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2005-39J , ~ , f ' ~i t ~ '7 c'~t- ~l. ~Z'G~~4~1 Cry ' laid ~~ WASTEWATER SERVICE AND DEVELOPERS AGREEMENT ~~ ~iC ~ iron j ~ ~L-.-- :3~t~1 ~.~- ~a 1~l This document constitutes an agreement between the CITY OF CLERMONT, hereby referred to as the CITY, a municipality of the State of Florida, and Colony Communities, Inc., a Florida Corporation, its successors or assigns, hereby referred to as OWNER. WITNESSETH • WHEREAS, OWNER is proposing to develop a 162 lot residential subdivision named Foxchase, which is located on real property (the "Property") described on Exhibit "A" attached hereto and by this reference made a part hereof; and WHEREAS, the Property is located in the unincorporated area of Lake County and the OWNER is requesting sewer service from the CITY; and WHEREAS, as a condition of CITY providing said sewer service to the Property, OWNER is to extend sewer lines to serve the Property and lines and appurtenances must be sized and constructed in accordance with the minimum requirements of CITY Land Development Regulations and to meet the flow demands for the subdivision; and WHEREAS, the CITY may at the sole option of the CITY, elect to enlarge or oversize the sewer lines and appurtenances in order to provide additional capacity to other properties; and WHEREAS, as a condition of the provision of sewer service to the Property by the CITY, OWNER agrees that this Agreement shall constitute an unconditional application to annex the Property into the City of Clermont, under the terms and conditions contained herein; and WHEREAS, OWNER and CITY are entering into this Agreement to set forth the terms and conditions under which sewer services shall be extended and sized; and WHEREAS, on December 16, 2002, the OWNER agreed to provide right-of--way and accommodate stormwater for the South Clermont Connector; and WHEREAS, the Comprehensive Plan and Zoning of the property allows for 196 units; and WHEREAS, Lake County approved the Planned Unit Development (PUD) from Lake County R-1 and R-6 on July 27, 2004 for 162 single-family units to allow the OWNER to provide the right-of--way and stormwater; and WHEREAS, on February 23, 2005 based on the PUD, the preliminary plat was approved by Lake County; and CFF~ ?Oi4118Sti~1 GATE 11t3~:1f?i~iJ .lAhfES C:. WATY.INS~ LAKE C:UUFaTY i~2:57~ifi F'M GLEF:K. OF C:OU6'T 'r~:EC:D6:GIF~G FEES ~?.ci} WHEREAS, the property is in the Clermont 180 Utility District for wastewater . and Lake Utilities service area for water. NOW THEREFORE, in consideration of the mutual promises and covenants hereinafter contained, the parties do hereby agree as follows: Section 1. OFF-SITE SEWER Each and all of the forgoing premises are incorporated into and constitute a part of this Agreement. a. Subject to the terms and conditions stated herein, CITY shall provide sewer service for the Property. b. OWNER shall connect to the existing City system at connection point or points approved by CITY. c. The route of any off site lines shall be according to engineering plans produced by OWNER and approved by the CITY. d. The OWNER shall construct the facilities, lines and appurtenances necessary to serve the development and provide such documentation necessary for the CITY to ascertain that the lines shall meet the minimum . line size requirements as specified by the CITY Land Development Regulations. e. In the event the CITY chooses to oversize the lines or appurtenances, the CITY shall provide to the OWNER the specifications regarding sizes to be included in the final improvements plans. f. The OWNER shall be responsible for the construction of all on site and off site lines and appurtenances to serve the project. OWNER agrees that except for the model units referred to herein, it will not apply for any building permits until such time as the property has been annexed into the City and further that no building permits shall be issued until sewer is provided to the site or until a bond or letter of credit, acceptable to CITY, is in place to guarantee completion of off-site improvements. No Certificate of Occupancy shall be issued until sewer extensions have been completed and accepted by the CITY. g. The OWNER shall be responsible for all costs of on site and off site improvements, including but not limited to design, material, permitting and installation of sufficient size lines, lift stations and other appurtenances necessary to allow the CITY to serve the Property. • h. The CITY shall be responsible for the difference in cost of materials to oversize the line if the CITY chooses to oversize based on plans and cost • estimates provided by OWNER to CITY, and approved in advance by the CITY. i. The OWNER shall provide to the CITY a cost estimate for materials for the minimum size lines and appurtenances and a cost estimate for materials for the approved oversize. Cost estimates shall be contractors bid as certified by OWNER'S project engineer. The CITY shall review and either approve or reject the costs. j. The OWNER and CITY shall agree on the cost difference, which will be the responsibility of the CITY, prior to commencement of construction. k. The OWNER shall be responsible for all costs including design, permitting, materials and construction of the sewer lines an appurtenances, both on site and off site, required to serve the Property, with reimbursement for the difference in costs as determined in Section i. From the CITY in the form of Impact Fee Credits. The Impact Fee Credits shall be established subject