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HomeMy WebLinkAbout2001-09-10 City Council (2)TO: City of Palo Alto City Manager’s Report HONORABLE CITY COUNCIL FROM: DATE: SUBJECT: CITY MANAGER SEPTEMBER 10, 2001 CMR: 344:01 FOUR-PARTY MEMORANDUM OF UNDERSTANDING RESOLVE MIDDLE SCHOOL CHALLENGE DEPARTMENT:CITY MANAGER TO RECOMMENDATION Staff recommends that the City Council approve the Four-Party Understanding (MOU) to resolve the Middle School Challenge. BACKGROUND Memorandum of For approximately two years, fo-~ Palo Alto institutions have struggled to find a solution to the so-called Middle School Challenge. These four institutions include: the Palo Alto Unified School Dislrict ~AUSD), the City of Palo Alto, ~the Jewish Community Center (JCC), and Stanford University. Officials from these four institutions have negotiated a Memorandum of Understanding (MOU)to resolve all major issues in creating a comprehensive solution to the Middle School Challenge. Throughout the long negotiations between the City and the other three parties, the City Manager and other key City staff have met with the Council’s Ad Hoe Committee on the Middle School Challenge. Chaired by Mayor Sandy Eakins, the Committee has provided guidance to the City negotiating team throughout the process. The Committee has .... reviewed--the-MOU--- and-now-passes-it-on-to the-futt~ -- -C- ouncil-for-consideration--and approval. Once the MOU is approved by the four parties, the comprehensive solution can be implemented. - DISCUSSION City, Goals In respect to the Middle School Challenge, the City Council has identified the following goals: CMR:344:01 Page 1 of 9 Facilitate the transfer of the Terman Community Center from the City to the School District for the purposes of establishing a third middle school without undue financial hardship to either the City or the District. " Secure the Mayfield site as a permanent location for Jewish Community Center as well as provide interim facilities for the JCC in order to settle all legal issues regarding the transfer of Terman, avoid interruption of JCC services, and preserve and enhance community services for Palo Altans. Promote joint use at both Terman and Cubberley. Five Inter.Related Transactions The Four-Party MOU consists of a complex set of transactions because the four institutions have different jurisdictions and prim .ary responsibilities, while they share common interests and respect the need to work cooperatively. The primary interest of the District is to secure Terman as a middle school site. If the JCC is forced to move from Terman, then the primary interests of the JCC are to secure interim and permanent locations, avoid any interruption of services, and preserve its membership and financial base in the process. In providing Mayfield as a community center site for the JCC, Stanford desires flexibility in transferring its development rights in the Stanford Research Park. The primary interests of the City are to retain a community center and services in South Palo Alto; facilitate the transfer of the Terman site to PAUSD for a middle school, recognizing our financial investment in Terman; honor the legal rights of JCC as the City’s tenant at Terman; and preserve JCC as a community institution and a key provider of health and human services for the Palo Alto community. The MOU incorporates conceptual approval of a set of five.inter-related transactions. The actual agreements (e.g., Land Swap with PAUSD, Development Agreement with Stanford, Ground Lease between Stanford and the City for Mayfield, Sub-Lease with JCC) are to trail this conceptual MOU and require separate legal consideration and in several cases CEQA review. Several of these agreements have already been drafted and are attached for the Council’s information. Again, the five separate transactions are part of a negotiated comprehensive solution to the Middle School Challenge. Achieving any one of these transactions is dependent upon achieving the other transactions. The five transactions are summarized below: 1. The City/PAUSD Land Swap CMR:344:01 Page 2 of 9 After many months of discussions, the City and the School District found a creative way of transferring the Terman Community Center site to the PAUSD for a middle school without financial hardship to either party. The land swap includes the following key provisions: a. PAUSD gets eight acres of buildings and parking lot at Terman, b. City gets eight-acres of buildings and parking lot at Cubberley. c. Joint use by the City and PAUSD is promoted at both Terman and Cubberley. d. PAUSD is provided certainty to reclaim part of Cubberley for a small compact high school prior to lease expiration. The land swapis contingent on the City providing Terman to the District free of any tenancies; therefore, it is based on solving the relocation requirements of the JCC. o o This land swap was approved in concept by the City Council and the Board of Education in a joint meeting-held on January 29, 2001. The formal property transfer agreement is now being drafted and will soon be presented to both go~,erning bodies for approval. : JCC Interim Facilities Since it will take several years for the JCC to raise the $50-70 million in capital funds and then design and construct a new community center, the City and PAUSD have been meeting with the JCC to find interim space and facilities for the JCC. The interim facilities agreement includes the following: City will provide interim space for the JCC at Cubberley for non-childcare programs. PAUSD will provide interim space at Greendell for childcare and other . children’s programs. There will not be any interruption of JCC services. .-T-~-Cit-~, PNUSD~d-JCC-h-~g agreed to th~ provxslon an-d-ia-g~-of th-e-Nt~-’r£n~-~ facilities. PAUSD Agreement With JCC to Provide Relocation and Other Assistance to JCC To address the legal rights of the JCC as a long-term tenant at Terman and to help the JCC relocate, PAUSD and the JCC have agreed to the following: CMR:344:01 Page 3 of 9 a. PAUSD pays to relocate JCC to interim and permanent sites. b. PAUSD pays a negotiated amount to JCC, including monies for JCC’s depreciated improvements at Terman. c. PAUSD sets up JCC at Greendell (modulars, electrical hook-ups, etc.). d. JCC continues to use certain facilities at Terman (e.g., gym, pool) until tho~e facilities are needed by PAUSD. The School Board and the JCC Board of Directors have announced their agreement on this relocation package. A formal relocation agreement has been approved by both governing bodies. 4.City-Stanford Agreement Regarding Mayfield Site On October 5, 2000, Stanford offered the Mayfield site at the comer of Page Mill and E1 Camino Real to the City for a community center site, which could be a long-term location for the JCC. In consideration .for providing the Mayfield site for $1/year for 51 years, Stanford’s offer letter required a transfer of development rights within the Stanford Research Park. City and Stanford representatives have been negotiating an agreement based on Program B-16 in the City’s Comprehensive Plan, which recommends a "transfer of development rights program and other measures that would provide greater development flexibility within the Stanford Research Park without creating significant adverse traffic impacts or increasing the allowable floor area." In these negotiations, the City has insisted that any new development in the Stanford Research Park be located within the City’s existing Urban Growth Boundary, so as to protect the City’s existing open space. Stanford and the City agreed that Stanford will abide by the current development rules for any of the sites where it uses the Mayfield entitlement. As it relates to the Mayfield entitlement, the City will not change the existing "rules of the game" during the life of the Development Agreement. Furthermore, and most importantly, Stanford has agreed that any added development in the Research Park will not exceed the existing permitted floor area ratio (FAR) in the areas where the 100-130,000 square feet of Mayfield entitlement is sited. In terms of promoting housing in the Research Park, City representatives have negotiated several possible scenarios. As one possibility, Stanford would evaluate allowing 20-40 units of affordable housing to be built over the community center for some consideration (consideration would no____[t increase the transfer of development rights for Stanford elsewhere in the Research Park). CMR:344:01 Page 4 of 9 So As mother possibility, Stanford canput the entire. 100,000 square feet of guar.anteed new development on the Hillview site, located in the South Research Park (see attached map), or elsewhere in the Research Park if both Stanford and the City agree. As part of this arrangement, the City would vest the rights of Stanford over the term of the agreement to build or rebuild all of the currently permitted commercial square footage (plus the Mayfield entitlement square footage) on the Hillview site if and only if Stanford builds at least 240 units of housing in the Research Park (including a minimum of 15 percent of the units for the City’s .Below Market Rate Housing Program). Additional FAR would be allowed on the Hillview site (or other Research Park sites) to accommodate housing. In summary, the Development Agreement provides for the following: ao eo Stanford provides the Mayfi.eld site to the City for $1/year for 51 years. City grants Stanford vested rights to build 100,000-130,000 square feet of added development in the Stanford Research Park within the City’s existing Urban Growth Boundary. Development in the Research Park will not exceed existing permitted FAR. FAR allowed on individual sites in "South Research Park Area" could be increased up to 25 percent but total development in area could not exceed present FAR. Stanford plans to use 30,000 square feet of its May-field entitlement at. the comer of Hanover and California. The redevelopment of the existing building will not exceed the existing allowed FAR for the site. Stanford will pay an. additional $150,000 toward traffic calming, projects benefiting College Terrace in connection with redevelopment of the Hanover site. Stanford is encouraged to locate up to 100,000 square feet of new development on the Hillview site if it builds at least 240 units of housing on the Hillview site (or elsewhere in the Research Park) at the same time, including 15 percent BMR units. JCC S~-b2L-eAs-~-V~ith clty A critical part of the total comprehensive solution to the Middle School Challenge is securing a permanent location for the JCC. The JCC must raise the total cost of $50-70 million to design and construct the new 100-130,000 square foot community center. The JCC has agreed to pay for all. costs to operate and maintain the community center. To provide new City programs, the City will receive a dedicated gym, classroom, dance studio/fitness room, and storage space as well as rights to shared use of additional space in the community center. The CM~:344:01 Page 5 of 9 community center will be jointly programmed by the JCC and the City and both entities will share revenues from joint programs. JCC will also fund "Scholarships" for memberships and programs for lower-income participants, including Palo Alto residents. Finally, .the City would receive lease revenue from the JCC. The summary of the sub-lease withthe JCC inclt~des: a. JCC will raise all necessary funds to design and construct new community center and related improvements (approximately $50 - 70 million). b. JCC will pay all development and pre-development costs (excluding any housing costs). c. Total square footage of community center will not exceed 130,000 square feet. d. Facilities will include:- -Gyms -Lounges -Pool -Dance rooms -Program rooms -Multi-purpose auditorium with stage -Fitness areas -Kitchen facilities Snack bar and/or restaurant Child care,.pre-school, and school rooms Office space for JCC and other existing nonprofit tenants e. Uses at the current JCC may be relocated to the permanent JCC at Mayfield. f. JCC will operate and maintain community center. g. City will receive dedicated (or "f’trst call") space for gym, classroom, dance studio/fitness area and storage space, as well as rights to shared use of additional space, in community center. h. City and JCC will establish a Joint Programming Committee that will meet regularly to oversee cooperative programming. i. City and JCC will share revenues from jgint programming_. j. JCC will fund "scholarships" for memberships and programs for lower-income participants including Palo Alto residents. Non-Palo Alto residents who are JCC members will receive Palo Alto resident program rates for City-sponsored programs at the center. k. JCC will pay $100,000 in lease payments to City plus three-quarters of CPI per year (market lease rate has been discounted to reflect funds raised for construction plus public benefits). CMR:344:01 Page 6 of 9 Certainty for All Parties For the comprehensive solution to actually work, and for us to move forward, there must be some level of certainty for all parties. The School District must have certainty that Terman is free of all tenancies so it can start renovation and re-open the facility as a third middle school by Fall, 2003. For the JCC to relinquish any of its legal rights as a long- term lessee at Terman, it must have certainty that it has an agreement to move to a new permanent location. It must also have certainty regarding an interim site so ttiere is no .interruption in JCC services. For the City to give up the Terman si.te, the City must have the agreement of the JCC and certainty about its ownership of eight acres at Cubberley as part of the property exchange. Finally, for Stanford to.provide the Mayfield site, it must have legal certainty about the transfer of development rights, its legal ability to use its transfer of development rights over the term of the development agreement, and the City’s acceptance of the site as mitigation for any community services impacts of its development under the County-approved General Use Permit. Without achieving a level of comfort for all. parties, we do not have a comprehensive solution to the Middle School Challenge. NEXT STEPS Once the MOU is approved by all parties, the City will complete its environmental review and the Planning and Transportation Commission and City Council will hold public hearings on the Mayfield Development Agreement and related zoning matters. In addition, the City will consider planning and zoning approvals for the community center . at the Mayfield site as well as conduct design review of the new facilities. The JCC will then begin its capital campaign to raise $50-70 million to construct the.new community center. In the meantime, once the Property Exchange Agreement is approved by the Board of .... ~u--~-tio---ff~-d-the-~-Cit-~-Cb-ffff6i-1--alSd-f.h~-d~d~fin--~-T~--~-- eal~-~ ~ii.h-lCC is -m-~i~-fi-de-d,-th-e District can begin renovation of Terman in order to open the new middle school in Fall 2003. RESOURCE IMPACT The School District receives eight acres of built space and parking lots at Terman (plus free use of the City’s parkland) for the middle school by swapping a like amount of built space, tennis courts, and parking lots at Cubberley. No monies are exchanged. ’ The existing JCC lease payments to the City (approximately $2631000) are replaced by an CMR:344:01 Page 7 of 9 equivalent reduction in the City’s lease payments to PAUSD for Cubberley. As a temporary tenant at Cubberley until it can relocate to the Mayfield site, JCC will replace any lost rental revenue at Cubberley to the City as well as pay rent on any additional space desired. Stanford has offered the six-acre Mayfield site for $1 per year for 51 years if the City grants it vested rights to build new office/research space in a portion of the Stanford Research Park. This commercial space will not exceed the existing zoning and floor area ratio (FAR) already approved for the Research Park. In respect to the new JCC facility on the May-field site, the City will receive substantial public benefits. In addition to raising $50-70 million to construct the community center, JCC has agreed to provide at no cost to the City 10,600 square feet of dedicated space for City programming (i.e., gym, dance studioffitness area, classroom) plus shared space for City services. A committee of City and JCC representatives will plan and oversee joint programming at the community center, and revenues from joint programs will be shared by the City and the JCC. Moreover, JCC will fund a significant scholarship program based on need for lower-income Palo Altans. The Sub-lease stipulates that JCC will pay $100,000 per year to the City, which will increase.annually by three quarters of the .CPI. The annual lease payments by JCC to the City have been discounted to reflect the significant public benefits of the agreement as well as the $50-70 million in capital that JCC needs to raise for construction. POLICY IMPLICATIONS This comprehensive solution promotes a number of important Comprehensive Plan goals and policies, including working with the School District and nonprofits to promote adequate schools and community services. In addition, the MOU provides a mechanism to develop housing in the Research Park. Furthermore, the MOU implements the Comprehensive Plan program encouraging transfer of development rights among parcels in the Research Park. Specifically, this Four-Party MOU responds to the following Comprehensive Plan policies/programs: Policy C-4: Maintain a close, collaborative relationship with the PAUSD to maximize the use of school services and facilities for public benefit, particularly for young people, families, and seniors. Policy C-6: Continue and enhance .City efforts to assist PAUSD in anticipating and addressing land development-related school enrollment. ¯ CMR:344:01 Page 8 of 9 Policy C-7: Actively work with private, nonprofit, and public community gervice organizations to avoid duplication and to coordinate the delivery of services like childcare, senior services, and recreation. Policy C~21: Where appropriate, maintain existing community ownership to prevent potential shortages in the future. facilities in public Program B-3: On an ongoing basis, evaluate opportunities for City involvement in public/private partnerships, including public investment in infrastructure and other improvements, siting of public art, and modification of land use regulations and other development controls. Program B- 16 Study the feasibility of.a "transfer of development rights" (TDR) program and other measures that would provide greater development flexibility within Stanford Research Park without creating significant adverse traffic impacts or increasing the allowable floor area. SUMMARY It has been a long, long arduous process to negotiate this comprehensive solution among the four institutions. The comprehensive solution involves five inter-related transactions. Achieving any one of those transactions is dependent upon achieving the other transactions. Moreover, each of the institutions needs legal certainty. It is now the lime to all come together and resolve the Middle School Challenge for the good of the community. ATTACHMENTS Development Agreement Map Four-Party Memorandum of Understanding APPROVAL: ~~CITY MANAGER ~ BENEST City Manager CMR:344:01 Page 9 of 9 Development Agreement Map This map is a product of the City of Palo Alto GIS o’500’ IOOO’ File: PL_PROJ_DISt(:(OOOOOO, ZONE]ZONESOO,FGB View: LMlO00 This document is a graphic representation only of best available sources, Date: 30AU601-16.38.00 Bg: HUHBLE The Citg o~ Palo Alto assumes no responsibilitg £or any errors, September 10, 2001 Ol0830.syn 0090973 TABLE OF CONTENTS PREAMBLE .....................................................................................................................i BACKGROUND ...............................................................................................................2 TRANSACTIONS AND DEAL POINTS ...........................................................................3 A. PROPERTY EXCHANGE BETWEEN CPA AND PAUSD ...................................................3 B. INTERIM RELOCATION PLAN FOR JCC .........................................................................4 C. JCC OPTION TO SUBLEASE MAYFIELD SITE ................................................................5 D. DEVELOPMENT AGREEMENT AND GROUND LEASE .......................................................6 E. LAND USE APPROVALS FOR THE MAYFIELD SITE .........................................................7 GENERAL TERMS ......................................................................................................8 010830 syn 0090973 PREAMBLE The City of Pal0 Alto ("CPA"), Palo Alto Unified School District ("PAUSD"), Albert I-. Schultz Jewish Community Center ("JCC") and Leland Stanford Junior University ("Stanford") wish to confirm their mutual understanding of a multi-step process necessary to meet the following public and private objectives: 1.Open a new middle school at the Terman Site in time for the 2003-2004 school year. 2.Assure that the programs and services provided by or through the JCC at the Terman Site are maintained for the benefit of the residents of Palo Alto. 3. Relocate the JCC from the Terman Community Center to portions of the Cubberley Community Center and portions of the Greendell School Site on an interim basis to permit JCC to plan for long-term relocation. 4.Compensate CPA and the JCC for the Terman Community Center. 5.Create a new community center at the Mayfield site on land provided by Stanford for 51 years which will include the JCC and joint use facilities. 6. CPA accepts the lease of Stanford’s Mayfield land as full mitigation of any community services impacts as a result of Stanford’s growth under the 2000 General Use permit. 7. Compensate Stanford for the lease of its Mayfield land by vesting certain rights to develop further its lands in the Stanford Research Park. 8.Plan for future community needs at the Cubberley Community Center located on a portion of the Cubberley School Site. Achieving these objectives requires the mutual cooperation of the parties to this MOU over an extended period of time. The purpose of this MOU is to coordinate the parties’ respective actions. This is a complex set of transactions, all of which must work if any one is to work. 010830 syn 0090973 BACKGROUND Palo Alto’s school children need a third middle school. PAUSD has determined that the Terman Community Center is the best location. CPA leased the Terman Site from PAUSD in 1982, under a lease-purchase agreement, in part to assist PAUSD. It presently has the right to acquire title to the Terman Site. Concurrent with the lease- purchase, CPA entered into a long-term lease with JCC in order to create a community center in southwest Palo Alto. The site was the subject of CPA’s Terman Specific Plan, the governing land use document. In order for a new middle school to open at the Terman site, the JCC must vacate Terman. However, the JCC’s lease at Terman still has more than twenty years remaining (including its option to renew). As a result, CPA, PAUSD, and the JCC have worked cooperatively to develop relocation strategies and plans. (JCC gave written authorization to its present landlord, CPA, and to the PAUSD to enter into these discussions and negotiations free of certain constraints that might otherwise exist under state and federal law.) The PAUSD considered eminent domain proceedings as an alternative to a cooperative relocation. Stanford recently received a new campus General Use Permit from Santa Clara County. During the GUP process, Stanford entered into an agreement with PAUSD to provide $10,000,000 to PAUSD as a contribution to quality education. In October 2000 Stanford offered CPA a 51-year lease (for $1.00 per year) of the former Mayfield School site located at the intersection of Page Mill Road and El Camino Real in exchange for vested rights to develop at least 100,000 square feet of new space in the Stanford Research Park and CPA’s agreement that the lease would constitute full mitigation of any impacts of GUP development on community services and facilities. Principal use of the Mayfield site would be limited to community center activities. This new community center space would not exceed the intensity of development permitted by existing zoning for the Mayfield site. However, individual sites in certain areas of the Research Park could be developed with a higher floor area ratio than is currently permitted. 010830 s.vn 0090973 2 In summary, PAUSD needs the Terman site by September 2002 for a new middle school to be operational by September 2003. PAUSD proposes to exchange certain land at Cubberley owned by PAUSD in exchange for certain land owned by CPA at Ten’nan. In order for PAUSD to have use and possession of Ten’nan, the JCC must vacate the Terman site. To enable the JCC to vacate Terman, PAUSD will provide to the JCC a $3.4 million relocation payment and interim use of a portion of Greendell School. CPA proposes to provide the JCC interim use of a portion of Cubberley. The JCC would also be provided a long-term relocation opportunity by being granted, by CPA, an option to sublease the Mayfield site as a community center in conjunction with CPA. CPA, would in turn, vest certain development rights in the Stanford Research Park as compensation to Stanford for the Mayfield lease. This MOU is intended to allow these multi-party transactions to move forward. TRANSACTIONS AND DEAL POINTS This MOU is organized to accommodate several transactions and land use decisions among the four parties. A. Property Exchanqe Between CPA and PAUSD. Land Exchanqe. CPA will exchange 7.97 acres of the Terman Site (5.94 acres of improvements and 2.03 acres of parking) to PAUSD in exchange for 7.97 acres of land at the northern end of the Cubberley Site. The exchanged land does not include playing fields. The boundaries of the parcels to be exchanged are shown on Attachments A-1 and A-2. The other terms of the exchange, which is to be completed on September 2, 2002, are set forth in Attachment A-3. They include a provision that each party would have a right of first refusal on the exchanged land if the other party wishes to dispose of it. 010830 syn 0090973 Terman Joint Use Agreement. After the exchange, CPA will still own dedicated parkland at the Terman Site. PAUSD and CPA will enter into a joint use agreement for CPA’s parkland, Terman gym, the Terman pool, and other facilities to support community needs as appropriate. PAUSD will be permitted to use the fields at 3 Terman in a manner similar to the use of fields at other middle schools during the school day. PAUSD will allow CPA to continue to operate the Terman Branch Library as a City library until PAUSD determines that its enrollment and program needs for the-middle school require the use of the space presently occupied by the library by PAUSD. Additional terms of this joint use agreement, which is to take effect on September 1, 2002, are set forth in Attachment A-4. .~.~bberley Lease Amendments and Joint Use Agreement. CPA presently leases the Cubberley Site from PAUSD. The lease will be amended to provide that: when the land is exchanged, CPA’s lease payments to PAUSD will be reduced by an amount equivalent to the rent CPA would otherwise have received from the JCC for the Terman Site. upon 24 months’ notice to CPA and after the JCC has stopped using the Cubberley Site as an interim location, PAUSD may locate a small high school at the Cubberley Site on the land still owned by PAUSD. In the event PAUSD does locate a small high school at Cubberley, CPA’s lease payments will be further reduced. The agreement will also provide for joint use of the gym, cafeteria, theater and fields in such event. ¯upon expiration of the PAUSD/CPA lease for Cubberley, CPA will have joint use of 7.66 acres of playing fields at Cubberley, an area comparable in size to the 7.66 acres of Terman Park where the PAUSD will have a park use permit and joint use agreement for the benefit of Terman Middle School. Additional terms of the Cubberley lease amendments and joint use agreement are set forth in Attachments A-5. B.Interim Relocation Plan for JCC. There are four components of the interim relocation plan for JCC. ¯First, the JCC agrees to relocate from the Terman site as of August 31, 2002 and to provide a full release to CPA and PAUSD with respect to the Terman site subject to certain interim relocation rights as described in this Section B ¯Second, PAUSD and JCC are entering into an agreement by which PAUSD pays $3.4 million to JCC for all relocation costs of JCC. 010830 s.vn 0090973 ¯Third, PAUSD will lease to JCC at no cost for a period of up to eight years a portion of the Greendell School site. ¯Fourth, CPA would lease to JCC at an agreed-on rental for a period of up to eight years a portion of the Cubberley site, subject to CPA’s extension of its master lease for Cubberley after December 31, 2004. Terms of the PAUSD/JCC settlement and interim use of Greendell S.chool are more fully described in Attachment B-1. Terms of the CPA/JCC Cubberley Agreement are as set forth in Attachment B-2. Terms of the CPA/JCC mutual release are set forth in Attachment B-3. C.JCC Option to Sublease Mayfield Site. Ol0830syn ¯JCC would be granted an option to sublease from CPA the Mayfield Site for construction and operation of a community center for a period of 50 years. The facility would be no larger than 130,000 square feet in area. ¯The Mayfield Site has known soil and ground water contamination that is currently the subject of a remediation plan approved by appropriate governmental agencies and ongoing remediation activities. Before.entering into a sublease, the JCC shall review the information provided to it by CPA and conduct its own investigation to determine whether the site can be developed for JCC’s purposes. ¯The community center would include facilities to be jointly used by CPA and the JCC, as well as certain space that would be dedicated to CPA programs. The JCC will design and build the new community center while consulting with CPA on spaces to be used by CPA for its own programs and for joint CPA-JCC programs. Signage will make it clear that the center is operated by JCC under a name to be designated by JCC. ¯The JCC and CPA would enter into a joint use and programming agreement for portions of the new community center. CPA will not pay any money to JCC for specified JCC/CPA joint use facilities or specified CPA dedicated programs or facilities. Use of the easements. 0090973 Mayfield site is impacted by several substantial public utility Neither CPA nor Stanford will pay the utility relocation costs. 5 Before entering into a sublease, the JCC shall cause to be performed sufficient due diligence with respect to relocation of public utilities to determine whether the development of a community center can accommodate the additional cost and land area required to be dedicated for these utilities. CPA and JCC will work together to evaluate the financial and construction feasibility as well as the compatibility with a community center of developing between 20 and 40 affordable rental housing units, which units would be at the expense of CPA. Before entering into a sublease for the Mayfield site, the JCC shall undertake extensive due diligence analysis of hazardous materials, utility relocation, the configuration of underground or structured parking, site ingress and egress and the location of interior drive lanes, the methods and costs of construction, and other factors involved with an assessment of development on the site. Additional terms of the Mayfield sublease and Mayfield joint use agreement are set forth in Attachment C-1. D. Development Aqreement and Ground Lease. Stanford has offered CPA a 51 year ground lease for the former Mayfield School site located at Page Mill Road and El Camino Real in exchange for assurance of certain development entitlements. Stanford’s offer requires that the site be used for a non-profit community center. CPA wishes to locate between 20 and 40 units of housing on the site as well. Stanford and CPA will negotiate further to determine if this can be done in a way that is satisfactory to both parties, is compatible with the principal use of the site as a community center, and which provides adequate consideration to Stanford. Stanford’s offer contemplates certain land use actions by CPA. CPA will respond to Stanford’s offer as follows: Consider adoption of the proposed Development Agreement attached as Attachment D-l, which would give Stanford vested rights to develop and use between 100,000 and 130,000 square feet of new office/research development Ol0830syn 0090973 rights in the Stanford Research Park. This square footage is within the floor area allowed under existing zoning. However, the Development Agreement grants Stanford the right to exceed the maximum floor area ratio on individual sites by Up to 25%. Stanford does not wish to exceed the existing floor area ratio for the site known as the Hanover site. The Development Agreement also grants Stanford the right to develop 240 units of housing in the Research Park. It further provides that: the Mayfield Site lease shall constitute full mitigation of any impacts on City community services by development under the 2000 County GUP. Process a zone change and related actions necessary to-permit development of a community center facility of up to 130,000 square feet, including the JCC. All actions will be processed in good faith, but without any prejudgment or other commitment to any particular decision. Attachment D-1 is the proposed Development Agreement. proposed Mayfield Ground Lease. Both documents are in Stanford. Attachment D-2 is the a form acceptable to E. Land Use Approvals for the Mayfield Site. Before commencing construction on the Mayfield site, JCC shall have received necessary approvals from CPA for the design and use of building for community center purposes, following environmental review and public hearings. JCC and CPA shall agree on a schedule of performance for making (a) design submissions, (b) reaching certain interim fundraising goals or attaining certain levels of expenditures of funds on design and other preconstruction costs directly related to construction of the community center, and (c) submission of a complete application to CPA for necessary land use approvals. 010830 syn 0090973 "7 GENERAL TERMS This document is not a legally binding contract. It is a good faith statement by the parties of their- present intentions. CPA cannot, and does not, pre-judge the discretionary decisions that are contemplated by this MOU. Those decisions will be made after environmental reviews are complete and public hearings have been held. Each party will use its best efforts to achieve the objectives recited in this MOU. Each party will bear its own costs for the actions under this MOU, except as otherwise agreed. DATED: September 10, 2001 010830 s)m 0090973 Attachments A-1 A-2 A-3 A-4 A-5 CPA-PAUSD Property Exchange .Boundaries of Terman Exchange Parcel (Aerial Photo) Boundaries of Cubberley Exchange Parcel (Aerial Photo) Terms of CPA-PAUSD Property Exchange Terman Joint Use Agreement Terms of Amendments to PAUSD-CPA Cubberley Lease B-1 B-2 B-3 Interim Relocation Plan for JCC PAUSD-JCC Settlement and Relocation Agreement CPA-JCC Cubberley Sublease Terms CPA-JCC Lease Termination and Mutual Release Agreement C-1 JCC Option to Sublease Mayfield Site Mayfield Sublease and Joint Use Agreement Terms STANFORD-CPA Development Agreement and Ground Lease Proposed Development Agreement Proposed Mayfield Ground Lease 010905 syn 0090974 ATTACHMENT A-1 CPA-PAUSD PROPERTY EXCHANGE Boundaries of Ten’nan Exchange Parcel (Aerial Photo) 010905 s.vn 0090974 TERMAN SITE (+/- 372,300 s.f. / 8.5 ac.) Attachment A-2 CPA-PAUSDPROPERTYEXCHANGE Boundaries of Cubberley Exchange Parcel (Aerial Photo) 010905 syn 0090974 CUBBERLEY SITE Attachment A-3 CPA-PAUSD PROPERTY EXCHANGE Terms of CPA-PAUSD Property Exchange 1. PAUSD and CPA will enter into an exchange of ownership of land. The exchange of property will take effect on September 1, 2002. PAUSD will receive from CPA 7.97 acres of the Terman Site (5.94 acres of improvements plus 2.03 acres of parking.) In exchange, CPA will received from PAUSD 7.97 acres at the northern end of the Cubberley Site. The approximate boundaries of the parcelsto be exchanged are shown on Attachments A-1 and A-2. 2. PAUSD will have the use of CPA’s 7.66 acres of playfields at Terman. Should CPA’s Cubberley lease expire, CPA will have joint use of 7.66 acres of playfields at Cubberley. Such joint use of these fields at Cubberley shall reflect the needs of any future comprehensive high school on Cubberley as well as the Community Center. 3. CPA agrees to deliver the Terman site free of all tenancies on September 1, 2002. This agreement to deliver Terman free of all tenancies is based on PAUSD, CPA, and Jewish Community Center (JCC) entering into a mutually agreeable settlement. 4. PAUSD and CPA have the right of first refusal regarding the land exchanged should the other party desire to dispose of that property or a portion of that property. ¯5. The exchange agreement is contingent upon Stanford University providing a long- term lease to CPA for a community center on the Mayfield site. (Source Document: Proposed Conceptual Agreement Between Palo Alto Unified School District and City of Palo Alto to Exchange Property, January 25, 2001) O10905synO090974 Attachment A-4 CPA-PAUSD PROPERTY EXCHANGE Terman Joint Use Agreement 1. Library Wing. PAUSD will explore with CPA a long-term joint use agreement regarding the library. CPA will continue operating the Terman Branch library as a CPA library until there is a long-term joint use agreement or PAUSD enrollment and program require the space occupied by the existing library to support the educational program at Terman. 2. Other Facilities. CPA and PAUSD will enter into a joint use agreement regarding the Terman gym, pool, tennis courts, fields and other facilities to support community needs as appropriate and in a manner that does not interfere with the school uses of the Terman School, or with JCC uses of site under its agreement with PAUSD, and is consistent with the fact that Terman Park is a dedicated public park. a. Swimming Pool. -School year: availablefor after school, evening and weekend use for instructional programs and lap swimming. -Summer: day and night uses for instructional programs, community, recreational swimming and lap swimming. b. Gymnasium. -School year: available for middle school athletics; week nights for teen and adult programs; weekends for youth, teen and adult programs. -Summer: day and night uses for youth, teen and adult programming. c. Wing 30. PAUSD has not yet determined what its space needs at Terman are for this portion of the site. By winter/spring 2001-2002, it will advise CPA whether space is available to CPA for use, at no charge, by CPA for its Friends of the Library operation presently in that location. If so, PAUSD and CPA will enter into an agreement for such use for not more than three years, under which PAUSD will have the right to reclaim the space at any time upon six months written notice to CPA. The above uses are subject to coordination with the JCC regarding certain continuing interim uses by the JCC. 010905 syn 0090974 Attachment A-5 CPA-PAUSD PROPERTY EXCHANGE Terms of Amendments to PAUSD-CPA Cubberley Lease The description of the premises leased will be revised to remove the portion of the leasehold that will be acquired by the CPA in fee as of September 1, 2002. Given that CPA no longer will be leasing the 7.97 acres at Cubberley that it is acquiring from PAUSD, the CPA’s lease payment, effective September 1, 2002, will be reduced by the same amount as the lease payment at Terman, effective September 1, 2002. This offset will receive the same CPI adjustment as the Cubberley lease. The lease will provide that PAUSD, with a 24-month notice to CPA, can bring on line a small high school in the space utilized by the Foothill College program on the Cubberley site on the land still owned by PAUSD. The CPA’s lease payment to the School District would be reduced by the same amount as the loss of revenue to the CPA from the Foothill program. The School District and CPA will enter in to an agreement regarding joint use of gym, cafeteria, theatre and fields. if such a high school is opened. The covenant not to develop shall be amended as required by its terms to reflect changes in use at Greendell and other schools since last amendment. 010905 syn 0090974 Attachment B-1 Interim Relocation Plan for JCC PAUSD-JCC Settlement and Relocation Agreement 010905 syn 0090974 SETTLEMENT AND RELOCATION AGREEMENT This Settlement and Relocation Agreement is entered into by and between the Palo Alto Unified School District, a subdivision of the State (the "PAUSD") and Albert L. Schultz Jewish Community Center, a Califomia nonprofit public benefit corporation (the "JCC") as of this day of-August, 2001. RECITALS a. The PAUSD is responsible for providing public education to all school age students within the jurisdictional limits of the PAUSD for kindergarten through twelfth grade. b. The PAUSD has determined that in order to provide a quality educational experience the desired range of school size for middle schools is 600 to 900 students. The PAUSD currently operates two middle schools, one of which has an enrollment of 1076 students and the other of which has an enrollment of 1179 students. In order to ensure that middle school students in the PAUSD receive the best education possible, the PAUSD has determined that it is necessary to open a third middle school in order to reduce the enrollments at the middle schools to the range of 600 to 900 students. c. The PAUSD has conducted an extensive search for a site for the new middle school. Based on the residences of the current middle school population, the PAUSD has determined that that certain property more particularly described in Exhibit A attached hereto and incorporated herein and commonly referred to as the "Terman Site" is the most appropriate location of the new middle school. d. The PAUSD formerly operated a middle school on the Terman Site. In 1981 the PAUSD entered into a Lease to Purchase Ageement with the City of Palo Alto ("City") whereby the City leased the Terman Site from the PAUSD. The City in turn subleased a portion of the Terman Site to the JCC. The JCC currently occupies a portion of the Terman Site and operates among other things a community center thereon which provides valuable community services on a nondenominational basis to the residents of area. In order for the PAUSD to occupy the Terman Site and operate a middle school on the Terman Site, the JCC needs to vacate the Terman Site. e. The PAUSD must be able to open the Terman Site as a middle school no later than August 2003 in order to accommodate students in the Terman attendance area and relieve the overcrowding at the current middle schools. Prior to occup~ng the Terman Site, the PAUSD must conduct certain renovations of the Terman Site. The PAUSD must have possession of the Terman Site no later than September 1, 2002 in order to ensure that the necessary renovations are completed in time for the Terman Site to operate as a middle school for the 2003-2004 school year. f. The JCC must be ableto relocate to alternate facilities prior to vacating the Terman Site in August 2002 and the JCC has determined that a portion of the Greendell School Site (the "Greendell Premises") and a portion of the adjacent Cubberley site (the "Cubberley Premises") will be adequate interim space for the JCC’s relocation from the Terman Site. 1185\02\147414.3 18/17/01 g. The PAUSD and the JCC have determined that it is in the best interests of both parties to enter into this Settlement and Relocation Agreement which provides for the JCC to vacate the Terman Site and relocate its facilities on an interim basis in the Greendell Premises and the Cubberley Premises under the terms and the conditions set forth below and in return for consideration from the PAUSD as set forth in this Agreement. h. The PAUSD and the JCC recognize and acknowledge that if the parties did not enter into this Agreement, the PAUSD would consider instituting eminent domain actions to acquire the Terman Site and the JCC would have likely opposed such eminent domain action. NOW, THEREFORE, for good and valuable consideration, the PAUSD and the JCC agree as follows: 1. Vacation of the Terman Site. Provided that PAUSD makes the Greendell Premises available to the JCC for occupancy on the terms and conditions set forth in Section 2 below on or before August 15, 2002 (the "Relocation Condition") and only in such event, (a) the JCC and all of its subtenants and licensees, if any, will vacate the Terman Site, subject to the rights set forth in Section 3 below, and grant the PAUSD possession of the Terman Site on or before August 31, 2002 (the "Relocation Date") and (b) the JCC shall be responsible for ensuring that all of its subtenants and licensees also vacate the Terman Site on or before the Relocation Date. In the event the JCC fails to vacate the Terman Site as required hereby on or before the Relocation Date for any reason ether than the PAUSD’s failure to satisf~v the Relocation Condition, the PAUSD shall have no further obligations toward the JCC under this Agreement and the PAUSD shall be entitled to terminate this Agreement and pursue its rights and remedies available at law or in equity. The PAUSD shall accept possession of the Terman Site "as is" and without any warranty or representation of the conditions of the Terman Site from the JCC. 2. Temporary Use of Greendell Site. As part of the consideration for the JCC vacating the Terman Site, the PAUSD and the JCC shall execute the Greendell License attached hereto and incorporated herein as Exhibit B and the PAUSD shall be responsible for satisfaction of the Relocation Condition. The Greendell License provides the following: (a) The PAUSD shall make available to the JCC 4 classrooms at the Greendell site in thei~ current condition. (b) The PAUSD shall place on the Greendell site 9 new portable classrooms each consisting of 960 sqaare feet and one portable bathroom building for the JCC use. The portable classrooms and bathrooms shall be installed on pads with utility and power connections, and ready to use, including such HVAC components as are otherwise typically available in portable classrooms in the PAUSD school system. All costs of installation for the portables shall be paid by the PAUSD. The portable facilities shall be subject to all usual and customary manufacturer’s warranties, provided however, the PAUSD shall not be obligated to obtain any warranties that would be in excess of the PAUSD’s normal procedures for portable facilities. The portable classrooms shal! be ready for occupancy on August 15, 2002. 1185\02\147414.3 28/17/01 (c) In consideration for the JCC vacating the Terman Site, the JCC’s occupancy of the Greendell Premises shall be rent free for a period not exceeding eight years commencing upon the JCC vacating the Terman Site and terminating on the earlier of (i) that date which is the eighth anniversary of the JCC vacating the Terman Site or (ii) the JCC has available to it an alternative facility.that has at least 60,000 square feet of community facilities space available for JCC uses. (d) During its occupancy of the Greendell Premises, the JCC shall be responsible for paying all janitorial costs for the Greendell Premises. The JCC shall also be responsible for paying all maintenance costs for the Greendell Premises, including ordinary and routine maintenance and any costs of replacing any building components or portable components that require replacement during the course of the JCC occupancy, provided, however, the JCC shall not be obligated to pay for the replacement of any components of the portables covered by any warranties or for the replacement of the roof, structural elements, HVAC or other capital items, except to the extent the repIacement of such capital items is necessitated as a result of the active negligence or willful misconduct of the JCC and such replacement is not reimbursable by the PAUSD’s insurance. The PAUSD shall provide the JCC with documentation sufficient to enable the JCC to verify its share of the maintenance costs to be charged to the JCC. The PAUSD shall carry all fire and casualty insurance, at its sole cost, with respect to the Greendell Premises. (e) During its occupancy of the Greendell Premises, the JCC shall be responsible for all utility costs incurred for JCC uses of the portable structures to be installed at the Greendell Site for the JCC’s use. Such utility use shall be separately metered by the PAUSD or shall be subject to verification as to the utilities reasonably allocable to the JCC’s use. (f) The JCC shall be responsible, at its sole cost, for obtaining any governmental approvals necessary for the JCC to occupy the Greendell Site, including any environmental review required under the California Environmental Quality Act. (g) Before the PAUSD pl2.ces the portables on the Greendell Site, the JCC and the PAUSD shall agree on the location of the portables. (h) The provisions of this Section 2 shall be s.uperseded by the License Agreement upon execution of the License Agreement. 3. Interim Use of Terman Site. As additional consideration for the JCC vacating the Terman Site, the JCC shall have the right to use the swimming pool, gymnasium and associated locker and fitness rooms together with sufficient parking on site to accommodate such uses from September 1, 2002 through August 15, 2003 (the "Renovation Period"), so long as such uses do not interfere with the PAUSD’s renovation of the Terman Site. The PAUSD shall, in good faith, determine, whether and when the JCC can use the swimming pool, gymnasium and associated locker and fitness rooms based on the PAUSD construction schedule and need for the facilities. The PAUSD shall use reasonable efforts to coordinate its construction schedule at the Terman Site in order to minimize the disruptions to the JCC’s use of the swimming pool, gynmasium and associated locker and fitness rooms, provided, however, the PAUSD shall not be obligated to incur any additional costs or delays in order to minimize this disruption. The PAUSD shall 1185\02\147414.3 38/17101 provide the JCC with reasonable advance written notice of the period or periods during which the designated facilities shall be unavailable to the JCC. The JCC shall also be entitled to use the swimming pool and the locker room at the Terman Site during the summer months when school is not in session ("Summer Use Periods") during the time that the JCC occupies the Greendell Premises. In the event the JCC elects to use the swimming pool, gymnasium, locker rooms and fitness rooms during the Renovation Period, the JCC shall be required to furnish to the PAUSD proof of liability insurance coverage in amounts and coverages to be reasonably determined by the PAUSD’s risk manager (which coverage requirements shall be no greater than those required by the PAUSD of other tenants of PAUSD properties), but all fire and casualty insurance for the facilities so used shall be the responsibility of the PAUSD at its sole cost. All insurance policies required to be carried by the JCC pursuant to this Section 3 shall name-the PAUSD and its officers and employees as additional insureds and shall require thirty (30) days notice to the PAUSD of cancellation or termination. The JCC shall be responsible for paying to the PAUSD all variable costs associated with the operation of the swimming pool, gymnasium, locker rooms and fitness rooms for any periods of time that the JCC uses the facilities, including all utility costs and maintenance costs, provided that such costs shall be invoiced to the JCC with sufficient backup documentation to enable the JCC to verify the basis for the cost allocation to the JCC. Except for the reimbursement of such variable costs, the JCC’s uses during the Renovation Period and the Summer Use Periods pursuant to this Section 3 shall be rent free. In the event the JCC uses the Terman facilities during the Renovation Period or during the time that the JCC occupies the Greendell Premises. the JCC agrees to defend: indemnify, protect and save harmless the PAUSD, its officers, directors, agents and employees from liability for any real or claimed damages or injury and from all liens, claims and demands arising out of the JCC’s use of the Terman facilities or any acts, omissions, negligence or willful misconduct of the JCC or its agents, employees, servants, gnests, invitees or contractors. The foregoing obligation of the JCC shall survive the termination of the Agreement and shall include the reasonable costs of legal counsel and investigation, together with other costs, expenses and liabilities reasonably incurred in connection with any and all claims of damage. 4. Continued Occasional Use of Terman Site. During the Relocation Period in which the JCC occupies the Greendell Site, the PAUSD will allow the JCC to use the reopened Terman Site facilities in the evenings and weekends rent free for programs that cannot be accommodated on the Greendell Site, as requested by the JCC and responded to on a space-availab!e basis by the PAUSD acting in good faith, provided, however, all PAUSD uses shall have priority over JCC uses. The JCC’s uses of the Terman Site facilities shall be subject to the same conditions and restrictions the PAUSD imposes on all users of its facilities. Prior to any use of the Terman Site facilities by the JCC, the JCC shall be required to furnish the PAUSD with adequate proof of liability insurance coverage naming the PAUSD and its officers, directors, employees and agents as additional insureds and such other protections as the PAUSD risk manager may reasonably require. In the event the JCC’s use of the Terman Site facilities pursuant to this Section 4 conflicts with any new use of the Terman Site requested by the City, the PAUSD shall give 1185\02\147414.3 48117101 priority in the use of the Terman Site facilities to the JCC, except to the extent the JCC’s proposed use conflicts with any currently existing City use of the Terman Site. 5. Relocation Expenses. The PAUSD has determined that if it were to use the power of eminent domainto, acquire possession of the Terman Site, it would be required to pay the JCC for certain relocation expenses and improvements that the JCC made to the Terman Site. In consideration for the JCC voluntarily vacating the Terman Site the PAUSD shall pay to the JCC the following sums as set forth below: (a) The PAUSD shall pay to the JCC Four Hundred Eleven Thousand Dollars ($411,000) as a reasonable estimate of the relocation costs the JCC would have otherwise been entitled to pursuant to Government Code Section 7260 et seq. and 25 Cal Code of Regulations Section 6000 et seq.("Relocation Payment"). The PAUSD shall pay the JCC the Relocation Payment in two installments. The first installment of Three Hundred Thousand Dollars ($300,000) shall be due and payable when the JCC vacates the Terman Site as required by Section 1 of this Agreement, subject to the provisions of Section 3. The second installment of One Hundred Eleven Thousand Dollars ($111,000) shall be due and payable when the JCC vacates the Greendell Premises. (b) In addition to the Relocation Payment, the PAUSD shall pay to the JCC Three Million Dollars ($3,000,000) to compensate the JCC for capital improvements installed at the Terman Site and all other costs and damages claimed by the J(2C related to the JCC’s relocation from the Terman Site ("Capital Payment"). The Capital Payment shall be paid in three installments. The first installment of the Capital Payment of One Million Five Hundred Thousand Dollars ($1,500,000) shall be due and payable within sixty (60) days of the full execution of this Agreement. The second installment of the Capital Payment of One Million Dollars ($1,000,000) shall be due and payable upon the JCC vacating the Terman Site as required by Section 1 of this Agreement, subject to the provisions of Section 3. The third installment of the Capital Payment of Five Hundred Thousand Dollars ($500,000) shall be due and payable upon the JCC vacating the Greendell Premises. 6. Settlement of Potential Litigation. The JCC and the PAUSD acknowledge that this Agreement is being entered into in order to settle potential litigation regarding the possession of the Terman Site. The Parties agree that no part of this Agreement will be admissible as evidence in a court of law in the event the PAUSD institutes eminent domain actions to acquire possession of the Terman Site and that this Settlement Agreement shall be subject to the applicable California Evidence Code Section related to the inadmissibility of settlement discussions. 7. Mutual Release. Upon performance of the parties’ obligations under this Agreement, and in consideration for the Relocation Payment and the Capital Payment, JCC hereby releases and forever discharges, on behalf of the JCC, and its successors, assigns, heirs, executors and administrators, the PAUSD and its, board members, officers, directors, employees, agents, contractors and affiliates from any and all demands, claims or causes of action against the PAUSD, including without limitation all claims, demands or causes of action of the JCC and its subtenants and creditors arising out of or pertaining to any occurrence, event, circumstance or 1185\02\147414.3 58/17/01 matter of any kind or nature arising out of, directly or indirectly, the acquisition of the Terman Site by the PAUSD and the relocation of the JCC from the Terman Site, including, but not limited, to any claims by the JCC or its subtenants for compensation for leasehold value, fixtures and equipment, loss of business goodwill, severance damages, interest, litigation expenses, attorneys’ fees and costs (including, but not limited to, costs incurred to negotiate this Agreement), loss or damages for inverse condemnation, unreasonable precondemnation delay, unreasonable precondemnation activities and statutory relocation benefits. In consideration for the JCC vacating the Terman Site and other consideration herein set forth, the PAUSD hereby releases and forever discharges, on behalf of the PAUSD, its successors, assigns, heirs, executors and administrators, the JCC and its board members, officers, directors, employees, agents, contractors and affiliates from any and all demands, claims or causes of action against the JCC relating to the JCC’s occupancy of the Terman Site prior to August 31, 2002 including attorneys’ fees and costs (including costs to negotiate this Agreement). In giving this release, the JCC and the PAUSD expressly waive the protection of Civil Code Section 1542, which statute provides as follows: "A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the debtor." PAUSD JCC 8. Headings. The title and headings of the various Sections of this Agreement are intended for means of reference and are not intended to place any construction on the provisions of this Agreement. 9. Invalidity. If any provision of this Agreement shall be invalid or unenforceable the remaining provisions shall not be affected thereby, and every provision of this Agreement shall be valid and enforceable to the fullest extent permitted by 3aw. 10. Entire A~reement. The terms of this Agreement are intended by the Parties as a final expression of their agreement and may not be contradicted by evidence of any prior or contemporaneous agreement. No provision of this Agreement may be amended except by an agreement in writing signed by the Parties hereto or their respective successors in interest. The Parties were represented by attorneys with regard to the drafting of this Agreement, and neither party shall be deemed to be the drafter of this Agreement. 11. Successors. This Agreement shall be binding upon and inure to the benefit of the heirs, executors, administrators, successors and assi~o-ns of the Parties hereto. 12.Govemin~ Law. This Agreement shall be governed by the law of the State of California. 13.Execution. This Agreement may be executed in multiple counterpart originals. 1185\02\147414.3 6811 7101 14. Attorneys’ Fees. In the event of a breach of this Agreement, the non-breaching party shall recover all attorneys’ fees and litigation expenses incurred as a result of such breach and/or to enforce this Agreement, including without limitation costs of appeal. IN WITNESS WHEREOF, the Parties have executed this Agreement on or as of the date first above written. JCC: THE ALBERT L. SCHULTZ JEWISH COMMUNITY CENTER, a California nonprofit public benefit corporation By: Its: PAUSD: PALO ALTO UNIFIED SCHOOL DISTRICT By: Its: 1185\02\147414.3 78/17/01 LICENSE AGREEMENT The Palo-Alto Unified School District ("PAUSD") and the Albert L. Schultz Jewish Community Center, a California nonprofit public benefit corporation ("JCC") as of this ~ day of , 2001 hereby enter into this license agreement (the "Lease"), the terms and provisions of which are set forth in its entirety as follows: RECITALS A. The Palo Alto Unified School District owns that certain former school site more particularly described in Exhibit A attached hereto and incorporated herein, and commonly referred to as the Greendell Site. B. The PAUSD and the JCC have entered into that certain Settlement and Relocation Agreement dated ~ whereby the JCC agreed to vacate certain premises needed by the PAUSD in order for PAUSD to provide adequate middle school facilities to the Palo Alto community. As a term and condition of that Settlement and Relocation Agreement, the PAUSD agreed to allow the JCC to use portions of the Greendell Site for a limited period of time for childcare services provided by the JCC. C. The PAUSD and the JCC now desire to enter into this License Agreement whereby the terms and conditions for the JCC’s use of the Greendell Site and the PAUSD’s and the JCC’s obligations shall be set forth. 1. PURPOSE OF LICENSE. PAUSD is the owner of the real property and the improvements thereon, located in Palo Alto, California and described in the attached Exhibit A (the "Greendell Site"), which currently consists of a former elementary school site with __ classrooms and related playground space. PAUSD desires to allow the JCC to use four class rooms on the Greendell Site and other improvements as set forth in the site plan attached hereto as Exhibit B (the "Premises") on the terms and conditions as hereafter set forth. 2. TERM. This License shall commence on August 15, 2002 (the "Commencement Date") provided however, if the PAUSD has delivered the Premises to the JCC on the terms and conditions set forth in this License on or before the Commencement Date and the JCC does not vacate the Terman Site as that term is defined in the Settlement and Relocation Agreement on or before August 31, 2002, this License Agreement shall automatically terminate and the JCC shall have no further rights to the use of the Greendell Site or any facilities located thereon. The License shall terminate on the earlier of (i) August 15, 2010 or (ii) the date the JCC’s occupies a facility with a least 60,000 square feet of space available to the JCC for community services, provided however, the JCC use of the Cubberly High School site shall not be deemed use of an alternative site that results in termination of this License Agreement. Except as expressly set forth herein, this License shall not be revocable by the PAUSD during its term and the JCC shall be deemed to have exclusive rights to the use and occupancy of this Premises during the term of this License. 1185\02\146942.4 ! 7/25/01 3. USES. The Premises during the term of this License are to be only used for, and shall be used for, the operation of facilities for childcare and early childhood education including preschool and after-school care and ancillary administrative offices, which uses are compatible win the existing .uses of the Greendell Site. JCC shall not use the Premises or permit the Premises to be used for unlawful, boisterous, commercial or hazardous purposes. The Premises shall not be used as a place of dwelling or residence and shall not be open to the public prior to 7:00 a.m. nor after 11:00 p.m. daily, unless approved by PAUSD in advance. PAUSD and JCC agree that the Premises will be used exclusively programs that are available to persons regardless of religious affiliation. The JCC shall not use the Premises for any uses not hereby expressly permitted without the PAUSD’s written consent, which consent shall not be unreasonably withheld, if such uses are compatible with other uses of the Greendell Site. 4. USE FEE. During the term of this License Agreement, the JCC shall use the Premises free of charges except as set forth in this License Agreement. 5.IMPROVEMENTS TO THE PREMISES.Prior to the Commencement Date, the PAUSD shall place on the Greendell Site nine (9) new portable classrooms each consisting of 960 square feet and one portable bathroom building (the "Portable Structures") for the JCC’s use. The Portable Structures shall be installed on pads with utilities, telecommunications connections and power connections in place and ready to use. All costs of installation and the cost of the Portable Structures shall be paid by the PAUSD and the JCC shall have no responsibility for the cost of the Portable Structures or their installation. Upon installation, the Portable Structures shall be subject to all usual and customary manufacturer’s warranties, provided, however, the PAUSD shall not be obligated to obtain any warranties that would be in excess of the PAUSD’s normal procedures for portable facilities. The Portable Structures shall be placed on the Premises in accordance with the Site Plan attached hereto as Exhibit 13. The JCC shall be responsible for installing any playground equipment or structures necessa~ for its operations. The installation and costs of any security systems desired by the JCC shall be borne solely by the JCC. Prior to installing any security system, the JCC shall submit to the PAUSD, for its approval, the plans and specifications for the proposed security system, including sufficient detail for the PAUSD to determine if the security system proposed is compatible with other uses at the Greendell Site. The PAUSD shall consent to the installation if the security system will not interfere with other uses occurring at the Greendell Site. In the event the JCC installs a security system, the JCC shall provide the PAUSD with access rights to be used only in the event of emergencies. 6. RIGHT OF ACCESS. At all times during the term of this License, PAUSD or its agents shall have the right of access to the Premises at all reasonable times with 24 hours prior notice except in case of emergency, provided that when entering the Premises the PAUSD and its agents shall use reasonable efforts to avoid disturbing the JCC’s use and occupancy of the Premises, for purposes of: (a) structural inspections and testing; 1185\02\146942.4 27/25101 (b) servicing, repairing and maintaining the Premises pursuant to the PAUSD’s obligations under Section 7(e) hereof; (c)-. repairs to floors; foundations, walls and other structures which -may jeopardize the safety and well being of the occupants; (d)determining compliance with the provisions of this License; and (e)posting notices in connection with this License. 7.MAINTENANCE, REPAIRS AND ALTERATIONS. (a) By taking possession of the Premises, JCC accepts them in their current condition. JCC shall at the end of the term hereof surrender to PAUSD the Premises and the Portable Structures and all alterations, additions and improvements thereto in the same condition as when received, ordinary wear and tear and damage by fire, earthquake, act of God or the elements excepted. Except as set forth in Section 5 above, PAUSD has no obligation and has made no promise to alter, remodel, improve, repair, decorate or paint the Premises or any part thereof. (b) JCC shall be responsible, at its sole cost, for maintaining the Premises, during the term hereof in good condition and repair, ordinary wear and tear, damage by fire, earthquake, act of God or the elements excepted. The obligations described in this paragraph include, without limitation the cost of repairing the surface of the internal walls, windows, doors or other entrances, frames for the foregoing, plumbing fixtures, utility lines, light fixtures, and door locks except to the extent that any such elements in the Portable Structures are covered by any manufacturers’ warranties. (c) PAUSD, at PAUSD’s sole cost, shall maintain and repair the roof, the foundation, and the structural shell of the building and the Portable Structure (excluding windows), the heating, ventilating and air-conditioning system, and the electrical, plumbing and sewer and utility lines and systems in connection with the Premises. However, PAUSD shall not be responsible to repair damage caused by JCC’s willful misconduct, negligence or misuse of any of such systems and JCC shall pay tbr any such repair. In the event any improvements or alterations are made to the Premises, such improvements or alterations shall belong to the PAUSD, except such trade fixtures of the JCC, which can be removed without damage to the Premises. 8. UTILITIES AND SERVICES. On the basis of separate metering or contract, the cost of all utilities and other services to the Portable Structures shall be paid for by the JCC, including gas, electricity, heat, pest contro!, telephone and other services delivered to the Premises. In addition, JCC shall pay to PAUSD monthly the allocable portion of the Greendell Site’s water, sewer and trash removal costs. In the event that JCC fails to make any payment as required by this section, PAUSD may make the amounts in question in full with its own funds. 1185\02\146942.4 37/25101 The amount expended to pay JCC’s share shall be repayable in full, together with interest thereon at the rate provided by law for interest on judgments. 9. USE OF COMMON AREAS. The JCC shall have, as appurtenant to the Premises and subject to reasonable rules and regulations of the PAUSD from time to time made applicable to the Premises, the non-exclusive right to use of the following areas in common with other tenants of the Greendell Site: (a) The common stairways, corridors and access ways, lobbies and foyers, entrances, stairs, restrooms, janitorial, telephone, mechanical, and electrical rooms, and any passageways thereto, and the common pipes, ducts, conduits, wires and appurtenant equipment serving the Premises; (b) The common walkways and sidewalks necessary for access to the Premises; (c) Any other area within the Greendell Site from time to time that is not designated for the exclusive use of the PAUSD or a particular tenant occupying space in the Greendell Site; and (d) the parking areas and driveways accessing the Greendell Site. 10. SIGNS. The PAUSD acknowledges and agrees that one or more signs designating the presence of the JCC on the Greendell Site will be required. Nevertheless, JCC shall not, without the prior written consent of PAUSD, construct or hang on or against the exterior of the Premises any projecting sign, provided that such written consent shall not be unreasonably withheld. 11.INSURANCE: INDEMNITY. (a) Liability Insurance - JCC. JCC shall, at JCC’s expense, obtain and keep in force during the term of this License, a policy of COMBINED SINGLE LIMITS, bodily injury and property damage insurance, insuring JCC and PAUSD against any liability arising out of the use, occupancy, or maintenance of the Premises and all other areas appurtenant thereto. Such insurance shall be in an amount not less than $1,000,000 per occurrence. The limits of said insurance will not however limit the liability of JCC hereunder. (b) Liability Insurance - PAUSD. PAUSD shall obtain and keep in force during the term of this License, a policy of COMBINED SINGLE LIMITS, bodily injuw and property damage insurance, insuring PAUSD, but not JCC, against any liability - arisifig out of the ownership, use, occupancy, or maintenance of the Premises and all areas of appurtenance thereto in an amount not less than $1,000,000 per occurrence. (c) Property Insurance. PAUSD shall obtain and keep in force during the term of this License, a policy or policies of insurance covering loss or damage to the Greendell Site (including, but not limited to the Premises, including the Portable Structures) (but not JCC’s fixtures, or equipment) in an amount not less than the full replacement value thereof, as the same 1185\02\146942.4 47/25/01 may exist from time to time, providing protection against all perils included within the classification of fire, extended coverage, vandalism, malicious mischief, flood and earthquake (in the event same is available at commercially reasonable rates), special extended perils (all risk as such term is used in the insurance industry) but not plate glass insurance, with deductible, if any, acceptable to the PAUSD. In determining the replacement cost of the improvements, foundations shall be excluded unless the insurer or insurers shall require the inclusion of same in their determination of such replacement costs. The PAUSD shall also obtain and keep in force during the term of this License, at the PAUSD’s sole expense, adequate boiler and pressure vessel insurance coverage with a minimum limit of $500,000 per occurrence. PAUSD may elect to self-insure for such coverage. In the event that either party fails to procure insurance as required by this section, the other party may procure such insurance with its own funds. The amount so expended shall be repayable in full, together with interest thereon at the rate provided by law for interest on judgments. 12. DEFAULTS AND RIGHT OF TERMINATION. The PAUSD has the right to cancel and terminate this License, and/or to exercise any other remedy at law or equity, upon 30 days written notice upon any of the following occurrences, which constitute a default ("Event of Default"): (a) Failure by the JCC to pay when due any charges for services set forth herein, if failure continues for a period of ten days after PAUSD has given notice. (b) Abandonment of the Premises by JCC (temporary vacancy due to remodeling or casualty shall not constitute abandonment). (c) Change of use without the PAUSD’s consent or failure to use the Premises as specified in Paragraph 3. (d) Failure to perform or comply with any other provisions of this License and failure to cure or comply within 15 days after PAUSD has given notice, or such longer period of time as is reasonably necessary to cure or comply, provided that JCC commences the cure or compliance within such period and diligently prosecutes such cure or compliance to completion. (e) Execution by JCC of any leasehold mortgage or deed of mast affecting the Premises without the written consent of PAUSD. (f)If JCC makes an assignment for the benefit of its creditors; (g)If any petition is filed against JCC in any court, whether or not under any statute of the United States of America or of any state, in any bankruptcy, reorganization, composition, extension, arrangement or insolvency proceedings, and JCC is thereafter adjudicated bankrupt, or if such proceedings are not dismissed within thirty (30) days after the institution of same, or if any such petition is so filed by JCC of a liquidator; 1185\02\146942.4 57125/01 (h) If, in any proceedings, a receiver, receiver and manager, trustee or liquidator is appointed for all or any portion of JCC’s property, and such receiver, receiver and manager, trustee or liquidator is not discharged within 30 days after the appointment of such receiver, receiver and manager, trustee or liquidator. 13. -PAUSD’S REMEDIES. Subject to Section 27, PAUSD retains all remedies as may be available to PAUSD at law or in equity including the right to exercise any or all of the remedies set forth in this Section 13: (a) Termination. Upon the occurrence of an Event of Default, PAUSD may elect to terminate this License. IfPAUSD terminates the License, PAUSD shall have the right to recover from JCC any amount necessary to compensate PAUSD for all detriment proximately caused by JCC’s failure to perform its obligations under this License or which, in the ordinary course of things, would be likely to result therefrom, including without limitation reasonable attorneys’ fees and costs; brokers’ commissions, the costs of refurbishment, alterations, renovation and repair of the Premises, including the Portable Structures, and removal (including the repair of any damage caused by such removal) and storage (or disposal) of personal property owned by JCC ("JCC’s Property"). (b) Re-entry. Upon the occurrence of an Event of Default, PAUSD also shall have the right, with or without terminating this License, to re-enter the Premises and remove all persons and property from the Premises; such property may be removed and stored in a public warehouse or elsewhere, and may be disposed of at JCC’s cost in accordance with any procedures permitted by law. No re-entry or taking possession of the Premises by PAUSD pursuant to this Section 13(b) shall be construed as an election to terminate this License unless PAUSD delivers a written notice of such intention to JCC. (c) Performance for JCC. Upon the occurrence of an Event of Default, PAUSD also shall have the right, without waiving or releasing JCC from any of its obligations, to make any payment or perform any other obligation on JCC’s behalf and at JCC’s expense. If PAUSD cures a failure to perform on behalf of JCC, JCC shall reimburse PAUSD for all costs incurred in connection with such cure, including without limitation reasonable attorneys’ fees and costs, within ten days after delivery of PAUSD’s invoice. 14. Remedies Cumulative. All rights, remedies, options and elections of either party contained in this License shall be cumulative. No single fight, remedy, option or election shall be exclusive of any other, and each party hereto shall have the right to pursue any one or all or such other rights or remedies as may be available to such party at law or in equity. 15. NO RIGHT TO ASSIGN OR SUBLET PREMISES. The JCC shall not have the right to assign all or any portion of this License or sublet the Premises. 16. HAZARDOUS MATERIALS. JCC shall not use, store, treat, dispose of or otherwise handle any Hazardous Materials on or about the Premises, and JCC shall not permit the use, storage, treatment, disposal or other handling of any Hazardous Material on or about the Premises by its employees, agents, contractors, sublessees, assignees, licensees, guests or 1185\02\146942.4 67/25/01 invitees. For purposes of this License, "Hazardous Materials" shall mean and include any substance which is (a) defined under any Environmental Law (as defined below) as a hazardous substance, hazardous waste, hazardous material, pollutant or contaminant, (b)a petroleum hydrocarbon, including crude oil or any fraction thereof, (c)a hazardous, toxic, corrosive, flammable, explosive, infectious, radioactive, carcinogenic or a reproductive toxicant or (d) otherwise regulated pursuant to any Environmental Law. For purposes of this Lease, "Environmental Law" shall mean and include all federal, state and local laws, statutes, ordinances, regulations, rules, judicial and administrative orders and decrees, permits, licenses, approvals, authorizations and similar requirements of all federal, state and local governmental agencies or other governmental authorities pertaining to the protection of human health and safety or the environment now existing or later adopted during .the Term of this License. Notwithstanding the foregoing, however, JCC shall be entitled to store and use on the Premises reasonable quantities of customary office and school products and maintenance solvents and supplies. The JCC shall not be responsible for the presence of any pre-existing Hazardous Materials on or about the Premise. 17.CONDEMNATION. (a) Total Taking. If (1)the entire Premises are Taken as a result of the exercise of the right of eminent domain, (2) less than the entire Premises are Taken, but it has been mutually determined by PAUSD and JCC that the Premises cannot be restored or replaced to an economically profitable unit or (c)the Taking occurs during the last 12 months of the Term, JCC shall have the right to terminate this License as of the Date of the Taking. For purposes of this Section 17 and Section 18, the terms "Taken" or "Taking" shall mean an acquisition and/or damaging, including severance damage, by eminent domain, or by inverse condemnation, or by deed or transfer in contemplation of a Taking, for any public or quasi- public use under any statute or law. The "Date of Taking" shall be the earlier of: (i) the date actual physical possession is Taken by the condenmor; (ii)the date on which the right to compensation and damages accrues under the Law applicable to the Premises; or (iii) the date on which title vests in the condenmor. (b) Partial Taking. If less than the entire Premises is Taken and it has been mutually determined by PAUSD and JCC that the remaining portion of the Premises can be restored to conditions suitable for the JCC’s use of the Premises, this License shall continue in full force and effect. 18. CONDEMNATION PROCEEDS. PAUSD and the JCC shall apportion the amount of any award which may be made or given for a Taking in accordance with the provisions of this section. The amount of any award shall be apportioned in the following order of preference; First, an amount equal to all costs incurred by JCC in connection with restoration of the Premises following a partial Taking shall be paid from such award. Second, the JCC shall be entitled to receive from the Taking authority (but not from PAUSD) any compensation which may be separately awarded to or recoverable by JCC for (a)the Taking of JCC’s personal property within the Premises, (b) JCC’s relocation expenses and (c) any loss of goodwill or other damage to JCC’s business resulting from such Taking. Third, the PAUSD shall be entitled to receive the entire remaining amount of any award which may be-made or given for a Taking. 1185\02\146942.4 77/25/01 The JCC shall not assert against the PAUSD or the Taking authority any claim for any compensation not specifically allowed in this section, including any claim for bonus or excess value of this License because of such Taking. The JCC shall be entitled to seek reimbursement of litigation expenses from any Taking authority. 19. -DAMAGE OR DESTRUCTION. JCC promptly shall notify PAUSD of afiy damage to the Premises resulting from fire or any other casualty. PAUSD promptly shall obtain a written estimate of the time required to repair the damage and deliver the estimate to JCC. Subject to the remaining provisions of this Section 19, if the Premises or the Greendell Site are damaged by fire or other casualty insured against by PAUSD’s insurance (or would have been had PAUSD procured and maintained the insurance required under Section 11 hereof), and sufficient proceeds (when added to any applicable deductible) are made available to PAUSD to fully cover the cost of repair, PAUSD shall promptly undertake such repairs, so long as the estimate of the time required to repair the damage is 180 days or less after the date of delivery to the JCC of such written estimate, in such event, this License shall remain in full force and effect. If (1) such estimated date of completion of the repairs is more than 180 days after the date of delivery of such written estimate, or (2) insufficient proceeds are made available to PAUSD to fully cover the cost of repair, or (3)the casualty is not covered by PAUSD’s insurance, then PAUSD may elect, by written notice to JCC given within 30 days after the date of such damage, to either: (a)restore or repair such damage, in which event this License shall continue in full force and effect, or (b) terminate this License as of a date specified in such notice, which date shall not be less than 30 nor more than 60 days after the date such notice is given. The cost of repair shall take into account the cost of bringing the damaged, destroyed or remaining portions of the Premises into compliance with any then-applicable Laws (including ADA requirements). Notwithstanding the above, JCC may elect to terminate this License by written notice to PAUSD within ten days after delivery of PAUSD’s written estimate of the time to repair, if such estimate exceeds 120 days after the date of damage. (a) JCC Restoration. Notwithstanding any other provision of this License, PAUSD shall not be required to repair any injury or damage to or to make any repairs to or replacements of any of JCC’s personal property. Except as provided above, JCC shall not be entitled to any compensation or damages from PAUSD for damage to such items, for loss of use of the Premises, for any damage to or interference with JCC’s business, loss of profits, or for any disturbance to JCC caused by any casualty or the restoration of the Premises following such casualty. (b) Damage Near End of Term. Either PAUSD or JCC shall have the right to terminate this License if any damage to or destruction of the Premises occurs during the last six months of the Term which renders the Premises unusable for the use permitted under Section 3 and which cannot be repaired or restored within 30 days after the date of the casualty. (c) Waiver of Termination Right. The provisions of California Civil Code sections 1932 and 1933 (and any similar or successor statutes permitting JCC to terminate the License as a result of any damage or destruction) are hereby expressly waived by JCC, and the provisions of this Section 19 shall govern the respective rights and obligations of the parties in the event of any damage or destruction. 1185\02\146942.4 87/25/01 20.INDEMNIFICATION. (a) Liability to Other Persons JCC shall indemnify, defend and hold PAUSD harmless from and against any and all liabilities, claims, demands, losses, costs, and expenses, including reasonable attorneys’ fees incurred by PAUSD, arising out of injuries to any person or damage to property occurring on the Premises or the Greendell Site which arise from the acts or omissions of JCC, its employees, agents, contractors, invitees or permittees, except to the extent arising fi’om the negligence of the PAUSD. (b) Liability for Liens JCC shall hold harmless, indemnify and defend PAUSD and its agents, employees, invitees, tenants and permittees against any liens and encumbrances arising out of work performed or materials furnished by or at the direction of JCC, and all costs and expenses incurred by PAUSD related thereto. JCC shall, at its cost, promptly, upon PAUSD’s request, post a bond in an amount equal to one and one-half times the amount of such liens or encumbrances on the Premises. 21. NOTICE. Except as may be modified by subsequent written notice delivered to the other party, all notices, demand for payments, and requests shall be in writing and shall be hand delivered or sent by certified or registered mail, postage prepaid, as follows: PAUSD:Palo Alto U~tified School District 25 Churchill Avenue Palo Alto, CA JCC:Albert L. Schultz Jewish Community Center 655 Arasteradero Road Palo Alto, CA 94036 Attn: Executive Director 22. ATTORNEY’S FEES. In any action or proceeding to enforce the terms of this License, the prevailing party shall be entitled to attorney’s fees and court costs, as deemed reasonable by the court. 23. WAIVER. The failure of any party hereto to enforce any provision herein, when such provision has not been complied with by the other party, shall not constitute a waiver of first party’s rights. 24. CALIFORNIA LAW. This License shall be construed and interpreted under the laws of the State of California. 1185\02\146942.4 97/25/01 25. ARBITRATION. All claims, disputes and other matters in question between the PAUSD and JCC, arising out of or relating to this License or the breach thereof, shall be decided by binding arbitration in accordance with Arbitration Rules of the American Arbitration Association then applicable unless the parties mutually agree otherwise. No arbitration, arising out of or relating -to this License, shall include, by consolidation, joinder or in any other manner, any additional-person not a party to this License except by written consent containing a specigc reference to this License and signed by the PAUSD and JCC, and any other person sought to be joined. Any consent to arbitration involving an additional person or persons shall not constitute consent to arbitration of any dispute not described therein. This agreement to arbitrate and any agreement to arbitrate with an additional person or persons duly consented to by the parties to this License shall be specifically enforceable under the prevailing arbitration law. In no event shall the demand for arbitration be made after the date when institution of legal or equitable proceedings based on such claim, dispute or other matter in question would be barred by the applicable statute of limitations. The award rendered by the arbitrators shall be final, and judgment may be entered upon it in accordance with applicable law in any court having jurisdiction thereof. 26. SUCCESSORS AND ASSIGNS. The terms and provisions of this License shall be binding on all heirs, successors and assigns of the respective PAUSD and JCC. 27. NON-DISTURBANCE. Provided the JCC performs all of its obligations under this License, the possession of the Premises by JCC and JCC’s rights under this License and any amendments hereto shall be fully recognized and shall not be affected or disturbed by PAUSD, or any of its successors in interest in the event of a sale of the Premises or any portion thereof. 28. REAL PROPERTY TAXES. In the event this License Agreement results in property taxes or assessments being assessed against the Premises, the JCC shall be responsible for the payment of such taxes or assessments and the JCC shall be responsible for filing any applications for exemptions from taxes and assessments to which the JCC may be entitled to. 29. ENTIRE AGREEMENT. This License Agreement together with any exhibits and attachments constitutes the entire agreement between the JCC and the PAUSD with regards to the Greendell Site. This License may be altered, amended or revoked only by an instrument in writing signed by both parties. The PAUSD and the JCC agree that all prior or contemporaneous oral or written agreements between and among themselves and their agents and representatives relative to the use of the Greendell Site are merged or revoked by this License Agreement. 1185\02\146942.4 1 07/25/01 IN WITNESS WHEREOF, the parties hereto have caused this agreement to be executed and effective as of this ~ day of PAUSD:JCC: Palo Alto Unified School District Albert L. Schultz Jewish Community Center, a California non-profit corporation By:By: Its:Its: 1185\02\146942.4 117/25/01 Exhibit A Legal Description of the Property 1185\02\146942.4 7/25101 A-1 Exhibit B Site Plan 1185\02\146942.4 7/25101 Attachments B-2 Interim Relocation Plan for JCC CPA-JCC Cubberley Sublease Terms 1. Term. Commencing August 15, 2002 and continuing until the earliest of December 31, 2004 if the CPA does not extend the master lease, or August 15, 2010 if the master lease is extended, or until JCC relocates its community services programs from Cubberley. 2. Rent. $2704 per month until September 2003, provided that if the parties agree to include the Exercise Room, (the remodeled Girls’ Locker Room), the rent shall be $4779 per month until September 2003. In September 2003, the rent it increases to $8531 with addition of dedicated gym space and the Exercise Room if not previously included. Rent amounts are subject to annual inflation adjustment and a security deposit; rates and usage are subject to further discussion. 3. Premises. Dedicated space initially is Room B-5, Room B-6, B-5 Storage, Coach’s Office, M-5 Office, M-1 Office, and, at the parties’ agreement, the Exercise Room. In September 2003, premises expanded to include exclusive use of Gym A Monday through Thursday (and the Exercise Room if not initially included,)and shared use of the Gym A on Friday through Sunday. JCC also has the right to regularly scheduled use of 12 hours per week of Auditorium, 6.5 hours per week of Room M-4, and 2.25 hours per week of Room A-6, subject to adjustments to best meet Cubberley and JCC scheduling requirements. In September 2003, shared uses will be increased to include 2.5 hours per week of the Dance Studio and 3.0 hours per week of the Boy’s Activity Room. Regularly scheduled use is included in the rent described above. Other use of Cubberley space by JCC will be at the non-profit regular rental rate, but such space will be allocated on a first-come, first-serve basis and JCC will not have priorities over other users. 4. Access to Common Areas. JCC will have access to all common areas as needed to make use of the dedicated and regularly scheduled use premises. 010905 s~"a 0090974 5. Si.qnacle. JCC will be permitted to install signage in accordance with the approved sign program for Cubberley. 010905 syn 0090974 Attachment B-3 Interim Relocation Plan for JCC JCC-CPA Lease Termination and Mutual Release Agreement 010905 syn 0090974 LEASE TERMINATION AND MUTUAL RELEASE AGREEMENT This Lease Termination and Mutual Release Agreement is entered into by and between the City of Palo Alto, a municipal corporation (the "City") and Albert L. Schultz Jewish Community Center, a California nonprofit public benefit corporation (the "JCC") as of this ~ day of July, 2001. RECITALS A. The City and the JCC entered into that certain Lease (the "Terman Lease") dated July 1, 1981 for the premises (the "Terman Site") commonly known as 655 Arastradero Road, Palo Alto, CA 94306. B. The Palo Alto Unified School District, a subdivision of the State ("PAUSD") wishes to open a new middle school at the Terman Site for the 2003-2004 school year. C. PAUSD and the JCC have entered into that certain Settlement and Relocation Agreement dated July ~, 2001 attached hereto as Exhibit A (the "JCC/PAUSD Settlement Agreement"), whereby, among other things, the JCC has agreed to terminate its leasehold interest and occupancy rights under the Terman Lease as of August 31, 2002, subject to the JCC’s right to continued use of portions of the Terman Site, as more particularly set forth in Sections 3 and 4 of the JCC/PAUSD Settlement Agreement (the "Continuing Terman Occupancy Rights"), and subject to satisfaction of certain conditions precedent to the JCC’s lease termination obligation, as provided in the JCC/PAUSD Settlement Agreement. NOW, THEREFORE, for good and valuable consideration, the City and the JCC agree as follows: 1. Lease Termination. Upon the date (the "Effective Date") that the JCC vacates the Terman Site as set forth in the JCC/PAUSD Settlement Agreement (subject to the Continuing Terman Occupancy Rights), the Terman Lease shall terminate and be of no further force or effect. 