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R-10432City Council Meeting: 10/27/2009 Santa Monica, California RESOLUTION NUMBERio43z (ccs) (City Council Series) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AUTHORIZING THE CITY MANAGER TO EXECUTE A HISTORICAL PROPERTY CONTRACT IN ACCORDANCE WITH GOVERNMENT CODE SECTION 50280 WITH THE OWNER OF THE PROPERTY LOCATED AT 405 PALISADES AVENUE IN SANTA MONICA WHEREAS, Government Code Sections 50280 et sec. authorizes a city to enter into a historical property contract with the owner of any qualified historical property to restrict the use of such property so that it retains its historically significant characteristics in return for which the property owner obtains property tax relief; and WHEREAS, Santa Monica Municipal Code Section 9.36.270(g) provides that designated structures of merit, landmarks, and contributing structures located in historic districts that are privately owned shall be considered qualified historical properties eligible to enter into historical property contracts with the City upon resolution by the City Council; and WHEREAS, the property located at 405 Palisades Avenue is a designated City Landmark and the owner of the property has filed an application to enter into a historical property contract with the City; and WHEREAS, the Landmarks Commission reviewed the owner s application at its September 14, 2009 meeting and directed City Staff to forward a recommendation to the City Council in support of the application; and WHEREAS, the City Council has determined that it is appropriate for the City to enter into a historical property contract with the owner of the property located 405 Palisades Avenue. NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. Pursuant to Santa Monica Municipal Code Section 9.36.270(g), the City Council authorizes the City Manager to enter into a historical property contract with the owner of the property located at 405 Palisades Avenue, Santa Monica, California in accordance with Government Code Sections 50280 et seq. SECTION 2. The City Clerk shall certify to the adoption of this Resolution, and thenceforth and thereafter the same shall be in full force and effect. APPROVED AS TO FORM: ~~ MAF~ HA JO S MOU 1E City rne~ F:\CITYPLANNING\SHARE\COUNCIL\MILLS ACT\2009\2009 MA RESOLUTION (405 PALISADES AVENUE).DOCX Recording Requested Bv: City of Santa Monica When Recorded Mail To: City of Santa Monica 1685 Main Street Santa Monica, California 90401 Attention: City Attorney No Recording Fee Required Government Code Section 27383 Contract No. _ (CCS) HISTORIC PROPERTY PRESERVATION AGREEMENT THIS AGREEMENT is made and entered in to this 27th day of October, 2009 by and between the City of Santa Monica, a municipal corporation (hereinafter referred to as the "City") and Scott Cohen (hereinafter referred to as the "Owner"). RECITALS: A. California Government Code Section 50280, et seq. authorizes cities, to enter into contracts with the owners of qualified historical property, as defined in Government Code Section 90280.1, to provide for the use, maintenance and restoration of such historical property so to retain its characteristics as property of historical significance; B. Owner possesses fee title to certain real property, together with associated structures and improvements thereon, located at 405 Palisades Avenue, Santa Monica, California, (hereinafter such property shall be referred to as the "Historic Property"). A legal description of the Historic Property is attached hereto, marked as Exhibit "A" and is incorporated herein by this reference; C. On July 13, 2009, the Landmarks Commission of the City of Santa Monica designated the Historic Property as a historic landmark pursuant to the terms and provisions of Santa Monica Municipal Code Chapter 9.36; and, D. On October 27, 2009 the City Council of the City of Santa Monica approved Resolution Number authorizing the execution of this Agreement between the City of Santa Monica and the property owner of 405 Palisades Avenue; and 1 E. City and Owner, for their mutual benefit, now desire to enter into this Agreement both to protect and preserve the characteristics of historical significance of the Historic Property and to qualify the Historic Property for an assessment of valuation pursuant to the Provisions of Chapter 3, of Part 2, of Division 1 of the California Revenue and Taxation Code. NOW, THEREFORE, City and Owner, in consideration of the mutual covenants and conditions set forth herein, do hereby agree as follows: 1. Effective Date and Term of Agreement. This Agreement shall be effective and commence on January 1, 2010 and shall remain in effect for a term of ten (10) years thereafter. Each year upon the anniversary of the effective date, such initial term will automatically be extended as provided in paragraph 2, below. 