions of approval occurs, the Planning Commission may review the Conditional Use Permit. The Commission may revoke or modify the Conditional Use Permit. Property owner/applicant shall remove the public hearing notice board within three (3) days of this project's approval. The applicant shall comply with the requirements of City Planning, Building and Safety Divisions, Public Works Department, and the Fire Department. B. FEES/DEPOSITS 1. Applicant shall pay development fees (including but not limited to Planning, Building and Safety Divisions, and Public Works Department) 7 PC Resolution No. 2017-14 at the established rates, prior to issuance of building permits, as required by the City. School fees as required shall be paid prior to the issuance of building permit. In addition, the applicant shall pay all remaining prorated City project review and processing fees prior to issuance of grading or building permit, whichever comes first. 2. Prior to any plan check, all deposit accounts for the processing of this project shall have no deficits. C. TIME LIMITS The approval of Conditional Use Permit No. PL2017-29 shall expire within one (1) year from the date of approval if the use has not been exercised as defined per DBMC 22.66.050 (b)(1). The applicant may request in writing a one year time extension subject to DBMC Section 22.60.050(c) for Planning Commission approval. APPLICANT SHALL CONTACT THE BUILDING AND SAFETY DIVISION, 909) 839-7020, FOR COMPLIANCE WITH THE FOLLOWING CONDITIONS: 1. No construction is considered under this permit application. 2. The maximum students at a time shall be no more than 10, plus one instructor. 3. The applicant is responsible for readily achievable ADA upgrades required by Federal law. 8 PC Resolution No. 2017-14 PLANNING COMMISSION AGENDA May 23, 2017 7:00 P.M. City Hall, Windmill Community Room 21810 Copley Drive Diamond Bar, CA 91765 Chairperson Vice Chairperson Commissioner Commissioner Commissioner Raymond Wolfe Ken Mok Naila Barlas Frank Farago Jennifer "Fred" Mahlke Copies of staff reports or other written documentation relating to agenda items are on file in the Planning Division of the Community Development Department, located at 21810 Copley Drive, and are available for public inspection. If you have questions regarding an agenda item, please call (909) 839-7030 during regular business hours. Written materials distributed to the Planning Commission within 72 hours of the Planning Commission meeting are available for public inspection immediately upon distribution in the City Clerk's office at 21890 Copley Drive, Diamond Bar, California, during normal business hours. In an effort to comply with the requirements of Title iI of the Americans with Disabilities Act of 1990, the City of Diamond Bar requires that any person in need of any type of special equipment, assistance or accommodations) in order to communicate at a City public meeting must inform the Community Development Department at 909) 839-7030 a minimum of 72 hours prior to the scheduled meeting. II1)VUIOn`n Har..1] Please refrain from smoking, eating or The City of Diamond Bar uses recyciea drinking in the Windmill Community Room paper and encourages you to do the same City of Diamond Bar Planning Commission MEETING RULES PUBLIC INPUT The meetings of the Diamond Bar Planning Commission are open to the public. A member of the public may address the Commission on the subject of one or more agenda items and/or other items of which are within the subject matter jurisdiction of the Diamond Bar Planning Commission. A request to address the Commission should be submitted in writing at the public hearing, to the Secretary of the Commission. As a general rule, the opportunity for public comments will take place at the discretion of the Chair. However, in order to facilitate the meeting, persons who are interested parties for an item may be requested to give their presentation at the time the item is called on the calendar. The Chair may limit individual public input to five minutes on any item; or the Chair may limit the total amount of time allocated for public testimony based on the number of people requesting to speak and the business of the Commission. Individuals are requested to conduct themselves in a professional and businesslike manner. Comments and questions are welcome so that all points of view are considered prior to the Commission making recommendations to the staff and City Council. In accordance with State Law (Brown Act), all matters to be acted on by the Commission must be posted at least 72 hours prior to the Commission meeting. In case of emergency or when a subject matter arises subsequent to the posting of the agenda, upon making certain findings, the Commission may act on item that is not on the posted agenda. INFORMATION RELATING TO AGENDAS AND ACTIONS OF THE COMMISSION Agendas for Diamond Bar Planning Commission meetings are prepared by the Planning Division of the Community Development Department. Agendas are available 72 hours prior to the meeting at City Hall and the public library, and may be accessed by personal computer at the contact information below. Every meeting of the Planning Commission is recorded and duplicate recordings are available for a nominal charge. ADA REQUIREMENTS A cordless microphone is available for those persons with mobility impairments who cannot access the public speaking area. The service of the cardless microphone and sign language interpreter services are available by giving notice at least three business days in advance of the meeting. Please telephone 909) 839-7030 between 7:30 a.m. and 5:30 p.m., Monday through Thursday, and 7:30 a.m. and 4:30 p.m., Friday. HELPFUL CONTACT INFORMATION Copies of Agenda, Rules of the Commission, CDs of Meetings (909) 839-7030 Email: infoa-diamondbarca.gov Website: www.diamondbarca.gov CITY OF DIAMOND BAR PLANNING COMMISSION Tuesday, May 23, 2017 AGENDA CALL TO ORDER: 7:00 p.m. PLEDGE OF ALLEGIANCE: Next Resolution No. 2017-12 1. ROLL CALL: COMMISSIONERS: Naila Barlas, Frank Farago, Jennifer Fred" Mahlke, Vice Chairperson Ken Mok, Chairperson Raymond Wolfe 2. MATTERS FROM THE AUDIENCE/PUBLIC COMMENTS: This is the time and place for the general public to address the members of the Planning Commission on any item that is within their jurisdiction, allowing the public an opportunity to speak on non-public hearing and non -agenda items. Please complete a Speaker's Card for the recordinq Secretary com letionof this form is voluntary). There is a five-minute maximum time limit when addressing_the Planning Commission. 