to Section i. and Section k., and at the time of issuance of each building permit by applying the then current impact fee, which shall be deducted from the Impact Fee Credit balance until credit is used. • m. Impact Fee Credits may not be transferred outside of the Property described on Exhibit "A" but may be assignable to any heirs, assigns or successors in interest or title to part or all of said Property. n. The OWNER shall be responsible for all applicable fees including but not limited to impact fees, connection fees and permitting fees. Section 2. DEVELOPMENT STANDARDS a. Land Use 1) The project shall be developed in accordance with the Lake County Land Development Regulations as per the preliminary plat approved on February 23, 2005, unless otherwise stipulated in the Agreement or subsequent amendments to this Agreement. b. Setbacks 1) The sixty-one foot (61') lots shall meet the following setbacks: Front 25' Side 7.5' Rear 25' (7.5' Accessory Structure) • Side Street 25' r1 U 2) The eight-one foot (81') lots shall meet the following setbacks: Front 30' Side 7.5' Side Street 25' Rear 25' (7.5' Accessory Structure) Utility Easement. The final plat shall include a five foot (5') utility easement along the front of all lots (i.e. along the internal road right-of--way) for purposes of utility infrastructure and maintenance. d. Grading. All lot grading shall conform to the City of Clermont, Land Development Regulations, with the exception of the stormwater management areas, which shall be as permitted with the St. Johns River Water Management District (SJRWMD). e. Model Homes. U The CITY shall allow OWNER to pull building permits for model homes prior to annexation of the Property. £ Covenant to Annex. OWNER agrees that CITY may annex the Property into the City of Clermont if CITY, in its sole discretion, chooses to do so. In conjunction herewith, OWNER shall provide to CIY a Notice of Encumbrance to Annex Property in a form substantially in compliance with the form set forth in Exhibit "C", attached hereto and incorporated herein. The CITY shall record this Notice in the Public Records of Lake County, Florida whereupon it is agreed it shall serve as an enforceable encumbrance on the real property described in Exhibit "A". The Notice of Encumbrance shall be executed by all owners of the real property described in Exhibit "A" and shall be accompanied, at OWNER'S expense, by a current certificate of title or opinion letter acceptable to CITY and issued by a licensed title company or attorney identifying all owners in interest of the real property. All land transfers by OWNER shall contain a deed restriction or covenant noting the existence of this encumbrance to annex, such restriction to be recorded as a covenant to run with the land. The CITY shall not exercise its right to annex the property until the platting process in completed in Lake County and the final plat has been recorded in the Public Records of Lake County, Florida. Section 3. SEVERABILITY • In the event that any provision of this agreement shall be held invalid or unenforceable, the provision shall be deleted from this agreement without affecting in any respect whatsoever the validity of the remainder of this agreement. Section 4. NOTICES All notices, demands, or other writings required to be given or made or sent in this Agreement, or which may be given or made or sent, by either party to the other, shall be deemed to have been fully given or made or sent when in writing and addressed as follows: CITY City of Clermont City Manager P.O. Box 120219 Clermont, FL 34712-0219 Section S. AMENDMENTS OWNER Colony Communities, Inc. Larry Godwin 1330 Palmetto Avenue Winter Park, FL 32789 Any amendment to this agreement is not effective unless the amendment is in writing and signed by all parties. Section 6. TERMINATION BY CITY In the event that the Clermont City Council does not finally approve, and/or funding is not available for, the construction and installation of the proposed South Lake Connector Wastewater Collection System, the CITY may unilaterally terminate this Agreement without consequence or risk of any kind. Section 7. EFFECTIVE DATE The effective date of this agreement shall be the day of execution of the agreement required hereunder. IN WITNESS WHEREOF, the parties hereto have made and executed this Agreement on the date listed below. CITY through its City Manager, authorized to execute same by City Council action, and OWNER throu it's President, Colony Communities, Inc. DATED this day of ~'~4.f u5 ~ 2005. CITY OF CLERMONT • .~ `., ~• ; :~- .. ~~ : _t f Mayor Approved as to for orney • Witnes es: ~ COLONY Print Name: ~,~~« U , S Robert . G It's President Print Name: -~h.z Swft~ c ~ c STATE OF FLORIDA COUNTY OF LAKE C. This is to certify that on this ~r~-' day of ~C.~~z--~-- , 2005, Before me, An officer duly authorized to take acknowledgements in the State and County aforesaid, personally appeared U (: " , -_.. He/She is personally know to me o has produced ~' as identification and did or did not take an Oath. HOLLY N. WHYE 6~ ' Notary Public -Stale of Florida • •~My Commissbn ExpFes Mar 6, 2009 =~" `~ ~ Commission # DO 370247 ,, tF ~i,~ ,o~•` Bonded By National Notary A. ~. ~) Signature Acknowledger ~'~ ~- (r'ti ~ ~;~~ Name~of Acknowledger Typed My Commission Expires IUD '37G`~(7 Commission Number • CF ha iii+185~?'? p, J; ii3i+?1 F'9s 1314 DATE : i i.f 3C+12~±+7 ,.JAt1E5 +. WATY.IhaSr LAKE i:OUhaTY • -- 13711 f3~95i +]2~`7:ib F'M CLEi;'Y~ J]F C:OU6:T RECORDING FEES 27.1.