2.Mutual Release. (a) Release of City. Except with respect to the City’s obligations under the Terman Lease to be performed between the date of this Agreement and the Effective Date, the JCC hereby releases and forever discharges, on behalf of the JCC, and its successors, assigns, heirs, executors and administrators, the City and its council members, officers, directors, employees, agents, contractors and affiliates from any and all demands, claims or causes of action (collectively, "Claims") arising out of or relating to (a) the JCC’s occupancy of the Terman Site, (b) the City’s obligations under the Terman Lease, and (c) the acquisition of the Terman Site by PAUSD and the relocation of the JCC from the Terman Site, including, but not limited to, any Claims for compensation for leasehold value, fixtures and equipment, loss of business goodwill, Gray CarykPA\10170155.1 2102988-!1 severance damages, interest, litigation expenses, attomeys’ fees and costs (including, but not limited to, costs incurred to negotiate this Agreement), loss or damages for inverse condemnation, unreasonable precondemnation delay, unreasonable precondemnation activities and statutory relocation benefits other than those benefits which the JCC is entitled to receive from PAUSD under the JCC/PAUSD Settlement Agreement. The items referred ~o in the foregoing clause (c) are referred to hereinafter collectively as the "Eminent Domain Claims". (b) Release of JCC. Except with respect to the JCC’s obligations under the Terman Lease to be performed between the date of this Agreement and the Effective Date, the City hereby releases and forever discharges, on behalf of the City, its successors, assigns, heirs, executors and administrators, the JCC and its board members, officers, directors, employees, agents, contractors and affiliates from any and all Claims arising out of or relating to (a) the JCC’s occupancy of the Terman Site through August 31, 2002, (b) defaults by the JCC under the Terman Lease, and (c) the Eminent Domain Claims. In giving this release, the JCC and the City expressly waive the protection of Civil Code Section 1542, which statute provides as follows: "A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the debtor." Initials:Initials: The City The JCC 3. Consent to JCCiPAUSD Agreements. The City hereby consents to the terms and provisions of the JCC/PAUSD Settlement Agreement and to the Continuing Terman Occupancy Rights as contemplated therein. In the event and to the extent that PAUSD has not acquired the right from the City to provide the JCC with the Continuing Terman Occupancy Rights as of the Effective Date, the City agrees to recognize the Continuing Terman Occupancy Rights of the JCC and to perform the obligations of PAUSD with respect to the Continuing Terman Occupancy Rights for the benefit of the JCC subject to the JCC’s agreement to attorn to the City with respect to its obligations relating to the Continuing Terman Occupancy Rights as set forth in Sections 3 and 4 of the JCC/PAUSD Settlement Agreement. 4. Headings. The title and headings of the various Sections of this Agreement are intended for means of reference and are not intended to place any construction on the provisions of this Agreement. 5. Invalidity. If any provision of this Agreement shall be invalid or unenforceable the remaining provisions shall not be affected thereby, and every provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law. 6. Entire Am-eement. The terms of this Agreement are intended by the Parties as a final expression of their agreement and may not be contradicted by evidence Gray Cary~PA\10170155.1 2102988-1 2 . of any prior or contemporaneous agreement. No provision of this Agreement may be amended except by an agreement in writing signed by the Parties hereto or their respective successors in interest. The Parties were represented by attorneys with regard to the drafting of this Agreement, and neither party shall be deemed to be the drafter of this Agreement. 7. Successors. This Agreement shall be binding upon and inure to the benefit of the heirs, executors, administrators, successors and assigns of the Parties hereto. 8. Governing Law. This Agreement shall be governed by the law of the State of California. originals. Execution. This Agreement may be executed in multiple counterpart 10. Attorneys’ Fees. In the event of a breach of this Agreement, the non- breaching party shall recover all attorneys’ fees and litigation expenses incurred as a result of such breach and/or to enforce this Agreement, including without limitation costs of appeal. IN WITNESS WHEREOF, the Parties have executed this Agreement on or as of the date first above written. JCC: THE ALBERT, SCHULTZ JEWISH COMMUNITY CENTER, a California nonprofit public benefit corporation By: Its: CITY: CITY OF PALO ALTO By: Its: Gray Cary~PA\10170155.1 2102988-I 3 EXHIBIT A JCC/PAUSD Settlement Agreement. [To be attached] Gray CarykPA\10170155.1 2102988-1 4 EXHIBIT B License Agreement [To be attached] Gray Car3’~PA\10170155.1 2102988-I 5 RESOLUTION NO. RESOLUTION OF THE COUNCIL OF THE CITY OF PALO ALTO AMENDING SECTION 1401 OF THE MERIT SYSTEMRULES AND REGULATIONS REGARDING THE MEMORANDUMOF AGREEMENT BETWEEN THE CITY OF PALO ALTO ANDLOCAL 715A, SEIU, AFL-CIO, CLC The Council of the City of Palo Alto does RESOLVE as follows: SECTION i. Section 1401 of the Merit System Rules and Regulations is hereby amended to read as follows: "1401. Memorandum of agreement incorporated by reference. That certain memorandum of agreement by and between the City of Palo Alto and Local 715A, SEIU, AFL-CIO, CLC, consisting of a Preamble and Articles I through XXVII and Appendices A through E, attached thereto and incorporated therein, for a term commencing May I, 2001, and expiring April 30, 2004, is hereby amended by the "Tentative Agreement" between the same parties entered on August I0, 2001, which "Tentative Agreement" is incorporated into these Merit System Rules and Regulations by this reference as though fully set forth herein. Said ~Tentative Agreement" revises Article III of the memorandum of agreement to implement an Agency Shop Arrangement. The memorandum of agreement, as amended, shall apply to all employees in classifications represented by said Local 7!5A, SEIU, AFL-CIO, CLC, except where specifically provided otherwise herein. In the case of conflict between this chapter and any other provision(s) of the Merit System Rules and Regulations, this chapter will prevail over such other provision(s) as to employees represented by said Local 715A, SEIU, AFL-CIO, CLC." SECTION 2. The changes provided for in this resolution shall not affect any right established or accrued, or any offense or act committed, or any penalty of forfeiture incurred, or any prosecution, suit, or proceeding pending or any judgment rendered prior to the effective date of this resolution. // // 010521 cl 0032458 ! Attachment C-1 JCC Option to Sublease Mayfield Site Mayfield Sublease and Joint Use Agreement Terms 1.Landlord 2.Tenant 3.Lease Execution Date 4.Commencement Date of Term 5.Term 6.Premises 7.Ground Lease 8.Condition of Premises 9.Improvements City of Palo Alto, a municipal corporation. The Albert L. Schultz Jewish Community Center, a California non-profit corporation. Promptly upon "legal certainty" (see #-4 below). When JCC satisfies certain conditions precedent and is ready to start construction, but in no event later than 54 months after JCC receives legal certainty.1 (Consistent with Ground Lease dates.) 50 years from the Commencement Date. "Mayfield Site" - approximately six acres of vacant land located at the corner of Page Mill Road and El Camino Real, in the City of Palo Alto owned by Stanford University (the "Site") and subject to a ground lease to be entered into between Stanford and CPA ("the "Ground Lease"). The Sublease is subject to all of the terms of the Ground Lease. All obligations of the tenant under the Ground Lease will pass through and become the obligations of Subtenant. In addition, Subtenant will owe similar obligations to CPA. JCC will accept the Site "as-is." In taking the Site as-is, JCC expressly agrees to take subject to and assume all responsibilities with respect to hazardous substances that are the CPA’s obligation under the Ground Lease. JCC further expressly agrees that all costs and expenses for relocation of the sewer line and the electrical lines, as well the costs of remedying any other site conditions, whether or not yet identified, necessary or desirable for the JCC to construct the improvements, shall be the responsibility of JCC. JCC shall construct a minimum of 100,000 sq. ft. of Gross Floor Area for use as a non-profit community center up to a maximum of 130,000 sq. feet. "Gross ~ "Legal Certainty" means the date by which the JCC has received final approval of a zoning change for the community center and has the right to enter into a sublease for the Mayfield Site as described in this Exhibit C-1 and in the Ground Lease attached to this MOU as Attachment D-2. 010905 syn 0090974 10.Schedule of Performance 11.Rent and Rent Commencement Date Floor Area" is defined in the Ground Lease. Stanford will have rights to approve the exterior design of the improvements as set forth in the Ground Lease. CPA will retain its normal building department, design review and other Code approval rights. JCC is responsible for. obtaining all permits and approvals required for the community center at its expense. In any event JCC must comply with the requirements of the Ground Lease for start of construction and completion of construction. JCC must complete the improvements not later than eight years after the Commencement of the Term of the Ground Lease (the same date for completion required in the Ground Lease), subject to post-commencement force majeure delays to the extent permitted by the Ground Lease. JCC will be allowed to construct the improvements in phases, provided that (i) the initial phase consists of at least 90,000 square feet of Building Area and includes space necessary for the CPA’s uses described in Attachment 1. CPA will require as a condition of commencement of construction that CPA receive satisfactory evidence that JCC has obtained the funds necessary to complete the construction based on an estimated budget of hard and soft construction costs submitted to and approved by CPA. The Sublease will not commence before the zoning change and site and design review by CPA for community center is final. Base Rent is $100,000 per year payable in monthly installments, subject to annual adjustment for increases in the cost of living and to fees for late payments. The Rent Commencement Date will be the earlier to occur of (a) the date the JCC completes the improvements (or, if phased, the initial phase) or (b) the date that is eight (8) years following the Commencement of the Term. 12.Additional Consideration 010905 syn 0090974 As additional consideration for the Sublease, JCC will provide scholarships for membership fees and program charges on a sliding scale for both families and individuals. JCC shall publicize and promote the availability of this program to encourage participation; the promotion and outreach program will be reviewed and approved by CPA. Income qualification standards of CPA or the United Way shall be applied. Also the benefits to CPA under the Joint Use Agreement (as defined below) shall constitute additional consideration 2 13. Net Lease 14. Us.__~e 15. Housin.q Use 16.Nondiscrimination Clause 17. Revenues for the Sublease. The Sublease is absolutely net to CPA. The principal use will be a non-profit Community Center, with membership and program participation open to the general public. A limited portion of the site may be used " to house non-profit offices. "Community Center" uses are more particularly described in Attachment 1. Attachment 1 also further describes space for CPA uses and uses to be offered jointly by the JCC and the CPA. The agreements of the CPA and the JCC with respect to the CPA space and the joint uses will be more particularly described in a Joint Use Agreement that will be attached as an exhibit to the Sublease. In addition, CPA may require that a portion of the Premises be used for 20-40 units of affordable housing, to the extent consistent with JCC requirements and based on CPA inputs, and provided there is no adverse impact on JCC’s schedule of construction. JCC shall prepare the initial design and siting of the Community Center in a manner acceptable to the CPA that will accommodate the future housing use. The housing must be compatible with the primary use of the Site as a Community Center. The design of the housing portion of the improvements shall be subject to CPA’s approval as landlord/developer as well as implementing its general design review and building code approvals. CPA will have the right to select the architect and the general contractor for the housing portion of the project. CPA will be responsible for any and all costs of housing development. The Sublease will prohibit any discrimination against any person on the basis of race, age, creed, cohabitation, sexual preference, gender, color, ancestry, national origin, heritage, religion or physical or mental disability and will require that the JCC include an appropriate non- discrimination clause in all of its contracts and agreements with respect to the Site or the improvements. JCC will have the right to retain the revenues generated from its programs and non-profit uses. The JCC and the CPA shall share revenue with respect to jointly offered programs in accordance with the terms of the Joint Use Agreement. CPA shall have the right to keep all revenues from CPA offered programs. JCC will keep books and records, which will be available to the CPA to inspect and audit. 010905 s)m 0090974 18. 19. 20. 21. Subleasing and Assiqnment Financinq Insurance Obli.qation to Restore in the event of Damaqe or Destruction 22. Default 23.Condition of Premises at the end of term CPA will have the absolute right to approve any assignments. CPA will have the right to approve any subleases, which approval shall not be unreasonably withheld. CPA will consent in advance to the subleasing of a limited square footage to non-profit organizations for office and program uses, designed to replace space previously used for such uses at the JCC’s Terman Site. JCC may use temporary licenses or other interim agreements for programmatic aspects of its operations, provided the users and their programs comply with the permitted use requirements of the Sublease. CPA will consent to an assignment by JCC of the Sublease to the Jewish Community Federation ("JCF") provided the JCF (a) assumes all of the obligations.of the JCC under the Sublease in an assignment and assumption agreement in form reasonably acceptable to the CPA; (b) continues to be a non-profit organization at the time of the assignment; and (c) is financially capable of carrying out JCC’s obligations under the Sublease. CPA will have reasonable approval rights over any financing obtained by JCC for development, construction and operation of the premises. CPA will permit financing secured by the JCC Sublease. At a minimum, a foreclosing lender will be required to provide a qualified non-profit operator satisfactory to the CPA; maintain continuous uninterrupted use; and honor the existing CPA agreements, including the Joint Use Agreement with the CPA. CPA may impose additional reasonable requirements to assure that the purposes of the Sublease will be carried out. JCC must maintain the insurance required by the Ground Lease; JCC’s obligation to carry rental or business interruption insurance for JCC’s rent obligations under the Sublease shall be mutually negotiated. CPA must be named as an additional insured on all insurance. The JCC’s obligations are subject to the requirements of the Ground Lease Parties will review default and cure periods in the Sublease in order to provide the CPA time to cure any default by JCC under the Ground Lease. If the Sublease termination coincides with the termination of the Ground Lease, JCC’s obligation under the Sublease shall be the same as the CPA’s under the Ground Lease; otherwise, termination condition remains 010905 s.vn 0090974 24. Si~na~e 25. Extension Right to be negotiated. JCC will have signage rights, subject to CPA approval process and any approvals required under the Ground Lease. Primary signage for the site will be for the JCC. To the extent the Ground Lease includes a right to meet and confer regarding extension of the Ground Lease, CPA and JCC agree that if the JCC is still the sublessee under the Sublease and not in default thereunder, JCC will have the right to participate in discussions. 010905 syn 0090974 City of Palo Alto/JCC Sublease Basic Sublease Terms Attachment I The permitted uses under the Sublease will be (1) a non-profit community center and (2) affordable housing. CPA will have the exclusive right to use some space; the CPA and the JCC will have the right to joint use of other space; and use of the balance of the space will be under the exclusive control of the JCC, subject to the terms of the sublease and applicable zoning. In the table below, maximum and minimum floor area or capacity are shown where provision or limiting of such space will be required under the sublease. The parties contemplate that the community center, which will provide cultural, educational, recreational, human services, and social programs for members of the JCC and members of the general public, wilt include the following activities on site: (a) (b) (c) (d) (e) (f) (g) (h) (i) (k) (I) administration, caf6 and food service incidental to other uses permitted, childcare, cultural arts, early childhood education program, including infant and toddler center, not including K-12 instruction, education, including enrichment programs for all age groups, not including K-12 instruction family services to people of all ages, health, fitness and wellness programs and activities, including without limitation cardio-therapy, dance, exercise, and swimming, senior programs of all types, shop for sale of books, arts and crafts and other products incidental to uses permitted at the Community Center sport (basketball, swimming, volleyball, etc.), and teen programs of all types. 010905 syn 0090974 The programs and activities listed below and currently operated by the JCC at the Terman Community Center in Palo Alto may be provided by or under the supervision of or with the approval of the JCC. However, the amount of space devoted to such uses shall be limited as described below. ¯Administrative Office Space ¯Jewish Community Federation ¯Jewish Community Relations Council ¯Program Space Cardiac Therapy Foundation 1. CPA Space. CPA shall have the right to use these spaces for its own program or those it sponsors or co-sponsors. When the CPA is not making use of the spaces, the JCC shall have next call on them under the terms of the Joint Use Agreement. If JCC does not use the space, CPA may permit other nonprofits or government agencies to use these spaces and services within the scope of community center activities and charge fees for such use. The JCC shall furnish and maintain these spaces and pay all utility costs, and there shall be no charge to the CPA for its use of these spaces. CPA (and its invitees et cetera) shall also have use of restrooms, parking spaces, locker rooms and other facilities incidental to their use of the CPA Space. Space Gymnasium-full sized, equipped for basketball and other court sports. Secure storage ancillary to the gymnasium. Dance/aerobics room with sprung wooden floor, mirrors and barres Program class room, with storage cabinets and sink Size/Capacity 7,000 square feet 600 square feet 2,000 square feet 1,000 square feet 2. Joint Use Space. This space is primarily for the use of the JCC, for its own programs and those it sponsors or co-sponsors. The CPA shall have a right to certain hours as more particularly defined in the joint use agreement. The parties expect to operate a number of joint programs in these and other spaces at the JCC. In addition, there will be a mechanism for adjusting use from time to time as the parties mutually agree. The space is furnished and maintained by the JCC and there is no charge to the CPA for its use. 010905 syn 0090974 Space Gymnasium-full sized, equipped for basketball and other court sports. (Adaptable to double gym with CPA’s gym.) Dance/aerobics rooms with sprung wooden floor, mirrors and barres 2 program classrooms with cabinets and sinks 25 meter, 8 lanes teen lounge theater/multi use room, with stage, flat floor, no fixed seating Size/Capacity "7,000 square feet 2,000 square feet 1,000 square feet each 2,000 square feet 400 seat capacity CPA’s Time Entitlement Friday evening and Saturday morning and other times as agreed1 3. JCC Space. These spaces are for the use of the JCC for the purposes permitted under the lease and conditional use permit. Space snack bar or restaurant kitchen facilities separate from snack bar/restaurant fitness areas/exercise rooms locker rooms for users of exercise areas, dance rooms, and gymnasiums photography studio program class rooms for arts, crafts, other recreation, support groups (not dedicated to childcare or pre-school programs) administrative offices for JCC class rooms for infant and childcare for children under kindergarten age, and for school-age children before and after school hours, and associated outdoor play space office space for other non-profit organizations Size/Capacity up to 5,000 square feet To be determined 4.Other Terms. (a) JCC members will be treated as CPA residents when registering for CPA programs at the JCC site. : Schedule will accommodate cardiac rehabilitation program. 010905 syn 0090974 (b) The building will be dark on Rosh Hashanah and Yom Kippur. 010905 s~a~ 0090974 Attachment D-1 STANFORD-CPA Development Agreement and Ground Lease Proposed Development Agreement 010905 s.vn 0090974 This document is recorded for the benefit of the City of Palo Alto and is entitled to be recorded free of charge in accordance with Section 6103 of the Government Code. After Recordation, mail to: OFFICE OF THE CITY ATTORNEY City OF Palo Alto 250 Hamilton Avenue P.O. Box 10250 Palo Alto, Ca 94303 DEVELOPMENT AGREEMENT Between CITY OF PALO ALTO, A Chartered City and BOARD OF TRUSTEES OF THE LELAND STANFORD JUNIOR UNIVERSITY, a body having corporate powers under the laws of the State of California 010809 syn 0090963a TABLE OF CONTENTS RECITA~LS ................................................1 A. Definitions .................................................1 B Outline of Terms ............................................1 C Nature and Purpose of Development Agreements ................2 D Authority for City Development Agreements ...................3 E Comprehensive Plan ..........................................3 F Stanford General Use Permit .................................3 G Previous Agreement Between Stanford and Palo Alto Unified School District for School Funding ............................. 3 H.Stanford GUP and Community Service Impacts ..................4 I.Reducing Impacts of Increased Traffic through Traffic Calming ........................................................6 J.Housing Impacts .............................................7 K. Existing Zoning in the Research Park ........................8 L.Existing Development in the Research Park ...................9 M.Creation of Sites in the Park and Transfer of Development... 9 N.Stanford’s Right to Build I00,000 to 130,000 Square Feet of New Limited Industrial Space at Hanover Site and in the South Research Park Area ............................................I0 O. Stanford Option and Incentive to Develop Housing at Hillview Site .......................................................... II P.City Promises On Development of Mayfield Square Footage ....II Q.Implementation of Creek and Riparian Area Policies in 1998- 2010 Comprehensive Plan .......................................12 R.No Reduction in FAR Standard in Research Park Before 2011.. 13 010904 syn 0090963a T. U. V. I. Environmental Review .......................................13 Police Power ...............................................13 Council and Commission Findings ............................14 Nature of Recitals .........................................14 Definitions ..............................................15 (a) 2001 Rules ..............................................15 (b) ARB Approval ............................................15 (c) Associated Square Footage ...............................15 (d) City ....................................................15 (e) Comprehensive Plan ......................................16 (f) Days ....................................................16 (g) Designated Project ......................................16 (h) Designated Site ................................... .......16 (i) Development Agreement Act ...............................16 (j) Development Agreement Ordinance .........................16 (k) Discretionary Action ....................................16 (I) Effective Date ..........................................17 (m) Existing Improvements ...................................17 (n) FAR and floor area ratio ................................17 (o) Hanover Approvals .......................................17 (p) Hanover Site ............................................17 (q) Hanover Project .........................................17 (r Hillview Site ...........................................17 (s Mayfield Lease ..........................................17 (t Mayfield Site ...........................................18 (u Mayfield Square Footage .................................18 (v Mortgage ................................................18 (w Mortgagee ...............................................18 (x Party ...................................................18 (y Research Park ...........................................18 (z Signatory Party .........................................18 (aa)Site ...................................................19 (bb)South Research Park Area ...............................19 (cc)Stanford ...............................................19 (dd)Subsequent Approvals ...................................19 (ee)Subsequent Rules .......................................19 (ff)Subsequent Applicable Rules ............................19 (gg)Term ...................................................20 (hh)Transfer Area ..........................................20 (ii)Vested Right ...........................................20 ii 010904 syn 0090963a 2.Interest of Stanford .....................................20 3. Binding Effect ...........................................20 4.Negation of Agency .......................................20 5. Stanford’s Promises ......................................~I (a) Mayfield Lease ..........................................21 (b) College Terrace Traffic Calming .........................21 (c) Compliance With Agreement; No Obligation to Develop .....21 6. City’s Promises ..........................................21(a) Mayfield and Associated Square Footage ..................21 i.Mayfield Square Footage ................................21 ii. Associated Square Footage .............................22 iii. Uses .................................................22 iv. Development Standards .................. ...............23(b) Hanover Site and Project ................................23 i. Hanover Approvals ......................................23 ii. Vested Right to Build .................................23iii.Vested Right to Use .................... ...............23iv. Modification of Hanover Approvals .....................24v.Mayfie!d Square Footage ................................24 vi. Utility Connections ...................................24 vii.Waste Treatment Capacity .............................24 viii. Storm Drain Capacity ................................25 ix. Limit on Dedications ..................................26 x. Improvement Requirements ...............................26(c) South Research Park Designated Sites ....................26 i. Designated Sites .......................................26 ii. Designated Projects ...................................26iii. FAR Shift up to 25% Over Base ........................27 iv. Tracking of FAR .......................................27 v. Priority for Utilities, Waste Treatment, and Store Drain Capacity .................................................28vi. Dedication of Property for. Public Purposes ............28 vii. Improvement Requirements .............................28viii.Limitation on Design Review .........................29 (d) Hiilview Site Alternative ...............................30i. Single Site Chosen .....................................30 ii. Choice to Vest Entire Hillview Site Through Provision of Housing ..................................................30 iii.Vested Right to Build Hillview Housing ...............31iv. Residentia! Development Standards .....................31 v. Hillview Site Perimeter; Increase in Site Coverage .....32 vi. Limited Design Review, Dedications, and Improvements..32 vii.Below Market Rate Units .............................. 32 iii 010904 syn 0090963a viii.Right to Apply to Build Additional Housing ..........33 (e) No Reduction In Research Park FAR .......................33 (f) Ful!.Mitigation of GUP Community Service Impacts ........33 (g) No Moratoria and/or Growth Limitation Ordinances; No Phasing or Timing of Development ...........................34 (h) Subsequent Rules ........................................34 (i) Cooperation and Implementation ..........................34 (j) Subsequent Discretionary Approvals ......................35 (k) Entitlement to Develop ..................................35 7. Exceptions ...............................................35 8.Exclusions ...............................................36 (a) Sewer Facilities ........................................36 (b) Storm Drains and Runoff .................................36 (c) Creek Protection, Restoration, and Enhancement ..........36 (d) Right to Change Uses in Balance of Transfer Area and Research Park ................................................37 (e) Dedications, Exactions, Mitigations and Reservations ....37 (f) No Effect on Right to Tax, Assess, or Levy Fees or Charges ....................................................37 (g) No Limit on Right of City to Adopt and Modify Uniform Codes ......................................................37 (h) No Limit on Power of City to Adopt and Apply Rules Governing Provision and Use of Utility Services ............38 (i) Retained Right to Discretionary Design Review of Stanford Projects ...................................................38 (j) California Environmental Quality Act Compliance .........38 (k) No General Limitation on Future Exercise of Police Power ...........................................38 9.Right to Propose Additional Development Within Stanford Research Park ................................................38 i0. Periodic Review of Compliance; Special Review ............39 (a) Annual Report ...........................................39 (b) Director’s Response and Recommendation ..................39 (c) Hearings ................................................40 (d) Default; Notice; Cure ...................................40 (e) Failure to Cure Default .................................41 i!. Proceeding Upon Modification or Termination ..............41 (a) Notice to Stanford ......................................41 (b) Hearings on Modification or Termination .................41 (c) Certificate of Compliance ...............................42 12. Default by City ..........................................42 13. Modification, Amendment or Cancellation by Mutual Agreement ................... ..................................43 iv 010904 syn 0090963a 14. Remedies for Default..................................... 43(a) Binding Arbitration..................................... 43 ~Claim ..................................................43ii. Meet and Confer ......................................~4iii. Response¯"’’’’’’’’’’’’’’-’’...-.-....................44iv. Arbitrator"’’’’’’’’’’’’’’’:-...-.-..-.................44 v. Proceedings ............................................45vi. Arbitrator’s Fees and Costs ...........................45vii. Proceeding to Enforce................................ 45(b) Limitation of City’s Liability for Damages ..............46(c) Release of City .........................................46(d) Indemnity Against Claims of Stanford Tenants ............47(e) Venue and Reference........... ¯ .-.-. ....................4715. Superseding State or Federal Law .........................4816. Notices 17. Term of Agreement ........................................49(a) Basic Term (b) Extension for Breach ¯.................... 49(c) Extension for Moratorium................................ 49 (d) Limitation ..............................................50!8.Assignment; Right to Assign ..............................50(a) Right of Assignment .....................................50(b) Release of Stanford..................................... 5019. Mortgagee Protection..................................... 50(a) No impairment ...........................................51(b) Notice of default by Stanford ...........................51(c) Notice ..................................................51(d) Mortgagee in Possession .................................5120. Miscellaneous............................................ 52(a) Effect of Recitals ......................................52(b) Construction (c) Severabiiity ............................................53(d) Representation and Warranty of Title and Authority ......53(e) Time. (f) Waiver ............, .....................................53(g) Governing State Law..................................... 53(h) Certificate of Compliance ...............................53(i) Entire Agreement ........................................54(j) No Third Party Beneficiaries ............................54(k) Jurisdiction and Venue.................................. 54(i) Authority to Execute (m) Administrative Appeal ...................................55(n) Exhibits v 010904 syn 0090963a (o) Signature Pages .........................................56(p) Precedence (q) Recordation .............................................56(r) Referendum (s) Mayfield Lease ..........................................57 vi 010904 syn 0090963a DEVELOPMENT AGREEMENT THIS DEVELOPMENT AGREEMENT (hereinafter "Agreement") is entered into as of this day of , 2001, by and between the CITY OF PALO ALTO, a chartered city of the State of California (hereinafter "City"), and THE BOARD OF TRUSTEES OF THE LELAND STANFORD JUNIOR UNIVERSITY, a body having corporate powers under the laws of the State of California (hereinafter "Stanford"). RECITALS THIS DEVELOPMENT AGREEMENT is entered into on the basis of the following facts, understandings and intentions of the parties: A. Definitions. These Recitals use certain terms with initial capital letters that are defined in Section 1 of this Agreement. City and Stanford intend to refer to those definitions when the capitalized terms are used in these Recitals. B.Outline of Terms. Under this Agreement, under the conditions described below, Stanford wil! lease to the City, for fifty-one years, the "Mayfield Site" at the corner of Page Mill Road and E1 Camino Rea!. (The Mayfield Site is described in Exhibit A of this Agreement, which is attached to it and a part of it.)The Mayfield Site may be used by the City or its tenantas a community center, as defined in the lease. The City inturn wil! grant to Stanford up to 130,000 square feet of vested development rights in the Stanford Research Park, determined in accordance with the rules described below. In addition City will accept the lease of this site as mitigation for any community service impacts on the City from all future development at Stanford that was authorized by the County of Santa Clara in December of 2000. In addition, the City guarantees that it will al!ow Stanford to develop and use up to 010904 syn 0090963a 130,000 square feet of new office/research space in Stanford Research Park ("Research Park" as defined in Section 1 below) and grants to Stanford the vested right to do so under the City’s curr~nt land use rules. Stanford could apply to develop this square footage without a development agreement. Under this Agreement, Stanford will be permitted to exceed the FAR currently allowed on certain sites by the zoning by no more than twenty five percent. Stanford will be have the vested right to use this, and certain other existing or rebuilt square footage in the Research Park, for office/research uses until this Agreement expires. The City also agrees not to reduce the floor area ratio in the Stanford Research Park until 2011, the year in which the City plans to review its Comprehensive Plan. The total square footage available for non-residential development in the Research Park is not increased by this Agreement. However, if Stanford elects to build at least 240 .units of housing in the Research Park at the Hillview Site, the FAR on that site and in the Transfer Area will be increased to allow for that housing. Finally, Stanford will provide extra funding for traffic calming in the College Terrace neighborhood. C. Nature and Purpose of Development Agreements. Development agreements were authorized by the State of California in 1979, through the adoption of Government Code Sections 65864-65869.5. These statutes authorize a city to enter into binding agreements for the development of rea! property within the city. Because California has a "late vesting" rule, landowners usually cannot be certain that they can proceed with a development project until they have actually obtained a building permit and started building. This lack of certainty can discourage long range planning and investment and make it more difficult for cities to provide needed public facilities. A development agreement, in which a city agrees that, for a certain period of time, it will not change the rules applicable to a project, and the property owner agrees to assist with the provision of public facilities, can benefit all parties. 2 010904 syn 0090963a D. Authority for City Development Agreements. Pursuant to Government Code Section 65865, the City adopted Resolution No. 6597 establishing procedures and requirements for consideration of development agreements in Palo Alto. E. ~omprehensive Plan. In July of 1998, the City of Palo Alto adopted its 1998-2010 Comprehensive Plan, a document containing the City’s official policies on land use and community design, transportation, housing, natural environment, business and economics, and community services. Its policies apply to both public and private properties. The Plan is used by .the City Council and Planning Commission to evaluate land use changes in the City, including the adoption of this development agreement. It is intended to guide City land use decisions through 2010. F. Stanford General Use Permit. December of 2000, the Santa Clara County Board of Supervisors adopted the Stanford University Community Plan and approved the Stanford University General Use Permit No. (the "GUP"), both of which govern the development of Stanford lands in Santa Clara County, outside of the boundaries of the City. The General Use Permit authorizes the construction of new academic and academic support uses, more student housing units, more housing units for postdoctoral fellows and medical residents, and more housing units for faculty and staff. While this new development will be built outside of the boundaries of the City, the City contends it may have significant effects on it in a number of areas. Previous Agreement Between Stanford and Palo Alto Unified School District for School Funding. The District desires to re-open a former middle school at the Terman Site at 655 Arastradero Road. The Terman Site was acquired by the City from the District in 1981 under a lease- purchase agreement. For the last two decades, the Terman Site 3 010904 syn 0090963a has been used for a dedicated city park, (hereinafter "Terman Park"), below market rate housing, a library, and a community center. The portion of the Terman Site that the District wi~l re-use as T~rman Middle School has been occupied in large part by the Albert J. Schu!tz Jewish Community Center (hereinafter "JCC") under a long-term sublease from the City. The JCC has provided recreational, instructional, and social programs, including childcare, both to its members and the larger Palo Alto community, and provided facilities for other non-profit programs as well. It is an important community resource. H.Stanford GUP and Community Service Impacts. The City believes that Stanford’s development under the General Use Permit will have significant impacts on community services in the City.Stanford disagrees and asserts that the community benefits it provides to the City and its residents more than offset its impacts on services provided by City. The City and Stanford believe that it is of great benefit to the community to find a new location in Palo Alto for the services and programs offered by the JCC at the Terman Site. At the suggestion of the then Mayor and the City Manger, Stanford has offered the Mayfield lease in exchange for this Agreement, including the City’s agreement that certain conditions of approval of the GUP, described below, have been fully satisfied. The Final Environmental Impact Report for the General Use Permit prepared by the County found that the impacts of Stanford’s development on city community services were not quantified at the time of General Use Permit and therefore could not be properly addressed. General Use Permit Condition of Approval P. 8. provides: At the written request of any neighboring jurisdiction which is supported by substantial evidence that Stanford would not provide adequate community services to new campus residents associated with proposed development under the GUP, Stanford shall fund an independent Community Services Study to be undertaken by or prepared under the direction of the County Planning office. The Community Services Study shall define appropriate service levels for the Stanford community, shall analyze the amounts and types of 010904 syn 0090963a community services required to serve the population associated with the development project for which approval is sought, and shall indicate whether Stanfogd provides or would provide those services at appropriate levels. In lieu of funding separate studies for each development project approved pursuant to this GUP, Stanford may elect to fund one Community Services Study analyzing all proposed development under the GUP.If the Community. Services Study concludes that Stanford would not provide sufficient community services to serve the proposed project(s), Stanford shall be required to provide these services either directly through construction and Operation of the necessary facilities, or indirectly through payment of an in-lieu fee. If Stanford elects to pay the in-lieu fee, the amount of the fee shall be determined by the County Planning Gommission based on the analysis in the Community Services Study. At the County’s discretion, the in-lieu fee shall be paid either to the County of Santa Clara or other affected jurisdictions within a 6-mile radius of Stanford. Compliance with this condition must occur prior to issuance of a certificate of occupancy for the development project(s) for which the community services are needed. Under this Agreement, the City is waiving this right to request a Community Services Study, that might lead to construction/operation of facilities or in-lieu fees payable to the County of Santa Clara or Palo Alto, in exchange for the lease of the Mayfield Site for 51 years. The City is accepting the lease as full mitigation of impacts of GUP development in the County on community services in Palo Alto, including park and recreation, cultural arts, child care, and library facilities and programs. "Community services" do not include police, fire, or emergency medical services. The City does not intend to waive its right to advocate that Stanford provide additional community services on its own campus to address the needs of those who live and work there, or any right it may have to require the inclusion of community service facilities such as childcare in future Stanford development in the City. Nothing in this Agreement is intended to preclude Stanford from asserting that the lease, and use of the Mayfield Site mitigates impacts 010904 syn 0090963a from future development, not authorized by the 2000 GUP, within or without the City Reducing Impacts of Increased Traffic throuqh Traffic Calminq. Stanford’s expansion under the General Use Permit will also raise traffic and transportation issues. Stanford has an extensive and successful transportation demand management program, including the Marguerite Shuttle service, that exceeds that provided by any other employer in or adjacent to City. Additionally, the County has required substantial mitigation measures, including that Stanford improve certain intersections, that it achieve "no net new commute trips" or that it proportionally fund mitigation for additional specified intersections, that it fund periodic traffic counts and monitoring, and that it provide transportation alternatives, as well as other measures that require Stanford to participate in efforts by the City to address related traffic issues, including the following: Stanford must fund’half the cost of certain neighborhood traffic studies, including those for the College Terrace neighborhood, up to a total of $I00,000. If cut-through traffic from new Stanford development is identified, Stanford must pay its proportional share of mitigation costs. (General Use Permit Condition of Approval G.10.) By December 12, 2001, Stanford must allocate up to $I00,000 to the City or an escrow account for consideration and initiation of a residential parking permit program in the College Terrace Neighborhood. (General Use Permit Condition of Approval H.2.) Stanford must conduct project-specific traffic studies when it builds housing on Stanford Avenue or adds more than I00 units to Escondido Village, analyzing impacts on nearby streets and intersections, pedestrian and bicycle facilities, 010904 syn 0090963a parking, and transit.(General Condition of Approval G.II.) Use Permit New Stanford development in the Research Park may result in traffic impacts and is subject to City traffic impact mitigation fees. Stanford owns a 51,500 square foot building in the Research Park located at 2575 Hanover Street (hereinafter the "Hanover Site," labeled as such in Exhibit "B" which is attached to this Agreement and a part of it). Stanford has obtained approval to replace that building with a new structure with approximately 81,900 square feet. Stanford is required to pay a traffic mitigation impact fee only for the additional 30,400 square feet of development. As an additional mitigation measure for College Terrace traffic, Stanford offered to pay co the City, as a condition of the Hanover Approvals, One Hundred and Fifty Thousand Dollars ($150,000) to assist with traffic calming in College Terrace when new construction at the Hanover Site commences.This sum is in addition to the impact fees otherwise due. J. Housing Impacts. The City has substantially more jobs than housing, and it wishes to reduce this imbalance. Stanford also has a housing shortage which it is addressing through a variety of programs. Mitigation Measure PH-3A of the Mitigation, Monitoring and Reporting Program of the General Use Permit Final Environmental Impact Report requires that: In conjunction with neighboring communities, Stanford shall continue to identify additional sites, on-and-off-campus, that are suitable for housing development and could accommodate additional housing units over and above the number included in the project. Such sites should be developable within the time period covered by the project and be suitable for the types of housing that would address the current and future shortfall Of faculty/staff and postgraduate housing. 7 010904 syn 0090963a The Mayfield Site is zoned by the City for multiple family residential deve!opment and approximately 240 units of housing would be permitted on the Site under current zoning. Comprehensive Plan Policy H-5 provides: Discourage the conversion of lands designated as residential to nonresidential uses, unless there is no net loss of housing potential on a community wide basis. Placing a community center on the Mayfield Site will force the City and Stanford to look elsewhere for housing sites. However, provision of community facilities, including schools and community centers, is essential for new and existing residential development, as acknowledged in the Community Services and Facilities Element of the Comprehensive Plan. Therefore, using the Mayfield Site for community center~ purposes will contribute to the Ci<y’s efforts to increase its housing supply in a way that using the site for commercial purposes would not. This Agreement also provides substantial incentives to Stanford to build 240 units of housing in the Research Park at some future date. All of the Research Park is zoned to permit housing at any density from R-I to RM-30, but no significant amount of housing has yet been developed in it. K. Existing Zoning in the Research Park. The Research Park is an area of approximately 700 acres zoned "LM Limited Industrial/Research Park." The LM zone permits professional, administrative, research and manufacturing uses, as well as single and multiple family housing, the latter at a maximum intensity of thirty units per acre. The permitted Floor Area Ratio ("FAR") in the LM district is 0.4 to I. Portions of the Research Park are zoned LM-5, which limits FAR to 0.3 to I. Some areas have a "Site and Design Review Combining District (D)" designation, which requires more extensive design review for new development than is otherwise the case. One area also has a "Landscape Combining District (L)" designation. The City’s zoning ordinance and Comprehensive Plan also require increased setbacks along certain roads and from the creeks which run through the Research Park. There are also special setbacks from neighboring residential developments and certain streets. 010904 syn 0090963a L. Existinq Development in the Research Park. The Research Park has not yet been built out to the full extent permitted by current zoning regulations. The following table shows approximate acreage, maximum Floor Area Ratio ("FAR), existing development, and potential development in the Research Park. Calculation of development is not exact. It may include areas, such as cafeterias, that are not counted by the City in calculating FAR. Some sites may already be at maximum development because of zoning constraints other than FAR. Hanover Site South Research Park Area Balance of Research Park Total Acreage 4.7 335.3 357.6 697.6 0.4 to 1 0.4 to 1FAR Before This Agreement 51,500 30,400 81,900 Existing Development 0.3t01or 0.4tol 4,511,600 322,900 4,834,500 Unbuilt 5,737,250 498,700 6,235,950Maximum Build-out 10,300,350 852,000 !I, 152,350 Creation of Sites in the Park and Transfer of Development. The City normally applies its development standards on a parcel by parcel basis. The Research Park is a single parcel of land. Stanford leases much of the Research Park to various tenants under long-term ground leases, and for these and other 010904 syn 0090963a purposes it has obtained separate assessor’s parcel numbers from the Santa Clara County Assessor for various leaseholds. The City and Stanford treat these leaseholds, made up one or mo<e assessor’s parcels,, or accumulation of them as if they were separate parcels when applying City regulations to the Research Park (hereafter "Sites"). (For instance, setback requirements are measured from the edges of the Sites, not just from the periphery of the Research Park.) The City’s application of its floor area ratio on a Site by Site basis does not always permit the best overall development in the Research Park. The 1998- 2010 Comprehensive Plan includes the fol!owing policy and programs: Policy B-29: Facilitate Stanford’s ability to respond to changing market conditions that support the long-term viability of the Research Park. Program B-16: Study the feasibility of a "transfer of development rights" (TDR) program and other measures that would provide greater development flexibility within Stanford Research Park without creating significant adverse traffic impacts or increasing the allowable floor area. This development agreement implements that policy by permitting the FAR to increase up to 25% on certain Sites to provide greater development flexibility without increasing the allowable floor area in the Research Park. Stanford’s Right to Build i00,000 to 130,000 Square Feet of New Limited Industrial Space at Hanover Site and in the South Research Park Area. The City is granting to Stanford vested rights to build and use I00,000 to 130,000 square feet of additional LM development (hereinafter "Mayfield Square Footage") in two areas of the Research Park, the Hanover Site and the South Research Park Area. These two areas are referred to collectively as the "Transfer Area" in this Agreement. The Transfer Area is shown on Exhibit B which is attached to this Agreement and a part of i0 010904 syn 0090963a it. No office/research space is being transferred to the Transfer Area, but Stanford will have the right to shift FAR among sites within the Transfer Area Stanford has approval to use Mayfield Square Footage on the Hanover Project. The remaining Mayfield Square Footage may be used by Stanford in the South Research Park Area. It is expected that the Mayfield Square Footage will be used for office/research purposes, but Stanford may elect any use presently permitted in the LM District. Stanford will have the right to use the Mayfield Square Footage and some existing or rebuilt development on the sites where Mayfield Square Footage is used, for any LM use during the life of this Agreement. Stanford Option and Incentive to Develop Housinq at Hillview Site The Hillview Site is a Site in the South Research Park Area of approximately 105 acres, commonly known as 3401 Hillview, with approximately 1,355,000 square feet of office/research space on it. Instead of using its Mayfield Square Footage on a number of separate sites in the South Research Park Area (including the Hillview Site), Stanford may elect to place it all on the Site. If Stanford does place all of it on the Hillview Site and also builds at least 240 units of housing on that Site, (the number that could have been built on the Mayfield Site), the City guarantees that the permitted LM uses on the Site will not change during the life of this Agreement. This is a significantly larger guarantee of existing uses than Stanford would obtain by using the Mayfield Square Footage on other sites. If Stanford so elects, it may increase the FAR on the site to 0.5 to 1.0 to accommodate the housing, the existing uses and the Mayfield Square Footage. City Promises On Development of Mayfield Square Footaqe. In general, Stanford will have the right to build the Mayfield Square Footage under the City’s 2001 land use regulations during the life of this Agreement, despite enactments that may take place in the future. The specific regulations that are "frozen" are listed in Exhibit C to this Agreement. Stanford will also have the right to shift FAR !I 010904 s~,~ 0090963a between sites in the Transfer Area so long as the total FAR for all of the Transfer Area does not increase and to construct housing on the Hillview Site that exceeds the FAR. Stanfo<d does not wish to increase the maximum FAR on the Hanover Site and will not have the right to do so. However, if it decides not to go ahead with the Hanover Project, it can transfer all or any part of the 30,400 square feet of unused FAR from the Hanover Site to another one in the Transfer Area. The Mayfield Square Footage will have priority over other unbuilt commercial buildings for storm drain and sanitary sewer service from the City. The Mayfield Square Footage will otherwise be subject to the same rules as other projects. For example, Stanford wil! pay the housing impact, traffic impact, and Other development fees generally applicable to similar development. Certain other existing or rebuilt development in the Transfer Area will be treated the same way as Mayfield Square Footage. The exact amount depends on future choices Stanford makes. Implementation of Creek and Riparian Area Policies in 1998-2010 Comprehensive Plan. The 1998-2010 Comprehensive Plan calls for the conservation of creeks and riparian areas as open space amenities,natura! habitat areas, and elements of community design.The City wishes "to conserve pristine riparian corridors;re-establish corridors that have been diminished by flood control culverts,concrete channels, and otherdisturbances; and prevent further degradation of the creekenvironment," (Comprehensive Plan pages N-6.) Program N-7 callsupon the City to: Adopt a setback along natural creeks thatprohibits the siting of buildings and other structures, impervious surfaces, outdoor activity areas, and ornamental landscaped areas within I00 feet of the [actual] top of the creek bank. Allow passive or intermittent outdoor activities and pedestrian, equestrian, and bicycle pathways where there are adequate setbacks to protect the natural riparian environment. Within the setback area, provide a border of native riparian vegetation at least 25 feet along the [actual] creek bank. Exceptions to the 100-foot setback are as follows: 12 010904 s.vn 0090963a ...existing development within the lO0-foot setback will be considered legal and nonconforming. With the 100- foot setback as a goal where feasible, redevelopment of such sites must be designed consistent with basic creek habitat objectives and make a significant net improvement in the condition of the creek. This Agreement provides that the City retains its full discretion to implement the Comprehensive Plan creek and riparian area policies and programs in the Research Park. No .Reduction in FAR Standard in Research Park Before 2011. The Research Park is shown on Exhibit B attached to this Agreement and a part of it. Exhibit B also shows which portions of the Research Park have a FAR of 0.3 to 1 and which have a FAR of 0.4 to i. The 1998-2010 Comprehensive Plan designates the entire Research Park as Research/Office Park and sets the maximum allowable FAR range as 0.3 to 1 to 0.5 to 1 (Comprehensive Plan, page L-12). Under this Agreement, the City will not reduce the maximum FAR standard in the Research Park before 2011. The City retains its power to change the permitted uses and other standards, but not to modify its development standards in a way that effectively reduces permitted FAR. S. Environmental Review City has conducted an environmental review of the proposed transaction in accordance with the requirements of the California Environmental Quality Act as follows: {HERE RECITE INITIAL STUDY,NOP, ENVIRONMENTAL DOCUMENT,OTHER STUDIES RELIED UPON, ETC.]. T.Police Power This Agreement will bind future City Councils to the terms and obligations specified in this Agreement and limit, to the degree specified in this Agreement and under state law, the future exercise of City’s ability to regulate development on the Hanover Site and Designated Sites and in the Research Park, 13 010904 syn 0090963a whether through action of the City Council or be initiative or referendum. U. Council and Commission Findings. Development of the Transfer Area and the Research Park in accordance with this Agreement will be consistent with City’s Comprehensive Plan. The terms and conditions of this Agreement have undergone review by City staff, its Planning Commission and the City Council, and have been found to be fair, just and reasonable. Specifically, the Planning Commission and the City Council have found that: I. The provisions of this agreement and its purposes are consistent with the goals, policies, programs and standards specified in City’s Comprehensive Plan; 2. This Agreement will help attain important economic, social, environmental and planning goals of City and enhances and protects the public health, safety and welfare of the residents of the City of Palo Alto and the surrounding region. 3. Stanford will provide significant economic benefits under the terms of the Ground Lease to City; and 4.This Agreement will otherwise achieve the goals and purposes for which the Development Agreement Act was enacted. 5.This Agreement has been authorized by Ordinance , (the "Development Agreement Ordinance") duly adopted by the City Council of City on , 2001, a copy of which is attached hereto, marked Exhibit D and incorporated herein by reference thereto. V. Nature of Recitals. These recitals are intended in part to paraphrase and summarize this Agreement, however, the Agreement is expressed 14 010904 syn 0090963a below with particularity and, in the event of any disagreement or conflict between the recitals and Agreement set forth below, the latter shall control and govern. To the extent the Recitals provide factual context for the Agreement, they may be considered when interpreting it. To the extent the Recitals paraphrase or summarize the Agreement, or other documents, they shall be ignored NOW, THEREFORE, the parties do hereby agree as follows: I.Definitions. requires: In this Agreement, unless the context otherwise (a)2001 Rules. "2001 Rules" means the Current Rules set forth in Exhibit C attached to this Agreement, the City ordinances and resolutions, rules, regulations, and official policies that are incorporated in the Current Rules by reference, or that implement the Current Rules and the Comprehensive Plan, all as modified by Section 6 of this Agreement and limited by Section 8. (b) ARB Approval. ARB Approval means the approval of the design by the 2001 Rules, specifically Chapter 16.48 of the Municipal Code. (c) Associated Square Footage "Associated Square Footage" means Existing Improvements on the Hanover Site and Designated Sites in the Transfer Area, or replacement thereof, designated as such by Stanford in the manner described in Section 6(a)"ii" (d) ~ "City" means the City of Palo Alto. 15 010904 syn 0090963a (e) Comprehensive Plan. "~omprehensive Plan" means the 1998-2010 Palo Alto Comprehensive Plan. (f) Days. "Days" shall mean calendar days. (g) Designated Project. "Designated Project" is a project on a Designated Site selected by Stanford by notice as provided in Section 6(c)"ii." of this Agreement. (h) Designated Site. "Designated Site" is a Site in the South Research Park Area selected by Stanford for development of Mayfie!d Square Footage by notice pursuant to Section 6(c)"i." (i) Development Agreement Act. "Development Agreement Act" means Sections 65864 - 65869.5 of the California Government Code. (j) Development Agreement Ordinance. "Development Agreement Act" means Ordinance 6597, a true and correct copy of which is attached hereto as Exhibit D. (k) Discretionary Action. "Discretionary Action" includes a "Discretionary Approva!" and means an action that requires the exercise of judgment, deliberation or a decision, and that contemplates and authorizes the imposition of revisions or conditions, by City, including any board, commission or department and any officer or employee thereof, in the process of approving or disapproving a particular activity, as distinguished from an activity that merely requires City, including any board, commission or department and any officer or employee thereof, to determine 16 010904 syn 0090963a whether there has been compliance with applicable statutes, ordinances, regulations, or conditions of approval. (I) Effective Date. "Effective Date" means July !, 2001. (m) Existinq Improvements. "Existing Improvements" mean the buildings and associated improvements on the Hanover Site or a Designated Site on the Effective Date. (n) FAR and floor area ratio. "FAR" and "floor area ratio" means the maximum ratio of gross floor area (as defined in 2001 Rules at Section 18.04.030(65) (A) and (B) of the Municipal Code) on a site to total site area. (o) Hanover Approvals. "Hanover Approvals" are defined in Section 6. (p) Hanover Site. "Hanover Site" means the Site so labeled on Exhibit B. (q) Hanover Project. "Hanover Project" means the construction and use of improvement pursuant to the Hanover Approvals. (r) Hillview Site. "Hillview Site" means that area so labeled on Exhibit B. (s) Mayfield Lease. "Mayfield Lease" means that certain ground lease to be entered into by and between Stanford as Landlord and City as 010904 syn 0090963a 17 Tenant,on mutually agreeable Mayfield Site. terms,with respect to the (t) Mayfield Site. "Mayfield Site" means the Stanford and described on Exhibit A. real property owned by (u) Mayfield Square Footaqe. "Mayfield Square Footage" is defined in Section 6. (v) Mortgage. "Mortgage" means and refers, singly and collectively, to any mortgages, deeds of trust, security agreements, assignments and other like security instruments encumbering all or any portion of the Transfer Area Property or Stanford’s rights under this Agreement. (w) Mortgagee. "Mortgagee" means the holder of any Mortgage encumbering all or any portion of the Transfer Area or Stanford’s rights under this Agreement,and any successor, assignee or transferee of any such Mortgage holder. (x) Party. "Party" means a signatory to this Agreement, or a successor or assign of a signatory to this Agreement. (y) Research Park. "Research Exhibit B. Park" means that area so labeled on (z) Signatory Party. "Signatory Party" means a signatory to this Agreement and does not include successors or assigns. 18 010904 s.vn 0090963a (aa) Site. "Site" means ~ leasehold or assessor’s parcel (or multiple leaseholds or assessor’s parcels) in the Research Park used by City for purposes of determining compliance with zoning and Comprehensive Plan standards, including FAR and setbacks. (bb) South Research Park Area. "South Research Park Area" means that area so labeled on Exhibit B. (cc) Stanford. "Stanford" means the Board of Trustees of the Leland Stanford Junior University, a body having corporate powers under the laws of the State of California. (dd) Subsequent Approvals. "Subsequent Approvals" means any approval or other action by City for which Stanford applies after July I, 2001 that is necessary or desirable to implement the rights vested in Stanford by this Agreement,including discretionary and ministerial approvals (ee) Subsequent Rules. "Subsequent Rules" means all laws, regulations and official City policies in effect at the time a City action is to be taken, as they would apply to the Hanover Site and Hanover Project and Designated Sites and Designated Projects had this Development Agreement not been adopted. (ff) Subsequent Applicable Rules. "Subsequent Applicable Rules" means the rules, regulations and official policies of the City that are adopted and become effective after the Effective Date that do not conflict with the 2001 Rules, or that are expressly made applicable to the subject matter of this Agreement by Sections 7 or 8, below. 19 010904 syn 0090963a (gg) Term. "Term" shall mean the Agreement as set forth in Section 18 (hh) Transfer Area. term of this Development "Transfer Area" means all of the land so marked on Exhibit B and includes the Hanover Site and the South Research Park. (ii) Vested Riqht. "Vested Right" means a property right conferred by this Agreement that may not be taken by City. 2. Interest of Stanford. As of the Effective Date, Stanford represents that it has a legal or equitable interest in the Transfer Area and Research Park, which comprise the property that is subject to this Agreement. 3. Binding Effect. The burdens of this Agreement shall be binding upon, and the benefits of this Agreement shall inure to the Parties’ successors in interest to any portion of the Transfer Area. Provided, Stanford’s benefits under this Agreement shall inure only to those to whom Stanford has expressly assigned them and only to the extent of the assignment. 4. Negation of Agency. The Parties acknowledge that, in entering into and performing this Agreement, each Party is acting as an independent entity and not as an agent of the other in any respect. Nothing contained herein or in any document executed in connection herewith shall be construed as making City and Stanford joint venturers or partners. 2O 0.10904 syn 0090963a 5.Stanford’s Promises. (a) Mayfield Lease. Stanford shall enter into the Mayfield Lease with the City. The effectiveness of the lease shall be conditioned upon (i) approval and execution of this Agreement; (ii) the expiration of the referendum period of the ordinance approving this Agreement without the filing of a~referendum; and (iii) the expiration of one hundred days after the City’s adoption of the ordinance approving this Agreement without the filing of a judicial proceeding affecting this Agreement. (b) College Terrace Traffic Calming. Stanford shall pay to the City One Hundred and Fifty Thousand Dollars ($150,000) to assist with traffic calming in College Terrace prior to issuance of a building permit for the Hanover Project. The sum is in addition to sums that would otherwise be due to the City as impact fees for the Hanover Site. If the Hanover Project is not built, the traffic calming payment will not be due. (c)Compliance With Agreement; No Obligation to Develop. Stanford shall comply with the terms and conditions of this Agreement when developing all or any portion of the Hanover Site, the Mayfield Square Footage, and the Hillview Housing. Nothing contained in this Agreement shall .require Stanford to construct all or any part of the Hanover Project or the Mayfield Square Footage or the Hil!view Housing. 6.City’s Promises. (a)Mayfield and Associated Square Footage. i. Mayfield Square Footage. City hereby grants to Stanford the vested right to develop, construct and use not less than i00,000 square feet, and not more than 130,000 square feet, of gross floor area (as defined in the 2001 Rules at Section 18.04.030(65) of the Palo Alto Municipa! Code), on the Hanover Site and 21 010904 syn 0090963a Designated Sites in the Transfer Area, together with additional associated space exempt from the definition of gross floor area (pursuant to Section 18.04.030(65) (B) (i], (ii) ahd (iv) of the Municipal Code as set forth in the 2001 Rules) (the "Mayfield Square Footage") during the Term. The amount of Mayfield Square Footage vested in and available to Stanford upon execution of this Agreement shal! be !00,000 square feet. This amount shall be increased, up to a maximum of 130,000 square feet of gross floor area, by one square foot for every square foot of gross floor area over i00,000 that is included in the notice of the amount of space City intends to construct on the Mayfield-Site given by City pursuant to Section 5.2 of Mayfield Lease. Stanford may use the Mayfield Square Footage to construct new buildings, to enlarge existing buildings, or, in combination with existing square~ footage, to construct enlarged replacement buildings. Stanford shall advise the City, in writing, when applying for approval of a project adding gross floor area in the South Research Park Area, whether the new floor area is to be considered Mayfield Square Footage. ii. Associated Square Footage. If Stanford uses at least 20,000 square feet of Mayfield Square Footage on the Hanover Site, Stanford is hereby granted the right to designate all gross floor area on the Hanover Site other than Mayfield Square Footage as Associated Square Footage. In addition, Stanford is hereby granted the right to designate as Associated Square Footage four feet of existing or redeveloped gross floor area on Designated Sites in the South Research Park Area for each foot of Mayfield Square Footage remaining after the designation of Mayfield Square Footage of the Hanover Project. The maximum Associated Square Footage is 520,000 square feet. iii. Uses. The permitted uses of the Mayfield Square Footage and Associated Square Footage during the Term shall be those described in the 2001 Rules, including each and every 22 010904 syn 0090963a permitted use specified therein in Chapter 18.60 Limited Industrial/Research Park District Regulations." "LM iv. Development Standards. The development standards for Mayfield Square Footage and Associated Square Footage, including but not limited to floor area ratio, setbacks, height limits, parking and loading standards, minimum site dimensions, and site coverage during the Term shall be those described in the 2001 Rules. (b)Hanover Site and Project. i. Hanover Approvals. City has completed its discretionary review and approved the redevelopment of the Hanover Site pursuant to ARB #01-xxx, a copy of which is on file in the Department of Planning and Community Environment of the City,(the "Hanover Approvals.") ii. Vested Right to Build. Stanford has the. vested right to construct the Hanover Project in accordance with the Hanover Approvals, and the 2001 Rules at any time during the Term. City shall permit construction of the Hanover Project subject only to Stanford obtaining required building permits and complying with the conditions of approval and other terms of the Hanover Approvals. City shall permit occupancy and use of the Project upon compliance with said permits and issuance of a certificate of occupancy as required by section 16.04.120 of the Municipal Code. iii. Vested Right to Use. At all times during the Term, Stanford has the vested right to use the Hanover Project for~ any of the uses permitted in the LM District in the 2001 Rules. 23 010904 syn 0090963a iv. Modification of Hanover Approvals. Stanford may apply for a Subsequent Approva~ modifyihg or replacing the Hanover Approvals. City shall review and act upon the application for a Subsequent Approval under the 2001 Rules if Stanford uses a minimum of 20,000 square feet of Mayfield Square Footage on the Site. v. Mayfield Square Footage. The Hanover Approvals have designated as Mayfield Square Footage all gross floor area above that in Existing Improvements.. If the Hanover Project is ~abandoned or its gross floor area is reduced, Stanford may designate all or any portion of the unused Mayfield Square Footage and the related Associated Square Footage in the South Research Park. However, if Stanford elects to designate any Mayfield Square Footage on the Site, it must designate a minimum of 16,000 square feet. vi. Utility Connections. Unless prohibited by a moratorium lawfully adopted by another governmental agency, or by action taken by City in accordance with Sections 7, or by state or federal law, City shall allow Stanford to connect the Hanover Project to the City sanitary sewers, storm drains, water service, gas service and electrical service in accordance with its generally applicable rules in effect at the time of application for service and shall issue all permits and authorization necessary for such connection and service. A moratorium shall not prevent the issuance of discretionary or ministerial approvals necessary ordesirable for the Hanover Project. vii. Waste Treatment Capacity. Subject to any limitation imposed by state orfederal law, in the event of a moratorium preventing or limiting sanitary sewer connections, Stanford shall have priority for sanitary sewer treatment capacity for the Hanover Project over other unbuilt commercial development. Stanford will not have priority over development on the Mayfield Site, or over any residential, utility, 24 010904 syn 0090963a governmental, (including schools), or community service uses such uses such as private hospitals and day care facilities. Stanford will have priority over other new commercial space, including but not limited to retail, office, and industria! space. Stanford must begin construction on the space for which it will make use of its priority rights within twelve months after connection capacity becomes available and diligently pursue construction until completion to retain its priority. This preference applies to "domestic waste" and not "industrial waste." The foregoing notwithstanding, if the Mayfield Site has not been connected to the sanitary sewer system, the prioriti-es and rules applicable to Stanford for the Hanover Site in the event of such a moratorium shall be no less favorable than those applicable to the Mayfield Site. viii.Storm Drain Capacity. Subject to any limitation imposed by state or federal law, in the event of a moratorium preventing or limiting discharge or increased runoff to storm drains, Stanford shall be entitled to priority for use of storm drains for the Hanover Project over other unbuilt commercia! development. Stanford shall not have priority over development on the Mayfield Site, or over any development of residential, utility, governmental, (including schools), or community service uses such uses such as private hospitals and day care facilities. Stanford will have priority over other new commercial development, including but not limited to retail, office, and industrial space. Stanford must begin construction on the space for which it will make use of its priority rights within twelve months after connection capacity becomes available and diligently pursue construction until completion to retain its priority. The foregoing notwithstanding,if the Mayfield Site has not been connected to the storm drain system, the priorities and rules applicable to Stanford for the Hanover Site in the event of such a moratorium shall be no less favorable than those applicable to the Mayfield Site. 25 010904 syn 0090963 a ix. Limit on Dedications. Except as provided in the Hanover Approvals, City shall Not require any dedication of any interest in land, whether on-site or off-site as a condition of development, construction or occupancy of the Hanover Project. x. .~mprovement Requirements. Except as provided in the Hanover Approvals, City shall not require Stanford to construct any public improvements as a condition of development, construction or occupancy of the Hanover Project. (c)South Research Park Designated Sites. i. .~esignated Sites. At any time during the Term, Stanford may give written notice to City that a Site in the South Research Park Area is to be a Designated Site. No more than ten Sites may be named as Designated Sites. Stanford may rescind this designation prior to applying for approval of a Designated Project on the Site. After an application has been filed, the designation may be rescinded with the consent of the City Council. Designation of a Designated Site is irrevocable once construction commences on a Designated Project on the Site. ii. Designated Projects. At any time during the Term, Stanford may define an existing or proposed building or buildings on a Designated Site as a Designated Project. The tota! square gross floor area that Stanford may define as a Designated Project is the total of Mayfield Square Footage and Associated Square Footage. Stanford may rescind this designation prior to applying for approval of a Designated Project on the Site. After an application has been foiled, the designation may be rescinded with the consent of the City Council. Designation of a Designated Site is irrevocable once construction commences on a Designated Project on the Site. Stanford shall have the vested right to develop, construct and use each Designated Project under 26 010904 syn 0090963a the 2001 Rules. City shall permit construction of each Designated Project subject only to Stanford obtaining ARB approval and required building permits and complying with the conditions of the ARB approval and paying all required fees. City shall permit occupancy and use of each Project upon compliance with said permits and issuance of a certificate of occupancy as required by section 16.04.120 of the Municipal Code as set forth in the Current Rules. iii. FAR Shift up to 25% Over Base. Stanford may exceed the FAR al!owed by the 2001 Rules on one. or more Designated Sites through the use of Mayfield Square Footage, by an amount not to exceed twenty- five percent (25%) of the amount otherwise allowed by the 2001 Rules. FAR may be increased on a Site on<y if the total FAR for all of the Transfer Area (excluding the Hillview Housing) does not thereby exceed the total allowed by the 2001 Rules. Furthermore, FAR may be increased on a Site only if the new construction proposed as part of the Designated Project complies with the other 2001 Rules. Site coverage up to twenty percent of each Designated Site shall be permitted. Prior to commencement of construction on a Designated Site that exceeds the FAR allowed by the 2001 Rules, Stanford shall record a .notice, in a form satisfactory to the City Attorney, sufficient to give constructive notice that the increased FAR on said Site has resulted in a reduction in the total FAR available for development of the remaining, undeveloped South Research Park Area; if the Recorder will not record such a notice, Stanford shal! file it with the City Clerk. The right to increase FAR on one or more Designated Sites modifies and supersedes the current rules attached as Exhibit C and is a right vested by this Agreement. iv. Trackinq of FAR. Stanford shall advise the City with each application for ARB Approval of development within the Transfer Area of its estimate of the remaining unused FAR in the Transfer Area. If the FAR of the development proposed for ARB Approva! does not exceed the estimated remaining unused FAR, the City shall process the 27 010904 syn 0090963a application. If it does exceed the remaining unused FAR, the City shal! permit Stanford to amend the application to reduce the development to a size that does not exceed the unused~ FAR and, if Stanford does not do so, the City may reject the application. City shall not approve an y construction that increases the gross floor area in the Transfer Area unless the application for its approval is signed by the owner of the property on which the construction is proposed.City shall not approve any construction that increases the gross floor area on any Site in the Transfer Area above that authorized by the2001 Rules, unless the application for fts approval is signed by Stanford. Priority for Utilities, Waste Treatment, and Store Drain Capacity. Designated Projects shall be entitled to the same priority for utility connections, waste treatment and storm drain capacity as the Hanover Project described in Subsections 6(b)"vi" through "viii" vi. Dedication of Property for Public Purposes. No dedication of any interest in land, whether on-site or off-site, for park, recreation, or open space, shall be required as a condition of a Designated Project. Provided, nothing in this Subsection 6.c."vi" limits, enlarges, or restricts those dedications or impositions that may be required by state or federal law and nothing in this Agreement shall be deemed to allow dedications that are contrary to, or prohibited by state or federal law or constitutions. Dedications shall be applied on a nondiscriminatory basis, shall not unreasonably interfere with or burden development of the Designated Sites and shall be related to the context of the development of the Designated Site. vii. Improvement Requirements. Improvement requirements for a Designated Project shall be applied on a non-discriminatory basis, shall not unreasonably interfere with or burden Development on the 28 010904 syn 0090963a Designated Site, and shall be related to the context of development of the Designated Site. viii.Limitation on Design Review. Stanford has the vested right to develop, construct and use all of its Mayfield Square Footage under the 2001 Rules. Section 16.48.120 (c) of the Palo Alto Municipal Code, and other sections authorize the City to impose requirements on development that are stricter than those set forth in a zoning district ("architectural review discretion.") In order to carry out this Agreement, the City shall exercise its architectural review discretion in reviewing Designated Projects in a manner that does not reduce the square footage otherwise allowable on a Site after taking into consideration the 2001 Rules, and Subsequent Approvals, including requirements for setbacks from roads, creeks, and residential areas; the City’s engineering review of ingress and egress to a site and of parking, pedestrian, bicycle, and motor vehicle circulation on it; the preservation of trees as required by the 2001 Rules; and the location of utilities. City shall require a reduction in the size of the project because of these matters only in accordance with a Law the application of which requires the reduction and then only if there is no other feasible way to achieve City’s objectives in which case the reduction shall be the minimum necessary to do so. The City may require that all or some of the parking on a Site be placed underground in order to accommodate the permitted FAR, including the 25% bonus,but only to implement the creek protection policies and programs described in Section 8(c) below; provided City may not require more than one level of undergroundparking within the building footprint proposed. The City shall not require materials, finishes, or building methods which are substantially more expensive than those general used in the Research Park in the ten year period ending on the Effective Date. 29 010904 syn 0090963a (d)Hillview Site Alternative. i. Single Site Chosen. Instead of selecting multiple Designated Sites, pursuant to paragraph 6. (c)"i", (which may include the Hillview Site,) Stanford may choose the Hillview Site as the only Designated Site. If Stanford so chooses, all of the Mayfield Square Footage not placed on the Hanover Site must be placed on the Hillview Site, if anywhere. For purposes of this subsection (d), "all of the Mayfield Square Footage" shall mean the Mayfield Square Footage to which Stanford is entitled as of the Effective Date less the amount, if any, designated by Stanford for the Hanover Site, plus any additional Mayfield Square Footage to which Stanford became entitled after the Effective Date, but before the date of Stanford’s choice, because of City’s election to construct additional square footage on the Mayfield site. Additional Mayfield Square Footage to which Stanford subsequently becomes entitled because of City’s election, after the date of Stanford’s choice, to construct additional square footage on the Mayfield Site need not be placed on the Hillview Site. ii.Choice to Vest Entire Hillview Site Through Provision of Housing. City wishes to encourage Stanford to provide housing in the Research Park. Accordingly, Stanford may choose to provide 240 units of housing on the Hillview Site, or other Site in the Research Park acceptable to City, (the "Hillview Housing). If Stanford so chooses, all Existing Development on the Hillview Site shall be deemed Associated Square Footage and Stanford shall have the vested rights to maintain, rebuild, and use it as described in Sub-section 6 (a). Said rights shall vest at the earlier of the following: (a) when all 240 units are available for occupancy or (b) when Stanford provides assurances satisfactory to the City Manager that all 240 units will be constructed and available for occupancy at time or times certain that may include a schedule that permits phased construction of the housing, any rebuilding of the Existing Development, and the Mayfield Square 3O 010904 syn 0090963a Footage. The approval of the City Manager shall not be unreasonably withheld. iii. Vested Right to Build Hillview Housing. Regardless of Stanford’s decision pursuant to subsection (d)"i." above, City grants to Stanford the vested right to build the Hillview Housing under the 2001 Rules at any time during the Term provided that Stanford (a) completes a Phase 1 environmental analysis of the area to be used for housing, and, if recommended by the Phase 1 analysis, a risk assessment for review and approva! by the City and takes any necessary measures to reduce any risk identified as unacceptable by the risk assessment to an acceptable level as required by the City on the basis of that analysis and review; (b) Stanford obtains a site specific traffic and circulation analysis for review by the City and its Traffic Engineer and implements any traffic and circulation mitigation measures required by the City on the basis of that analysis and review; and (c) complies with the applicable provisions of the Subdivision Map Act. iv. Residential Development Standards. If Stanford elects to build the Hillview Housing, the Floor Area Ratio allowed on the entire Hillview Site shall be 0.5 to 1.0. Stanford may build the Hil!view Housing at any density between R-I and RM-30 as those are defined in the 2001 Rules, or, if Stanford elects to do so, under any Subsequent Rules. In any application for approval of Hillview Housing, Stanford shall designate one or more portions of the Hillview Site ("Hi!iview Housing Areas") to be used exclusively for housing. Each Hi!iview Housing Area shall consist of at least 5 acres. The site development regulations for the LM District (section 18.60.050 of the Municipal Code as set out in the Current Rules) shall not apply to Hillview Housing Areas. Instead, Stanford shall choose to develop under the site development regulations of one of the following zoning districts as set out in the Current Rules: R-l, R-2, RMD, RM-15, or RM-30. The development standards for each Hi!iview Residential District, including but not limited to site area, site dimensions, setbacks, height limits, parking and loading 31 010904 syn 0090963a standards, minimum site dimensions, and site coverage shall be those described in the 2001 Rules for the chosen zoning district. The minimum size of a unit of Hillview Housing shall be 700 square feet. Hillview Site Perimeter; Coverage. Increase in Site As shown on the attached Exhibit E,landscaped areas on the perimeter of the Hillview Site along Arastradero Road, Hillview Avenue, and FoothillExpressway either now have a Landscaping Combining District (L) or will have one applied through a City-initiated zone change. The purpose of the Landscaping Combining District is to provide a landscaped visual buffer of any development on the Hillview Site. In any areas in the L District with underlying zoning of R-I,R-2 or RMD, no fences, walls or other structures shall be permitted. A landscape plan shall be submitted by Stanford for all "L" District areas with any subdivision or other discretionary Subsequent Approvals, for ARB Review. Any subsequent modification to an approved landscape plan shall require ARB Approval. No additional setbacks shall be required from the interior of the Landscape Combining District areas. Permitted site coverage for non-residential development shall be twenty percent (20%). Residential Districts shal! be established, or the Hillside Site redeveloped, so that adjacent non- residential development meets the applicable special requirements of section 18.60.070 (b) and section 18.63.040, and Chapter 18.64 of the Municipal Code as set forth in the Current Rules. vi.Limited Design Review, Dedications, and Improvements. Stanford shall have the same rights regarding design review, dedications and improvements as it has for Designated Projects under Subsection 6 (c) above. vii. Below Market Rate Units. Fifteen percent (15%) of the residential units on the Hillview Site shall be available for households with incomes between 80 and i00 percent of the median income for 32 010904 syn 0090963a Santa Clara County under the Palo Alto Below Market Rate Program described in the 2001 Rules. viii.Right to Apply to Build Additioni] Housing. Stanford has the right to make application to build additional housing units on the Hillview Site under the 2001 Rules or the Subsequent Rules. (e) No Reduction In Research Park FAR. The City shall not reduce the maximum permitted Floor Area Ratio for any portion of the Research Park from that set forth in the 2001 Rules prigr to 2011. The City retains the right to alter permitted uses of such floor area, except with regard to the Hanover Site, Hillview Housing and Designated Projects. (f) Full Mitigation of GUP Community Service Impacts. The Mayfield Lease shall constitute full satisfaction of Condition of Approval P.8 of the General Use Permit. The City further waives any right it may have to require other mitigation of impacts of development in the County under the General Use Permit on community services in Palo Alto, including park and recreation, cultural arts, child care, and library facilities and programs. "Community services" do not include police, fire, or emergency medical services. Nothing herein contained shall be prevent City from proposing that the County require additional mitigation of impacts that may result from development by Stanford in addition to that authorized or contemplated by the General Use Permit, whether by amendment of the General Use Permit or the grant of other entitlement after the Effective Date. City shall not advocate enforcement of said condition in any way that is inconsistent with this Section 6(f). The City does not waive such rights as it may have to advocate that Stanford provide additional community services on its own campus to address the needs of those who live and work there, or to require provision of childcare and other facilities in connection with other Stanford development within the City. 33 010904 s.vn 0090963a (g)No Moratoria and/or Growth Limitation Ordinances; No Phasing or Timing of Development. Sianford may develop all or any portion of the Hanover Project, the Designated Projects, and the Hillview Housing in such order or such sequence as Stanford shall determine in its discretion, except for Stanford’s phasing and timing obligations with respect to Hillview Housing as provided in Section 6(d) i. above. Neither the right to develop nor the timing of development shall be affected or limited by a phasing schedule, growth control ordinance, a moratorium, or a suspension of development rights, whether adopted by the City Council or a vote of the citizens through the initiative process except to the extent imposed by supervening federal or state law, order, rule or regulation or a Subsequent Applicable Rule that controls pursuant to Sections 7 or 8. (h) Subsequent Rules. Subsequent Rules that conflict with the vested rights granted under this Agreement are only applicable to Stanford’s vested development rights under this Agreement under the circumstances described in Section 7 below. Section 8 below describes those Subsequent Rules that are not in conflict with the 2001 Rules. This prohibition applies to changes made by ordinance, initiative, referendum, resolution, policy, order or moratorium, initiated or instituted for any reason whatsoever and adopted by the Mayor, City Council, Planning Commission or any other board, commission or department of City,or any officer or employee thereof, or by the electorate (i) Cooperation and Implementation. The City shall cooperate with Stanford to implement this Agreement. Such cooperation shall include, but without limitation, diligent processing of applications for approval of development on the Hanover Site, the Hillview Housing, and the Designated Sites that comply with the 2001 Rules, the Subsequent Approvals, and the Subsequent Applicable Rules. 34 01090~ s~ 0090963a (j) Subsequent Discretionary Approvals. City shall permit Stanford to construct, carry out, complete, occupy and use the Vested Development. City shall not deny or unreasonably delay any Discretionary Action or Subsequent Approval that is necessary or desirable to the exercise of the rights vested in Stanford by this Agreement, including, but not limited to, construction, occupancy and use of improvements and the vested development. City shall not impose any condition, term, restriction or requirement, without Stanford’s consent, that precludes or otherwise limits Stanford’s ability to exercise its vested rights for the uses and to the maximum density and intensity of use set forth in this Agreement, or that otherwise conflicts with any provision of this Agreement. Except as provided in Section 7 or 8 below, City shall not apply any Subsequent Applicable Rule that creates a requirement for any additional Subsequent Discretionary Actions or Subsequent Approval, other than ministerial approval, applicable to the Designated Projects or the Hanover Project or Site. (k) Entitlement to Develop. By this Agreement City has granted to Stanford the vested right to develop the Mayfield Square Footage, the Hanover Project, and the Hillview Housing to the extent and in the manner provided in this Agreement. City hereby finds that development to be consistent with the Comprehensive Plan and the Zoning Ordinance. City shall not apply to the Mayfield Square Footage, the Hanover Project, or the Hil!view Housing any change in the 2001 Rules (including, without limitation, any change in any applicable Comprehensive, General or Specific Plan, zoning, subdivision ordinance or regulation) adopted or effective after the Effective Date, that would conflict in any way with the vested rights of Stanford 7. Exceptions. The 2001 Rules may be amended by City and applied to the Hanover Site and Hanover Project or to Designated Sites and Designated Projects without Stanford’s consent only (i) if City determines that application of such amendment is necessary to protect against conditions, that create a substantial and 35 010904 syn 0090963a demonstrable risk to the physical health or safety of residents or users of the Site to which the amendment applies or the affected surrounding region; or (ii) if such amendment is mandated orrequired by supervening federal or state statute or regulation. Subsequent Rules that do not directly amend the 2001 Rules may also be adopted by City without Stanford’s consent and applied to the Hanover Site and Hanover Project or the Designated Sites and Designated Projects even if in conflict with a 2001 Rule only under the same two circumstances. 