3. APPROVAL OF AGENDA: Chairperson 4. CONSENT CALENDAR: The following items listed on the consent calendar are considered routine and are approved by a single motion. Consent calendar items may be removed from the agenda by request of the Commission only: 4.1 Minutes of Regular Meeting: May 9, 2017 5. OLD BUSINESS: None 6. NEW BUSINESS: 6.1 Review of Fiscal Year 2017-2018 Capital Improvement Program CIP - Conformity with the General Plan. Recommendation: Staff recommends that the Planning Commission adopt a Resolution finding the proposed Fiscal Year 2017-2018 Capital Improvement Program in conformance with the General Plan. MAY 23, 2017 PAGE 2 PLANNING COMMISSION 7. PUBLIC HEARING(S): 7.1 Development Review No. PL2016-204 — Under the authority of Diamond Bar Municipal Code Section 22.48, the applicant and property owners are requesting Development Review approval to construct a 460 square -foot addition and 58 square -foot porch to an existing 2,077 square -foot single story residence with a 460 square -foot garage and 250 square -foot sunroom on a 0.18 gross acre 7,800 gross square -foot) lot. The subject property is zoned Low Density Residential (RL) with an underlying General Plan land use designation of Low Density Residential. Project Address: 3372 Falcon Ridge Road Property Owner: Bill Dominguez and Karen Peng 3372 Falcon Ridge Road Diamond Bar, CA 91765 Applicant: Jason Sun 3018 E. Colorado Blvd., #150 Pasadena, CA 91107 Environmental Determination: The project has been reviewed for compliance with the California Environmental Quality Act (CEQA). Based on that assessment, the City has determined the project to be Categorically Exempt from the provisions of CEQA pursuant to Article 19 under Section 15301(e) (additions to existing structures) of the CEQA Guidelines. No further environmental review is required. Recommendation: Staff recommends that the Planning Commission approve Development Review PL2016-204, based on the Findings of Fact, and subject to the conditions of approval as listed within the draft resolution. 7.2 Conditional Use Permit No. PL2017-29 — Under the authority of Diamond Bar Municipal Code Section 22.58, the applicant is requesting a Conditional Use Permit to operate a chess school within a 675 square -foot unit located at Diamond Bar Town Center. The subject property is zoned Regional Commercial (C-3) with an underlying General Plan land use designation of General Commercial. Project Address: 1155 S. Diamond Bar Blvd., Unit T Property Owner: Diamond Bar Town Center, LLC 6621 E. Pacific Coast Highway, #270 Long Beach, CA 90803 MAY 23, 2017 PAGE 3 PLANNING COMMISSION 8. a 10. Applicant: Shijie Chen 618 N. McPherrin Ave. Monterey Park, CA 91754 Environmental Determination: The project has been reviewed for compliance with the California Environmental Quality Act (DEQA). Based that assessment, the City has determined the project to be Categorically Exempt from the provisions of CEQA pursuant to Article 19 of Section 15301(a) (interior alterations involving such things as interior partitions, plumbing, and electrical conveyances) of the CEQA Guidelines. No further environmental review is required. Recommendation: Staff recommends that the Planning Commission approve Conditional Use Permit PL2017-29, based on the Findings of Fact, and subject to the conditions of approval as listed within the draft resolution. PLANNING COMMISSION COMMENTS I INFORMATIONAL ITEMS: STAFF COMMENTS 1 INFORMATIONAL ITEMS: 9.1 Public Hearing dates for future projects SCHEDULE OF FUTURE EVENTS: PARKS AND RECREATION COMMISSION MEETING: MEMORIAL DAY HOLIDAY: CITY COUNCIL MEETING: TRAFFIC AND TRANSPORTATION COMMISSION MEETING: Thursday, May 25, 2017, 7:00 pm Diamond Bar City Hall Windmill Community Room 21810 Copley Drive Monday, May 29, 2017 In observance of the holiday, City Offices will be closed. City offices will re -open on Tuesday, May 30, 2017 Tuesday, June 6, 2017 — 6:30 pm South Coast Air Quality Management District Auditorium 21825 Copley Drive Thursday, June 8, 2017, 7:00 pm Diamond Bar City Hall Windmill Community Room 21810 Copley Drive MAY 23, 2017 PAGE 4 PLANNING COMMISSION PLANNING COMMISSION Tuesday, June 13, 2017, 7:00 pm MEETING: Diamond Bar City Hall Windmill Community Room 21810 Copley Drive 11. ADJOURNMENT: MINUTES OF THE CITY OF DIAMOND BAR MEETING OF THE PLANNING COMMISSION MAY 23, 2017 CALL TO ORDER: Chair/Wolfe called the meeting to order at 7:00 p.m. in the City Hall Windmill Room, 21810 Copley Drive, Diamond Bar, CA 91765. PLEDGE OF ALLEGIANCE: Chairperson Wolfe asked for a moment of silence for the Manchester murder victims after which he led the Pledge of Allegiance. 4 0 4. ROLL CALL: Present: Commissioners Frank Farago, Jennifer "Fred" Mahlke, Vice Chairperson Ken Mok, and Chairperson Raymond Wolfe Absent: Commissioner Naila Barlas Also present: Greg Gubman, Community Development Director; James Eggart, Assistant City Attorney; David Liu, Public Works Director; Grace Lee, Senior Planner; Natalie T. Espinoza, Assistant Planner; and Stella Marquez, Administrative Coordinator. MATTERS FROM THE AUDIENCEIPUBLIC COMMENTS: None Offered APPROVAL OF AGENDA: As presented. CONSENT CALENDAR: 4.1 Minutes of the Regular Meeting of May 9, 2017: C/Mahlke moved, VCIMok seconded, to approve the Minutes of the Regular Meeting of May 9, 2017, as presented. Motion carried by the following Roll Call vote: AYES: NOES: ABSENT: 5. OLD BUSINESS: 6. NEW BUSINESS: COMMISSIONERS: COMMISSIONERS COMMISSIONERS None Farago, Mahlke VCIMok, Chair/Wolfe None Barlas 6.1 Review of Fiscal Year 2017-2018 Capital Improvement Program (CIP) — Conformity with the General Plan. MAY 23, 2017 PAGE 2 PLANNING COMMISSION SP/Lee provided staff's report and recommended that the Planning Commission adopt a Resolution finding the proposed Fiscal Year 2017-2018 Capital Improvement Program to be in conformance with the General Plan. C/Farago said he was concerned about the Diamond Bar Center roof item knowing that the Center was about 13 years old. Chair/Wolfe reiterated his concern from a year ago that the Center have a longer -life roof when replaced. PWD/Liu said the building was built in 2004 and the roof project is a rehabilitation project and not a replacement project that calls for an application of seal coating to extend its life. When the roof was designed it was not meant to go beyond a 20 -year life and the rehab project will extend the service life of the existing roof. This is year two of the current four-year rehab plan. ClFarago asked what type of roof and PWD/Liu said it is a combination tile and metal roof. VCIMok asked if the roof was