+1+ Notice of Encumbrance To Annex to City of Clermont City of Clermont City Manager 685 W. Montrose Street Clermont, FL 34712 THIS INSTRUMENT, made this day of ~S , 2005, between Colony Communities, Inc. of the County of Lake State of Flo 'da Grantor, and the CITY OF CLERMONT, FLORIDA, a municipal corporation, Grantee: WITNESSETH, NOTICE is given that heretofore or contemporaneously herewith Grantor has petitioned the Grantee for it to permit voluntary annexation of Grantor's property below described into the corporate limits of the City of Clermont, and GRANTOR, for and in consideration of the sum of ONE and 00/100 ($1.00) and • other. good and valuable consideration to Grantor in hand paid by Grantee, the receipt whereof is hereby acknowledged, DOES HEREBY ENCUMBER the below-described real property situate, lying and being in Lake County, Florida with the absolute requirement that the subject real property may be, at the sole discretion, and upon request of Grantee, annexed into the city limits of the City of Clermont at such time that the annexation of said real properly is in accordance with applicable law; and GRANTOR, further agrees, on his/hers/heirs/its own behalf and that of Grantors' heirs and assigns to perform all ministerial functions necessary of the Grantor or Grantor's heirs and/or assigns (as the case may be) then required by law to enable the described real property to be incorporated into the city limits of the City of Clermont and where such ministerial functions consist of simple written request or the renewal of the petition of which is given above, then this instrument shall be considered such request and/or renewal. The subject property is described as: SEE ATTACHED EXHIBIT "A" GRANTOR, is used for singular or plural, as the context requires. IN WITNESS THEREOF, GRANTOR has hereunto set Grantor's hand and seal the day and year first above written. ~ C'I_t~~K'_~~ :~~ -- ;. L I~~~~~~w~ , ~L • • W COLONY CO Robert H. Go It's President ,. , Print Name: pr1~ Sw-rc'KC,c.~ Name: ~manc/~, f~. S STATE OF FLORIDA COUNTY OF LAKE INC. This is to certify that on this ~¢~ day of ~ L%"!- , 2005, Before me, An officer duly authorized to take acknowledgements in the State and County aforesaid, personally appeared ~~ t~.,t r -E7~ w-,...- , He/She is oersona~ know, to me o has produced n r n (/~,o7~r, w~- as identification and did or did not take an Oath. Signatu of Awl owledger U ~ HOILY N. WHYE _? , ` ~, ~+ N NNA~P~~blic -State of Florida ~ ' + : ' : N~ ~ffr~is~.sion E~ies Mar 6, 2009 =s ~ ` "' '9I p Commission # DD 370247 ~~' ~ °~~~ `"'~ Bonded By National NofaryAs: i. Godwin.SewerAGreement.Clermont ~~~w N ~ti~~~~~~ Na ~ of A knc owledger Typed M Commission Ex fires Commission Number ~~ ~J EXHIBIT "A" • Legal Description: KEY - 1462347 MONTE VISTA PARK FARMS 6-23-26 TRACTS 33, 34-LESS FROM NE COR OF SE '/4 RUNS 0-31-11 W 15 FT FOR POB, CONT S 0-31-11 W 85 FT, N 89-20-52 W 342.34 FT, N 88-20-25 W 976.34 FT TOWLINE OF TRACT 34, N 0-36-50 E 56.01 FT, S 89-51-41 E 1318.42 FT TO POB FOR RD R/W-PB 2 PG 27 ORB 2701 PG 2142 KEY - 1462355 MONTE VISTA PARK FARMS 6-23-26, TRACTS 47, 48, 49, 50, 40 AC PB 2 PG 27 ORB 2701 PG 2142 KEY - 1728509 MONTE VISTA PARK FARMS 6-23-26, TRACTS 63, 64 PB 2 PG 27 ORB 2701 PG 2142 • n U lflilll {{1f111{ 1111 { {l1 {111111 {Ii;1131111IMIU 1Illlilt + FPI 200415:5103 027U1 P95 2142 — 143s DATE 11/1 `._ iHt1ES + . hlf�Tt'':.Il r CLERK OF c:CJUt~:i 1..A1.E CDLI Y p.FC:Of'DIKG3 FEES 18.50 Prepared by and return to DEED DOC 16 • Stephen G. Watts Attorney at Law Stephen G. Watts, P.A. 606 Druid Road East Clearwater, FL 33756 727- 461 -3232 File Number: 04 -106 Will Call No.: 495 [Space Above This Line For Recording Data] Trustee's Deed This Trustee's Deed made this 5th day of November, 2004 between Karen Jaffe McGuire as Trustee(s) of the Karen Jaffe McGuire Trust under Agreement dated December 30, 1991 with full power and authority to protect, conserve and to sell, lease, encumber or otherwise manage and dispose of the real property whose post office address is PO Box 46348, St. Petersburg, FL 33741, grantor, and Colony Communities, a Florida general partnership whose post office address is 1330 Palmetto Avenue, Winter Park, FL 32789, grantee: (Whenever used herein the terms grantor and grantee include all the parties to this instrument and the heirs, legal representatives, and assigns of individuals, and the successors and assigns of corporations, trusts and trustees) Witnesseth, that said grantor, for and in consideration of the sum TEN AND NO /100 DOLLARS ($10.00) and other good and valuable considerations to said grantor in hand paid by said grantee, the receipt whereof is hereby acknowledged, has granted, bargained, and sold to the said grantee, and grantees heirs and assigns forever, the following described land, situate, • lying and being in Lake County, Florida, to -wit: TRACTS 33, 34, 47, 48, 49, 50, 63 and 64, LESS that part of Tracts 33 and 34 deeded to Lake County in Official Records Book 2592, Page 1751, MONTE VISTA PARK FARMS, according to the plat thereof, recorded in Plat Book 2, Page 27, of the Public Records of Lake County, Florida, in Section 6, Township 23 South, Range 26 East. Parcel Identifications Number(s): 1323250500- 033 -00000 132325350 -047 -00000 1323250500- 063 -00000 The Grantee, as trustee, has the full power and authority to protect, conserve, sell, convey, lease, encumber, and to otherwise manage and dispose of said real property pursuant to F.S. 689.071. Together with all the tenements, hereditaments and appurtenances thereto belonging or in anywise appertaining. To Have and to Hold the same in fee simple forever. And the grantor hereby covenants with said grantee that the grantor is lawfully seized of said land in fee simple; that the grantor has good right and lawful authority to sell and convey said land; that the grantor hereby fully warrants the title to said land and will defend the same against the lawful claims of all persons. In Witness Whereof grantor has hereunto set grantor's hand and seal the day and year first above written. • DoubleTimee .