8.Exclusions. (a)Sewer Facilities. This Agreement does not affect Stanford’s obligation, if any, to pay for or construct needed improvements in the sewer collection system prior to connection to the sanitary sewers, nor its obligation to meet federal, state and local discharge limits and requirements. (b) Storm Drains and Runoff. This Agreement does not affect Stanford’s obligation, if any, to pay for or construct needed improvements in the storm drain system. Neither does it affect Stanford’s obligations to meet federal, state and local requirements with respect to limiting both the amount and contaminant load of runoff from any Site. (c) Creek Protection, Restoration, and Enhancement. This agreement does not limit City’s discretion to implement Comprehensive Plan creek protection policies and programs, including but not limited to Program N-7, even if this reduces the FAR that could otherwise be constructed on a Site or requires the use of one level of parking that is subterranean and located under buildings. Provided, any Subsequent Rule that requires a riparian open-space setback area in excess of one hundred feet from the actual top of bank of a creek shall not be a Subsequent Applicable Rule when applied beyond the one hundred foot protection zone; and provided further that in applying said policies City shall measure setbacks from the actual top of the bank of the creek rather than from any theoretical or calculated 36 010904 syn 0090963a top of bank. On the Creek Sites shown as such on Exhibit B, no increase of FAR shall be permitted unless the full 100-foot setback can be achieved. (d)Right to Chanqe Uses in Balance of Transfer Area and Research Park. The Hanover Project, Hillview Housing, and Designated Projects, are guaranteed the right to all uses permitted by the 2001 Rules during the Term. Use of the balance of the square footage in the Research Park shall be subject to the Subsequent Rules. (e)Dedications,Exactions, Mitigations and Reservations. Except as provided in Section 6 herein, Stanford shall, in conjunction with development on the Transfer Area, pay the regulatory and development fees, make the dedications, and construct the public improvements required to be paid, dedicated and constructed under the Subsequent Rules. (f)No Effect on Right to Tax, Assess, or Levy Fees or Charqes. This Agreement does not limit the power and right of the City to impose taxes, levy assessments, or require the payment of fees and charges by Stanford or any other entity in the City. (g)No Limit on Right of City to Adopt and Modify Uniform Codes. This Agreement does not limit the right of the City to adopt Building, Plumbing, Electrical, Fire and similar uniform codes, and to adopt local modifications of those codes, from time to time. Those codes, as modified from time to time, are Subsequent Applicable Rules. 37 010904 syn 0090963a (h)No Limit on Power of City to Adopt and Apply Rules Governinq Provision and Use of Utility Services. This Agreement does not limit the power and right of the City to adopt and amend from time to time rules and procedures governing the provision and use of utility services provided by the City. These rules, as modified from time to time, are Subsequent Applicable Rules. If there is any conflict between such Rules and the express terms of this Agreement, the latter shall control. (i)Retained Riqht to Discretionary Design Review of Stanford Projects. Except as provided in Section 6 above, Cit.y retains its right to discretionary design review of projects in the Transfer Area under the 2001 Rules and Subsequent Rules. (j)California Environmental Quality Act Compliance. The City retains its right to comply with the provisions of the California Environmental Quality Act and the associated Guidelines, and to comply with the provisions of its own local CEQA procedures as they may be amended from time to time that comply with the provisions of section 21082 of CEQA. The City has performed an environmental review of this Agreement and the project vested hereby. Any further environmental review for a Subsequent Approval or other Discretionary Action shall be in accordance with 15162 of the CEQA Guidelines. (k)No General Limitation on Future Exercise of Police Power. The City retains its right to exercise its general police power except when such exercise would conflict with the vested rights granted under this Agreement. Right to Propose Additional Development Within Stanford Research Park. Stanford may apply for approval of development in the Research Park in addition to the rights vested by this 38 010904 syn 0090963a Agreement, including replacement of existing gross floor area and construction of additional gross floor area. City shall process and decide any such application pursuant to the Subsequent Rules. Nothing herein shall be construed to limit the exercise of discretion by City in reviewing and approving any such application. I0.Periodic Review of Compliance; Special Review. The Director of Planning and Community Environment shall review the development agreement at least every twelve months, at which time Stanford shall demonstrate good faith compliance with the terms of the Agreement. In addition the City Counci! may order a special review of compliance with this Agreement at any time. The matter may proceed directly to hearing before the Planning Commission and City Council under the procedures in Section 8 of Ordinance 6597. Such review shall not postpone or delay processing, hearing or determination of any application by Stanford, and this Agreement shall continue in full force and effect during such review. (a) Annual Report. Stanford shall, within thirty days after each anniversary of the Effective Date, submit a brief written report to the City on building activity in the Transfer Area that, for the previous year, (i) lists the additional square footage approved and/or built in the Transfer Area by Site; (ii) lists any changes in Site boundaries and provides a map indicating the changes, which need not be a surveyed map; (iii) lists the Mayfield Square Footage built during the previous year and since the Effective Date; (iv) lists applications for additional square footage signed and authorized by Stanford, by Site, with the quantity of new square footage for each; and (v) provides Stanford’s estimate of unused FAR in the Transfer Area. (b) Director’s Response and Recommendation. Within sixty days after receiving Stanford’s report, the Director shall make a preliminary determination, based upon substantial evidence, whether the Agreement has been complied with in good faith and whether the failure of the City to terminate or modify the Agreement would place the resident of 39 010904 syn 0090963a the territory subject to the Agreement, or the residents of the City, or both, in a condition dangerous to their health or safety, or both. The Director also shal! specify any disagreemen~ with the information provided in accordance with Section I0 (b) above. The Director shall, within the same time period, deliver to Stanford a copy of his or her proposed determination, with a summary of the substantial evidence upon which the determination is based. Failure of the Director to act within sixty days after delivery of Stanford’s annual report shall be deemed a finding by the City that Stanford has complied in good faith with the Agreement. No such failure shall be deemed a waiver of City’s right to conduct such a review at the next anniversary of the Effective Date. (c) Hearings. If the Director determines that such non-compliance or threat to health or safety exists, the Planning Commission and City Council shall hold hearings on the matter as provided in Section 8 of Resolution 6597. (d) Default; Notice; Cure. If the City Council makes a finding that Stanford has not complied in good faith with the terms and conditions of this Agreement, the City shall provide written notice to Stanford describing:(i) such failure to comply with the terms and conditions of this Agreement (referred to herein as a "Default"),(ii) whether the Default can be cured, (iii) the actions, if any, required by Stanford to cure such Default, and (iv) the time period within which such Default must be cured. If the Default can be cured, Stanford shall have at least 45 days after the date of such notice to cure such Default, or in the event that such Default cannot be cured within such 45-day period but can be cured within one (I) year, Stanford shall have commenced the actions necessary to cure such Default and shall be diligently proceeding to complete such actions necessary to cure such Default within 45 days from the date of notice. If the default cannot be cured or cannot be cured within one (I) year, as determined by City during the periodic or specia! review, the City Counci! may modify or terminate this Agreement as provided in Section ii. 4O 010904 syn 0090963a (e) Failure to Cure Default. If Stanford fails to cure a default within the time period set forth in Section 10(d), the City Council may modify. or terminate this Agreement as provided in Section Ii. Ii.Proceeding Upon Modification or Termination. (a)Notice to Stanford. If,upon a finding under Section ll(d) and the expiration of the cure period specified in Section !l(d) above, City determines to proceed with modification Or termination of this Agreement, City shall give written notice to Stanford of its intention so to do. The notice shal! be given at least ten calendardays before the scheduled hearing and shall contain: (i)The time and place of the hearing; (ii)Statement as to whether or not City proposes to terminate or to modify the Agreement; and (iii)Such other information as is reasonably necessary to inform Stanford of the nature of the~ proceeding,and the grounds for the proposed action. (b) Hearings on Modification or Termination. At the time and place set forth the hearing on modification or termination, Stanford shall be given an opportunity to be heard and shall be required to demonstrate good faith compliance with the terms and conditions of this Agreement. The burden of proof on the issue shall be on Stanford. If the City Council finds, based upon substantial evidence, that Stanford has not complied in good faith with the terms or conditions of the Agreement, the City Council may terminate this Agreement or modify this Agreement and impose such conditions as are reasonably necessary to protect the interests of City. The decision of the City Council shall be final and subject to review only by arbitration as provided in Section 15 below. 41 010904 syn 0090963a (c) Certificate of Compliance. I~, at the conclusion of a periodic or special review, Stanford is found or deemed to be in compliance with this Agreement, City shal!, upon request by Stanford, issue a Certificate of Compliance ("Certificate") to Stanford stating that after the most recent periodic or special review and based upon the information known or made known to the Planning Director and City Council that: (I) this Agreement remains in effect, and (2) Stanford is not in default. The Certificate shall be in recordable form, shall contain information necessary to communicate constructive record notice of the finding of compliance, shallstate whether the Certificate is issued after a periodic or special review and shall state the anticipated date of commencement of the next periodic review. Stanford may record the Certificate without cost or expense to City.. 12. Default by City. If Stanford determines that City has failed to comply with any of the City’s obligations under this Agreement, Stanford may provide written notice to the City describing (i) such failure to comply with the terms and conditions of this Agreement (referred to herein as a "City Default"), (ii) whether the City Default can be cured, (iii) the actions, if any, required of City to cure such City Default, and (iv) the time period within which such City Default must be cured. If the City Default can be cured, City shall have at a minimum of at least 45 days after the date of such notice to cure such Default, or in the event that such City Default cannot be cured within such 45 days period but can be cured within one year, City shall have commenced all actions necessary to cure such City Default and shall be diligently proceeding to complete all such actions necessary to cure such Default within 45 days from the date of notice. If the City Default cannot be cured or cannot be cured within one year, or if City fails to cure within the applicable cure period as provided in this Section 13, all as determined by Stanford based upon substantial evidence, City shall be in breach of this Agreement. Either party may then proceed to arbitration. Without limiting the generality of any provision of this Agreement, the Term of this Agreement shall be automatically extended by the aggregate amount of time during 42 010904 s.vn 0090963a which any and all City Defaults exist from the time of the date of ar~ Default Notice until fully cured. 13".Modification, Amendment or Cancellation by Mutual Agreement. Subject to meeting the notice and hearing requirements of Section 65867 of the Development Agreement Act, this Agreement may be modified or amended from time to time by mutual consent of the Signatory Parties in accordance with the provisions of Section 65868 of the Deve!opment Agreement Act and City’s Resolution No. 6597; provided, however, that any amendment that does not relate to the term, permitted uses, density or intensity of use, site deve!opment standards, provisions for reservation and dedication of land, conditions, terms, restrictions and requirements relating to subsequent Discretionary Actions, or any conditions or covenants relating to the use of the Property, if deemed appropriate by City, shall not require notice of public hearing. 14.Remedies for Default. (a)Binding Arbitration. Any dispute between the parties concerning this Agreement, including any claim that the provisions of the Agreement have not been performed or any claim that this Agreement should be modified or terminated for breach shall be resolved by arbitration. The arbitration shall be final and binding between the parties, and the order of the arbitrator may be enforced in the manner provided for enforcement of a judgment of a court of law pursuant to the applicable provisions of the California Code of Civi! Procedure. The arbitration shall be conduced in accordance with the procedures set forth below. i. Claim. Any party who has a claim (the "Demanding Party") hereunder to be resolved through arbitration shall state the claim (the "Claim") in writing. The Claim shall include (i) the item or matter in dispute, (ii) the Demanding Party’s position, and (iii) a specific statement of the exact relief the Demanding Party requests. Claims 43 010904 s~ 0090963a shall not be filed until parties have followed the procedures for curing defaults set forth in Section I0, II, and 12. ii. Meet and Confer. The parties shall meet and confer no later than ten (I0) days after the date of the Claim in an attempt to resolve the matter raised by the Claim. If they are unable to reach a resolution within twenty-one (21) days after the date of the Claim, then within ten (i0) days thereafter, the Demanding Party shall (i) restate its Claim, (ii) amend the Claim, o~ (iii) withdraw the Claim. Failure on the part of the Demanding Party to withdraw or amend the Claim in writing shall constitute a restatement thereof. iii. Response. If the Claim is not withdrawn within the ten (i0) day period provided for in Subsection (ii) above, the other party (the "Responding Party") shall, within fifteen (150 days after expiration of the ten (i0) days period provided for in subsection (ii) above, prepare a response to the Claim (the "Response") specifying specially (i)theResponding Party’s position on the Claim, and (ii)theexact relief the Responding Party requests. iv. Arbitrator. The matter or matters in dispute shall besubmitted to the arbitrator (to be selected in the manner provided below) on the basis of the issues as framed by the Claim (as the same may have been amended pursuant to subsection (ii) above) and the Response. The arbitrator shall be a person who is a member of the State Bar or a retired California judge with at least five (5) years experience in alternative dispute resolution and with California land use, Environmental Quality Act ("CEQA"), and real property law. If the parties are unable to agree on the selection of an arbitrator within fourteen (14) days after the date of the Response, then either party shall have the right to apply for the appointment of a duly qualified person to act as arbitrator to the Presiding Judge of the Superior Court of the County of Santa Clara, 44 010904 syn 0090963a State of California, and neither party shall have any right to object to the qualifications of said Judge to make such appointment. If the arbitrator resigns or refuses to serve, then a new arbitrator shall be appointed as herein provided. v. Proceedings. As soon as convenient, but no later than thirty (30) days after appointment, the arbitrator shall meet with the parties to hear evidence and argument on the Claim and Response. The arbitrator shall not be bound by the Rules of Evidence in the conduct of such proceeding although the arbitrator shall take account of said rules in considering the weight of the evidence. The parties desire that the Arbitrator endeavor to conform to California law when making a decision; however, the failure to do so Shall not be grounds for any court to overturn, reverse or modify the decision of the arbitrator which shall be final in the absence of any of the factors set out in sections 1284 and 1286.2 of the Code of Civil Procedure, as those sections now exist. In making a decision, the arbitrator may adopt (i) the relief requested in the Claim, or (ii) the relief requested in the Response, or (iii) fashion a different result. vi. Arbitrator’s Fees and Costs. Each party shall advance one-half (1/2) of the any deposit required by the arbitrator and shall pay all of its own expenses and attorneys’ fees in connection with the arbitration. The arbitrator shal! to the prevailing party all reasonable expenses of arbitration, including costs and attorneys’, experts’ and consultants’ fees. vii. Proceeding to Enforce. The arbitrator appointed as provided herein shall have the power and is expressly authorized to make orders compelling compliance with the award, which orders may be confirmed and enforced as provided in Title 9, Chapter 4, Article I,section 1285 et seq. of the Code of Civil Procedure.If any party fails to comply with an arbitration award, the. other party may seek to compel 45 010904 syn 0090963a compliance either by petitioning the arbitrator or pursuant to said Article i, or both. The prevailing party in any such proceeding to compel compliance with or enforce the award Shall be entitled, in addition to any other relief, to recover its reasonable attorneys’, experts’, and consultants’ fees and costs from the losing party as determined by the court in which said action or proceeding is pending. The arbitrator or court also shall award to the prevailing party money damages for all losses accruing as a result of, or proximately caused y the other party’s failure to comply with the arbitrator’s award, or any subsequent order or judgment or other process issued to compel compliance. (b) Limitation of City’s Liability for Damages. The City shall have no liability in damages to Stanford during the term of this Agreement or thereafter with respect to any acts that are alleged to have commenced or occurred during the term of this Agreement and that arise (or allegedly arise) by reason of the terms hereof, except as provided in section 15. (a)"vii" above with respect to a party’s willful failure to comply with an arbitration award and except in cases in which the arbitrator determines that the City acted arbitrarily and capriciously or without any substantial evidence to support its action. This provision limits the relief that may be sought or awarded under the binding arbitration provisions of this section as well as any legal proceeding. (c) Release of City. Except as provided above in subsections 15(a) vii and viii, Stanford, for itself, its successor and assignees, releases City, its officers, agents and employees from any and all claims, demands, actions or suits for monetary damages known or unknown, present or future, including but not limited to, any claim or liability, based or asserted, on Article I, Section 19 of the California Constitution, the Fifth and Fourteenth amendments of the United States Constitution, or any other law or ordinance that seeks to impose any other liability or damage, whatsoever, upon the City because it entered into this Agreement, because of the terms of this Agreement, or because of the manner of implementation. Notwithstanding the 46 010904 syn 0090963a foregoing, nothing in this Agreement shall preclude Stanford from asserting in arbitration, as provided herein, any claim, demand or action so long as Stanford does not seek money damaggs from City ohher than as provided above in subsections vii and viii. (d) Indemnity Against Claims of Stanford Tenants. Stanford shall hold City, its officers, agents, employees and representatives, harmless, and shall defend and indemnify City, its officers, agents, employees and representatives from liability for damages or claims for damages that are suffered or asserted by Stanford’s tenants and that arise from City’s refusa! to permit development of a Site in the Research Park at the FAR provided in the 2001 Rules because of the reservation of square footage in the Research Park for use by Stanford under this Agreement. (e) Venue and Reference. All legal and equitable actions and proceedings in connection with this Agreement which for any reason are not arbitrated pursuant to Section 14(a) shall be heard by a general reference from the Santa Clara County Superior Court pursuant to Code of Civil Procedure section 638, et seq. Stanford and City shall agree upon a single referee who shall then try all issues, whether of fact or law, and report a finding and judgment thereon and issue all legal and equitable relief appropriate under the circumstances of the controversy before the referee. If Stanford and City are unable to agree on a referee within ten (i0) days of a written request to do so by either party hereto, either party may seek to have one appointed pursuant to Code of Civil Procedure section 640. The cost of such proceeding shall initially be borne equally by the parties, subject to final allocation pursuant to section. Any referee selected pursuant to this Section 14 (a) "vi" shall be an attorney or retired judge and the Parties shall stipulate that the referee is a temporary judge appointed pursuant to Article 6, Section 21 of the California Constitution. 47 010904 syn 0090963a 15. Superseding State or Federal Law. If any state or federal law or regulation enacted or adopted after the date of this Agreement shall prevent or preclude compliance with any of the provisions hereof, such provisions shall be modified or suspended only to the extent and for the time necessary to achieve compliance with said law or regulation and the remaining provisions of this Agreement shall continue in full force and effect.Upon repeal of said law or regulation or occurrence of other circumstances removing the effect thereof upon this Agreement,the provisions hereof shall be restored to their full original effect. 16. Notices. All notices required or provided for under this Agreement shall be in writing and shall be delivered personally or by overnight courier service or sent by certified or registered mail, return receipt requested. Any notice given by: (i) personal delivery, (ii) recognized overnight national courier service, or (iii) registered or certified mail, return receipt requested, shall be deemed to have been duly given and received upon receipt.Notices to the parties shall be addressed as follows: City: With a copy to: City Manager City of Palo Alto 250 Hamilton Avenue Palo Alto, California 94301 City Attorney City of Palo Alto, 8th Floor 250 Hamilton Avenue Palo Alto, California 94301 Stanford:Stanford Management Company 2770 Sand Hill Road Menlo park, California 94025 48 010904 syn 0090963a With a copy to:Office of the General Counsel Stan:i =d University P. O. Box 20386 Building 170, Main Quadrangle Stanford, California 94305 Any notice so delivered shall be effective upon the date of personal delivery or, in the case of mailing, on the date of delivery as shown on the U.S. postal service return receipt. Any party may change its address for notice by giving ten (i0) days’ notice of such change in the manner provided for in this paragraph. 17.Term of Aqreement. (a)Basic Term. The term of this Agreement shall commence as of the Effective Date, and shall continue for twenty-five (25) years from the Effective Date or until earlier terminated by mutual consent of the parties or as otherwise provided by this Agreement. Upon the termination of this Agreement, no party shall have any further right or obligation hereunder except with respect to any obligation to have been performed prior to such termination or with respect to any default in the performance of the provisions of this Agreement that has occurred prior to such termination or with respect to any obligations that arespecifically set forth as surviving this Agreement. (b) Extension for Breach. The term of this Agreement shall be extended by a period equal to the number of days in which the City is in Default, (which Default may involve one or more breaches of this Agreement) as described in Section 13. (c) Extension for Moratorium. The term of this Agreement shall be extended by a period equal to the number of days a moratorium is in effect preventing Stanford from constructing or from connecting the Hanover Project, the Hillview Housing, or Designated Projects to 49 010904 syn 0090963a City’s sanitary sewers, storm drains, or its electrical, water, or gas service. (d) Limitation. Notwithstanding the above, no extension or tolling of this Agreement shall extend City’s covenant in Section 6 above not to decrease the Floor Area Ratio in the Research Park. 18.Assi@nment; Right to Assign. (a)Right of Assignment. Stanford shall have the right to sell, lease, transfer or assign ("transfer") the Transfer Area, in whole or in part (provided that no such transfer shall violate the Subdivision Map Act, Government Code section 66410, et seq.), to any person or entity at any time during the Term. Subject to the provisions of Section 20 below, this Agreement shall be binding upon such purchaser, lessee, transferee or assignee, who shall take title subject to all of the terms and conditions herein contained. (b) Release of Stanford. Stanford shall have no further obligations hereunder with respect to those Sites in the Transfer Area that it has transferred and in which it retains no interest. Notwithstanding any sale, transfer or assignment, Stanford shall continue to be obligated under this Agreement with respect to those Sites of the Transfer Area that Stanford retains to the full extent of any retained interest therein. 19. Mortgagee Protection. This Agreement shall not prevent or limit Stanford in any manner, at Stanford’s sole discretion, from encumbering the Transfer Area or any portion thereof or any improvement thereon by any mortgage, deed of trust or other security device securing financing with respect to the Transfer Area. City acknowledges that the lenders providing such financing may require certain agreement interpretations and upon request, from time to time, City shall meet with Stanford and representatives of such 5O 010904 syn 0090963a lenders to consider any such request for interpretation. City shall not unreasonably withhold its consent to any such requested .interpretation provided such interpretation is consistent with the intent and purposes of this Agreement. Ahy mortgagee of the property shall be entitled to the following rights and privileges: (a) No impairment. Neither entering into this Agreement nor a breach of this Agreement shall defeat, render invalid, diminish or impair the lien of any mortgage or deed of trust on the Transfer Area made in good faith and for value. (b) Notice of default by Stanford. The mortgagee of any mortgage or deed of trust encumbering the Transfer Area, or .any part thereof, which mortgagee, has submitted a request in writingto City in the manner specified herein for giving notices, shall be entitled to receive written notification from City of any default by Stanford in the performance of Stanford’s obligations under this Agreement. (c) Notice. If City timely receives a request from a mortgagee requesting a copy of any notice of default given to Stanford under the terms of this Agreement, City shall provide a copy of each such notice to the mortgagee within twenty (20) days of sending the notice of default to the Stanford. The mortgagee shall have the right, but not the obligation, to cure the default during the remaining cure period allowed such party under this Agreement. (d)Mortgagee in Possession. Any mortgagee that comes into possession of the Transfer Area,or any part thereof, pursuant to foreclosure of the mortgage or deed of trust, or deed in lieu of such foreclosure,shall take the Transfer Area, or part thereof, subject to the terms of this Agreement; provided, however, that in no event shall such mortgagee be liable for any defaults or 51 O10904 syn 0090963a monetary obligations of Stanford arising prior to acquisition of title to the Transfer Area by such mortgagee; and provided further, that in no event shall any such mortgagee or its successors or assigns be entitled to a building permit or occupancy certificate until all fees due under this Agreement (relating to the portion of the .Transfer Area acquired by such mortgagee) have been paid to City and until any other default has been cured. 20.Miscellaneous. (a)Effect of Recitals. The recitals are intended in part to paraphrase and summarize this Agreement, however, the terms, covenants and conditions of this Agreement are expressed with particularity in Section 1 et seq. (the "Terms") and, in the event of any disagreement or conflict between the recitals and the Terms, the latter shal! control and govern. To the extent the Recitals provide factual context for the Agreement, they may be considered when interpreting the Terms. To the extent the Recitals paraphrase or summarize the Agreement, or other documents, or the Terms they shall be ignored, and shall have no legal effect whatsoever. (b) Construction. As used in this Agreement, and as the context may require, the singular includes the plural and vice versa, and the masculine gender includes the feminine and neuter and vice versa. This Agreement shall be construed as a whole according to its fair language and common meaning to achieve the objectives and purposes of the parties. This Agreement has been reviewed and revised by legal counsel for each party, and no presumption or rule that ambiguities shall be construed against the drafting party shal! apply to the interpretation or enforcement of this Agreement. Each party has consulted with counsel and determined that this Agreement accurately and completely reflects the agreement of the parties. The captions of the sections and subsections of this Agreement are solely for the convenience of reference and shall be disregarded in the construction and interpretation of this Agreement. 52 010904 syn 0090963a (c) Severability. If any term, provision, covenant or condition of this Agreement shall be determined invalid, void, or unenforceablE, the remainder of this Agreement shall not be affected to the extent the remaining provisions are not rendered impractical to perform taking into consideration the purposes of this Agreement. (d)Representation and Warranty of Title and Authority. Stanford warrants and represents that it is the owner of the Mayfield Site and that it is fully authorized to enter into a valid and binding lease of that Site as provided herein. (e) Time. Time is of the essence of this Agreement and of each and every term and condition hereof. (f) Waiver. No waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly authorized representative of the party against whom enforcement of a waiver is sought. No waiver of any right or remedy in respect of any occurrence or event shall be deemed a waiver of any right or remedy in respect of any other occurrence or event. (g Governing State Law. This agreement shall be construed in accordance with the laws of the state of California. (h) Certificate of Compliance. At any time during the term of this Agreement, at the request of any lender or one of the Parties, may request any party to this Agreement to confirm that to the best of such party’s knowledge, no defaults exist under this Agreement or if defaults do exist, to describe the nature of such defaults. Each party shall provide a certificate to such lender or other 53 010904 syn 0090963a party within forty-five (45) business days of the request therefor. The failure of any party to provide the requested certificate within such forty-five (45) business day periQd shal! constitute a confirmation that to the best of such party’s knowledge, no defaults exist under this Agreement. Request for such certificates shall be made in writing and as required by section 17 (notices) above.) (i) Entire Agreement. This A~reement and the Mayfield lease contain the entire understanding and agreement of the parties. There are no oral or written representations, understandings, undertakings, or agreements that are not contained or expressly referred to herein, and any such representations, understandings, or agreements are superseded by this Agreement. No evidence of any such representations, understandings, or agreements shall be admissible in any proceeding of any kind or nature relating to the terms or conditions of this Agreement, its interpretation, or breach. (j No Third Party Beneficiaries. This agreement is made and entered into for the sole protection and benefit of the parties and their successors and assigns, including mortgagees. No other person shall have any right of action based upon any provision of this Agreement. (k) Jurisdiction and Venue. Any action at law or in equity arising under this Agreement that for any reason is not arbitrated pursuant to Section 15 hereof, shall be filed and tried in the superior court of the county of Santa Clara, state of California, and the parties waive all provisions of law providing for the filing, removal or change of venue to any other court. (i) Authority to Execute. Each person executing this Agreement warrants and represents that he or she has the authority to bind the entity for which he or she is signing to the performance of its obligations hereunder. 54 010904 syn 0090963a (m) Administrative Appeal. Whenever in the 2001 Rules or Subsequent Applicable Rules any requirement or action by Stanford is made subject to the approval or satisfaction however expressed, of any entity, other than City, such condition shall not be interpreted as providing the third party the right to make any final decision other than as .may be vested in it by law other than the applicable rules. Where a third party has no right vested in it by law other than the 2001 Rules or Subsequent Applicable rules to make a final decision, a condition requiring approval or satisfaction of such third party, however expressed, shall mean that the third party shall provide, as appropriate, advice, consultation a recommendation and/or an initial decision regarding the condition. The actual determination in such case will be made by the official or entity of City required or authorized to make such determination in accordance with the applicable provisions of the Palo Alto Municipal Code. Appeals from determinations made by City officials or entities shall be made in accordance with applicable provisions of the Palo Alto Municipal Code. (n) Exhibits. The following exhibits to which reference is made in this Agreement are deemed incorporated herein in their entirety: Exhibit A -Description of Mayfield Site Exhibit B -Map of Research Park Exhibit C -Current Rules Exhibit D -Development Agreement Ordinance Exhibit E -Hillview Perimeter Landscape District If the recorder refuses to record any exhibit, the City Clerk may replace it with a single sheet bearing the exhibit identification letter, stating the title of the exhibit, the reason it is not being recorded, and that the original, 55 010904 syn 0090963a certified by the City Clerk, is in the possession of the City Clerk and will be reattached to the original when it is returned by the recorder to the City Clerk. (o) Signature Pages. For convenience, the parties may execute and acknowledge this Agreement on separate signature pages which, when attached hereto, shall constitute this as one complete agreement. (p) Precedence. If any conflict or inconsistency arises between this Agreement, and the 2001 Rules or the Subsequent Rules, the provisions of this Agreement shall have precedence and shall control over the conflicting or inconsistent provisions of the 2001 Rules. If any conflict or inconsistency arises between the Hanover Approvals and the 2001 Rules, the provisions of the former shall have precedence and shall control over the latter. (q) Recordation. Whenever recordation is required or may be required by either party, City shall be responsible for recordation. If City fails to record a document when required, Stanford may, but is not obligated to, record the document and by doing so Stanford does not assume the duties or obligations of City established by this subsection or the development agreement act nor does it waive any right it may have to compel City to properly perform its duties and obligations. The failure of City to record or to properly record this Agreement or any other document as provided herein shal! not affect or limit in any way Stanford’s rights to enforce this Agreement and to rely upon it. (r) Referendum. City shall not submit Development Agreement Ordinance to a referendum by action of the City Council on its own motion without Stanford’s consent. If the Ordinance or this Agreement is the subject of a referendum,or if litigation is commenced seeking to rescind the City’s decision to enter into this Agreement, Stanford shall have the right to terminate this 56 010904 syn 0090963a Ag[eement and the lease by written notice to the City no later than thirty (30) days after the event that gives Stanford the right to terminate. (s) Mayfield Lease. City would not have entered into this Agreement but for the benefits it will obtain under the Mayfield Lease. If Stanford fails to execute the Mayfield Lease within thirty (30) days after execution of this Agreement, or if the lease fails to take effect for any of the reasons described in Section 5 (a) above, or if Stanford elects to terminate this Agreement under Section 20 (r), then City shall have the right to terminate this Agreement by written notice to Stanford no later than thirty (30) days after the event that gives City the right to terminate. A breach of Stanford’s warranty in Subsection 20. (d) above which deprives City of the benefit of the Mayfie!d Lease shall also be grounds for termination or modification of the Agreement, provided that such breach shall not deprive Stanford of its Vested Rights with respect to the Hanover Site, Hanover Development, and Hanover Approvals. // // // // // // // // // 57 010904 s.vn 0090963a In witness whereof, this Agreement has been executed by the parties as of the day and year first above written. ATTEST:CITY OF PALO ALTO City clerk Mayor APPROVED AS TO FORM:STANFORD City Attorney APPROVED : City Manager APPROVED AS TO CONTENT: By: Its: By: Its: Director of Planning and Community Environment 010904 syn 0090963a 58 CURRENT RULES EXHIBIT C C-I010904 syn 0090971 TABLE OF CONTENTS Chapter 8.10 TREE PRESERVATION AND MANAGEMENT REGULATIONS* ...............................................~..3EXCERPT FROM CHAPTER 16.04 BUILDING CODE ............................................................................................6Chapter 16.48 ARCHITECTURAL REVIEW* ............................................................................................................7Chapter 18.04 DEFINITIONS .....................................................................................................................................16Chapter 18.12 R-1 SINGLE-FAMILY RESIDENCE DISTRICT REGULATIONS .................................................29Chapter 18.17 R-2 TWO FAMILY RESIDENCE DISTRICT REGULATIONS .......................................................34Chapter 18.19 RMD TWO UNIT MULTIPLE-FAMILY RESIDENCE DISTRICT .................................................39Chapter 18.22 RM-15 LOW DENSITY MULTIPLE-FAMILY RESIDENCE DISTRICT REGULATIONS ..........42Chapter 18.24 RM-30 MEDIUM DENSITY MULTIPLE-FAMILY RESIDENCE DISTRICT REGULATIONS...47 Chapter 18.60 LM LIMITED INDUSTRIAL/RESEARCH PARK DISTRICT REGULATIONS ............................52Chapter 18.63 LIMITED INDUSTRIAL SITE COMBINING DISTRICT (3, 5) REGULATIONS ..........................55Chapter 18.64 ADDITIONAL SITE DEVELOPMENT AND DESIGN REGULATIONS FOR COMMERCIAL AND INDUSTRIAL DISTRICTS ..............................................................................................................................56Chapter 18.70 LANDSCAPE COMBINING DISTRICT (L) REGULATIONS ........................................................58Chapter 18.82 SITE AND DESIGN REVIEW COMBINING DISTRICT REGULATIONS (D) .............................59Chapter 18.83 OFF-STREET PARKING AND LOADING REGULATIONS* .................................; ......................61Chapter 18.85 SPECIAL REGULATIONS FOR HAZARDOUS WASTE FACILITIES ..........................................79Chapter 18.88 SPECIAL PROVISIONS AND EXCEPTIONS ..........................................- ........................................82Chapter 18.90* VARIANCES, HOME IMPROVEMENT EXCEPTIONS, AND CONDITIONAL USE PERMITS ................................................................................................................................................................................ ,88apter 18.91 DESIGN ENHANCEMENT EXCEPTION PROCESS ......................................................................95Chapter 20.04 OFFICIAL PLAN LINE REGULATIONS .........................................................................................96Chapter 20.08 SETBACK LINES ..............................................................................................................................99EXCERPT FROM CHAPTER 21.08 MAPS REQUIRED ......................................................................................100 010904 syn 0090971 C-2 Chapter 8.10 TREE PRESERVATION AND MANAGEMENT REGULATIONS* Sections: 8.10.010 Purpose. 8.10.020 Definitions. 8.10.030 Tree Technical Manual. 8.10.040 Disclosure of information regarding existing trees. 8.10.050 Prohibited acts. 8.10.060No limitation of authority under Titles 16 and 18. 8.10.070Care of protected trees. 8.10.080Development conditions. 8.10.090 Designation of heritage trees. 8.10.100 Responsibility for enforcement. 8.10.110 Enforcement - Remedies for Violation. 8.10.120Fees. 8.10.130 Severability. 8.10.140 Appeals. * Editor’s Note: Prior Ordinance History: Section 2 of Ord. 4362 was previously codified herein, and was not specifically repealed by adoption of Ord. 4568. 8.10.010 Purpose. The purpose of this chapter is to promote the health, safety, welfare, and quality of life of the residents of the city through the protection of specified trees located on private property within the city, and the establishment of standards for removal, maintenance, and planting of trees. In establishing these procedures and standards, it is the city’s intent to encourage the preservation of trees. 8.10.020 Definitions. For the purposes of this chapter, the following definitions shall apply: (a)"Building area" means that area of a parcel: (1)Upon which, under applicable zoning regulations, a structure may be built without a variance, design enhancement exception, or home improvement exception; or (2) Necessary, for construction of primary access to structures located on or to be constructed on the parcel, where there exists no feasible means of access which would avoid protected trees. On single-family residential parcels, the portion of the parcel deemed to be the building area under this paragraph (a)(2) shall not exceed ten feet in width. (b) "Building footprint" means the two-dimensional configuration ofa building’s perimeter boundaries as measured on a horizontal plane at ground level. (c)"Dangerous" means an imminent hazard or threat to the safety of persons or property. (d)"Development" means any work upon any property in the city which requires a subdivision, planned community zone, variance, use permit, building permit, demolition permit, or other city approval or which involves excavation, landscaping or construction within the dripline area of a protected tree. (e)"Director" means the director of planning and community environment or his or her designee. (f)"Discretionary development approval" means planned community zone, subdivision, use permit, variance, horfie improvement exception, design enhancement exception, or architectural review board approval. (g) "Dripline area" means the area within X distance from the trunk of a tree, measured from the center, where X equals a distance ten times the diameter of the trunk as measttred four and one-half feet (fifty-four inches) above natural grade. (h) "Excessive pruning" means removal of more than one-fourth of the functioning leaf and stem area of a tree in any twelve-month period, or removal of foliage so as to cause the unbalancing of a tree. (i)"Protected tree" means: (1)Any tree of the species Quercus agdfolia (Coast Live Oak) or Quercus lobata (Valley Oak) which is eleven and one-half inches in diameter (thirty-six inches in circumference) or more when measured four and one- half feet (fifty-four inches) above natural grade; and (2)A heritage tree designated by the city council in accordance with the provisions of this chapter. C-3 010904 s.~a 0090971 (j)"Remove" means any of the following: (1)Complete removal, such as cutting to the ground or extraction, of a tree; (2)Taking any action foreseeably leading to the death of a tree or permanent damage to its health; including but not limited to excessive pruning, cutting, girdling, poisoning, overwatering, unauthorized relocation or transportation of a tree, or trenching, excavating, altering the grade, or paving within the dripline area of a tree. (k) "Tree" means any woody plant which has a trunk four inches or more in diameter at four and one- half feet above natural grade level. (l) "J’ree report" means a report prepared by an arborist certified by the International Society of Arboriculture or another nationally recognized tree research, care, and preservation organization. (m) "Tree Technical Manual" means the regulations issued by the city manager to implement this chapter. 8.10.030Tree Technical Manual. The city manager, through the departments of public works and planning and community environment, shall issue regulations necessary for implementation of this chapter, which shall be known as the Tree Technical Manual. The Tree Technical Manual will be made readily available to the public and shall include, but need not be limited to, standards and specifications regarding: (a) (b) (c) from disease); (d) (e) Protection of trees during construction; Replacemen~ of trees allowed to be removed pursuant to this chapter; Maintenance of protected trees (including but not limited to pruning, irrigation, and protection The format and content of tree reports required to be submitted to the city pursuant to this chapter; The criteria for determining whether a tree is dangerous within the meaning of this chapter. 8.10.040Disclosure of information regarding existing trees. (a) Any application for discretionary development approval, or for a building or demolition permit where no discretionary development approval is required, shall be accompanied by a statement by the property owner or authorized agent which discloses whether any protected trees exist on the property which is the subject of the application, and describing each such tree, its species, size, dripline area, and location. This requirement shall be met by including the information on plans submitted in connection with the application. (b) In addition, the location of all other trees on the site and in the adjacent public right of way which are within thirty feet of the area proposed for development, and trees located on adjacent property with canopies overhanging the project site, shall be shown on the plans, identified by species. (c) The director may require submittal of such other information as is necessary to further the purposes of this chapter including but not limited to photographs. (d) Disclosure of information pursuant to this section shall not be required when the development for which the approval or permit is sought does not involve any change in building footprint nor any grading or paving. (e) Knowingly or negligently providing false or misleading information in response to this disclosure requirement shall constitute a violation of this chapter. 8.10.050 Prohibited acts. It shall be a violation of this chapter for anyone to remove or cause to be removed a protected tree, except as allowed in this section: (a) In the absence of development, protected trees shall not be removed unless determined by the director of planning and community environment, on the basis of a tree report prepared by a certified arborist for the applicant and other relevant information, that the tree should be removed because it is dead, dangerous, or constitutes a nuisance under Section 8.04.050(2) of this code. (b)In the case of development on a single family residential lot, other than in connection with a subdivision: (1) Protected trees shall not be removed unless the trunk of the protected tree is within the building footprint, or the director of planning and community environment has determined, on the basis of a tree report prepared by a certified arborist for the applicant and other relevant information, that the tree should be removed because it is dead, dangerous, or constitutes a nuisance under Section 8.04.050(2) of this code. (2) If no building footprint exists, protected trees shall not be removed unless the trunk of the tree is located in the building area, or the director of planfiing and community environment has determined, on the basis of a tree report prepared by a certified arborist for the applicant and other relevant information, that the tree should be removed because it is dead, dangerous, or constitutes a nuisance under Section 8.04.050(2) of this code. C-4010904 syn 0090971 (3) If removal is allowed because the tree is located in the building footprint or building area, or because the director of planning and community environment has determined that the tree is so close to the building area that construction would result in the death of the tree, the tree removed shall be replaced in accordance with the standards in the Tree Technical Manual. (c) In connection with a proposed subdivision of land into two or more parcels, no protected tree shall be removed unless removal is unavoidable due to restricted access to the property or deemed necessary to repair a ¯ geologic hazard (landslide, repairs, etc.) The tree removed shall be replaced in accordance with the standards in the Tree Technical Maniaal. Tree preservation and protection measures for any lot that is created by a proposed subdivision of land shall comply with the regulations of this chapter. (d) In all circumstances other than those described in paragraphs (a), (b) and (c) of this section, protected trees shall not be removed unless one of the following applies: (1) The director of planning and community environment has determined, on the basis of a tree report prepared by a certified arborist for the applicant and other relevant information that the tree should be removed because it is dead, dangerous or constitutes a nuisance under Section 8.04.050(2). In such cases, the dripline area of the removed tree, or an equivalent area on the site, shall be preserved from development of any structure unless removal would have been permitted under paragraph (2), and tree replacement in accordance with the standards in the Tree Technical Manual shall be required. (2) Removal is permitted as part of project approval under Chapter 16.48 of this code, because retention of the tree would result in reduction of the otherwise-permissible building area by more than twenty-five percent. In such a case, the approval shall be conditioned upon replacement in accordance with the standards in the Tree Technical Manual. 8.10.060No limitation of authority under Titles 16 and 18. Nothing in this chapter limits or modifies the existing authority of the city under Chapter 16.48 of Title 16 (Architectural Review) and Title 18 (Zoning Ordinance) to require trees and other plants not covered by this chapter to be identified, retained, protected, and/or planted as conditions of the approval of development. In the event of conflict between provisions of this chapter and conditions of any permit or other approval granted pursuant to Title 16 or Title 18, the more protective requirements shall prevail. 8.10.070Care of protected trees. (a) All owners of property containing protected trees shall follow the maintenance standards in the Tree Technical Manual. (b) The standards for protection of trees during construction contained in the Tree Technical Manual shall be followed during any development on property containing protected trees. 8.10.080 Development conditions. (a) Discretionary development approvals for property containing protected trees will include appropriate conditions providing for the protection of such trees during construction and for maintenance of the trees thereafter. (b) It shall be a violation of this chapter for any property owner or agent of the owner to fail to comply with any development approval condition concerning preservation, protection, and maintenance of any tree, including but not limited to protected trees. 8.10.090 Designation of heritage trees. (a) Upon nomination by any person and with the written consent of the property owner(s), the city council may designate a tree or trees as a heritage tree. (b) A tree may be designated as a heritage tree upon a finding that it is unique and of importance to the community due to any of the following factors: (1)It is an outstanding specimen of a desirable species; (2)It is one of the largest or oldest trees in Palo Alto; (3)It possesses distinctive form, size, age, location, and/or historical significance. (c)After council approval of a heritage tree designation, the city clerk shall notify the property owner(s) in writing. A listing of trees so designated, including the specific locations thereof, shall be kept by the departments of public works and planning and community environment. (d) Once designated, a heritage tree shall be subject to the provisions of this chapter unless removed from the list of heritage trees by action of the city council. The city council may remove a tree from the list upon its C-5010904 syn 0090971 own motion or upon written request by the property owner. Request for such action must originate in the same manner as nomination for heritage tree designation. EXCERPT FROM CHAPTER 16.04 BUILDING CODE 16.04.120 Section 109 amended - Certificate of occupancy. Section 109 of the California Building Code is amended to read: 109. Certificate of Occupancy. I09.1 Certificate Required. In order to safeguard life and limb, health, property and public welfare, every building structure or portion thereof shall conform to the construction requirements for the occupancy to be housed therein or for the use to which the building or structure, or portion thereof is to be put, as set forth in this code. No building or structure or portion thereof constructed or altered shall be used or occupied until a certificate of occupancy has been issued therefor. Exception: No structure, of Group R Division 3 or Group U, or a structure, the architecture of which inhibits occupancy, shall require a certificate of occupancy. 109.2 Change of Occupancy or Tenancy. Each change of occupancy, official name or tenancy of any building, structure or portion thereof, shall require a new certificate of occupancy, whether or not any alterations to the building are required by th!s code. Ifa portion of any building does not conform to the requirements of this code for a proposed occupancy, that portion shall be made to conform. The building official may issue a new certificate of occupancy without stating therein that all of the requirements of the code have been made and without requiring compliance with all such requirements if he or she finds that the change in occupancy or tenancy will result in no increased hazard to life or limb, health, property or public welfare. When application is made for such certificate of occupancy, the building official and fire chief shall cause an inspection of the building to be made. The inspector shall advise the applicant of those alterations necessary, or if none is necessary, shall make a report of compliance to the building official. Before any application for such certificate of occupancy is accepted, a fee as set forth in the municipal fee schedule shall be paid by the applicant to cover the cost to the city of the inspection of the building for which a change of occupancy or tenancy is required. Such fee shall be in addition to the regular building permit fee required by this code. 109.3 Content of Certificate. Each certificate shall contain the following: 1.The building permit number. 2.The address of the building. 3.The name and address of the owner or lessee. 4.A description of that portion of the building for which the certificate is issued. 5.The use and occupancy for which the certificate is issued. 109.4 Temporary Certificates. Notwithstanding the provisions of subsection 109.4 of this section, if the building official after conferring with the fire chief finds that no substantial hazard will result from occupancy of any building, or portion thereof, before the same is completed and satisfactory evidence is submitted that the work could not have been completed prior to the time such occupancy is desired because of its magnitude or because of unusual construction difficulties, the building official may issue without charge a temporary certificate of occupancy for any building or portion thereof. Such temporary certificate of occupancy shall be valid for a period not to exceed six (6) months. After the expiration of a temporary certificate of occupancy, the building, structure or portion thereof shall require a certificate of occupancy in accordance with other provisions of this section. Upon payment of a fee as set forth in the municipal fee schedule, duplicates of the certificate or temporary certificate may be secured by the owner, architect, engineer, contractor, permittee or tenant. 109.5 Posting of Certificate of Occupancy. In Groups A, B, E, F, H, I, M, R-1 and S occupancies, the certificates of occupancy shall be posted in a conspicuous, readily accessible place in the portion of such building being used for such occupancy. 109.7 Compliance. No person shall use or occupy any building or structure or any portion thereof, for which a certificate of occupancy is required by this Section 109 without first obtaining, posting, and keeping posted, a proper certificate of occupancy as required by this Section. C-6 010904 syn 0090971 Chapter 16.48 ARCHITECTURAL REVIEW* Sections: 16.48.010 16.48.020 16.48.030 16.48.040 16.48.050 16.48.060 16.48.065 16.48.070 16.48.080 16.48.090 16.48.100 16.48.110 16.48.120 16.48.130 16.48.135 Declaration of goals and purposes. Architectural review board. Manner of appointment. P~:ocedures of the architectural review board. Applicability of chapter. Application. Public hearing and notice. Recommendation of the architectural review board. Action of the director of planning and community environment. Appeals. Referral to council. Preliminary review. Standards for review. Time limits. Exceptions tO site development, parking and loading requirements to enhance the design of development subject to architectural review. 16.48.140 Integration with other code provisions. 16.48.150 Moratorium. * Editor’s Note: Prior ordinance history: Ordinance No. 2703 as amended by Ordinance Nos. 2717, 2847, 2863, 2927, 2960, 2984, 3197, 3243 and 3333. 16.48.010 Declaration of goals and purposes. The goals and purposes of this chapter are to: (a)Promote orderly and harmonious development of the city; (b)Enhance the desirability of residence or investment in the city; (c)Encourage the attainment of the most desirable use of land and improvements; (d)Enhance the desirability of living conditions upon the immediate site or in adjacent areas; (e)Promote visual environments which are of high aesthetic quality and variety and which, at the same time, are considerate of each other. 16.48.020 Architectural review board. There is created an architectural review board consisting of five persons, at least three of whom shall be architects, landscape architects, building designers or other design professionals. Each member of the architectural review board shall be appointed by the city council and shall serve, commencing on the first day of October, for a term of three years or until his or her successor is appointed and takes office. The architectural review board shall have the powers and duties specified in this chapter, and shall comply with the procedures specified in this chapter. 16.48.030 Manner of appointment. In filling vacancies on the architectural review board, the following procedures shall be followed by the city council: (a)Following notification of vacancy on the architectural review board, the city clerk shall advertise the same in a newspaper of general circulation in the city, including the council agenda digest, four times within two weeks. (b) Written nominations and applications shall be submitted to the city clerk within such two-week period, to be forwarded to the city council for its consideration. Notwithstanding the foregoing, if the nomination or application of an incumbent board member is not submitted to the city clerk within the period specified above, said period shall be extended for an additional five days during which the city clerk shall accept written nominations and applications of nonincumbents. (c) The city council shall review all nominations and applications and conduct such interviews as it deems necessary prior to selection. (d) Final selection and appointment shall be made by the city council at a regular city council meeting after the period for submittal of nominations and applications has expired. 16.48.040 Procedures of the architectural review board. 010904 syn 0090971 C-7 The architectural review board shall meet at least monthly and shall prescribe bylaws, form~, applications, rules and regulations for the conduct of its business. All meetings of the architectural review board shall be open to the public. The architectural review board shall send a report, not less than once a year, to the planning commission and city council for the purpose of communicating the concerns of the board with respect tothe city’s plans, policies, ordinances and procedures as these affect the projects which the board reviews. 16.48.050 Applicability of chapter. No permit i’equired under Title 16 shall be issued except after approval of the design of the project by th~ director of planning and community environment, or by the city council, as the case may be, upon a recommendation of the architectural review board, in compliance with this chapter. The architectural review board shall make a recommendation on the design of all of the following projects: (a) New construction, including public projects and construction on public property, and including paved areas, exterior work and signs which require a permit or design review from the city pursuant to other sections of this code, but excepting singly developed single-family dwellings and duplexes, and additions thereto; (b) Unless the application is diverted for administrative approval pursuant to Chapter 18.99, a PC zone district or any amendment thereto, applied for pursuant to Chapter 18.68: (1) Any application for approval of or amendment to a PC zone district shall initially be reviewed by the planning commission for conformance with Chapter 18.68, then the development plan shall be reviewed by the architectural review board for Compliance with this chapter, and finally the development plan shall be returned to the planning commission for a final recommendation to the city council. (2) In the event the planning commission, at its initial review, recommends denial of the application, such recommendation shall be forwarded directly to the city council, and the architectural review board shall make no recommendation on the application except as may be directed by the city council. (3) In the event of inconsistencies in the recommendation of the architectural review board on an application for approval of or amendment to a PC zone district, the commission and board shall attempt to resolve such inconsistencies prior to the commission’s making a final recommendation to the city council, by means which may include a joint meeting. If the inconsistencies are not resolved, then the separate recommendations of each body, together with the minutes of their respective meetings and!or of the joint meeting shall be transmitted to the city council. (c) Unless the application is diverted for administrative approval pursuant to Chapter 18.99, any development, construction or improvement in any OS zone district, AC zone district or any district which is combined with a D zone district, except singly developed single-family dwellings, duplexes and accessory buildings and uses thereto, or any gasoline service station which must be approved pursuant to Chapter 18.82, as required in the CN, CC, CS, GM and LM zones: (1) Any such development, construction, improvement or gasoline service station shall initially be reviewed by the planning commission pursuant to Chapter 18.82 and then shall be reviewed by the architectural review board for compliance with this chapter before final action by the city council. (2) In the event the planning commission, at its initial review, recommends denial of the application, such recommendation shall be forwarded directly to the city council, and the architectural review board shall make no recommendation on the application except as may be directed by the city council. (3) In the event of inconsistencies in the recommendation of the planning commission and the recommendation of the architectural review board, the commission and board shall attempt to resolve such inconsistencies prior to forwarding the application to the city council by means which may include a joint meeting. If the inconsistencies are not resolved, then the separate recommendations of each body, together with the minutes of their respective meetings and/or of the joint meeting shall be transmitted to the city council. (d) Fences, in any category of architectural review board jurisdiction enumerated in subsections (a) through (c) of this section. (e) Projects requiring variances or use permits when, in the discretion of the zoning administrator or the director of planning and community environment, they may have a significant effect upon the aesthetic character of the city or the surrounding area. (f) The foregoing requirements notwithstanding, the director of planning and community environment may approve or disapprove the design of a minor change to a project which has previously received design approval without procuring a recommendation of the architectural review board under the following circumstances: (1) The director determines that the change requested is minor, of little visual significance and will not materially alter the appearance of previously approved improvements; or (2)The board has recommended to the director that no further architectural review board review is necessary. C-8010904 syn 0090971 (g) In addition to the foregoing requirements, the director of planning and community environment or city council may request the opinion of the architectural review board on other architectural matters. (h) The foregoing requirements notwithstanding, the director of planning and community environment may approve or disapprove the design of the following small projects without procuring a recommendation from the architectural review board: (1) Any sign which complies with the sign ordinance and which is consistent with any design guidelines which may be adopted by the architectural review board; (2) A minor project, including minor additions or alterations to an existing building or to site improvements, which in the discretion of the director does not significantly change the visual character or function of the building or site and which is consistent with any design guidelines which may be adopted by the architectural review board. Examples of minor projects include, but are not limited to: (A)Equipment, when screened from public view, (B)Fences or walls, (C)Changes to doors and windows, (D)Skylights, or (E)A landscaping project which the director finds to be an upgrade of existing landscaping. While reviewing these small projects, the director shall follow the same design guidelines and recordkeeping procedures as are generally required by the board when it reviews projects under this chapter. The director shall send a report, on a biannual basis, to the board concerning the number and type of project approvals he or she makes under this section. The director shall also attach to each meeting agenda of the board a report listing the projects scheduled for review as well as the number and types of project approvals he or she has made under this section. Not later than four working days after the effective date of the director’s decision and action on a small project, any person aggrieved by the action of the director on the project may file a request for review of the project by the board. Under such circumstances, the board shall review and make a recommendation on the design of the small project in the same manner as it reviews and makes recommendations on other projects under this chapter. The same appeals procedure set forth in Section 16.48.090 shall also apply to the small project. 16.48.060 Application. Applications for design review of a project shall be filed with the planning department along with a fee as set forth in the municipal fee schedule. Unless the applicant is otherwise notified in writing, the application shall be deemed complete on the thirtieth calendar day after its receipt by the planning department, or on the date the project is first considered by the architectural review board, whichever comes first. Once the application is deemed complete, the director shall review the application and, pursuant to the California Environmental Quality Act (CEQA), shall, if the project is not exempt from CEQA, either prepare a negative declaration or require an environmental impact report to be prepared. If an environmental impact report is required, the procedures set forth in the state guidelines and the city of Palo Alto’s Procedures for Implementation of the California Environmental Quality Act of 1970 shall be followed. If no environmental impact report is required, the application will be placed on the agenda of the architectural review board no later than the first regular meeting following the thirty-first calendar day after receipt of a complete application, provided that, for good cause, the director of planning and community environment shall have the discretion to place the application on a later agenda. 16.48.065 (a) (1) (2) (3) (4) Public hearing and notice. For purposes of this chapter, a major project shall be: A new building or building addition of five thousand square feet or more; Any project that is not exempt under CEQA; Any residential construction project that will total three or more units when completed; Any residential construction project that will total two or more units when cgmpleted in a neighborhood preservation combining district under Chapter 18.30 of the Palo Alto Municipal Code; (5) Any project which the director ofplarming and community environment determines may be controversial; or (6)Any project which the director determines will significantly alter the character or appearance of a building or site. All projects which are not determined to be major projects shall be designated as minor projects. Minor projects shall include small projects, as defined in Section 16.48.050(h) above. (b) Notice of the hearing on a major project by the architectural review board shall be given by publication of the board’s agenda once in a local newspaper of general circulation not less than eight calendar days prior to the date of the hearing. C-9010904 syn 0090971 Additionally, notice of such hearing shall be mailed at least twelve calendar days prior to the date of the board hearing to the applicant, to owners of record of real property within ninety-one and four-tenths meters (three hundred feet) of the exterior boundary of the property involved, as such owners of record are shown in the last equalized assessment roll, and to owners or occupants of the property within ninety-one and four tenths meters (three hundred feet) as shown on the city utility customer file. Compliance with the procedures set forth in this section shall constitute a good faith effort to provide notice, and the failure of any owner or occupant to receive notice shall not prev.ent the city from proceeding with the hearing or from taking any action or affect the validity .of any action. (c)The notice of public hearing shall contain the following: (1)The exact address of the property, if known, or the location of the property, if the exact address is not known, and the nature or purpose of the application; (2)The time, place, and purpose of the hearing; (3)A brief description, the content of which shall be in the sole discretion of the city, of the approval sought; (4)Reference to the application on file for particulars; and (5)A statement that any interested person, or agent thereof, may appear and be heard. (d)Typographical and/or publishing errors shall not invalidate the notice nor any city action. At the time and place set for such heating, the board shall hear evidence for and against the application. Each heating shall be open to the public. The board may continue any hearing from time to time. (e) Notice of the hearing on a minor project by the board shall be given by publication of the agendas of regular board meetings once in a local newspaper of general circulation not less than four calendar days prior to the date of the meeting and shall be provided to the city council in the next available council packet. Minor projects of little visual significance as designated by the director of planning and community environment, Or projects which have been previously reviewed by the board and designated by the board to return on the consent calendar, may be placed on the board’s consent calendar no later than seventy-two hours prior to the meeting. The consent calendar shall be voted upon as one item, and the vote shall not affect the validity of the action taken upon any such individual item. Any member of the board may request that an individual item be removed from the consent calendar, in which case the item shall be considered immediately after the consent calendar is voted upon. 16.48.070 Recommendation of the architectural review board. The architectural review board shall recommend to the director of planning and community environment that the design of and negative declaration, if applicable, for a project be approved, disapproved or approved with modifications, including the imposition of conditions, by making findings in accordance with the standards contained in this chapter, and such additional standards as may be adopted and published by the city council from time to time. An application must be acted upon no later than six months after the date the application is determined to be complete pursuant to Section 16.48.060. Notwithstanding the foregoing, if an environmental impact report is required to be prepared for the project pursuant to CEQA, the application must be acted upon no later than one year after the date the application is determined to be complete pursuant to Section 16.48.060. However, these time limits may be extended once for a period not to exceed ninety calendar days, upon the consent of the director and the applicant. 16.48.080 Action of the director of planning and community environment. (a)No later than three working days after the architectural review board’s recommendation on the design and negative declaration, if applicable, for a project, the director of planning and community environment shall take one of the following actions, with such action to become effective on the third working day following the board hearing: (1) If the director agrees with the recommendation of the board, he shall act accordingly on the project and negative declaration, if applicable. (2) If the director disagrees with the recommendation of the board, he shall, at his discretion, either attempt to resolve the differences with the board at the next available board meeting or shall refer the decision directly to the city council. (A) If the differences are resolved at the next available board meeting, the director shall act accordingly on the project and negative declaration, if applicable, and notify the applicant in writing of the decision. (B) If the director refers the decision directly to the city council, the council shall act on the application pursuant to Section 16.48.090. (C) If the director attempts to resolve the differences at the next available board meeting but the differences are not resolved, the application shall be sent to the city council with the recommendations of the C-10 010904 syn 0090971 director of planning and community environment, and the council shall act on the application pursuant to Section 16.48.090. If the director disagrees with the board’s recommendation on a project, he shall mail a copy of his decision and action to the applicant no later than three working days after the board makes its recommendation. Regardless of the director’s decision on a project, he shall mail a copy of the board hearing minutes to the applicant within ten working days after the board makes its recommendation, or as soon as the hearing minutes are available. If the director agrees with the board’s recommendation, he shall include a copy of his decision and action with the minutes mailed to the applicant. (b) The minutes from the architectural review board meetings shall be placed in the city council packet as soon as they are available. Notice of the decisions and actions of the director on the items shall also be included in the packe( if they are different from the recommendations of the board. (c) Building permits for a major project, as defined in Section 16.48.065, may be issued on or after the ninth working day after the effective date of the approval of the director on the project, unless the decision is referred to the city council or the architectural review board pursuant to subdivision (2) of subsection (a) of this section, or appealed, pursuant to Section 16.48.090. Building permits for a small or minor project, as defined in Sections 16.48.050(h) and 16.48.065, may be issued on or after the fifth working day after the effective date of the approval of the director on the project, unless the decision is appealed pursuant to Sections 16.48.050(h) or 16.48.090. If the decision is referred or appealed, building permits may be issued on!y after board or city council approval of the project, as applicable. 16.48.090 Appeals. Any person aggrieved by the action of the director of planning and community environment may file an appeal with the city council. An appeal of an action on a major project shall be filed not later than eight working days after the effective date of the director’s decision-and action on a project. An appeal of an action on a minor project shall be filed not later than four working days following the effective date of the director’s decision and action on a project. Projects referred to the architectural review board by the director under provisions of Chapter 18.99 may be appealed. Any such appeal shall be filed in accordance with the provisions of Chapter 18.93. Any appeal shall be filed with the city clerk, along with a fee as set forth in the municipal fee schedule; however, any member of the city council may file such an appeal without a fee. Any appeal shall be considered an appeal of both the negative declaration, if applicable, and the design of the project. The city clerk shall place the appeal upon the agenda of the city council for a regular meeting not later than the thirty-first working day after the receipt of the appeal. If the appellant is other than the applicant for the project, the city clerk shall notify the applicant of the appeal. The city council may take one of the following actions: (a) Pursuant to CEQA, require an environmental impact report be prepared on the project before the city council approves or disapproves the project; (b)Disapprove the project; (c)Approve the negative declaration, if applicable, and approve, or approve with modifications, the project. Before taking action on an appeal, the city council may, in its discretion, refer the appeal to the planning commission for a recommendation. 16.48.100 Referral to council. Instead of making a recommendation on the design of a project and the negative declaration, if applicable, to the director of planning and community environment pursuant to Section 16.48.070, the architectural review board may determine that the planning issues involving a project merit review by the planning commission and city council. In that case, the architectural review board shall make a recommendation on the design of the project and the negative declaration, if applicable. These recommendations shall be transmitted to the planning commission and shall be placed on the agenda of the planning commission within two months after the architectural review board’s referral. The planning commission shall make a recommendation on the project and the negative declaration, if applicable. The recommendations of both the architectural review board and the planning commission shall be transmitted to the city council for action. The city council may take one of the following actions: (a) Pursuant to CEQA, require an environmental impact report be prepared on the project before the city council approves or disapproves the project; (b)Disapprove the project; (c)Approve the negative declaration, if applicable, and approve, or approve with modifications, the project. C-II010904 syn 0090971 Before approving, or approving with modifications, the project, the council may refer the project’s design back to the architectural review board for additional recommendations. The board shall make its recommendation directly to the council. 16.48.110 Preliminary review. For the purpose of securing the advice of the architectural review board prior to making an application for the board’s recommendation on a project, an applicant, upon paying a preliminary application fee, as set forth in the municipal fee schedule, may bring a design before the board for preliminary review. If the applicant wishes to proceed with the project, he or she must then file an application and pay a regular application fee. The comments of the architectural review board members during a preliminary review shall not be binding on their formal recommendation. 16.48.120 Standards for review. (a)In addition to the goals and purposes of this chapter as set forth in Section 16.48.010, the following standards shall be used by the architectural review board in reviewing projects within its jurisdiction: (1) Whether the design is consistent and compatible with applicable elements of the city’s Comprehensive Plan; (2)Whether the design is compatible with the immediate environment of the site; (3)Whether thedesign is appropriate to the function of the project; (4)In areas considered by the board as having a unified design character or historical character, whether the design is compatible with such character; (5) Whether the design promotes harmonious transitions in scale and character in areas between different designated land uses; (6)Whether the design is compatible with approved improvements both on and offthe site; (7)Whether the planning and siting of the various functions and buildings on the site create an internal sense of order and provide a desirable environment for occupants, visitors and the general community; (8) Whether the amount and arrangement of open space are appropriate to the design and the function of the structures; (9)Whether sufficient ancillary functions are provided to support the main functions of the project and whether the same are compatible with the project’s design concept; (10) Whether access to the property and circulation thereon are safe and convenient for pedestrians, cyclists and vehicles; (11)Whether natural features are appropriately preserved and integrated with the project; (12)Whether the materials, textures, colors and details of construction and plant material are appropriate expression to the design and function and whether the same are compatible with the adjacent and neighboring structures, landscape elements and functions; (13) Whether the landscape design concept for the site, as shown by the relationship of plant masses, open space, scale, plant forms and foliage textures and colors create a desirable and functional environment and whether the landscape concept depicts an appropriate unity with the various buildings on the site; (14) Whether plant material is suitable and adaptable to the site, capable of being properly maintained on the site, and is of a variety which would tend to be drought-resistant and to reduce consumption of water in its installation and maintenance; (15) Whether the design is energy efficient and incorporates renewable energy design elements including, but not limited to: (A) (B) (c) (b) may review each (1) (2) (3) (4) (5) (6) (7) (8) Exterior energy design elements, Internal lighting service and climatic control systems, and Building siting and landscape elements. In applying the standards set forth in subsection (a) of this section, the architectural review board of the following items of the proposed project: Uses and functions as they relate to the design of the project and adjacent uses; Compatibility with neighboring properties and uses; Visibility and effect upon view at all site lines; Aesthetics; Quality of design; Character; Scale; Building materials; C-12010904 syn 0090971 (9) (lO) (A) (B) (C) (D) (E) (V) (G) (ll) (A) (B) (C) (D) (E) (12) (A) (~) towers, antennae (c) Color; and Site development characteristics including, but not limited to: Lot size, Building coverage, Setbacks, Building height, Location upon the site, Open space, and Pedestrian, bicycle and vehicle circulation; Environmental factors including, but not limited to: Noise, Emission of smoke, fumes and odors, Fire safety, life safety and fire access, Disturbance of existing topography, trees, shrubs, and other natural features, Water percolation, grading and drainage, and impermeability of soils; Building and building components including, but not limited to: Stairs, ramps, escalators, moving sidewalks, elevators or downspouts on the exterior buildings, Flues, chimneys, exhaust fans, air-conditioning equipment, elevator equipment, fans, cooling or similar structures placed upon the roof or the exterior of the building, Sun shades, awnings, louvers or any visible device for deflecting, filtering or shielding the structure or (D) structures; (~3) (14) (A) (a)(C) (D) (E) (15) (A) (B) (¢) (16) interior from the elements, Balconies, penthouses, loading docks or similar special purpose appendages or accessory Accessory structures, including garages, sheds, utility facilities and waste receptacles; Other on-site improvements including, but not limited to: Parking and other paved areas, Landscaping, Lighting, Signs and graphics, and Artwork, sculpture, fountains and other artistic features; Energ3’ efficiency and renewable energy design elements including, but not limited to: Exterior energy design elements, Internal lighting service and climatic control systems, and Building siting and landscaped elements; Such other features as affect the design and ultimate appearance of the work, as determined by the architectural review board. (c) The architectural review board may recommend requirements which are more restrictive than the maximum regulations set forth in Title 16 and/or Title 18 of this code, when it concludes such requirements are necessary: (1)To promote the internal integrity of the design of the project; (2)To assure compatibility of the proposed project’s design with its site and surroundings; (3)To minimize the environmental effects of the proposed project; provided, however, that the architectural review board’s sole responsibility with respect to the storage of hazardous materials shall be to require compliance with Title 17 of this code. 16.48.130 Time limits. (a)For all projects approved after the effective date of the ordinance codified in this chapter, the approval shall be valid for one year from the original date of approval, except that for phased projects, a specific development schedule may be approved. In no event, however, shall such a development schedule exceed five years from the original date of approval. Approval of minor changes in a project shall not extend the original date of approval. The time period for a project, including a phased project, may be extended once for an additional year by the director of planning and shall be appealable, in accordance with Section 16.48.090. In the event the building permit is not secured for the project within the time limits specified in this chapter, the architectural review board approval shall expire and be of no further force or effect. (b) Notwithstanding subsection (a) 0fthis section, whenever a vesting tentative map is approved or conditionally approved pursuant to Chapter 21.13 of the Palo Alto Municipal Code and the Subdivision Map Act, the approval pursuant to this chapter shall be valid until the expiration of the vesting tentative map or expiration of C-13010904 syn 0090971 development rights under the final map. Applications may be made for extensions, but only in conjunction with applications for extensions of the vesting tentative map or the final vesting map pursuant to Chapter 21.13 and the Subdivision Map Act. 16.48.135 Exceptions to site development, parking and loading requirements to enhance the design of development subject to architectural review. (a) In accordance with the provisions of Chapter 18.91 of this code, and subject to the provisions of this section and thepurpose and intent of this chapter, the architectural review board may recommend that the director of planning and community environment approve minor exceptions to the site development, parking and loading requirements set forth in Title 18, when such exceptions will enhance the appearance and design of commercial and multiple-family development and other development subject to architectural review under this chapter. Items for which exceptions may be granted include, but are not limited to, dormers, cave lines, roof design, bay windows, cornices, parapets, columns, arcades, fountains, art, ornamentation, atriums, balconies, trellises, moldings, balustrades, stairs, entry features, and other minor architectural elements and design features. (b) No exceptions shall be granted under this section which would increase floor area, decrease the number of required parking spaces, decrease the amount of required on-site landscaping, or decrease the required open space. Generally, exceptions shall be limited to minor changes to the setback, daylight plane, height, lot coverage limitations, parking lot design and landscaping configuration, and additional flexibility in the proportion between private and common open space. (c) Application. Application for exceptions shall be made in the same manner and in conjunction with an application for design review, pursuant to Section 16.48.060. (d) Public Hearing and Notice. A public heating shall be held prior to any action on an application for exception. Such hearing shall be the same hearing at which the application for design review is held. Notice of the hearing for both applications shall be given in the same manner as the notice for a heating on a major project, as set forth in Sections 16.48.065(b), (c) and (d). (e) Role of Zoning Administrator. The zoning administrator shall make a recommendation to the architectural review board regarding each application for exception prior to the board’s review of the application. The zoning administrator or designee shall also attend the public hearing on each application for exception, and shall advise the board regarding zoning issues. (f) Recommendation of the Architectural Review Board. Atter considering the application and all testimony,both oral and written, offered at the public hearing, and the recommendation of the zoning administrator, the architectural review board shall make its recommendations regarding each application for exception to the director of planning and community environment along with its recommendations on the application for design review, in accordance with Section 16.48.070, provided, that the findings for approving an exception shall be as set forth in subsection (g) of this section. (g) Findings. The architectural review board may recommend that the director of planning and community environment grant exceptions to the otherwise applicable site development, parking and loading requirements of Title 18 upon making the following findings: (1) There are exceptional or extraordinary circumstances or conditions applicable to the property or site improvements involved that do not apply generally to property in the same Zone district; (2) The granting of the application will enhance the appearance of the site or structure, or improve the neighborhood character of the project and preserve an existing or proposed architectural style, in a manner which would not otherwise be accomplished through strict application of the minimum requirements of Title 18 and the standards for review set forth in this chapter; and (3) The exception is related to a minor architectural feature or site improvement that will not be detrimental or injurious to property or improvements in the vicinity and will not be detrimental to the public health, safety, general welfare or convenience. (h) Conditions. In recommending approval of such exceptions, the architectural review board may recommend imposing such reasonable conditions or restrictions as are appropriate or necessary to protect the public health, safety, general welfare or convenience, and to secure the purposes of Title 18 and of this chapter. (i) Action of the Director of Planning and Community Environment. The director of planning and community environment shall act on the application for exception in conjunction with, and in the manner provided by Section 16.48.080. (j) Appeals. Any person aggrieved by the action of the director may appeal such action to the city council by filing an appeal with the city clerk, not later than eight working days atier the effective date of the director’s action. C-14010904 syn 0090971 An appeal shall be in writing, stating the grounds therefor, and shall be accompanied by an appea! fee as prescribed by the municipal fee schedule. Filing of an appeal with the city clerk shall stay all proceedings in furtherance of the action appealed, as well as all proceedings in furtherance of the action on the application for design review, until the determination of the appeal as provided in this section. The city clerk shall place the appeal upon the agenda of the city council for a regular meeting not later than the thirty-first working day after receipt of the appeal. If the appellant is other than the applicant for the project, the city clerk shall notify the applicant of the appeal. Upon conclusion of the hearing on appeal, the city council may by motion reverse or affirm, in whole or-in part, or may modify the action of the director of planning and community environment. The decision of the council shall be final and shall be effective immediately. (k) Time Limits. The time limits for any exception granted pursuant to this section shall be the same as the time limits for the accompanying design review approval, as set forth in Section 16.48.130. The grant of an exception pursuant to this section does not constitute a variance, and shall be effective only to the extent that the approved plans are not changed in a manner that affects the granted exception. 