failing and PWD/Liu said this is a preventative measure. Chair/Wolfe proposed that while the CIP text refers to rehabilitation but the title is DBC Roofing Replacement Phase Il the title could be changed to amend the title to Rehabilitation instead of Replacement. ChairNVolfe moved, VCIMok seconded, to adopt a Resolution finding the proposed Fiscal Year 2017-2018 Capital Improvement Program in conformance with the General Plan with revision to the title to read: DBC Roofing Rehabilitation Phase II instead of DBC Roofing Replacement Phase H. Motion carried by the following Roll Call vote: AYES: COMMISSIONERS: NOES: COMMISSIONERS ABSENT: COMMISSIONERS 7. PUBLIC HEARING(S): Farago, Mahlke VCIMok, Chair/Wolfe None Barlas 7.1 Development Review No. PL2016-204 — Under the authority of Diamond Bar Municipal Code Section 22.48, the applicant and property owner requested Development Review approval to construct a 460 square foot addition and 58 square foot porch to an existing 2,077 square foot single story residence with a 460 square foot garage and 250 square foot sunroom on a 0.18 gross acre (7,800 gross square foot) lot. The subject property is zoned Low Density Residential (RL) with an underlying General Plan land use designation of Low Density Residential. PROJECT ADDRESS: 3372 Falcon Ridge Road Diamond Bar, CA 91765 MAY 23, 2017 PAGE 3 PLANNING COMMISSION PROPERTY OWNER: Bill Dominguez and Karen Peng 3372 Falcon Ridge Road Diamond Bar, CA 91765 APPLICANT: Jason Sun 3018 E. Colorado Boulevard #150 Pasadena, CA 91107 AP/Espinoza presented staff's report and recommended Planning Commission approval of Development Review No. PL2016-204 as recommended by staff, Findings of Fact, and subject to the conditions of approval as listed in the Resolution. ChairNVolfe asked if the existing sunroom was an addition from an earlier date and AP/Espinoza said it was not an addition but an attached accessory structure. Steve Kwang, representing the applicant, said .he had no statement but would respond to questions. ChairlWolfe opened the public hearing. With no on present who wished to speak on this item, Chair/ Wolfe closed the public hearing. ClFarago moved, ClMahlke seconded to approve Development Review No. PL2016-204, with the Findings of Fact, and subject to the conditions of approval as listed within the Resolution. Motion carried by the following Roll Call vote: AYES: COMMISSIONERS: Farago, Mahlke, VCIMok Chair/Molfe NOES: COMMISSIONERS: None ABSENT: COMMISSIONERS: Barlas 7.2 Conditional Use Permit No. P12017-29 — Under the authority of Diamond Bar Municipal Code Section 22.58, the applicant requested a Conditional Use Permit to operate a chess school within a 675 square foot unit located at Diamond Bar Town Center. The subject property is zoned Regional Commercial (C-3) with an underlying General Plan land use designation of General Commercial PROJECT ADDRESS: PROPERTY OWNER: 1155 S. Diamond Bar Blvd, Unit T Diamond Bar, CA 91765 Diamond Bar Town Center, LLC 6621 E. Pacific Coast Highway #270 Long Beach, CA 90803 MAY 23, 2017 PAGE 4 PLANNING COMMISSION APPLICANT: Shijie Chen 618 N. McPherrin Avenue Monterey Park, CA 91754 AP/Espinoza presented staff's report and recommended Planning Commission approval of Conditional Use Permit PL2017-29, based on the Findings of Fact, and subject to the conditions of approval as listed within the resolution. Shijie Chen thanked the Commission for reviewing their application and had no further comment. VC/Mok thanked the applicant for considering Diamond Bar for his business. He asked if students attending the school will be transported by their parents or will there be a bus picking them up from local schools for transport. Mr. Chen said only by their parents. Chair/Wolfe opened the public hearing. There being no one who wished to speak on this matter, Chair/Wolfe closed the public hearing. VCNVolfe moved, C/Mahlke seconded, to Approve Conditional Use Permit PL2017-29, based on the Findings of Fact, and subject to the conditions of approval as listed within the resolution. Motion carried by the following Roll Call vote: AYES: COMMISSIONERS: Farago, Mahlke, VCIMok Chair//Wolfe NOES: COMMISSIONERS: None ABSENT: COMMISSIONERS: Barlas 9. PLANNING COMMISSIONER COMMENTS/INFORMATIONAL ITEMS: None 10. STAFF COMMENTSl1NFORMATIONAL ITEMS: 10.1 Public Hearing dates for future proiects. CDD/Gubman said that the next scheduled Planning Commission meeting date is June 13 and there are no items scheduled for that agenda. Therefore, the next scheduled meeting will be June 27. Prior to the next Planning Commission the Concerts in the Park/Movies under the Stars series will begin on Wednesday, June 14. For most of the series there will be a General Plan pop-up booth starting with the first concert. On Thursday, June 15 the GPAC will meet to begin discussing the Phase 11 Alternatives portion of the General Plan update process. MAY 23, 2017 PAGE 5 PLANNING COMMISSION With respect to the City Manager retirement/recruitment process, CM/DeStefano has announced that July 7 will be his last day with the City. On June 6th or 20th the contract for CM/DeStefano's successor will be up for City Council Consideration and once the agenda item is scheduled/published the announcement will be forthcoming. 11. SCHEDULE OF FUTURE EVENTS: As posted in the Agenda. ADJOURNMENT: With no further business before the Planning Commission, Chair/Wolfe adjourned the regular meeting at 7:29 p.m. to June 27, 2017. The foregoing minutes are hereby approved this 27th day of June, 2017. Attest: Respectfully Submitted, Greg Gubman Community Development Director Raymono Wolfe, Chairperson PLANNING COMMISSION AGENDA REPORT CITY OF DIAMOND BAR- 21810 COPLEY DRIVE -DIAMOND BAR, CA 91765 - 7EL, (909) 839-7030 -FAX (909) 861-3117 AGENDA ITEM NUMBER: 7.2 MEETING DATE: May 23, 2017 CASE/FILE NUMBER: Conditional Use Permit No, PL 2017-29 GENERAL PLAN DESIGNATION: General Commercial (C) ZONING DISTRICT: Regional Commercial (C-3) PROJECT LOCATION: 1155 S. Diamond Bar Blvd. Unit T Diamond Bar, CA 91765 (APN 8717-031-0'10) PROPERTY OWNER: Diamond Bar Town Center, LLC 6621 E. Pacific Coast Highway #270 Long Beach, CA 90803 APPLICANT: Shijie Chen 618 N. McPherrin Ave. Monterey Park, CA 91754 SUMMARY: The applicant is requesting approval of a Conditional Use Permit (CUP) to operate a chess school within a 675 square -foot space at an existing 39,965 square -foot multi - tenant shopping center. A Conditional Use Permit is required to allow specialized education, training and non -degree schools in the C-3 zone. RECOMMENDATION: Adopt the attached Resolution (Attachment 1) approving Conditional Use Permit No. PL2017-29, based on the findings of Diamond Bar Municipal Code (DBMC) Section 22.58, subject to conditions. BACKGROUND: The proposed business is called Wing Chess Academy, and is located at Diamond Bar Town Center located on the west side of Diamond Bar Boulevard, between Grand Avenue and Clear Creek Canyon Drive. The center consists of a 21,759 square foot, two-story multi -tenant commercial building (where Subway is located on the first floor), a 15,360 square foot vacant building (previously Big Lots), and a 2,846 square -foot fast food restaurant (Jack in the Box), totaling 39,965 square feet. Although the vacant building and fast food restaurant are within the same shopping center, they are located on separate parcels. The center was constructed with 198 parking spaces. Wing Chess Academy is located on the second floor of the existing building in a space that was previously a part of Kumon Math and Reading Center. The Firestone building facing Grand Avenue and the multi -tenant commercial building with Waba Grill, Massage Envy, and Sprint, located at the northwest corner of Grand Avenue and Diamond Bar Blvd., are separate properties with dedicated parking, and have reciprocal access with the Diamond Bar Town Center. Site and Surrounding General Plan, Zoning and Land Uses The following table describes the surrounding land uses located adjacent to the subject property: Site Aerial Conditional Use Permit No. PL 2017-29 Page 2 of 7 General Plan .. District Land Use Si#e General Commercial (C) C-3 General Retail, Restaurant, Office, and Personal Services North General Commercial (C) C-3 Southern California Edison and Big Lots General Retail, Restaurant, Office, and Sou#h General Commercial (C) C-3 Personal Services General Retail, Restaurant, Office, and East General Commercial (C) C-3 Personal Services Wes# High Den ( ttyH) esidential RM Multi -Family Residential Site Aerial Conditional Use Permit No. PL 2017-29 Page 2 of 7 Project Site Proiect Descriotion The applicant is requesting approval to operate a chess school for children ages 6 to 18. The school offers both private (one-on-one) and group classes with a maximum of four students per class. Each class will have a maximum of one instructor. Classes will be offered Monday, Wednesday, Friday, Saturday, and Sunday. Each class session is 30 minutes in duration with one to two hour breaks between each class. There will only be one class session at a time. Pr000sed Hours of Operation: 10:00-10:30 am 10:00-10:30 am 11:30-12:00 pm 11:30-12:00 pm 1:00-1:30 pm 1:00-1:30 pm 2:30-3:00 pm 4:30-5:00 pm - 4:30-5:00 pm 2:30-3:00 pm JO (private) private) 6:00-6:30 pm 6:00-6:30 pm 6:00-6:30 pm 4:30-5:00 pm 4:30-5:00 pm rivate(private) 7:30-8:00 pm 7:30-8:00 pm 7:30-8:00 pm 7:00-7:30 pm 4--% 7:00-7:30 pm The applicant is also proposing to have practice tournaments once a month, on Saturday evenings from 6:30 pm to 8:30 pm. The chess school will not be hosting outside competitors at the practice tournaments and will have a maximum of 10 students and one teacher at a time. The intent of the practice tournaments is to prepare the students for outside tournaments. Conditional Use Permit No. PL 2017-29 Page 3 of 7 The proposed space consists of an open area with a reception desk, and classroom area and a bathroom at the rear of the unit. The classroom area consists of four tables, 13 chairs, and seven chessboards. Although there will be a maximum of four students per class, the applicant is proposing four tables with seven chess boards because there are teaching techniques where a student uses more than one chessboard at a time. Proposed Floor Plan ANALYSIS: Review Authority (DBMC Section 22.58) A CUP is required for uses whose effect on the surrounding area cannot be determined before being analyzed for suitability at a particular location. When reviewing a CUP, consideration is given to the location, design, configuration, operational characteristics and potential impacts to determine whether or not the proposed use will pose a detriment to the public health, safety or welfare. If it can be found that the proposed use is likely to be compatible with its surroundings, the Commission may approve the proposed use subject to conditions stipulating the manner in which the use must be conducted. If the Commission finds that the proposed use is likely to be detrimental to the general peace, health or general welfare, then it must deny the request. When a CUP is approved, it runs with the land and all conditions placed on the CUP are binding on all successors in interest. In other words, if the owner of the proposed chess school were to close the business, a new tenant could locate in the space and operate the same type of business. The new tenant would be required to comply with the same conditions as the previous tenant and would not be permitted to expand the chess school without full review and approval by the Planning Commission. Conditional Use Permit No. PL 2017-29 Page 4 of 7 S D C D CEO G r p j1 C o CLASSROOM AREA n 0 35' 46' Proposed Floor Plan ANALYSIS: Review Authority (DBMC Section 22.58) A CUP is required for uses whose effect on the surrounding area cannot be determined before being analyzed for suitability at a particular location. When reviewing a CUP, consideration is given to the location, design, configuration, operational characteristics and potential impacts to determine whether or not the proposed use will pose a detriment to the public health, safety or welfare. If it can be found that the proposed use is likely to be compatible with its surroundings, the Commission may approve the proposed use subject to conditions stipulating the manner in which the use must be conducted. If the Commission finds that the proposed use is likely to be detrimental to the general peace, health or general welfare, then it must deny the request. When a CUP is approved, it runs with the land and all conditions placed on the CUP are binding on all successors in interest. In other words, if the owner of the proposed chess school were to close the business, a new tenant could locate in the space and operate the same type of business. The new tenant would be required to comply with the same conditions as the previous tenant and would not be permitted to expand the chess school without full review and approval by the Planning Commission. Conditional Use Permit No. PL 2017-29 Page 4 of 7 Required Parking The required number of parking spaces for non -degree schools is one space per 250 square feet of gross floor area plus one space