2. Renewal. Each year on the anniversary of the effective date of this Agreement (hereinafter referred to as the "renewal date"), a year shall automatically be added to the initial term of this Agreement unless notice of nonrenewal is mailed as provided herein. If either Owner or City desires in any year not to renew the Agreement, Owner or City shall serve written notice of nonrenewal of the Agreement on the other party in advance of the annual renewal date of the Agreement. Unless such notice is served by Owner to City at least ninety (90) days prior to the annual renewal date, or served by City to Owner at least sixty (60) days prior to the annual renewal date, one (1) year shall automatically be added to the term of the Agreement. Upon receipt by the Owner of a notice of nonrenewal, Owner may make a written protest of the notice of nonrenewal. At any time prior to the renewal date, the City may withdraw its notice to Owner of nonrenewal. If either City or Owner serves notice to the other of nonrenewal in any year, the Agreement shall remain in effect for the balance of the term then remaining, either from its original execution or from the last renewal of the Agreement, whichever may apply. 3. Standards for Historical Property. During the term of this Agreement, the. Historic Property shall be subject to the following conditions, requirements and restrictions: a. Owner shall preserve and maintain the Historic Property in accordance with the minimum standards and conditions for maintenance, use and preservation attached hereto as Exhibit "B", and incorporated herein by this reference. b. Owner shall make improvements to the Historic Property in accordance with the schedule of home improvements, drafted by the applicant and approved by the City Council, attached as Exhibit "C", and incorporated herein by this reference. c. In any restoration or rehabilitation of the property required by subsections (a) and. (b) of this Section 3, the Owner shall restore and rehabilitate the 2 property according to the rules and regulations of the Office of Historic Preservation of the State Department of Parks and Recreation, the United States Secretary of the Interior's Standards for Rehabilitation, the State Historical Building Code, and the City of Santa Monica to the extent applicable. d. Owner shall allow reasonable periodic examinations, by prior appointment, of the interior and exterior of the Historic Property by representatives of the County Assessor, State Department of Parks and Recreation, State Board of Equalization, and City, as may be necessary to determine owner's compliance with the terms and provisions of this Agreement. e. Before undertaking the property maintenance required by subsection (a) of this Section 3 and the home improvements required by subsection (b) of this Section 3, Owner shall obtain all necessary building and planning permits to the extent required by local law, including but not limited to, a Certificate of Appropriateness 4. Provision of Information of Compliance. Owner hereby agrees to furnish City with any and all information requested by the City which may be necessary or advisable to determine compliance with the terms and provisions of this Agreement on an annual basis. 5. Cancellation. City, following a duly. noticed public hearing as set forth in California Government Code Section 50285, may cancel this Agreement if it determines that Owner breached any of the conditions of this Agreement (including the obligation to restore or rehabilitate the property in the manner specified in subparagraph 3 (c) of this Agreement), or has allowed the property to deteriorate to the point that it no longer meets the standards for a qualified historic property set forth in Government Code Section 50280.1. In the event of cancellation, Owner may be subject to payment of cancellation fees set forth in California Government Code Section 50286. 6. Notice to Office of Historic Preservation. Within six (6) months of execution of this Agreement, the City shall send written .notice of this Agreement, including a copy hereof, to the State Office of Historic Preservation. 7. Enforcement of Agreement. In addition to the remedy provided in the cancellation provision of this Agreement, City may specifically enforce, or enjoin the breach of, the terms of this Agreement. The City does not waive any claim of Owner default if City does not enforce or cancel this Agreement. All other remedies at law or in equity which are not otherwise provided for in this Agreement or in Santa Monica Municipal Code Chapters 9.36 and 9.40 are available to the City to pursue in the event that there is a breach of this Agreement. No waiver by City of any breach or default under this Agreement shall be deemed to be a waiver of any subsequent breach or default. 3 8. Burden to Run With Property. The covenants and conditions herein contained shall apply to and bind the heirs, successors and assigns of all the parties hereto and shall run with and burden the subject property for the benefit of the surrounding landowners and the City of Santa Monica. Owner shall expressly make the conditions and covenants contained in this Agreement a part of any deed or other instrument conveying any interest in the property. 