16.48.140 Integration with other code provisions. Nothing in this chapter shall be construed as waiving, modifying, eliminating or mitigating the requirements of any other provision of this code. The requirements herein are intended to be supplementary and additional thereto, and in case 0fany conflict therewith, the most restrictive shall apply. 16.48.150 Moratorium. When any moratorium on construction or the processing of an application for any building permit or planning approval is adopted by the city council, regardless of such moratorium, a project which has received a final recommendation for design approval from the architectural review board pursuant to this chapter on or before the date of the council meeting at which the moratorium first appeared on the city council’s printed agenda, shall continue to be processed; provided, that the project complies with all other city ordinances. 010904 syn 0090971 C-15 Chapter 18.04 DEFINITIONS Sections: 18.04.010 18.04.020 18.04.30 Purpose and applicability. General rules for construction of language. Definitions. 18.04.010 Purpose and applicability. The purpose of this chapter is to promote consistency and precision in the interpretation of the zoning regulations. The meaning and construction of words and phrases defined in this chapter shall apply throughout the zoning regulations, except where the context of such words or phrases clearly indicates a different meaning or construction. 18.04.020 General rules, for construction of language. The following general rules of construction shall apply to the text of the zoning regulations: (a)The particular shall control the general. (b)In case of any difference of meaning or implication between the text of any provision and any caption or illustration, the text shall control. (c)The word "shall" is always mandatory and not discretionary. The word "may" is discretionary. (d)References in the masculine and feminine genders are interchangeable. (e)Words used in the present tense include the future, and words used in the singular include the plural, and the plural the singular, unless the context clearly indicates the contrary. (f)The words "activities" and "facilities" include any part thereof. (g)Unless the context clearly indicates to the contrary, the following conjunctions shall be interpreted as follows: (1)"And" indicates that all connected items or provisions shall apply. (2)"Or" indicates that the connected items or provisions may apply singly or in any combination. (3)"Either...or" indicates that the connected items or provisions shall apply singly but not in combination. (h)"District" means a general district or a combining district established by this title, unless otherwise indicated by specific reference to another kind of district. (i)All public officials, bodies, and agencies to which reference is made are those of the city unless otherwise indicated. (j)"City" means the city of Palo Alto. 18.04.030 Definitions. (a)Throughout this title the following words and phrases shall have the meanings ascribed in this section. (1) "Abandon" means to cease or discontinue a use or activity without intent to resume, but excluding temporary or short-term interruptions to a use or activity during periods of remodeling, maintaining, or otherwise improving or rearranging a facility, or during normal periods of vacation or seasonal closure. (2)"Abutting" means having property or district lines in common. (3)"Accessory building" means a building which is incidental to and customarily associated with a specific principal use or facility, and which meets the applicable conditions set forth in Chapter 18.88. (4)"Accessory dwelling" means a dwelling unit accessory to a principal use on a site and intended for occupancy by persons residing therein by reason of employment of one or more occupants on the same site. (5)"Addition" means any construction which increases the size of a building or facility in terms of site coverage, height, length, width, or gross floor area. (6)"Administrative office services" means offices and service facilities performing headquarters, regional, or other level management and administrative services for firms and institutions. (7)"Airport-related use" means a use providing aviation-related services typically ancillary to operations of an airport including, but not limited to, aircraft repair and maintenance, flight instruction, and aircraft chartering. (8)"Alley" means a public or private vehicular way less than twenty-five feet in width affording a secondary means of vehicular access to abutting property. C-16010904syn 0090971 (19) (20) .*(21) (9)Reserved. (10)Reserved. (11)"Alteration" means any construction or physical change in the internal arrangement of rooms or the supporting members of a building or structure, or change in relative position of buildings or structures on a site, or substantial change in appearance of any building or structure. (A) "Incidental alteration" means any alteration to interior partitions or interior supporting members of a structure which does not increase the structural strength of the structure; any alteration to electrical, plumbing, heating, air conditioning, ventilating, or other utility services, fixtures or appliances; any addition, closing, or change in size of doors or windows in the exterior walls; or any replacement of a building facade which does not increase the structural strength of the structure. (B) "Structural alteration" means any alteration not deemed an incidental alteration. (12) "Animal care" means a use providing grooming, housing, medical care, or other services to animals,-including veterinary services, animal hospitals, 0vemight or short-term boarding ancillary to veterinary care, indoor or outdoor kennels, and similar services. (13)"Automobile service station" means a use providing gasoline, oil, tires, small parts and accessories, and services incidental thereto, for automobiles, light trucks, and similar motor vehicles. The sale of food or grocery items or alcoholic beverages on the same site is prohibited except for prepackaged soft drinks, cigarettes, and snack foods either from automatic vending machines or in shelves occupying a floor area not to exceed forty square feet. (14)"Automotive services" means a use engaged in sale, rental, service, or major repair of new or used automobiles, trucks, trailers, boats, motorcycles, recreational vehicles, or other similar vehicles, including tire recapping, painting, body and fender repair, and engine, transmission, air conditioning, and glass repair and replacement, and similar services. (15)"Basement" means that portion of a building between floor and ceiling, which is fully below grade or partly below and partly above grade, but so located that the vertical distance from grade to the floor below is more than the vertical distance from grade to ceiling. (16)"Below market rate (BMR) housing unit" means any housing unit sold or rented to low or moderate income persons pursuant to the city of Palo Alto’s below market rate program administered by the Palo Alto housing corporation, or a successor organization. (17)"Bicycle parking space" means an area specifically reserved and intended for parking of a bicycle, accessible to the user independently of any other bicycle parking space, and including such additional features or conveniences as specified by this title. (18)"Block" means any lot or group of contiguous lots bounded on all sides by streets, railroad rights- of-way, or waterways, and not traversed by any street, railroad right-of-way, or waterway. Reserved. Reserved. "Breezeway" means a building or specific portion thereof, not over 3.7 meters (twelve feet) in height at the ridge line, which connects two otherwise separate buildings, and which is not more than fifty percent enclosed at the perimeter, including the wall surfaces of the buildings so connected. (22) (23) (24) (25) An illustration may be found at the end of this chapter in a printed edition of this code. "Building" means any structure used or intended for supporting or sheltering any use or occupancy. "Business or trade school" means a use, except a college or university, providing education or training in business, commerce, language, or other similar activity or pursuit, and not otherwise defined as a home occupation or private educational facility. "Canopy" means any roof-like structure, either attached to another structure or freestanding, or any extension of a roof line, constructed for the purpose of protection fromthe elements in connection with outdoor living. "Cellar" means that portion of a building between floor and ceiling which is wholly or partly below grade and so located that the vertical distance from grade to the floor below is equal to or greater than the vertical distance from grade to ceiling. C-17010904 syn 0090971 (24.5) (26) (27) (28) (29) (30) (3!) (32) (33) (34) (35) (36) (37) (38) (39) (40) (41) (42) (43) "Carport" means a portion of a principal residential building or an accessory building to a residential use designed to be utilized for the shelter of one (1) or more motor vehicles, which is open (unenclosed) at the vehicular entry side and which has no more than two sides enclosed. "Change of use" means the replacement of an existing use by a new use, or a change in the nature of an existing use, but not including a change of ownership, tenancy, or management where the previous nature of the use, line of business, or other function is substantially unchanged. (See also subdivisions (A) through (F) of subsection (143) of this Section 18.04.030.) "Church" means a use providing facilities for regular organized religious worship and religious education incidental thereto, but excluding a private educational facility. A property tax exemption obtained pursuant to Section 3(0 of Article XIII of the Constitution of the State of California and Section 206 of the Revenue and Taxation Code of the State of California, or successor legislation, constitutes prima facie evidence that such use is a church as defined in this section. Reserved. Reserved. Reserved. "College" or "university" means an educational institution of higher learning which offers a course of studies designed to culminate in the issuance of a degree as defined by Section 94302 of the Education Code of the State of California, or successor legislation, "Combiningdistrict" means a district established by this title, which may be applied to a lot or portion thereof only in combination with a general district. More than one combining district may apply to the same lot or portion thereof. "Commercial recreation" means a use providing recreation, amusement, exercise or entertainment services, including theaters, bowling lanes, billiard parlors, skating arenas, gymnasiums, exercise studios or facilities, fitness centers, health clubs or spas, martial arts studios, group movement instruction, and similar services, operated on a private or for-profit basis, but excluding uses defined as outdoor recreation services defined in subsection (107). "Community center" means a place, structure, area, or other facility used for and providing religious, fraternal, social and/or recreational programs generally open to the public and designed to accommodate and serve significant segments of the community. "Convalescent facility" means a use other than a residential care home providing inpatient services for persons requiring regular medical attention, but not providing surgical or emergency medical services. "Corporation yard" is defined in subsection (52). Reserved. "Court" means a space open and unobstructed to the sky, located at or above grade level on a lot, and bounded on three or more sides by walls of a building. Reserved. Reserved. "Covered parking" means a carport or garage that provides full overhead protection from the elements with ordinary roof coverings. Canvas, lath, fiberglass, and vegetation are not ordinary roof coverings and cannot be used in providing a covered parking space. "Day care center" means a day care facility licensed by the state or county for nonmedical daytime care. This term includes, but is not limited to, nursery schools, preschools and similar facilities. Day Care Home. (A) "Family day care home" means a home licensed by the state or county which regularly provides care, protection, and supervision of twelve or fewer children under the age of eighteen, in the provider’s own home, for periods of less than twenty-four hours per day, while the parents or guardians are away and includes the following: (i) "Large family day care home" means a home which provides family care to seven to twelve children, inclusive, including children under age eighteen who reside at the home. This term includes, but is not limited to, nursery schools, preschools, and similar facilities. (ii)"Small family day care home" means a home which provides family day care to six or fewer children, including children under age eighteen who reside at the home. This term includes, but is not limited to, nursery schools, preschools, and similar facilities. C-18010904 syn 0090971 (43a) *(44) (45) (46) (47) (48) (49) (50) *(51) (B)"Adult day care home" means use of a dwelling unit or portion thereof, licensed by the state or count),, for daytime care and supervision of twelve or fewer persons, above the age of eighteen, and includes the following: (i) "Large adult day care home" means a home which provides daytime care of seven to twelve adults. (ii)"Small adult day care home" means a home which provides daytime care to six or fewer adults. "Family day care home" means use of a dwelling unit or portion thereof licensed by the state fo~ daytime care of up to ten persons, including children through age sixteen within the family occupying such dwelling unit. This term includes nursery schools, preschools, and similar facilities. A family day care home for the elderly need not be state licensed. "Daylight plane" means an inclined plane, beginning at a stated height above average grade, that average grade being an average of the grade at the midpoint of the building and the grade at the closest point on the abutting site, and extending into the site at a stated upward angle to the horizontal, which may limit the height or horizontal extent of the building at any specific point where the daylight plane is more restrictive than the height limit applicable at such point on the site. The "daylight plane" shall be measured separately for each building on a lot, and separately for each side of each building. An illustration may be found at the end of this chapter in a printed edition of this code. "Drive-in service" means a feature or characteristic of a use involving sales of products or provision of services to occupants in vehicles, including drive-in or drive-up windows and drive- through services such as mechanical automobile washing. "Dwelling unit" means a room or group of rooms including living, sleeping, eating, cooking, and sanitation facilities, constituting a separate and independent housekeeping unit, occupied or intended for occupancy by one family on a nontransient basis and having not more than one kitchen. "Eating and drinking service" means a use providing preparation and retail sale of food and beverages, including restaurants, fountains, cafes, coffee shops, sandwich shops, ice cream parlors, taverns, cocktail lounges and similar uses. Related definitions are contained in subsections (45) and (136). Reserved. Reserved. Reserved. "Enclosed" means a covered space fully surrounded by walls, including windows, doors, and similar openings or architectural features, or an open space of less than 9.3 square meters (one hundred square feet) fully surrounded by a building or walls exceeding 2.4 meters (eight feet) in height. (51.5) (52) (53) An illustration may be found at the end of this chapter in a printed edition of this code. "Envelope" means the three-dimensional spatial configuration ofa building’s volume and mass. "Equipment yard" means a use providing for maintenance, servicing, or storage of motor vehicles, equipment, or supplies, or for the dispatching of service vehicles; or distribution of supplies or construction materials required in connection with a business activity, public utility service, transportation service, or similar activity. "Equipment yard" includes a construction materials yard, corporation yard, vehicular service center or similar use. "Facility" means a structure, building or other physical contrivance or object. (A) "Accessory facility" means a facility which is incidental to, and customarily associated with, a specified principal facility, and which meets the applicable conditions set forth in Chapter 18.88. (B)"Noncomplying facility" means a facility which is in violation of any of the site development regulations or other regulations established by this title, but was lawfully existing on July 20, 1978, or any amendments to this title, or the application of any district to the property involved by reason of which adoption or application the facility 010904 syn 0090971 C- 19 (54) (55) (56) *(57) became noncomplying. (For the definition for "nonconforming use" see subsection (143)(B)). (C)"Principal facilities" means a main building or other facility which is designed and constructed for or occupied by a principal use. "Family" means an individual or group of persons living together who constitute a bona fide single housekeeping unit in a dwelling unit. "Family" shall not be construed to include a fraternity, sorority, club, or other group of persons occupying a hotel, lodginghouse, or institution of any kihd. "Farmers’ market" means a market certified by the state or county agricultural commission under Title 3, Chapter 3, Article 6.5 of the California Administrative Code which allows direct retail sale by farms to the public of such items as fruits, vegetables, nuts, eggs, honey, nursery stock, cut flowers, live animals and inspected meats and seafood. "Financial service" means a use providing financial services to individuals, firms, or other entities. The term "financial service" includes banks, savings and loan institutions, loan and lending institutions, credit unions and similar services. "Floor area ratio" means the maximum ratio of gross floor area on a site to the total site area. *An illustration may be found at the end of this chapter in a printed.edition of this code. (57.5) (58) (59) (60) (61) (62) (63) (64) (64.5) (65) "Footprint" means the two-dimensional configuration ofa building’s perimeter boundaries as measured on a horizontal plane at ground level. "Full cash value" has the meaning assigned to it in the Revenue and Taxation Code for property taxation purposes. Reserved. Reserved. "General business office" means a use principally providing services to individuals, firms, or other entities, including but not limited to real estate, insurance, property management, title companies, investment, personnel, travel, and similar services, and including business offices of public utilities or other activities when the service rendered is that customarily associated with administrative office services. "General district" means a district created by this title establishing basic regulations governing land use and site development. Not more than one general district designation shall apply to the same portion of a lot. "General business service" means a use engaged in sales, servicing, installation, and repair services, or the performance of activities and services of the general nature described in this section, including printing, blueprinting and publishing, commercial bakeries, creameries or catering, cabinetry and furniture repair, bulk cleaning and laundry services (including a service that provides cleaning or laundry services for cleaning and laundry stations on other sites), .lumber, plumbing, electrical, sheet metal, and other construction and building materials, and autombbile parts and supplies. "Grade" means the lowest point of adjacent ground elevation of the finished surface of the ground paving, or sidewalk, excluding areas where grade has been raised by means ofa berm, planter box, or similar landscaping feature, unless required for drainage, within the area between the building and the properly line, or when the property line is more than five feet from the building, between the building and a line five feet from the building. In building areas with natural slopes in excess often percent, "grade" shall mean the adjacent ground elevation of the finished or existing grade, whichever is lower. "Grandfathered" means a designation established by means of a "grandfather clause," exempting a class of uses or structures from the otherwise currently applicable provisions of this title, because such uses or structures conformed with earlier applicable provisions of this title, prior to the enactment of subsequent provisions. (A) "Gross floor area" means the total area of all floors of a building measured to the outside surfaces of exterior walls, and including the following: (i)Halls; (ii)Stairways; (iii)Elevator shafts; (iv)Service and mechanical equipment rooms; 010904 syn 0090971 C-20 (66) (67) (v)Basement, cellar or attic areas deemed usable by the chief building official; (vi)Open or roofed porches, arcades, plazas, balconies, courts, walkways, breezeways or porticos if located above the ground floor and used for required access; (vii)Permanently roofed, but either partially enclosed or unenclosed, building features used for sales, service, display, storage or similar uses; (viii) In residential districts, all roofed porches, arcades, balconies, porticos, breezeways or similar features when located above the ground floor. (B)Gross floor area shall not include the following: (i) Parking facilities accessory to a permitted or conditional use and located on the same site; (ii)Roofed arcades, plazas, walkways, porches, breezeways, porticos, and similar features not substantially enclosed by exterior walls, and courts, at or near street level, when accessible to the general public and not devoted to sales, service, display, storage or similar uses. (iii)Except in the CD District and in areas designated as special study areas, minor additions of floor area approved by the director of planning and community environment for purposes of resource conservation or code compliance, upon the determination that such minor additions will increase compliance with environmental health, safety or other federal, state or local standards. Such additions may include, but not be limited to, the following: a. Area designed for resource conservation, such as trash compactors, recycling and thermal storage facilities; b.Area designed and required for hazardous materials stbrage facilities, handicapped access or seismic upgrades; (iv)In commercial and industrial districts except in the CD District and in areas designated as special study areas, additions of floor area designed and used solely for on-site employee amenities for employees of the facility, approved by the director of planning and community environment, upon the determination that such additions will facilitate the reduction of employee vehicle use. Such additions may include, but not be limited to, recreational facilities, credit unions, cafeterias and day care centers. (C)In the R-1 and R-E single-family residence districts, "gross floor area" means the total covered area of all floors of a main structure and accessory structures greater than one hundred twenty square feet in area, including covered parking and stairways, measured to the outside surface of exterior walls, subject to the following exceptions: (i) Floor area where the distance between the floor and the roof directly above it measures 5.18 meters (seventeen feet) or more, shall be counted twice; (ii)Floor area where the distance between the floor and the roof directly above it measures 7.92 meters (twenty-six feet) or more shall be counted three times; (iii)Basements where the finished level of the first floor is not more than .91 meters (three feet) above the grade around the perimeter of the building foundation, shall be excluded from the calculation of gross floor area, provided that lightwells, stairwells and other excavated features comply with the provisions of Section 18.10.050(m), 18.12.050(o), 18.17.050(p), or 18.19.050(0), as applicable; and (iv)60.69 square meters (two hundred square feet) of unusable third floor equivalent, such as attic space, shall be excluded from the calculation of gross floor area. (v)Carports shall be counted toward the maximum allowable floor area ratio requirements. "Guest cottage" means an accessory building containing a lodging unit without kitchen facilities, and used to house occasional visitors or nonpaying guests of the occupants of a dwelling unit on the same site. "Height" means the vertical distance above grade to the highest point of the coping of a fiat roof or to the deck line of a mansard roof or to the average height of the highest gable of a pitched or hipped roof, except that in the R-I, R-2 and RMD Districts the height of a pitched or hipped roof 010904 s.~an 0090971 (~-2 1 (68) (69) (70) (71) (72) (73) (74) (75) (76) (77) (78) (79) (80) (81) (82) (83) (84) shall be measured to the height of the peak or highest ridge line. The height of a stepped or terraced building is the maximum height of any segment of the building. Reserved. Reserved. Reserved. "Home occupation" means an accessory activity conducted in a dwelling unit solely by the oc.cupants thereof, in a manner incidental to residential occupancy, in accord with the provisions of this title. (For further provisions, see regulations for home occupations in Section 18.88.130.~ "Hospital" means a facility providing medical, psychiatric, or surgical services for sick or injured persons primarily on an in-patient basis, and including ancillary facilities for outpatient and emergency treatment, diagnostic services, training, research, administration, and services to patients, employees, or visitors. "Hotel" means a facility containing rooms or groups of rooms, generally without individual kitchen facilities, used or intended to be used for use by temporary overnight occupants, whether on a transient or residential occupancy basis, and whether or not eating facilities are available on the premises. "Hotel" includes a motel, motor hotel, tourist court, or similar use, but does not include mobile home parks or similar use. "Impervious area’’ means the portion of land on a lot that is covered by structures, paved surfaces, uncovered porches or similar cover and is incapable of being penetrated by water under normal circumstances. "Kitchen" means a room designed, intended or used for the preparation of food. "Landscaping" means an area devoted to or developed and maintained with native or exotic plantings, lawn, ground cover, gardens, trees, shrubs, and other plant materials, decorative outdoor landscape elements, pools, fountains, water features, paved or decorated surfaces of rock, stone, brick, block, or similar material (excluding driveways, parking, loading, or storage areas), and sculptural elements. "Liquor store" means a use requiring a State of California "off-sale general license" (sale for off- site consumption of wine, beer, and/or hard liquor) and having fifty percent or more of total dollar sales accounted for by beverages covered under the off-sale general license. Reserved. Reserved. Reserved. "Loading space" means an area used for loading or unloading of goods from a vehicle in connection with the use of the site on which such space is located. "Lodging" means the furnishing of rooms or groups of rooms within a dwelling unit or an accessory building to persons other than members of the family residing in said dwelling unit, or in the case of an accessory building, a dwelling unit on the same site, for overnight occupancy on a residential occupancy basis, whether or not meals are provided to such persons. Lodging shall be subject to the residential density requirements of the district in which the use is located. "Lodging unit" means a room or group of rooms not including a kitchen, used or intended for use by overnight occupants as a single unit, whether located in a hotel or a dwelling unit providing lodging. Where designed or used for occupancy by more than two persons, each two-person capacity shall be deemed a separate lodging unit. For the purpose of determining residential density, each two lodging units shall be considered the equivalent of one dwelling unit. "Lot" or "site" means a parcel of land consisting of a single lot of record, used or intended for use under the regulations of this title as one site for a use or group uses. *(A)"Corner lot" means a lot abutting two or more streets having an angle of intersection of one hundred thirty-five degrees or less. A lot abutting on a curved street or streets shall be considered a corner lot if straight lines drawn from the intersections of the side lot lines with the street lines to the midpoint of the street frontage meet at an interior angle of one hundred thirty-five degrees or less. An illustration may be found at the end of this chapter in a printed edition of this code. *(B)"Flag lot" means an interior lot on which the buildable area is located to the rear of a lot abutting a street, and which has access to the same street by means of a narrow driveway. C-22 010904 syn 0090971 *An illustration may be found at the end of this chapter in a printed edition of this code. *(C) "Interior lot" means a lot abutting one street. An illustration may be found at the end of this chapter in a printed edition of this code. *(D)"Through lot" means a lot other than a comer lot abutting more than one street. An illustration may be found at the end of this chapter in a printed edition of this code. (85) (86) *(87) "Lot area" means the area of a lot measured horizontally between bounding lot lines, but excluding any portion of a flag lot providing access to a street and lying between a front lot line and the street, and excluding any portion of a lot within the lines of any natural watercourse, river, stream, creek, waterway, channel, or flood control or drainage easement and excluding any portion of a lot within a street right-of-way whether acquired in fee, easement, or otherwise. "Lot coverage" encompasses the following definitions: (A) "Single-family residential use" means the total land area within a site that is covered by buildings, including all projections except the exterior or outermost 1.2 meters (four feet) of any cave or roof overhang, but excluding ground level paving, landscaping features, and open recreational facilities. (B)"All other uses except single-family residential" means the total land area within a site that is covered by buildings, excluding all projections, ground level paving, landscaping features, and open recreational facilities. (C)Except in the CD District and areas designated as special study areas, the director of planning and community environment may permit minor additions of floor area to facilities that exceed lot coverage limits, for purposes of resource conservation or code compliance, upon the determination that such minor additions will increase site compliance with environmental health and safety standards. Such additions may include, but not be limited to, the following: (i) Area designed for resource conservation, such as trash compactors, recycling and thermal storage facilities; (ii)Area designed and required for hazardous materials storage facilities, handicapped access and seismic upgrades. (D)In commercial and industrial districts except in the CD District and in areas designated as special study areas, the director of planning and community environment may permit additions of floor area that exceed lot coverage limits upon the determination that such additions are designed and used solely for providing on-site employee amenities for employees of the facility and will facilitate the reduction of employee vehicle use. Such additions may include, but not be limited to, recreational facilities, credit unions, cafeterias and day care facilities. "Lot depth" means the horizontal distance from the midpoint of the front lot line to the midpoint of the rear lot line, or to the most distant point on any other lot line where there is no rear lot line. An illustration may be found at the end of this chapter in a printed edition of this code. (88) (89) (90) (91) Reserved. Reserved. Reserved. "Lot line" means any boundary of a lot. *(A)"Front lot line" means, on an interior lot, the lot line abutting a street, or, on a comer lot, the shorter lot line abutting a street, or, on a through lot, the lot line abutting the street providing the primary access to the lot, or, on a flag lot, the interior lot line most parallel to and nearest the street from which access is obtained. An illustration may be found at th6 end of this chapter in a printed edition of this code. *(B) "Interior lot line" means any lot line not abutting a street. 010904 syn 0090971 C-23 *(C) An illustration may be found at the end of this chapter in a printed edition of this code. "Rear lot line" means the lot line not intersecting a front lot line which is most distant from and most closely parallel to the front lot line. A lot bounded by only three lot lines will not have a rear lot line. An illustration may be found at the end of this chapter in a printed edition of this code. *(D)"Side lot line" means any lot line which is not a front or rear lot line. *An illustration may be found at the end of this chapter in a printed edition of this code. *(E) (92) *(93) * (94) (95) (96) (97) (98) (99) (100) (10~) (102) (102.5) (103) "Street lot line" means any lot line abutting a street. An illustration may be found at the end of this chapter in a printed edition of this code. "Lot of record" means a lot which is part of a subdivision recorded in the office of the county recorder, or a lot or parcel described by metes and bounds which has been so recorded. "Lot width" means the horizontal distance between side lot lines, measured at the required front setback line. An illustration may be found at the end of this chapter in a printed edition of this code. "Manufacturing" means a use engaged in the manufacture, predominantly from previously prepared materials, of finished products or parts, including processing, fabrication, assembly, treatment, and packaging of such products, and incidental storage, sales, and distribution of such products, but excluding basic industrial processing of extracted or raw materials, processes utilizing inflammable or explosive materials (i.e., materials which ignite easily under normal manufacturing conditions), and processes which create hazardous or commonly recognized offensive conditions. "Medical office" means a use providing consultation, diagnosis, therapeutic, preventive, or corrective personal treatment services by doctor, dentists, medical and dental laboratories, and similar practitioners of medical and healing arts for humans, licensed for such practice by the state of California and including services related to medical research, testing and analysis but excluding use of hazardous materials in excess of allowances contained in Title 17 of this code. "Mobile home (manufactured housing)" means a structure, transportable in one or more sections, which is built on a permanent chassis and designed to be used as a dwelling with or without a permanent foundation when connected to the required utilities, and including the plumbing, heating, air-conditioning, and electrical systems contained therein. "Mobile home park" means a residential facility arranged or equipped for the accommodation of two or more mobile homes, with spaces for such mobile homes available for rent, lease, or purchase, and providing utility services and other facilities either separately or in common to mobile home spaces therein. Reserved. Reserved. Reserved. "Motel" is defined in subsection (73). "Multiple-family use" means the use of a site for three or more dwelling units, which may be in the same building or in separate buildings on the same site. "Neighborhood business service" means a use occupying two thousand five hundred square feet or less, which is engaged in sales, servicing, installation and repair service, excluding vehicular repair and service, which does not generate noise, fumes or truck traffic greater than that normally associated with neighborhood-serving uses, or the performance of activities and services of the general nature described in this section. Such uses may include, but not be limited to, reproduction and copying, catering, cleaning, laundry services, home repair and remodeling supplies and sales, cabinetry and furniture repair. "Neighborhood recreational center" means a privately owned or operated use providing, primarily for residents of the surrounding area, facilities for recreational or cultural activities, including lessons and instructions incidental thereto. C-24010904 syn 0090971 (~o4) (105) (106) (107) (lO8) (109) (l~O) (111) (112) (113) (114) (115) (116) "Net floor area" means the net enclosed floor area used or capable of use for any activit3’, excluding walls, stairways, elevator shafts, service and mechanical equipment rooms, corridors or halls providing common access to more than one use, and unenclosed porches or balconies. "Open" means a space on the ground or on the roofofa structure, uncovered and unenclosed. "Opposite," as used with respect to relative location of two sites, means property which is separated less than 30.5 meters (one hundred feet) by a street, alley, creek, drainageway, or other separately owned right-of-way, and which would be considered abutting based on projection of side lot lines to the centerline of such separating right-of-way. "Outdoor recreation service" means a privately owned or operated use providing facilities for outdoor recreation activities, including golf, tennis, swimming, riding, or other outdoor sport or recreation, operated predominantly in the open, except for accessory or incidental enclosed services or facilities. Reserved. Reserved. "Parking as a principal use" means a use providing parking and storage of motor vehicles on a profit or nonprofit basis, as a principal use and not accessory to a permitted or conditional use. "Parking facility" means an area on a lot or within a building, or both, including one or more parking spaces, together with driveways, aisles, turning and maneuvering areas, clearances, and similar features, and meeting the requirements established by this title. "Parking facility" includes parking lots, garages, and parking structures. (A) "Temporary parking facility" means parking lots which are not required under this chapter and which are intended as interim improvements of property subject to removal at a later date. "Parking space" means an area on a lot or within a building used or intended for use for parking of a motor vehicle, having permanent means of access to and from a public street or alley independently of any other parking space, and located in a parking facility meeting the requirements established by this title. "Parking space" is equivalent to the term "parking stall" and does not include driveways, aisles, or other features comprising a parking facility as defined in this chapter. "Patio cover" is defined in subsection (24), Canopy. "Personal service" means a use providing services of a personal convenience nature, and cleaning, repair or sales incidental thereto, including: (A)Beauty shops and barbershops; (B)Shoe repair; (C)Self-service laundry and cleaning services; laundry and cleaning pick-up stations where all cleaning or servicing for the particular station is done elsewhere; and laundry and cleaning stations where the cleaning or servicing for the particular station is done on site, utilizing equipment meeting any applicable Bay Area Air Quality Management District requirements, so long as no cleaning for any other station is done on the same site, provided that the amount of hazardous materials stored does not at any time exceed the threshold which would require a permit under Title 17 (Hazardous Materials Storage) of this code; (D)Repair and fitting of clothes and personal accessories; (E)Quick printing services where printing for the particular service is done on site, so long as no quick printing for any other printing se~ice is done on the same site; (F)Copying services; (G)Film processing shops, including shops where development processing for the particular shop is done on site, so long as no development processing for any other shop is done on the same site; (H)Art, dance or music studios. "Private educational facility" means a privately owned school, including schools owned and operated by religious organizations, offering instruction in the several branches of learning and study required to be taught in the public schools by the Education Code of the State of California. "Professional office" means a use providing professional or consulting services in the fields of law, architectu~:e, design, engineering, accounting, and similar professions, including associated product testing and prototype development, but excluding product manufacturing or assembly and C-25010904 s.~an 0090971 excluding use of hazardous materials in excess of the allowances contained in Title 17 of this code. (117)"Projection" means architectural elements, not part of the main building support, that cantilever from a single building wall or roof, involving no supports to the ground other than the one building wall from which the element projects. (118)"Property" means realproperty which includes the land, that which is affixed to the land, and that which is incidental or appurtenant to the land, as defined in Civil Code Sections 658 - 662. (119)"Queue line" means an area for parking and lining of motor vehicles while awaiting a service other activity. (120)"Recreational vehicle" means a vehicle towed or self-propelled on its own chassis or attached to the chassis of another vehicle and designed or used for temporary dwelling, recreational or sporting purposes. The term "recreational vehicle" includes, but is not limited to, travel trailers, pickup campers, camping trailers, motor coach homes, converted trucks and buses and boats and boat trailers. (121)"Recycling center" means facilities appurtenant and exterior to an otherwise allowed use, which are utilized for collection of recyclable materials such as metal, glass, plastic, and paper stored in mobile vehicles-or trailers, permanent storage units, or in bulk reverse vending machines exceeding fifty cubic feet in size. (122)"Religious institution" means a seminary, retreat, monastery, conference center, or similar use for the conduct of religious activities, including accessory housing incidental thereto, but excluding a private educational facility. Any such use for which a property tax exemption has been obtained pursuant to Section 3(f) of Article XIII of the Constitution of the State of California, and Section 206 of the Revenue and Taxation Code of the State of California. or successor legislation, or which is used in connection with any church which has received such an exemption, shall be prima facie presumed to be a religious institution. (123)"Research and development" means a use engaged in study, testing, design, analysis, and experimental development of products, processes, or services, including incidental manufacturing of products or provisions of services to others. (124)Residential care home" means use of a dwelling unit or portion thereof licensed by the state of California or county of Santa Clara, for care of up to six persons, including overnight occupancy or care for extended time periods, and including all uses defined in Sections 5115 and 5116 of the California Welfare and Institutions Code, or successor legislation. (125)"Retail service" means a use engaged in providing retail sale, rental, service, processing, or repair of items primarily intended for consumer or household use, including but not limited to the following: groceries, meat, vegetables, dairy products, baked goods, candy, and other food products; liquor and bottled goods, household cleaning and maintenance products; drugs, cards, and stationery, notions, books, tobacco products, cosmetics, and specialty items; flowers, plants, hobby materials, toys, household pets and supplies, and handcra~ed items; apparel, jewelry, fabrics, and like items; cameras, photography services, household electronic equipment, records, sporting equipment, kitchen utensils, home furnishing and appliances, art supplies and framing, arts and antiques, paint and wallpaper, carpeting and floor covering, interior decorating services, office supplies, musical instruments, hardware and homeware, and garden supplies; bicycles; mopeds and automotive parts and accessories (excluding service and installation); cookie shops, ice cream stores and delicatessens. (A) "Extensive retail service," as used with respect to parking requirements, means a retail sales use having more than seventy-five percent of the gross floor area used for display, sales, and related storage of bulky commodities, including household furniture and appliances, lumber and building materials, carpeting and floor covering, air conditioning and heating equipment, and similar goods, which uses have demonstrably low parking demand generation per square foot of gross floor area. (B)"Intensive retail service" as used with respect to parking requirements, means any retail service use not defined as extensive retail service. (126)"Reverse vending machine" means a mechanical device which accepts one or more types of empty beverage containers and issues a cash refund or credit slip. *(127)"Screened" means shielded, concealed and effectively hidden from view at an elevation up to 2.4 meters (eight feet) above ground level on adjoining sites, or from adjoining streets, within 3.0 C-26010904 syn 0090971 (128) (129) (130) (132) (133) (134) (135) (136) (137) (138) (139) (140) (141) (142) (143) meters (ten feet) of the lot line, by a fence, wall, hedge, berm, or similar structure, architectural or landscape feature, or combination thereof. An illustration may be found at the end of this chapter in a printed edition of this code. "Setback line" means a line within a lot parallel to a corresponding lot line, which is the boundary of any specified front, side or rear yard, or the boundary of any public right-of-way whether acquired in fee, easement, or otherwise, or a line otherwise established to govern the location of buildings, structures, or uses. Where no minimum front, side or rear yards are specified, the setback line shall be coterminous with the corresponding lot line. (See Chapter 20.08 of the Palo Alto Municipal Code for setback map regulations.) Reserved. Reserved. (13 l) "Shopping center" means a group of commercial establishments, planned, developed, owned, or managed as a unit, with off-street parking provided on the site, and having a total gross floor area of not less than 92,903 square meters (one million square feet) and a total site area of not less than 20.3 hectares (fifty acres). "Single-family use" means the use of a site for only one dwelling unit. "Site" is defined in subsection (84). "Structure" means that which is built or constructed, an edifice or building of any kind, or any piece of work artificially built up or composed of parts joined together in some definite manner. (For further provisions, see the definition for "facility," subsection (53).) "Studio dwelling unit, efficiency dwelling unit" means a dwelling unit consisting of a single habitable room for living and sleeping purposes, plus ancillary kitchen and bath facilities. "Take-out service" means a characteristic of an eating or drinking service which encourages, on a regular basis, consumption of food or beverages, such as prepared or prepackaged items, outside of a building, in outdoor seating areas where regular table service is not provided, in vehicles parked on the premises, or off-site. "Transportation terminal" means a depot, terminal, or transfer facility for passenger transportation services. Reserved. Reserved. Reserved. "Two-family use" means the use of a site for two dwelling units, which may be within the same building or separate buildings. "Usable open space" means outdoor or unenclosed area on the ground, or on a roof, balcony, deck, porch, patio or terrace, designed and accessible for outdoor living, recreation, pedestrian access, landscaping or any required front or street side yard, but excluding parking facilities, driveways, utility or service areas. "Use" means the conduct of an activity, or the performance of a function or operation on a site or in a building or facility. (A) "Accessory use" means a use which is incidental to, and customarily associated with a specified principal use, and which meets the applicable conditions set forth in Chapter 18.88. (B)"Nonconforming use" means a use which is not a permitted use or conditional use authorized within the district in which it is located, but which was lawfully existing on July 20, 1978, or the date of any amendments hereto, or the application of any district to the property involved, by reason of which adoption or application the use became nonconforming. (For further provisions, see the definition of "noncomplying facility" in subsection (53).) (C)"Principal use" means a use which fulfills a primary function of a household, establishment, institution, or other entity. (D)"Permitted use" means a use listed by the regulations of any particular district as a permitted use within that district, and permitted therein as a matter of right when conducted in accord with the regulations established by this title. (E)"Conditional use" means a use, listed by the regulations of any particular district as a conditional use within that district and allowable therein, solely on a discretionary and C-27010904 s.~aa 0090971 (144) *(145) (146) (147) conditional basis, subject to issuance of a conditional use permit, and to all other regulations established by this title. (F) "Change of use" is defined in subsection (26). "Warehousing" and "distribution" means a use engaged in storage, wholesale, and distribution of manufactured products, supplies, and equipment, but excluding bulk storage of materials which are inflammable or explosive or which create hazardous or commonly recognized offensive conditions. "Watercourse bank" means the side of a watercourse the top of which shall be the topo~aphic line roughly parallel to stream centerline where the side slopes intersect the plane of the ground traversed by the watercourse. Where banks do not distinguishably end, the surrounding country being an extension of the banks, the top of such banks shall be defined as determined by the building official. An illustration may be found at the end of this chapter in a printed edition of this code. "Yard" means an area within a lot, adjoining a lot line, and measured horizontally, and perpendicular to the lot line for a specified distance, open and unobstructed except for activities and facilities allowed therein by this title. *(A)"Front yard" means a yard measured into a lot from the front lot line, extending the full width of the lot between side lot lines intersecting the front lot line. *An illustration may be found at the end of this chapter in a printed edition of this code. *(B)"Interior yard" means a yard adjoining an interior lot line. An illustration may be found at the end of this chapter in a printed edition of this code. *(c)"Rear yard" means a yard measured into a lot from the rear lot line, extending between the side yards; provided, that for lots having no defined rear lot line, the rear yard shall be measured into the lot from the rearmost point of the lot depth to a line parallel to the front lot line. An illustration may be found at the end of this chapter in a printed edition of this code. *(D)"Side yard" means a yard measured into a lot from a side lot line, extending between the front yard and rear lot line. An illustration may be found at the end of this chapter in a printed edition of this code. *(E)"Street yard" means a yard adjoining a street lot line. An illustration may be found at the end of this chapter in a printed edition of this code. "Youth club" means a recreational use, operated on a profit or nonprofit basis, for supervised youth involving dancing or social gathering as a principal activity but prohibiting sale or consumption of alcoholic beverages. C-28 010904 syn 0090971 Chapter 18.12 R-I SINGLE-FAMILY RESIDENCE DISTRICT REGULATIONS Sections: 18.12.010 18.12.020 18.12.030 18.12.040 18.12.050 18.12.055 18.12.060 18.12.070 18.12.080 18.12.090 Specific purposes. Applicability of regulations. Permitted uses. Conditional uses. Site development regulations. Si~e development regulations for substandard lots. Parking and loading. Special requirements. Permitted yard encroachments. Reserved. 18.12.010 Specific purposes. The R-I single-family residence districts are intended to create, preserve, and enhance areas suitable for detached dwellings with a strong presence of nature and with open space affording maximum privacy and opportunities for outdoor living and children’s play. Minimum site area requirements are established to create and preserve variety among neighborhoods and to relate open space to existing and permitted building coverage. 18.12.020 Applicability of regulations. The specific regulations of this chapter and the additional regulations and procedures established by Chapters 18.83 to 18.99, inclusive, shall apply to all R-I single-family residence districts. Additionally, special building site combining district regulations set forth in Chapter 18.15 may apply within portions of ~he R-1 district. 18.12.030 facilities fixtures; Permitted uses. The following uses shall be permitted in the R-1 single-family residence district: (a) Accessory facilities and uses customarily incidental to permitted uses; provided, that accessory built aider the effective date of the ordinance codified herein shall have no more than two plumbing (b) (c) (d) (e) (0(g) Home occupations, when accessory to permitted residential use; Horticulture, gardening, and growing of food products for consumption by occupants of the site; Single-family use; Residential care homes; Mobile homes (manufactured housing) on permanent foundations; Small and large family day care homes. 18.12.040 Conditional uses. The following uses may be conditionally allowed in the R-1 single-family residence district, subject to issuance of a conditional use permit in accord with Chapter 18.90: (a)Churches and religious institutions; (b)Community centers; (c)Day care centers and large adult day care homes; (d)Outdoor recreation services; (e)Private educational facilities; (f)Temporary uses, subject to regulations established by Chapter 18.90; (g)Utility facilities essential to provision of utility services to the neighborhood, but excluding business offices, construction or storage yards, maintenance facilities, or corporation yards; (h) A second detached single-family dwelling unit; provided, that in addition to the site development regulations specified for the R-1 or R-1 special residential building site combining district, all the following conditions are met: (1) The minimum site area must be thirty-five percent larger than the minimum site area required in the respective R-1 or R-1 combining district. In the case of a flag lot, the lot must be thirty-five percent larger than the minimum flag lot size established by Section 21.20.300 for the respective R-I or R-1 combining district, (2) The second dwelling unit must be separated from the original dwelling unit and from any other accessory building by a minimum distance of 3.7 meters (twelve feet), (3) The second dwelling unit must be limited in size to nine hundred square feet of living area plus two hundred square feet of covered parking area, and shall be limited in height to one story and a maximum height C-29010904 s.~a 0090971 of 5.1817 meters (seventeen feet), as measured to the highest point of the building. The zoning administrator may allow the second dwelling unit to exceed the story and height restrictions, not to exceed the general site development restrictions of this chapter, where the first story of a two story structure is a garage or similar use, upon making the following findings in addition to the findings required under Chapter 18.90: (A) There are exceptional or extraordinary circumstances or conditions applicable to the property involved that do not apply generally to property in the R-I district that meets the minimum size requirements for a second dwelling unit; and (B) Approval of the additional height is desirable for the preservation of an existing architectural style or neighborhood character, which would not otherwise be accomplished through the strict application of the provisions of this chapter; and (C) Approval of the additional height will not be detrimental or injurious to property or improvements in the vicinity and will not be detrimental to the public health, safety, general welfare, or convenience. (4) The second dwelling shall have street access from a driveway in common with the main residence in order to prevent new curb cuts, excessive paving and elimination of street trees, (5) The second dwelling shall be architecturally compatible with the main residence, with respect to style, roof pitch, color and materials; and the additional parking shall be screened to off-site views by means of vegetation or fencing, (6) The second dwelling shall be designed so as to permit a minimum of two hundred square feet of usable open space for each dwelling unit; provided, however, such open space may be combined or separate, so long as a minimum of two hundred square feet is directly accessible from each unit; and provided, further, for the purposes of this section, usable open space shall not include any required front or street side yard; (i) Accessory buildings with more than two plumbing fixtures; provided, that the accessory building is not located in a required setback. 18.12.050 Site development regulations. The following site development regulations shall apply in the R-1 single-family residence district. Modifications of some regulations may be applicable if the R-1 single-family residence district is combined with the special building site combining district. More restrictive regulations may be recommended by the architectural review board and approved by the director ofplanningand community environment, pursuant to Chapter 16.48: (a)Site Area. The minimum site area shall be 557 square meters (six thousand square feet). (b)Site Width. The minimum site width shall be 18.3 meters (sixty feet). (c)Site Depth. The minimum site depth shall be 30.5 meters (one hundred feet). (d)Front Yard. The minimum front yard ("setback") shall be 6.1 meters (twenty feet). (e)Rear Yard. The minimum rear yard ("setback") shall be 6.1 meters (twenty feet). (f)Side Yards. The following side yard regulations shall apply: (1)The minimum interior side yard shall be 1.8 meters (six feet). (2)The minimum street side yard shall be 4.9 meters (sixteen feet). (g)Residential Density. Not more than one single-family dwelling shall be permitted on any site, except as allowed under 18.12.040(h). (h)Site coverage is regulated as follows: (1)The maximum building site coverage shall be thirty-five percent of the site area. (2)Covered patios and overhangs otherwise in compliance with all applicable laws may cover five percent of the site area in addition to the maximum site coverage of thirty-five percent prescribed in subdivision (I). (3) The covering of a court is exempt from the calculation of site coverage provided that the court existed prior to July 20, 1978. (i)Floor Area Ratio. The maximum allowable floor area ratio shall be as follows: (1)For lots five thousand square feet or less, the maximum floor area ratio shall be .45. (2)For lots in excess of five thousand square feet, the maximum floor area ratio shall be .45 for the first five thousand square feet and .30 for all square footage in excess of five thousand square feet. (3) Notwithstanding subsections (i)(1) and (2) the maximum allowable house size shall be six thousand square feet. (j)Height. (1)General. The maximum height shall be 9.14 meters (thirty feet) as measured to the peak of the roof. (2) Daylight Plane. No structures except those described in subsections (A), (B) and (C) of this subsection (2) shall extend beyond a daylight plane having a height of 3.05 meters (ten feet) at each side lot line and 010904 syn 0090971 C-30 an angle of forty-five degrees, nor beyond a daylight plane having a height of 4.88 meters (sixteen feet) atthe front or rear setback line and an angle of sixty degrees. (A)Television and radio antennas; chimneys and flues: (B)Dormers, roof decks, gables or similar architectural features; provided that the horizontal length of all such features shall not exceed a combined total of 4.57 meters (fifteen feet) on each side, nor shall the height of such features exceed 7.3 meters (twenty-four feet); (C) Cornices, eaves, and similar architectural features, excluding flat or continuous walls or enclosures of usable interior sphce, may extend into a required daylight plane a distance not exceeding 0.6 meters (two feet): Chimneys may extend into the required daylight plane a distance not to exceed the minimum allowed pursuant to Chapter 16.04 of this code. Upon request by the building official, any person building or making improvements to a structure shall’ provide a certification that the structure, as built, complies with the daylight plane provisions of this subsection (2). Such certification shall be prepared by a licensed engineer, architect or surveyor and shall be provided prior to frame inspection. (k) Accessory Facilities and Uses. Regulations governing accessory facilities and uses, and governing the application of site development regulations in specific instances, are established by Chapter 18.88 of this title. (1) Lighting. Recreational and security lighting shall be permitted only so long as the lighting is shielded so that the direct light does not extend beyond the property where it is located. From the effective date of the ordinance codified in this section, both recreational and security lighting, if free-standing, shall be restricted to twelve feet in height. (m) Garage Doors. For garages located within 15.24 meters (fifty feet) from a street frontage, on lots less than 22.86 meters (seventy-five feet) in width, the total combined width of garage doors which face the street at an angle of ninety degrees shall not exceed 6.1 meters (twenty feet). (n) Special Setbacks. Where applicable, setback lines imposed by a special setback map pursuant to Chapter 20.08 of this code shall be followed for the purpose of determining legal setback requirements. (o) Basements. Basements shall be permitted in areas that are not designated as special flood hazard areas, and may extend to, but not beyond, the building footprint. Basement area shall generally not be included in the calculation of gross floor area, except that basement area that is deemed to be habitable space shall be included as gross floor area unless the finished level of the first floor is no more than three feet above the grade around the perimeter of the building foundation. Excavated features shall not affect the measurement of the grade for the purposes of determining basement gross floor area, so long as such features meet the following provisions: (1) Excavated features along the perimeter of a basement, such as lightwells and stairwells, shall not affect the measurement of grade, provided that: (A)Such features shall not be located in the front of the building; (B)Such features shall not exceed .91 meters (three feet) in width; (C)The cumulative length of all such features shall not exceed 7.58 meters (twenty-five feet); (D)Such features shall not extend more than 0.6 meters (two feet) into a required side yard nor more than 1.2 meters (four feet) into a required rear yard; further, the cumulative length of any features or portions of features that extend into a required side or rear yard shall not exceed 4.6 meters (fifteen feet) in length; (E) Prior to issuance of a building permit, the owner shall provide satisfactory evidence to the planning division that any features or portions of features that extend into a required side or rear yard will not be harmful to any mature trees on the subject property or on abutting properties; (F) Such features shall either require installation of a drainage system that meets the requirements of the public works department, or shall be substantially sheltered from the rain by a roof overhang or canopy of a permanent nature. (2) Excavated areas along the perimeter of a basement, such as below grade patios and sunken gardens, that exceed the dimensions set forth in subsection (1) shall not affect the measurement of grade, provided that: (A)The excavated area shall not be located in the front of the building; (B)The excavated area shall not exceed a total of two hundred square feet, a substantial portion of which shall be terraced and landscaped; (C) The excavated area including that portion which is landscaped and!or terraced shall not extend more than 0.6 meters (two feet) into a required side yard nor more than 1.2 meters (four feet) into a required rear yard; further, the cumulative length of any excavated area or portion thereof that extends into a required side or rear yard shall not exceed 4.6 meters (fifteen feet) in length; C-31010904 syn 0090971 (D) Prior to issuance of a building permit, the owner shall provide satisfactory evidence to the planning division that the excavated area or portion thereof that extends into a required side or rear yard will not be harmful to any mature trees on the subject property or on abutting properties; (E) The excavated area shall either include a drainage system that meets the requirements of the public works department, or shall be substantially sheltered from the rain by a roof overhang or canopy of a permanent nature; (F) Any roof overhang or canopy installed pursuant to subsection (E) shall be within the site cover4.ge requirements of sub~ection (h); (G) The excavated area shall be architecturally compatible with the residence and shall be screened to off site views by means of landscaping and!or fencing, as determined appropriate by the zoning administrator. 18.12.055 Site development regulations for substandard lots. The following site development regulations shall apply to all new construction on substandard and flag lots within the R-1 single-family residencedistrict in lieu of comparable provisions in Section 18.12.050 above. (a) Substandard Lot Defined. For the purposes of this section, a substandard lot shall be a lot with a width of less than fifty feet or a depth of less than eighty-three feet and an area less than eighty-three percent of the minimum area required by the zoning of the parcel. (b)Flag Lot Defined. Flag lot shall be defined as set forth in Section 18.04.030 of this code. (c)Height. The maximum height shall be 5.1817 meters (seventeen feet) as measured to the peak of the roof. (d) Habitable Floor Limitations. There shall be a limit of one habitable floor. Habitable floors include lofts, mezzanines and similar areas but exclude basements. The chief building official shall make the final determination as to whether a floor is habitable. (e) Single-family homes on substandard lots and flag lots existing on the effective date of the ordinance codified in this section and which prior to that date were lawful, complying structures may remain as legal noncomplying structures, provided, however, that in the case of a conflict between the provisions of this section and the provisions of Chapter 18.94, this section shall control. Such structures may remain and may be remodeled, improved or replaced without complying with the site development regulations contained in this section so long as any such remodeling, improvement or replacement does not result in a height above 5.1817 meters (seventeen feet) or any additional habitable floor area above a first habitable floor, except that any structure damaged or destroyed by natural disaster (such as fire, flood or earthquake) may be replaced to its previous size without regard to the height and habitable floor limitations imposed by this section. (f) Nothing contained in this section shall affect or otherwise redefine the provisions of Section 18.88.050 as to the determination of whether a substandard lot may be used as a lot under this title. (Ord. 4081 § 9, 1992: Ord. 4016.§ 11, 1991: Ord. 3861 § 5, 1989: Ord. 3850 § 7, 1989: Ord. 3662 § 1, 1986) 18.12.060 Parking and loading. (a) Off-street parking and loading facilities shall be required for all permitted and conditional uses in accord with Chapter 18.83 of this title. All parking and loading facilities on any site, whether required as minimums or optionally provided in addition to minimum requirements, shall comply with the regulations and the design standards established by Chapter 18.83. (b) Minimum parking requirements for selected uses permitted in the R-I single-family residence district shall be as follows (see also Chapter 18.83): Single-Family Dwellings. The minimum parking requirement for each single-family dwelling shall be two spaces. A minimum of one space per single-family dwelling shall be covered. Tandem parking shall be allowed. (c) No required parking space shall be located in a required front yard, or in the first 3.0 meters (ten feet) adjoining the street line of a required street side yard. (d) Underground parking shall be prohibited for single-family uses, except pursuant to a variance granted in accordance with the provisions of Chapter 18.90 of this title, in which case the area of the underground garage shall be counted in determining the floor area ratio permitted pursuant to Section 18.12.050. 18.12.070 Special requirements. The following special requirements shall apply in the R-1 single-family district: (a) Professional and medical office uses (except product testing and analysis, and prototype development), existing on July 20, 1978 and which, prior to that date, were lawful conforming permitted uses or conditional uses operating subject to a conditional iase permit, or which uses were, prior to July 20, 1978 located in an R-1 district which was imposed by reason of annexation of the property to the city without benefit of prezoning and which, prior to the date of annexation, were lawful conforming permitted uses or conditional uses operating C-32010904 syn 0090971 subject to a conditional use permit, may remain as grandfathered uses and shall not be subject to the provisions of Chapter 18.94. (l) Such uses shall be permitted to remodel, improve, or replace site improvements for continual use and occupancy by the same use; provided, that any such remodeling, improvement or replacement shall not result in increased floor area, or number of offices, nor shall such remodeling, improvement or replacement result in shifting of building footprint or increased height, length, building envelope, or any other increase in the size of the improvement, or any increase in the existing degree of noncompliance, except through the granting of a design enhancement exceptlon, pursuant to Chapter 18.91. (2) Any such remodeling, improvement, or replacement of any building designed and constructed for residential use shall be subject to the issuance of a conditional use permit in accord with Chapter ! 8.90. (3) Ira use deemed grandfathered pursuant to this subsection (a) ceases and thereafter remains discontinued for twelve consecutive months, it shall be considered abandoned and may be replaced only by a conforming use. (4) A use deemed grandfathered pursuant to this subsection (a) which is changed to or replaced by a conforming use shall not be reestablished, and any portion of a site or any portion of a building, the use of which changes from a grandfathered use to a conforming use, shall not thereafter be used except to accommodate a conforming use. (5) In the event of redevelopment of all or a portion of the site for permitted residential uses, such professional and medical office uses may not be incorporated in the redevelopment, except that this provision shall not apply to permanent conversion to residential use of space within an existing structure now used for professional and medical office uses. (b) Two-family uses, except where one of the units is a legal nonconforming detached single-family dwelling, as described in subsection (c), and multiple-family uses existing on July 20, 1978 and whi(h, prior to that date, were lawful conforming permitted uses or conditional uses operating pursuant to a conditional use permit, or which uses were, prior to July 20, 1978, located in an R-1 district which was imposed by reason of annexation of the property to the city without benefit ofprezoning and which, prior to the date of annexation, were lawful conforming permitted uses or conditional uses operating subject to a conditional use permit, may remain as grandfathered uses and shall not be subject to the provisions of Chapter 18.94. Such uses shall be permitted, to remodel, improve, or replace site improvements on the same site for continual use and occupancy by the same use; provided, that any such remodeling, improvement or replacement shall not result in increased floor area or number of dwelling units, nor shall such remodeling, improvement or replacement result in shifting of building footprint or increased height, length, building envelope, or any other increase in the size of the improvement, or any increase in the existing degree of noncompliance, except through the granting of a design enhancement exception pursuant to Chapter 18.91, with respect to multiple-family uses, or a home improvement exception, pursuant to Chapter 18.90, with respect to two-family uses. Ira use deemed grandfathered pursuant to this subsection (b) ceases and thereafter remains discontinued for twelve consecutive months, it shall be considered abandoned and may be replaced only by a conforming use. A use deemed grandfathered pursuant to this subsection (b) which is changed to or replaced by a conforming use shall not be reestablished, and any portion of a site or any portion of a building, the use of which changes from a grandfathered use to a conforming use, shall not thereafter be used except to accommodate a conforming use. (c) Notwithstanding any provisions of Chapters 18.88 and/or 18.94, in the case of a legal and nonconforming second detached single-family dwelling existing prior to July 20, 1978 on a lot, such nonconforming use shall be permitted to remodel, improve, or replace site improvements on the same site without necessity to comply with site development regulations; provided, that any such remodeling, improvement or replacement shall not result in increased floor area, number of dwelling units, height, length, or any other increase in the size of the improvement. 18.12.080 Permitted yard encroachments. (a)Horizontal Additions. Where a single-family dwelling legally constructed according to existing yard and setback regulations at the time of construction encroaches upon present required yards, one encroaching side of the existing structure may be extended in accord with this section. Only one such extension shall be permitted for a life of such building. This section shall not be construed to allow the further extension of an encroachment by any building which is the result of the granting of a variance, either before or after such property became part of the city. (1) Front Yard. In cases where the existing setback is less than 6.1 meters (twenty feet) but at least 4.3 meters (fourteen feet), the existing encroachment may be extended for a distance of not more than one hundred C-33 010904 syn 0090971 percent of the length of wall to be extended; provided, that the total length of the existing encroaching wall and the additional wall shall together not exceed one-half the maximum existing width of such building. (2) Interior Side Yard. In cases where the existing setback is less than 2.5 meters (eight feet) but at least 1.5 meters (five feet), an existing encroachment may be extended not more than one hundred percent of the length of the existing encroachment, but not to exceed 6.1 additional meters (twenty additional feet). (3) Street Side Yard. In cases where the existing side yard setback is less than 4.9 meters (sixteen feet) but at least 3.0 meters (ten feet), an existing encroachment may be extended for not more than one hundred percent of the length of the encroaching wall to be extended, but not to exceed 6.1 meters (twenty feet).(b) Subsection (a) of this section notwithstanding, an addition shall not be permitted to encroach into a special setback, as established by the setback map pursuant to Chapter 20.08 of the Palo Alto Municipal Code. 18.12.090 Reserved.* *Editor’s Note: Former Section 18.12.090, Exceptions to site development regulations for home improvements and minor additions, previously codified herein and containing portions of Ordinance No. 3905 was repealed in its entirety by Ordinance No. 4081. Chapter 18.17 R-2 TWO FAMILY RESIDENCE DISTRICT REGULATIONS Sections: 18.17.010 18.17.020 18.17.030 18.17.040 18.17.050 18.17.055 18.17.060 18.17.070 18.17.080 18.17.090 18.17.010 Specific purposes. Applicability of regulations. Permitted uses. Conditional uses. Site development regulations. Site development regulations for substandard lots. Parking and loading. Special requirements. Permitted yard encroachments. Reserved. Specific purposes. The R-2 two-family residence district is intended to allow a second dwelling unit under the same ownership as the initial dwelling unit on appropriate sites in areas designated for single-family use by the Palo Alto Comprehensive Plan, under regulations that preserve the essential character of single-family use. 18.17.020 Applicability of regulations. The specific regulations of this chapter and the additional regulations and procedures established by Chapters 18.83 to 18.99, inclusive, apply to all R-2 two-family residence districts. 18.17.030 The (a) (b) (c) (d) (e) (f) (g) (h) (i) Permitted uses. following uses shall be permitted in the R-2 two-family residence district: Accessory facilities and uses customarily incidental to permitted uses; Home occupations when accessory to permitted residential use; Horticulture, gardening; and growing of food products for consumption by occupants of the site; Single-family use; Two-family use. under one ownership; Residential care homes; Mobile homes (manufactured housing) on permanent foundations; Small and large family day care homes; Small adult day care homes. 18.17.040 Conditional uses. The following uses may be conditionally allowed in the R-2 two-family residence district, subject to issuance of a conditional use permit in accord with Chapter 18.90: (a)Churches and religious institutions; (b)Community centers; (c)Day care centers and large adult day care homes; C-34 010904 syn 0090971 (d)Outdoor recreation services; (e)Private educational facilities; (f)Temporary uses, subject to regulations established by Chapter 18.90; (g)Utility facilities essential to provision of utility services to the neighborhood, but excluding business offices, construction or storage yards, maintenance facilities, or corporation yards. 18.17.050 Site development regulations. The following site development regulations shall apply in the R-2 two-family residence district; provided, that more restrictive regulations may be recommended by the architectural review board and approved by the director of planning and community environment, pursuant to Chapter 16.48: Site Area. The minimum site area shall be five hundred fifty-seven square meters (six thousand(a) square feet). (b) (c) (d) (e) Site Width. The minimum site width shall be 18.3 meters (sixty feet). Site Depth. The minimum site depth shall be 30.5 meters (one hundred feet). Front Yard. The minimum front yard ("setback") shall be 6.1 meters (twenty feet). Rear Yard. The minimum rear yard ("setback") shall be 6.1 meters (twenty feet). (f)Side Yards. The following side yard regulations shall apply: (1)The minimum interior side yard shall be 1.8 meters (six feet). (2)The minimum street side yard shall be 4.9 meters (sixteen feet). (g)Residential Density. Not more than one single-family dwelling shall be permitted on a site of less than six hundred ninety-seven square meters (seven thousand five hundred square feet). Not more than two dwelling units shall be permitted on a site of six hundred ninety-seven square meters (seven thousand five hundred square feet) or greater. (h)Site Coverage. The following regulations shall apply: (1)The maximum building site coverage shall be thirty-five percent of the site area. (2)Covered patios and overhangs otherwise in compliance with all applicable laws may cover five percent of the site area in addition to the maximum site coverage of thirty-five percent prescribed in subdivision (1). (i)Height. (1)General. The maximum height shall be 9.14 meters (thirty feet) as measured to the peak of the roof. (2) Daylight Plane. No structures except those described in subdivisions (i), (ii) and (iii) of this subsection (i)(2) shall extend beyond a daylight plane having a height of 3.05 meters (ten feet) at each side lot line and an angle of forty-five degrees, nor beyond a daylight plane having a height of 4.88 meters (sixteen feet) at the front or rear setback line and an angle of sixty degrees. (i)Televisions and radio antennas; chimneys and flues; (ii)Dormers, roof dec "ks, gables or similar architectural features; provided that the horizontal length of all such features shall not exceed a combined total of 4.57 meters (fifteen feet) on each side, nor shall the height of such features exceed 7.32 meters (twenty-four feet); (iii) Cornices, eaves, and similar architectural features, excluding flat or continuous walls or enclosures of usable interior space, may extend into a required daylight plane a distance not exceeding 0.6 meters (two feet). Chimneys may extend into the required daylight plane a distance not to exceed the minimum allowed pursuant to Chapter 16.04 of this code. Upon request of the building official, any person building or making improvements to a structure shall provide a certification that the structure, as built, complies with the daylight provisions of this subsection (i)(2). Such certification shall be prepared by a licensed engineer, architect or surveyor and shall be provided prior to frame inspection. (j) Accessory Facilities and Uses. Regulations governing accessory facilities and uses and governing the application of site development regulations in specific instances, are established by Chapter 18.88. (k)Floor Area Ratio. The maximum allowable floor area ratio shall be as follows: (l)For lots five thousand square feet or less, the maximum floor area ratio shall be .45. (2)For lots in excess of five thousand square feet, the maximum floor area ratio shall be .45 for the first five thousand square feet and .30 for all square footage in excess of five thousand square feet, except as provided in subsection (n). (3) Notwithstanding subsections (k)(1) and (k)(2), the maximum allowable house size shall be six thousand square feet. C-35010904 syn 0090971 (1) Lighting. Recreational and security lighting shall be permitted only so long as the lighting is shielded so that the direct light does not extend beyond the property where it is located. Both recreational and securit3’ lighting, if freestanding, shall be restricted to twelve feet in height. (m) Garage Doors. For garages located within 15.24 meters (fifty feet) from a street frontage, on lots less than 22.86 meters (seventy-five feet) in width, the total combined width of garage doors which face the street at an angle of less than ninety degrees shall not exceed 6.1 meters (twenty feet). (n) Exemption from Floor Area Limitations for Purposes of Providing Additional Covered Parking Area Required for Two-Family Uses. For two-family uses, floor area limits may be exceeded by a maximum oft~vo hundred square feet, for purposes of providing one required covered parking space. (o) Special Setbacks. Where applicable, setback lines imposed by a special setback map pursuant to Chapter 20.08 of this code shall be followed for the purpose of determining legal setback requirements. (p) Basements. Basements shall be permitted in areas that are not designated as special flood hazard areas, and may extend to, but not beyond, the building footprint. Basement area shall generally not be included in the calculation of gross floor area, except that basement area that is deemed to be habitable space shall be included as gross floor area unless the finished level of the first floor is no more than three feet above the grade around the perimeter of the building foundation. Excavated features shall not affect the measurement of the grade for the purposes of determining basement gross floor area, so long as such features meet the following provisions: (1) Excavated features along the perimeter of a basement, such as lightwells and stairwells, shall not affect the measurement of grade, provided that: (A)Such features shall not be located in the front of the building; (B)Such features shall not exceed .91 meters (three feet) in width; (C)The cumulative length of all such features shall not exceed 7.58 meters (twenty-five feet); (D)Such features shall not extend more than 0.6 meters (two feet) into a required sidb yard nor more than 1.2 meters (four feet) into a required rear yard; further, the cumulative length of any features or portions of features that extend into a required side or rear yard shall not exceed 4.6 meters (fifteen feet) in length; (E) Prior to issuance of a building permit, the owner shall provide satisfactory evidence to the planning division that any features or portions of features that extend into a required side or rear yard will not be harmful to any mature trees on the subject property or on abutting properties; (F) Such features shall either require installation of a drainage system that meets the requirements of the public works department, or shall be substantially sheltered from the rain by a roof overhang or canopy of a permanent nature. (2) Excavated areas along the perimeter of a basement, such as below grade patios and sunken gardens, that exceed the dimensions set forth in subsection (1) shall not affect the measurement of grade, provided that: (A)The excavated area shall not be located in the front of the building: (B)The excavated area shall not exceed a total of two hundred square feet, a substantial portion of which shall be terraced and landscaped; (C) The excavated area including that portion which is landscaped and/or terraced shall not extend more than 0:6 meters (two feet) into a required side yard nor more than 1.2 meters (four feet) into a required rear yard; further the cumulative length of any excavated area or portion thereof that extends into a required side or rear yard shall not exceed 4.6 meters (fifteen feet) in length; (D) Prior to issuance of a building permit, the owner shall provide satisfactory evidence to the planning division that the excavated area or portion thereof that extends into a required side or rear yard will not be harmful to any mature trees on the subject property or on abutting properties; (E) The excavated area shall either include a drainage system that meets the requirements of the public works department, or shall be substantially sheltered from the rain by a roof overhang or canopy of a permanent nature; (F) Any roofoverhangor canopy installed pursuant to subsection (E) shall be within the site coverage requirements of subsection (h); (G) The excavated area shall be architecturally compatible with the residence and shall be screened to off site views by means of landscaping and/or fencing, as determined appropriate by the zoning administrator. 18.17.055 Site development regulations for substandard lots. The following site development regulations shall apply to all new construction on substandard and flag lots within the R-2 single-family and two-family residence district in lieu of comparable provisions in Sections 18. ! 7.050 above. C-36010904 syn 0090971 (a) Substandard Lot Defined. For the purposes of this section, a substandard lot shall be a lot with a width of less than fifty feet or a depth of less than eighty-three feet and an area less than eighty-three percent of the minimum area required by the zoning of the parcel. (b)Flag Lot Defined. Flag lot shall be defined as set forth in Section 18.40.030 of this code. (c)Height. The maximum height shall be 5.1817 meters (seventeen feet), as measured to the peak of the roof. (d) Habitable Floor Limitations. There shall be a limit of one habitable floor. Habitable floors include lofts, mezzanines arid similar area but exclude basements. The chief building official shall make the final determination as to whether a floor is habitable. (e) Single-family and two-family homes on substandard lots and flag lots existing on August 1, 1991 and which prior to that date were lawful, complying structures, provided, however, that in the case of a conflict between the provisions of this section and the provisions of Chapter 18.94, this section shall control. Such structures may remain and may be remodeled, improved or replaced without complying with the site development regulations contained in this section so long as any such remodeling, improvement or replacement does not result in a height above 5.1817 meters (seventeen feet) or any additional habitable floor area above a first habitable floor, except that any structure damaged or destroyed by natural disaster (such as fire, flood or earthquake) may be replaced to its previous size without regard to the height and habitable floor limitations imposed by this section. (f) Nothing contained in this section shall affect or otherwise redefine the provisions of Section 18.88.050 as to the determination of whether a substandard lot may be used as a lot under this title. 18.17.060 Parking and loading: (a)Off-street parking and loading facilities shall be required for all permitted and conditional uses in accord with Chapter 18.83. All parking and loading facilities on any site, whether required as minimums or optionally provided in addition to minimum requirements, shall comply with the regulations and the design standards established by Chapter 18.83. (b) Minimum parking requirements for selected uses permitted in the R-2 two-family residence district shall be as follows (see also Chapter 18.83): (1) Single-Family Use. The minimum parking requirement for a site with one dwelling unit shall be two spaces. A minimum of one space shall be covered. (2) Two-Family Use. The minimum parking requirement for a site with two dwelling units shall be 1.5 spaces per dwelling unit. A minimum of one space per unit shall be covered. (c) Location of Parking Spaces. No required parking space shall be located in a required front yard, or in the first 3.0 meters (ten feet) adjoining the street property line of a required street side yard. 18.17.070 Special requirements. The following special requirements shall apply in the R-2 two-family residential district: (a) Professional and medical office uses (except product testing and analysis, and prototype development), existing on July 20, 1978, and which, prior to that date, were lawful conforming permitted uses or conditional uses operating subject to a conditional use permit, or which uses were, prior to July 20, 1978, located in an R-2 district which was imposed by reason of annexation of the property to the city without benefit ofprezoning and which, prior to the date of annexation, were lawful conforming permitted uses or conditional uses operating subject to a conditional use permit, may remain as grandfathered uses and shall not be subject to the provisions of Chapter 18.94. (1) Such uses shall be permitted to remodel, improve, or replace site improvements for continual use and occupancy by the same use; provided, that any such remodeling, improvement or replacement shall not result in increased floor area or number of offices, nor shall such remodeling, improvement or replacement result in shifting of building footprint or increased heigjat, len~h, building envelope, or any other increase in the size of the improvement, or any increase in the existing degree of noncompliance, except through the granting of a design enhancement exception, pursuant to Chapter 18.91. (2) Any such remodeling, improvement, or replacement of any building designed and constructed for residential use shall be subject to the issuance of a conditional use permit in accord with Chapter 18.90. (3) If a use deemed grandfathered pursuant to this subsection (a) ceases and thereafter remains discontinued for twelve consecutive months, it shall be considered abandoned and may be replaced only by a conforming use. (4) A use deemed grandfathered pursuant to this subsection (a) which is changed to or replaced by a conforming use shall not be reestablished, and any portion of a site or any portion of a building, the use of which 010904 syn 0090971 C-37 changes from a grandfathered use to a conforming use, shall not thereafter be used except to accommodate a conforming use. (5) In the event of redevelopment of all or a portion of the site for permitted residential uses, such professional and medical office uses may not be incorporated in the redevelopment, except that this provision shall not apply to permanent conversion to residential use of space within an existing structure now used for professional and medical office uses. (b) Two-family uses, except where one of the units is a legal nonconforming detached single-family dwelling, as descril~ed in subsection (c), and multiple-family uses existing on July 20, 1978, and which, prior to that date, were lawful conforming permitted uses or conditional uses operating pursuant to a conditional use permit, or which uses were, prior to July 20, 1978, located in an R-2 district which was imposed by reason of annexation of the property to the city without benefit ofprezoning and which, prior to the date of annexation, were lawful conforming permitted uses or conditional uses operating subject to a conditional use permit, may remain as grandfathered uses and shall not be subject to the provisions of Chapter 18.94. Such uses shall be permitted to remodel, improve, or replace site improvements on the same site for continual use and occupancy by the same use; provided, that any such remodeling, improvement, or replacement shall not result in increased floor area or number of dwelling units, nor shall such remodeling, improvement or replacement result in shiftingofbuilding footprint or increased height, length, building envelope, or any other increase in the size of the improvement, or any increase in the existing degree of noncompliance, except through the granting of a design enhancement exception pursuant to Chapter 18.91, with respect to multiple-family uses, or a home improvement exception, pursuant to Chapter 18.90, with respect to two-family uses. Ifa use deemed grandfathered pursuant to the provisions of this subsection (b) ceases and thereafter remains discontinued for twelve consecutive months, it shall be considered abandoned and may be replaced only by a conforming use. A use deemed grandfathered pursuant to the provisions of this subsection (b) which is changed to or replaced by a conforming use shall not be reestablished, and any portion of a site or any portion of a building, the use of which changes from a grandfathered use to a conforming use, shall not thereafter be used except to accommodate a conforming use. (c) Notwithstanding any provisions of Chapters 18.88 and!or 18.94, in the case of a legal and nonconforming second detached single-family dwelling existing prior to July 20, 1978 on a substandard size lot, such nonconforming use shall be permitted to remodel, improve, or replace site improvements on the same site for continual use and occupancy by the same use, without necessity to comply with site development regulations; provided, that any such remodeling, improvement or replacement shall not result in increased floor area, number of dwelling units, height, length, or any other increase in the size of the improvement. 