for each employee and shopping centers between 20,000 and 50,000 square feet in size are required to provide one parking space for every 250 square feet of gross floor area. The parking requirements for businesses approved under a CUP (e.g., schools, tutoring, etc.,) are calculated separately. The table below provides a summary of the parking requirements for the shopping center. Diamond Bar Town Center provides 198 off-street parking spaces. The parking required for the current palette of uses minus the proposed chess school is 169 spaces. The proposed chess school requires four spaces. The total off-street parking requirement for the center would thus be 173 spaces, leaving a surplus of 25 spaces. Since there is a surplus of parking spaces, staff does not foresee any parking issues resulting from the proposed use. City's Development Code Parking Requirement Use Ft. Parking Ratio Parking Required Parking Provided Shopping Center 36,968 11250 sq. ft. 148 Kumon Math & 1,147 11200 sq. ft. plus 1 per 11 Reading Center employee Fibo Art School 1,175 1.1200 sq. ft. plus 1 per 10 employee Proposed Chess 675 11200 sq. ft. plus 1 per 4 School employee Total 39,965 173 198 Parking Demand When reviewing parking impacts on shopping centers, the various uses and peak business hours for those uses are taken into consideration. The existing shopping center has uses ranging from restaurants, offices, personal services, retail, and specialized education uses. The varying uses result in a range of peak business hours and parking demands. The peak parking demand occurs on weekdays from 9 a.m. to 7 p.m. The proposed chess school will have classes Monday, Wednesday and Friday afternoons and evenings, and throughout the day on Saturday and Sunday. In addition, by breaking up the start times of each class into intervals of one to two hours, the overlap of students being driven to classes and leaving from classes at the same time is avoided. Based on the business proposal, the chess school will need a maximum of five parking spaces for four students and one instructor. Because class times are staggered by one to two hours, staff does not foresee an overlap between students being dropped off and picked up. During this transition, assuming all other businesses are experiencing peak Conditional Use Permit No. PL 2017-29 Page 5 of 7 operations (a highly unlikely scenario) the center's parking demand could reach 192 spaces. Since 198 parking spaces are available, there would still be a surplus of six spaces under this scenario. The table below ,provides a summary of the worst case scenario parking demand for the shopping center during regular class times. Worst -Case Parking Demand During Regular Class Times Use S.• Parking Required Provided Shopping Centers 36,968 Per Development Code Requirements 148 Kumon Math & 1,147 6 (11200 sq. ft.) 11 Reading Center 5 (staff) Fibo Art School 1,175 24 (students) 4 (staff) 28 Proposed Chess 676 4 (students) 5 School 1 (staff) Total 39,965 192 198 Additionally, staff does not foresee any parking concerns during practice tournaments since they are only held once a month on Saturday evenings and half of the businesses in the shopping center are closed on the weekends. Compatibility with Neighborhood Diamond Bar Town Center has a variety of uses, including restaurants, professional offices, personal services, and other retail uses. In addition, there is an existing tutoring center and an art school, which are compatible with the proposed chess school by providing after-school educational opportunities for local children. Given the proposed hours of operation, the availability of parking, and types of adjoining uses, it is reasonable to conclude that the proposed chess school will be compatible with the other uses in the center. Additional Review The Building and Safety Division reviewed this project and included their comments in the attached resolution as conditions of approval. NOTICE OF PUBLIC HEARING: On May 10, 2017, public hearing notices were mailed to property owners within a 700 - foot radius of the project site. On May 12, 2017, the notice was published in the Inland Valley Daily Tribune and San Gabriel Valley Tribune newspapers; the project site was posted with a notice display board; and a copy of the public notice was posted at the City's three designated community posting sites. Conditional Use Permit No. PL 2017-29 Page 6 of 7 ENVIRONMENTAL ASSESSMENT: This, project has been reviewed for compliance with the California Environmental Quality Act (CEQA). Based on that assessment, the City has determined the project to be Categorically Exempt from the provisions of CEQA pursuant to the provisions of Article 19 Section 15301(a) (interior alterations involving partitions and electrical conveyances) of the CEQA Guidelines. No further environmental review is required. Prepared by: AXL-'\ '0"J Natali T Esp' za Assistant Pla r Attachments: Reviewed by: Grace Lee Senior Planner 1. Draft Resolution No. 2017 -XX and Conditions of Approval 2. Site Plan and Floor Plan Conditional Use Permit No. PL 2017-29 Page 7 of 7 PLANNING COMMISSION RESOLUTION NO. 2017 -XX A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF DIAMOND BAR, CALIFORNIA, APPROVING CONDITIONAL USE PERMIT NO. PL2017-29, TO OPERATE A 675 SQUARE -FOOT CHESS SCHOOL WITHIN A 39,965 SQUARE -FOOT MULTI -TENANT SHOPPING CENTER LOCATED AT 1155 SOUTH DIAMOND BAR BOULEVARD, UNIT T, DIAMOND BAR, CA (APN 8717-031-010). A. RECITALS 1. Property owner, Diamond Bar Town Center LLC, and applicant, Shijie Chen, have filed an application for Conditional Use Permit No. PL 2017-29 to operate a 675 square -foot chess school located within an existing shopping center. The project site is more specifically described as 1155 S. Diamond Bar Blvd., Unit T, Diamond Bar, Los Angeles County, California. Hereinafter in this resolution, the subject Conditional Use Permit shall collectively be referred to as the "Project" or "Proposed Use." 2. The subject property is comprised of a 1.24 gross acre parcel. It is located in the Regional Commercial (C-3) zone with a General Plan land use designation of General Commercial. 3. The Assessor's Parcel Number is 8717-031-010. 4. On May 12, 2017, notification of the public hearing for this project was published in the San Gabriel Valley Tribune and the Inland Valley Daily Bulletin newspapers. On May 10, 2017, public hearing notices were mailed to property owners within a 700 -foot radius of the Project site and posted at the City's designated community posting sites. 