9. Notice. Any notice required to be given by the terms of this Agreement shall be provided at the address of the parties as specified below or at any other address as may be later specified by the parties. To City: City of Santa Monica 1685 Main Street, Room 212 Santa Monica, CA 90401 Attention: Department of Planning and Community Development To Owner: Scott Cohen 405 Palisades Avenue Santa Monica, CA 90402 10. No Joint Venture. None of the terms, provisions or conditions of this Agreement shall be deemed to create a partnership between the parties hereto and any of their heirs, successors or assigns, nor shall such terms, provisions or conditions cause them to be considered joint venturers or members of any joint enterprise. 11. Hold Harmless. As between the City and the Owner, the Owner is deemed to assume responsibility and liability for, and the Owner shall indemnify and hold harmless the City and its City Council, boards and commissions, officers, agents, servants or employees from and against any and all claims, loss, damage, charge or expense, whether direct or indirect, to which the City or its City Council, boards and commissions, officers, agents, servants or employees may be put or subjected, by reason of any damage, loss or injury of any kind or nature whatever to persons or property caused by or resulting from or in connection with any negligent act or action, or any neglect, omission or failure to act when under a duty to act, on the part of the Owner or any of its officers, agents, servants, employees or subcontractors in this or their performance hereunder. 12. Attorneys' Fees and Costs. In the event of any controversy, claim or dispute between the parties hereto, arising out of or relating to this Agreement or breach thereof, the prevailing party shall be entitled to recover from the losing party reasonable expenses, atorneys° fees and costs. 13. Severability. In the event any limitation, condition, restriction, covenant or ~t provision contained in this Agreement is held to be invalid, void or unenforceable by any court or competent jurisdiction, the remaining portions of this Agreement shall, nevertheless be and remain in full force and effect. 14. Applicable Law. All questions pertaining to the validity and interpretation of this Agreement shall be determined in accordance with the laws of California applicable to contracts made to and to be performed within the state. 15. Recordation. Within 20 days of execution, the parties shall cause this Agreement to be recorded in the official records of the County of Los Angeles. 16. Amendments. This Agreement may be amended, in whole or in part, only by a written recorded instrument executed by the parties hereto. 17. Sale or Conversion of Property. In the event of sale or conversion of the Historic Property, the Conditions, Covenants and Restrictions (C. C. & R.'s) for the Historic Property, if required, shall incorporate by reference all obligations and duties of the parties created by this Agreement. 18. Prohibition Against Discrimination. Owner agrees not to discriminate or impose any restrictions on the sale, lease, or occupancy of the Subject Property on the basis of sex, race, religion, ancestry, national origin, age, sexual preference, pregnancy, marital status, family composition, or the potential or actual occupancy of minor children. Owner further agrees to take affirmative action to ensure that no such person is discriminated against for any of the aforementioned reasons. IN WITNESS WHEREOF, City and Owner have caused this Agreement to be executed as of the day and year first written above. APPROVED AS TO FORM: CITY OF SANTA MONICA A Municipal Corporation, By: P. LAMONT EWELL City Manager OWNER: By: MARSHA JONES MOUTRIE SCOTT COHEN City Attorney 5 ATTEST: MARIA STEWART City Clerk STATE OF CALIFORNIA ) ss. COUNTY OF LOS ANGELES ) On 2009, before me, the undersigned, a Notary Public in and for said State, personally appeared personally known to me - OR -proven to me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity as property owner. WITNESS my hand and official seal. SEAL Notary Public in and for said State Description of Instrument Title: Historic Property Preservation Agreement Property location: 405 Palisades Avenue Number of Pages: 5, plus Exhibits A. B, and C 6 STATE OF CALIFORNIA ) ss. COUNTY OF LOS ANGELES ) On 2009, before me, the undersigned, a Notary Public in and for said State, personally appeared personally known to me - OR -proven to me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity as property owner. WITNESS my hand and official seal. SEAL Notary Public in and for said State Description of Instrument Title: Historic Property Preservation Agreement Property location: 405 Palisades Avenue Number of Pages: 5, plus Exhibits A, B, and C 7 STATE OF CALIFORNIA ) ss. COUNTY OF LOS ANGELES ) On , 2009, before me, the undersigned, a Notary Public in and for said State, personally appeared P. Lamont Ewell, known to me to be the CITY MANAGER of the CITY OF SANTA MONICA, a Municipal Corporation, that executed the within instrument on behalf of the CITY OF SANTA MONICA, and acknowledged .to me that the CITY OF SANTA MONICA executed the same. WITNESS my hand and official seal. SEAL Notary Public in and for said State Description of Instrument Title: Historic Property Preservation Agreement Property location: 405 Palisades Avenue Number of Pages: 5, plus Exhibits A, B, and C 8 EXHIBIT "A" LEGAL DESCRIPTION In the City of Santa Monica, County of Los Angeles, State of California: LOT 37 IN BLOCK "D" OF THE PALISADES, IN THE CITY OF SANTA MONICA, COUNTY. OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 7, PAGE(S) 154 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. 