• • • • Signed, se ed delivered in our presence: Witnes e: _ ____!~ W' ess Name: ~ x •~~ Cam/ Karen Jaffe c uu-e, Trustee State of Florida in her capacity County of Pinellas as Trustee The foregoing instrument was acknowledged before me this 29th day of~ct 'er 2004 by Karen Jaffe McGuire,~who [X] is personally known or L] has produced a driver's license as identification. i [Notary Seal] Not lic ~,.••'r'P~, Stephen G. Watts .~: P nted Name: `aeti~ =Commission # DDI44519 s- Frnirae. Eno ?{ 9fVfG ~~'~u~ R•~•` Aetantk Bor~dlnp Co., Ine. My Commission Expires: Trustee's Deed -Page 2 DoubleTime® AMERICAN LAND TITLE ASS POLICY NO. OWNER'S POLICY 10 -17 -92 (Florida Modified) OWNER'S POLICY OF TITLE INSURANCE OP -9 -1495 -236 ISSUED BY AMERICAN PIONEER TITLE INSURANCE COMPANY SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE CONTAINED IN SCHEDULE B AND THE CONDITIONS AND STIPULATIONS, AMERICAN PIONEER TITLE INSURANCE COMPANY, a Florida corporation, herein called the Company, insures, as of Date of Policy shown in Schedule A, against loss or damage, not exceeding the Amount of Insurance stated in Schedule A, sustained or incurred by the insured by reason of. Title to the estate or interest described in Schedule A being vested other than as stated therein; 2. Any defect in or lien or encumbrance on the title; 3. Unmarketability of the title; 4. Lack of a right of access to and from the land. The Company will also pay the costs, attorneys' fees and expenses incurred in defense of the title, as insured, but only to the extent provided in the Conditions and Stipulations. IN WITNESS WHEREOF, AMERICAN PIONEER TITLE INSURANCE COMPANY has caused this policy to be signed and sealed as of the Date of Policy shown in Schedule A, the policy to become valid when countersigned by an authorized signatory. Issued by AMERICAN PIONEER TITLE INSURANCE COMPANY Il e o � � i�cit �wi �. V ^: Stephen G. Watts, P. A : E SEAL o By. president "y ;s 809 Druid Road " ". r� , . a ,,,o...: �. o ° f Clearwater, FL 33756 1 L f Attest: Secretary i e ' - .< '"- +'.. :s�'ii ^ = =� "t� ':",°" -'s• `�.{ne:.Y;. s..vFi:�3� 1_,�'.�'' . i;.:nx...�: OP -9 EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage of this policy and the Company will not pay loss or damage, costs, attorneys' fees or expenses which arise by reason of: 1. (a) Any law, ordinance or governmental regulation (including but not limited to building and zoning laws, ordinances, or regulations) restricting, regulating, prohibiting or relating to (i) the occupancy, use, or enjoyment of the land; (ii) the character, dimensions or location of any improvement now or hereafter erected on the land, (iii) a separation in ownership or a change in the dimensions or area of the land or any parcel of which the land is or was a part; or (iv) environmental protection, or the effect of any violation of these laws, ordinances or governmental regulations, except to the extent that a notice of the enforcement thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. ny governmental police power not excluded by (a) above, except to the extent that a notice of the exercise thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. 2. Rights of eminent domain unless notice of the exercise thereof has been recorded in the public records at Date of Policy, but not excluding from coverage any taking which has occurred prior to Date of Policy which would be binding on the rights of a purchaser for value without knowledge. 3. Defects, liens, encumbrances, adverse claims or other matters: (a) created, suffered, assumed or agreed to by the insured claimant, (b) not known to the Company, not recorded in the public records at Date of Policy, but known to the insured claimant and not disclosed in writing to the Company by the insured claimant prior to the date the insured claimant became an insured under this policy, (c) resulting in no loss or damage to the insured claimant; (d) attaching or created subsequent to Date of Policy; or (e) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the estate or interest insured by this policy. 4. Any claim, which arises out of the transaction vesting in the Insured the estate or interest insured by this policy, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws, that is based on: (a) the transaction creating the estate or interest insured by this policy being deemed a fraudulent conveyance or fraudulent transfer; or (b) the transaction creating the estate or interest insured by this policy being deemed a preferential transfer except where the preferential transfer results from the failure: (i) to timely record the instrument of transfer, or (ii) of such recordation to impart notice to a purchaser for value or a judgment or lien creditor. CONDITIONS AND STIPULATIONS 1. DEFINITION OF TERMS The following terms when used in this policy mean (a) "insured ": the insured named in Schedule A, and, subject to any rights or defenses the Company would have had against the named insured, those who succeed to the interest