5. On May 23, 2017, the Planning Commission of the City of Diamond Bar conducted a duly noticed public hearing, solicited testimony from all interested individuals, and concluded said hearing on that date. B. RESOLUTION NOW, THEREFORE, it is found, determined and resolved by the Planning Commission of the City of Diamond Bar as follows: 1. The Planning Commission hereby specifically finds that all of the facts set forth in the Recitals, Part A, of this Resolution are true and correct. 2. The Planning Commission hereby determines the Project to be Categorically Exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to the provisions of Article 19, Section 15301(a) (Interior alterations involving partitions and electrical conveyances) of the CEQA Guidelines. Therefore, no further environmental review is required. C. FINDINGS OF FACT Based on the findings and conclusions set forth herein and as prescribed under Diamond Bar Municipal Code (DBMC) Section 22.58, this Planning Commission hereby finds and approves as follows: Conditional Use Permit Review Findings (DBMC Section 22.58) 1. The Proposed Use is allowed within the subject zoning district with the approval of a conditional use permit and complies with all other applicable provisions of this Development Code and the Municipal Code. Pursuant to DBMC Section 22.90.030, Table 2-6, a non -degree school is permitted in the C-3 zoning district with approval of a conditional use permit. Through compliance with the conditions of approval stipulating the manner in which the use must be conducted, the proposed use will be compatible with neighboring uses in the shopping center and surrounding neighborhood. 2. The Proposed Use is consistent with the general plan and any applicable specific plan. The Proposed Use is consistent with General Plan Strategy 9.3.3: Encourage neighborhood serving retail and service commercial uses') in that the proposed chess school meets Strategy 1.3.3 because the proposed chess school provides services to Diamond Bar residents. The Project site is not subject to the provisions of any specific plan. 3. The design, location, size and operating characteristics of the Proposed Use are compatible with the existing and future land uses in the vicinity. The Proposed Use is located within a multi -tenant shopping center occupied by retail stores, restaurants, personal service uses, tutoring center and art school. The existing gross floor area of the shopping center requires 148 parking spaces, the existing tutoring center requires 11 parking spaces, the existing art studio requires 10, and the proposed chess school requires 4 parking spaces based on Development Code requirements. There are 198 off-street parking spaces located at the existing project site, which will thus 2 Planning Commission Resolution No. 2017 -XX exceed the requirement by providing a technical surplus of 25 parking spaces. The varying uses result in a range of peak business hours and parking demands. Assuming that the instructor and each student arrives in a separate vehicle, the proposed use could potentially generate a demand for five parking spaces. In addition, class times are spaced between one to two hour gaps to limit the demand for parking spaces during the chess school's operating hours. Therefore, staff does not foresee any parking issues at the site. As such, the operational characteristics and parking demands anticipated to be associated with the Proposed Use are compatible with the existing uses within the center. Through compliance with the conditions of approval stipulating the manner in which the use must be conducted, the Proposed Use will be compatible with the other uses within the shopping center. 4. The subject site is physically suitable for the type and density/intensity of use being proposed, including access, provision of utilities, compatibility with adjoining land uses, and the absence of physical constraints. The Project site is located within an existing shopping center that currently has similar uses, such as a tutoring center and an art school. The Proposed Use is physically suitable with the subject site because it will be located in an existing building and no additional square footage is being proposed. in addition, the proposed use is intended to operate within an existing shopping center and will be using existing access and parking in the center. 5. Granting the conditional use permit will not be detrimental to the public interest, health, safety, convenience, or welfare, or injurious to persons, property, or improvements in the vicinity and zoning district in which the property is located. Prior to the issuance of any city permits, the Project is required to comply a with all conditions of approval within the attached resolution, and the Building and Safety Division. 6. The proposed Project has been reviewed in compliance with the provisions of the California Environmental Quality Act (CEQA). The proposed use is categorically exempt from the provisions of the California Environmental Quality Act (CEQA) as set forth under Article 19 Section 15301(a) (Interior alterations involving partitions and electrical conveyances) of the CEQA Guidelines. 3 Planning Commission Resolution No. 2017 -XX D. CONDITIONS OF APPROVAL Based upon the findings and conclusion set forth above, the Planning Commission hereby approves Conditional Use Permit No. PL2017-29 subject to the following conditions: This approval is for the establishment and continued operation of a chess school as described in the application on file with the Planning Division, the Planning Commission staff report for Conditional Use Permit No. PL2017-29 dated May 23, 2017, and the Planning Commission minutes pertaining thereto, hereafter referred to as the "Use." 2. The Use shall substantially conform to the approved plans as submitted and approved by the Planning Commission and on file with the Community Development Department. 3. This Conditional Use Permit shall be valid only for 1155 S. Diamond Bar Blvd., Unit T, as depicted on the approved plans on file with the Planning Division. If the proposed use moves to a different location or expands into additional tenant spaces, the approved Conditional Use Permit shall terminate and a new Conditional Use Permit, subject to Planning Commission and/or City Council approval shall be required for the new location. If the Use ceases to operate, the approved Conditional Use Permit shall expire without further action by the City. 4. If, at any time, the City finds that the Use is the cause of a parking deficiency or other land use impact, the Community Development Director may refer the matter back to the Planning Commission to consider amending this Conditional Use Permit to address such impacts. 