On Monday, Feb. 14, the City Council terminated a long-standing maintenance agreement for the so-called Bixby Development area. The council also approved an easement agreement. Seal Beach had a maintenance agreement the current owners of the so-called Bixby Development area.
The agreement began in 1987, according to this week’s staff report by Iris Lee, city engineer and deputy director of Public Works.
“As the Maintenance Agreement runs with the land, the ‘Owners’ of the land are TERRA FUNDING – BIXBY RANCH, LLC (‘Ground Lessor’) and PCPI BIXBY, LP (‘Ground Lessee”). For the purposes of this report, the Owners will also be referred to as ‘Bixby’,” Lee wrote.
“The Bixby Development was comprised of seven (7) parcels. Parcels 1 through 5 generally consist of the commercial developments along both sides of Old Ranch Parkway, Parcel 6 is generally the Old Ranch Parkway roadway, and Parcel 7 was deeded to the State of California for use with the SR-22 on-ramp,” Lee wrote.
“For many years, there has been confusion about the ownership of Parcel 6, and the obligations of the parties,” Lee wrote.
“As the circumstances and uses of the parcels have significantly changed since the Maintenance Agreement was approved, it has become obsolete and the parties agree that it is desirable to enter into a new agreement to define each party’s current and ongoing maintenance obligations, as well as clarify the ownership of Parcel 6. The Agreement Regarding Ongoing Maintenance is memorializing each party’s maintenance activities that are already in place,” Lee wrote.
“The Bixby Development is located on both sides of Old Ranch Parkway where there are existing utilities serving the Development crossing under Old Ranch Parkway. In order to document these facilities, it is recommended that the City grants Bixby a non-exclusive easement. This easement would allow Bixby to maintain their improvements within the specified easement area, and make the parties’ obligations regarding Old Ranch more clear,” Lee wrote.