of the named insured by operation of law as distinguished from purchase including, but not limited to, heirs, distributees, devisees, survivors, personal representatives, next of kin, or corporate or fiduciary successors. (b) "insured claimant ": an insured claiming loss or damage. (c) "knowledge" or "known ": actual knowledge, not constructive knowledge or notice which may be imputed to an insured by reason of the public records as med in this policy or any other records which impart constructive notice of matters ling the land. (d) "land ": the land described or referred to in Schedule [A), and improvements affixed thereto which by law constitute real property. The term "land" does not include any property beyond the lines of the area described or referred to in Schedule [A], nor any right, title, interest, estate or easement in abutting streets, roads, avenues, alleys, lanes, ways or waterways, but nothing herein shall modify or limit the extent to which a right of access to and from the land is insured by this policy. (e) "mortgage ": mortgage, deed of trust, trust deed, or other security instrument (f) "public records ": records established under state statutes at Date of Policy for the purpose of imparting constructive notice of matters relating to real property to purchasers for value and without knowledge. With respect to Section 1(a)(iv) of the Exclusions From Coverage, "public records" shall also include environmental protection liens filed in the records of the clerk of the United States district court for the district in which the land is located. (g) "unmarketability of the title ": an alleged or apparent matter affecting the title to the land, not excluded or excepted from coverage, which would entitle a purchaser of the estate or interest described in Schedule A to be released from the obligation to purchase by virtue of a contractual condition requiring the delivery of marketable title. 2. CONTINUATION OF INSURANCE AFTER CONVEYANCE OF TITLE The coverage of this policy shall continue in force as of Date of Policy in favor of an insured only so long as the insured retains an estate or interest in the land, or holds an indebtedness secured by a purchase money mortgage given by a purchaser from the insured, or only so long as the insured shall have liability by reason of covenants of warranty made by the insured in any transfer or conveyance of the estate or interest. This policy shall not continue in force in favor of any purchaser from the insured of either (i) an estate or interest in the land, or (ii) an indebtedness secured by a purchase money mortgage given to the insured. 3. NOTICE OF CLAIM TO BE GIVEN BY INSURED CLAIMANT The insured shall notify the Company promptly in writing (i) in case of any litigation as set forth in Section 4(a) below, (ii) in case knowledge shall come to an insured hereunder of any claim of title or interest which is adverse to the title to the estate or interest, as insured, and which might cause loss or damage for which the Company y be liable by virtue of this policy, or (iii) if He to the estate or interest, as ured, is rejected as unmarketable. If prompt notice shall not be given to the ompany, then as to the insured all liability of the Company shall terminate with regard to the matter or matters for which prompt notice is required; provided, however, that failure to notify the Company shall in no case prejudice the rights of any insured under this policy unless the Company shall be prejudiced by the failure and then only to the extent of the prejudice. 4. DEFENSE AND PROSECUTION OF ACTIONS; DUTY OF INSURED CLAIMANT TO COOPERATE (a) Upon written request by the insured and subject to the options contained in Section 6 of these Conditions and Stipulations, the Company, at its own cost and without unreasonable delay, shall provide for the defense of an insured in litigation in which any third party asserts a claim adverse to the title or interest as insured, but only as to those stated causes of action alleging a defect, lien or encumbrance or other matter insured against by this policy. The Company shall have the right to select counsel of its choice (subject to the right of the insured to object for reasonable cause) to represent the insured as to those stated causes of action and shall not be liable for and will not pay the fees of any other counsel. The Company will not pay any fees, costs or expenses incurred by the insured in the defense of those causes of action which allege matters not insured against by this policy. (b) The Company shall have the right, at its own cost, to institute and prosecute any action or proceeding or to do any other act which in its opinion may be necessary or desirable to establish the fitie to the estate or interest, as insured, or to prevent or reduce loss or damage to the insured. The Company may take any appropriate action under the terms of this policy, whether or not it shall be liable hereunder, and shall not thereby concede liability or waive any provision of this policy. If the Company shall exercise its rights under this paragraph, it shall do so diligently. (c) Whenever the Company shall have brought an action or interposed a defense as required or permitted by the provisions of this policy, the Company may pursue any litigation to final determination by a court of competent jurisdiction and expressly reserves the right, in its sole discretion, to appeal from any adverse judgment or order. (d) In all cases where this policy permits or requires the Company to prosecute or