5. No changes to the approved scope of services comprising the use shall be permitted unless the applicant first applies for an amendment to this Conditional Use Permit, pays all application processing fees and receives approval from the Planning Commission and/or City Council. The Planning Commission shall: a) Certify to the adoption of this Resolution; and b) Forthwith transmit a certified copy of this Resolution, by certified mail to the property owner, Diamond Bar Town Center, LLC, 6621 E. Pacific Coast Highway #270, Long Beach, CA 90803; and applicant, Shijie Chen, 618 N. McPherrin Ave., Monterey Park, CA 91754. 4 Planning Commission Resolution No. 2017 -XX APPROVED AND ADOPTED THIS 231d DAY OF MAY, 2017, BY THE PLANNING COMMISSION OF THE CITY OF DIAMOND BAR. Raymond Wolfe, Chairman i, Greg Gubman, Planning Commission Secretary, do hereby certify that the foregoing Resolution was duly introduced, passed, and adopted, at a regular meeting of the Planning Commission held on the 23rd day of May, 2017, by the following vote: AYES: Commissioners: NOES: Commissioners: ABSENT: Commissioners: ABSTAIN: Commissioners: ATTEST: Greg Gubman, Secretary 5 Planning Commission Resolution No. 2017 -XX COMMUNITY DEVELOPMENT DEPARTMENT STANDARD CONDITIONS USE PERMITS, COMMERCIAL AND RESIDENTIAL NEW AND REMODELED STRUCTURES PROJECT #: Conditional Use Permit No. PL2017-29 SUBJECT: To operate a 675 square -foot chess school within a 39,965 square -foot multi -tenant shopping center. PROPERTY Diamond Bar Town Center, LLC OWNER(S): 6621 E. Pacific Coast Highway #270 Long Beach, CA 90803 APPLICANTS: Shijie Chen 618 N. McPherrin Ave. Monterey Park, CA 91754 LOCATION: 1155 S. Diamond Bar Blvd., Unit T, Diamond Bar, CA 91765 ALL OF THE FOLLOWING CONDITIONS APPLY TO YOUR PROJECT. APPLICANT SHALL CONTACT THE PLANNING DIVISION AT (909) 839-7030, FOR COMPLIANCE WITH THE FOLLOWING CONDITIONS: A. GENERAL REQUIREMENTS The applicant shall defend, indemnify, and hold harmless the City, and its officers, agents and employees, from any claim, action, or proceeding to attack, set-aside, void, or annul the approval of Conditional Use Permit No. PL 2017-29 brought within the time period provided by Government Code Section 66499.37. In the event the city and/or its officers, agents and employees are made a party of any such action: a) Applicant shall provide a defense to the City defendants or at the City's option reimburse the City its costs of defense, including reasonable attorneys fees, incurred in defense of such claims. 6 Planning Commission Resolution No. 2017 -XX b) Applicant shall promptly pay any final judgment rendered against the City defendants. The City shall promptly notify the applicant of any claim, action of proceeding, and shall cooperate fully in the defense thereof. 2. This approval shall not be effective for any purpose until the applicant and owner of the property involved have filed, within twenty-one 21) days of approval of this Conditional Use Permit No. PL 2017-29 at the City of Diamond Bar Community Development Department, their affidavit stating that they are aware of and agree to accept all the conditions of this approval. Further, this approval shall not be effective until the applicants pay remaining City processing fees, school fees and fees for the review of submitted reports. 3. The business owners and all designers, architects, engineers, and contractors associated with this project shall obtain a Diamond Bar Business License, and zoning approval for those businesses located in Diamond Bar. 4. Prior to any use of the project site or business activity being commenced thereon, all conditions of approval shall be completed. 5. The project site shall be maintained and operated in full compliance with the conditions of approval and all laws, or other applicable regulations. 0. Approval of this request shall not waive compliance with all sections of the Development Code, all other applicable City Ordinances, and any applicable Specific Plan in effect at the time of building permit issuance. 7. To ensure compliance with all conditions of approval and applicable codes, the Conditional Use Permit shall be subject to periodic review. If non-compliance with conditions of approval occurs, the Planning Commission may review the Conditional Use Permit. The Commission may revoke or modify the Conditional Use Permit. 8. Property owner/applicant shall remove the public hearing notice board within three (3) days of this project's approval. 9. The applicant shall comply with the requirements of City Planning, Building and Safety Divisions, Public Works Department, and the Fire Department. B. FEES/DEPOSITS 1. Applicant shall pay development fees (including but not limited to Planning, Building and Safety Divisions, and Public Works Department) 7 Planning Commission Resolution No. 2677 -XX at the established rates, prior to issuance of building permits, as required by the City. School fees as required shall be paid prior to the issuance of building permit. In addition, the applicant shall pay all remaining prorated City project review and processing fees prior to issuance of grading or building permit, whichever comes first. 2. Prior to any plan check, all deposit accounts for the processing of this project shall have no deficits. C. TIME LIMITS 1. The approval of Conditional Use Permit No. PL2017-29 shall expire within one (1) year from the date of approval if the use has not been exercised as defined per DBMC 22.66.050 (b)(1). The applicant may request in writing a one year time extension subject to DBMC Section 22.60.050(c) for Planning Commission approval. APPLICANT SHALL CONTACT THE BUILDING AND SAFETY DIVISION, 909) 839-7020, FOR COMPLIANCE WITH THE FOLLOWING CONDITIONS: 1. No construction is considered under this permit application. 2. The maximum students at a time shall be no more than 10, plus one instructor. 3. The applicant is responsible for readily achievable ADA upgrades required by Federal law. END 8 Pianning Commission Resolution No. 2017 -XX PARKING SPACES TYPE OF USE SQ.FT. PARKING RATIO SPACES REQUIRED PROVIDED Shopping Center 36,968 11200 sq.ft. 148 Ch,c ,d by: Kumon Math & Reading Center 1,147 1/200 sq.ft. plus 1 per employee 11 Fibo Art Shool 1,175 11200 sq.ft. plus 1 per employee 10 Proposed Chess Tutoring 675 11200 sq.ft. plus 1 per employee 4 TOTAL 38;965 173 196 I 178 119 189 181 M TM 184 165 IBS 167 1910 189 190 191 192 193 194 195 196 197 198 I I I I I I 7056 sq.ft. I 1155 S DIAMOND BAR BLVD I _ I I I _ I I I 00) ( 6) I W1 662 003 064 665 W6 ®97.699 W91100111. 