18.17.080 Permitted yard encroachments. (a)Horizontal Additions. Where a single-family or two-family dwelling legally constructed according to existing yard and setback regulations at the time of construction encroaches upon present required yards, one encroaching side of the existing structure may be extended in accord with this section. Only one such extension shall be permitted for a life of such building. This section shall not be construed to allow the further extension of an encroachment by any building which is the result of the granting of a variance, either before or after such property became part of the city. (1) Front Yard. In cases where the existing setback is less than 6. I meters (twenty feet) but at least 4.3 meters (fourteen feet), the existing encroachment may be extended for a distance of not more than one hundred percent of the length of wall to be extended; provided, that the total length of the existing encroaching wall and the additional wall shall together not exceed one-half the maximum existing width of such building. (2) Interior Side Yard. In cases where the existing setback is less than 2.5 meters (eight feet) but at least 1.5 meters (five feet), an existing encroachment may be extended not more than one hundred percent of the length of the existing encroachment, but not to exceed 6.1 additional meters (twenty additional feet). (3) Street Side Yard. In cases where the existing side yard setback is less than 4.9 meters (sixteen feet) but at least 3.0 meters (ten feet), an existing encroachment may be extended for not more than one hundred percent of the length of the encroaching wall to be extended, but not to exceed 6.1 meters (twenty feet). (b) Subsection (a) of this section notwithstanding, an addition shall not be permitted to encroach into a special setback, as established by the setback map pursuant to Chapter 20.08 of the Palo Alto. Municipal Code. 18.17.090 Reserved.* *Editor’s Note: Former Section 18.17.090, Exceptions to site development regulations for home improvements and minor additions, previously codified herein and containing portions of Ordinance No. 4043 was repealed in its entirety by Ordinance No. 4081. 010904 s.xa3 009097i C-38 Chapter 18.19 RMD TWO UNIT MULTIPLE-FAMILY RESIDENCE DISTRICT Sections: 18.19.010 18.19.020 18.19.030 18.19.040 18.19.050 18.19.060 18.19.070 18.19.080 18.19.090 18.19.010 Specific purposes. Applicability of regulations. Permitted uses. Conditional uses. Site development regulations. Parking and loading. Special requirements. Permitted yard encroachments. Reserved. Specific purposes. The RMD two unit multiple-family residence district is intended to allow a second dwelling unit under the same ownership as the initial dwelling unit on appropriate sites in areas designated for multiple-family use by the Palo Alto Comprehensive Plan. The RMD district is intended to minimize incentives to replace existing single- family dwellings, maintain existing neighborhood character and increase the variety of housing opportunities available within the community. Maximum density would be forty-three dwelling units per hectare (seventeen dwelling units per acre). 18.19.020 Applicability of regulations. The specific regulations of this chapter and the additional regulations and procedures established by Chapters 18.83 to 18.99, inclusive, shall apply to all RMD two unit multiple-family residence districts. 18.19.030 Permitted uses. The following uses shall be permitted in the RMD two unit multiple-family residence district: (a) (b) (c) (d) (e) (f)(g) (h) (0 Accessory facilities and uses customarily incidental to permitted uses: Home occupations, when accessory to permitted residential use; Horticulture, gardening, and growing of food products for consumption by occupants of the site; Lodging; Single-family uses: Two-Family uses, under one ownership; Residential care homes; Mobile homes (manufactured housing) on permanent foundations. See Section 18.88.140: Small and large family day care homes. 18.19.040 Conditional uses. The following uses may be conditionally allowed in the RMD two unit multiple-family residence district, subject to issuance of a conditional use permit in accord with Chapter 18.90: (a) (b) (c) (d) (e) (f) (g) business Churches and religious institutions; Community centers; Day care centers and large adult day care homes; Neighborhood recreational centers; Private educational facilities; Temporary uses, subject to regulations established by Chapter 18.90; Utility facilities essential to provision of utility services to the neighborhood, but excluding offices, construction or storage yards, maintenance facilities, or corporation yards. t 8.19.050 Site development regulations. The following site development regulations shall apply in the RMD two unit multiple-family residence district: (a) (b) (c) (d) (e) Site Area. The minimum site area shall be 464.5 square meters (five thousand square feet). Site Width. The minimum site width shall be 15.2 meters (fifty feet). Site Depth. The minimum site depth shall be 30.5 meters (one hundred feet). Front Yard. The minimum front yard ("setback") shall be 6.1 meters (twenty feet). Rear Yard. The minimum rear yard ("setback") shall be 6.1 meters (twenty feet). C-39010904 syn 0090971 (f)Side Yards. The following side yard regulations shall apply. (1)The minimum interior side yard shall be 1.8 meters (six feet). (2)The minimum street side yard shall be 4.9 meters (sixteen feet). (g)Residential Density. Not more than one single-family dwelling shall be permitted on a site of less than 464.5 square meters (five thousand square feet). Not more than two dwelling units shall be permitted on a site of 464.5 square meters (five thousand square feet) or greater. (h)Site Coverage. The maximum site coverage shall be fort3, percent of the site area. (i)Height. The maximum height shall be 10.7 meters (thirty-five feet); however, no structure except television and radio antennas and chimneys and flues shall extend above or beyond a daylight plane having a height of 4.6 meters (fifteen feet) at each side or rear site line and an angle of forty-five degrees. (j) Usable Open Space. Not less than 41.8 square meters (four hundred fifty square feet) of usable open space per each dwelling unit shall be provided on the site. (k) Accessory Facilities and Uses. Regulations governing accessory facilities and uses and governing the application of site development regulations in specific instances, are established by Chapter 18.88. (1)Floor Area Ratio. The maximum allowable floor area ratio shall be .50. (m)Exemption from Floor Area Limitations for Purposes of Providing Additional Covered Parking Area Required for Two-Family Uses. For two-family uses, floor area limits may be exceeded by a maximum of two hundred square feet, for purposes of providing one required covered parking space.. (n) Special Setbacks. Where applicable, setback lines imposed by a special setback map pursuant to Chapter 20.08 of this code shall be followed for the purpose of determining legal setback requirements. (o) Basements. Basements shall be permitted in areas that are not designated as special flood hazard areas, and may extend to, but not beyond, the building footprint. Basement area shall generally not be included in the calculation of gross floor area. except that basement area that is deemed to be habitable space shall be included as gross floor area unless the finished level of the first floor is no more than three feet above the grade around the perimeter of the building foundation. Excavated features shall not affect the measurement of the grade for the purposes of determining basement gross floor area, so long as such features meet the following provisions: (1) Excavated features along the perimeter of a basement, such as lightwells and stairwells, shall not affect the measurement of grade, provided that: (A)Such features shall not be located in the front of the building; (B)Such features shall not exceed .91 meters (three feet) in width; (C)The cumulative length of all such features shall not exceed 7.58 meters (twenty-five) feet; (D)Such features shall not extend more than 0.6 meters (two feet) into a required side yard nor more than 1.2 meters (four feet) into a required rear yard; further, the cumulative length of any features or portions of features that extend into a required side or rear yard shall not exceed 4.6 meters (fifteen feet) in length; (E) Prior to issuance of a building permit, the owner shall provide satisfactory evidence to the planning division that any features or portions of features that extend into a required side or rear yard will not be harmful to any mature trees on the subject property or on abutting properties; (F) Such features shall either require installation of a drainage system that meets the requirements of the public works department, or shall be substantially sheltered from the rain by a roof overhang or canopy of a permanent nature. (2) Excavated areas along the perimeter of a basement, such as below grade patios and sunken gardens, that exceed the dimensions set forth in subsection (I) shall not affect the measurement of grade, provided that: (A)The excavated area shall not be located in the front of the building; (B)The excavated area shall not exceed a total of two hundred square feet, a substantial portion of which shall be terraced and landscaped; (C) The excavated area including that portion which is landscaped and/or terraced shall not extend more than 0.6 meters (two feet) into a required side yard nor more than 1.2 meters (four feet) into a required rear yard; further the cumulative length of any excavated area or portion thereof that extends into a required side or rear yard shall not exceed 4.6 meters (fifteen feet) in length; (D) Prior to issuance of a building permit, the owner shall provide satisfactory evidence to the planning division that the excavated area or portion thereof that extends into a required side or rear yard will not be harmful to any mature trees on the subject property or on abutting properties; (E) The excavated area shall either include a drainage system that meets the requirements of the public works department, or shall be substantially sheltered from the rain by a roof overhang or canopy of a permanent nature; 010904 syn 0090971 C-40 (F) Any roof overhang or canopy installed pursuant to subsection (E) shall be within the site coverage requirements of subsection (h); (G) The excavated area shall be architecturally compatible with the residence and shall be screened to off site views by means of landscaping and/or fencing, as determined appropriate by the zoning administrator. 18.19.060 Parking and loading. (a)Off-street parking and loading facilities shall be required for all permitted and conditional uses.in accord with Chaptei" 18.83. All parking and loading facilities on any site, whether required as minimums or optionally provided in addition to minimum requirements, shall comply with the regulations and design standards established by Chapter 18.83. (b) Minimum parking requirements for selected uses permitted in the RMD two unit multiple-family residence district shall be as follows (see also Chapter 18.83): (1) Single-Family Use. The minimum parking requirement for a site with one dwelling unit shall be two spaces. A minimum of one space shall be covered. (2) Two-Family Use. The minimum parking requirement for a site with two dwelling units shall be 1.5 spaces per dwelling unit. A minimum of one space per unit shall be covered. (3) Lodging. The minimum requirement shall be one space for each lodging unit, in addition to any applicable requirement based on single-family use, two-family use or multiple-family use on the same site.(c) Location of Parking Spaces. No required parking space shall be located in a required front yard or in the first 3.0 meters (ten feet) adjoining the street property line of a required street side yard. 18.19.070 Special requirements. The following special requirements shall apply in the RMD two unit multiple-family residence district: (a) Professional and medical office uses (except product testing and analysis, and prototype development), existing on July 20, 1978, and which, prior to that date, were lawful conforming permitted uses or conditional uses operating subject to a conditional use permit, may remain and shall not be subject to the provisions of Chapter 18.94. (1) Such uses shall be permitted to remodel, improve, or replace site improvements on the same site for continual use and occupancy by the same use; provided, that any such remodeling, improvement or replacement shall not result in increased floor area or number of offices, nor shall such remodeling, improvement or replacement result in shifting of building footprint or increased height, length, building envelope, or any other increase in the size of the improvement, or any increase in the existing degree of noncompliance, except through the granting of a design enhancement exception, pursuant to Chapter 18.91. (2) Any such remodeling, improvement, or replacement of any building designed and constructed for residential use shall be subject to the issuance of a conditional use permit in accord with Chapter 18.90. (3) lfa use deemed grandfathered pursuant to this subsection (a) ceases and thereafter remains discontinued for twelve consecutive months, it shall be considered abandoned and may be replaced only by a conforming use. (4) A use deemed grandfathered pursuant to this subsection (a) which is changed to or replaced by a conforming use shall not be reestablished, and any portion of a site or any portion of a building, the use of which changes from a grandfathered use to a conforming use, shall not thereafter be used except to accommodate a conforming use. (5) In the event of redevelopment of all or a portion of the site for permitted residential uses, such professional and medical office uses may not be incorporated in the redevelopment, except that this provision shall not apply to permanent conversion to residential use of space within an existing structure now used for professional and medical office uses. (b) Multiple-family uses existing on July 20, 1978, and which, prior to that date, were lawful conforming permitted uses or conditional uses operating pursuant to a conditional use permit may remain as grandfathered uses and shall not be subject to the provisions of Chapter 18.94. Such uses shall be permitted to remodel, improve, or replace site improvements on the same site for continual use and occupancy by the s~me use; provided, that any such remodeling, improvement or replacement shall not result in increased floor area or number of dwelling units, nor shall such remodeling, improvement or replacement result in shifting of building footprint or increased height, length, building envelope, or any other increase in the size of the improvement, or any increase in the existing degree of noncompliance, except through the granting of a design enhancement exception, pursuant to Chapter 18.91. lfa use deemed grandfathered pursuhnt to this subsection (b) ceases and thereafter remains discontinued for twelve consecutive months, it shall be considered abandoned and may be replaced only by a conforming use. A use deemed grandfathered pursuant to this subsection (b) which is changed or replaced by a 010904 syn 0090971 C-.41 conforming use shall not be reestablished, and any portion of a site or any portion of a building, the use of which changes from a grandfathered use to a conforming use, shall not thereafter be used except to accommodate a conforming use. 18.19.080 Permitted yard encroachments. (a)Horizontal Additions. Where a single-family or two-family dwelling legally constructed according to existing yard and setback regulations at the time of construction encroaches upon present required yards, one encroaching side ofihe existing structure may be extended in accord with this section. Only one such extension slaall be permitted for a life of such building. This section shall not be construed to allow the further extension of an encroachment by any building which is the result of the granting of a variance, either before or after such property became part of the city. (1) Front Yard. In cases where the existing setback is less than 6.1 meters (twenty feet) but at least 4.3 meters (fourteen feet), the existing encroachment may be extended for a distance of not more than one hundred percent of the length of wall to be extended; provided, that the total length of the existing encroaching wall and the additional wall shall together not exceed one-half the maximum existing width of such building. (2) Interior Side Yard. In cases where the existing setback is less than 2.5 meters (eight feet) but at least 1.5 meters (five feet), an existing encroachment may be extended not more than one hundred percent of the length of the existing encroachment, but not to exceed 6.1 additional meters (twenty additional feet). (3) Street Side Yard. In cases where the existing side yard setback is less than 4.9 meters (sixteen feet) but at least 3.0 meters (ten feet), an existing encroachment may be extended for not more than one hundred percent of the length of the encroaching wall to be extended, but not to exceed 6.1 meters (twenty feet). (b) Subsection (a) of this section notwithstanding, an addition shall not be permitted to encroach into a special setback, as established by the setback map pursuant to Chapter 20.08 of the Palo Alto Municipal Code. 18.19.090 Reserved.* *Editor’s Note: Former Section 18.19.090, Exceptions to site development regulations for home improvements and minor additions, previously codified herein and containing portions of Ordinance No. 4043 was repealed in its entirety by Ordinance No. 408 I. Chapter 18.22 RM-15 LOW DENSITY MULTIPLE-FAMILY RESIDENCE DISTRICT REGULATIONS Sections: 18.22.010 18.22.020 8.22.030 8.22.040 8.22.050 8.22.060 8.22.070 8.22.080 8.22.090 18.22.100 18.22.010 Specific purposes. Applicability of regulations. Permitted uses. Conditional uses. Site development regulations. Residential density. Parking and loading. Below market rate (BMR) units. Special requirements. Recycling storage. Specific purposes. The RM-15 low density multiple-family residence district is intended to create, preserve and enhance areas for a mixture of single-family and multiple-family housing which is compatible with lower density’ and residential districts nearby, including single-family residence districts. The RM-15 residence district also serves as a transition to moderate density multiple-family districts or districts with nonresidential uses. Permitted densities in the RM-15 residence district range from six to fifteen dwelling units per acre. 18.22.020 Applicability of regulations. The specific regulations of this chapter and the additional regulations and procedures established by Chapters 18.83 to 18.99, inclusive, shall apply to all RM-I 5 low density multiple-family residence districts. 18.22.030 Permitted uses. The following uses shall be permitted in the RM-I 5 low density multiple-family residence district: (a)Single-family, two-family and multiple-family uses; C-42 010904 syn 0090971 (b) (c) (d) (e) (f) (g) (h) O) Mobile homes on permanent foundations and other manufactured housing (see Section 18.88.140); Accessory facilities and uses customarily incidental to permitted uses; Home occupations, when accessory to permitted residential uses; Horticulture, gardening and growing of food products for consumption by occupants of a site; Residential care homes; Small and large family day care homes; Small adult day care homes; L6dging. 18.22.040 Conditional uses. The following uses may be conditionally allowed in the RM-15 low density multiple-family residence district, subject to issuance of a conditional use permit in accord with Chapter 18.90: (a) (b) (c) (d) (e) (f)(g) business offices, Churches and religious institutions; Community centers; Day care centers and large adult day care homes; Neighborhood recreational centers; Private educational facilities; Temporary uses, subject to regulations established by Chapter 18.90; Utility facilities essential to provision of utility services to the neighborhood, but excluding construction or storage yards, maintenance facilities or corporation yards. 18.22.050 Site development regulations. The following site development regulations shall apply in the RM-15 low density multiple£family residence district; provided that more restrictive regulations may be recommended by the architectural review board and approved by the director of planning and community environment, pursuant to the regulations set forth in Chapter 16.48 and the multiple-family residential guidelines set forth in Chapter 18.28: (a)Site Area. The minimum site area shall be eight thousand five hundred square feet. (b)Site Width. The minimum site width shall be seventy feet. (c)Site Depth. The minimum site depth shall be one hundred feet. (d)Front Yard. The minimum front yard ("setback") shall be twenty feet. (e)Side and Rear Yards. The following side and rear yard regulations shall apply: (1)The minimum interior side and rear yards for a single-story structure shall be ten feet. (2)The minimum interior side and rear yards for a structure over one story shall be ten feet for the first story of the structure, and shall be one-half of the actual height of the structure, but not less than ten feet, for the portion of the structure over one story. (3)The minimum side and rear yards which are adjacent to a street shall be sixteen feet. (4)The minimum side and rear yards for a structure over one story adjacent to any single-family zone (including R-I, R-2 and RMD zones) shall be ten feet for the first story of the structure and shall be twenty feet for the portion of the structure over one story. (f) Arterial Street Setback. A building on property adjacent to an arterial street, as designated in the Palo Alto Comprehensive Plan (other than an arterial street in the CD district) shall be set back a minimum of twenty-five feet from the property line. (g) Height and Daylight Plane. The maximum height shall be two stories, not to exceed thirty feet. For the purposes of this chapter, height means the vertical distance above grade to the highest point of the coping of a flat roof, or to the deck line of a mansard roof, or to the average height of the highest gable of a pitched or hipped roof. The measurement shall be taken from the lowest adjoining sidewalk or ground surface within a five foot horizontal distance from the exterior wall of the building. However, no structure, except television and radio antennas, chimneys and flues, shall extend above or beyond a daylight plane having a height of five feet at each side or rear site line and an angle of forty-five degrees. (h)Lot Coverage. The following lot coverage regulations shall apply: (1)The maximum lot coverage shall be thirty-five percent of the site area. (2)Covered patios and overhangs otherwise in compliance with all applicable laws may cover five percent of the site area in addition to the maximum lot coverage set forth above. (i)Floor Area Ratio (FAR). The maximum FAR shall be 0.50. (j)Usable Open Space. The following usable open space regulations shall apply: C-43010904 syn 0090971 (1) Each lot shall have not less than thirty-five percent of the lot area developed into permanently maintained usable open space, as measured in the ground floor area only, some portion of which shall be common usable open space; and (2) Each dwelling unit shall have at least one private usable open space area contiguous to the unit which allows the occupants of the unit the personal use of the outdoor space. The minimum size of such areas shall be as follows and shall not be calculated in the FAR: (A)Balconies (above ground level) shall be fifty square feet. (B)Patios or yards (at ground level) shall be one hundred square feet, the least dimension of which ]s eight feet. (k)Accessory Facilities and Uses. Regulations governing accessory facilities and uses, and governing the application of site development regulations in specific instances, are established by Chapter 18.88. (1) Special Setbacks. Where applicable, setback lines imposed by a special setback map pursuant to Chapter 20.08 of this code shall be followed for the purpose of determining legal setback requirements. 18.22.060 Residential density. The following table establishes the permitted density of a lot, based on the lot area. When calculating the number of units, if insufficient area exists to provide the minimum lot area for an additional unit, the total number of units shall be rounded down to the smaller number. Notwithstanding the foregoing, the permitted density of any lot shall not exceed fifteen dwelling units per acre. Permitted Densities RM- 15 Lot Size Lot AreaNo. of Dwelling Units/Square (in square feet)Feet of Lot Area Up to - 5,999 1 unit 6,000 - 8,499 2 units 8,500 and over 3 units plus 1 unit/each additional 2,850 square feet 18.22.070 Parking and loading. (a)Off-street parking and loading facilities shall be required for all permitted and conditional uses in accord with Chapter 18.83. All parking and loading facilities on any site, whether required or optionally provided in addition to minimum requirements, shall comply with the regulations and design standards established by Chapter 18.83. (b) Minimum parking requirements for selected uses permitted in the RM-15 low density multiple- family residence district shall be as set forth below. A minimum of one parking space per dwelling unit shall be covered (see Chapter 18.83). (t)Single-Family Use. The minimum parking requirement for a site with one dwelling unit shall be two spaces. (2) Two-Family Use. The minimum parking requirement for a site with two dwelling units shall be 1.5 spaces per dwelling unit. (3) Multiple-Family Use. The minimum parking requirement for a site with three or more dwelling units shall be: 1.25 spaces per studio unit, 1.50 spaces per one-bedroom unit, and 2.00 spaces per two or more bedrooms. (4) Lodging Use. The minimum parking requirement for a site with a lodging use shall be one space per lodging unit, in addition to any applicable requirement based on single-family use, two-family use or multiple- family use on the same site. (c) Guest Parking. Guest parking shall be provided in multiple-family developments exceeding three units, in accordance with the following requirements: (1) The number of guest parking spaces in a development shall be one plus ten percent of the total number of units in the development. (2) Notwithstanding the foregoing, if more than one parking space per dwelling unit in a development is assigned or secured so that it is inaccessible to the public, then guest parking spaces equivalent to thirty-three percent of the total number of units in the development shall be provided. C-44010904 syn 0090971 (3) Guest parking spaces shall be clearly marked as reserved for guests and shall be in an area providing guests with unrestricted access tothe guest parking spaces. (d) Location of Parking Spaces. No required parking space shall be located in a required front yard, nor in the first ten feet adjoining the street property line of a required street side yard. 18.22.080 Below market rate (BMR) units. (a)In developments often or more units not less than ten percent of the units shall be provided at below-market rates io low and moderate income households in accordance with Program 12 of the Palo Alto Comprehensive Plan. (b) Density Bonus. In developments often or more units where BMR housing units are provided, a density increase of no more than fifteen percent over the otherwise prescribed number of units may be permitted; provided, that for each additional market unit an additional BMR unit is included. All other site development regulations shall apply. 18.22.090 Special requirements. The following special requirements shall apply in the RM-15 low density multiple-family residence district: (a) The site development regulations set forth in Sections 18.12.050 through 18.12.080 of Chapter 18.12 of the Palo Alto Municipal Code shall apply to sites in single-family use. (b) Professional and medical office uses existing on July 20, 1978 and which, prior to that date, were lawful conforming permitted uses or conditional uses operating subject to a conditional use permit, or which uses were, prior to July 20, 1978, located in an RM-I or RM-2 district, which was imposed by reason of annexation of the property to the city without benefit ofprezoning and which, prior to the date of annexation, were lawful conforming permitted uses or conditional uses operating subject to a conditional use permit, may remain as grandfathered uses and shall not be subject to the provisions of Chapter 18.94. (1) Such uses shall be permitted to remodel, improve, or replace site improvements for continual use and occupancy by the same use; provided, that any such remodeling, improvement or replacement shall not result in increased floor area or number of offices, nor shall such remodeling, improvement or replacement result in shifting of building footprint or increased height, len~h, building envelope, or any other increase in the size of the improvement, or any increase in the existing degree of noncompliance, except through the granting of a design enhancement exception, pursuant to Chapter 18.91. (2) Any such remodeling, improvement, or replacement of any building designed and constructed for residential use shall be subject to the issuance of a conditional use permit in accord with Chapter 18.90. (3) If a use deemed grandfathered pursuant to this subsection (b) ceases and thereafter remains discontinued for twelve consecutive months, it shall be considered abandoned and may be replaced only by a conforming use. (4) A use deemed grandfathered pursuant to this subsection (b) which is changed to or replaced by a conforming use shall not be reestablished, and any portion of a site or any portion of a building, the use of which changes from a grandfathered use to a conforming use, shall not thereafter be used except to accommodate a conforming use. (5) In the event of redevelopment of all or a portion of the site for permitted residential uses, such professional and medical office uses may not be incorporated in the redevelopment, except that this provision shall not apply to permanent conversion to residential use of space within an existing structure now used for professional and medical office uses. (c) Two-family uses and multiple-family uses existing on July 20, 1978 and which, prior to that date, were lawful conforming permitted uses or conditional uses operating pursuant to a conditional use permit, or which uses were, prior to July 20, 1978, located in an RM-1 or RM-2 district which was imposed by reason of annexation of the property to the city without benefit ofprezoning and which, prior to the date of annexation, were lawful conforming permitted uses or conditional uses operating subject to a conditional use permit, may remain as grandfathered uses and shall not be subject to the provisions of Chapter 18.94. Such uses shall be permitted to remodel, improve, or replace site improvements on the same site for continual use and occupancy by the same use; provided, that any such remodeling, improvement or replacement shall not result in increased floor area or number of dwelling units, nor shall such remodeling, improvement or replacement result in shifting of building footprint or increased height, len~h, building envelope, or any other increase in the size of the improvement, or any increase in the existing degree of noncompliance, except through the granting of a design enhancement exception, pursuant to Chapter 18.91, with respect to multiple-family uses, or a home improvement exception, pursuant to Chapter 18.90, with respect to two-family uses. Ifa use deemed grandfathered pursuant to this subsection (c) ceases and thereafter remains discontinued for twelve consecutive months, it shall be considered abandoned and may be replaced only by C-45010904 syn 0090971 a conforming use. A use deemed grandfathered pursuant to this subsection (c) which is changed to or replaced by a conforming use shall not be reestablished, and any portion of a site or any portion of a building, the use of which changes from a grandfathered use to a conforming use, shall not thereafter be used except to accommodate a conforming use. (d) Motel uses existing on July 20, 1978, and which, prior to that date, were lawful conforming permitted uses or conditional uses operating subject to a conditional use permit, may remain as grandfathered uses and shall not be subject to the provisions of Chapter 18.94. Such uses shall be permitted to remodel, improve, or replace site improvements on the same site for continual use and occupancy by the same use; provided, that any such remodeling, improvement or replacement shall not result in increased floor area or number of dwelling units, nor shall such remodeling, improvement or replacement result in shifting of building footprint or increased height, length, building envelope, or any other increase in the size of the improvement, or any increase in the existing de~ee of noncompliance, except through the granting of a design enhancement exception, pursuant to Chapter 18.91. If a use deemed grandfathered pursuant to this subsection (d) ceases and thereafter remains discontinued for twelve consecutive months, it shall be considered abandoned and may be replaced only by a conforming use. A use deemed grandfathered pursuant to this subsection (d) which is changed to or replaced by a conforming use shall not be reestablished, and any portion of a site or any portion of a building, the use of which changes from a grandfathered use to a conforming use, shall not thereafter be used except to accommodate a conforming use. 18.22.100 Recycling storage. All new multiple-family residential development, including multiple-family residential development that is part of a mixed use development, shall provide adequate and accessible interior areas or exterior enclosures for the storage of recyclable materials in appropriate containers. The design, construction and accessibility of recycling areas and enclosures shall be subject to approval by the architectural review board, in accordance with design guidelines adopted by that board and approved by the city council pursuant to Section 16.48.070. This requirement shall apply only to multiple-family developments that utilize dumpsters rather than individual curbside pickup for trash collection. C-46010904 syn 0090971 Chapter 18.24 RM-30 MEDIUM DENSITY MULTIPLE-FAMILY RESIDENCE DISTRICT REGULATIONS Sections: 18.24.010 18.24.020 18.24.030 18.24.040 18.24.050 18.24.060 18.24.070 18.24.080 18.24.090 18.24. l O0 18.24.010 Specific purposes. Applicability of regulations. Permitted uses. C6nditional uses. Site development regulations. Residential density. Parking and loading. Below market rate (BMR) units. Special requirements. Recycling storage. Specific purposes. The RM-30 medium density multiple-family residence district is intended to create, preserve and enhance neighborhoods for multiple-family housing with site development standards and visual characteristics intended to mitigate impacts on nearby lower density residential districts. Projects at this density are intended for larger parcels that will enable developments to provide their own parking spaces and to meet their open space needs in the form of garden apartments or cluster developments. Permitted densities in the RM-30 residence district range from sixteen to thirty dwelling units per acre. 18.24.020 Applicability of regulations. The specific regulations of this chapter and the additional regulations and procedures established by Chapters 18.83 to 18.99, inclusive, shall apply to all RM-30 medium density multiple-family residence districts. 18.24.030 Permitted uses. The following uses shall be permitted in the RM-30 medium density multiple-family residence district: (a)Single-family, two-family and multiple-family uses; (b)Mobile homes on permanent foundations and other manufactured housing (see Section 18.88.140); (c)Accessory facilities and uses customarily incidental to permitted uses; (d)Home occupations, when accessory to permitted residential uses; (e)Horticulture, gardening and growing of food products for consumption by occupants of a site; (f)Residential care homes; (g)Day care homes; (h)Lodging. 18.24.040 Conditional uses. The following uses may be conditionally allowed in the RM-30 medium density multiple-family residence district, subject to issuance of a conditional use permit in accord with Chapter 18.90: (a)Churches and religious institutions; (b)Community centers; (c)Day care centers: (d)Neighborhood recreational centers; (e)Private educational facilities; (f)Temporary uses, subject to regulations established by Chapter 18.90; (g)Utility facilities essential to provision of utility services to the neighborhood, but excluding business offices, construction or storage yards, maintenance facilities or corporation yards;(h) Surface parking facilities located on abandoned railroad rights-of-way. 18124.050 Site development regulations. The following site development regulations shall apply in the RM-30 medium density multiple-family residence district; provided, that more restrictive regulations may be recommended by the architectural review board and approved by the director of planning and community environment, pursuant to the regulations set forth in Chapter 16.48 and the multiple-family residential guidelines set forth in Chapter 18.28: (a)Site Area. The minimum site area shall be eight thousand five hundred square feet. (b)Site Width. The minimum site width shall be seventy feet. 010904 syn 0090971 C-47 (c)Site Depth. The minimum site depth shall be one hundred feet. (d)Front Yard. The minimum front yard ("setback") shall be twenty feet. (e)Side and Rear Yards. The following side and rear yard regulations shall apply: (1)The minimum interior side and rear yards for a single-story structure shall be ten feet. (2)The minimum interior side and rear yards for a structure over one story shall be ten feet for the first story of the structure and shall be one-half of the actual height of the structure, but not less than ten feet, for the portion of the structure over one story. (3)The minimum side and rear yards which are adjacent to a street shall be sixteen feet. (4)The minimum side and rear yards for a structure over one story adjacent to any single-family zone (including R-l, R-2 and RMD zones) shall be ten feet for the first story of the structure and shall be twenty feet for the portion of the structure over one story. (f) Arterial Street Setback. A building on property adjacent to an arterial street, as designated in the Palo Alto Comprehensive Plan (other than an arterial street in the CD district) shall be set back a minimum of twenty-five feet from the property line. (g) Height and Daylight Plane. The maximum height shall not exceed thirty-five feet. For the purposes of this chapter, height means the vertical distance above grade to the highest point of the coping of a flat roof, or to the deck line of a mansard roof, or to the average height of the highest gable of a pitched or hipped roof. The measurement shall be taken from the lowest adjoining sidewalk or ground surface within a five foot horizontal distance from the exterior wall 0fthe building. However, no structure, except television and radio antennas, chimneys and flues, shall extend above or beyond a daylight plane having a height often feet at each side or rear site line and an angle of forty-five degrees. (h)Lot Coverage. The following lot coverage regulations shall apply: (1)The maximum lot coverage shall be forty percent of the site area. (2)Covered patios and overhangs otherwise in compliance with all applicable laws may cover five percent of the site area in addition to the maximum lot coverage set forth above. (i)Floor Area Ratio (FAR). (1)The maximum FAR for projects with detached or underground parking shall be 0.6:1, which ghall be calculated by the gross floor area of the building as defined in Section 18.04.030(65) of the Palo Alto Municipal Code. (2) The maximum FAR for projects with attached garages or tuckunder or semi-depressed parking contiguous to the building shall be 0.75:1, which shall include such parking area in the calculation of gross floor area as defined in Section 18.04.030(65). (j)Usable Open Space. The following usable open space regulations shall apply: (1)Each lot shall have not less than thirty percent of the lot area developed into permanently maintained common usable open space as measured in the ground floor area only. (2) Each dwelling unit shall have at least one private usable open space area contiguous to the unit which allows the occupants of the unit the personal use of the outdoor space. The minimum size of such areas shall be as follows and shall not be calculated in the FAR: (A)Balconies (above ground level) shall be fifty square feet. (B)Patios or yards (at ground level) shall be one hundred square feet the least dimension of which is eight feet. (3)Part of all of the required private usable open space areas may be added to the required common usable open space in a development, for purposes of improved design, privacy, protection and increased play area for children, upon a recommendation of the architectural review board and approval of the director ofplarming and community environment. (k) Accessory Facilities and Uses. Regulations governing accessory facilities and uses, and governing the application of site development regulations in specific instances, are established by Chapter 18.88. (1) Special Setbacks. Where applicable, setback lines imposed by a special setback map pursuant to Chapter 20.08 of this code shall be followed for the purpose of determining legal setback requirements. 18.24.060 Residential density. The following table establishes the permitted density of a lot, based on the lot area. When calculating the number of units, if insufficient area exists to provide the minimum lot area for an additional unit, the total number of units shall be rounded down to the smaller number. Notwithstanding the foregoing, the permitted density of any lot shall not exceed thirty dwelling units per acre. 010904 syn 0090971 C..48 Permitted Densities RM-30 Lot Size No. of Dwelling Lot AreaUnits/Area Square Feet of (in square feet)Lot Up to - 5,999 1 unit 6,000 - 8,4~i9 2 units 8,500 and over 3 units plus 1 unit/each additional 1,350 square feet 18.24.070 Parking and loading. (a)Off-street parking and loading facilities shall be required for all permitted and conditional uses in accord with Chapter 18.83. All parking and loading facilities on any site, whether required or optionally provided in addition to minimum requirements, shall comply with the regulations and design standards established by Chapter 18.83. (b) Minimum parking requirements for selected uses permitted in the RM-30 medium density multiple-family residence district shall be as set forth below. A minimum of one parking space per dwelling unit shall be covered (see also Chapter 18.83) (1)Single-Family Use. The minimum parking requirement for a site with one dwelling unit shall be two spaces. (2) Two-Family Use. The minimum parking requirement for a site with two dwelling units shall be 1.5 spaces per dwelling unit. (3) Multiple-Family Use. The minimum parking requirement for a site with three or more dwelling units shall be: 1.25 spaces per studio unit, 1.50 spaces per one-bedroom unit and 2.00 spaces per two or more bedrooms. (4) Lodging Use. The minimum parking requirement for a site with a lodging use shall be one space per lodging unit, in addition to any applicable requirement based on single-family use, two-family use or multiple- family use on the same site. (c) Guest Parking. Guest parking shall be provided in multiple-family developments exceeding three units, in accordance with the following requirements: (1) The number of guest parking spaces in a development shall be one plus ten percent of the total number of units in the development. (2) Notwithstanding the foregoing, if more than one parking space per dwelling unit in a development is assigned or secured so that it is inaccessible to the public, then guest parking spaces equivalent to thirty-three percent of the total number of units in the development shall be provided. (3) Guest parking spaces shall be clearly marked as reserved for guests and shall be in an area providing guests with unrestricted access to the guest parking spaces. (d) Location of Parking Spaces. No required parking space shall be located in a required front yard, nor in the first ten feet adjoining the street property line of a required street side yard. 18.24.080 Below market rate (BMR) units. (a)In developments often or more units, not less than ten percent of the units shall be provided at below-market rates to low and moderate income households in accordance with Program 12 of the Palo Alto Comprehensive Plan. (b) Density Bonus. In developments often or more units, where BMR housing units are provided, a density increase of no more than fifteen percent over the otherwise prescribed number of units may be permitted; provided, that for each additional market unit an additional BMR unit is included. All other site development regulations shall apply. 18.24.090 Special requirements. The following special requirements shall apply in the RM-30 medium density multiple-family residence district: (a) The site development regulations set forth in Sections 18.12.050 through 18.12.080 of Chapter 18.12 of the Palo Alto Municipal Code shall apply to sites in single-family use. C-49010904 syn 0090971 (b) Professional and medical office uses existing on July 20, 1978 and which, prior to that date, were lawful conforming permitted uses or conditional uses operating subject to a conditional use permit, or which uses were, prior to July 20, 1978, located in an RM-3 or RM-4 district, which was imposed by reason of annexation of the property to the city without benefit ofprezoning and which, prior to the date of annexation, were lawful conforming permitted uses or conditional uses operating subject to a conditional use permit, may remain as grandfathered uses and shall not be subject to the provisions of Chapter 18.94. (1) Such uses shall be permitted to remodel, improve, or replace site improvements for continual use and occupancy by ttie same use; provided, that any such remodeling, improvement or replacement shall not resultin increased floor area or number of offices, nor shall such remodeling, improvement or replacement result in shifting of building footprint or increased height, length, building envelope, or any other increase in the size of the improvement, or any increase in the existing degree of noncompliance, except through the granting of a design enhancement exception, pursuant to Chapter 18.91. (2) Any such remodeling, improvement, or replacement of any building designed and constructed for residential use shall be subject to the issuance of a conditional use permit in accord with Chapter 18.90. (3) Ifa use deemed grandfathered pursuant to this subsection (b) ceases and thereafter remains discontinued for twelve consecutive months, it shall be considered abandoned and may be replaced only by a conforming use. (4) A use deemed grandfathered pursuant to this subsection (b) which is changed to or replaced by a conforming use shall not be reestablished, and any portion of a site or any portion of a building, the use of which changes from a grandfathered use to a conforming use, shall not thereafter be used except to accommodate a conforming use. (5) In the event of redevelopment of all or a portion of the site for permitted residential uses, such professional and medical office uses may not be incorporated in the redevelopment, except that thisprovision shall not apply to permanent conversion to residential use of space within an existing structure now used for professional and medical office uses. (c) Two-family uses and multiple-family uses existing on July 20, 1978 and which, prior to that date, were lawful conforming permitted uses or conditional uses operating pursuant to a conditional use permit, or which uses were, prior to July 20, 1978, located in an RM-3 or RM-4 district which was imposed by reason of annexation of the property to the city without benefit of prezoning and which, prior to the date of annexation, were lawful conforming permitted uses or conditional uses operating subject to a conditional use permit, may remain as grandfathered uses, and shall not be subject to the provisions of Chapter 18.94. Such uses shall be permitted to remodel, improve, or replace site improvements on the same site for continual use and occupancy by the same use; provided, that any such remodeling, improvement or replacement shall not result in increased floor area or number of dwelling units, nor shall such remodeling, improvement or replacement result in shifting of building footprint or increased height, length, building envelope, or any other increase in the size of the improvement, or any increase in the existing degree of noncompliance, except through the granting of a design enhancement exception, pursuant to Chapter 18.91, with respect to multiple-family uses or a home improvement exception, pursuant to Chapter 18.90, with respect to two-family uses. Ifa use deemed grandfathered pursuant to this subsection (c) ceases and thereafter remains discontinued for twelve consecutive months, it shall be considered abandoned and may be replaced only by a conforming use. A use deemed grandfathered pursuant to this subsection (c) which is changed to or replaced by a conforming use shall not be reestablished, and any portion of a site or any portion of a building, the use of which changes from a grandfathered use to a conforming use, shall not thereafter be used except to accommodate a conforming use. (d) Motel uses existing on July 20, 1978, and which, prior to that date, were lawful conforming permitted uses or conditional uses operating subject to a conditional use permit, may remain as grandfathered uses, and shall not be subject to the provisions of Chapter 18.94. Such uses shall be permitted to remodel, improve, or replace site improvements on the same site; provided, that any such remodeling, improvement or replacement shall not result in increased floor area or number of dwelling units, nor shall such remodeling, improvement or replacement result in shifting of building footprint or increased height, length, building envelope, or any other increase in the size of the improvement, or any increase in the existing degree of noncompliance, except through the granting of a design enhancement exception, pursuant to Chapter 18.91. If a use deemed grandfathered pursuant to this subsection (d) ceases and thereafter remains discontinued for twelve consecutive months, it shall be considered abandoned and may be replaced only by a conforming use. A use deemed grandfathered pursuant to this subsection (d) which is changed to or replaced by a conforming use shall not be established, and any portion of a site or any portion of a building, the use of which changes from a grandfathered use to a conforming use, shall not thereafter be used except to accommodate a conforming use. C-50010904 syn 0090971 18.24.100 Recycling storage. All new multiple-family residential development, including multiple-family residential development that is part of a mixed use development, shall provide adequate and accessible interior areas or exterior enclosures for the storage of recyclable materials in appropriate containers. The design, construction and accessibility of recycling areas and enclosures shall be subject to approval by the architectural review board, in accordance with design guidelines adopted by that board and approved by the city council pursuant to Section 16.48.070. This requirement shall apply only to multiple-family developments that utilize dumpsters rather than individual curbside pickup for trash collection. C-51010904 syn 0090971 Chapter 18.60 LM LIMITED INDUSTRIAL/RESEARCH PARK DISTRICT REGULATIONS Sections: 18.60.010 18.60.020 18.60.030 18.60.040 18.60.050 18.60.060 18.60.070 18.60.080 18.60.010 Specific purposes. Applicability of regulations. Permitted uses. Conditional uses. Site development regulations. Parking and loading. Special requirements. Recycling storage. Specific purposes. The LM limited industrial/research park district is designed to create and maintain sites for a limited group of professional, administrative, research and manufacturing uses which may have unusual requirements for space, light, and air, and desire sites in an industrial/research park environment. Combining district provisions are provided to adapt the site use and development regulations to meet the requirements of uses desiring smaller sites, or uses which can accommodate to large sites with uneven terrain. The LM district is primarily intended for application to sites identified for research/office park use by the Palo Alto Comprehensive Plan. 18.60.020 Applicability of regulations. The specific regulations of this chapter and the additional regulations and procedures established b~, Chapters 18.83 to 18.99, inclusive, shall apply to all LM limited industrial/research park districts. Additionally, industrial site combining district regulations set forth in Section 18.63 may apply within portions of the LM district. 18.60.030 Permitted uses. The following uses shall be permitted in the LM limited industrial/research park district: (a) Accessory facilities and activities customarily associated with or essential to permitted uses, and operated (b) (c) (d) (e) (g) (h) (i) (J)(k) (I) incidental to the principal use; Administrative office services; Colleges and universities; Day care centers, large day care homes, small day care homes and residential care homes; Home occupations, when accessory to permitted residential uses; Manufacturing; Medical, professional, and general business offices; Private educational facilities; Research and development; Reverse vending machines, subject to regulations established by Chapter 18.88 of this code; Single-family uses, two-family uses, and multiple-family residential uses; Warehousing and distribution. 18.60.040 Conditional uses. The following uses may be conditionally allowed in the LM limited industrial/research park district, subject to issuance of a conditional use permit in accord with Chapter 18.90: (a) (b) (c) (d) (e) (f) (g) (h) (i) (J) Automobile service stations, subject to site and design review in accord with the provisions of Chapter 18.82; Eating and drinking services, except drive-in and take-out services; Retail services; Financial services; Private clubs, lodges, or fraternal organizations; Utility facilities essential to provision of utility services, but excluding construction or storage yards, maintenance facilities, or corporation yards; Temporary parking facilities, provided that such facilities shall remain no more than five years; Commercial recreation; Recycling centers; Churches and religious institutions. C-52010904 syn 0090971 18.60.050 Site development regulations. The following site development regulations shall apply in the LM limited industrial/research park district. When the LM district is combined with the industrial site combining district, the combining district regulations shall govern. More restrictive regulations may be recommended by the architectural review board and approved by the director of planning and commi~nity environment, pursuant to Chapter 16.48. (a)Site Area. The minimum site area shall be four thousand seventy-four square meters (one acre). (b)Site Width. The minimum site width shall be 30.5 meters (one hundred feet). (c)Site Depth. The minimum site depth shall be 45.7 meters (one hundred fifty feet). (d)Front Yard. The minimum front yard shall be 6.1 meters (twenty feet). (e)Rear Yard. The minimum rear yard shall be 6.1 meters (twenty feet). (f)Side Yards. The following side yard regulations shall apply: (1)The minimum interior side yard shall be 6.1 meters (twenty feet). (2)The minimum street side yard shall be 6.1 meters (twenty feet). (g)Floor Area Ratio. The maximum floor area ratio shall be 0.4 to 1. (h)Site Coverage. The maximum site coverage shall be thirty percent of the site area. (i)Height. The maximum height shall be 10.7 meters (thirty-five feet); provided that any portion of a structure greater than 7.6 meters (twenty-five feet) in height shall be located a minimum of 12.2 meters (forty feet) from any site in a residential district. (j)Accessory Facilities and Uses. Regulations governing accessory facilities and uses, and governing the application of site development regulations in specific instances, are established by Chapte? 18.88. (k)Outdoor Activity. All uses and activities shall be conducted within a building except the following permitted outdoor activities or uses: (1)Outdoor activities associated with residential use; (2)Landscaping; (3)Parking and loading facilities; (4)Recycling centers which have obtained a conditional use permit; (5)Noncommercial recreational activities and facilities accessory to permitted or conditional uses; and (6)Activities and facilities accessory to conditional uses, when authorized by a conditional use permit. (m)Special Setbacks. Where applicable, setback lines imposed by a special setback map pursuant to Chapter 20.08 of this code shall be followed for the purpose of determining legal setback requirements. 18.60.060 Parking and loading. (a) Off-street parking and loading facilities shall be required for all permitted and conditional uses in the LM limited industrial/research park district, in accord with Chapter 18.83. All parking and loading facilities on any site, whether required as minimums or optionally provided in addition to minimum requirements, shall comply with the regulations and design standards established by Chapter 18.83. (b)Minimum parking requirements for selected uses permitted in the LM limited industrial/research park district shall be as follows: (1) Medical, Professional, and General Business Offices. The minimum parking requirement shall be one space for each 27.9 square meters (three hundred square feet) of gross floor area. (2)Administrative Office Services, Research and Development, Warehousing and Distribution, and Manufacturing. The minimum parking requirement shall be one space for each 27.9 square meters (three hundred square feet) of gross floor area. (c)Location of Parking and Loading Spaces. No requirement, except as established by Chapter 18.83 or other applicable provisions of this title. 18.60.070 Special requirements. The following special requirements shall apply in the LM limited industrial/research park district: (a) Permitted residential uses shall be governed by the following additional regulations: (1) Exclusive Residential Use. For exclusive residential use on any site, the regulations and guidelines set forth in Chapters 18.24 and 18.28 of the Palo Alto Municipal Code, respectively, shall apply. Subsections (b) through (d) of this section shall not apply to such use. C-53010904 syn 0090971 (b) (c) (d) (2)Mixed Residential and Nonresidentia! Use. For mixed residential and nonresidential use on any site, the regulations and guidelines set forth in Chapters 18.24 and 18.28 of the Palo Alto Municipal Code, respectively, shall apply to that portion of the site area in residential use. In computing residential densities for mixed residential and nonresidential uses, there shall be no deduction for that portion of the site area in nonresidential use. The regulations set forth in this chapter, including subsections (b) through (d) of this section, shall apply to that portion of the site area in nonresidential use. Sites abutting or having any portion located within 45.7 meters (one hundred fifty feet) of any RE, R-1,’R- 2, RM, or any PC district permitting single-family development or multiple-family development, shall be subject to the following additional height and yard requirements: (1)On any portion of a site in the LM district which abuts a site in any RE, R-I, R-2, RM, or applicable PC district, a minimum interior yard of 6.1 meters (twenty feet), as determined pursuant to Chapter 16.48, shall be required, and a solid wall or fence of between 1.5 and 2.4 meters (five and eight feet) in height shall be constructed and maintained along the common site line. The first 6.1 meters (twenty feet) of any such yard abutting said residential district shall be planted and maintained as a landscaped screen. (2)On any portion of a site in the LM district which is opposite from a site in any RE, R-I, R-2, RM, or applicable PC district and separated therefrom by a street, alley, creek, drainage facility, or other open area, a minimum yard of 6.1 meters (twenty feet), as determined pursuant to Chapter 16.48, shall be required. The first 6.1 meters (twenty feet) of any such yard opposite from said residential district shall be planted and maintained as a landscaped screen. All uses, whether permitted or conditional, shall be conducted in such a manner so as to preclude any nuisance, hazard, or commonly recognized offensive conditions or characteristics, includfng creation or emission of dust, gas, smoke, noise, fumes, odors, vibrations, particulate matter, chemical compounds, electrical disturbance, humidity, heat, cold, glare, or night illumination. Prior to issuance of a building permit or occupancy permit, or at any other time, the building official may require evidence that adequate controls, measures, or devices have been provided to ensure and protect the public interest, health, comfort, convenience, safety, and general welfare from such nuisance, hazard, oi offensive condition. Employee shower facilities shall be provided for any new building constructed or for any addition to or enlargement of any existing building in compliance with the following table: Use Medical, professional, general business offices, financial services, colleges and universities, research and development and manufacturing Gross Floor Area of New Construction 0 - 9,999 square feet 10,000 - 19.999 square feet 20,000 - 49,999 square 50,000 square feet and up Number of Showers Required No Requirement 1 2 4 (e)On any portion of a site which is located within one hundred fifty feet of any RE, R-l, R-2, RM or PC district permitting single-family or multiple-family development, additional site development regulations and guidelines shall apply as set forth in Chapter 18.64 of the Palo Alto Municipal Code. 18.60.080 Recycling storage. All new development, including approved modifications that add thirty percent or more floor area to existing uses, shall provide adequate and accessible interior areas or exterior enclosures for the storage of recyclable materials in appropriate containers. The design, construction and accessibility, of recycling areas and enclosures shall be subject to approval by the architectural review board, in accordance with design guidelines adopted by that board and approved by the city council pursuant to Section 16.48.070. 010904 syn 0090971 C-54 Chapter 18.63 LIMITED INDUSTRIAL SITE COMBINING DISTRICT (3, 5) REGULATIONS Sections: 18.63.010 18.63.020 18.63.030 18.63.040 18.63.050 18.63.010 Specific purposes. Applicability of regulations. Combining district classifications. Sire development regulations. Reserved. Specific purposes. The limited industrial site combining district is intended to modify the site development regulations of the LM limited industrial/research park district, where applied in combination with such district, to provide regulations applicable to sites of differing size and topographic characteristics. 18.63.020 Applicability of regulations. The limited industrial site combining district may be combined with the LM district, in accord with Chapter 18.08 and Chapter 18.98. Where so combined, the regulations set forth in this chapter shall apply in lieu of the comparable provisions established by the LM district regulations. 18.63.030 Combining district classifications. The limited industrial site combining district shall consist of two classifications, establishing differing site development regulations, either of which may be combined with the general LM district. Each classification of the limited industrial site combining district shall be identified on the zoning map, when combined with the LM district, by a number within parentheses corresponding to the applicable site development regulations specified in the table in Section 18.63.040. 18.63.040 Site development regulations. Within any LM district which may be combined with the limited industrial site combining district, the site development regulations specified in the following table shall apply in lieu of the regulations otherwise applicable within the LM district, provided that more restrictive regulations may be recommended by the architectural review board and approved by the director of planning and community environment, pursuant to Chapter 16.48: Site Development Regulations Zoning map designation Minimum site area Minimum site width Minimum site depth Minimum front yard Minimum rear yard Minimum interior side yard General LM District LM 4,074 sq. meters (1 acre) 30.5 meters (100 feet) 45.7 meters (150 feet) 6.1 meters (20 feet) 6.1 meters (20 feet) 6.1 meters (20 feet) LM(3) Combining District LM (3) 4,074 sq. meters (1 acre) 30.5 meters (100 feet) 45.7 meters (150 feet) 6.1 meters (20 feet) 6.1 meters (20 feet) 6.1 meters (20 feet) LM(5) Combining District LM (5) 20,234 sq. meters (5 acres) 76.2 meters (250 feet) 76.2 meters (250 feet) 30.5 meters (I O0 feet) 12.2 meters (40 feet) 12.2 meters (40 feet) Minimum street side yard Maximum floor area ratio Maximum site coverage Maximum height (generally) Maximum height within specified distance from a residential district 6.1 meters (20 feet) 0.4 to 1 30 percent 10.7 meters (35 feet) 7.6 meters (25 feet) within 12.2 meters (40 feet of residential 6.1 meters (20 feet) 0.3 to 1 30 percent 10.7 meters (35 feet) 7.6 meters (25 feet) within 12.2 meters (40 feet of residential 21.3 meters (70 feet) 0.3 to 1 15 percent 10.7 meters (35 feet) 7.6 meters (25 feet) within 24.4 meters (80 feet of residential 8.63.050 Reserved.* Editor’s Note: .Former Section 18.63.050, pertaining to exemptions from floor and site coverage limitations, previously codified herein and containing portions of Ordinance No. 3891, was repealed in its entirety by Ordinance No. 4140. C-55010904s3~ 0090971 Chapter 18.64 ADDITIONAL SITE DEVELOPMENT AND DESIGN REGULATIONS FOR COMMERCIAL AND INDUSTRIAL DISTRICTS Sections: 18.64.010 18.64.020 18.64.030 18.64.010 Specific purpose. Applicability of regulations. Site development regulations. Specific purpose. The additional site development and design regulations for commercial and industrial districts are intended to modify the regulations of the OR, CN, CC, CS, CD, GM and LM districts in areas where it is deemed essential to reduce the lighting, noise and visual impacts of commercial and industrial uses in order to promote development compatible with adjacent residential areas and to preclude inappropriate or inharmonious building design and siting. 18.64.020 Applicability of regulations. The requirements and guidelines of this chapter shall be applicable to any portion of a site area in an OR, CN, CC, CS, CD, GM or LM district which is located within one hundred fifty feet of any RE,.R-I, R-2, RM or PC district permitting single-family or multi-family development. Design element regulations that are identified as requirements shall be included in the design of a project. Design elementsthat are identified as guidelines are recommended for incorporation in the design of a project. At the submittal of the project to the architectural review board, if these guidelines are not followed, it shall be necessary for the applicant to demonstrate how the project meets the design objectives set forth in this chapter. 18.64.030 Site development regulations. The following design requirements shall apply and the following desi=ma guidelines are recommended for application to any site or portion of a site in an OR, CN, CC, CS, CD, GM or LM district located within one hundred fifty feet of a residential district, for (1) new construction and (2) modifications of existing buildings or site improvements which qualify as major projects under Section 16.48.065 of the Palo Alto Municipal Code; provided, that more restrictive regulations may be recommended by the architectural review board and approved by the director of planning and community environment, pursuant to Chapter 16.48 of the Palo Alto Municipal Code. (a)Lighting Impacts. In order to minimize the visual impacts of lighting from commercial and industrial uses on the residential sites located in close proximity, the following additional requirements and design guidelines shall apply to the applicable portions of the commercial/industrial site area: (1) Requirement. Interior and exterior light sources shall be shielded in such a manner as to prevent visibility of the light sources, and to eliminate glare and light spillover beyond the perimeter of the development. (2) Guidelines. (A)Exterior light fixtures should be mounted no higher than fifteen feet. (B)Lighting of the building exterior and parking areas should be of the lowest intensity and energy use adequate for its purpose. (C)Unnecessary continued illumination, such as illuminated signs or backlit awnings, should be avoided. (D)Timing devices should be considered for exterior and interior lights in order to minimize light glare at night without jeopardizing security of employees. (E)Building elevations facing residential sites should not have highly reflective surfaces, such as reflective metal skin and highly reflective glazing. The paint colors should be in subdued hues. (b)Noise Impacts. In order to protect residential properties from excessive and unnecessary noises from any sources in the commercial and industrial zones, the following additional requirements and design guidelines shall apply to the applicable portions of the commercial/industrial site area: (1) Requirement. Compliance with a noise level limit as prescribed in the city’s noise ordinance (Chapter 9.10 of the Palo Alto Municipal Code). (2)Guidelines. Parking areas, driveways, loading docks, mechanical eqtiipment, trash enclosures, on- site recreation areas and simildr noise generating elements should be sited as far away from residential areas as is reasonably possible. When conditions require noise generating elements to be sited within close proximity to residential areas, noise mitigation measures should be C-56 010904 syn 0090971 (c) (d) implemented as deemed suitable by the architectural review board. These measures may include the following: (A) Placement of concrete or masonry walls at the residential property line or around the noise generating element; (B)Elimination of site access close to residential sites where other access is available; (C)Installation of an earth berm and landscape buffers where appropriate; (D)Discouragement of the use of open air loudspeakers and compliance with the city’s loudspeakers ordinance (Chapter 9.12 of the Palo Alto Municipal Code). Visual Impacts. In order to reduce the apparent building mass to provide for reasonable privacy of residents of single-family and multiple-family dwellings and to reduce the visual impact of mechanical equipment, trash enclosures, exterior storage and loading docks, the following additional requirements and design guidelines shall apply to the applicable portions of the commercial/industrial site area: (1) Requirements. (A) Blank walls facing residential sites shall incorporate architectural design features and landscaping in order to reduce apparent mass and bulk. (B)Adequate and accessible storage of trash and refuse shall be provided within a building or be fully screened from public view by masonry or other opaque and durable material. Chain link enclosures are strongly discouraged. (C)Loading docks and exterior storage of materials or equipment shall be screened from view from residential sites by fencing, walls or landscape buffers. (2) Guidelines. (A) Windows, balconies or similar openings above the first story should be oriented so as to minimize a direct line-of-sight into residential areas. (B)Roof vents, flues and other protrusions through the roof of any building or structure should be obscured from public view by roof screen or proper placement. (C)All exposed mechanical and other type equipment whether installed on the ground or attached to the building, roof or walls, which exceeds sixteen inches in any horizontal dimension, should be screened from public view. (D)Increased setbacks or more restrictive daylight planes may be proposed by the applicant, or recommended by the architectural review board, as mitigation for the visual impacts of massive buildings. (E)Building elevations facing residential sites should not have highly reflective surfaces, such as reflective metal skin and highly reflective glazing. The paint colors should be in subdued hues. Accessive Impacts. In order to minimize conflicts between residential vehicular and pedestrian uses and more intensive traffic associated with industrial and commercial zones, the following additional design guidelines shall apply to the applicable portions of the commercial/industrial site area: (1) Guidelines. (A) The location of driveways, shipping and receiving areas, and loading docks should be sited as far away from residential areas as feasible while recognizing site constraints and traffic safety issues. (B)Employee ingress and egress to a site should be located to avoid the use of residential streets wherever feasible. (C)Late hour and early morning truck traffic to a site located in or near a residential area should be discouraged. C-57010904syn 0090971 Chapter 18.70 LANDSCAPE COMBINING DISTRICT (L) REGULATIONS Sections: 18.70.010 18.70.020 18.70.030 18.70.040 18.70.010 Specific purposes. Applicability of regulations. Zoning map designation. Use limitations. Specific purposes. The landscape combining district is intended to provide regulations to ensure the provision of landscaped open space as a physical and visual separation between residential districts and intensive commercial or industrial uses, and in selected locations where landscaped buffers are desirable. 18.70.020 Applicability of regulations. The landscape combining district may be combined with any other district established by this title, in accord with the provisions of Chapter 18.08 and Chapter 18.98. Where so combined, the provisions of this chapter shall apply in lieu of the corresponding provisions of the general district with which the landscape combining district is combined. 18.70.030 Zoning map desimaation. The landscape combining district shall be applied only adjoining site lines or property lines, where consistent with the purposes of this chapter, and shall be designated on the zoning map by the symbol "L" within parentheses, following the general district designation for the district with which it is combined. The dimension of the landscape combining district, measured at right angles to the property line, shall be indicated on the zoning map. 18.70.040 Use limitations. (a) Permitted Uses. Within the landscape combining district, permitted uses shall be limited to the following uses only, in lieu of any uses prescribed for the general district: (1)Landscaping and screen planting: (2)Such fences or walls adjoining the property line as may be required, by the provisions of the general district regulations. (b)Conditional Uses. Within the landscape combining district, conditional uses shall be limited to the following uses only, in lieu of any uses prescribed for the general district: (1) Noncommercial recreational activities and facilities, when conducted primarily in open, unenclosed landscaped areas, and when conducted accessory to or in association with uses listed as permitted uses or as conditional uses in the general district; (2)Pedestrian. bicycle, and equestrian pathways, walkways and trails, or vehicular access drives, when serving uses listed as permitted or conditional uses in the general district. C-58010904 syn 0090971 Chapter 18.82 SITE AND DESIGN REVIEW COMBINING DISTRICT REGULATIONS (D) Sections: 18.82.010 18.82.020 18.82.030 18.82.040 18.82.050 18.82.055 18.82.060 18.82.070 18.82.080 18.82.010 Specific purposes. Applicability of regulations. Zoning map designation. Design approval required. Application. Application process. Action by commission. Action by council. Term - Expiration. Specific purposes. The site and design review combining district is intended to provide a process for review and approval of development in environmentally and ecologically sensitive areas, including established community areas which may be sensitive to negative aesthetic factors, excessive noise, increased traffic or other disruptions, in order to assure that use and development will be harmonious with other uses in the general vicinity, will be compatible with environmental and ecological Objectives, and will be in accord with the Palo Alto Comprehensive Plan. 18.82.020 Applicability of regulations. The site and design review combining district may be combined with any other district established by this title, in accord with the provisions of Chapter 18.08 and Chapter 18.98. Where so combined, the site and design review process established by this chapter shall apply to all sites. In addition, the provisions of this chapter shall apply to all sites in the OS open space district, and shall apply to all sites in the AC aga-icultural conservation district. 18.82.030 Zoning map designation. Where combined with any general district other than OS or AC, the site and design review district shall be designated on the zoning map by the symbol "D" within parentheses, following the general district designation for the district with which it is combined. 18.82.040 Design approval required. Site and design approval shall be secured prior to issuance of any permit or other approval for the construction of any building or the establishment of any use on any site within the site and design review combining district, or on any site which is made subject to the provisions of this chapter by an express requirement of any other provision of this code. 18.82.050 Application. Application for site and design review shall be made to the zoning administrator and shall be accompanied by the application fee prescribed in the municipal fee schedule. The application shall include the following: (a)A site plan showing the location of all proposed buildings, structures, planted or landscaped areas, paved areas, and other improvements, and indicating the proposed uses or activities within the site; (b)Drawings or sketches showing the elevations of all proposed buildings, sufficiently dimensioned to indicate the general scale, height, and bulk of such buildings. 18.82.055 Application process. (a) The applicant seeking site and design approval shall initially submit to the planning commission a site plan and elevations as described in Section 18.82.050. The plans and elevations may be preliminary in nature but must show all,pertinent information requested by the zoning administrator. (b)If the planning commission recommends denial, a detailed site plan and elevations consistent with the planning commission recommendation shall be forwarded directly to the city council. (c)If the planning commission recommends approval, a detailed site plan and elevations consistent with the planning commission recommendation shall be forwarded to the architectural review board for review pursuant to regulations in Chapter 16.48. (d)The plans and elevations, as approved by the planning commission and the architectural review board, are submitted with recommendations to council for final action. C-59010904 syn 0090971 18.82.060 Action by commission. Unless the application for design approval is diverted for administrative approval pursuant to Chapter 18.99, the planning commission shall review the site plan and drawings, and shall recommend approval or shall recommend such changes as it may deem necessary to accomplish the following objectives: (a)To ensure Construction and operation of the use in a manner that will be orderly, harmonious, and compatible with existing or potential uses of adjoining or nearby sites. (b)To ensure the desirability of investment, or the conduct of business, research, or educational activities, or other authorized occupations, in the same or adjacent areas. (c)To ensure that sound principles of environmental design and ecological balance shall be observed. (d)To ensure that the use will be in accord with the Palo Alto Comprehensive Plan. 18.82.070 Action by council. To the extent that site and design review is contemplated under this chapter, and upon receipt of the recommendation of the planning commission, the council may approve, modify, or disapprove the proposed plans submitted pursuant to this chapter. No building permit or other permit or approval for building construction or use of the site shall be issued or granted until the Plans have been approved by the city council, or by the director of planning and community environment as provided in Chapter 18.99. 18.82.080 Term - Expiration. In the event actual construction of the project is not commenced within two years of the effective date of approval thereof, said approval shall expire and be of no further force or effect. Whenever a vesting tentative map is approved or conditionally approved pursuant to Chapter 21.13 of the Palo Alto Municipal Code and the Subdivision Map Act, the approval pursuant to this chapter shall be valid until the expiration of the vesting tentative map, or expiration of development rights under the final map. Applications may be made for extensions, but only in conjunction with applications for extensions of the vesting tentative map or the final vesting map pursuant to Chapter 21.13 and the Subdivision Map Act. C-60010904syn 0090971 Chapter 18.83 OFF-STREET PARKING AND LOADING REGULATIONS* Sections: 18.83.010 18.83.015 8.83.020 8.83.030 8.83.040 8.83.050 8.83.060 8.83.070 8.83.080 8.83.090 8.83.100 8.83.110 8.83.120 8.83.130 Specific purposes. Definitions. Applicability of regulations. Pa.rking assessment districts and areas. Basic regulations. Schedule of off-street parking, loading and bicycle facility requirements. Design standards - Purpose. Design standards - Accessible parking. Design standards - Bicycle parking facilities. Design standards - General parking facilities. Design standards - Landscaping in parking facilities and required landscaped areas. Design standards - Other. Adjustments to requirements by the director of planning and community environment. Adjustments to requirements in parking assessment areas by the zoning administrator. 18.83.010 Specific purposes. Off-street parking, loading and bicycle facilities are required for new uses and enlargements of existing uses, proportional to the need created by each use, in order to alleviate traffic congestion. Development regulations and design standards are intended to ensure the usefulness of parking, loading, and bicycle facilities, protect the public safety, and, where appropriate, to mitigate potential adverse impacts on adjacent land uses. 18.83.015 Definitions. For purposes of this chapter: (a) "Parking assessment areas" means either: (1) The "downtown parking assessment area," which is that certain area of the city delineated on the map of the University Avenue parking assessment district entitled "Proposed Boundaries of University Avenue Off-Street Parking Project No. 75-63 Assessment District, City of Palo Alto, Count3.’ of Santa Clara, State of California," dated October 30, 1978, and on file with the city clerk: or (2) The "California Avenue area parking assessment district," which is that certain area of the city delineated on the map of the California Avenue area parking assessment district entitled "Proposed Boundaries, California Avenue Area Parking Maintenance District" dated December 16. 1976, and on file with the cit3’ clerk; (b)"Construction of floor area" means the construction or building of"floor area" as that phrase is defined and used in Title 16 of this code except for new floor area added to an existing, restored, or partially reconstructed building to meet the minimum requirements of federal, state or local laws relating to fire prevention and safety, handicapped access, and building and seismic safety; (c)"Design approval" means approval pursuant to Chapter 16.48 by the director of planning and community environment upon recommendation of the architectural review board of the design of a project as distinguished from either preliminary review applications or later minor approvals and recommendations for landscaping and design details; (d)Within the downtown parking assessment area, "exempt floor area" means all or a portion of that floor area of a building which is located at nearest grade and which does not exceed a floor area ratio of 1.0 to 1.0; (e)Within the California Avenue area parking assessment district, "exempt floor area" means either: (1) All or a portion of that floor area of a building which is located at or nearest grade and which does not exceed a floor area ratio of 0:5 to 1.0 or (2) the amount of floor area shown on the 1983-84 California Avenue area assessment district rolls in the engineer’s .report for bonds issued pursuant to Title 13 of the municipal code, whichever is greater; (f)"Accessible" means the ability to be used by persons with disabilities as defined in the Americans with Disabilities Act of 1990. 18.83.020 Applicability of regulations. The regulations of this chapter shall be applicable in each district established by this title. 18.83.030 Parking assessment districts and areas. C-61 010904 syn 0090971 (a) (b) Except as provided in subsection (b) below, within any parking assessment district established by the city for the purpose of providing off-street parking facilities, all or a portion of the off-street parking requirement for a use may be satisfied by payment of assessments or fees levied by such district on the basis of parking spaces required but not provided. Unless a project for the construction of floor area has received design approval prior to December 19, 1983, or has undergone preliminary review pursuant to Chapter 16.48 on December 1st or 15th, 1983, the only portion of off-street parking required for construction of floor area in a parking assessment area which .may be satisfied by payment of assessments or levies made within such area on the basis of parking spaces required but not provided, is that portion of the parking requirements associated with the uses proposed to be conducted in that area of the floor equal to the exempt floor area for the site. Where only a portion of floor area constitutes exempt floor area, and uses with more than one parking standard as required by this chapter are proposed for said floor, the use on that portion of the floor which generates the highest parking requirement will be designated as the exempt floor area. All other required off-street parking, which is not satisfied by such payment of assessments, shall be provided in accordance with this chapter. This subsection shall be interpreted to allow changes in the use of all exempt floor area and nonexempt floor area existing as of February 16, 1984 without requiring additional parking; provided, that the change in use does not consist of a change from residential to nonresidential, or an increase in actual floor area which does not constitute exempt floor area. No project which has received design approval prior to December 19, 1983, or which has undergone preliminary review on December 1 st or 15th, 1983, shall increase the amount of floor area approved or reviewed or decrease the area designed or intended for parking without meeting the requirements of this chapter. 18.83.040 Basic regulations. (a) Off-street parking, loading and bicycle facilities shall be provided for any new building constructed and for any new use established, for any addition or enlargement of an existing building or use, and for any change in the occupancy of any building or the manner in which any use is conducted that would result in additional spaces being required, subject to the provisions of this chapter. (b)No use of land lawfully existing on July 20, 1978 is nonconforming solely because of the lack of off-street parking, loading, or bicycle facilities prescribed in this chapter; provided, that facilities being used for off- street parking on July 20, 1978, shall not be reduced in capacity to less than the number of spaces prescribed in this chapter or altered in design or function to less than the minimum standards prescribed in this chapter. (c)For additions or enlargements of any existing building or use, or any change of occupancy or manner of operation that would increase the number of parking, loading or bicycle spaces required, the additional parking shall be required only for such addition, enlargement, or change and not for the entire building or use. (d)Parking, loading or bicycle spaces required by this chapter for any building or use shall not be considered to meet the requirement for any other building or use, except where a joint facility serving more than one building or use contains the total number of spaces required for each building or use separately, or where adjusted parking requirements for joint use parking facilities are specifically authorized pursuant to Section 18.83.120. (e)Parking, loading or bicycle facilities required by this chapter, or provided optionally in addition to the minimum requirements prescribed by this chapter, shall conform to the design standards set forth in Sections 18.83.060 through 18.83.110. (f)Parking, loading and bicycle facilities required by this chapter shall be maintained for the duration of the use requiring such facilities, except as authorized pursuant to Section 18.83.120. (g)All off-street parking facilities required by this chapter shall be located on the same site as the use for which such facilities are required, except as authorized pursuant to Section 18.83.120. (h)No use shall be required to provide more spaces than prescribed by this chapter, or prescribed by the director of plarming and community environment in accord with this chapter, or prescribed by any conditional use permit, variance, or planned community district. Where additional spaces are provided, such spaces may be considered as meeting the requirements for another use, subject to Sections 18.83.120 and 18.83.130. 18.83.050 Schedule of off-street parking, loading and bicycle facility requirements. C-62 010904 syn 0090971 (a) (b) (c) In each district, off-street parking, loading and bicycle facilities for each use shall be provided in accord with this chapter. The requirement for any use not specifically listed shall be determined by the director of planning and community environment on the basis of the requirement for similar uses, and on the basis of evidence of actual demand created by similar uses in Palo Alto and elsewhere, and such other traffic engineering or planning data as may be available and appropriate to the establishment of a minimum requirement. The schedule of off-street parking, loading and bicycle facility requirements established by subsection (a) shall be a~plied as follows: (1) Where the application of the schedule results in a fractional requirement, a fraction of 0.5 or greater shall be resolved to the higher whole number. (2)For purposes of this chapter, gross floor area shall not include enclosed or covered areas used for off-street parking or loading, or bicycle facilities. (3)Where uses or activities subject to differing requirements are located in the same structure or on the same site, or are intended to be served by a common.facility, the total requirement shall be the sum of the requirements for each use or activity computed separately, except as provided by Table 1 in subsection (c). The zoning administrator, when issuing a conditional use permit(s) for multiple conditional uses on a site, may restrict the hours of operation or place other conditions on the multiple.uses so that parking needs do not overlap and may then modify the total parking - requirement to be based on the most intense use at any one time. (4)Where requirements are established on the basis of seats or person capacity, the building regulations provisions applicable at the time of determination shall be used to define capacity. (5)Where residential use is conducted together with or accessory to other permitted uses, applicable residential requirements shall apply in addition to other nonresidential requirements, except as provided by Sections 18.83.120 and 18.83.130. Tables 1 and 2. Section 18.83.050 - Table 1. Minimum Off-Street Parking Requirements Use Accessory employee housing or guest cottage Administrative office services: (a) In the LM District (b) In all other districts ...... Animal Care Facilities .......Automobile Service Station (a)Except in parking assessment area ......(b) In the California Ave. Minimum Off-Street Parking Requirement I space per unit 1 space for each 27.9 sq. m. (300 sq.ft.) of gross floor area 1 space for each 23.2 sq.m. (250 sq.ft.) of gross floor area l space for each 32.5 sq.m. (350 sq.ft.) of gross floor area 1 space for each 32.5 sq.m. (350 sq.ft.) of gross enclosed floor area, plus queue capacity equivalent to the service capacity of gasoline pumps 1 space for each 2.82 sq.m. None 10% of auto parking 10% of auto parking 10% of auto parking or 1 space-whichever is greater None. None. Minimum Bicycle Parking Requirement Spaces Class" 80% - I 20%- II 80%-I 20%-11 80%-I 20o/’o-III " For description of bicycle parking classes, refer to Section 18.83.080 C-63010904 syn 0090971 Use parking assessment area. Automotive Services: Minimum Off-Street Parking Requirement (310 sq.ft.) of gross enclosed floor area, plus queue capacity equivalent to the service capacity of gasoline pumps. (a)Enclosed, except in parking assessment areas (b)Open lot, except parking assessment areas (c)In the Califomia Ave. parking assessment area Business and Trade Schools Churches and religious institutions Commercial recreation Community, facilities, including swimming club, tennis club, golf course, community centers, neighborhood centers, and similar activities 1 space for each 32.5 sq.m. (350 sq.ft.) of gross floor area. 1 space for each 46.5 sq.m. (500 sq.ft.) of exterior sales, display, or storage site area. I space for each 13.9 sq.m. (150sq.ft.) of gross floor area, display, or storage on site. 1 space for each 4-person capacity, or 1 space for each 23.2 sq.m. (250 sq.ft.) of gross floor area, whichever is greater. I space fo each 4 seats or 4-person capacity, based on maximum use of all facilities at the same time. 1 space for each 4 seats or 4-person capacity, or as adjusted by the Zoning Administrator as part of the conditional use permit, not to exceed a 30% reduction. Minimum Bicycle Parking. Requirement Spaces None None None 10% of auto parking 10% of auto parking 25% of auto parking Class" 40% - I 60% - II - covered 20%- I 40% - II 40% - III 20% - I 20% - II 60% - III, or as adjusted by the Zoning Administrator as part of the conditional use permit. 