provide for the defense of any action or proceeding, the insured shall secure to the Company the right to so prosecute or provide defense in the action or proceeding, and all appeals therein, and permit the Company to use, at its option, the name of the insured for this purpose. Whenever requested by the Company, the insured, at the Company's expense, shall give the Company all reasonable aid (i) in any action or proceeding, securing evidence, obtaining witnesses, prosecuting or defending the action or proceeding, or effecting settlement, and (ii) in any other lawful act which in the opinion of the, Company may be necessary or desirable to establish the title to the estate or interest as insured. If the Company is prejudiced by the failure of the insured to furnish the required cooperation, the Company's obligations to the insured under the policy shall terminate, including any liability or obligation to defend, prosecute, or continue any litigation, with regard to the matter or matters requiring such cooperation. 5. PROOF OF LOSS OR DAMAGE In addition to and after the notices required under Section 3 of these Conditions and Stipulations have been provided the Company, a proof of loss or damage signed and sworn to by the insured claimant shall be furnished to the Company within 90 days after the insured claimant shall ascertain the facts giving rise to the loss or damage. The proof of loss or damage shall describe the defect in, or lien or encumbrance on the title, or other matter insured against by this policy which constitutes the basis of loss or damage and shall state, to the extent possible, the basis of calculating the amount of the loss or damage. If the Company is prejudiced by the failure of the insured claimant to provide the required proof of loss or damage, the Company's obligations to the insured under the policy shall terminate, including any liability or obligation to defend, prosecute, or continue any litigation, with regard to the matter or matters requiring such proof of loss or damage. OWNER'S FORM • State: FL County: Lake Schedule A Agent/Branch #: 1495 * 04 -196 File Number Policy Number Effective Date Effective Time Amount of Policy 6055 *04 -12811 OP -9- 1495 -236 November 19, 2004 02:51:23 P.M. $2,336,600.00 Commitment#: CM -1- 1495 -318 Simultaneous #: Reinsurance #: 1. Name of Insured: COLONY COMMUNITIES, INC., a Florida general partnership 2. The estate or interest in the land described herein and which is covered by this policy is: FEE SIMPLE 3. The estate or interest referred to herein is at Date of Policy vested in the insured. 4. The land referred to herein is described as follows: TRACTS 33, 34, 47, 48, 49, 50, 63 and 64, LESS that part of Tracts 33 and 34 deeded to Lake County in Official Records Book 2592, Page 1751, MONTE VISTA PARK FARMS, according to the plat thereof, recorded in Plat Book 2, Page 27, of the Public Records of Lake County, Florida, in Section 6, Township 23 South, Range 26 East. r1 LJ Issued By: 1495 *04196 STEPHEN G. WATTS, P.A. 606 DRUID ROAD CLEARWATER, FL 33756 Note: This Policy consists of insert pages labeled Schedule A and B. This policy is of no force and effect unless all pages are included along with any added pages incorporated by reference. OWNER'S FORM Schedule B • This policy does not insure against loss or damage by reason of the following exceptions: 1. Rights or claims of parties in possession not shown by the Public Records. 2. Encroachments, overlaps, boundary lines disputes, and other matters which would be disclosed by an accurate survey and inspection of the premises. 3. Easements or claims of easements not shown by the Public Records. 4. Taxes or special assessments which are not shown as existing liens by the public records. 5. Taxes and assessments for the year 2003 and subsequent years, which are not yet due and payable. * * * The following items, as listed above are hereby deleted: NONE * * * 6. Right -of -Way Easement recorded in Official Records Book 274, Page 808, of the Public Records of Lake County, Florida.(as to Tracts 63 and 64) 7. Reservations to the Trustees of the Internal Improvement Fund of the State of Florida as contained in that certain instrument recorded in Deed Book 209, Page 546, of the Public Records of Lake County, Florida. NOTE: Reserving an easement for State Road Right of Way 200 feet • wide.(as to Tracts 47 and 48) 8. Restrictions, reservations and easements as indicated and/or shown on that certain Plat recorded in Plat Book 2, Page 27, of the Public Records of Lake County, Florida. ( Plat show's roads are private roads. ) 9. Temporary Non - Exclusive Construction Easement Deed and Perpetual Grading Easement recorded in Official Records Book 2592, Page 1755, of the Public Records of Lake County, Florida. Mote: This Policy consists of insert pages labeled Schedule A and B. This policy is of no force and effect unless all pages are ncluded along with any added pages incorporated by reference. Page 2 Policy #: OP -9- 1495 -236 Plant File #: 04 -12811 Order #: 04 -196 Agency or Branch ID #: 1495 Agency or Branch File #: 04 -196 Lender's File #: :1 EN -1 GENERAL ENDORSEMENT • Endorsement No. l (Sequential Numbering, i.e. 1,2,3) which is attached to and made a part of Owners Policy No. OP -9- 1495 -236 Issued By AMERICAN PIONEER TITLE INSURANCE COMPANY In recognition of the change of name of American Pioneer Title Insurance Company this Policy is hereby amended as follows: All references made to American Pioneer Title Insurance Company, in the Policy jacket, Policy