016011 oil 013 014 016.016 617 6191619.020 t f I I p I W I Q I 921 047 I 974 675 1102 C I ( 12) 922 - - _ — W9 ; 673 678 1161 10} 126 127 I 023 046 W9 i 672 677 I 160 194 125 128 624 :145 959 I 671 670 1999 185 124 129 LL I t15 925 644 651 U70 079 099 106 121 130 D 026 165 S DIAMON U43 052 059 089 1097 197 122 191 o27 VhthL 11 - -s i-095 066 121 C I I _ 029 054 1 961 002 1095 1U4 120 629 95s 6 all o94 n947042® 659 965 684 p693 111wl057064805A112117 W 132L 10000 sq.ft 032041® 056 ! 063 466 I O9I 113 1160130599626879114115177 940® 966 I 061 089 1099 I I I I I I I I I 1139 S D€AMOND BAR BLVD BIG LOTS 15360 sq.ft. 114j !34 135 136 137 978 139 1401 141 111H 143 IM 145: 146 047 149'1 49 956 051 152 153 154 95b 1S6 157 159. 159U lfi6 061 162 163 164 165 166' 167 166! 1169' I70 171 A2 173, 114 175. 176 I II S DIAMOND BAR BLVD SITE PLAN Scale: 3211"=1' Attachment 2 1P72COLIVARRNCTION TECHNOLOGY LLC RO C DUEI Ro SCRDWUV191125S5CA 917e8Tnl. 1(6261 6b 4ue[6d6136c <961wayalcanEmacom I I I I I II I _ I I I I I I 1 I I RE MAY CITY 0 E d Y EL 1 2 2017 DIAMOND BAR sca1e:17S2'=1' A-1.1 3 nby 1 Nv. RerisOns bale CK Ch,c ,d by: Rvv_ N.. Key Plan 11556 DIAMOND 6AR 6LYD WALNUT, CA 91765 N -ESS Y+y:REVNNiNE PROPEAIYGPM1'1 Ax LLcANO1YAY lM T eEALTEAE, NO IssDEb.oR ra.EPRa0Dcs0 mn.a>a-n1€ wecmw 1 s DF wP1 11EG, THE covrtucron Musa cNEcxANo vE1NPY rsL mecNePa c1 srtrlswi oNc o P 1nE.10E.AN0aE COV4ENGN G W6u[ LLC BEFOnE rrreo un fEsbls s1w. 1 Tnx vREc6oENc6ovER Norm 5'gnetu[e Cr m WING CHESS L—U- 1155 S DIAMOND BAR BLVD WALNUT CA 91765 Draae.9 Nua SITE PLAN 0a1a: 05-09-2017 amwlny nn. sca1e:17S2'=1' A-1.1 nby Ch,c ,d by: Rvv_ N.. Flia name: Lss1 Yd11 daW 6' 106, 1 20'-4'° L6 142'-6" Second Floor. Scale: 1611"=1' 1-- 37' A BSF C D E F G H I J K L M N 1010 SF 945945SF 1260SF 1260SF 1205SF 976SF 945SF 1260SF 945SF 945SF 1575SF 1255SF 1460SF PARKING I Ground Floor Scale: 1611"=1' Li' Q m u u 00 u u CLASSROOM Eo El Co U HALLWAY Unit T Floor Plan Scale: 411 "=1' tc, v 7m APPICAN CONSTRUCTION TECHNOLOGY LLL 15472 COUM RD 9210 ROWW HEI2HTSCA41748 Tel: 1909) 8162555 ae:l6ffiy 38'i4tlH3 wa x.applcancu'ma.mm Key Plan II55 S D".ONDa aLVP WALNUT, CA91765 NOTES: T. OE510!IS w.•ffi bAANu 05 AlE411!1 THE PROPERTY OF MalCA•6 LLC. ANP NAY PPT 0E ALTERED, ISSNEP.OR nERRPPUGEPY+PNPNFTHESFEcIErc CPvSEHT PF MFFCwP LLC,. Th coRTaALTPRUILKA1:P VERIFY ALL PErAns Ano P:MENs—roHs CIFPF rrlEma ARP PE cu. 0.ukcyowc pnicul LLc, aEFP,E Y.RfiTEN bILlElrsl Wks 5HN1 TA.E GREtEb EI'tE OVER NdM SLUna E"Ie CF nl VVINO CHESS L..U- 1155 S DIAMOND BAR BLVD WALNUT CA 91765 O'-2 — FLOOR PLAN Date: 05-09-2017 0,-- — A_2., Drawn by: Chacketl by: Ray. NO. N1 Pane: asl edP aate_ 1 Attachment 2 W Q C) z uu fic PARKING SPACES TYPE OF USE SQ.FT. PARKING RATIO SPACES REQUIRED PROVIDED Shopping Center 36,968 11200sq.ft 148 Kumon Math $ Reading Center 1,147 11200 sq.f1, plus I per employee 11 FihD AdShool 1,175 11200 sq.ft. plus per employee 10 Proposed Chess Tutoring 675 11200 sq.ff. plus 1 per employee 4 TOTAL .39,965 173 198 AL, I.... It 1 Ilal O9 IN tel 62 163 I& IDs i[6 IN fail ill IN IN"n 193'194 105 ill 197196! Ila 1 I I1 ® III I ® II I .. I 7056 sq.fL i I _ I 1155 S DIAMOND BAR BLVD iiI I I 01002 W3 CO{1 W5206 WJ 036,® 0R 015016017 010`01910ID II 011012013; I 021 all 04 075 11oZ p12 I o)3 0)6 1101L...... 103 126 19 I OL1 U{e O{9 012 OD I1MNO 10f 125 In p24 iV5 050 WI 0)e IC93 iC5 II4 149 I IIs 11395Offm1Imom9109eIN1U... nn DIAMOND DAR BLVD' I a 1655 DIAMON an Cs4 ON ON 107 Ion in tai i N, BAR BLVD ....._- osl 1 CE6 961 i 056 a, 121 BIG LOTS 028Jack in the lax 054 1 on - 062 1095 IN 120 15366 sq.tt. j all2846 sq.fl ass CEe N, 04 - Ila Ila 0ID a', 056 065 064 1093,,. III 110 1I 031 on 106{ 065 112 11) 160605g1t. 032 W2 041® 056 1063 all all i13 116 II qTf N 4S9 062 W) T090 1 11{ 145 1 ]] 1Iti all O15 0]6 a3).p38 0`A OWE 060 1 06i CAaO f89 1 i 1 I1iI 14) Dim I I i 136132 I]6 139 H0:1{L 142 iq 1M 115 116'1{J 1461149 I`-0 1511152 I6] 15(,5$1' 156 15) IS91169 Ih-161 162 161 164. 61 IN 1E6 169L170 OI IR I)3 I){I IJS I76 I'R 150, l 4. r. SITE PLAN Scale: 32/1"=1' A {C'45 1 ROV/,A 911EI ill 49, )stl IA: IL491016t5555 r.,.yaPa19e9+oeY RE 1VED M Y t f. YOF C iTY C}I DTf ,ht}\I BAR WING CHESS 1155 S DIAMOND BAR BLVD WALNUTCAS1765 SITE PLAN L, 1".0.7' wms no.. q EhpcYaC Oy Puv. Nu. Mal "F.I Oaie: 6' 1, 106' I, 20= 142'-6" Second Floor Scale: 16f1"=1' A I B( C D I E F G I H' I J K L M N 1010 SF 945SF 945SF 1260SF 1260SF 1205SF 976SF945SF 1260SF 945SF 945SF 1575SF 1255SF I 1400SF S 6 C%/ t PARKING Ground Floor Scale: 16/1"=P N Unit T Floor Plan Scale: 4/1"=i' a WING CHESS 1155 9 DIAMOND BAR BLVD WALNUT CA 91766 atns0.'e FLOORPLAN 0409-20iT Mn9 no A -2.t AFFIDAVIT OF ACCEPTANCE_ STATE OF CALIFORNIA COUNTY OF LOS ANGELES CITY OF DIAMOND BAR PLANNING COMMISSION RESOLUTION NO. 2017-14 related to Conditional Use Permit No. 2017-29 for property located at 1155 S. Diamond Bar Blvd., Unit T, Diamond Bar, CA I] [WE] the undersigned state: I am] [We are] the owner/applicant of the real property described in the above -numbered Planning Commission Resolution. I am] [We are] aware of, and accept, all the stated conditions in said Planning Commission Resolution No. 2017-14. I] [We] certify (or declare) under the penalty of perjury that the foregoing is true and correct. Where the owner and applicant are not the same, both must sign) Type or Print Applicant Name Address u5 s` Pt4umoeJ &cu- . AT City, State t ;ANla.,el Owner Name (^ CCJ Address lI S 04ih'+D"(d 601F 11 4-477 City, State Vi`{e'41d 1441 . (, qt76f- Signature 1 r / This signature must be acknowledged by a notary public. Attach appropriate i acknowledgements.t California Jurat Certificate A notary public or other officer completing this certificate verifies only the identity of the individual who signed the '.. document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of LOS ANGELES Subscribed and sworn to (or affirmed) before me on this 12" day of 20 )- , by We] proved to me on the basis of satisfactory evidence to be the person who appeared before me. CYNTHIA IAO, NOTARY PUBLIC 11QCYNTHIA BAO COMM. # 2165322 lic NOTANY PusuC• CALIFORNIA LOS ANGELES COUNTY + Comffl.-'ExpcSEPT.22 2020 OPTIONAL INFORMATION Method of Affiant Identification Proved to me on the basis of satisfactory evidence: 11"form(s) of identification -- credible Wtness(es) Notarial event Is detailed In notary Journal on: Page If _ Entry # Notary contact: Other Affiant(s) Thumbprint(s) -- Describe: Description of Attached Document The certificate is attached to a document titled/for the purpose of containing 1 pages, and dated