1 space for each 4-person 25% of auto parking 20% - I 20% - II - covered 60% - III, or as adjusted by the Zoning Administrator as part of the conditional use permit 010904 syn 0090971 25% of auto parking None. 100% - II capacity based on maximum use of all facilities, or as adjusted by the Zoning Administrator as part of the conditional use permit, not to exceed a 30% reduction 1 space for each 2.5 patient beds (a) Day care centers: 1 space for each 1.5 employees (b) Day care homes: 2 spaces per dwelling unit, of which one space shall be covered (c)Family day care homes: 2 spaces per C-64 Day care centers, day care homes, family day care homes, and residential care homes Convalescent facilities 10% of auto parking 2 spaces - I Remainder- III 25% of auto parking 100%- II Use Downtown Universib’ Avenue Parking Assessment Area - all uses Drive-up windows providing services to occupants in vehicles Eating and Drinking services: (a)With drive-in or take- out facilities. (b)All others, except parking assessment areas. (c)All others, in the California Ave. parking assessment area. Financial services: (a)Bank, savings and loan offices with 696.7 sq.m. or less (7,500 sq.ft.) of gross floor area: 1. Except in the parking assessment areas 2.In the California Ave. parking assessment area. (b)Banks, savings and loan offices with more Minimum Off-Street Parking Requirement dwelling unit, of which one space shall be covered (d)Residential day care homes: 2 spaces, of which one space shall be covered, for the residential owners or tenants Where such uses are conditional, to be established by use permit conditions 1. space for each 23.2 sq. m. (250 sq. ft.) of gross floor area Queue line for 5 cars, not blocking any parking spaces, in addition to other applicable requirements 3 spaces for each 9.3 sq.m. (100 sq.ft.)of gross floor area. 1 space for each 60 gross sq.fi, of public service area, plus one space for each 200 gross sq.ft, for all other areas. 1 space for each 14.4 sq.m. (155 sq.fi.) of gross floor area 1 space for each 18.6 sq.m. (200 sq.ft.) of gross floor area 1 space for each 16.7 sq.m. (180 sq.ft.) of gross floor area None. 10% of auto parking None. 25% of auto parking 10% of auto parking 10% of auto parking Minimum Bicycle Parking Requirement Spaces Class" 40%- I 60% - III 40% - I 60% - Ill 40%- I 30% - II 30%- Ill 40% - I 60%- IIl 10% of auto parking 10% of auto parking 40% - I 60% - Ill 40% - I 60% - IIl C-65 010904s3~ 0090971 Use than 696.7 sq.m. (7,500 sq.ft) of gross floor area. 1.Except inthe parking assessment areas 2.In the California Ave. parking assessment areas (c) Others General Business Services: (a)Enclosed, except in parking assessment areas. (b)Enclosed, in the California Ave. parking assessment area. (c) Open lot Hospitals Hotel Lodging Manufacturing: (a) In the LM District (b) In all other districts Medical, professional, and general business offices: (a) In the LM District 010904 syn 0090971 Minimum Off-Street Parkino_, Requirement 1 space for each 23.2 sq.m. (250 sq.ff.) of~oss floor area 1 space for each 28.8 sq.m. (3 I0 sq.ft.) of gross floor area I space for each 23.2 sq.m. (250 sq.fi.) of gross floor area. 1 space for each 32.5 sq..m. (350 sq.ft) of gross floor area 1 space for each 33.4 sq.m. (350 sq.ft.) of gross floor area 1 space for each 46.5 sq.m. (500 sq.ft.) of sales, display or storage site area 1 space fo each 1.5 patient beds 1 space per guestroom; plus the applicable requirement for eating and drinking, banquet, assembly, commercial or other as required for such use, less 75 percent of the spaces required for guestrooms. 1 space for each lodging unit in addition to other residential use requirements 1 space for each 27.9 sq.m. (300 sq.ft.) of gross floor area 1 space for each 46.5 sq.m. (300 sq.ft.) of~oss floor area 1 space for each 27.9 sq.m, (300 sq.ft.) of gross floor area C-66 10% of auto parking. 10% of auto parking 10% of auto parking 10% of auto parking 10% of auto parking 10% of auto parking 10% of auto parking 10% of auto parking 1 space per lodging unit 10% of auto parking 10% of auto parking 10% of auto parking Minimum Bicycle Parkin~ Requirement Spaces Class" 40% - I 60% -III 40% - I 60% - III 40% - I 60% - III 80% - I 20% - II 80% - 1 20% - II 100% - III 60%- I 40%- II 40% - l 30%- II 30% - III 100% - I 80%- I 20% - II 80% - I 20°,/o - II 60% - I 40% - II Use "(b)In all other districts, except in parking assessment areas (c)In the Californi.a Ave. parking assessment area Mortuaries Multiple-family residential use (a) Guest parking Personal services: (a)Except in parking assessment areas. (b)In the California Ave. parking assessment area Private clubs, lodges and fraternal organizations Recycling Center Research and development: (a) In the LM District (b) In all other districts Retail: (a)Intensive. Except in the parking 010904 syn 0090971 Minimum Off-Street Parking Requirement 1 space for each 23.2 sq.m. (250 sq,ft.) of gross floor area 1 space for each 28.8 sq.m. (310 sq.ft.) of gross floor area 1 space for each 4 seats or 4-person capacity, plus funeral procession queue capacity of 5 cars 1.25 spaces per studio unit, 1.5 spaces per l-bedroom unit, or larger unit; of which at least one space per unit must be covered For projects exceeding 3 units: 1 space plus 10% of total number of units, provided that if more than one space per unit is assigned or secured parking, then guest spaces equal to 33% of all units is required. 1 space for each 18.6 sq.m. (200 sq.ft.) of~oss floor area 1 space for each 41.8 sq.m. (450 sq.fi.) of~oss floor area 1 space for each 4 seats or Minimum Bicycle Parking Requirement Spaces 10% of auto parking Class* 60% - I 40% - II 60% - I 40% - II 100%- II 10% of auto parking 2 spaces 100% - I1 space per unit 1 space for each I0 units 10% of auto parking 10% of auto parking 100% - Ill 4-person capacity based on 40% maximum of use of all 40% space at one time 1 space for each attendant None 1 space for each 27.9 sq.m.10% of auto parking 80% - I (300 sq.ft.) of gross floor 20% - II area 1 space for each 23.2 sq.m.10% of auto parking 80% - I (250 sq.ft.) of~oss floor 20% - II area 1 space for each 18.6 sq.m.10% of auto parking 20% - I (200 sq.ft.) of gross floor 40% - II C-67 -I - II -III 10% of auto parking 20% 20%- I 40%- II 40%- III 20%- I 40%- II 40%- II1 Use assessment areas. (b) Intensive in the California Ave. parking assessment area (c) Extensive (d) Open lot Schools and Educational Facilities: (a) Grades K-8 (b) Grades 9-12 Shopping Center Single-family residential use: (including second detached single-family dwelling units) (a) In the O-S district (b) In all other districts Two-family residential use Warehousing and distribution: (a) In the LM District (b) In all other districts Any use not specified Minimum Off-Street Parking Requirement area 1 space for each 22.3 sq.m. (240 sq.ft.) of gross floor area 1 space for each 32.5 sq.m. (350 sq.ft.) of gross floor area 1 space fo each 46.5 sq.m. (500 sq.ft.) of sales, display or storage site area 2 spaces per teaching station 4 spaces per teaching station 1 space for each 25.6 sq.m. (275 sq.ft.) of gross floor area For the primary dwelling unit, 4 spaces, of which one space must be covered For all additional units, 2 spaces per unit, of which one space must be covered 2 spaces per unit, of which one space must be covered 1.5 spaces per unit, of which one space must be covered 1 space for each 27.9 sq.m. (300 sq.ft.) of gross floor area 1 space for each 23.2 sq.m. (250 sq.ft.) of gross floor area To be determined by the Director of Planning and Communi~’ Environment Minimum Bicycle Parking Requirement Spaces Class" 10% of auto parking 10% of auto parking 10% of auto parking 1 space per every 3 students 1 space per every 3 students 10% of auto parking None None None 1 space per unit 10% of auto parking 10% of auto parking To be determined by the Director of Planning and CommuniW Environment 40% - III 20%- I 40%- II 40% - III 20%- I 40% - II 40% -III 100% - IIII 100% - III enclosed 100% - III enclosed 40%- I 30% - II 30%- III 100% - I 80% - I 20% - II 80%- I 20% - II 010904 syn 0090971 C-68 * For description of bicycle parking classes, refer to Section 18.83.080 Table 2. Minimum Off-Street Loading Requirements Use Automotive use Single-family residential use .... Two-family residential useMultiple-family residential use Lodging Dormitory, fraternity/sorority, or group housing where meals are provided in common dining facilities Housing for the elderly or other commnunit facility, where-meals are provided in common dining facilities Medical offices Professional offices General business offices Financial services Personal services Administrative office services Research and Development Hospitals Convalescent facilities Hotel Retail services Eating and drinking services Warehousing and distribution Manufacturing Minimum Off-Street Parking Requirements 0-2,786 sq. m. (0-29,999 sq. ft.) 2,787-6,502 sq. m. (30,000-69,999 sq. ft.) 6,503-11,148 sq. m. (70,000-120,000 sq. ft.) For additional 4,645 sq. m. (50,000 sq. ft.) over 11,148 sq.m. (120,000 sq.ft.) No requirement established No requirement established No requirement established 0-928 sq. m. (0-9,999 sq. ft.) 929-9,289 sq. m. (10,000-99,999 sq. ft.) 9,290 sq. m. (100,000 sq. ft.) 0-928 sq. m. (0-9,999 sq. ft.) 929-9,289 sq. m. (10,000-99,999 sq. ft.) 1 2 3 0 1 0 l 9,290-18,580 sq. m. (I00,000-2 199,999 sq. ft.) 18,581 sq. m. (200,000 sq. ft. or 3 ~eater) 0-464 sq. m. (0-4,999 sq. ft.) 2,787-6,502 sq. m. (30,000- 69,999 sq. ft.) 1 2 Minimum Bicycle Parking Requirement Spaces Class* 6,503-11,148 sq. m. (70,000- 120,000 sq. ft.) 1 additional space * For description of bicycle parking classes, refer to Section 18.83.080 C-69- 010904 syn 0090971 IAII uses not specifically listed To be determined by Director of Planning and Community Environment ¯ 18.83.060 Design standards - Purpose. Design standards are established to set basic dimensions and requirements for parking, bicycle and loading facilit.ies. Such standards shall be used by the building official, chief transportation official, the director of planning and community environment, the zoning administrator, the planning commission, the architectural review board, and any other authorities, departments, boards or commissions responsible for application and administration of parking, bicycle, and loading requirements established by this chapter. 18.83.070 Design standards - Accessible parking. (a) Compliance with Other Laws. The requirements for accessible parking facilities as described in this section are in conformance with the California Code of Regulations, Title 24, and the Americans with Disabilities Act of 1990. (b)Requirements for Residential Facilities. The requirements set forth in this section shall apply to common parking in residential.facilities of four or more units. These requirements shall not apply to parking which is restricted by design for the exclusive use of a single unit. (c)Number of Stalls Required. The following table establishes the number of accessible parking stalls required. Total Number of Parking Stalls in Parking Lot or Structure 1-25 26-50 51-75 76-100 101-150 151-200 201-300 301-400 401-500 Required Minimum Number of Accessible Parking Stalls 1 2 3 4 5 6 7 8 9 501-1000 2 percent of total 1000 and over 20 plus 1 for each 100 over 1000 One in every, eight accessible stalls, but not less than one, shall be "van accessible," and be specially signed as such, as described in subsections (e)(1) and (i) below. All such stalls may be grouped on one level of a parking structure. EXCEPTION: When fewer than five total parking spaces are provided at buildings and facilities subject to these regulations, one shall be fourteen feet wide and be lined to provide a nine-foot parking area and a five-foot loading and unloading area, as illustrated in Figure 1 of subsection (m). However, there is no requirement that this stall be van-accessible and no requirement that it be reserved exclusively or identified for use only by persons with disabilities. (d)Required Number of Stalls for Medical Facilities. At facilities providing medical care and other services for persons with mobility impairments, accessible parking stalls shall be provided in accordance with the table in subsection (c) above, except as follows: (1) Outpatient Units and Facilities. Ten percent of the total number of parking stalls provided serving each such outpatient unit or facility shall be accessible. (2)Units and facilities that specialize in treatment or services for persons with mobility impairments: twenty percent of the total number of parking stalls provided serving each such unit or facility shall be accessible. C-70010904s~ 0090971 (e) (0 (g) (h) (i) Parking Stall Sizes. (1) Van-Accessible. If only one van-accessible stall is provided, it shall be 5.18 meters (seventeen feet) wide and lined to provide a 2.74 meter (nine foot) parking area and a 2.44 (eight foot) loading and unloading area on the passenger side of the vehicle. When more than one van- accessible stall is provided, in lieu of providing a seventeen foot wide space for each parking stall, two stalls may be provided within a 7.92 meter (twenty-six foot) wide area lined to provide a 2.74 meter (nine foot) parking area on each side of a 2.44 meter (eight foot) loading and unloading area iri the center. The minimum length of each parking stall shall be 5.5 meters (eighteen feet). Ret~er to Figures 1 and 2 of subsection (m). (2)Non-Van-Accessible. If only one non-x;an-accessible stall is provided, it shall be 4.27 meters (fourteen feet) wide and lined to provide a 2.74 meter (nine foot) parking area and a 1.52 meter (five foot) loading and unloading area on the passenger side of the vehicle. When more than one stall is provided, in lieu of providing a fourteen foot wide space for each parking stall, two stalls can be provided within a 7.01 meter (twenty-three foot) wide area lined to provide a 2.74 meter (nine foot) parking area on each side of a 1.52 meter (five foot) loading and unloading area in the center. The minimum length ofeach parking stall shall be 5.5 meters (eighteen feet). Refer to Figures I and 2 of subsection (m). Parking Stall Location. Accessible parking stalls serving a particular building shall be located on the shortest accessible route of travel from adjacent parking to an accessible entrance. In parking facilities that do not serve a particular building, accessible parking shall be located on the shortest accessible route of travel to an accessible pedestrian entrance of the parking facility. In buildings with multiple accessible entrances with adjacent parking, accessible parking stalls shall be dispersed and located closest to the accessible entrances. Arrangement of Parking Stalls. In each parking area, a bumper or curb shall be provided and located to prevent encroachment of cars over the required width ofwalkways. The stalls shall also be located so that a person with a disability is not compelled to wheel or walk behind parked cars other than his/her own. Accessible pedestrian ways shall be provided from each such parking stall to related facilities, including curb cuts or ramps as needed. Ramps shall not encroach into any parking stall. EXCEPTION NO. 1: Ramps located at the front of accessible parking stalls may encroach into the length of such stalls when such encroachment does not limit the capability of a person with a disability to leave or enter his/her vehicle, thus providing equivalent facilitation. Refer to Figures 1 and 2 of subsection (m). EXCEPTION NO. 2: Where the accessibility standards advisory committee determines that compliance with any regulation of this subsection (g) would create an unreasonable hardship, a variance or waiver may be granted, when equivalent facilitation is provided. EXCEPTION NO. 3: Parking stalls may be provided which would require a person with a disability to wheel or walk behind other than accessible parking stalls when the accessibility standards advisory committee determines that compliance with these regulations or providing equivalent facilitation would create an unreasonable hardship. Slope of Parking Stall. Surface slopes of accessible parking stalls and passenger loading zones shall be a minimum of 1:100 (one percent, for drainage purposes) and shall not exceed 1:50 (2 percent) gradient in any direction. Identification. Each accessible parking stall shall be identified by a permanently affixed reflectorized sign constructed of porcelain on steel, beaded text, or its equivalent, displaying the international symbol of accessibility. The sign shall not be smaller than 45161.3 square millimeters (seventy square inches) in area and shall be centered at the interior end of the parking space at a minimum height of 2032 millimeters (eighty inches) from the bottom of the sign to the finished grade of the parking space, or centered on the wall at the interior end of the parking space at a minimum heist of 914.4 millimeters (thirty-six inches) from the finished grade of the parking space, ground, or sidewalk. Van-accessible parking stalls as described in subsection (e)(l) above shall have an additional sign "Van-accessible" mounted below the symbol of accessibility. A sign shall also be posted, in a conspicuous place, at each entrance to the off-street parking facility. The sign shall be no less than 431.8 millimeters (seventeen inches) by 558.8 millimeters (twenty-two inches) in size with lettering no less than 35.4 millimeters (one inch) in height, clearly and conspicuously stating the following: "Unauthorized vehicles parked in designated accessible spaces not displaying distinguishing placards or license plates issued for disabled persons may be towed away at owner’s expense. Towed vehicles may be reclaimed at or by telephoning. " Blank spaces are to be filled in with appropriate information as a permanent part of the sign. C-71 010904 syn 0090971 (J) (k) (m) In addition to the above requirements, the surface of each accessible parking stall shall have a surface identification duplicating either of the following schemes: by outlining or painting the stall in blue and painting on the ground in the stall, in white or suitable contrasting color, the international symbol of accessibility (a profile view depicting a wheelchair with occupant; or by painting the international symbol of accessibility on the ground in the stall in white on a blue background. The symbol shall be at least three feet by three feet square and be located so that it is visible to a traffic enforcement officer when a vehicle is properly parked in the space, as illustrated in Figures 1 and 2 of subsection (m). Vertical Clearance. Entrances to and areas within parking structures shall have a minimum vertical clearance of 2.49 meters (eight feet two inches) where required for access to accessible parking stalls. The minimum vertical clearance at accessible passenger loading zones and along at least one vehicle access route to such areas from site entrance(s) and exit(s) shall be 2.90 meters (nine feet six inches). EXCEPTION NO. 1: Where the accessibility standards advisory committee determines that compliance with this subsection would create an unreasonable hardship, an exception may be granted, when equivalent facilitation is provided. EXCEPTION NO. 2: This section shall not apply to existing buildings where the accessibility standards advisory committee determines that, due to legal or physical constraints, compliance with these regulations or equivalent facilitation would create an unreasonable hardship. Accessible Passenge( Loading Zones. If passenger loading zones are provided, then at least one passenger loading zone shall be accessible. Accessible passenger loading zones shall provide an access aisle at least 1.52 meters (five feet) wide and 6. l0 meters (twenty feet) long adjacent and parallel to the vehicle pull-up space (Refer to Figure 2 of subsection (m)). If there are curbs between the access aisle and the vehicle pull- up space, then a curb ramp shall be provided. (l) Valet Parking. Valet parking facilities shall provide a passenger loading zone complying with subsection (k) above, located on an accessible route to the entrance of the facility. The requirements of this section apply to facilities with valet parking. Figures ! and 2. [Editor’s Note: Figures 1 and 2 may be found at the end of this chapter in a printed edition of this code.](Ord. 4079 § 4 (part), 1992) 18.83.080 Design standards - Bicycle parking facilities. (a) Classifications of Bicycle Parking Facilities. (1) Class I Facilities. Intended for long-term parking; protects against theft of entire bicycle and of its components and accessories. The facility must also protect the bicycle from inclement weather, including wind-driven rain. Three design alternatives for Class I facilities are as follows: (A) Bicycle Locker. A fully enclosed space accessible only by the owner or operator of the bicycle. Bicycle lockers may be premanufactured or designed for individual sites. All bicycle lockers must be fitted with key locking mechanisms. In multiple-family developments, the Class I bicycle parking and required storage area for each dwelling unit may be combined into one locked multi-use storage facility provided that the total space requirement shall be the sum of the requirements for each use computed separately. The preferred Class I facility is a bicycle locker. Restricted access facilities and enclosed cages may be considered as alternatives to bicycle lockers as indicated below. Class I facilities other than lockers, restricted access rooms, or enclosed cages, but providing the same level of security, may be approved by the director of planning and community environment. (B)Restricted Access. Class III bicycle parking facilities located within a locked room or locked enclosure accessible only to the owners or operators of the bicycles parked within. The maximum capacity of each restricted room.or enclosure shall be ten bicycles. An additional locked room or enclosure is required for each maximum increment often additional bicycles. The doors of such restricted access enclosures must be fitted with key locking mechanisms. In multiple-family residential developments, a common locked garage area with Class II bicycle parking facilities shall be deemed restricted access provided the garage is accessible only to the residents of the units for whom the garage is provided. C-72010904s~0090971 (b) (C)Enclosed Cages. A fully enclosed chain link enclosure for individual bicycles, where contents are visible from the outside, and which can be locked by a user-provided lock. The locking mechanism must accept a three-eighths inch diameter padlock. This type of facility is only to be used for retail and service uses and multiple family developments. (2)Class II Facilities. Intended for short-term parking. A stationary object to which the user can lock the frame and both wheels with only a lock furnished by the user. The facility shall be designed so that the lock is protected from physical assault. A Class II rack must accept padlocks and high s@curity U-shaped locks. (A) Class II facilities must be within constant visual range of persons within the adjacent building or located in well-traveled pedestrian areas. (B)Class II facilities must be located at street floor level. (C)Class II facilities should be protected from the weather whenever possible. (3)Class Ill Facilities. Intended for short-term parking. A stationary object to which the user can lock the frame and both wheels with a user-provided cable or chain (six foot) and lock. (A) All Class III facilities must be located at street floor level. The following general design standards shall be observed: (1) Class II and Class III facilities shall provide at least a twenty-four-inch clearance from the centerline of each adjacent bicycle, and at least eighteen inches from walls or other obstructions. (2)An aisle or Other space shall be provided to bicycles to enter and leave the facility. This aisle shall have a width of at least five feet (1.5 meters) to the front or the rear of a standard six-foot (1.8 meters) bicycle parked in the facility. (3)Parking facilities shall support bicycles in a stable position without damage to wheels, frame, or components. Facilities designed for hanging or vertical storage of bicycles shall not satisfy the requirements of this chapter. (4)Bicycle parking should be situated at least as conveniently as the most convenient vehicle parking area. Bicycle and vehicle parking areas shall be separated by a physical barrier or sufficient distance to protect parked bicycles from damage by vehicles. (A) Class I facilities at employment sites shall be located near the building entrances used by employees. (B)Class II or Class III facilities intended for customers or visitors shall be located near the main building entrances used by the public. (5)Paving of bicycle parking areas is required. (6)Convenient access to bicycle parking facilities shall be provided. Where access is via a sidewalk or pathway, curb ramps shall be installed where appropriate. (7)Signage of Bicycle Parking Facilities. (A) Where bicycle parking areas are not clearly visible to approaching bicyclists, signs shall be posted to direct cyclists to the facilities. (B) All bicycle parking areas shall be identified by a sign of a minimum of twelve inches by twelve inches in size to identify the area for bicycle parking and to give the name, phone number or location of the person in charge of the facility. (C)Where Class I parking required by this chapter is provided by restricted access parking, the sign shall state that the bicycle enclosure shall be kept locked at all times. (8)Lighting shall be provided in all bicycle parking areas. In both exterior and interior locations, lighting of not less than one foot-candle of illumination at ground level shall be provided. (9)The director of planning and community environment shall have the authority to review the design of all bicycle parking facilities required by this chapter with respect to safety, security, and convenience. 18.83.090 Design standards - General parking facilities. (a) (b) (c) Requirements for dimensions of parking facilities at, above, and below grade are contained in this section and in Figures 3 - 5 and Tables 3-10 of subsection (m). Stalls and aisles must be designed such that columns, walls, or other obstructions do not interfere with normal vehicle parking maneuvers. All required stall and aisle widths must be designed to be clear of such obstructions. The required stall widths shown in Tables 3 - 5b of subsection (m) shall be increased by 0.15 meter (0.5 foot) for any stall located immediately adjacent to a wall, whether on one or both sides. C-73 010904 syn 0090971 (d) (e) (0 (g) (h) (0 (J) (k) (1) (m) Dead end aisles shall be avoided to the greatest extent feasible. Except for at-grade parking facilities serving a maximum of two dwelling units, all parking facilities shall be set back a sufficient distance from the street so that vehicles need not back out into or over a public street (not including an alley) or sidewalk. Each standard off-street parking stall, except for compact or uni-class parking stalls, shall consist of a rectangular area not less than 2.6 meters (eight and one-half feet) wide by 5.5 meters (eighteen feet) long. As an alternate to the provision of standard and compact parking stalls specified in Tables 3, 4a, and 4b of subsection (m), uni-class parking stalls may be installed as specified in Tables 5a and 5b of subsection (m) for all uses requiring five or more parking stalls. Standard and compact parking stalls shall not be used on a site where uni-class parking stalls are used. Dimensions of standard, compact, and uni-class stalls for parallel parking shall be as follows. The minimum dimensions of such a stall located adjacent to a wall shall be 3.0 meters (ten feet) wide and 6.1 meters (twenty feet) long. The minimum dimensions of such a stall located adjacent to a curb with a minimum two-foot clearance to a wall shall be 2.4 meters (eight feet) wide and 6.1 meters (twenty feet) long. These required stall widths are in addition to the required width of the access driveway or aisle. Each off-street loading space shall consist of a rectangular area not less than 3.7 meters (twelve feet) wide, 13.7 meters (forty-five feet) long, with a vertical clearance of not less than 4.3 meters (fifteen feet). Each parking and loading space shall have adequate drives, aisles, and turning and maneuvering areas for access and usability, and shall at all times have access to a public street or alley. Tandem parking shall be allowed only in the R-1 and RE single-family residence districts, and in parking assessment areas as specified in Section 18.83.130. The slope of driveways shall not exceed fifteen percent in the hazardous fire area (i.e., that area west of Interstate 280). Figures 3 - 5 and Tables 3 - 10. [Editor’s Note: Figures 3 - 5, and Tables 3 - 10, which refer to said Figures 3 - 5, may be found at the end of this chapter in a printed edition of this code.](Ord. 4079 § 4 (part), 1992) [Pages 18153 to 18160.2 of the PAMC[ 18.83.100 Design standards - Landscaping in parking facilities and required landscaped areas. The following minimum standards shall be observed; however, additional landscaping may be recommended by the architectural review board and required by the director of planning and community environment pursuant to Chapter 16.48 of the Palo Alto Municipal Code: (a) (b) Each unenclosed parking facility shall provide a perimeter landscaped strip at least five feet wide between and adjacent to a line defining the exterior boundary of the parking area and the nearest adjacent property line, not separated by a building. The perimeter landscaped strip may include any landscaped yard or landscaped area otherwise required, and shall be continuous except for required access to the site or to the parking facility. Where the landscaped strip adjoins a public street or pedestrian.walkway, the landscaped strip may be required to include a fence, wall, berm, or equivalent feature. Where the parking facilit3,adjoins another site, a fence, wall, or other equivalent screening feature may be required. Interior landscaping is required within the parking facility between the perimeter landscaped area and the edge of pavement adjacent to any building on the site. Each unenclosed parking facility shall provide a minimum of interior landscaping in accord with the following table. Where the total parking provided is located in more than one location on a site separated by differences in grade or by at least 3.0 meters (ten feet) of nonpaved area, each such area shall be considered a separate facility for the purpose of this requirement. Size of Facility in Square Meters (Square Feet) Under 1,394 (14,999) 1,394-2,787 (15,000-29,999) 2,788 and ~reater (30,000) Total Parking Facili~ Area) Minimum of Required Interior Landscaping (Percentage of Total Parking Facilit~ Area) 5% 7.5% 10% C-74010904 syn 0090971 (c) (d) (e) (f) (g) (h) (i) (j) (k) (1)Interior landscaped islands within a parking area shall have a minimum dimension of five feet by five feet, excluding curbing. (2)Landscaped islands shall exist for every ten spaces in a single row. (3)Parking lot trees shall be planted or exist for each six parking stalls. Only fifty percent of the trees located along the perimeter of the parking area may count toward the required number of trees.. Trees requii’ed to meet any section of this title shall be a minimum fifteen gallon size, and twenty-five percent shall be twenty-four-inch box or larger. Fifty percent of shrubs shall be a minimum of five gallon size. The minimum plant size requirements set forth in this section may be decreased pursuant to Chapter 18.82 in any site and design review combining district. Areas required to be landscaped may contain no more than twenty-five percent impervious surface, exclusive of driveways and walkways needed by access to the site. Where this title requires a landscaped screen or buffer, a combination of trees and shrubs shall be used and the following minimum standards shall apply: (1) On sites abutting or located opposite a residential site, a dense visual buffer shall be provided. In addition, trees shall be planted or shall exist at a ratio of not less than one tree per three hundred square feet of the landscape screen or fraction thereof, and supplemented with shrubs and groundcover. (2)Landscape screens required by Chapter 18.41 and areas subject to Chapter 18.70, shall provide a dense visual buffer. In addition, trees shall be planted or in existence at a ratio of not less than one tree per six hundred square feet of the landscape screen area or fraction thereof, and supplemented with shrubs and groundcover. Provision shall be made for automatically irrigating all planted areas. A permanent curb, bumper wheel stop or similar devices shall be installed which shall be adequate to protect the required sidewalks, planters, landscaped areas and structures from vehicular damage. If such protection is provided by means of a method designed to stop the wheel, rather than the bumper of the vehicle, the stopping edge shall be placed no closer than two feet from the edges of the required sidewalks or any building. The innermost two feet of each parking space (between the curb and any planter or sidewalk) may remain unpaved, be planted with low groundcover, and added to landscaping, to allow for bumper overhang. All landscaping shall be continuously maintained. Architectural planters built on top of a deck covering a below-grade parking structure, and proposed to meet minimum requirements for landscaped areas, shall have a soil depth dimension of at least eighteen inches for shrubs and thirty-six inches for trees, and have drainage outlet(s) connected to a storm drain system. The landscaping standards set forth above shall not apply to temporary parking facilities; however, the architectural review board, through its review, may require minimum landscaping for such facilities. (1)Landscaping height must meet the requirements of Section 18.83.110(b) (sight distance) within a parking lot and at the intersection of a parking facility driveway or ramp and a public street. 18.83.110 Design standards - Other. (a) Vertical Clearance. All standard, compact, and uni-class parking stalls shall have a vertical clearance of not less than 2.3 meters (seven and one-half feet), except in the R-E and R-1 single-family residence districts, where the vertical clearance shall not be less than 2.13 meters (seven feet). Accessible parking stalls and access to such stalls, must meet the requirements for vertical clearance of Section 18.83.070. (b) Sight Distance. (1) For residential uses of three or more units, and for all nonresidential uses, including public facilities, clear sight distance triangles for exiting driveways shall be provided as shown in Figure 6 of this subsection (b)*. In the non-zero setback zone only, ifa stop sign is provided at the driveway exit, the chief transportation official may decrease the required dimensions of the sight distance triangles. For cases not covered by Figure 6, sight distance triangles shall be provided as required by the chief transportation official. Neither the sight distance triangles nor any portion of the public right of way shall contain any wall, sign, berm, or other obstruction that is greater than three feet high above driveway grade, unless its width (measured in any direction or diameter) is eighteen inches or less. Nor shall the sight distance triangles or any portion of the public right of C-75010904 syn 0090971 (2) way contain any landscaping, except trees, that is greater than two feet in height above top of curb grade (refer also to Sections 8.04.050(a)(8) and 9.56.030(a)(10)). The height of landscaping shall be its maximum untrimmed natural growth height. In a parking lot, within the twenty-foot triangle of public or private property, measured from the projected curb or edge lines, at the intersection of a parking lot aisle with another aisle, driveway, or pedestrian walkway, there shall be no wall, sign, berm, landscaping (except trees), or other obstruction that is greater than three feet high above parking lot grade, unless its width is eighteen inhhes or less. The height of landscaping shall be its maximum untrimmed natural growth height. Editor’s Note: Figure 6, referred to herein, may be found at the end of this chapter in a printed edition of this code. [Page 18160.5 of the PAMC] (c)Additional requirements for parking facility design, internal layout, acceptable turning radii and pavement slope, vehicular and pedestrian circulation, and other design features may be adopted by the director of planning and community environment when deemed appropriate. (d) (e). (g) (h) (i) Paving and Drainage. The following basic standards shall be observed: (1) In all districts except the OS (open space) and AC (agricultural conservation) districts, parking and loading facilities shall be surfaced and maintained with asphaltic concrete, or other permanent, impervious surfacing material sufficient to prevent mud, dust, loose material, and other nuisances. (2)In the OS and AC districts, and for temporary parking facilities in any district, gravel surfacing shall be permitted as approved by the city engineer. (3)All parking and loading facilities shall be graded and provided with permanent storm drainage facilities, meeting the construction specifications set by the city engineer. Surfacing, curbing, and drainage improvements shalt be sufficient to preclude free flow of water onto adjacent properties or public streets or alleys, and to preclude standing pools of water within the parking facility. Safety Features. Parking and loading facilities shall meet the following standards: (1) Safety barriers, protective bumpers or curbing, and directional markers shall be provided to assure safety, efficient utilization, protection to landscaping,, and to prevent encroachment onto adjoining public or private property. (2)Visibility of and between pedestrians, bicyclists, and motorists shall be assured when entering individual parking spaces, when circulating within a parking facility, and when entering and exiting a parking facility. (3)Internal circulation patterns, and the location and traffic direction of all access drives shall be designed and maintained in accord with accepted principles of traffic engineering and traffic safety. Lighting. Lights provided to illuminate any parking facility or paved area shall, to the maximum extent feasible, be designed to reflect away from any residential use. Noise. Areas used for primary circulation, for frequent idling of vehicle engines, or for loading activities shall be designed and located to minimize impacts on adjoining properties, including provisions for screening or sound baffling. Maintenance. All parking and loading facilities shall be maintained to assure desirability and usefulness of the facility. Such facilities shall be maintained free of refuse, debris, or other accumulated matter and shall at all times be available for the intended off-street parking or loading use for which they are required or intended. Application of Design Standards to Other Paved Areas. The standards of this section shall apply to all paved areas used for outdoor display, storage, sales, or other purposes associated with permitted and conditional office, commercial, or industrial uses. 18.83.120 Adjustments to requirements by the director of planning and community environment. Automobile and bicycle parking requirements prescribed by this chapter may be adjusted by the director of planning and community environment in the following instances and in accord with the prescribed limitations, when in his/her opinion such adjustment will be in accord with the purposes of this chapter and will not create undue impact on existing or potential uses adjoining the site or in the general vicinity. C-76010904 syn 0090971 (a) (b) (c) (d) (e) (f) Substitution of Bicycle Facilities for Required Vehicle Facilities. Eight Class I bicycle parking facility spaces in addition to minimum bicycle requirements may be substituted for one required vehicle parking stall, up to a maximum of five percent of the vehicle stalls required. On-site Employee Amenities. Square footage of commercial or industrial uses to be used for an on-site cafeteria, recreational facility, and/or day care facility, to be provided to employees or their children and not open to the general public, may be exempted from the parking requirements of this title, when, in the judgment of the director of planning and community environment, the provision of the facilities at the place of employment will reduce traffic to and from the site and will reduce the number of parking stalls needed. Notice of any adjustment made pursuant to this subsection shall be given in accord with the provisions of Chapter 18.93. Any ag~ieved or affected person may appeal an adjustment made pursuant to this subsection in accord with the provisions of Chapter 18.93. Unless such an appeal is filed within the time specified therefor, the decision of the director- of planning and community environment shall become final upon the expiration of said time period. Joint Use Parking Facilities. For any site or sites with multiple uses where the application of this chapter requires a total of thirty or more spaces, the total number of spaces initially required by application of the schedule may be reduced by not more than twenty percent where in the judgment of the director of planning and community environment the joint facility will serve all existing, proposed, and potential uses as effectively and conveniently as would separate parking facilities for each use or site. Notice of any adjustment made pursuant to this subsection shall be given in accord with the provisions of Chapter 18.93. Any aggrieved or affected person may appeal an adjustment made pursuant to this subsection in accord with the provisions of Chapter 18.93. Unless such an appeal is filed within the time specified therefor, the decision of the director of planning and community environment shall become final upon the expiration of said time period. Housing for the Elderly. The total number of spaces required may be reduced by not more than fifty percent, when in the judgment of the director of planning and community environment, such reduction will be commensurate with the reduced parking demand created by the housing facility, including visitors and accessory facilities. Notice of any adjustment made pursuant to this subsection shall be given in accord with the provisions of Chapter 18.93. Any aggrieved or affected person may appeal an adjustment made pursuant to this subsection in accord with the provisions of Chapter 18.93. Unless such an appeal is filed within the time specified therefor, the decision of the director of planning and community environment shall become final upon the expiration of said time period. Deferral of Meeting Full Requirement. Where the expected need for off-street parking or bicycle facilities for a particular use is uncertain, due to un "known or unusual operating characteristics of the use and unavailability of comparable data to establish need, the director of planning and community environment, upon recommendation of the architectural review board, may authorize that construction and provision of not more than fifty percent of the required off-street parking stalls and not more than twenty-five percent of the bicycle parking spaces be defen-ed. The number of bicycle parking spaces deferred shall be apportioned by class in the same percentages as indicated in Table 1 of Section 18.83.050. The director of planning and community environment may set such conditions as necessary to guarantee provision of such deferred spaces whenever the director of planning and community environment determines the need to exist. Land area required for provision of deferred parking or bicycle spaces shall be maintained in reserve and shall be landscaped pursuant to a plan approved by the architectural review board demonstrating that ultimate provision of the deferred spaces will meet all requirements of this chapter. Transportation and Parking Alternatives. Upon demonstration to the director of planning and community environment that effective alternatives to automobile access are in effect, the director of planning and community environment may defer by not more than twenty percent the parking requirement otherwise prescribed for any use, or combination of uses on the same or adjoining sites, to an extent commensurate with the permanence, effectiveness, and the demonstrated reduction of off-street parking demand effectuated by such alternative pro~ams. Land area required for provision of deferred parking stalls shall be maintained in reserve and shall be landscaped pursuant to a plan approved by the architectura! review board demonstrating that ultimate provision of the deferred stalls will meet all requirements of this chapter. The director of planning and community environment shall set such conditions as necessary to guarantee provision of such deferred stalls whenever the building official determines the need to exist. Alternative programs which may be considered by the director of planning and community environment under this provision include, but are not limited to the following: C-77 010904 syn 0090971 (g) (I)Immediate proximity to pubic transportation facilities serving a significant portion of residents, employees, and/or customers; (2)Operation of effective private or company carpool, vanpool, bus, or similar transportation programs; (3)Evidence that a proportion of residents, employees, and/or customers utilize, on a regular basis, bicycle transportation alternatives commensurate with reduced parking requirements. Off-Site Parking. Except in parking assessment areas, the director of planning and community environment may authorize all or a portion of the required parking for a use to be located on the site not more than 152.4 meters (500 feet) from the site of the use for which such parking is required, where in his judgment, such authorization will be in accord with the purposes of this chapter. Within parking assessment areas, the director of planning and community environment may authorize all or a portion of the required parking for a use to be located on the site within the parking assessment area or not more than 152.4 meters (500 feet) from the boundaries of the area where the zoning of such site permits parking as a use. The director of planning and community environment shall require such covenants and guarantees as deemed necessary to ensure use and maintenance of such parking facilities. 18.83.130 Adjustments to requirements in parking assessment areas by the zoning administrator. Automobile parking requirements prescribed in this chapter may be adjusted by the zoning administrator for properties within parking assessment areas in the following instances and in accord with the prescribed limitations where, in his/her opinion, such adjustment will be in accord with purposes of this chapter and will not create undue impact on existing or potential uses adjoining the site or in the general vicinity.. Application for such adjustment by the zoning administrator shall be subject to application requirements as set forth in Section 18.90.020 and shall necessitate the conduct of a public hearing to be noticed in accord with the requirements of Section 18.90.030. The decision of the zoning administrator shall be subject to appeal as set forth in Chapter 18.92. (a)¯ Tandem Parking. Tandem parking (a multiple parking configuration locating one stall behind another) may be allowed where in the judgment of the zoning administrator the parking will serve all proposed uses conveniently. The zoning administrator shall require such covenants and guarantees as deemed necessary to ensure use and maintenance of such parking facilities. (b)Percentage of Compact Parking Stalls. For parking facilities exceeding five stalls, a maximum of fifty percent compact parking stalls may be allowed. (c)Shared Parking Facilities. For any site or sites where the hours and days of operation are such that joint use of on-site private or nearby public parking facilities can occur without conflict, and the use is exempt from parking assessment, the number of parking stalls required for any new development or addition may be reduced by no more than ten stalls, where, in the judgment of the zoning administrator, the available parking will serve all existing, proposed, and potential uses as effectively and conveniently as would separate parking facilities for each use or site. 010904 syn 0090971 C-78 Chapter 18.85 SPECIAL REGULATIONS FOR HAZARDOUS WASTE FACILITIES Sections: 18.85.010 t 8.85.020 18.85.030 18.85.04O 18.85.050 18.85.O60 18.85.010 Purpose and applicability. Definitions. Hazardous waste facility combining district. Zoning map designation. Sike development regulations. Residuals repositories prohibited. Purpose and applicability. (a) (b) (c) The purpose of this chapter is to require all proposals for new or expanded hazardous waste facilities to comply with certain siting criteria, contained in the Santa Clara County Hazardous Waste Management Plan, in order to assure compatibility with neighboring land uses, adequate mitigation for any identified environmental impacts, and consistency with the city’s Comprehensive Plan and zoning and the county hazardous waste management plan. This chapter shall apply to any proposal for a new or expanded hazardous waste facility. No new hazardous waste facility shall be constructed or established, nor shall any existing such facility be expanded, unless such facility is located in a hazardous waste facility (HW) combining district. 18.85.020 Definitions. The following words and phrases, whenever used in this chapter, shall be construed as defined in this section: (a)"Hazardous waste" means a waste as defined in California Health and Safety Code Section 25117. (b)"Hazardous waste facility" means a facility, as defined in California Health and Safety Code Section 25117.1, which accepts hazardous wastes that are generated at another location (i.e. off-site) and serves more than one producer of hazardous waste. Types of such facilities include, but are not limited to: (1) Treatment facilities, which absorb, precipitate, recycle, resource recover, neutralize, distill, stabilize, and/or incinerate the wastes; (2)Transfer and storage facilities, which provide a location for collecting and consolidating wastes prior to treatment; and (3)Residuals repositories, which are specially designed, long-term disposal sites for residuals from treated wastes. 18.85.030 Hazardous waste facility, combining district. The hazardous waste facility (HW) combining district is intended to provide a mechanism for application for the siting criteria contained in the county hazardous waste management plan to all applications for a new or expanded hazardous waste facility. The hazardous waste facility (HW) combining district may be combined with the LM District in the Stanford Research Park, in accord with Chapters 18.08 and 18.98 of this title. 18.85.040 Zoning map designation. The hazardous waste facility (HW) combining district shall apply to properties designated on the zoning map by the symbol "HW" within parentheses, following the limited industrial/research park (LM) designation with which it is combined. 18.85.050 Site development regulations. Within the hazardous waste facility (HW) combining district, the siting criteria set forth in this section shall apply to all new or expanded hazardous waste facilities: (a)A minimum buffer zone of two thousand feet should be provided between the portion of a hazardous waste facility where hazardous waste will be stored, treated, or disposed and an existing or planned residence or immobile population. Based on the risk assessment and analysis of environmental impacts, a buffer zone of greater or less than two thousand feet may be required to protect the present and future public health, safety, and welfare. (b)A minimum buffer zone of two thousand feet should be provided between the portion of a hazardous waste facility where hazardous waste will be stored, treated, or disposed and an existing or planned public facility. Based on the risk assessment and analysis of environmental impacts, a buffer zone of greater or less than two thousand feet may be required to protect the present and future public health, safety, and welfare. C-79 010904 syn 0090971 (c) (e) (f) (g) (h) (i) (k) (1) (m) (n) (o) (p) Siting of hazardous waste facilities will require an analysis of local emergency response capability - including fire, police, medical, and hazardous materials incident response personnel to ensure adequate protection in the event of an accident at the proposed facility. It may be necessary for the facility developer to supplement these capabilities by maintaining additional emergency response equipment and/or personnel onsite, by financially upgrading the local capabilities to provide these needed services, and/or by providing additional facility design features to limit the impact of potential accidents at the facility. To the maximum extent possible, hazardous waste facilities shall be located in close proximity to major. paved roads designed and constructed to accommodate heavy vehicles, with good access to divided highways or freeways. All designated routes should preclude the transport of hazardous waste on residential streets and in areas housing immobile populations. The applicant for a hazardous waste facility to be sited within three thousand feet of a known or suspected fault, as established by the Alquist-Priolo maps of the state of California or identified in the most recently available local maps or information, shall conduct a subsurface exploration to determine that there are no active faults within two hundred feet of the portions of the facility where hazardous waste will be stored, treated, or disposed. The portions of a hazardous waste facility where hazardous waste will be stored, treated, or disposed shall not be located within two hundred feet of an active (Holocene Period) earthquake fault, as established by the Alquist-Priolo maps of the state of California or identified in the most recently available local maps or information. Hazardous waste facilities should not be located in areas below a dam or levee structure that would be inundated by the flow of water, if the dam or levee structure were to fail. Facilities locating in such areas shall be designed, constructed, operated, and maintained to preclude failure due to such an event. Hazardous waste facilities should not be located in areas subject to inundation by floods having a 100-year retum period or by flash flooding or major surges from storms, river flooding or rainfall (as identified on Federal Flood Insurance Rate Maps). Facilities locating in such areas shall be designed, constructed, operated, and maintained to preclude failure due to such an event. Hazardous waste facilities should not be located in areas where slope exceeds fifteen percent unless site- specific factors mitigate the impact of the site’s slope. Facilities locating in such areas shall require appropriate land use designations. Hazardous waste facilities should not be located in areas of potential rapid geologic change (such as landslide, soil creep, earth flow, other mass movement of earth material, subsidence or liquefaction) unless the applicant demonstrates and the local jurisdiction makes a finding that an overriding public need is served by allowing the facility to be located on the proposed site. Facilities locating in such areas shall be designed, constructed, operated and maintained to preclude failure as a result of rapid geologic change. All applicants for a hazardous waste facility are required to obtain written comments from the Santa Clara Valley Water District (SCVWD) regarding the potential for a proposed facility to adversely impact water quality or resources. Based on the SCVWD letter and other information obtained during the land use decisionmaking process, the proposed facility may be disallowed, further hydrogeological investigation may be required of the applicant, or, if the facility is allowed, appropriate environmental protection measures may be required. Hazardous waste facilities should not be located in watershed areas tributary to any reservoirs as well as those drainage basins supplying water to major recharge areas. Facilities locating in such areas shall have appropriate engineered containment features, inspection measures, and other environmental protection controls necessary to minimize any risks to watershed areas. Hazardous waste facilities should not be located in areas known to be, or suspected of, supplying principal recharge to a major aquifer. Facilities locating in such areas shall have appropriate engineered containment features, inspection measures and other environmental protection controls necessary to minimize any risks to recharge areas. Hazardous waste facilities should not be located within the cone of depression created by pumping a well or well field (included are drinking water, irrigation, and remediation and monitoring wells) for ninety days, unless an effective hydrogeological barrier to vertical flow exists. Hazardous waste facilities should not be located on highly permeable soils or sediment. Facilities locating in such areas shall have appropriate engineered containment features, inspection measures, and other environmental protection controls provided in accordance with the requirements of the State Water Resources Control Board. Hazardous waste facilities should not be located in areas posing a threat of contamination to useable surface water supplies or groundwater. Facilities locating in such areas shall have appropriate engineered C-80010904 syn 01390971 (q) (r) (s) (t) (u) (v) (w) (x) (y) (z) containment features, inspection measures, and other environmental protection controls necessary to minimize any risks to surface or groundwater. Hazardous waste facilities should not be precluded from locating in non-attainment areas unless the risk assessment shows that emissions will significantly contribute to non-attainment of standards, that such emissions cannot be mitigated, and that the emissions from such facilities are significantly greater than those associated with the transport of hazardous waste out of the area. Hazardous waste facilities shall demonstrate that air emissions can be adequately mitigated in order to be established in PSD areas. Hazardous waste facilities shall not be located within an area designated by the United States Department of Defense or the Santa Clara County Airport Land Use Commission as having the greatest potential for aircraft accidents, generally defined as the area immediately surrounding a public or military airport, including the immediate approach and take-offpaths. Low-volume transfer and storage facilities may be allowed in areas having particular cultural, aesthetic, historical, or archaeological significance or within other designated open space identified in the applicable general plan or in any regional or state plan, if necessary, to handle hazardous waste generated by visitors, workers, or residents, thereof. Treatment and incineration facilities shall not be located within these areas. Hazardous waste facilities should not be located on prime agricultural lands, specifically areas designated by the Soil Conservation Service as Class 1 or Class 2 soils or designated as prime agricultural land in the applicable general plan or in any regional or state plan. Facilities locating on such areas shall be allowed only if the local jurisdiction makes a finding that an overriding public need is served by allowing the facility to be located on the proposed site. Hazardous waste facilities shall not be sited so as to preclude extraction of mineral resource deposits that may be suitable for commercial development or hold outstanding scientific significance. Facilities shall be carefully planned so as not to prevent or restrict the preservation or use of mineral deposits in areas identified under the California Surface Mining and Reclamation Act of 1975 with classifications of MRZ-2, MRZ-3, or SZ. Hazardous waste facilities shall not be located in wetland areas as defined by the U.S. Fish and Wildlife Service. Hazardous waste facilities shall not be located within critical habitats of endangered species, as defined or designated in the applicable general plan or in any regional or state plan. Hazardous waste facilities shall be consistent with the goals and policies of the Santa Clara County Hazardous Waste Management Plan, and specifically, shall be designed and sized to meet the needs of hazardous waste generators located in Santa Clara County, or to meet the county’s broader commitments under any interjurisdictional agreements. Hazardous waste facilities shall be located only in areas which meet all the siting criteria set forth in this section and are consistent with the city’s Comprehensive Plan. These facilities shall be located only in areas consistent with existing and proposed industrial areas. An applicant may seek a general plan amendment for a site that appears to meet all other siting criteria. 18.85.060 Residuals repositories prohibited. Because no locations exist in the city where a residuals repository could be located in a manner consistent with the siting criteria for such facilities contained in the county hazardous waste management plan, no such facility shall be permitted. C-81010904 syn 0090971 Chapter 18.88 SPECIAL PROVISIONS AND EXCEPTIONS Sections: 18.88.010 18.88.020 18.88.030 18.88.040 18.88.050 18.88.060 18.88.070 18.88.080 18.88.090 18.88.100 18.88.110 18.88.130 18.88.140 18.88.150 18.88.160 18.88.170 18.88.180 18.88.190 Application. Accessory uses and facilities. Location of accessory buildings. Separation between buildings. Stibstandard lots. Utility easements. Watercourse or channel. Measurement. Projections into yards. Height exceptions. Permitted uses and facilities in required yards. Home occupations. Mobile homes (manufactured housing). Hazardous conditions. Vehicle and equipment repair and storage. Setback map. Clothesline restrictions prohibited. Reverse vending machines. 18.88.010 Application. The regulations established by this title shall be subject to the special provisions and exceptions set forth in this chapter. 18.88.020 Accessory uses and facilities. (a) Accessory uses and facilities shall be permitted in any district when incidental to and associated with a permitted use or facility, or when incidental to and associated with an allowable and authorized conditional use therein, subject to the provisions of this section. (b) Accessory uses and facilities: (1) Shall be subordinate to the primary activity of the principal use or the principal facility, respectively; (2)Shall contribute to the comfort, convenience, efficiency, or necessity of the occupants or the activities of a principal use, or the function of a principal structure; (3)Shall be located on the same site as the principal use or structure served, except as otherwise authorized by this title. (c)Accessory uses and facilities include, but are not limited to, the following list of examples; provided that each accessory use or facility shall comply with all provisions of this title: (1) Residential garages, carports, and parking facilities, together with access and circulation elements necessary thereto; (2)Customer, visitor, and employee parking facilities, and off-street loading facilities, together with access and circulation elements necessary thereto; (3)Facilities for storage incidental to a principal use; (4)Recreational uses and facilities for the use and convenience of occupants or employees, or guests thereof, of a principal use or facility; (5)Newsstands, girl shops, drugstores, and eating and drinking facilities, or similar services intended solely for the convenience of occupants or employees, or guests thereof, of a principal use, when conducted entirely within a principal facility; (6)Building management offices when located within the principal facility and limited to the management thereof; (7)Refreshment and service facilities in parks, in playgrounds, and in permitted public or private recreation facilities or schools; (8)The operation of service facilities and equipment in connection with schools, hospitals, and similar institutions or uses, when located on the site of the principal use. (d)No use or facility permitted as an accessory use or facility pursuant to this section shall be construed to be permitted as a principal use or facility unless specifically authorized as a permitted or conditional use in the C-82010904syn 0090971 (e) district in which it shall be located. Operation, occupancy, and continuance of allowable accessory uses and facilities shall be conditioned upon the continued occupancy or use of the principal use or facility being served. Accessory buildings located within a required interior yard, as permitted by this section, shall not individually or cumulatively occupy an area exceeding fifty percent of the required rear yard. 18.88.030 Location of accessory buildings. (a) Except as 6therwise provided in this section, accessory buildings shall at all times be located in conformance with requirements for principal buildings, and shall not be located in any required front, side, or rear yard. (b)In residential zones, accessory buildings may be located in a required interior yard subject to the following limitations: (I) An accessory building shall not be used for living and/or sleeping purposes unless the building was legally constructed for or legally converted to living and/or sleeping purposes prior to October 13, 1983. (2)An accessory building shall not be located in a required front yard, a required street yard, or a required rear yard of a through lot. (3)An accessory building shall not be located in a required interior side or rear yard unless the building is ai least 22.9 meters (seventy-five feet) from any street line, measured along the respective lot line. (4)Accessory buildings located within a required interior yard as permitted by this section shall be subject to a maximum height established by a daylight plane beginning at a height of 2.44 meters (eight feet) at the property line and increasing at a slope of one meter for each three meters of distance from the property line, to a maximum height of 3.66 meters (twelve feet). (5) No such accessory building shall have more than two plumbing fixtures. (c) No swimming pool, hot tub, spa or similar accessory facility shall be located in any portion of a required front or street side yard. 18.88.040 Separation between buildings. (a) The minimum distance between separate buildings located on the same site shall be as required by Title 16; provided, however, accessory buildings in the R-I and RE single-family residence districts shall be separated from the principal building by at least .91 meters (three feet). (b)A principal building and an accessory building, meeting the requirements of Title 16 and each located on a site as otherwise permitted for principal building and accessory buildings, may be connected by a structure meeting the definition of a breezeway. Such structure, or breezeway, shall be a part of the accessory building. 18.88.050 Substandard lots. (a) Any lot having a site area, width, or depth less than required by this title, which meets one of the provisions specified in this subsection, may be used as a lot or site under the provisions of this title, subject to the applicable district regulations and other provisions of this title: (1)A lot shown upon an official subdivision map duly approved and recorded; (2)A lot for which a deed or a valid contract of sale is on record in the office of the county recorder of Santa Clara County prior to February 19, 1951, and was of legal area at the time it was recorded; (3)A lot for which individual water, sewer, and!or gas service or services were installed by the city prior to October 8, 1947; (4)A lot upon which a dwelling was constructed on or after October 8, 1947, and prior to July 20, 1978 which at the time of construction complied with all lot width and area requirements; (5)A lot otherwise meeting applicable requirements at the time such lot was created, but which does not meet the minimum requirements of this title as currently applicable to such lot, by reason of annexation, a change in zoning district, or a change in applicable regulations within a district. (b)A substandard lot meeting one of the provisions designated in subsection (a) shall be considered a legal lot; provided the particular measurement (area, width, or depth) not in accord with this title shall not be further reduced. (c)All lots which were merged by the 1977 ~imendments to the Subdivision Map Act prior to the adoption of Chapter 234, Statutes 1977, are hereby deemed unmerged. C-83010904 syn 0090971 18.88.060 Utility easements. No structures other than fences or landscaping features shall be located within any portion of an easement granted to the city for utility, purposes, unless authorized pursuant to an encroachment permit granted by the city. Any structure now existing which does not comply with this section shall not be expanded, enlarged, or replaced in event of demolition or destruction, except as may be authorized by an encroachment permit issued by the city. 18.88.070 Watercourse or channel. No portion of a lot which is located within the easement lines, or top of the banks in the event such easement line~ cannot be ascertained, of any natural watercourse, river, stream, creek, waterway, channel, or flood-control easement or drainage easement shall be included in the determination of tot area and lot dimensions. In the case of any such lot which is bounded, in whole or in part, by any such natural watercourse, river, stream, creek, waterway, channel, or flood-control easement or drainage easement, for those portions of the lot so bounded, all measurements and dimensions specified by this title and related to or determined from lot lines shall be measured from said easement line, or top of the bank, of such watercourse. 18.88.080 Measurement. Distances between buildings, or between any structure and any property line, setback line, or other line or location prescribed by this title shall be.measured to the nearest vertical support or wall of such structure. Where one or more buildings do not have vertical exterior walls, the distances between the buildings shall be prescribed by the building official. In the application of measurements specified by this title in both English and metric measure, metric measure shall be applied for all new construction; provided, that where existing structures, uses, areas, heights, dimensions, or site improvements have been based upon English measures, the exact metric equivalent of the English measures prescribed by this title may continue to be used for improvements, extensions, and revisions to such facilities or uses. It is the purpose of this title to facilitate conversion from English to metric measures with minimum impact on property and improvements and changes thereto, and the building official, zoning administrator, director of planning and community environment and other persons responsible for interpretation and enforcement of this title shall, in case of conflict or difference between English and metric measurements, apply the provisions of this title in the less restrictive manner. 18.88.090 Projections into yards. (a) Cornices, eaves, fireplaces, and similar architectural features, excluding flat or continuous walls or enclosures of usable interior space, may extend into a required side yard a distance not exceeding 0.6 meters (two feet), or may extend into a required front or rear yard a distance not exceeding 1.2 meters (four feet). Window surfaces, such as bay windows or greenhouse windows, may extend into a required front, side or rear yard a distance not exceeding 0.6 meters (two feet) except that, in residential districts or nonresidential districts adjacent to residential districts, the window surface may not extend into any yard above a first story. (b)A canopy or patio cover may be located in any residential district in the required rear yard or that portion of the interior side yard which is more than 22.9 meters (seventy-five feet) from the street lot line measured along the common lot line. Such canopies shall be subject to the following conditions: (I)A canopy or patio cover shall not be more than 3.7 meters (twelve feet) in height. (2)The canopy or patio cover shall be included in the computation of building coverage. (3)The canopy or patio cover and other structures shall not occupy more than fifty, percent of the required rear yard. (4)The canopy or patio cover shall not be enclosed on more than two sidesl (c)Structures not over 1.8 meters (six feet) in height or 2.3 square meters (twenty-five square feet) in floor area, used exclusively for storage purposes, may extend into a required side yard a distance not exceeding 0.6 meters (two feet), or may extend into a required front or rear yard a distance not exceeding 1.2 meters (four feet). (d)Uncovered porches, stairways, landings, balconies or fire escapes may extend not more than 1.8 meters (six feet) into a required front or rear yard, and may extend not more than 0.9 meters (three feet) into a required side yard; provided that, in residential districts or in nonresidential districts adjacent to residential districts, these projections may not extend into any yard above a first story. (e)Pools, spas and hot tubs may extend into a required rear yard a distance not to exceed 4.27 meters (fourteen feet), provided that a minimum setback o~" 1.8 meters (six feet) from the property line shall be maintained. (f)In residential districts, a portion of a main building which is less than half the maximum width of such building may extend into the required rear yard no more than 1.8 meters (six feet) and with a height of no C-84010904 syn 0090971 (g) (h) more than one story, except that a comer lot having a common rear properly~ line with an adjoining comer lot may extend into the required rear yard not more than 3.0 meters (ten feet) and with a height of no more than one story. Subsections (a) through (d) of this section notwithstanding, a projection shall not be permitted to encroach into a special setback, as established by the setback map pursuant to Chapter 20.08 of the Palo Alto Municipal Code. In residential districts the terraced and landscaped portions of excavated features, such as below grade patios andsunken gardens, that comply with the provisions of Section 18.10.050 (m), 18.12.050 (o), 18.17.050 (p), or 18.19.050 (o), as applicable, may extend into a required side yard a distance not to exceed 0.6 meters (two feet), or may extend into a required rear yard a distance not to exceed 1.2 meters (four feet). 18.88.100 Height exceptions. Except in OS, RE, R-t, and R-2 districts, flues, chimneys, exhaust fans or air conditioning equipment, elevator equipment, cooling towers, antennas, and similar architectural, utility, or mechanical features may exceed the height limit established in any district by not more than 4.6 meters (fifteen feet); provided, however, that no such feature or structure in excess of the height limit shall be used for habitable space, or for any commercial or advertising purposes. In OS, RE, R-l, and R-2 districts, flues, chimneys and antennas may exceed the established height limit by not more than 4.6 meters (fifteen feet). 18.88. 110 Permitted uses and facilities in required yards. Except as otherwise prescribed by district regulations or other provisions of this title, use and develoPment of required yards shall be limited to the following: (a)Fences, screening, and enclosures permitted by Chapter 16.24; (b)Landscaping; (c)Outdoor recreation, including open structures and ground level facilities related thereto, such as tennis courts, swimming pools, other game or court facilities, sitting areas, decks, patios, terraces, and like features constructed at ~ound level or within 0.3 meters (one foot) above natural grade; provided, that no below-grade improvements such as swimming pools shall be permitted within 0.9 meters (three feet) from the property line; (d)Pedestrian walkways and driveways; (e)Required parking, in accord with the location provisions specified within each district. 18.88.130 Home occupations. Where permitted, a home occupation shall be subject to the following limitations: (a)The home occupation shall be conducted in a manner that is compatible with residential uses permitted in the same district, and in a manner which does not change the character and appearance of the dwelling unit in which it is conducted. (b)No person shall be employed on the site in connection with the home occupation except lawful occupants of the dwelling unit within which the home occupation is conducted. (c)No advertising shall be permitted on the site. (d)Not more than twenty-five percent of the gross floor area of the dwelling unit, or 46.5 square meters (five hundred square feet) of gross floor area on the site including accessory buildings, whichever is less, shall be devoted to the home occupation. (e)The home occupation shall not be conducted in a manner which generates traffic or parking demand or vehicular deliveries substantially greater than customarily associated with residential occupancy of the dwelling unit. (f)No mechanical, electrical, or other equipment shall be used, nor shall a home occupation be conducted in any manner which is a nuisance or is noxious, offensive, or hazardous by reason of vehicular traffic, noise, electrical or magnetic interference, vibration, particulate matter, odor, heat, humidity, glare, refuse, radiation, or other objectionable emissions or effects. (g)No outdoor storage of any material, equipment or goods shall be permissible in connection with any home occupation. 18.88.140 Mobile homes (manufactured housing). In order to be located in any residential district or on any site in any other district used for residential occupancy, a mobile home (manufactured housing) must: C-85010904syn 0090971 (a) (b) (c) (d) Be certified under the provisions of the National Mobile Home Construction and Safety Standards Act of 1974 (42 U.S.C. Section 5401, et seq.) or any successor legislation; Be located on a permanent foundation system approved by the building official pursuant to all applicable laws, including, but not limited to, California Health and Safety Code Section 18551 or successor legislation; Must meet all of the application site regulations of the district in which it is located; Notwithsta.nding any other provisions of this title, mobile homes (manufactured housing) on permanent. foundations shall not be allowed in any historic district of the city as designated in Chapter 16.49. 18.88.150 Hazardous conditions. In any area within the city identified by the Comprehensive Plan as having moderate or high risk due to flood hazard, seismic activity hazard, to other geologic hazard, the following provisions shall apply: (a)In areas identified as subject to high risk, the building official may require, prior to issuance of a building permit or other permit authorizing any new construction, submission by the permit applicant of detailed geologic, soils, and engineering data sufficient to define the extent of any potential hazard and to demonstrate that the proposed construction shall, to the maximum extent feasible, mitigate or otherwise recognize such hazard. Such reports and data shall be required for any use involving public assembly. (b)In areas identified as subject to moderate risk, the building official may require such reports as described in (a) for any use except single-family use or two-family use. Such reports and data shall be required for any use involving public assembly. 18.88.160 Vehicle and equipment repair and storage. The following provisions shall apply in all residential districts, and to all sites in any other district used for residential occupancy: (a)No person shall service, repair, assemble, disassemble, wreck, modify, restore, or otherwise work on any vehicle, motor vehicle, camper, camp trailer, trailer, trailer coach, motorcycle, motor-driven cycle, house car, boat, or similar conveyance unless conducted within a garage or accessory building, or in an area screened from view from the street and adjoining lots by a legally located fence, wall, or equivalent screening. (b)No person shall store, place or park any of the conveyances designated in subsection (a), or any part thereof, which is disabled, unlicensed, unregistered, inoperative, or from which an essential or legally required operating part is removed, including an unmounted camper, camp trailer, trailer, trailer coach and similar nonmotorized conveyance, or any other structure or device exceeding .46 cubic meters (sixteen cubic feet) in volume to be carried upon or in any such conveyance, or any equipment, machinery, or similar material unless conducted within a garage or accessory building, or in an area screened from view from the street and adjoining lots by a legally located fence, wall, or equivalent screening. (c)No person shall service, repair, assemble, disassemble, wreck, modify, restore, or otherwise work on, or store, place, and park any of the conveyances designated in this section (excluding [1] passenger vehicles other than house cars, and [2] "pickup" motor trucks on which no equipment other than a camper is mounted), whether disabled or fully operative, for an aggregate period of over seventy-two hours during any continuous period of ninet-y-six hours in any open areas on a lot only in locations where an accessory building or principal building of equivalent height or bulk would be permitted by the provisions of this title. (d)Notwithstanding the provisions of subsections (a) and (b), emergency repairs and short-term or temporary parking of any conveyance listed in subsection (a), when owned bY a person residing on the lot, may be conducted for an aggregate period of up to seventy-two hours in any continuous period of ninety-six hours exclusive of the screening requirements. (e)For the purpose of this section, references to types of conveyances shall have the same meanings as defined in the Vehicle Code of the state of California, where such definitions are available. (f)Chapter 18.94 shall not be applicable to this section. (g)Subject to securing a permit therefor from the building official and otherwise complying with applicable law, the use of a recreational vehicle, as defined in this title, may be permitted for sleeping purposes only for a period not to exceed thirty consecutive days in any calendar year for not more than two nonpaying guests of the occupant of a single-family dwelling in accord with all appl.icable regulations governing parking and storage of vehicles. 18.88.170 Setback map. 010904 syn 0090971 C-86 See Chapter 20.08 of the municipal code for setback map regulations. 18.88.180 Clothesline restrictions prohibited. Any covenant, restriction, or condition contained in any deed, contract, security instrument, or other instrument affecting the transfer or sale of, or any interest in, real property which prohibits or unduly restricts the installation or use of a clothesline in any residential zone is void and unenforceable. 18.88.190 R~verse vending machines. Reverse vending machines may be established only in conjunction with an otherwise allowed commercial or industrial use and may not exceed a maximum of three machines per site or one hundred fifty cubic feet in volume per site. Sites containing reverse vending machine(s) shall include a refuse container adjacent to the machine(s) and shall be maintained in a litter free condition. In addition, a reverse vending machine shall: (a)Not exceed eight feet in height; (b)Be located on the site in a manner which will assure compatibility with surrounding uses; (c)Be subject to the noise restrictions contained in Chapter 9.10 of this code. C-87010904s)~ 0090971 Chapter 18.90" VARIANCES, HOME IMPROVEMENT EXCEPTIONS, AND CONDITIONAL USE PERMITS Sections: 18.90.010 18.90.020 18.90.025 18.90.030 18.90.035 18.90.040 18.90.050 18.90.055 18.90.060 18.90.070 18.90.080 18.90.085 18.90.090 18.90.100 18.90.105 18.90.110 18.90.111 18.90.120 Duties of zoning administrator. Application for variance, home improvement exception, or conditional use permit. Home improvement exception - Optional hearing request notice. Public hearing notice. Public hearing. Action by zoning administrator. Variance - Findings and conditions. Home improvement exception - Findings and conditions. Conditional use permit - Findings and conditions. Effective date. Revocation, extension, transferability, and duration. Expansion of conditional uses. Reports. Variances in conjunction with subdivision. Variances and use permits in conjunction with planned community zone changes, site and design applications and applications for approvals requiring review of an environmental impact report. Temporary uses. Reserved. Sales of alcoholic beverages. 18.90.010 Duties of zoning administrator. Subject to the provisions of this chapter and the general purpose and intent of this title, the zoning administrator may gant the following: (a)A variance from the site development regulations (except limitations on residential density and size of establishment) and parking and loading regulations (except those accessible parking regulations mandated by state and!or federal law and contained in Chapter 18.83) applicable within any district established by this title; (b)A variance from the special requirements that apply to site development and parking and loading regulations applicable within any district established by this title, except provisions which restrict expansion of grandfathered uses that are subject to the special requirements of a specific zoning district. Special requirements in any district do not include special provisions and exceptions as set forth in Chapter 18.88 except for the location of accessory buildings; (c)A variance from the requirements of Title 20; (d)A variance from the requirements of Chapter 16.24 except Sections 16.24.040 and 16.24.070; (e)In the RE, R-l, RMD, or R-2 zone districts, an exception to the site development regulations for construction of home improvements and minor additions; (f)A conditional use permit for any use or purpose for which such permit is required or permitted by the provisions of this title. 18.90.020 Application for variance, home improvement exception, or conditional use permit. (a) Application for a variance, home improvement exception, or a conditional use permit may be made by the owner of record of property for which the variance, home improvement exception, or conditional use permit is sought, or by one of the following: (1) A purchaser of property for which the variance, home improvement exception, or conditional use permit is sought, when acting pursuant to a contract in writing duly executed and acknowledged by both the buyer and the owner of record; (2)A lessee in possession of property for which a variance, home improvement exception, or conditional use permit is sought, when acting with the written consent of the owner of record; (3)An agent of the owner of record of property for which a variance, home improvement exception, or conditional use permit is sought, when duly authorized by the owner in writing. (b)Application shall be made to the zoning administrator on a form prescribed by the zoning administrator, and shall contain the following: C-88010904 syn 0090971 (c) (1)A description and map showing the location of the property for which the variance, home improvement exception, or conditional use permit is sought, and indicating the location of all parcels or properties within a distance of 91.4 meters (300 feet) from the exterior boundary of the property involved in the application; (2)If the application is for a variance or conditional use permit, the name and address of the applicant, and the names and addresses of all persons shown in the last equalized assessment roll (as updated by the semi-annual real estate update information) as owning real property within 91.4 meters (300 feet) of the exterior boundary of the property which is the subject of the application; (3)If the application is for a home improvement exception, the name and address of the applicant, and the names and addresses of all persons shown in the last equalized assessment roll (as updated by the semi-annual real estate update information) as owning real property within 45.73 meters (150 feet) of the exterior boundary of the property which is the subject of the application; (4)If the application is for a variance or home improvement exception, plans and/or descriptions of existing and proposed construction on the property involved, together with a statement of the circumstances which justify the application; (5)If the application is for a conditional use permit, plans and/or descriptions of existing and proposed uses on the property, and describing in detail the nature of the use proposed to be conducted on. the property; (6)Such additional information as the zoning administrator may deem pertinent and essential to the application. Application for a variance, home improvement exception, or conditional use permit shall be accompanied by the fee prescribed by the municipal fee schedule, no part of which shall be returnable to the applicant. 18.90.025 Home improvement exception - Optional hearing request notice. (a) Upon receipt of an application for a home improvement exception, the zoning administrator shall send an optional hearing request notice to all persons described in Section 18.90.020(b)(3). (b)The optional hearing request notice shall contain the following: (1)The exact address of the property for which the home improvement exception is sought; (2)A brief description of the home improvement exception sought; (3)Reference to the application on file for particulars; (4)A statement that the zoning administrator will act upon the application on a date certain, which is at least ten working days from the date of mailing of the notice, if no written request for a hearing is filed prior to such date. (c)Any person may request a hearing on an application for a home improvement exception by filing a written request therefor with the zoning administrator prior to the proposed date of zoning administrator action as set forth in the notice described in subsection (b)(4) of this section. 18.90.030 Public hearing notice. (a) Upon receipt of an application for a variance or a conditional use permit, the zoning administrator shall set a date for a public hearing, which hearing shall be held within forty-five days of the date of filing of the application or request for hearing. (b)Notice of such hearing shall be given by publication once in a local newspaper of general circulation not less than twelve days prior to the date of hearing. Additionally, notice of such hearing shall be mailed at least twelve days prior to the date of the hearing to the applicant, and to owners of record of real property within 91.4 meters (300 feet) of the exterior boundary of the property involved, as such owners of record are shown in the last equalized assessment roll, and to owners or occupants of the property within 91.4 meters (300 feet) as shown on the city utility customer file. Compliance with the procedures set forth in this section shall constitute a good faith effort to provide notice, and the failure of any owner or occupant to receive notice shall not prevent the city from Woceeding with the hearing or from taking any action or affect the validity of any action. (c) The notice of public hearing shall contain the following: (1) The exact address of the property, if known, or the location of the property, if the exact address is not known, and the nature or purpose of the application. (2)The time, place, and purpose of the hearing; (3)A brief description, the content of which shall be in the sole discretion of the city, of the variance, home improvement exception, or conditional use permit sought; (4)Reference to the application on file for particulars; and C-89010904s}~0090971 (5)A statement that any interested person, or agent thereof, may appear and be heard. 18.90.035 Public hearing. At the time and place set for the hearing, the zoning administrator shall hear evidence for and against the application. Each hearing shall be open to the public. The zoning administrator may continue any hearing from time to time. 18.90.040 A~tion by zoning administrator. Within a reasonable time, but not more than ten working days after the conclusion of the hearing, or in the case of a home improvement exception where no request for hearing has been filed, no more than ten working days after the date proposed for zoning administrator action as set forth in the optional hearing request notice, the zoning administrator shall make findings and shall render a decision on the application. The decision shall be supported by the evidence contained in the application and/or presented at the hearing. Notice of the decision of the zoning administrator shall be mailed to the applicant and to any other person requesting such notice. Upon the request of the recipient of a variance or the city, the variance, and the conditions applicable thereto, shall be recorded with the county recorder. 18.90.050 (a) (b) Variance - Findings and conditions. The zoning administrator may grant a variance from the site development regulations, the parking and loading regulations, or the special requirements of this title applicable within any district if, from the application of the facts presented at the public hearing, he or she finds: (1) There are exceptional or extraordinary circumstances or conditions applicable to the property involved that do not apply generally to property in the same district. (2)The granting of the application is necessary for the preservation and enjoyment of a substantial property right of the applicant, and to prevent unreasonable property loss or unnecessary hardship. (3) - The granting of the application will not be detrimental or injurious to property or improvements inthe vicinity and will not be detrimental to the public health, safety, general welfare, or convenience. (4)In addition to the above listed findings, in the case of a flag lot, the zoning administrator may grant a variance only if he or she makes all of the following additional findings: (A) The granting of the application will not disrupt established neighborhood character and aesthetics, and will not affect the health of the residents by significantly blocking out light and air; (B)The granting of the application will not result in excessive paving, parking, potential traffic conflicts on busy streets, street tree removal or loss of private landscaping; (C)The granting of the application will not negatively impact the privacy and quiet enjoyment of adjoining single-family residences, for both indoor and outdoor use. In granting such variance, the zoning administrator may impose such reasonable conditions or restrictions as he or she deems appropriate or necessary to protect the public health, safety, general welfare, or convenience, and to secure the purposes of this title. 