schedules, and any endorsements issued thereto, (if any), are hereby amended to read: Ticor Title Insurance Company of Florida Except for the above, all matters setforth therein shall remain unchanged. This endorsement is made a part of the policy or commitment and is subject to all the terms and provisions thereof and of any prior endorsements thereto. Except to the extent expressly stated, it neither modifies any of the terms and provisions of the policy or commitment and prior endorsements, if any, nor does it extend the effective date of the policy or commitment and prior endorsements or increase the face amount thereof. AMERICAN PIONEER TITLE COMPANY By: W. 44A4; President Attest: Secretary INSURANCEDated 19th Day of November, 2004 Issued By: 1495 * 04 -196 STEPHEN G. WATTS, P.A. sE�1t ".1-0 LEI jDV / TT � F56 Signatory Note: This endorsement shall not be valid or binding until countersigned by an authorized signatory. EN -1 (4/00) General Endorsement CONDITIONS AND STIPULATIONS -CONTINUED In addition, the insured claimant may reasonably be required to submit to examination under oath by any authorized representative of the Company and shall produce for examination, inspection and copying, at such reasonable times and places as may be designated by any authorized representative of the Company, all records, books, ledgers, checks, correspondence and memoranda, whether bearing a date before or after Date of Policy, which reasonably pertain to the loss or damage. Further, if requested by any authorized representative of the Company, the insured claimant shall grant its permission, in writing, for any authorized representative of the Company to examine, inspect and copy all records, tx~oks, ledgers, checks, correspondence and memoranda in the custody or control of a third party, which reasonably pertain to the loss or damage. All information designated as confidential by the insured claimant provided to the Company pursuant to this Section shall not be disclosed to others unless, in the reasonable judgment of the Company, it is necessary in the administration of the claim. Failure of the insured claimant to submit for examination under oath, produce other reasonably requested information or grant permission to secure reasonably necessary information from third parties as required in this paragraph shall terminate any liability of the Company under this policy as to that claim. 6. OPTIONS TO PAY OR OTHERWISE SETTLE CLAIMS; TERMINATION OF LIABILITY In case of a claim under this policy, the Company shall have the following additional options: (a) To Pay or Tender Payment of the Amount of Insurance. To pay or tender payment of the amount of insurance under this policy together with any costs, attorneys' fees and expenses incurred by the insured claimant, which were authorized by the Company, up to the time of payment or tender of payment and which the Company is obligated to pay. Upon the exercise by the Company of this option, all liability and obligations to the insured under this policy, other than to make the payment required, shall terminate, including any liability or obligation to defend, prosecute, or continue any litigation, and the policy shall be surrendered to the Company for cancellation. (b} To Pay or Otherwise Settle With Parties Other than the Insured or With the Insured Claimant. (i) to pay or otherwise settle with other parties for or in the name of an insured claimant any claim insured against under this policy, together with any costs, attorneys' fees and expenses incurred by the insured claimant which were authorized by the Company up to the time of payment and which the Company is obligated • to Pay; or (ii) to pay or otherwise settle with the insured claimant the loss or damage provided for under this policy, together with any costs, attorneys' fees and expenses incurred by the insured claimant which were authorized by the Company up to the time of payment and which the Company is obligated to pay. Upon the exercise by the Company of either of the options provided for in paragraphs (b)(i) or (ii), the Company's obligations to the insured under this policy for the claimed loss or damage, other than the payments required to be made, shall terminate, including any liability w obligation to defend, prosecute or continue any litigation. 7. DETERMINATION, EXTENT OF LIABILITY AND COINSURANCE This policy is a contract of indemnity against actual monetary loss or damage sustained or incurred by the. insured claimant who has suffered loss or damage by reason of matters insured against by this policy and only to the extent herein described. (a) The liability of the Company under this policy shall not exceed the least of (i) the Amount of Insurance stated in Schedule A; or, (ii) the difference between the value of the insured estate or interest as insured and the value of the insured estate or interest subject to the defect, lien or encumbrance insured against by this policy. (b) (This paragraph dealing wrth Coinsurance was removed from Florida policies.) (c) The Company will pay only those costs, attorneys' fees and expenses incurred in accordance with Section 4 of these Conditions and Stipulations. 