Ord 2008-016 - Laserfiche WebLink

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OPTION AND LETTER AGREEMENT Hillert Ranch Development Project This Optio!kand Letter Agreement (the "Agreement ") is made effective as of this _ 4-- day of VerA t g— , 2006, by and between dames K Smith and wife, Sherry Lynn Smith ("Grantor") and Rick Anderson ("Grantee "). WHEREAS, Grantor is the owner of certain real property through which Grantee desires the option to secure a wastewater line easement for the benefit of the City of San Marcos, which easement would allow Grantee to extend wastewater service from an existing City of San Marcos wastewater facility to certain real property owned by Grantee known as "Hillert Ranch "; WHEREAS, Grantor has agreed, as shown by signature affixed thereon, to grant an option to Grantee to acquire a Wastewater Pipeline Easement in the form attached hereto (referred to hereinafter as the "Conveyance "), and WHEREAS, the parties desire to set forth their agreement with respect to compensation due Grantor for the Conveyance and damages to the Grantor's remaining property in the event that Grantee elects to exersize its option to acquire the Conveyance; NOW TEIEREFORE, for good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties hereto agree as follows: 1) Grantor hereby grants to Grantee an irrevocable option to acquire the Conveyance in the form attached hereto. Grantee must exercise the option on or before March 1�, 2007. If Grantee fails to exercise the option by said date, then this Agreement and Grantee's option to acquire the Conveyance shall terminate for all purposes; 2) In the event Grantee exercises the option granted herein, Grantee shall provide payment in cash or other immediately available funds to Grantee as full payment for the Conveyance, the sum of $10.00. Said payment shall be made by Grantee to Grantor with written notification by Grantee that it is exercising the option. Grantor agrees that upon receipt of said funds that the attached Conveyance will be filed of record by Grantee; 3) In the event Grantee exercises the option granted hereunder, Grantee agrees (at no expense to Grantor) to oversize the gravity portion of the wastewater lure to a sufficient size to handle anticipated development of the entire wastewater drainage basin in which the gravity line is constructed based on the existing City of San Marcos Future Development Plan. it is understood and agreed by all parties that the future Development Plan includes a low - residential use for the subject drainage area with a maximum density of 6 living units per acre;