18.90.055 Home improvement exception - Findings and conditions. (a) - The zoning administrator may grant a home improvement exception if, after consideration of the application and all testimony offered at the public hearing (if any), he or she finds: (I) There are exceptional or extraordinary circumstances or conditions applicable to the property involved that do not apply generally to property, in the same district. (2)The granting of the application is desirable for the preservation of an existing architectural style or neighborhood character, or a protected tree as defined in Chapter 8.10 or other significant tree, which would not otherwise be accomplished through the strict application of the regulations. (3)The granting of the application will not be detrimental or injurious to property or improvements in the vicinity and will not be detrimental to the public health, safety, general welfare, or convenience. In determining whether or not to grant exceptions pursuant to this section, the zoning administrator shall consider such applicable residential design guidelines as may be adopted and published by the city council from time to time. 010904 syn 0090971 C-90 (b)In granting such home improvement exceptions, the zoning administrator may impose such reasonable conditions or restrictions as he or she deems appropriate or necessary to protect the public health, safety, general welfare, or convenience, and to secure the purposes of this title. 18.90.060 Conditional use permit - Findings and conditions. (a) The zoning administrator may grant a conditional use permit in accord with this title if, from the application or the facts presented at the public hearing, he or she finds: (1) The proposed use, at the proposed location, will not be detrimental or injurious to property or improvements in the vicinity, and will not be detrimental to the public health, safety, general welfare, or convenience. (2)The proposed use will be located and conducted in a manner in accord with the Palo Alto Comprehensive Plan and the purposes of this title. (3)In addition to the above-listed findings, in the case of a use in the GF ground floor combining district, the zoning administrator may grant a conditional use permit only if he or she made the following additional finding: The lo~:ation, access or design of the ground floor space of the building proposed to house the use, creates exceptional or extraordinary circumstances or conditions applicable to the property involved that do not apply generally to property in the same district. (b)The zoning administrator may impose such reasonable conditions or restrictions as he or she deems necessary to secure the purpose of this title and to assure operation of the use in a manner compatible with existing and potential uses on adjoining properties and in the general vicinity. 18.90.070 Effective date. A variance, home improvement exception, or conditional use permit granted by the zoning administrator shall take effect ten days following the mailing of the notice of the decision of the zoning administrator, unless an appeal is filed as provided in Chapter 18.92. 18.90.080 Revocation, extension, transferability, and duration. (a) In any case where the conditions of a variance, home improvement exception, or conditional use permit have not been or are not being complied with, the zoning administrator shall set a date for public hearing and notice the public hearing in accordance with Section 18.90.030. Following such hearing, but not more than ten working days after conclusion of the hearing, the zoning administrator shall make findings of whether the conditions of the variance, home improvement exception, or conditional use permit have not been or are not being complied with and render his decision to revoke or modify such variance, home improvement exception, or conditional use permit. (b)In any case where, in the judgment of the zoning administrator, substantial evidence indicates that the use conducted pursuant to a conditional use permit is being conducted in a manner detrimental to the public health, safety and welfare, the zoning administrator shall set a date for a public hearing and notice the public hearing in accordance with Section 18.90.030. Following such hearing, but not more than ten working days after the conclusion of the hearing, the zoning administrator shall make findings of whether the use has been conducted in a manner detrimental to the public health, safety and welfare and render his or her decision whether or not to modify the conditional use permit. In determining whether the use is conducted in a manner detrimental to the public health, safety and welfare, the zoning administrator shall consider, but not be limited to, the following: increased traffic, insufficient parking, increased hours of operation, increased noise level and increased capacity. (c)A variance, home improvement exception, or conditional use permit which has not been used within one year following the effective date thereof, shall become null and void and of no effect unless a shorter time period shall specifically be prescribed by the conditions of such variance, home improvement exception, or conditional use permit. The zoning administrator may, without a hearing, extend such time for a maximum period of one additional year only, upon application filed with him or her before the expiration of the one- year limit, Or the expiration of such limit as may be specified by the conditions of the variance, home improvement exception, or conditional use permit. (d)A use permit which has not been used for any period of one year or more shall become null and void. (e)A variance granted pursuant to this chapter shall exist for the life of the existing structure or such structure as may be constructed pursuant to the variance approval unless a different time period is specified in the issuance of the variance. A variance from the parking and loading regulations shall be valid only during the period of continued operation of the use and/or structure for which the variance was granted. C-91010904 syn 0090971 (f)A home improvement exception granted pursuant to this chapter shall exist for the life of the structure for which the exception was granted. 18.90.085 Expansion of conditional uses. (a) Any expansion in the building size or site area of a conditional use shall necessitate the issuance of a conditional use permit for the expansion in accord with the provisions of this chapter. This use permit for expansion .ofa conditional use shall have no effect on any existing use permit previously issued for the. subject property. (b)No application for a conditional use permit shall be necessary for existing uses which were lawful conforming permitted uses and which were rendered conditional by reason ofrezoning or changes to this title, provided that any expansion in the building site or site area of such a use shall be subject to the issuance of a conditional use permit in accord with this chapter. 18.90.090 Reports. The zoning administrator shall make a monthly report to the city manager of the action taken on all applications for variances and conditional use permits. A copy of such report also shall be forwarded to the city council and the planning commission. 18.90.100 Variances in conjunction with subdivision. In cases of major or minor subdivisions, the subdivider may, in conjunction with the filing of a tentative map or a preliminary parcel map and additional data pursuant to Title 21, also file an application under this Chapter for one or more variances set forth in Section 18.90.010. In such event, the variance application shall be processed concurrently with the major or minor subdivision, in lieu of under the provisions of this title, in accord with the following procedure: (a)In such cases the tentative map or preliminary parcel map under Section 21.12.040 shall include the dimensions and locations of all proposed buildings and structures for which variances are sought under this section, and the subdivider’s application shall contain justification and reasons for such variances. (b)In the case of a tentative map, the planning commission may recommend and the city council may approve, and in the case of a preliminary parcel map the director of planning and community environment may approve, the granting of one or more variances where the findings for variances set forth in Section 18.90.050 are made. No separate public hearing need be held for the granting of variances under this section. (c)In the granting of variances under this section, in the case of a major subdivision, the planning commission may recommend and the city council may require, and in the case of a minor subdivision the director of planning and community environment may require, the imposition of such conditions or restrictions as are deemed necessary or appropriate to protect the public health, safety or welfare. (d)Any variance granted under this section shall, unless otherwise stated, be transferable with the lot upon which it is granted and any condition or restriction imposed in conjunction therewith shall be deemed to be binding on the lot in the hands of transferees for the duration of the variance or the enjoyment of the benefits granted thereby. (e)In addition to the matters set forth in Chapter 21.16, the final map or parcel map shall include thereon a statement substantially as follows: "Lots (listing them by number or other appropriate designation) are transferable subject to certain conditional variances as to setback and/or yard requirements which are shown on the record of variances and conditions for this subdivision on file with the Department of Planning and Community Environment, City of Palo Alto, California." (f)At the time of the filing of the final map or parcel map with the director of public works/city engineer, the subdivider applying for variances under this section shall also file therewith a map or maps, in duplicate, drawn to scale, showing the lots in the subdivision upon which such variances are sought and showing clearly by dotted lines drawn parallel to the property line affected, with dimension marks and numbers in each case, such altered setbacks and yards as may have been approved and imposed on the tentative map or preliminary parcel map. The map or maps accompanying the final map or parcel map shall be captioned, "Record of Variances and Conditions Thereof Granted in Conjunction with Subdivision of(state tract name and number)," and shall contain thereon a statement substantially as follows: (I) In the case of a final map: C-92 010904 syn 0090971 (g) "The variances and conditions or restrictions as to setback and/or yard requirements shown hereon were granted and imposed by the City Council of the City of Palo Alto on [date] ¯Such variances shall be transferable with the respective lots on which they were granted and such conditions or restrictions shall be binding on such lots in the hands of transferees for the duration of said variance or the enjoyment of the benefits granted thereby." (2)In the case of a parcel map: "The variances and conditions or restrictions as to setback and/or yard requirements shown hereon were granted and imposed by the Director of Planning and Community Environment of the City of Palo Alto on [date] . Such variances shall be transferable with the respective lots on which they are granted and such conditions or restrictions shall be binding on such lots in the hands of transferees for the duration of said variance or the enjoyment of the benefits granted thereby." The approval by the city council of such final map, or the approval by the director of planning and community environment of such parcel map, and the accompanying map or maps showing variances and conditions, shall constitute the granting of such variances subject to any such conditions or restrictions. 18.90.105 Variances and use permits in conjunction with planned community zone changes, site and design applications and applications for approvals requiring review of an environmental impact report. (a)Whenever application is made for a planned community zone change pursuant to Chapter 18.68, site and design review pursuant to Chapter 18.82, or any approval for which an environmental impact report is required pursuant to the California Environmental Quality Act, and the plans for such application also require approval of a use permit or variance, the person making such application may accompany such application with an application under this chapter for a use permit or one or more variances, as the case may be. In such event, the variance or use permit application shall be processed concurrently with the accompanying application,.in accordance with the procedures established for review of the application for planned community zone change, site and design review and/or environmental impact report review, as the case may be. (b)Where the accompanying application is for a planned community zone change the applicable public hearing and notice provisions in such case shall be those required for a planned community zone change. In the case where the accompanying application is for site and design review, the applicable public hearing and notice provisions shall be those set forth in Section 18.90.030, and shall apply prior to planning common review of the applications. (c)All provisions of this chapter shall continue to apply in such case, except that the zoning administrator shall not act on either application. 18.90.110 Temporary uses. The zoning administrator may grant a conditional use permit authorizing the use of a site in any district for a temporary use, subject to the following provisions: (a)Application shall be made to the zoning administrator and shall be subject to the fee prescribed by the municipal fee schedule. (b)The permit may be granted by the zoning administrator without a requirement for public hearing and notice as otherwise required by Section 18.90.030. (c)The permit may include authorization to vary from specific requirements of this title as may be solely related to the requested temporary use. (d)A conditional use permit for a temporary use, if granted by the zoning administrator, shall be valid for a specifically stated time period not to exceed forty-five days. The zoning administrator may impose such reasonable conditions or restrictions as he or she deems necessary to secure the purposes of this title and to assure operation of the use in a manner compatible with existing and potential uses on adjoining properties and in the general vicinity. (e)A conditional use permit for a temporary use may be granted by the zoning administrator if, from the application or the facts presented to him, he finds: (1) The granting of the application will not be detrimental or injurious to property or improvements in the vicinity, and will not be detrimental to the public health, safety, general welfare, or convenience. (2)The proposed use will be located and conducted in a manner in accord with the Palo Alto comprehensive plan and the purposes of this title. C-93 010904 syn 0090971 (f)Any person who obtains a temporary use permit as provided by this section and fails to abide by its conditions is guilty of a misdemeanor. (g) Any person who uses a site for a temporary use in violation of Title 18 and fails to obtain a temporary use permit as required by this section is guilty of a misdemeanor. 18.90.111 Reserved.* * Editor’s Note: Former Section 18.90.111 pertaining to temporary uses at the World Cup Soccer Games and containing portions of Ordinance No. 4181 was repealed July 18, 1994 in accordance with Section 7 of Ordinande No. 4181. 18.90.120 Sales of alcoholic beverages. (a) In any district where otherwise permitted by this title, any eating and drinking establishment or other use having any part of its operation subject to an on-sale license required by the state of California shall be subject to securing a conditional use permit. (b)A conditional use permit shall be obtained in the case of premises for which no conditional use permit is in force, whenever a new on-sale license is required by the state of California. (c)In the case of premises for which a conditional use permit is in force, which permits the sale of alcohol, an amendment to such permit shall be required whenever such use is intensified or is expanded in square footage. (d)In the case of premises for which a conditional use permit is in force, but such use permit does not permit sales of alcohol, an amendment to such permit shall be required whenever a new on-sale license is required by the state of California. (e)The maximum number of permits for on-sale general (liquor, beer and wine) and for on-sale beer and wine licenses which may be issued in any single block where any portion of the block is classified in one or more districts in which an eating and drinking establishment is a permitted or a conditional use shall be governed by the following table, and no applications for a conditional use permit for the sale of alcoholic beverages under an on-sale license from the state of California shall be accepted unless the standards in this section are met. Maximum Number of Conditional Use Permits Which May Be Authorized No Permit " Square Feet of Zoned Site Area in District(s) Allowing Eating and Drinking Use as a Permitted or Conditional Use 0-1,858.0 sq. m. (0-19,999 sq. ft.) 1 permit 1,8581-3,716.0 sq. m. (20,000-39,999 sq. ft.) 2 permits 3,716.1 sq. m. (40,000 sq. ft. and above) 3 or more In the same progression tn any block having residentially zoned site area equal to or greater than twenty-five percent of the total block area: Maximum Number of Conditional Use Permits Which May Be Authorized 4 permits 5 permits Square Feet of Zoned Site Area in District(s) Allowing Eatin~ and Drinkin~ Use as a Permitted or Conditional Use 0-14,864.4 sq. m. (0-159,999 sq. ft.) 14,864.5-29,728.9 sq. m. (160,000-319,999 sq. ft.) C-9401091Ms~0090971 6 permits 29,729.0-59,457.9 sq. m. (320,000-639,999 sq. ft.) 7 permits 59,458.0-118,915.8 sq. m. (640,000-1,279,999 sq. ft.) 8 or more In the same progression (f)Additional conditional use permits may be authorized for establishments for on-sale beer and wine licenses. The total number of such additional permits shall be equal to half the number of on-sale general licenses permitted in the tables contained in subsection (c) of this section. Chapter 18.91 DESIGN ENHANCEMENT EXCEPTION PROCESS Sections: 18.91.010 18.91.20 Exceptions to site development, parking and loading requirements to enhance the design of development subject to architectural review. Scope of exception process. 18.91.010 Exceptions to site development, parking and loading requirements to enhance the design of development subjeet to architectural review. In accordance with, and subject to, the procedures set forth in Section 16.48.135 of this code, the architectural review board may recommend, and the director of planning and community, environment may approve, minor exceptions to the site development, parking and loading requirements otherwise applicable under this title, when such exceptions will enhance the appearance and design of commercial and multiple-family development and other development subject to architectural review under Chapter 16.48. Items for which exceptions may be granted include, but are not limited to, dormers, eave lines, roof design, bay windows, cornices, parapets, columns, arcades, fountains, art, ornamentation, atriums, balconies, trellises, moldings, balustrades, stairs, entry features, and other minor architectural elements and design features. 18.91.020 Scope of exception process. No exceptions shall be granted under this section which would increase floor area, decrease the number of required parking spaces, decrease the amount of required on-site landscaping, or decrease the required open space. Generally, exceptions shall be limited to minor changes to the setback, daylight plane, height, lot coverage limitations, parking lot design and landscaping configuration, and additional flexibility in the required proportion between private and common open space. C-95010904 syn 0090971 Chapter 20.04 OFFICIAL PLAN LINE REGULATIONS Sections: 20.04.010 20.04.020 20.04.030 20.04.040 20.04.050 20.04.060 20.04.070 20.04.080 20.04.090 20.04.100 20.04.110 20.04.120 20.04.130 20.04.140 20.04.150 Definitions. Declaration of purpose. Construction or enlargement of improvements prohibited. C.onflicting permits or licenses void. Hearing by planning commission. Recommendation to council. Hearing by city council. Amendment or rescission of official plan line. Incorporation of maps into chapter. Map identification and certification. Filing of maps. Variances - Authority - Grounds. Variances - Procedure. Variances - Agreement for removal. Adoption of official plan lines outside city limits. 20.04.010 Definitions. For the purpose of this chapter, unless it is plainly evident from the context that a different meaning is intended certain terms used herein are defined as follows: (a) "Map" means an illustration, including a drawing, aerial photograph, or photomap, accurately indicating the precise location of a planned right-of-way or portion thereof. (b) "Official plan line" means the boundaries and limits of a planned right-of-way, including the future right-of-way of an existing street as it is proposed to be widened and including all lands necessary for the building, widening or maintenance of any road, street, highway, or any other type of public way, which planned right-of-way is based on the general plan for the cit-y of Palo Alto. (c) "Right-of-way" means all or any part of the entire width of a road, street, or highway easement, whether or not such entire area is actually used for road, street, or highway purposes. 20.04.020 Declaration of purpose. It is the purpose of the provisions of this chapter to protect and promote the public health, safety, peace, comfort, or general welfare and specifically to provide for the systematic execution of the circulation element of the general plan for the city, of Palo Alto, by designating the precise location of planned rights-of-way and limiting the location of buildings and other improvements with respect to planned rights-of-way, and to provide an authentic source of information as to the development of the city of Palo Alto. This chapter is adopted pursuant to Sections 65600 to 65659, inclusive of the Government Code of California and shall be cited and referred to as the official plan line regulations of the city of Palo Alto. 20.04.030 Construction or enlargement of improvements prohibited. No building, structure, or other improvement, shall hereafter be erected, constructed, enlarged, or placed within the official plan lines established by this chapter, or amendments thereto, except that this section shall not apply to garden and agricultural crop planting or fences and agricultural irrigation systems in connection therewith, street, curb, gutter and sidewalk improvements, public utility poles, pipelines or a temporary building or structure having a value of not more than one thousand dollars. Provided, however, that prior to the construction of any temporary building or structure the owner of the property on which it is to be located shall execute an agreement with the city of Palo Alto in accordance with the provisions of Section 20.04.140. 20.04.040 Conflicting permits or licenses void. All departments, officers and employees of the city, of Palo Alto vested with the duty or authority to issue permits, licenses or grant approval of the subdivision of land, shall conform to the provisions of this chapter and shall issue no such permit, license, or approval for uses, buildings, structures or subdivisions where the same would be in conflict with the provisions of this chapter. Any such permit, license or approval shall be null and void if issued in conflict with the provisions of this chapter. 010904 syn 0090971 C-96 20.04.050 Hearing by planning commission. Before any official plan line is adopted by the city council the planning commission shall hold a public hearing. Notice of the time and place of such hearing shall be given by publication of a notice thereof once in a newspaper of general circulation in the city at least ten days before the hearing and by mailing a notice thereof to the owners of all property abutting on or included within the proposed official plan lines using addresses from the last adopted tax roll of the city assessor. 20.04.060 R~commendation to council. After the public hearing the planning commission shall submit its recommendation to the city council. 20.04.070 Hearing by city council. Upon receipt of the planning commission’s recommendation the city council shall set the matter for a public hearing and shall give notice of such hearing in the same manner as that provided herein for hearings by the planning commission. After the hearing the city council may either reject or adopt the official plan line as submitted. The city council shall not make a change in any proposed or existing official plan line until the proposed change has been referred to the planning commission for a report and a copy of the report has been filed with the city council. Failure of the planning commission to report within forty days after transmittal shall be deemed to constitute approval of the change. 20.04.080 Amendment or rescission of official plan line. Official plan line maps may be amended or rescinded in the same manner as that provided for their original adoption. 20.04.090 Incorporation of maps into chapter. Official plan lines shall be clearly delineated on maps which, together with all data and information indicated thereon, shall, upon adoption by the city council, be made a part of this chapter and shall be incorporated herein under sections of this chapter. 20.04.100 Map identification and certification. Each map adopted pursuant to the provisions of this chapter shall be designated: OFFICIAL PLAN LINES OF (here shall be inserted the name of the street or highway) BETWEEN (here shall be inserted the names of the streets or other appropriate places which identify the point of commencement and ending of the particular official plan line). to it: Each map shall have the following certificates which may either be placed directly on the map or attached I hereby certify that this map (or, the map attached hereto), consisting of sheets, constitutes a precise plan based on the Circulation Element of the General Plan of the City of Palo Alto, adopted by the City Council by Resolution No. 3616 on March 18, 1963. City Engineer I hereby certify that this map (or, the map attached hereto), consisting of__ sheets, constitutes Section of the Palo Alto Municipal Code, which section was adopted as Ordinance No. __ by the City Council of the City of Palo Alto on 19 City Clerk of the City of Palo Alto (SEAL) 20.04.110 Filing of maps. The city clerk shall cause all maps adopted pursuant to this chapter and amendments thereto together with all data and information indicated thereon, to be filed with the office of the county recorder of the county of Santa Clara. C-97 010904 syn 0090971 20.04.120 Variances - Authority - Grounds. The zoning administrator shall hear and decide applications for variances from the terms of this chapter when all the following circumstances are found to apply: (a) There are special conditions or exceptional characteristics in the nature of the property affected by the application, including size, shape, topography, location or surroufidings, such that a literal enforcement of this chapter in the parti.cular case would result in practical difficulties or unnecessary hardships; (b) The variance is necessary for the preservation and enjoyment of substantial property rights an~t will not constitute a grant of special privilege inconsistent with the limitations imposed by this chapter on other properties in the vicinity, of the affected property; and (c) The granting of the variance will not be contrary to the intent of this chapter or to the purposes and objectives of the general plan of the city of Palo Alto. 20.04.130 Variances - Procedure. The procedure to be followed in applying for, giving notice of and granting such variances shall be that set forth in Chapter 18.90.of the zoning code. The fee charged shall be the same as that for zoning variance applications. 20.04. ! 40 Variances -.Agreement for removal. A variance shall be granted only upon the condition that the owner of the property shall execute an agreement with the city of Palo Alto, wherein the owner agrees to remove such building, structure, or other improvements, at his own expense, upon the acquisition by the city of Palo Alto of an easement in and across his property for street purposes. The agreement shall include such other conditions as the zoning administrator deems reasonable to carry out any of the provisions of this chapter, including, but not limited to, a time limitation and the requirement that the property owner post a surety bond in such amount as may be fixed by the city council guaranteeing faithful performance of the terms and conditions of the agreement, including a covenant to remove the building, structure, or other improvements at his own expense, or in the event of his failure so to do, authorizing removal by the city and making the cost thereofa lien on said property. Such agreement shall be recorded. 20.04.150 Adoption of official plan lines outside city limits. (a)Unincorporated Areas Outside City. The planning commission and the city council may hold hearings in the manner prescribed herein to adopt official plan lines for unincorporated areas outside of the city boundaries which, in the planning commission’s or city council’s judgment, bears relation to its planning. (b) Notice of Hearing. Whenever hearings are to be held on official plan lines covering land outside the city boundaries, a notice of said hearing will be transmitted to the Santa Clara County planning commission and board of supervisors of Santa Clara County along with copies of appropriate maps, for comment from said planning commission or board of supervisors. If no comments are received within forty days after transmittal, said proposals shall be deemed to be acceptable with the county planning commission and or board of supervisors. (c) Effective Date of Official Plan Lines. Official plan lines adopted for land outside the city boundaries do not become effective until such land is duly annexed to the city. (d) Official Plan Line Affecting Adjacent City. Whenever an official plan line is being considered which affects an adjacent city, the city clerk shall transmit a copy of the proposed map to the appropriate adjacent city planning commission(s) for their comments. If no comments are received within forty days after transmittal, said proposal shall be deemed acceptable with said adjacent city planning commission. 010904 syn 0090971 C-98 Chapter 20.08 SETBACK LINES 20.08.10 Setback Line. For the purposes of this chapter, a setback line means a line within a lot parallel to a corresponding lot line, which is the boundary of any specified front, side or rear yard, or the boundary of any public right-of-way whether acquired in fee, easement, or otherwise, or a line otherwise established to govern the location of buildings, structures or uses. Where no minimum front, side or rear yards are specified, the setback line shall be coterminous with the corresponding lot lifie. 20.08.20 Setback map. Setback lines are established parallel with the streets at a distance in feet as shown upon the map entitled "Setback Map dated October 12, 1959" made a part hereof, and according to the legend contained on such map. Setback lines on property not having such lines imposed by this chapter and map shall be as established by Title 18, the Zoning Code. 20.08.30 Buildings between street line and setback line prohibited. It shall be unlawful for any person, firm or corporation to erect or locate any building or structure within the space between the street line and setback line. Map showing setback lines applicable to Research Park to be attached before execution. I The setback map, adopted by Ordinance 1896, has been amended by Ordinances 1953, 1993, 2028, 2034, 2035, 2036, 2037, 2052, 2060, 2061. 2108, 2109, 2110, 2133, 2136, 2157, 2171, 2244, 2263, 2687, 3071, 3531 and 4430. C-99 010904 syn 0090971 EXCERPT FROM CHAPTER 21.08 MAPS REQUIRED 21.08.010 Tentative map and final map required. A tentative map and a final map shall be required for any subdivision for which a tentative map and a final map .are required by the Subdivision Map Act, including any stock cooperative project creating five or more units. C-100 010904 syn 0090971 L 11 Londscape 160’ from property Landsca Overlay from ~erty lin The City of Palo A1 to PLANN|NO DIVISION Proposed 100’ Landscape Overlay at the Hillview Site in the Stanford Research Park Exhibit E This map is a product of the City of Palo Alto GIS o’2o0’ 400’ File: PL_PROJ_DISK:[OOOOOO.ZONE]ZONESOO.FGB View: LMlO00 This document is a graphic representation onl9 or best available sources.gate: 04SEP01-17.47.00 B9: ttUHBLE The Citg o£ Palo Alto assumes no responsibilitg rot an9 errors. Attachment D-2 STANFORD-CPA Development Agreement and Ground Lease Proposed Mayfield Ground Lease 010905 s~ 0090974 GROUND LEASE THIS LEASE is made and entered into as of ,2001 (the "Effective Date"), by and between THE BOARD OF TRUSTEES OF THE LELAND STANFORD JUNIOR UNIVERSITY, a body having corporate powers under the laws of the State of California ("Lessor"), and THE CITY OF PALO ALTO, a municipal corporation ("Lessee"). RECITALS A. Lessor owns that certain real property being a portion of the lands of The Leland Stanford Junior University and located in the City of Palo Alto, County of Santa Clara, State of California, and more particularly described in Exhibit A attached hereto (the "Premises"). The land described in Exhibit A together with the Improvements (as defined below), is herein referred to as the "Premises." B. Lessee now desires to lease the Premises from Lessor, and Lessor desires to lease the Premises to Lessee on the terms and conditions set forth in this Lease and for the purposes provided herein. NOW, THEREFORE, in consideration of the rents to be paid hereunder and of the agreements, covenants and conditions contained herein, the parties hereby agree as follows: ARTICLE 1. BASIC LEASE INFORMATION The following is a summary of basic lease information. Each term or item in this Article 1 shall be deemed to incorporate all of the provisions set forth below pertaining to such term or item and to the extent there is any conflict between the provisions of this Article 1 and any more specific provision of this Lease, the more specific provision shall control. Lessor:The Board of Trustees of the Leland Stanford Junior University Address of Lessor:Stanford Management Company 2770 Sand Hill Road Menlo Park, CA 94025-3065 Attn: Managing Director Real Estate Lessee:The City of Palo Alto Address of Lessee:City Manager City of Palo Alto 250 Hamilton Avenue Palo Alto, CA 94301 with a copy to:City Attomey City of Palo Alto 250 Hamilton Avenue Palo Alto, CA 94301 Commencement Date: Term (Article 5): Rent (Article 6): Use (Article 9): ARTICLE 2. DEFINITIONS See Article 5 Fifty-one (5 I) years from the Commencement Date One Dollar per year, subject to the provisions of Section 6.2 Operation of a Community Center, as defined in Article 2, and as otherwise described in Article 9 As used in this Lease, the following terms shall have the following meanings, applicable, as appropriate, to both the singular and plural forms of the terms herein def’med: "Access Agreements" are defined in Section 3.1. "Added Costs" means the extra, incremental costs to redevelop, repair, maintain, upgrade or construct Improvements at the Premises, or to make thePremises suitable for tenant use, due to the Pre-Existing Environmental Condition, including the presence of residual Hazardous Substances after remediation. Added Costs include, but are not limited to, the costs of any studies or risk assessments required by any government authority with jurisdiction or those that are technically warranted and reasonably requested by Lessor or any tenant or subtenant at the Premises, the costs of any hazardous material contractor to perform work at the Premises, the costs for handling and disposal of any contaminated media at the Premises, and the costs of any special requirements to control soil vapors or dewater the Premises. "Additional Rent" is defined in Article 7. "Alterations" means any additional improvements, alterations, remodeling, or reconstruction of or to the Improvements on the Premises. "Applicable Laws" means all applicable laws, statutes, codes, ordinances, orders, rules, regulations and requirements, including, without limitation, all Environmental Requirements, of all Federal, state, county, municipal and other governmental authorities and the deparmaents, commissions, boards, bureaus, instrumentalities, and officers thereof, and all orders, rules and regulations of the Pacific Fire Rating Bureau, and the American Insurance Association (formerly the National Board of Fire Underwriters) or any other body exercising similar functions relating to or affecting the Premises, the Improvements now or hereafter located on the Premises or the use, operation or occupancy of the Premises for the purposes permitted hereunder, whether now existing or hereafter enacted. "Appropriation" means any taking by exercise of right of condemnation (direct or inverse) or eminent domain, or requisitioning by military or other public authority for any purpose arising out of a temporary emergency or other temporary circumstance or sale under threat of condemnation. "Appropriated" means having been subject to such taking and "Appropriating" means exercising such taking authority. 2 "Award" means the amount paid by the Appropriating authority as a result of an Appropriation. "Basic Lease Information" means the information contained in Article 1. "Basic Rent" is defined in Article 6. "Commencement Date" is as stated in Article 5. "Community Center" means the facilities, buildings and improvements on the Premises managed and operated by Lessee or its non-profit or governmental successors and assigns, including the JCC or any Permitted Sublessee of the entire Premises, for cultural, educational, health and human services, recreational and social activities for the benefit of the public, including programs for members of the JCC or any Permitted Sublessee and their guests. The activities to be conducted on the Premises may include activities or programs which are being offered as of the Effective Date at the JCC’s existing facility, or which have been offered previously at the JCC’s existing facility, or are consistent in character with such current or prior uses. Notwithstanding the foregoing definition or any other provision of this Lease, Lessee’s use of the Premises as a Community Center shall at all time comply with the requirements and restrictions of the Grant of Endowment of the Leland Stanford Junior University, and all subsequent amendments thereto. "Development Agreement" means that certain Development Agreement dated as of by and between Lessor and Lessee. "EnvironmentalAudit" is defined in Section 18.9. "Environmental Claims" means all claims, demands, judgments, damages, losses, penalties, fines, actions, proceedings, obligations, liabilities (including strict liability), encumbrances, liens, costs (including, without limitation, costs of investigation and defense of any claim, whether or not such claim is ultimately defeated, and costs of any good faith settlement or judgment), and expenses of whatever kind or nature, contingent or otherwise, matured or unmatured, foreseeable or unforeseeable, including without limitation reasonable attorneys’ and consultants’ fees and disbursements, any of which are incurred at any time arising out of or related to Environmental Requirements, including, without limitation: (i) Damages for personal injury, or injury to property or natural resources occurring upon or off of the Premises, foreseeable or unforeseeable, including, without limitation, lost profits, consequential damages, the cost of demolition and rebuilding of any improvements on real property, interest and penalties, and claims brought by or on behalf of employees of Lessee, with respect to which Lessee waives any immunity to which it may be entitled under any industrial or worker’s compensation laws; (ii) Fees incurred for the services of attorneys, consultants, contractors, experts, laboratories and all other costs incurred in connection with the investigation or remediation of Hazardous Substances or violation of Environmental Requirements, including, but not limited to, preparation of feasibility studies or reports, or the performance of any cleanup, remediation, removal, response, abatement, containment, closure, restoration or monitoring work required by any federal, state or local governmental agency or political subdivision, or reasonably necessary to make full economic use of the Premises or any other property or otherwise expended in connection with such conditions, and including without limitation any attorneys’ fees, costs and expenses incurred in enforcing this Lease or collecting any sums due hereunder; (iii) Liability to any third person or governmental agency to indemnify such person or agency for costs expended in connection with the items referenced above; (iv) Diminution in the value of the Premises, and damages for the loss of business and restriction on the use of, or adverse impact on the marketing of, rentable or usable space or any amenity of the Premises. "Environmental Requirements" means all applicable present and future statutes, regulations, rules, ordinances, codes, common law, licenses, permits, orders, approvals, plans, authorizations, concessions, franchises, and similar items, and all amendments thereto, of all governmental agencies, departments, commissions, boards, bureaus or instrumentalities of the United States, California, and political subdivisions thereof, and all applicable judicial, administrative and regulatory decrees, judgments, and orders relating to the protection of human health, safety or the environment, including, without limitation, the Comprehensive Environmental Response, Compensation and Liability Act (42 U.S.C. section 9601 et seq.) and the Resource Conservation and Recovery Act (42 U.S.C. section 6901 et seq.) and including, without limitation: (i) all requirements pertaining to reporting, licensing, permitting, investigation and remediation of emissions, discharges, releases, or threatened releases of Hazardous Substances, whether solid, liquid, or gaseous in nature, into the air, surface water, groundwater, or land, or relating to the manufacture, processing, distribution, use, treatment, storage, disposal, transport, or handling of Hazardous Substances, and (ii) all requirements pertaining to the health and safety of employees or the public. "Exacerbation" means any direct, material adverse impact on the Pre-Existing Environmental Condition. Exacerbation includes, without limitation, actions which speed, redirect or enhance the migration of groundwater contamination at the Premises in a fashion that causes a material adverse impact (for example, by causing Hazardous Substances to migrate to deeper aquifers), actions which cause damage to or limit the effectiveness of any existing remediation systems or equipment, and actions which give rise to Environmental Claims. Exacerbation does not mean the mere ongoing, passive migration of Hazardous Substances present at the Premises before the Commencement Date or the mere construction of Improvements at the Premises. "Expiration Date" is the fifty-first anniversary of the Commencement Date. "Event of Default" is defined in Article 25. "First Lender" is defined in Section 24.3. "Full Insurable Replacement Value" is defined in Section 19.1. 4 "Gross FloorArea" is as defined in Section 18.04.030(65)(A) and (B) of the Palo Alto Municipal Code effective as of August, 2001. "Hazardous Substance" means any substance: (i) the presence of which requires investigation or remediation under any Environmental Requirement; (ii) which is or becomes listed, regulated or defined as a "hazardous waste," "hazardous substance," "hazardous material", "toxic substance", "hazardous air pollutant", "pollutant," or "contaminant" under any Environmental Requirement; (iii) which is toxic, explosive, corrosive, flammable, infectious, radioactive, carcinogenic, mutagenic,~or otherwise hazardous to health, reproduction or the environment and is or becomes regulated under any Environmental Requirement; (iv) the presence of which on the Premises causes or threatens to cause a nuisance upon the Premises or to surrounding properties or poses or threatens to pose a hazard to the health or safety of persons on or about the Premises; (v) the presence of which on adjacent properties could constitute a trespass by Lessee; (vi) without limitation of the foregoing, which contains gasoline, diesel fuel or other petroleum hydrocarbons and the additives and constituents thereto; . (vii) without limitation of the foregoing, which contains polychlorinated biphenals (PCBs), asbestos or urea formaldehyde foam insulation; or (viii) without limitation of the foregoing, radon gas. "Impositions" are defined in Section 7.2. "Improvements" means all landscaping, buildings and other structures and improvements, and fixtures thereto, constructed, planted, or installed on the Premises, including, without limitation, all subsequent Alterations. The Improvements shall consist of not less than 100,000 square feet and not more than 130,000 square feet of Gross Floor Area. "Institutional Lender" is defined in Section 24.3. "Interest Rate" means the lesser of (i) the rate of interest charged by Bank of America at its offices in San Francisco as its prime or reference rate, plus 2%, or (ii) the highest rate permitted under Applicable Laws, compounded monthly. "JCC" is the Albert L. Schultz Jewish Community Center. "JCCSublease" is defined in Section 23.1. "JCF" is defined in Section 23.1. "Leasehold Mortgage" is defined in Section 24.1. "Lessee Environmental Activity" means (a) any use, treatment, keeping, handling, storage, transport, sale, release, disposal, migration or discharge from, on, about, under or into the Premises of any Hazardous Substance other than one which was already present prior to the Commencement Date, or (b) the Exacerbation of the Pre-Existing Environmental Condition, which arises out of, is the result of or is related to the acts or omissions of Lessee, its employees, agents, contractors and invitees on or about the Premises during the Term. "Liens" are defined in Section 15.1. "Orders" are defined in Section 18.1. "Permitted Exceptions" are def’med in Section 3.1. "Permitted Sublease" is defined in Section 23.4. "Permitted Sublessee" is defined in Section 23.4. "Pre-Existing Environmental Condition" means the presence, release and/or migration of any Hazardous Substances at, on, under or from soil, groundwater, surface water, the air or Improvements at the Premises on or before the Commencement Date. "Premises" is defined in Recital A. "Project" means the construction of the Community Center contemplated for the Premises. "Rent" is defined in Section 7.1. "Responsible Parties" are defined in Section 3.1. "SupplementalAudit" is defined in Section 18.9. "Term" is defined in Article 5. "Termination Date" shall mean the Expiration Date or such earlier date as this Lease is terminated pursuant to any provision hereof. "Transfer" is defined in Section 22.1. ARTICLE 3. LEASE OF PREMISES; RESERVATION OF RIGHTS Section 3.1 Premises. As of the Commencement Date, Lessor hereby leases and demises the Premises to Lessee, and Lessee hereby hires the Premises from Lessor on the terms and conditions set forth in this Lease. This Lease shall be subject to (a) all zoning and governmental regulations now or hereafter in effect, (b) all liens, encumbrances, restrictions, rights and conditions of law or of record existing as of the Commencement Date and as described on Exhibit A-1 attached hereto, and (c) all matters affecting title to or use of the Premises otherwise known to Lessee or ascertainable by inspection or a survey. The matters described in the preceding clauses (b) and (c) are collectively referred to as the "Permitted Exceptions". In addition, this Lease shall be subject to the fights of Hewlett-Packard Company and BP Oil Company (the "Responsible Parties"), as detailed in the access agreements attached as Exhibits B-1 and B-2 (the "Access Agreements’), and to the on-going remediation of Hazardous Substances described in Article 18. Section 3.2 Conditions to Effectiveness of Lease. The effectiveness of this Lease shall be conditioned upon (a) approval and execution of the Development Agreement; (b) the expiration of the referendum period of the ordinance approving the Development Agreement without the filing of a referendum, and (c) the expiration of 100 days after Lessee’s adoption of the ordinance approving the Development Agreement without the filing of a judicial proceeding affecting the Development Agreement. Section 3.3 Access and Relocation Rights. Lessor hereby grants to Lessee a non- exclusive easement for access to and from the Premises, subject to the rights of all existing easement holders and as more particularly described on the attached Exhibit . Lessor makes absolutely no representation or warranty regarding the availability of access or the utility of such access easement for Lessee’s purposes. Lessor further grants to Lessee the right at Lessee’s own cost, risk and expense to relocate the following easements in order to accommodate construction of the Improvements and use of the Premises as contemplated by this Lease: (a) the sewer easement described in Exception No. __ in the Permitted Exceptions; and (b) the electrical easement described in Exception No. __ in the Permitted Exceptions. Lessee shall be solely responsible for obtaining all necessary third party and governmental approvals and permits for such relocation. Section 3.4 Reservation of Rights. (a) Lessor hereby reserves and excepts all rights in and with respect to the Premises not inconsistent with Lessee’s use of the Premises as permitted herein, including, without limitation, (i) the right of Lessor, at all reasonable times and, if reasonably practicable, following advance notice to Lessee, to enter and to permit the County of Santa Clara, the Santa Clara Valley Water District, other governmental bodies, public or private utilities and other persons to enter upon the Premises for the purposes of installing, using, operating, maintaining, renewingl relocating and replacing such underground wells and water, oil, gas, steam, storm sewer, sanitary sewer and other pipe lines, and telephone, electric, power and other lines, conduits, and facilities, and flood access and maintenance rights of way and equipment, as Lessor may deem desirable in connection with the development or use of the Premises, or any other property in the neighborhood of the Premises, whether owned by Lessor or not, and (ii) the remediation of Hazardous Substances in, on, or under, the Premises, as required under Applicable Law and pursuant to the Access Agreements and the Orders described in Section 18.1. No such entry, construction or the presence of such wells, pipe lines, lines, conduits, facilities or rights of way shall interfere with the use of the Premises or the stability of any building or improvement on the Premises; provided that Lessor’s obligations pursuant to this sentence shall not apply to any conditions or improvements on or under the Premises existing as of the Effective Date. 7 (b) Lessor hereby retains the sole and exclusive right to enter upon the Premises and mine or otherwise produce or extract by any means whatsoever, whether by slant drilling or otherwise, oil, gas, hydrocarbons and other minerals (of whatsoever character) in or under or from the Premises, such mining, production or extraction to be for the sole benefit of Lessor without obligati6n to pay Lessee for any or all of the substances so mined, produced or extracted; provided, however, that none of the operations for such mining, production or extraction shall be conducted from the surface of the land hereby leased, but only at such depth beneath such land surface as not to interfere with the use or stability of any building or improvements on the Premises, which the parties agree shall not be less than five hundred (500) feet. No such entry, mining, production or extraction shall interfere with the use of the Premises or the stability of any building or improvement on the Premises. (c) Provided Lessor complies with the limitations of subsections (a) and (b) above, Lessee hereby waives any claims for damages for any injury or inconvenience to or interference with Lessee’s business on the Premises, or any other loss occasioned by Lessor’s exercise of its rights hereunder. (d) Lessor shall be entitled, at all reasonable times and upon reasonable notice to go upon and into the Premises and the Improvements for the purposes of (a) inspecting the performance by Lessee of the terms, covenants, agreements and conditions of this Lease, (b) posting and keeping posted thereon notices of non-responsibility for any construction, alteration or repair thereof, as required or permitted by any law or ordinance, and (c) any other reason permitted under this Lease. ARTICLE 4. ACCEPTANCE OF PREMISES Prior to entering into this Lease, Lessee has made a thorough, independent examination of the Premises and all matters relevant to Lessee’s decision to enter into this Lease, and Lessee is thoroughly familiar with all aspects of the Premises and is satisfied that they are in an acceptable condition and meet Lessee’s needs. Lessee specifically agrees to take the Premises in its existing condition and acknowledges that in entering into this Lease, and except to the extent specifically provided otherwise, Lessee does not rely on, and Lessor does not make, any express or implied representations or warranties as to any matters including, without limitation, the suitability of the soil or subsoil, any characteristics of the Premises or any improvements thereon, the suitability of the Premises for the intended use, the likelihood of deriving business from or other characteristics of The Leland Stanford Junior University, the economic feasibility of the business Lessee intends to conduct on the Premises, title to the Premises, Hazardous Substances on or in the vicinity of the Premises, or any other matter. Lessee has satisfied itself as to such suitability and other pertinent matters by Lessee’s own inquiries and tests into all matters relevant in determining whether to enter into this Lease. Lessee accepts the Premises in its ¯ existing condition, and to the extent specifically provided in Article 18 with respect to Lessee Environmental Activity, Lessee hereby expressly agrees that if any remedial or restoration work is required in order to conform the Premises to the requirements of Applicable Laws, Lessee shall assume sole responsibility for any such work. ARTICLE 5. TERM Section.5.1 Term. The term of this Lease (the "Term") shall commence on the earlier of (a) the date that Lessee enters onto the Premises for the commencement of construction of the Improvements, and (b) the date which is 54 months after the Effective Date (the "Commencement Date"). This Lease shall expire on the Expiration Date or on such earlier date as this Lease may be terminated as hereinafter provided. Section 5.2 Election to Construct Improvements. Lessee shall have no obligation to construct the Improvements so long as Lessee maintains the Premises in a neat and attractively landscaped condition; provided, however, that if Lessee commences construction of the Improvements at any time during the Term, it will diligently prosecute such construction to completion. Lessee shall notify Lessor in writing prior to the Commencement Date whether or not Lessee elects to construct the Improvements, and if so, how many square feet of Gross Floor Area will be constructed (within the permitted range of 90,000 to 130,000 square feet). After delivery of such notice, Lessee shall not increase or decrease the square footage of the Improvements without Lessor’s consent. If Lessee elects not to construct the Improvements, Lessee may terminate this Lease prior to the expiration of the 54th month after the Effective Date upon delivery of written notice to Lessor, whereupon neither party shall have any further rights or obligations under this Lease. Notwithstanding the foregoing, Lessee’s failure to construct the Improvements and/or Lessee’s election to terminate this Lease due to an election not to construct the Improvements shall not in any way affect or limit Lessor’s vested Mayfield Square Footage, as defined in the Development Agreement. Section 5.3 Construction Timetable. If Lessee elects to construct the Improvements and the completion of the Improvements has not occurred within 8 years after the Effective Date (subject to Sections 5.4 and 5.5), either Lessor or Lessee shall have the right to terminate this Lease upon written notice to the other, whereupon neither party shall have any further rights or obligations under this Lease; provided that Lessee surrenders the Premises as required in Article 27. Notwithstanding the foregoing, if the JCC notifies Lessee that it elects not to proceed with construction or has not commenced construction of the Improvements by the end of the 54- month period from the Effective Date, Lessee shall have an additional 1-year period after the date of the JCC notice in which to elect whether or not to terminate this Lease. In the event Lessee initially decides not to construct the Improvements, but does not terminate this Lease, if Lessee later desires to construct the Improvements, it shall do so only if construction can be completed within 15 years after the Commencement Date (subject to Section 5.5), it being the understanding of the parties that no construction (other th.an subsequent Alterations to the Improvements or the installation of exterior recreational facilities) shall occur after the 15th anniversary of the Commencement Date. Section 5.4 Phasing of Construction. Notwithstanding the other provisions of this Article 5, Lessee may elect to construct the Improvements in two phases, subject to the following conditions: (a) the first phase shall consist of a total of at least 90,000 square feet of Gross Floor Area, (b) the second phase shall not cause the total square footage of the Premises to exceed 130,000 square feet of Gross Floor Area (or such lesser square footage as Lessee elected to construct under Section 5.2), (c) construction of the second phase shall commence within l0 years after the Commencement Date, and (d) the second phase shall be completed within 15 years after the Commencement Date. The phasing of construction of the Improvements shall not reduce Lessor’s vested Mayfield Square Footage under the Development Agreement. Section 5.5 Inability to Perform. If Lessee is unable to meet the construction timetable set forth in Section 5.3 by reason of acts of God, accidents, breakage, repairs, strikes, lockouts, other labor disputes, inability to obtain utilities or materials or by any other reason beyond Lessee’s reasonable control, then no such inability or delay by Lessee shall be a breach of this Lease, or allow Lessor to terminate this Lease for a period equal to the duration of such prevention, delay or stoppage. Section 5.6 Extension Discussions. Lessor agrees that upon delivery of written request by Lessee delivered at any time during the 40th year of the Term, Lessor’s authorized representatives will meet with Lessee to discuss any proposal Lessee wishes to make for a possible extension of this Lease. Lessee agrees and acknowledges (a) that Lessor’s agreement to meet with Lessee shall not impose any duty (express or implied) upon Lessor to enter into negotiations for an extension of this Lease, (b) that Lessor is not willing to grant to Lessee an option to extend this Lease, and (c) that Lessee is not relying on any promise, express or implied, that this Lease will be extended or renewed. ARTICLE 6. RENT As consideration for this Lease, Lessee shall pay to Lessor in advance on the Commencement Date and on each anniversary of the Commencement Date during the Term rent in the amount of One Dollar ($1.00) (the "Basic Rent"). Lessor hereby acknowledges that Lessee has prepaid the entire Basic Rent concurrently with the execution of this Lease. ARTICLE 7. ADDITIONAL RENT Section 7.1 Net Lease. Each and every sum payable to Lessor pursuant to this Lease (other than the Basic Rent), each and every sum Lessee is obligated to pay to any third party pursuant to this Lease, and each and every sum which Lessor pays to any third party to cure a default of Lessee under this Lease shall be additional rent ("Additional Rent’). Basic Rent and Additional Rent are collectively referred to herein as "Rent." Section 7.2 Impositions. Without limiting the foregoing, Additional Rent shall include, and Lessee agrees to bear, discharge and pay to the relevant authority or entity, in lawful money of the United States, without offset or deduction, as the same become due, before delinquency, all taxes, assessments, rates, charges, license fees, municipal liens, levies, excises or imposts, whether general or special, or ordinary or extraordinary, of every name, nature and kind whatsoever, including all governmental charges of whatsoever name, nature or kind that may be levied, assessed, charged or imposed or may be or become a lien or charge upon the Premises or any part thereof; or upon the rent or income of Lessee; or upon the use or occupancy of the Premises; or this transaction or any document creating or transferring an estate or interest in the Premises; upon any of the buildings .or improvements that are or are hereafter placed, built or newly constructed upon the Premises; or upon the leasehold of Lessee or upon the estate hereby created; or upon Lessor by reason of its ownership of the fee underlying this Lease, commencing as of the Commencement Date and continuing throughout the Term. Lessee’s obligations described above include, but are not limited to, the payment of any bonds or charges imposed or required by any governmental agency or department by reason of the proposed or actual discharge, cleanup or disposal, or oversight thereof, of Hazardous Substances by Lessee, or any subtenant, tenant or licensee claiming through Lessee; provided, however, that this provision shall not, and shall not be deemed to, permit Lessee to use, treat, store or dispose of any such substances on the Premises. If at any time during the Term, under any Applicable Laws, any tax is levied or assessed against Lessor directly, in substitution in whole or in part for real property taxes, Lessee covenants and agrees to pay and discharge such tax. All of the foregoing taxes, assessments and other charges are herein referred to as "Itnpositions". Section 7.3 Receipts. Lessee shall obtain and deliver to Lessor, promptly upon payment thereof, receipts or duplicate receipts for all Impositions required to be paid by Lessee. Section 7.4 Right to Contest. Lessee shall have the right to contest, by appropriate proceedings, the amount or validity, in whole or in part, of any Imposition, provided that unless Lessee posts adequate security (in Lessor’s reasonable determination), Lessee shall not postpone or defer payment of such Imposition but shall pay such Imposition in accordance with Section 7.2 notwithstanding such contest. Lessor shall have no obligation to join in any such proceedings, except to the extent Lessor’s consent is required to enable Lessee to have standing to pursue such contest. Lessee shall indemnify and defend Lessor against and save Lessor harmless from and against any and all claims, demands, losses, costs, liabilities, damages, penalties and expenses, including, without limitation, reasonable attorneys’ fees and expenses, arising from or in connection with any such proceedings. Section 7.5 Proration. Any Imposition relating to a fiscal period of any taxing authority, only a part of which period is included within the Term, shall be prorated as between Lessor and Lessee so that Lessor shall pay the portion thereof attributable to any period outside the Term, and Lessee shall pay the portion thereof attributable to any period within the Term. Lessee, however~ shall pay all personal property taxes, without proration, that relate to a fiscal year in which the Term hereof shall commence or terminate. ARTICLE 8. NET LEASE; NO COUNTERCLAIM OR ABATEMENT Section 8.1 Net Lease. The Basic Rent and Additional Rent due hereunder shall be absolutely net to Lessor and shall be paid without assertion of any counterclaim, setoff, deduction or defense and without abatement, suspension, deferment or reduction. Lessor shall not be expected or required under any circumstances or conditions whatsoever, whether now existing or hereafter arising, and whether now known or unknown to the parties, to make any payment of any kind whatsoever with respect to the Premises or be under any obligation or liability hereunder except as expressly set forth in this Lease. Section 8.2 No Release. Except as otherwise expressly provided herein, this Lease shall continue in full force and effect, and the obligations of Lessee hereunder shall not be released, discharged or otherwise affected, by reason of: (a) any damage to or destruction of the Premises or any portion thereof or any Improvements thereon, or any taking thereof in eminent domain; (b) any restriction or prevention of or interference with any use of the Premises or the Improvements or any part thereof; (c) any bankruptcy, insolvency, reorganization, composition, adjustment, dissolution, liquidation or other proceeding relating to Lessor, Lessee or any constituent partner of Lessee or any sublessee, licensee or concessionaire or any action taken with respect to this Lease by an trustee or receiver, or by any court, in any proceeding; (d) any claim that Lessee or any other person has or might have against Lessor; (e) any failure on the part of Lessor to perform or comply with any of the terms hereof or of any other agreement with Lessee or any other person; (f) any failure on the part of any sublessee, licensee, concessionaire, or other person to perform or comply with any of the terms of any sublease or other agreement between Lessee and any such person; (g) any termination of any sublease, license or concession, whether voluntary or by operation of law; or (h) any other occurrence whatsoever, whether similar or dissimilar to the foregoing, in each case whether or not Lessee shall have notice or knowledge of any of the foregoing. Section 8.3 Independent Covenants. Lessee’s obligations hereunder shall be separate and independent covenants and agreements. Each agreement of Lessee shall be both a covenant and a condition. Lessee hereby waives, to the full extent permitted by applicable law, all fights now or hereafter conferred by statute, including without limitation the provisions of Civil Code Sections 1932 and 1933, to quit, terminate or surrender this Lease or the Premises or any part thereof, or to any abatement, suspension, deferment, diminution or reduction of any rent hereunder. ARTICLE 9. USE AND OPERATION OF PREMISES Section 9.1 Use Restriction. Subject to all provisions and limitations contained herein, the Premises shall at all times be used and operated for the purposes stated in the Basic Lease Information and for no other purpose. The parties hereby acknowledge and agree that Lessee’s covenant that the Premises shall be used solely for the purposes stated in the Basic Lease Information and for no other purpose is material consideration for Lessor’s agreement to enter into this Lease. The parties further acknowledge and agree that any violation of said covenant shall constitute a material breach of this Lease and entitle Lessor to exercise any and all of its fights and remedies under this Lease or otherwise at law or in equity. Section 9.2 Prohibited Uses. Without limitation of the foregoing, or any other provision of this Lease, the Premises shall not be used under any circumstances for any purpose that in any way (a) causes, creates, or results in a nuisance or waste; (b) involves substantial hazard, such as the manufacture or use of explosives, chemicals or products that may explode, or that otherwise may harm the health or welfare of persons or the physical environment; or (c) involves any discharge of Hazardous Substances on the Premises, including but not limited to the disposing or discharging of such substances into or under the Premises. Section 9.3 Impacts on Lessor’s Other Property. Lessee shall maintain the exterior of the Premises and manage its operations within the Community Center so as to avoid any material negative impact from its appearance or operations on the other tenants and properties located in the Stanford Research Park. Section 9.4 Use of the Premises During Repairs And Alterations. Lessee covenants that Lessee will continuously and without interruption operate the entire Premises for the uses permitted under Section 9.1, except during any period of construction, restoration, repair, replacement, rebuilding or remodeling undertaken by Lessee pursuant to Articles 11 or 21 of this Lease and during any period of Appropriation, in which case this covenant shall not apply to the portion of the Premises actually affected thereby and for such time as is reasonably required by such restoration, repairs, replacement or rebuilding or condemnation or Alterations, or where otherwise prevented by causes beyond Lessee’s control (other than any financial difficulties of Lessee). ARTICLE 10. LIMITATION ON EFFECT OF APPROVALS All rights of Lessor to review, comment upon, approve, inspect or take any other action with respect to the Premises, the Improvements, or the design or construction thereof, or any- other matter, are specifically for the benefit of Lessor and no other party. Lessor neither has nor assumes any liability, responsibility or obligation for, in connection with, or with respect to, the design, construction, maintenance or operation of the Premises or any Improvements, or the removal and/or remediation of any Hazardous Substances on, in or from the Premises, and no review, comment, approval or inspection, right or exercise of any right to perform Lessee’s obligations, or similar actions required or permitted by, of, or to Lessor hereunder, or actions or omissions of Lessor’s employees, agents and trustees, or other circumstances shall give or be deemed to give Lessor any such liability, responsibility or obligation; nor shall any such approval, actions, information or circumstances relieve or be deemed to relieve Lessee of the obligation and responsibility for the design, construction, maintenance and operation of the Premises and Improvements and the removal and/or remediation of Hazardous Substances required under this Lease, if any. ARTICLE 11. IMPROVEMENTS, CONSTRUCTION OF ALTERATIONS Section 11.1 Improvements and Alterations. Lessee shall have the right to construct Improvements on the Premises and to subsequently make Alterations to the Improvements, subject to Lessor’s prior written approval, which approval shall not be unreasonably withheld, conditioned or delayed. All Improvements and Alterations shall be at Lessee’s expense, and shall be subject to the terms of this Article 11. Section 11.2 Permits and Approvals. Lessee shall be solely responsible for obtaining, at its expense, the approval of any governmental agencies with jurisdiction over the Premises for any general plan amendment, rezoning, variance, conditional use permit, building, electrical and plumbing permits, environmental impact analysis and mitigations imposed thereby, or other governmental action necessary to permit the development, construction and operation of any Improvements and Alterations in accordance with this Lease. Notwithstanding the foregoing, Lessee shall apply for and prosecute any required governmental review processes for a general plan amendment, rezoning, variance or use permit only through and in the name of Lessor, and Lessee shall not submit any environmental impact report or other consultant’s report containing information regarding Lessor, Lessor’s lands or Lessor’s tenants to any public agency without Lessor’s prior written approval, which approval shall not be unreasonably withheld, delayed or conditioned. Lessor, at no third party cost or expense to itself, shall cooperate with Lessee to the extent reasonably required to obtain approval for (a) any proposed variance, use permit, zoning change and/or development agreement in connection with the proposed uses hereunder, and (b) any proposed Improvements and Alterations approved by Lessor hereunder. Lessee shall reimburse Lessor for any out-of-pocket expenses reasonably incurred by Lessor in connection with such cooperation, which reimbursement shall be due and payable by Lessee to Lessor upon demand. Nothing contained herein, however, shall permit or be deemed to permit Lessee to use the Premises for any purpose not expressly permitted under Section 9.1. Section 11.3 Design. (a) The exterior design of all Improvements and Alterations, including without limitation, the site plan, landscaping plan and materials, colors, and elevations, shall be subject to the approval of Lessor, which approval shall not be nnreasonably withheld, conditioned or delayed. In addition, structural plans for any Improvements and Alterations shall be subject to Lessor’s approval, which approval shall not be unreasonably withheld, conditioned or delayed. (b) Lessee shall submit to Lessor, for Lessor’s review, the number required by Lessor (but not more than four) of duplicate sets of exterior design drawings for the proposed Improvements and Alterations, whether or not they are required to commence the application for governmental design approval. The design drawings shall be subject to Lessor’s approval in accordance with Section 11.3(a) above. Lessee shall not apply for any governmental approvals until after obtaining Lessor’s written approval of the design drawings. (c) Lessee acknowledges that prior to approving the exterior design drawings for the proposed Improvements and Alterations, Lessor may be obligated to meet and consult with certain committees and other persons within Lessor’s organization. Lessee shall provide Lessor with such information and materials as Lessor may request, attend committee and other meetings with Lessor and other persons associated with Lessor, and take such other actions as Lessor deems necessary to satisfy the requirements of such committees and other persons within Lessor’s organization, and to otherwise respond to Lessee’s request for approval of the design drawings for the proposed Improvements and Alterations. (d) Prior to finalizing any construction documents that differ from any exterior design or other construction documents previously approved by Lessor, Lessee shall submit to Lessor for Lessor’s written approval in accordance with Section 11.3(a) above, the number of duplicate sets of such documents required by Lessor (but not more than four), upon which any changes shall be indicated. (e) If Lessor expresses its disapproval of any item pursuant to this Article 11, Lessee shall make whatever changes are reasonably necessary to address the disapproved item and shall resubmit it for Lessor’s approval. Lessee shall not proceed with the disapproved item, or any item affected by the disapproved item, until Lessor has approved Lessee’s changes. If Lessor and Lessee are unable to agree upon a resolution, Lessor and Lessee shall meet to attempt to resolve the dispute; provided, however, that Lessor’s final determination shall prevail so long as Lessor is in compliance with its obligations under Section 11.3 (a) above. (f) Lessor acknowledges that if Lessee undertakes construction of Improvements and Alterations, such construction will be regulated by laws governing public works of improvement, and as such the provisions of this subsection (f) may not apply. In the event such construction is 14 undertaken by a successor lessee, assignee or subtenant which is not a public agency, the following shall apply: Prior to entering into a contract with any design architect, landscape architect or general contractor for any Improvement and Alteration, Lessee shall obtain Lessor’s written approval, .which approval shall not be unreasonably withheld, conditioned or delayed, of the identity of each such design architect, landscape architect or general contractor. Each such contract shall contain provisions acceptable to Lessor that permit such contracts to be assumed by Lessor or its designee, at Lessor’s sole discretion, following a termination of this Lease. Any such assumption shall be on the same terms and conditions (including fees and prices) as set forth in such contracts. Lessor hereby approves the Steinberg Group Architects as architects for the Project. Section 11.4 Prerequisites to Commencement of Construction. In addition to all other requirements set forth herein, before commencing the construction of any Improvements and Alterations and before any building materials have been delivered to the Premises by Lessee or under Lessee’s authority, Lessee shall: (a) Upon Lessor’s request, furnish Lessor with a tree copy of Lessee’s contract with the general contractor. (b) Upon Lessor’s request, deliver to Lessor true copies of all documents to evidence the commitment of construction financing for any new construction or evidence reasonably satisfactory to Lessor regarding other arrangements to provide for payment for work undertaken by Lessee. Such evidence shall be in a form and substance satisfactory to Lessor. (c) Procure or cause to be procured the insurance coverage described below in the limits hereinafter provided and provide Lessor with certified copies of all such insurance or, with the written approval of Lessor, certificates of such insurance in form reasonably satisfactory to Lessor. All such insurance shall comply with the requirements of Articles 11 and 19. (i) During the course of construction, to the extent not covered by property insurance maintained by Lessee pursuant to Article 19, comprehensive "all risk" builder’s risk insurance, including vandalism and malicious mischief, covering all Improvements in place on the Premises, all materials and equipment stored at the Premises and furnished under contract, and all materials and equipment that are in the process of fabrication at the premises of any third party or that have been placed in due course of transit to the Premises when such fabrication or transit is at the risk of, or when title to or an insurable interest in such materials or equipment has passed to, Lessee or its construction manager, contractors or subcontractors (excluding any contractors’, subcontractors’ and construction managers’ tools and equipment, and property owned by the employees of the construction manager, any contractor or any subcontractor), such insurance to be written on a completed value basis in an amount not less than the full estimated replacement value of the Improvements and Alterations, as applicable. (ii) Comprehensive liability insurance covering Lessee, Lessor and each construction manager, contractor and subcontractor engaged in any work on the Premises, which insurance may be effected by endorsement, if obtainable, on the policy required to be carried pursuant to Article 19, including insurance for completed operations, elevators, owner’s, construction manager’s and contractor’s protective liability, products completed operations for 3 years after the date of acceptance of the work by Lessee, broad form blanket contractual liability, broad form property damage and full form personal injury (including but not limited to bodily injury), covering the performance of all work at or from the Premises by Lessee, its construction manager, contractors and subcontractors, and in a liability amount not less than the amount at the time carried by prudent owners of comparable construction projects in the Santa Clara valley, but in any event not less than $5,000,000 combined single limit, which policy shall contain a cross- liability clause or separation of insureds provision, and an endorsement deleting the property damage exclusion as to explosion, underground, and collapse hazards, and an endorsement providing incidental malpractice coverage, and shall include thereunder for the mutual benefit of Lessor and Lessee, bodily injury liability and property damage liability automobile insurance on any non-owned, hired or leased automotive equipment used in the construction of any work. (iii) Worker’s Compensation Insurance in the amounts and coverages required under workers’ compensation, disability and similar employee benefit laws applicable to the Premises, and Employer’s Liability Insurance with limits not less than $1,000,000 or such higher amounts as may be required by law. Section 11.5 General Construction Requirements. (a) All construction and other work in connection with any Improvement and Alteration shall be done at Lessee’s expense and in a prudent and first class manner and with first class materials. Lessee shall construct all Improvements and Alterations in accordance with (i) all Applicable Laws, (ii) plans and specifications that are in accordance with the provisions of this Article 11 and all other applicable provisions of this Lease, and (iii) to the extent not inconsistent with the terms of this Lease, the requirements of the then-current Stanford Research Park Handbook promulgated from time-to-time by Lessor, a current copy of which is attached as Exhibit D. (b) Lessee shall give Lessor not less than 60 days notice of any construction or excavation contemplated on any portion of the Premises. Lessee shall pay Lessor’s costs and expenses for an on-site Lessor-designated archaeological consultant (which consultant may be an independent contractor or an employee of Lessor) during any such construction or excavation. When such consultant deems it necessary to investigate the possible presence of, or to protect, archaeological artifacts, such consultant shall have the authority to temporarily halt the construction or excavation work in the area subject to such investigation. Lessee shall comply, at its own expense, with the consultant’s requests and state law regarding the protection, removal or reburial of human remains and archaeological artifacts. Any archaeological artifacts discovered on the Premises shall belong to Lessor. Lessor and its archeological consultant shall not be liable for any damages or other liability that may result from cessation of excavation or construction, or other compliance with the provisions of this Section 11.5. Any delays in construction which cumulatively exceed 30 days as a result of a stoppage in the Project due to Lessor’s archeological consultant’s investigation shall extend the applicable construction period provided in Article 5 for the number of days of such investigation beyond ~he initial 30-day period. (c) Lessee shall construct all Improvements and Alterations within setbacks required by Applicable Laws or by Lessor; provided that Lessee shall be allowed to provide parking as a 16 permitted use in the setback area if needed for the Improvements and the Project, subject to mutually agreeable landscaping to shield such parking from view. (d) Prior to the commencement of any construction or work of improvement on the Premises that could result in a mechanics’ or materialmens’ lien being imposed on the Premises, Lessor shall have the right to post in a conspicuous location on the Premises, as well as to record with the County of Santa Clara, a Notice of Lessor’s Nonresponsibility pursuant to the California Civil Code. Lessee agrees to give Lessor at least 10 days prior written notice of the commencement of any construction or work of improvement. (e) The provisions of Section 11.3 shall apply to any change in the design elements of the Improvements and Alterations that are subject to Lessor’s approval and that have been approved by Lessor, and to any material deviations in the actual construction of the Improvements or Alterations from such approved design elements. During the course of construction of the Improvements or Alterations, Lessor shall have 5 business days to respond to any request for approval of any change order requiring Lessor’s approval hereunder. If Lessor does not respond to the request within that time, the request shall be deemed approved 5 business days after Lessor receives notice from Lessee that Lessor has failed to respond within the aforesaid 5 business day period. Lessor’s review, comments, recommendations or approvals of the plans and specifications of any other design documents, or of any subsequent alterations or modifications, are not, and shall not be deemed to be, a statement of compliance with the terms of this Lease other than the specific requirement that Lessee procure such review or approval. (f)Lessee shall take all necessary safety precautions during any construction. (g) Lessee shall be responsible at its sole cost and expense for determining the location of any underground pipes, wells, monitoring equipment and other facilities connected with the environmental remediation disclosed by the Access Agreements and by the Orders described in Section 18.1, and shall not damage or disturb any such facilities during the course of construction. Lessor shall allow Lessee access to any documents in Lessor’s possession (other than those which are privileged or subject to confidentiality agreements) relating to the existence and location of such facilities (without warranty that such documents are complete or accurate), and shall use commercially reasonable efforts to assist Lessor in gaining information and cooperation from the Responsible Parties with respect to the existence and location of such facilities. (h) Lessee shall prepare and maintain (i) on a current basis during construction, annotated plans and specifications showing clearly all changes, revisions and substitutions during construction, and (ii) upon completion of construction, as-built drawings showing clearly all changes, revisions and substitutions during construction, including, without limitation, field changes and the final location of all mechanical equipment, utility lines, ducts, outlets, structural members, walls, partitions and other significant features of any Improvement or Alteration. These as-built drawings and annotated plans and specifications shall be kept at the Premises and Lessee shall update them as often as necessary to keep them current. The as-built drawings and annotated plans and specifications shall be made available for copying and inspection by Lessor at all reasonable times, subject to Lessor paying all copying costs. 17 Section 11.6 Construction Completion Procedures. Promptly upon completion of the construction of any Improvements or Alterations during the Term, Lessee shall file for recordation, or cause to be filed for recordation, a notice of completion, and Shall deliver to Lessor evidence satisfactory to Lessor of payment of all costs, expenses, liabilities and liens arising out of or in any way connected with such construction (except for liens that are contested in the manner provided herein). Section 11.7 On Site Inspection. Lessor shall be entitled, at Lessor’s sole cost and expense, to have on site, at all times during the construction of Improvements and Alterations, an inspector or representative who shall be entitled to observe all aspects of the construction. No inspection performed or not performed by Lessor hereunder shall give, or be deemed to give, Lessor any responsibility or liability for, or approval or acceptance of, any aspect of the design or construction of the Improvements or Alterations, or constitute or be deemed to constitute a waiver of any of Lessee’s obligations hereunder. ARTICLE 12. OWNERSHIP OF IMPROVEMENTS AND ALTERATIONS All Improvements and Alterations shall be the property of Lessee or a Permitted Sublessee during, and only during, the Term and no longer. During the Term, no Improvements or Alterations shall be conveyed, transferred or assigned, except as permitted under Article 22, and at all such times the holder of the leasehold interest of Lessee under this Lease shall be the owner of such Improvements and Alterations. Any attempted conveyance, transfer or assignment of the Improvements and Alterations, whether voluntarily or by operation of law or otherwise, to any person, corporation or other entity shall be void and of no effect whatever, except as permitted under Article 22. Notwithstanding the foregoing, Lessee may from time to time replace items of personal property and fixtures. Upon any termination of this Lease, whether by reason of the expiration of the Term hereof, or pursuant to any provision hereof, or by reason of any other cause whatsoever, all of Lessee’s right, title and interest in the Improvements and Alterations (other than personal property and fixtures) shall cease and terminate and title to such Improvements and Alterations shall immediately vest in Lessor. Lessee shall surrender the Improvements and Alterations to Lessor as provided in Article 27. No further deed or other instrument shall be necessary to confirm the vesting in Lessor of title to the Improvements and Alterations. However, upon any termination of this Lease, Lessee, upon request of Lessor, shall execute, acknowledge and deliver to Lessor a quitclaim deed and quitclaim bill of sale confirming that all of Lessee’s rights, title and interest in the Improvements and Alterations has expired and that title thereto has vested in Lessor. ARTICLE 13. MAINTENANCE AND REPAIRS; NO WASTE Section 13.1 Maintenance and Repairs. During the Term, Lessee shall, at its own cost and expense and without any cost or expense to Lessor, keep and maintain the Premises and all Improvements and appurtenant facilities, including without limitation the grounds, soils, groundwater, sidewalks, parking and landscaped areas, and all furniture, fixtures and equipment, in good condition and repair and shall allow no nuisances to exist or be maintained thereon. Lessee shall promptly make all repairs, replacements and alterations (whether structural or nonstructural, or ordinary or extraordinary) necessary to maintain the Premises and the Improvements thereon in good condition and in compliance with all Applicable Laws and to avoid any structural damage or injury to the Premises or the Improvements. Section 13.2 No Obligation Of Lessor To Repair. Lessor shall not be obligated to make to the Premises or the Improvements any repairs, replacements or renewals of any kind, nature or description whatsoever, and Lessee hereby expressly waives any right to terminate this Lease and any right to make repairs at Lessor’s expense under Sections 1932(1), 1941 and 1942 of the California Civil Code, or any amendments thereof, or any similar law, statute or ordinance now or hereafter in effect. Section 13.3 No Waste. Lessee shall not commit or permit waste upon the Premises. No dirt, earth, rocks, gravel or the like shall be removed from the Premises except as required in connection with the construction of Improvements and Alterations, or otherwise in accordance with the provisions of this Lease and Applicable Laws, and at Lessee’s expense. ARTICLE 14. UTILITIES AND SERVICES Lessee shall be solely responsible for, shall make all arrangements for, and shall pay for all utilities and services furnished to or used at the Premises, including without limitation, gas, electricity, other power, water, telephone, cable and other communication services, security services, sewage, sewage service fees, trash collection, and any taxes or impositions thereon. All service lines of such utilities shall be installed beneath the surface of the Premises and connected and maintained at no cost or expense to Lessor. ARTICLE 15. MECHANICS’ AND OTHER LIENS Section 15.1 No Liens. Lessee agrees to keep the Premises and Improvements thereon free and clear of and from any and all mechanics’, material supplier’s and other liens for (i) work or labor done, services performed, materials, appliances, or power contributed, used or furnished, or to be used, in or about the Premises for or in connection with any operations of Lessee; (ii) for any Improvements and Alterations; or (iii) for any work or construction by, for or permitted by Lessee on or about the Premises or Improvements (collectively, "Liens"). Lessee, at all times, shall promptly and fully pay and discharge any and all claims upon which any such Lien may or could be based, and keep the Premises and Improvements free and clear of, and save and hold Lessor harmless from, any and all such Liens and claims of Liens, damages, liabilities, costs (including, without limitation, attorneys’ fees and costs), suits or other proceedings pertaining thereto. The foregoing shall not prevent Lessee from exercising its rights under Article 16. Section 15.2 No Effect on Lessor’s Interests. No mortgages, deeds of trust, or Liens of any character whatsoever created or suffered by Lessee shall in any way, or to any extent, affect the interest, right or title of Lessor in and to the Premises or the Improvements. Section 15.3 Lessor’s Right to Cause Release of Liens. If Lessee does not cause any Lien that Lessee does not contest in accordance with Article 16 to be released of record by payment or posting of a proper bond within 10 days following the imposition of such Lien, 19 Lessor shall have the right, but not the obligation, to cause the Lien to be released by any means Lessor may deem appropriate, and the amount paid by Lessor, together with all expenses Lessor incurs in connection therewith (including, without limitation, reasonable attorneys’ fees and expenses), plus interest at the Interest Rate from the date of payment by Lessor, shall be Additional Rent, immediately due and payable by Lessee to Lessor upon demand. The foregoing shall not prevent Lessee from exercising its rights under Article 16. ARTICLE 16. RIGHT TO CONTEST LIENS Lessee shall have the tight to contest, in good faith, the amount or validity of any Lien. However, before doing so, Lessee shall give Lessor written notice of Lessee’s intention to do so within 10 days after the recording of such Lien. If Lessee contests any Lien, Lessee shall, at its expense, defend itself and Lessor against the Lien and shall pay and satisfy any adverse judgment that may be rendered concerning the Lien before that judgment is enforced against the Premises. In addition, at the request of Lessor, Lessee shall procure and record the bond provided for in Section 3143 of the California Civil Code, or in any comparable statute hereafter enacted providing for a bond freeing the Premises from the effect of such Lien or claim or action thereof. Lessee shall pay all reasonable attorneys’ fees, consultants’ fees, travel expenses, and other costs incurred by Lessor in connection with any such contest. ARTICLE 17. COMPLIANCE WITH LAWS; INSURANCE REQUIREMENTS Section 17.1 Compliance with Applicable Laws. Lessee, at Lessee’s expense, shall comply with all Applicable Laws. Any work or installations made or performed by or on behalf of Lessee or any person or entity claiming through or under Lessee in order to conform the Premises to Applicable Laws shall be subject to and performed in compliance with the provisions of Article 11. Lessee shall give Lessor immediate written notice of any violation of Applicable Laws known to Lessee and, at its expense, Lessee shall immediately rectify any such violation. Without in any way limiting the generality of the foregoing obligation of Lessee, Lessee shall be solely responsible for compliance with, and shall make or cause to be made any improvements and alterations to the Premises (including, without limitation, removing barriers and providing alternative services) as shall be required by the Ameticans with Disabilities Act (42 USC section 12101 et seq.), as the same may be amended from time to time, and any similar or successor laws, and with any rules or regulations promulgated thereunder. Lessee’s liability to so comply shall be ptimary, and Lessee shall indemnify Lessor in accordance with Article 20 for Lessee’s failure, or alleged failure, to comply, or to cause the Premises to comply, with said laws and rules and regulations. Section 17.2 Compliance with Insurance Requirements. Lessee shall not do anything, or permit anything to be done, in or about the Premises that would: (a) invalidate or be in conflict with the provisions of any fire or other insurance policies coveting the Premises or any property located therein, or (b) result in a refusal by insurance companies of good standing to insure the Premises or any such property in amounts required hereunder. Lessee, at Lessee’s expense, shall comply with all rules, orders, regulations or requirements of the American Insurance Association (formerly the National Board of Fire Underwriters) and with any similar body that shall hereafter perform the function of such Association. 