9. LIMITATION OF LIABILITY (a) If the Company establishes the title, or removes the alleged defect, Tien or encumbrance, or cures the lack of a right of access to or from the land, or cures the claim of unmarketability of title, all as insured, in a reasonably diligent manner by any method, including litigation and the completion of any appeals therefrom, it shall have fully performed its obligations with respect to that matter and shall not be liable for any loss or damage caused thereby. (b) In the event of any litigation, including litigation by the Company or with the Company's consent, the Company shall have no liability for loss or damage until there has been a final determination by a court of competent jurisdiction, and disposition of all appeals therefrom, adverse to the titre as insured. (c) The Company shall not be liable for loss or damage to any insured for liability voluntarily assumed by the insured in settling any claim or suit without the prior written consent of the Company. 10. REDUCTION OF INSURANCE; REDUCTION OR TERMINATION OF LIABILITY All payments under this policy, except payments made for costs, attorneys' fees and expenses, shall reduce the amount of the insurance pro tanto. 11. LIABILITY NONCUMULATIVE tt is expressly understood that the amount of insurance under this policy shall be reduced by any amount the Company may pay under any policy insuring a mortgage to which exception is taken in Schedule B or to which the insured has agreed, assumed, or taken subject, or which is hereafter executed by an insured and which is a charge or lien on the estate or interest described or referred to in Schedule A, and the amount so paid shall be deemed a payment under this policy to the insured owner. 12. PAYMENT OF LOSS (a) No payment shall be made without producing this policy for endorsement of the payment unless the policy has been lost or destroyed, in which case proof of loss or destruction shall be furnished to the satisfaction of the Company. (b) When liability and the extent of loss or damage has been definitely fixed in accordance with these Conditions and Stipulations, the loss or damage shall be payable within 30 days thereafter. 13. SUBROGATION UPON PAYMENT OR SETTLEMENT (a) The Company's Right of Subrogation. Whenever the Company shall have settled and paid a claim under this policy, aft right of subrogation shall vest in the Company unaffected by any act of the insured claimant The Company shall be subrogated to and be eniftled to all rights and remedies which the insured claimant would have had against any person or property in respect to the claim had this policy not been issued. ff requested by the Company, the insured claimant shall transfer to the Company all rights and remedies against any person or property necessary in order to perfect this right of subrogation. The insured claimant shall permft the Company to sue, compromise or settle in the name of the insured claimant and to use the name of the insured claimant in any transaction or litigation involving these rights or remedies. If a payment on account of a claim does not fully cover the loss of the insured claimant, the Company shall be subrogated to these rights and remedies in the proportion which the Company's payment bears to the whole amount of the loss. If loss should result from any act of the insured claimant, as stated above, that act shall not void this policy. but the Company, in that event, shall be required to pay only that part of any losses insured against by this policy which shall exceed the amount, rf any, lost to the Company by reason of the impairment by the insured claimant of the Company's right of subrogation. (b) The Company's Rights Against Non-insured Obligors. The Company's right of subrogation against non-insured obligors shall exist and shall include, without limitation, the rights of the insured to indemnfies, guaranties, other policies of insurance or bonds, notwAhstanding any terms or conditions contained in those instruments which provide for subrogation rights by reason of this policy. 14. ARBITRATION B. APPORTIONMENT If the land described in Schedule [A] consists of two or more parcels which are not used as a single site, and a toss is established affecting one or more of the parcels but not all, the loss shall be computed and settled on a pro rata basis as if the amount of insurance under this policy was divided pro rata as to the value on Date of Policy of each separate parcel to the whole, exclusive of any improvements made subsequent to Date of Policy, unless a liability or value has otherwise been agreed upon as to each parcel by the Company and the insured at the time of the issuance of Cris policy and shown by an express statement • or by an endorsement attached to this policy. (This paragraph was modified ror Florida policies.) Unless prohibited by applicable law, arbitration pursuant ro the Title Insurance Arbitration Rules of the American Arbitration Association may be demanded if agreed ro by both Company and the insured. Arbitrable matters may include, but are not limited % any controversy or claim between Company and the insured arising out of or relafing ro this policy, and service of Company in connection with its issuance or the breach o/ a policy provision or other obligation. Arbitration pursuant to this policy and under the Rules in effect on the date the demand for arbihation is made or, at the option of the insured, die Rules in effect at Date r~ ~~ • ~ .,,, . • .~_- --.. ~. a .:. •-~ • : ~' • . -,, ._,... ~ .F .. _a. , ~, .:.;~~.,.. ~ _ :. ;~s .f ~ ~ ~ ~ 4a ~~ ~ U U ~ o v~i n b ~ ~ J z CV u" ~, C ~ ~ U ~ ~ ~ O ~ ~ j 'y a3 ~ ~ ~ O ""' N _ ~ az v `~ ~-+ ~ H ~ ~ ~ ~ a ~ ~ ~ U E~ :e ~. ±r.~ ::-'~^•°p!+'~!w~= ::° . ® :."-~'~--^-~_~. '-^-~. ®: .y,.` _ ~ ~` `' _ _.~. .. _ ' _ _, ~ `,~yy~,w4i., ~ • _ ~.... .-ti ` ~ ..,."t~~•wly:,y~l.:•~ ~ or.. 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