2O ARTICLE 18. ENVIRONMENTAL ISSUES Section 18.1 Pre-Existing Environmental Condition. Lessee represents and acknowledges that it is aware of the Pre-Existing Environmental Condition and that there is an ongoing remediation of the Premises. (See, for example, (the "Orders")) Lessee further represents and acknowledges that it has sought expert advice from its own attorneys and technical consultants and has made such investigations, independent inquiries and evaluations as it deems appropriate to ascertain the effects, if any, of the Pre-Existing Environmental Condition on future redevelopment of the Premises and on persons using the Premises. Lessor makes no representation or warranty with regard to the Pre-Existing Environmental Condition or with regard to any aspect of the environmental condition of the Premises. Lessee, on behalf of itself and its successors and assigns, hereby unconditionally releases and discharges Lessor from any and all Environmental Claims which Lessee may have, claim to have, or which may hereafter accrue against Lessor, arising out of or relating to or in any way connected with the Pre-Existing Environmental Condition, except to the extent of Lessor’s indemnity as set forth in Section 18. i2. In connection with the above release, Lessee hereby waives any and all rights conferred upon it by the provisions of Section 1542 of the California Civil Code, which reads as follows: A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the debtor. The foregoing provisions of this Section 18.1 shall not be construed to release any third party from liability arising out of the environmental condition of the Premises. Section 18.2 Site Redevelopment/Relocation of Equipment. Lessee acknowledges the any redevelopment of the Premises, including the construction of the Improvements and the operation of the Community Center, may be impacted by the Pre-Existing Environmental Condition. Lessee and its subtenants, contractors and agents shall be solely responsible for any Added Costs associated with redevelopment of the Premises due to the Pre-Existing Environmental Condition. Lessee and its subtenants, contractors and agents shall also be solely responsible for the relocation of any pipes, wells and remediation equipment on the Premises, unless such relocation is undertaken by the Responsible Parties. Section 18.3 No Exacerbation of Pre-Existing Environmental Condition. Lessee and its subtenants, contractors and agents shall not take any affirmative actions which cause Exacerbation of the Pre-Existing Environmental Condition, and Lessee shall be liable for and indemnify Lessor pursuant to Section 18.6 for any costs and expenses associated with such Exacerbation. In its construction of the Improvements, Lessee and its subtenants, contractors and agents shall perform any work in a diligent fashion using qualified contractors acting, as appropriate, under the supervision of experienced and qualified environmental consultants or engineers, with adequate insurance, and in accordance with all Environmental Requirements. Section 18.4 Cooperation. Lessor agrees to use commercially reasonable efforts to enforce its rights against the Responsible Parties, including those under the Access Agreements, 21 for the benefit of Lessee and to obtain the cooperation of the Responsible Parties in connection with Lessee’s development of the Project; provided that Lessor shall not be obligated to incur any third party expense in connection with such efforts or institute legal proceedings against the Responsible Parties. Section 18.5 Future Use of Hazardous Substances. Except as disclosed in Section 18.1 above, no Hazardous Substance shall be used, treated, kept, stored, transported, handled, sold, released, discharged or disposed of from, at, on, under, from or into the Premises. Notwithstanding the foregoing, Lessee and its subtenants and agents may use small quantities of cleaning and office products which are necessary to the operation of the Community Center on the Premises, and then only in compliance with all Applicable Laws. Section 18.6 Lessee’s Indemnity for Environmental Claims. Lessee shall indemnify, protect, defend, reimburse, and save and hold harmless Lessor and the Premises, from and against any and all Environmental Claims to the extent caused by Lessee Environmental Activity. Lessee’s obligations hereunder shall include, but not be limited to, the burden and expense of defending all claims, suits and administrative proceedings, even if such claims, suits or proceedings are groundless, false or fraudulent; conducting all negotiations of any description; and promptly paying and discharging when due any and all judgments, penalties, fines or other sums due against or from Lessor or the Premises. Prior to retaining counsel to defend such claims, suits or proceedings, Lessee shall obtain Lessor’s written approval of the identity of such counsel, which approval shall not be unreasonably withheld, conditioned or delayed. Section 18.7 Obligation to Remediate. Notwithstanding the obligation of Lessee to indemnify Lessor pursuant to this Lease, Lessee shall, upon demand of Lessor, and at Lessee’s expense, promptly take all actions to remediate the Premises from the effects of any Lessee Environmental Activity. Such actions shall include, but not be limited to, the investigation of the environmental condition of the Premises, the preparation of any feasibility studies, reports or remedial plans, and the performance of any cleanup, remediation, containment, operation, maintenance, monitoring or restoration work, whether on or off of the Premises. Lessee shall take all actions necessary to restore the Premises to a condition allowing unrestricted use of the Premises, notwithstanding any lesser standard of remediation allowable under Applicable Laws. All such work shall be performed by contractors selected by Lessee and approved in advance and in writing by Lessor. Lessee shall proceed continuously and diligently with such investigatory and remedial actions, provided that in all cases such actions shall be in accordance with all Applicable Laws. Any such actions shall be performed in a good, safe and workmanlike manner, and shall have minimum impact on the business conducted at the Premises. Lessee shall pay all costs in connection with such investigatory and remedial activities, including but not limited to all power and utility costs, and any and all taxes or fees that may be applicable to such activities. Lessee shall promptly provide to Lessor copies of testing results and reports that are generated in connection with the above activities and any that are submitted to any governmental entity. Promptly upon completion of such investigation and remediation, Lessee shall permanently seal or cap all monitoring wells and test holes to industrial standards in compliance with Applicable Laws, remove all associated equipment, and restore the Premises to the maximum extent possible, which shall include, without limitation, the repair of any surface damage, including paving, caused by such investigation or remediation.. 22 Section 18.8 Obligation to Notify Lessor. If Lessee shall become aware of or receive notice or other communication concerning any actual, alleged, suspected or threatened violation of Environmental Requirements, or liability for Environmental Damages in connection with the Premises or past or present activities of any person thereon, including but not limited to, notice or other communication concerning any actual or threatened investigation, inquiry, lawsuit, claims, citation, directive, summons, proceeding, complaint, notice, order, writ, or injunction, relating to same, then Lessee shall deliver to Lessor, within ten (10) days of the receipt of such notice or communication by Lessee, a written description of said violation, liability, correcting information, or actual or threatened event or condition, together with copies of any documents evidencing same. Receipt of such notice shall not be deemed to create any obligation on the pan of Lessor to defend or otherwise respond to any such notification. Section 18.9 Periodic Audits. Lessee shall establish and maintain, at its expense, a system to assure and monitor continued compliance on the Premises with Environmental Requirements related to Lessee Environmental Activity. Lessor may request no more than once each year a detailed review of such compliance by any consultant or consultants as Lessor may select (the "EnvironmentalAudit’). However, if the Environmental Audit indicates any violation of any Environmental Requirements, then, within 9 months of the date of the Environmental Audit, Lessor may request a detailed review of the status of such violation by any consultant or consultants Lessor may select (the "SupplementalAudit’~. Lessee shall furnish the Environmental Audit or Supplemental Audit to Lessor within 14 days after Lessor so requests, together with any additional information as Lessor may reasonably request. Section 18.10 Right to Inspect. Lessor shall have the right, but not the obligation, to enter and conduct an inspection of the Premises, including invasive tests, at any time Lessor has a reasonable basis for belief that Lessee is not complying with the terms of this Lease, including but not limited to the compliance of the Premises and the activities thereon with Environmental Requirements and the existence of Environmental Damages as a result of the condition of the Premises or surrounding properties and activities thereon. Lessor shall deliver prior written notice to Lessee of its intention to conduct such an inspection at least 10 days prior to such inspection and Lessee shall have the opportunity during such 10-day period to provide evidence reasonably acceptable to Lessor that such an inspection is not warranted. Lessor shall have the right, but not the obligation, to retain at its expense any independent professional consultant to enter the Premises to conduct such an inspection and to review any report prepared by or for Lessee concerning such compliance. Lessee hereby grants to Lessor, and the agents, employees, consultants and contractors of Lessor, the right to enter the Premises and to perform such tests on the Premises as are reasonably necessary in the opinion of Lessor to conduct such review and inspections. Lessor shall use reasonable efforts to minimize interference with the business of Lessee and to restore the condition of the Premises, but so long as Lessor is not negligent in its inspection activities, Lessor shall not be liable for any interference caused thereby or for failure to restore if Lessor determines in its sole discretion that such restoration is not economically practicable. Section 18.11 Right to Remediate. Should Lessee fail to perform or observe any of its obligations or agreements pertaining to Hazardous Substances or Environmental Requirements, then Lessor shall have the right, but not the obligation, without limitation of any other rights of Lessor hereunder, to enter the Premises personally or through its agents, consultants or contractors and perform the same. Lessee agrees to indemnify Lessor for the costs thereof and liabilities therefrom as set forth above in this Section 18. Section 18.12 Lessor’s Exculpation and Indemnity. Lessor acknowledges that, absent Exacerbation ofthe Pre-Existing Environmental Condition by Lessee, and except to the extent Lessee incurs any Added Costs, Lessee shall not be liable for the investigation or remediation of the Pre-Existing Environmental Condition. Except to the extent of Lessee’s obligations under this Article 18 (which includes the obligations of Lessee identified in Sections 18.2, 18.3, 18.5, 18.6, 18.7, 18.8, 18.9, 18.10 and 18.11), Lessor agrees to indenmify, defend and hold Lessee, the JCC, and Lessee’s other permitted successors and assigns harmless from and against any government-ordered remediation costs arising out of the Pre-Existing Environmental Condition. Lessor’s indemnification shall extend only to actual "out of pocket" remediation costs which are not related to Lessee’s obligations under this Article 18, and shall not include personal injury claims, consequential damages, incidental damages such as lost profits or any loss of value of the Premises suffered or allegedly suffered by Lessee, or any other costs not specifically included in this indemnity. Lessee acknowledges that this indemnity is intended only to protect Lessee against remediation costs that might arise which are unrelated to the redevelopment of the Premises and are not the result of Exacerbation of the Pre-Existing Environmental Condition or to any Lessee Environmental Activity. Therefore, Lessee agrees that it shall be a rebuttable presumption that any remediation costs arising during or as a result of development or construction of the Improvements are excluded from the scope of this indemnity. Section 18.13 General Provisions. (a) The obligations of Lessee under this Article 18 shall not be affected by any investigation by or on behalf of Lessor, or by any information which Lessor may have or obtain with respect thereto. (b) As used in this Article 18, the term "Lessor" shall include The Board of Trustees of The Leland Stanford Junior University, and all of its affiliated organizations, and their respective trustees, directors, officers, employees, faculty, students, agents, and insurance carders. (c)The provisions of this Article 18 shall survive any termination of this Lease. (d) The provisions of Article 19 (Insurance) shall not limit in any way the obligations of either party under this Article 18. ARTICLE 19. INSURANCE Section 19.1 Required Insurance. At all times during the Term and at its sole cost and expense, Lessee shall obtain and keep in force for the benefit of Lessee and Lessor the following insurance: (a) Property Insurance. All risks, fire, earthquake (so long as it is available at commercially reasonable rates and with a commercially reasonable amount of coverage and deductible), flood and other perils, including extended coverage insurance on all Improvements per the current ISO "special" cause of loss form or its substantial equivalent. The amount of such insurance shall be the Full Insurable Replacement Value. Each such policy shall specify that proceeds shall be payable whether or not any improvements are actually rebuilt. No such policy shall contain any co-insurance provisions. Lessee hereby waives as against Lessor any and all claims and demands, of whatever nature, for damages, loss or injury to the Improvements and to the property of Lessee in, upon or about the Premises caused by or resulting from fire and/or other insured perils. "Full Insurable Replacement Value" means 100% of the actual costs to replace the Improvements (without deduction for depreciation but with standard exclusions such as foundations, excavations, paving and landscaping, as applicable to specific perils), including the costs of demolition and debris removal and including materials and equipment not in place but in transit to or delivered to the Premises. The Full Insurable Replacement Value initially shall be determined at Lessee’s expense by an appraiser or one of the insurers, selected by Lessee and acceptable to Lessor. Lessor or Lessee may at any time, but not more frequently than once in any 12 month period, by written notice to the other, require the Full Insurable Replacement Value to be redetermined, at Lessee’s expense, by an appraiser or one of the insurers, selected by Lessee and reasonably acceptable to Lessor. Lessee shall maintain coverage at the current Full Insurable Replacement Value throughout the Term. (b) Rental and Business Interruption Insurance. In the event the Basic Rent has been adjusted pursuant to Section 6.2, insurance against loss of rental from the Premises, under a rental value insurance policy, or against loss from business interruption under a business interruption policy, covering risk of loss due to causes insured against under subsection (a), in an amount not less than 12 months of projected revenues from the Premises. (c) Worker’s Compensation and Employer’s Liability Insurance. Worker’s Compensation Insurance in the amounts and coverages required under worker’s compensation, disability and similar employee benefit laws applicable to the Premises, with all elective employment covered on a voluntary basis where permissible, and Employer’s Liability Insurance with limits not less than $1,000,000 or such higher amounts as may be required by law. (d) Comprehensive General Liability Insurance. Comprehensive general liability through one or more primary and umbrella liability policies against claims, including but not limited to, bodily injury and property damage occurring on the Premises or the streets, curbs or sidewalks adjoining the Premises, with such limits as may be reasonably required by Lessor from time to time, but in any event not less than $5,000,000, combined single limit and annual aggregate for the Premises, which Lessee shall increase as necessary during the Term to maintain adequate coverage over time that is comparable to the requirements in effect as of the execution of this Lease. Such insurance shall apply to the performance by Lessee of the indemnity agreements contained in this Lease. If any governmental agency or department requires insurance or bonds with respect to any proposed or actual use, storage, treatment or disposal of Hazardous Substances by Lessee or any sublessee, tenant, or licensee of Lessee, Lessee shall be responsible for such insurance and bonds and shall pay all premiums and charges connected therewith; provided, however, that this provision shall not and shall not be deemed to modify the provisions of Article 19 25 Such insurance shall (i) delete any employee exclusion on personal injury coverage; (ii) apply to Lessee’s employees; (iii) provide blanket contractual coverage, including liability assumed by and the obligations of Lessee under Article 20 for personal injury, death and/or property damage; (iv) provide Products and Completed Operations and Independent Contractors coverage and Broad Form Property Damage liability coverage without exclusions for collapse, explosion, demolition, underground coverage and excavating, including blasting; (v) provide aircraft liability coverage, if applicable; (vi) provide liability coverage on all mobile equipment used by Lessee; and (vii) include a cross liability endorsement (or provision) permitting recovery with respect to claims of one insured against another. Such insurance shall insure against any and all claims for bodily injury, including death resulting therefrom, and damage to or destruction of property of any kind whatsoever and to whomever belonging and arising from Lessee’s operations hereunder and whether such operations are performed by Lessee or any of its contractors, subcontractors, or by any other person. (e) Laws. Other. All other insurance that Lessee is required to maintain under Applicable Section 19.2 Policy Form and General. (a) All of the insurance policies required under this Lease, including without limitation, under the provisions of Article 11 and this Article 19, and all renewals thereof shall be issued by one or more companies of recognized responsibility, authorized to do business in California with a financial rating of at least a Class A (or its equivalent successor) status, as rated in the most recent edition throughout the Term of Best’s Insurance Reports (or its successor, or, if there is no equivalent successor rating, otherwise reasonably acceptable to Lessor). The proceeds of all property and builder’s risk policies of insurance provided for in this Article 19 shall be payable to Lessor for application in accordance with this Lease. Any loss adjustment or disposition of insurance proceeds by the insurer shall require the written consent of Lessor for losses in excess of $100,000. All property insurance hereunder shall name Lessor as loss payee and all liability insurance shall name as additional insureds Lessor, and its directors, trustees, officers, agents, and employees, and such other parties as Lessor reasonably may request and Lessee’s insurers shall reasonably approve. Any deductibles or self insurance retention for any of the foregoing insurance must be agreed to in advance in writing by Lessor, in its reasonable discretion; all deductibles and self insurance retention shall be paid by Lessee. All insurance of Lessee shall be primary coverage. (b) Each policy of property insurance and all other policies of insurance on the Improvements, Premises and/or on personalty in, upon or about the lands of The Leland Stanford Junior University, which shall be obtained by Lessee, whether required by the provisions of this Lease or not, shall be made expressly subject to the provisions of this Article 19 and shall provide that Lessee’s insurers shall waive any right of subrogation against Lessor. All policies provided for herein shall not be canceled, terminated or altered without 30 days’ prior written notice to Lessor. Each policy, or a certificate of the policy evidencing that the required insurance coverage is in full force and effect, shall be deposited with Lessor on or before the date of this Lease, shall be maintained throughout the Term, and shall be renewed, not less than 30 days before the expiration of the term of the policy. No policy shall contain any provisions for exclusions from liability which conflict with any coverage required hereby. In addition, no 2~ policy shall contain any exclusion from liability for personal injury or sickness, disease or death or which in any way impairs coverage under the contractual liability coverage described above. (c) No approval by Lessor of any insurer, or the terms or conditions of any policy, or any coverage oramount of insurance, or any deductible amount shall be construed as a representation by Lessor of the solvency of the insurer or the sufficiency of any policy or any coverage or amount of insurance or deductible, and Lessee assumes full risk and responsibility for any inadequacy of insurance coverage or any failure of insurers. ARTICLE 20. INDEMNITY AND RELEASE Section 20.1 Indemnity. Lessee shall indemnify, protect, defend and save and hold harmless Lessor and the Premises from and against, and reimburse Lessor for, any and all claims, demands, losses, damages, costs, liabilities, causes of action and expenses, including, without limitation, reasonable attorneys’ fees and expenses, incurred in any way in connection with or arising from, in whole or in part, (a) any default by Lessee in the observance or performance of any of the terms, covenants or conditions of this Lease to be observed or performed by Lessee; (b) the use, occupancy or manner of use or occupancy of the Premises by Lessee or any sublessee, licensee, or any other person or entity; (c) the conduct or management of any work or thing done in or on the Premises; (d) the design, construction, maintenance, or condition of any Improvements; (e) the condition of the Premises during the Term; (f) any actual or alleged acts, omissions, or negligence of Lessee or of the sublessees, contractors, agents, servants, employees, visitors or licensees of Lessee, in, on or about the Premises or on other of Lessor’s adjoining lands; (g) any Lessee Environmental Activity during the Term; and (h) any accident or other occurrence on the Premises from any cause whatsoever, except to the extent caused by the negligence or willful misconduct of Lessor, or by Lessor’s breach of this Lease. In case any claim, action or proceeding be brought, made or initiated against Lessor relating to any of the above described events, acts, omissions, occurrences, or conditions, Lessee, upon notice from Lessor, shall at its expense, resist or defend such claim, action or proceeding by attorneys approved by Lessor. Notwithstanding the foregoing, Lessor may designate the attorneys who will defend orassist in defending any claim, action or proceeding involving potential liability of $5,000,000 or more, and Lessee shall pay the reasonable fees and disbursements of such attorneys. Section 20.2 Release. Lessor shall not be responsible for, and Lessee hereby waives any and all claims and causes of action whatsoever of any kind or nature against Lessor for, any injury, loss, damage or liability to any person or property in or about the Premises or in any way connected with the Premises or this Lease, from any cause whatsoever (other than caused solely by the gross negligence or willful misconduct of Lessor). Section 20.3 Lessor Defined. As used in this Article 20, the term "Lessor" shall include The Board of Trustees of The Leland Stanford Junior University, and all of its affiliated organizations and their respective trustees, directors, officers, employees, faculty, students, agents, and insurance carriers. The provisions of this Article 20 shall survive any termination of this Lease. The provisions of Article 19 (Insurance) shall not limit in any way Lessee’s obligations under this Article 20. 27 ARTICLE 21. APPROPRIATION, DAMAGE OR DESTRUCTION Section 21.1 No Termination, No Effect on Rental Obligation. No Appropriation nor any loss or damage by fire or other cause resulting in either partial or total destruction of the Premises, the Improvements or any other property on the Premises shall, except as otherwise provided herein, operate to terminate this Lease. No such Appropriation, loss or damage shall affect or relieve Lessee from Lessee’s obligation to pay Rent, and in no event shall Lessee be entitled to any proration or refund of Rent paid hereunder. Unless this Lease is terminated pursuant to and in accordance with this Article 21, and except as expressly provided in Section 21.3 below with respect to reduction of Rent in the.event of a partial Appropriation, no such Appropriation, loss or damage shall relieve or discharge Lessee from the payment of Rent, or from the performance and observance of any of the agreements, covenants and conditions herein contained on the part of Lessee to be performed and observed. Lessee hereby expressly waives the provisions of Sections 1932(2) and 1933(4) of the California Civil Code, or any amendments thereto or any similar law, statute or ordinance now or hereafter in effect. Section 21.2 Evaluation of Effect of Damage or Appropriation. Upon. the occurrence of any event of damage or destruction to the Premises or the Improvements or any portion thereof, Lessee shall promptly undertake to determine the extent of the same and the estimated cost and time to repair and restore the Improvements in accordance with the provisions of this Lease. Lessee shall notify Lessor of its estimation of such cost and time not later than sixty (60) days after the occurrence of the damage or destruction. Upon any Appropriation of less than the entire Premises, Lessee shall promptly undertake to determine the effect of such Appropriation on the remaining portion of the Premises and the function of the Premises and, if this Lease is not terminated pursuant to and in accordance with this Article 21, the cost and time to make any repairs and Alterations to the remaining portion of the Premises necessary in order for the Premises to be restored to an economically viable whole capable of operation in accordance with this Lease. Lessee shall notify Lessor of its estimation of such cost and time not later than 30 days after the occurrence of the Appropriation. Section 21.3 Partial Appropriation; Amendment; Duty to Restore. If less than the entire Premises is subject to an Appropriation and this Lease is not terminated by either party pursuant to and in accordance with this Article 21, this Lease shall be deemed terminated as to the part so Appropriated as of the date of Appropriation and shall be deemed amended, effective as of the effective date of such Appropriation, such that the definition of the "Premises" shall include only that portion of the land described in Exhibit A attached hereto that is not subject to such Appropriation. Lessee, as promptly as practicable and with all due diligence, shall cause the repair or reconstruction of or the making of Alterations to the Improvements as necessary to restore the Improvements to a fully functioning whole with all facilities necessary to operate the Premises in accordance with this Lease. Section 21.4 Damage or Destruction; Duty to Restore. If the Premises or the Improvements, or any portion thereof, are damaged or destroyed at any time during the Term and this Lease is not terminated by either party pursuant to and in accordance with this Article 21, Lessee, as promptly as practicable and with all due diligence, shall cause the repair, reconstruction and replacement of the Improvements to a condition substantially equal to or 2~ better than their condition immediately prior to such damage or destruction and, except as otherwise approved in writing by Lessor, to their same general appearance. Section 21.5 Performance of Repairs, Restoration and Alterations. All repairs, restoration and Alterations shall be performed in accordance with the provisions of Article 11 of this Lease. All insurance proceeds and all Awards received by or payable to any party with respect to such damage or Appropriation (except proceeds of insurance carried by sublessees under Permitted Subleases covering loss or damage of their personal property), less actual costs and expenses incurred in connection with the collection thereof, shall be applied to the costs of repair, restoration and Alteration, as the case may be, of the Premises and the Improvements in accordance with the provisions of this Article 21 and Article 11 hereof. Lessee shall pay any amount by which the Award or insurance proceeds received as a result of such damage or Appropriation, less the costs and expenses incurred in connection with the collection thereof, are insufficient to pay the entire cost of such repair, restoration or Alterations. Without limitation of the foregoing, Lessee shall be responsible for replacing and restoring all furniture, fixtures and equipment and other personal property necessary for the operation of the Premises in accordance with this Lease. Section 21.6 Option to Terminate Upon Damage or Destruction. In the event of any damage to or destruction of the Premises or the Improvements or any portion thereof at any time during the Term and the cost to repair and restore the same to substantially the same condition as existed immediately prior to such occurrence is in Lessee’s reasonable judgment not economically justified, then Lessee shall have the option to terminate this Lease, exercisable as provided below. In addition, if any damage or destruction occurs during the last five (5) years of the Term, Lessee shall have the option to terminate this Lease, exercisable as provided below. Section 21.7 Option to Terminate upon Appropriation. If during the Term the entire Premises is Appropriated, this Lease shall terminate upon such Appropriation. If such a substantial portion of the Premises shall be Appropriated that such Appropriation makes the continued operation of the remaining portion of the Premises for the purposes permitted hereunder economically unfeasible in Lessee’s reasonable discretion, then Lessee shall have the option to terminate this Lease. Section 21.8 Termination; Lessee’s Obligation to Restore. Any party having the option to terminate this Lease pursuant to this Article 21 may exercise such option by giving written notice to the other party, within 120 days after the occurrence of the event of damage or destruction, or within 30 days after the Appropriation, as the case may be. If either party elects to terminate this Lease pursuant to this Article 21, Lessee shall surrender the Premises to Lessor in accordance with the provisions of Article 27, except to the extent the damage, destruction or Appropriation prevents Lessee from so doing. Lessee’s obligations under this Article 21 shall survive the termination of this Lease. Section 21.9 Determination of Award. The amount of the Award due to Lessor and Lessee as a result of Appropriation shall be separately determined by the court having jurisdiction of such proceedings based on the following: Lessor shall be entitled to that portion of the Award attributable to the value of Lessor’s reversionary interest in the fee interest in the Premises (or portion thereof subject to Appropriation, in case of a partial Appropriation) and the reversionary interest in the Improvements (or portion thereof subject to Appropriation, in case of a partial Appropriation), as determined by the court; Lessee shall be entitled to that portion of the Award attributable to the value of Lessee’s leasehold interest in the Premises (or portion thereof subject to Appropriation, in case of a partial Appropriation) and to the value of Lessee’s interest in the Improvements (or portion thereof subject to Appropriation, in case of a partial Appropriation), as determined by the court. Notwithstanding the foregoing, in the event Lessee is the condemning authority, Lessor shall be entitled to the entire Award; provided that Lessee shall be entitled to that portion of the Award attributable to the value of the Improvements. Section 21.10 Excess Proceeds and Awards for Lessee’s Interests. If the total Award made in connection with any Appropriation for Lessee’s interests, and for severance damages to both Lessee’s and Lessor’s interests, exceeds the amount necessary to repair, restore or construct Alterations to the extent required under this Article 21, or if there are proceeds of insurance in excess of that required to repair, restore or demolish the Premises and the Improvements to the extent required under this Article 21 or under Article 27, upon receipt by Lessor of satisfactory evidence that any required work of repair, restoration, or demolition required under this Article 21 has been fully completed and paid for in accordance with the provisions of Article 11 and that the last day for filing any mechanic’s or materialmen’s liens has passed without the filing of any, or if filed, any such lien has been released, any remaining Award or proceeds of insurance shall be retained by Lessee. Section 21.11 Right to Participate in Settlement. Except as otherwise provided in the last sentence of Section 21.9, Lessor and Lessee shall both have the right to participate in the settlement or compromise of any insurance proceeds and Awards provided that all such proceeds and Awards shall be paid to Lessor and held by Lessor for application in accordance with the provisions of this Article 21. Section 21.12 Emergency Repairs. If a casualty occurs there is a substantial possibility that immediate emergency repairs will be required to eliminate defective or dangerous conditions and to comply with Applicable Laws pending settlement of insurance claims and prior to procuring bids for performance of restoration work. Notwithstanding any provision of this Article 21 to the contrary, Lessee shall promptly undertake such emergency repair work after a casualty as is necessary or appropriate under the circumstances to eliminate defective or dangerous conditions and to comply with Applicable Laws. ARTICLE 22. NO ASSIGNMENT Lessor is entering into this Lease in reliance on the particular and unique attributes of Lessee as a tenant, and in order to participate in the development of a Community Center, which is uniquely within Lessee’s ability to develop. Lessor would not enter into this Lease except for such particular and unique factors. The parties expressly agree that except as otherwise expressly provided in this Lease, Lessee shall not directly or indirectly, voluntarily or by operation of law, sell, assign, sublet, encumber, pledge or otherwise transfer or hypothecate its interest in or rights with respect to the Premises or Lessee’s leasehold estate therein or the Improvements (any of the foregoing being herein referred to as a "Transfer"). Except as specifically provided in this Lease, Lessor shall have the right to withhold consent to a Transfer in Lessor’s sole and unfettered discretion. Notwithstanding the foregoing, Lessee’s consolidation into another public agency shall not be deemed a Transfer for the purposes of this Lease. ARTICLE 23. -SUBLETTING Section 23.1 Sublease to JCC. Lessor and Lessee are entering into this Lease with the understanding that Lessee intends to sublease the Premises to the JCC. Lessor hereby consents to the sublease of the Premises to the JCC (the "JCCSublease"), provided that the JCC Sublease is subject to all of the terms and conditions of this Lease. Lessee may also sub-sublease space from the JCC or otherwise operate programs within the Premises without the need for any further consent from Lessor. Lessor shall have the right to review the JCC Sublease to confirm that it is in conformance with this Lease, but shall not otherwise have the right to approve or disapprove the sublease of the Premises to the JCC. Lessor also understands that the JCC is affiliated with the Jewish Community Federation (the "JCF"), and Lessor hereby consents to an assignment of the JCC Sublease to the JCF, provided that the JCF assumes all of the JCC’s obligations under the JCC Sublease. Lessor further acknowledges that Lessee and]or the JCC intends to provide certain of its programs, services and activities through cooperative programs with Lessee or through contracts for services with third party providers for specific programs (including sub- subleases, which are governed by Section 23.2). Lessor hereby approves such programs and contracts so long as Lessee, the JCC, or another Permitted Sublessee, as applicable, continues to oversee and manage the operation of the Community Center as a whole and so long as no violation of the permitted use occurs. Sub-subleases shall be approved pursuant to Section 23.2. Lessor and Lessee agree that for the period of time that the JCC Sublease is in effect, this Lease shall not be amended or modified without the prior written consent of the JCC if such amendment would materially or adversely affect the JCC’s rights under the JCC Sublease. The JCC shall not unreasonably withhold, delay or condition its approval to any proposed amendment or modification of this Lease. Section 23.2 Conditions to Subletting. Notwithstanding the provisions of Article 22 regarding Transfer, and in addition to or in lieu of the JCC Sublease, Lessee or the JCC may enter into subleases (or sub-subleases) of portions of the Premises with nonprofit charitable or governmental agencies (subject to subsection (h) below) providing programs fitting the Community Center definition, subject to the following conditions: (a) Lessee shall obtain the prior written consent of Lessor, which consent shall not be unreasonably withheld, delayed or conditioned provided that all other conditions of this Article 23 are satisfied; (b) no sublease shall relieve Lessee from the performance of any of its obligations under this Lease; (c)no sublease shall extend beyond the Term of this Lease; (d) each sublease shall be subject to and subordinate to the terms, covenants and conditions of this Lease and the rights of Lessor hereunder, including the use restrictions contained in Article 9; (e) each sublease shall contain a provision that upon any termination or surrender of this Lease, either such sublease shall terminate, or, at Lessor’s sole option, such sublease shall continue in full force and effect and the sublessee shall attorn to, or, at Lessor’s option, enter into a direct lease on identical terms with, Lessor; (f) each sublease shall prohibit prepayment of rent thereunder (including security for the payment of rent) in an amount exceeding two (2) months’ rent, unless any further advance or security is held in escrow by Lessor until the date of crediting thereof; (g) the character and reputation of the proposed sublessee shall be reasonably satisfactory to Lessor; and (h) no sublessee of office or administrative space shall be a for-profit entity, and any other for-profit sublease (such as a caf~ or food service operator) shall.provide services that are incidental to and supportive of the primary use of the Premises for a Community Center. Section 23.3 Required Information; Lessor’s Response. Lessor agrees to use reasonable efforts to respond affirmatively or negatively to any request for its consent to a proposed sublease within 30 days after Lessor receives a written request for such consent accompanied by a copy of the proposed sublease together with such information regarding the proposed sublessee as Lessor may reasonably require in order to evaluate the proposed sublessee and sublease, including, without limitation, adequate information regarding the character and reputation of the proposed sublessee and type of business to be conducted on the Premises. A failure to respond within such 30-day period shall be deemed an approval of the proposed sublease. Section 23.4 Permitted Sublease. Any sublease or sub-sublease entered into by Lessee in accordance with the provisions of this Article 23 is herein referred to as a "Permitted Sublease", and the other party to such Permitted Sublease is herein referred to as a "Permitted Sublessee". Lessee shall provide Lessor with a copy of each executed Permitted Sublease within five days after entering into such Permitted Sublease. In addition, within 30 days after written demand by Lessor, Lessee shall furnish Lessor a schedule, certified by Lessee as true and correct, setting forth all Permitted Subleases then in effect, including in each case the name of the sublessee, a description of the space leased, the annual rental payable by such sublessee, and any other information reasonably requested by Lessor with respect to the Permitted Subleases. Section 23.5 Permitted Sublease in Lieu of JCC Sublease. Lessor hereby acknowledges that although at the time of execution of this Lease, it is contemplated that Lessee shall sublease the entire Premises to the JCC, the JCC Sublease may never commence or may be terminated during the Term. If Lessee enters into a Permitted Sublease of the entire Premises in lieu of the JCC Sublease, the Permitted Sublessee under such Permitted Sublease shall be entitled to all of the fights and benefits of the JCC hereunder and shall be subject to all of the obligations of the JCC hereunder. From time to time in this Lease, such Permitted Sublessee is referred to as a "Permitted Sublessee of the entire Premises" and such Permitted Sublease as a "Permitted Sublease of the entire Premises". ~2 ARTICLE 24. LEASEHOLD MORTGAGES Section 24.1 Leasehold Mortgage. Notwithstanding the provisions of Article 22 regarding Transfer of this Lease, but subject to the provisions of this Article 24, Lessee shall have the right at any time and from time to time to encumber the entire (but not less than the entire) leasehold estate created by this Lease and Lessee’s interest in the Improvements by a mortgage, deed of trust or other security instrument (any such mortgage, deed of trust, or other security instrument that satisfies the requirements of this Article 24 being herein referred to as a "Leasehold Mortgage’~) to secure repayment of a loan (and associated obligations) made to Lessee by an Institutional Lender for the purpose of financing the construction of any Improvements made pursuant to the terms of this Lease or for the long-term financing of any such Improvements. The loan secured by a Leasehold Mortgage shall be a conventional construction loan or mortgage, payable over not more than the remaining portion of the Term, and shall be in an amountthat, when aggregated with the outstanding amount of all other Leasehold Mortgages, does not exceed 70% of the fair market value of Lessee’s leasehold estate and interest in the Improvements existing or to be built with the loan proceeds, subject to this Lease. In addition, Lessor agrees that the JCC or any other Permitted Sublessee of.the entire Premises shall have the right to enter into a Leasehold Mortgage of its subleasehold estate; provided that all of the terms and conditions of this Article 24 shall be applicable to any such Leasehold Mortgage and that the JCC or the other Permitted Sublessee of the entire Premises otherwise complies with the requirements of its Permitted Sublease applicable to a Leasehold Mortgage. Notwithstanding the foregoing, provided Lessee, the JCC or another Permitted Sublessee of the entire Premises complies with any applicable requirements of the California Subdivision Map Act and local ordinances promulgated thereunder, any Leasehold Mortgage may exclude that portion of the Premises improved with the housing described in Section 9.1, and/or a separate Leasehold Mortgage complying with this Article 24 may encumber the housing portion of the Premises. Section 24.2 Terms of Leasehold Mortgage. Any Leasehold Mortgage shall by its terms provide that all proceeds of any property insurance covering the Premises or the Improvements and all Awards shall be applied in accordance with the provisions of this Lease and that the holder of such Leasehold Mortgage shall give Lessor written notice of any default of Lessee under such Leasehold Mortgage contemporaneously with the giving of such notice to Lessee. Lessee shall deliver to Lessor promptly after execution by Lessee a true and verified copy of any Leasehold Mortgage, and any amendment, modification or extension thereof, together with the name and address of the owners and holder thereof. In no event shall any interest of Lessor in the Premises, including without limitation, Lessor’s fee interest in the Premises or reversionary interest in the Improvements or interest under this Lease, be subject or subordinate to any lien or encumbrance of any mortgage, deed of trust or other security instrument. Section 24.3 Institutional and First Lender. For purposes of this Article 24, "Institutional Lender" shall mean any national bank organized under the laws of the United States or any commercial bank licensed in California, or any savings and loan association, trust company or insurance company organized or authorized to do business under the laws of the United States or any state of the United States, any pension or retirement fund, commercial finance lender, capital market/conduit lender, welfare trust or fund supervised by a government authority of any state of the United States or other lending institution which is approved by Lessor (and Lessor hereby expressly approves the Jewish Community Federation as an Institutional Lender), and "First Lender" shall mean an Institutional Lender who is the owner and holder of the Leasehold Mortgage having superior lien priority over all other Leasehold Mortgages. However, Lessor shall have no duty or obligation whatsoever to determine independently the relative priorities of any Leasehold Mortgages, but shall be entitled to rely absolutely upon a preliminary title report current as of the time of any determination of such priorities and prepared at Lessee’s expense by a generally-recognized tire insurance company doing business in Santa Clara County, California. Section 24.4 Agreement Regarding the First Lender. During the continuance of any Leasehold Mortgage until such time as the lien of any Leasehold Mortgage has been extinguished, and if a true and verified copy of such Leasehold Mortgage shall have been delivered to Lessor together with a written notice of the name and address of the holder thereof: (a) Lessor shall not agree to any termination nor accept any surrender of this Lease (except upon the expiration of the Term, termination pursuant to Article 21, and as.otherwise provided below with respect to termination upon an Event of Default), nor shall any material amendment or modification of this Lease be binding upon the First Lender or any purchaser in foreclosure from the First Lender, unless the First Lender has given its prior written consent to such amendment or modification, which consent shall not be unreasonably withheld and shall be deemed given if a written refusal to consent together with a written explanation of the reasons for such refusal to consent is not received by Lessor from the First Lender within 10 days after receipt by the First Lender of a written request from Lessor for the First Lender’s consent to a proposed amendment or modification. (b) The First Lender shall have the right, but not the obligation, at any time prior to termination of this Lease and without payment of any penalty, to pay the Rent due hereunder, to provide any insurance and make any other payments, to make any repairs and improvements and do any other act or thing required of Lessee hereunder, and to do any act or thing which may be necessary and proper to be done in the performance and observance of the covenants, conditions and agreements hereof to prevent the termination of this Lease. All payments so made and all things so done and performed by the First Lender shall be as effective to prevent a termination of this Lease as the same would have been if made, done and performed by Lessee instead of by the First Lender. (c) Should any Event of Default under this Lease occur, the First Lender shall have 30 days after receipt of notice from Lessor setting forth the nature of such Event of Default, and, if the default is such that possession of the Premises is necessary to remedy the default, a reasonable time after the expiration of such 30 day period, within which to remedy such default, provided that (i) the First Lender shall have fully cured any default in the payment of any monetary obligations of Lessee under this Lease within such 30 day period and shall continue to pay currently such monetary obligations as and when the same are due, and (ii) the First Lender shall have acquired Lessee’s leasehold estate created hereby or given Lessor written notice that the First Lender intends to take action to acquire Lessee’s leasehold estate and commenced foreclosure or other appropriate proceedings in the nature thereof within such 30 day period or prior thereto, and shall thereafter diligently and continuously prosecute such proceedings to completion. (d) An Event of Default under this Lease which in the nature thereof cannot be remedied by the First Lender shall be deemed to be remedied if (i) within 30 days after receiving written notice from Lessor of such Event of Default, the First Lender shall have acquired Lessee’s leasehold estate created hereby or given Lessor written notice that the First Lender intends to take action to acquire Lessee’s leasehold estate and commenced foreclosure or other appropriate proceedings in the nature thereof, (ii) the First Lender shall diligently and continuously prosecute any such proceedings to completion, (iii) the First Lender shall have fully cured any default in the payment of any monetary obligations of Lessee under this Lease within such 30 day period and shall thereafter continue to faithfully perform all such monetary obligations, and (iv) after gaining possession of the Premises, the First Lender shall perform all of the obligations of Lessee hereunder as and when the same are due and cure any defaults that are curable by the First Lender but that require possession of the Premises to cure, such cure to be effected within 30 days after gaining possession, or such longer period of time as is reasonably necessary to effect such cure using all due diligence. (e) If the First Lender is prohibited by any process or injunction issued by any court or by reason of any action by any court having jurisdiction of any bankruptcy or insolvency proceedings involving Lessee from commencing or prosecuting foreclosure or other appropriate proceedings in the nature thereof, the times specified in subsections (c) and (d) above for commencing or prosecuting such foreclosure or other proceedings shall be extended for the period of such prohibition; provided that the First Lender shall have fully cured any default in the payment of any monetary obligations of Lessee under this Lease and shall continue to pay currently such monetary obligations as and when the same fall due, and provided further that the First Lender shall diligently attempt to remove any such prohibition. (f) Lessor shall mail to the First Lender a duplicate copy by certified mail of any and all notices that Lessor may from time to time give to or serve upon Lessee pursuant to the provisions of this Lease. (g) Foreclosure of a Leasehold Mortgage or any sale thereunder, whether by judicial proceedings or by virtue of any power of sale contained in the Leasehold Mortgage, or any conveyance of the leasehold estate created hereby from Lessee to the First Lender by virtue or in lieu of foreclosure or other appropriate proceedings in the nature thereof, shall not require the consent of Lessor or constitute a breach of any provision of or a default under this Lease and upon such foreclosure, sale or conveyance, Lessor shall recognize the First Lender, or any other foreclosure sale purchaser or recipient of any deed in lieu, as Lessee hereunder; provided, (i) the First Lender shall have fully complied with the provisions of this Article 24 applicable prior to gaining possession of the Premises and the First Lender or foreclosure sale purchaser or deed in lieu recipient, as the case may be, who is to become the Lessee hereunder shall comply with the provisions of this Article 24 applicable after gaining possession of the Premises; (ii) the First Lender, or foreclosure sale purchaser or deed in lieu recipient, as the case may be, who is to become the Lessee hereunder shall be responsible for taking such actions as shall be necessary to obtain possession of the Premises; and (iii) the First Lender, or foreclosure sale purchaser or deed in lieu recipient, as the case may be, who is to become the Lessee hereunder shall execute, acknowledge and deliver to Lessor an instrument in recordable form pursuant to which the First Lender or foreclosure sale purchaser or deed in lieu recipient, as the case may be, expressly assumes all obligations of the Lessee under this Lease. If there are two or more Leasehold Mortgages or foreclosure sale purchasers (whether of the same or different Leasehold Mortgages), Lessor shall have no duty or obligation whatsoever to determine the relative priorities of such Leasehold Mortgages or the rights of the different holders thereof and/or foreclosure sale purchasers. If the First Lender becomes Lessee under this Lease, or under any new lease obtained pursuant to subsection (h) below, the First Lender shall not be personally liable for the obligations of the Lessee under this Lease accruing before or after the period of time that the First Lender is the Lessee hereunder or thereunder. In the event that, subject to and in accordance with the terms and conditions of this Lease, the First Lender subsequently assigns or transfers its interest under this Lease after acquiring the same by foreclosure or by an acceptance of a deed in lieu of foreclosure, and in connection with any such assignment or transfer the First Lender takes back a first lien mortgage or deed of trust encumbering such leasehold interest to secure a portion of the purchase price given to the First Lender for such assignment or transfer, then such mortgage or deed of trust shall be considered a Leasehold Mortgage as contemplated under this Article 24 and the First Lender shall be entitled to receive the benefit of this Article 24 and any other provisions of this Lease intended for the benefit of the holder of a First Lender. (h) In the event of(a) any rejection of this Lease by Lessee in any bankruptcy proceeding, or (b) such other termination of this Lease by reason of a condition which (i) is not known or ascertainable by the parties on the effective date of the First Lender’s Leasehold Mortgage, (ii) results from any applicable state or federal law enacted after the effective date of such Leasehold Mortgage, and (iii) which would work an inequitable forfeiture upon the First Lender due to the non-curable nature of such condition, Lessor shall, subject to the terms and conditions of this subsection (h), upon written request by the First Lender to Lessor made within 60 days after such termination, execute and deliver a new lease of the Premises to the First Lender for the remainder of the term of this Lease with the same covenants, conditions and agreements (except for any requirements which have been satisfied by Lessee prior to termination) as are contained herein; provided, however, that Lessor’s execution and delivery of such new lease of the Premises shall be made without representation or warranty of any kind or nature whatsoever, either express or implied, including without limitation, any representation or warranty regarding title to the Premises or the priority of such new lease and Lessor’s obligations and liability under such new lease shall not be greater than if this Lease had not terminated and the First Lender had become the Lessee hereunder. Lessor’s delivery of any Improvements to the First Lender pursuant to such new lease shall be made without representation or warranty of any kind or nature whatsoever, either express or implied; and the First Lender shall take any Improvements "as is" in their then current condition. Upon execution and delivery of such new lease, the First Lender, at its sole cost and expense, shall be responsible for taking such action as shall be necessary to cancel and discharge this Lease and to remove the Lessee named herein and any other occupant from the Premises. Lessor’s obligation to enter into such new lease of the Premises with the First Lender shall be conditioned as follows: (x) the First Lender shall have complied with the provisions of this Article 24 applicable prior to the gaining of possession and shall comply with the provisions of this Article 24 applicable after gaining possession of the Premises; (y) if more than one holder of a Leasehold Mortgage claims to be the First Lender and requests such new lease, Lessor shall have no duty or obligation whatsoever to determine the relative priority of such Leasehold Mortgages, and in the event of any dispute between or among the holders thereof, Lessor shall have no obligation to enter into any such new lease if such dispute is not resolved to the sole satisfaction of Lessor within 90 days after the date of termination of this Lease; and (z) the First Lender shall pay all costs and expenses of Lessor, including without limitation, reasonable attorneys’ fees, real property transfer taxes and any escrow fees and recording charges, incurred in connection with the preparation and execution of such new lease and any conveyances related thereto. Section 24.5 Tri-Party Agreement. At Lessee’ request, Lessor will enter into a Tri- Party Agreement in the form of the attached Exhibit E with the holder of any Leasehold Mortgage. ARTICLE 25. EVENT OF DEFAULT AND LESSOR’S REMEDIES Section 25.1 Events of Default. The occurrence of any of the following shall be an Event of Default on the part of Lessee hereunder: (a) Failure to pay Rent or any other sums of money that Lessee is required to pay hereunder at the times or in the manner herein provided, when such failure shall continue for a period of 10 days after written notice thereof from Lessor to Lessee; any such notice shall be deemed to be the notice required under California Code of Civil Procedure Section 1161. No such notice shall be deemed a forfeiture or a termination of this Lease unless Lessor expressly so elects in such notice. (b) Failure to perform any express or implied nonmonetary provision of this Lease when, except in the case of any provision which by its terms provides for no grace period, such failure shall continue for a period of 30 days, or such other period as is expressly set forth herein, after written notice thereof from Lessor to Lessee; any such notice shall be deemed to be the notice required under California Code of Civil Procedure Section 1161; provided that if in Lessor’s reasonable opinion the default is curable within 90 days and if the nature of the default is such that more than 30 days are reasonably required for its cure, then an Event of Default shall not be deemed to have occurred if Lessee shall commence such cure within said 30 day period and thereafter diligently and continuously prosecute such cure to completion and cure such default promptly but not later than 90 days after Lessor’s notice and pursuant to a written agreement respecting the time and manner of such cure. No such notice shall be deemed a forfeiture or a termination of this Lease unless Lessor expressly so elects in such notice. (c) The vacation of the Premises for a period of 30 consecutive days or more except in connection with repair, restoration or Alterations undertaken pursuant to and in accordance with Articles 11 or 21 hereof, or the abandonment of the Premises. (d) Lessee shall admit in writing its inability to pay its debts generally as they become due, file a petition in bankruptcy, insolvency, reorganization, readjustment of debt, dissolution or liquidation under any law or statute of any government or any subdivision thereof either now or hereafter in effect, make an assignment for’the benefit of its creditors, consent to or acquiesce in the appointment of a receiver of itself or of the whole or any substantial part of the Premises. (e) A court of competent jurisdiction shall enter an order, judgment or decree appointing a receiver of Lessee or of the whole or any substantial part of the Premises and such order, judgment or decree shall not be vacated, set aside or stayed within 45 days after the date of entry of such order, judgment, or decree, or a stay thereof shall be thereafter set aside. (f) A court of competent jurisdiction shall enter an order, judgment or decree approving a petition filed against Lessee under any bankruptcy, insolvency, reorganization, readjustment of debt, dissolution or liquidation law or statute of the Federal government or any state government or any subdivision of either now or hereafter in effect, and such order, judgment or decree shall not be vacated, set aside or stayed within 45 days from the date of entry of such order, judgment or decree, or a stay thereof shall be thereafter set aside. Section 25.2 Lessor’s Remedies. Upon the occurrence of an Event of Default, Lessor shall have the following rights and remedies: (a) The fight to terminate this Lease, in which event Lessee shall immediately surrender possession of the Premises in accordance with Article 27, and pay to Lessor all Rent and other charges and amounts due from Lessee hereunder to the date of termination. (b) The rights and remedies described in California Civil Code Section 1951.2, including without limitation, the right to recover the worth at the time of award of the amount by which the Rent and other charges payable hereunder for the balance of the Term after the time of award exceed the amount of such rental loss for the same period that Lessee proves could be reasonably avoided, as computed pursuant to subdivision (b) of said Section 1951.2, and the fight to recover any amount necessary to compensate Lessor for all the detriment proximately caused by Lessee’s failure to perform its obligations under this Lease or which in the ordinary course of things would be likely to result therefrom which, without limiting the generality of the foregoing, includes unpaid taxes and assessments, any costs or expenses incurred by Lessor in recovering possession of the Premises, maintaining or preserving the Premises after such default, preparing the Premises for reletting to a new lessee, any repairs or alterations to the Premises for such reletting, leasing commissions, architect’s fees and any other costs necessary or appropriate either to relet the Premises or to adapt them to another beneficial use by Lessor and such amounts in addition to or in lieu of the foregoing as may be permitted from time to time by applicable California law. Lessee also shall indemnify Lessor for any liability arising prior to the termination of this Lease for personal injuries or property damage. (c) The rights and remedies described in Califomia Civil Code Section 1951.4 that allow Lessor to continue this Lease in effect and to enforce all of its rights and remedies under this Lease, including the fight to recover Rent as it becomes due, for so long as Lessor does not terminate Lessee’s right to possession. Acts of maintenance or preservation, efforts to relet the Premises or the appointment of a receiver upon Lessor’s initiative to protect its interest under this Lease shall not constitute a termination of Lessee’s fight to possession. (d) The right and power, as attorney in fact for Lessee, to enter and to sublet the Premises, to collect rents from all subtenarits and to provide or arrange for the provision of all services and fulfill all obligations of Lessee under the Permitted Subleases and Lessor is hereby authorized on behalf of Lessee, but shall have absolutely no obligation, to provide such services and fulfill such obligations and to incur all such expenses and costs as Lessor deems necessary in connection therewith. Lessee shall be liable immediately to Lessor for all costs and expenses Lessor incurs in collecting such rents and arranging for or providing such services or fulfilling such obligations. Lessor is hereby authorized, but not obligated, to relet the Premises or any part thereof on behalf of Lessee, to incur such expenses as may be necessary to effect a relet and make said relet for such term or terms, upon such conditions and at such rental as Lessor in its sole discretion may deem proper. Lessee shall be liable immediately to Lessor for all reasonable costs Lessor incurs in reletting the Premises including, without limitation, brokers’ commissions, expenses of remodeling the Premises required by the reletting, and other costs. If Lessor relets the Premises or any portion thereof, such reletting shall not relieve Lessee of any obligation hereunder, except that Lessor shall apply the rent or other proceeds actually collected by it as a result of such reletting against any amounts due from Lessee hereunder to the extent that such rent or other proceeds compensate Lessor for the nonperformance of any obligation of Lessee hereunder. Such payments by Lessee shall be due at such times as are provided elsewhere in this Lease, and Lessor need not wait until the termination of this Lease, by expiration of the Term hereof or otherwise, to recover them by legal action or in any other manner. Lessor may execute any lease made pursuant hereto in its own name, and the lessee thereunder shall be under no obligation to see to the application by Lessor of any rent or other proceeds, nor shall Lessee have any right to collect any such rent or other proceeds. Lessor shall not by any reentry or other act be deemed to have accepted any surrender by Lessee of the Premises or Lessee’s interest therein, or be deemed to have otherwise terminated this Lease, or to have relieved Lessee of any obligation hereunder, unless Lessor shall have given Lessee express written notice of Lessor’s election to do so as set forth herein. (e) The fight to have a receiver appointed upon application by Lessor to take possession of the Premises and to collect the rents or profits therefrom and to exercise all other rights and remedies pursuant to Section 25.2(d). (f) The fight to enjoin, and any other remedy or right now or hereafter available to a lessor against a defaulting lessee under the laws of the State of California or the equitable powers of its courts, and not otherwise specifically reserved herein. Section 25.3 Commencement of Actions. Any legal action by Lessor to enforce any obligation of Lessee or in the pursuit of any remedy hereunder shall be deemed timely filed if commenced at any time prior to one (1) year after the expiration or termination of the Term hereof or prior to the expiration of the statutory limitation period that would be applicable except for this Section 25.3, whichever period expires later. Section 25.4 Waiver of Notice and Redemption. Except as otherwise expressly provided in this Article 25, Lessee hereby expressly waives, so far as permitted by law, the service of any notice of intention to enter or re-enter provided for in any statute, or of the institution of legal proceedings to that end, and Lessee, for and on behalf of itself and all persons claiming through or under Lessee, also waives any right of redemption or relief from forfeiture under California Code of Civil Procedure Sections 1174 or 1179, or under any other present or future law, if Lessee is evicted or Lessor takes possession of the Premises by reason of any default by Lessee hereunder. Section 25.5 Rights Cumulative. The various rights and remedies reserved to Lessor herein, including those not specifically described herein, shall be cumulative and shall be in addition to every other right or remedy provided for in this Lease or now or hereafter existing at law or in equity and the exercise of the rights or remedies provided for in this Lease or now or hereafter existing at law or in equity shall not preclude the simultaneous or later exercise by Lessor of any or all other rights and remedies. Section 25.6 Sublessee’s Right to Cure. Notwithstanding any other provision of this Article 25, Lessor agrees that it will not terminate this Lease without first providing the JCC or any other Permitted Sublessee of the entire Premises the same notice and opportunity to cure which is provided to Lessee in Section 25.1. Such notice may be provided concurrently with any notice to Lessee, or subsequent thereto, in Lessor’s sole discretion. Lessee further agrees that it will accept performance of all of the terms and conditions of this Lease by the JCC or such Permitted Sublessee unless otherwise instructed in writing by Lessee. Notwithstanding the foregoing, Lessor shall not terminate this Lease following the expiration of Lessee’s cure periods without providing the JCC or such Permitted Sublessee with at least 10 days’ prior written notice that Lessee has failed to provide such cure within the cure period, during which additional 10- day period the JCC or such Permitted Sublessee shall have the opportunity to effect such cure. ARTICLE 26. LESSOR’S RIGHT TO CURE DEFAULTS If Lessee shall fail or neglect to do or perform any act or thing herein provided by it to be done or performed and such failure shall not be cured within any applicable grace period provided in Article 25, then Lessor shall have the right, but shall have no obligation, to pay any amounts payable by Lessee to third parties hereunder, discharge any lien, take out, pay for and maintain any insurance required under Article 19, or do or perform or cause to be done or performed any such other act or thing (entering upon the Premises for such purposes, if Lessor shall so elect), and Lessor shall not be or be held liable or in any way responsible for any loss, disturbance, inconvenience, annoyance or damage resulting to Lessee on account thereof, and Lessee shall repay to Lessor upon demand the entire reasonable cost and expense thereof, including, without limitation, compensation to the agents, consultants and contractors of Lessor and reasonable attorneys’ fees and expenses. Lessor may act upon shorter notice or no notice at all if necessary in Lessor’s judgment to meet an emergency situation or governmental or municipal time limitation or otherwise to protect Lessor’s interest in the Premises. Lessor shall not be required to inquire into the correctness of the amount or validity of any payable or lien that may be paid by Lessor, and Lessor shall be duly protected in paying the amount of any such payable or lien claimed, and, in such event, Lessor shall also have the full authority, in Lessor’s sole judgment and discretion and without prior notice to or approval by Lessee, to settle or compromise any such lien or payable. Any act or thing done by Lessor pursuant to the provisions of this Article 26 shall not be or be construed as a waiver of any default by Lessee, or as a waiver of any term, covenant, agreement or condition herein contained or of the performance thereof. All amounts payable by Lessee to Lessor under any of the provisions of this Lease, if not paid when the same become due as in this Lease provided, shall bear interest at the Interest Rate. ARTICLE 27. SURRENDER OF THE PREMISES Section 27.1 Surrender. Upon the termination of this Lease, at the expiration of the Term as stated in Au’ticle 5 hereof or within 30 days following the earlier termination of this Lease pursuant to any provision hereof, Lessee shall remediate on, from, or under the Premises any Hazardous Substances to the extent resulting from any Lessee Environmental Activity, and surrender to Lessor the Premises in good order and repair, reasonable wear and tear excepted (except to the extent this Lease is terminated due to damage or destruction or any Appropriation), free and clear of all letting and occupancies other than any Permitted Subleases that pursuant to the provisions of this Lease Lessor has elected to recognize after such termination, and free and clear of all Liens and encumbrances; provided that Lessee shall be entitled to remove and retain all personal property and fixtures of Lessee within ten (10) business days following termination of this Lease. Section 27.2 Ownership of Improvements; Contracts. Upon any termination of this Lease, all Improvements shall automatically and without further act by Lessor or Lessee, become the property of Lessor, free and clear of any claim or interest therein on the part of Lessee or anyone claiming under Lessee, and without payment therefor by Lessor. In the event this Lease terminates when the Improvements are partially completed or have been damaged Or destroyed, at Lessor’s request Lessee shall remove the partially completed or remaining Improvements from the Premises and deliver the Premises to Lessor in its original unimproved condition. Upon or at any time after the Termination Date, if requested by Lessor, Lessee shall, without charge to Lessor, promptly execute, acknowledge and deliver to Lessor a good and sufficient quitclaim deed and bill of sale of all of Lessee’s right, title, and interest in and to the Premises and the Improvements and a good and sufficient assignment to Lessor of Lessee’s interest in any Permitted Subleases which Lessor has elected to recognize after the Termination Date, and in any contracts, as designated by Lessor, relating to the operation, management, maintenance or leasing of the Premises or any part thereof, and shall deliver to Lessor all such other instruments, records and documents relating to the operation, management, maintenance or leasing of the Premises or any part thereof, including but not limited to all leases, lease files, plans and specifications, records, registers, permits, and all other papers and documents which may be necessary or appropriate for the proper operation and management of the Premises. Lessee hereby irrevocably appoints Lessor as its lawful attorney in fact to execute and deliver for, on behalf of and in the name of Lessee, any such deed, bill of sale, assignment or other instrument referred to in this Article 27 or otherwise, required to document the transfer or reversion to Lessor of such interests of Lessee, and Lessee and Lessor agree that such power of attorney shall be a power coupled with an interest. Any contracts, agreements or other obligations of Lessee relating to the Premises not designated by Lessor and assigned by Lessee to Lessor pursuant to this Article 27 shall immediately terminate and be of no further force or effect as of the Termination Date. Section 27.3 Personal Property. Any personal property or fixtures of Lessee that remains on the Premises on the 1 lth day after the Termination Date may, at the option of Lessor, be deemed to have been abandoned by Lessee and may either be retained by Lessor as its property or disposed of, without accountability, in such manner as Lessor may determine in its sole discretion. ARTICLE 28. USE OF NAME 41 Lessee acknowledges and agrees that the names "The Leland Stanford Junior University," "Stanford" and "Stanford University," and all variations thereof, are proprietary to Lessor. Lessee shall not use any such name or any variation thereof or identify Lessor in any promotional advertising or other promotional materials to be disseminated to the public or any portion thereof or use any trademark, service mark, trade name or symbol of Lessor or that is associated with it, without Lessor’s prior written consent, which may be given or withheld in Lessor’s sole discretion. ARTICLE 29. SIGNS So long as Lessee fully complies with all Applicable Laws, Lessee shall have the right in its sole discretion to place any sign, picture, advertisement, name, notice, marquee or awning on the Premises. ARTICLE 30. REPRESENTATIONS AND WARRANTIES OF LESSEE AND LESSOR Lessee and Lessor hereby represent and warrant to each other as follows: (a) Each party has taken all necessary action to authorize the execution, delivery and performance of this Lease and this Lease constitutes the legal, valid, and binding obligation of the party so representing. (b) Each party has the right, power, legal capacity and authority to enter into and perform its obligations under this Lease and no approvals or consents of any person are required in connection with the execution and performance of this Lease. The execution and performance of this Lease will not result in or constitute any default or event that with notice or the lapse of time or both, would be a default, breach or violation of the organizational instruments governing the representing party or any agreement or any order or decree of any court or other governmental authority to which the representing party is a party or to which it is subject. ARTICLE 31. NO WAIVER BY LESSOR No failure by Lessor to insist upon the strict performance of any term, covenant, agreement, provision, condition or limitation of this Lease or to exercise any right or remedy upon a breach thereof, and no acceptance by Lessor of full or partial rent during the continuance of any such breach, shall constitute a waiver of any such breach or of such term, covenant, agreement, provision, condition or limitation. No term, covenant, agreement, provision, condition or limitation of this Lease and no breach thereof may be waived, altered or modified except by a written instrument executed by Lessor. No waiver of any breach shall affect or alter this Lease but each and every term, covenant, agreement, provision, condition and limitation of this Lease shall continue in full force and effect with respect to any other then existing or subsequent breach. ARTICLE 32. NO PARTNERSHIP It is expressly understood that neither Lessee nor Lessor is or becomes, in any way or for any purpose, a partner of the other in the conduct of its business, or otherwise, or joint venturer or a member of a joint enterprise with the other, or agent of the other by reason of this Lease or otherwise. Lessee is and shall be an independent contractor with respect to the Lease and Premises. ARTICLE 33. NO DEDICATION This Lease shall not be, nor be deemed or construed to be, a dedication to the public of the Premises, the areas in which the Premises are located or the Improvements, or any portion thereof. ARTICLE 34. NO THIRD PARTY BENEFICIARIES This Lease shall not confer nor be deemed nor construed to confer upon any person or entity, other than the parties hereto, any right or interest, including, without limiting the generality of the foregoing, any third party beneficiary status or any right to enforce any provision of this Lease, except to the extent expressly set forth herein. ARTICLE 35. NOTICES Any notice, consent or other communication required or permitted under this Lease shall be in writing and shall be delivered by hand, sent by air courier, sent by prepaid registered or certified mail with return receipt requested, or sent by facsimile, and shall be deemed to have been given on the earliest of (a) receipt, (b) one business day after delivery to an air courier for overnight expedited delivery service, or (c) 5 business days after the date deposited in the United States mail, registered or certified, with postage prepaid and return receipt requested (provided that such remm receipt must indicate receipt at the address specified) or on the day of its transmission by facsimile if transmitted during the business hours of the place of receipt, otherwise on the next business day. All notices shall be addressed as appropriate to the following addresses (or to such other or further addresses as the parties may designate by notice given in accordance with this section): If to Lessor: If to Lessee: The Board of Trustees of the Leland Stanford Junior University c/o Stanford Management Company 2770 Sand Hill Road Menlo Park, CA 94025-3065 Attn: Managing Director Real Estate Facsimile Number (650) 854-9268 [General Counsel’s office?] 4~ ARTICLE 36. HOLDING OVER This Lease shall terminate upon the Termination Date and any holding over by Lessee after the Termination Date shall not constitute a renewal of this Lease or give Lessee any rights hereunder or in or to the Premises. Any holding over after the Termination Date with the consent of Lessor shall be construed to automatically extend the Term of this Lease on a month- to-month basis at a rent equal to the prevailing rate at which Lessor is then offering space in buildings located in the Stanford Research Park, and shall otherwise be on the terms and conditions herein specified so far as applicable. Any holding over without Lessor’s consent shall entitle Lessor to exercise any or all of its remedies as provided in Article 25, and Lessee shall indemnify Lessor for all losses, costs and other damage incurred due to Lessee’s failure to vacate the Premises when required to do so. ARTICLE 37. MEMORANDUM This Lease shall not be recorded. However, at the request of either party, the parties hereto shall execute and acknowledge a memorandum hereof in recordable form that Lessor shall file for recording in the Official Records of Santa Clara County. ARTICLE 38. GENERAL PROVISIONS Section 38.1 Broker’s Commissions. Each party agrees to indenmify the other party, and hold it harmless, from and against any real estate brokerage commissions or other such obligations incurred by the indemnifying party in connection with the negotiation or execution of this Lease. Section 38.2 Severability. In case any one or more of the provisions of this Lease shall for any reason be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect any other provision of this Lease, and this Lease shall be construed as if such invalid, illegal or unenforceable provisions had not been contained herein. Section 38.3 Time of the Essence. Time is hereby expressly declared to be of the essence of this Lease and of each and every term, covenant, agreement, condition and provision hereof. Section 38.4 Headings. Article, Section and subsection headings in this Lease are for convenience only and are not to be construed as a part of this Lease or in any way limiting or amplifying the provisions hereof. Section 38.5 Lease Construed as a Whole. The language in all parts of this Lease shall in all cases be construed as a whole according to its fair meaning and not strictly for or against either Lessor or Lessee. The parties acknowledge that each party and its counsel have reviewed this Lease and participated in its drafting and therefore that the rule of construction that any ambiguities are to be resolved against the drafting party shall not be employed nor applied in the interpretation of this Lease. Section 38.6 Meaning of Terms. Whenever the context so requires, the neuter gender shall include the masculine and the feminine, and the singular shall include the plural, and vice versa. Section 38.7 Attorneys’ Fees. In the event of any action or proceeding at law or in equity between Lessor and Lessee to enforce or interpret any provision of this Lease or to protect or establish any right or remedy of either party hereunder, the party not prevailing in such action or proceeding shall pay to the prevailing party all costs and expenses, including without limitation, reasonable attorneys’ fees and expenses (including attorneys’ fees and expenses of in- house attorneys), incurred therein by such prevailing party and if such prevailing party shall recover judgment in any such action or proceeding, such costs, expenses and attorneys’ fees shall be included in and as a part of such judgment. Section 38.8 California Law; Forum. The laws of the State of California, other than those laws denominated choice of law rules which would require the application of the laws of another forum, shall govern the validity, construction and effect of this Lease. This Lease is made and all obligations hereunder arise and are to be performed in the County of Santa Clara, State of California. Any action which in any way involves the rights, duties and obligations of the parties hereto may (and if against Lessor, shall) be brought in the courts of the State of California located in Santa Clara County or in the United States District Court for the Northern District of California, and the parties hereto hereby submit to the personal jurisdiction of said courts. Section 38.9 Binding Agreement. Subject to the provisions of Articles 22 and 23, the terms, covenants and agreements contained in this Lease shall bind and inure to the benefit of the parties hereto and their respective successors and assigns. Section 38.10 Entire Agreement. This instrument, together with the exhibits hereto, all of which are incorporated herein by reference, constitutes the entire agreement between Lessor and Lessee with respect to the subject matter hereof and supersedes all prior offers, negotiations, oral and written. This Lease may not be amended or modified in any respect whatsoever except by an instrument in writing signed by Lessor and Lessee. Section 38.11 Quiet Enjoyment. Lessor agrees that Lessee, upon paying the Rent and all other sums due hereunder and upon keeping and observing all of the covenants, agreement and provisions of this Lease on its part to be observed and kept, shall, subject to the exceptions and reservations referred to in Article 3, lawfully and quietly hold, occupy and enjoy the Premises during the Term without hindrance or molestation by anyone claiming by, through, or under Lessor. " Section 38.12 Termination Not Merger. The voluntary sale or other surrender of this Lease by Lessee to Lessor, or a mutual cancellation thereof, or the termination thereof by Lessor pursuant to any provision contained herein, shall not work a merger, but at the option of Lessor shall either terminate any or all existing subleases or subtenancies hereunder, or operate as an assignment to Lessor of any or all of such subleases or subtenancies; provided that this Section shall not be deemed to supersede the provisions of Section 23.1 above. Section 38.13 Estoppel Certificates. Either party, at any time and from time to time within ten (10) business days after receipt of written notice from the other, shall execute, acknowledge and deliver to the requesting party or to any party designated by the requesting party, a certificate stating: (a) that Lessee has accepted the Premises (if true), (b) the Commencement Date and Expiration Date of this Lease, (c) that this Lease is unmodified and in full force and effect (or, if there have been modifications, that same is in full force and effect as modified and stating the modifications), (d) whether or not there are then existing any defenses against the enforcement of any of the obligations of the reporting party under this Lease (and, if so, specifying same), (e) whether or not there are then existing any defaults by the other party in the performance of its obligations under this Lease (and, if so, specifying same), and (f) any other factual information relating to the rights and obligations under this Lease that may reasonably be required by any of such persons. Failure by either party to execute, acknowledge and deliver such certificate shall be conclusive evidence that this Lease is in full force and effect and has not been modified except as may be represented by the requesting party. IN WITNESS WHEREOF, Lessor and Lessee have executed this Lease by proper persons thereunto duly authorized as of the date first above written. THE BOARD OF TRUSTEES OF THE LELAND STANFORD JUNIOR UNIVERSITY By Stanford Management Company By Print Name: Title: THE CITY OF PALO ALTO By Print Name: Title: EXHIBIT A Legal Description of Premises 47 EXHIBIT A-1 Permitted Exceptions EXHIBIT B-1 H-P Access Agreement EXHIBIT B-2 BP Access Agreement EXHIBIT C Access Easement EXHIBIT D Stanford Research Park Handbook EXHIBIT E Tri-Party Agreement STANFORD UNIVERSITY OFFICE OF THE PRESIDENT September 4, 2001 Frank Behest City Manager City Of Palo Alto Palo Alto, CA 94301 FOR HAND DELIVERY Dear Frank: I am pleased to transmit to you the attached Ground Lease and the Development Agreement that have been negotiated with the City staff under your leadership. Together, these documents implement our offer to the City of Palo Alto specified in our October 5, 2000, letter to Mayor Kniss, a copy of which is appended here. Stanford will execute these documents. Any changes would require renegotiation. Execution of these documents will provide the City with the use of the Mayfield site for a community center for a period of 51 years for $1 per year and will provide Stanford with vested rights for development elsewhere in the research park. Provision has also been made in the ground lease to accommodate a special sublease from the City to the Jewish Community Center. The entire set of arrangements involving the School District, the Jewish Community Center, the City, and Stanford constitute what the Palo Alto Weekly called the most complicated real estate deal in the history of the City. We at Stanford wish to commend all those involved for their dedicated, good faith labors to resolve several community problems in a manner respectful of and satisfactory to all parties. ,r of Government and Community Relations Jewish Community Center Palo Alto Unified School District 482 GaLvzz M.~I.L, MC 2040 ¯ STA~WORD, CA 94305-2040 ¯ TE~. (650) 725-3320 ¯ FAX (650) 725-3577 October 5, 2000.. Th£ Honorable Liz Kniss " Mayor City of Palo. Alto 250 Hamilton Avenue Palo Alto, CA 94301 Dear Mayor Kniss: Thank you for mee.ting with Stanford representatives last We~k. ¯In response to your request, we have considered ways to assist the City’s ’ ..efforts to replace Community services that wo ,uld be lost.if the Jewish. . ..- ¯ ..¯CommunityCenfer Were .displaced from the Terman site. We have explored the .... suggestion that development rights might be ~ansferred between Stanford¯properties in the City in such a manner that would permit creation of a new community center. We have also given further consideration to the City’s concern that future ¯ new academic facilities or housing approved under a Santa Clara County . Community Plan and modified General Use Permit might create a burden on. Palo Alto’s community services. We do not believe that sui_ch, a burden exists or would exist. Nevertheless, we are mindful of the City’s concerns, and we are pleased to address them. Accordingly, in order to permit the City to create a new community ¯ center, that could include the Iewish Community Center should it be relocated from Terrnan, Stanford.is prepared to make the following.offer to the City of Palo ¯ .Alto. This Offer is a package; and each provision must be accepted by both the .... Ci~ and Stanford. . .... i S~anf0~d p~Spose~ i0: ~e.the .Mayfieldsite_(app~oxi .~a~ely6.a~6s"- .,-..!.¯. at the intersection or.E! Camin6 and Page Mill Road) av.ailable on ..:... -.. ...an as-is basis to the City of Palo Alto foranon:prdfit communlty. ’ . center (e.g.; the Jewish Community Center) on the terms described below; " " GOVERNMENT AND COMMUNITY RELATIONS o BLgLDING 170 ¯ STANFORD, CA 94305-2040 ¯ TEL (650) 725-3323 ¯ FAX (650) 725-3326 The Honorable Liz Kniss City of Palo Alto Page 2 of 3 S[ardord will lease the property to the City of Palo Alto for 51 years at a rent of $I per year provided that equival~m[ development :rights aze.transferred by. appropriate action of the Ci~ to a site or sites in the S~arfford Research Park acceptable.to Stm-fford on the terms described below. The le’ase Shall hot be effective until the transfer of development rights is completed. The transferred development rights.shall.allow uses-permi~ed by the current zoning and Comprehensive Plan. provisions applicable to fiie S~=nford Research Park and shall be vested for 25 years by a ¯ Development Agreement (as provided in sections 65864 ef seq. of the Government Code), the terms of which are consistent with [hi.’s proposal and acceptable .to Stanford. The Agreement shall establish a vested right of Stanford to the existing improvements on the site or sites (and replacements that do not exceed the current density) plus 100,000 square feet of new construction (6r the amount.the -:Cityputs on.the Mayfield site, whichever is larger) repres.enting the: ¯ trafuSfer.bf equival.entdeVeloprnent rights fro~ [he Mayfield site. " Although Stanford does not believe that a modified GuP would result in a communityservices burden on the City of Palo Alto, the ,City will agree that conveyance of the lease on the Mayfield site will constitute full mitigation of any community services impact that ~might be de&med to occur under a modified General Use. ". Permit now under cOnsideration by Santa Clara County. Fur~ermore, this offer is contingent upon .(i) approval by Santa " ¯ Clara County of a modified General Use Permit that is acceptable to Stanford, in its sole discretion, and (ii) final resolution of any litigation that may arise in connection with the Community Plan and modified General Use Permit. If the preceding conditions are not fully met by.March 31, 2001, then Stanford Shall have ~e right to terminate this offer. .. . ....... . .. ... Stanford is willing to offer the Mayfield site now, which has a fair.market . value of tens.of millions Of doilars~, even though Stanfordmaynot exerdse its".. ¯ " . ":transferred development rightsfor manyyears. We do.thi.’S in the tiopethat this " " "..." Offerwill break the dead!ock that has developed in finding a solution to the " difficult problemof 6pening a new middle school and still retaining a Community Center. For more than a year now, Stanford has worked wi~.the. The Honorable Liz Kniss City of Palo Alto. Page 3. of 3 Palo Al~o Unified School Districf, the Jewish Community Cenfer, and the City to help find su~ a solution. We are deeply appreda~ve of ~e dedicated Work by all parties to find a solution. Yet.we worry that WithoUt a’bold.new approach ¯ere may not be tiff}ely resolution of the pressing problem. ¯ ’ ’ Weto~k £orw:ard to.working With theCity ~d Otherparties’tos~rea~n thid community which is a source of pride to all of us. ’ Sincergl~,, " .. ~Dire~tor, Govermnent and / Community Relations JohnL. I-Ienness~, President " ’- Issac Stein, Chairman, Stanford University Board of Trustees