9 EXHIBIT "B" HISTORIC PROPERTY PRESERVATION AGREEMENT PROPERTY MAINTENANCE CITY OF SANTA MONICA As required by Landmarks Ordinance Section 9.36.190, all designated landmarks and structures located within a historic district shall be maintained in good repair and preserved against deterioration through the prompt repair of any of the following: 1. Facades which may fall and injure members of the public or property. 2. Deteriorated or inadequate foundation, defective or deteriorated flooring or floor supports, deteriorated walls or other vertical structural supports. 3. Members of ceilings, roofs, ceiling and roof supports or other horizontal members which age, split or buckle due to defective material or deterioratiori. 4. Deteriorated or ineffective waterproofing of exterior walls, roofs, foundations or floors, including broken windows or doors. 5. Defective or insufficient weather protection for exterior wall covering, including lack of paint or weathering due to lack of paint or other protective covering. 6. Any fault or defect in the building which renders it not properly watertight or structurally unsafe. In additiori, the following maintenance measures are also required for the subject property: 1. Maintain all electrical and plumbing systems in safe, working order; repair and replace as necessary. **The property owner is required to obtain all necessary building permits and planning permits such as a Certificate of Appropriateness for the work specified herein'* 10 EXHIBIT "C" HISTORIC PROPERTY PRESERVATION AGREEMENT PROPOSED HOME IMPROVEMENTS The following projects shall be completed by the property owner of 405 Palisades Avenue over the initial ten (10) year term of the contract. Item Year 1 2015 2 2010 3 2015 4 2015 5 2016 6 2012 7 2010 8 2010 9 2012 10 2009 11 2019 12 13 14 15 16 17 18 19 20 annual annual annual annual annual annual annual annual annual 21 22 annual annual Task Replace and repair portions of roof, install screens on all roof vents, as necessary. Assess condition of rain gutters and downspouts and repair/replace damaged areas. Assess condition of wood shingles and clapboard and replace and repair as necessary, possible removal of paint from shingles. Inspect for termite damage. Assess condition of all window sashes and frames, rehabilitation of damaged and non-functioning windows. Assess condition of landscape and replace and replant as necessary, repair portions of damaged pathway and concrete wall, implement landscape plan. Reduce excessive irrigation near foundation, possible installation of drip system. Assess condition of foundation and perform seismic retrofitting if necessary, install sump pump if necessary, assess uneven settling. Inspect and replace all "knob and tube" cloth wiring, remove all dead electrical wiring, inspect and replace galvanized steel piping. Install insulation in floors and walls if necessary. Weatherproofing of skylights, assess condition of plaster and repair damaged portions. Assess condition of wood floors and replace with historically accurate wood floors if necessary. Assess condition of and repair and replace portions of roof as necessary, clean and repair roof gutters, apply weatherproofing. Cleaning, painting and maintenance of all elevations. Periodic repainting and repair of windows. General upkeep of landscape features. General maintenance of brick mortar. Periodic repainting of all interior spaces. Periodic refinishing of floors. Repair plumbing fixtures, pumps, supply and waste lines as necessary. Maintenance and replacement of lighting fixtures, electrical equipment and wiring. Regular pest control inspection and protection. Regular mold, mildew inspection. **The property owner is required to obtain all necessary building permits and planking permits such as a Certificate of Appropriateness for the work specified herein. it ;;~ `?` 'rg: ~;~.~?e~ t~~sh€tecfia~re P ~ , c 'r'oc ~ ~ ;_ July 28, 2009 Mr. Scott Cohen 405 Palisades Avenue Santa Monica, CA 90402 Re: 405 Palisades Avenue, Santa Monica, CA Architectural Report Dear Scott, This report is intended to document the existing condition and character-defining features of the sirigle family residence located at 405 Palisades Avenue in the City of Santa Monica (subject property) for the purposes of entering into a Mills Act Contract with the City of Santa Monica. As you know, my firm prepared the Landmark nomination for the subject property and this architectural report follows on our previous work documenting its important historic and architectural character. General Description The subject property is located at the northeast corner of Palisades Avenue and 4~' Street on Lot 37 of Block D of the Palisades Tract. The lot size of the subject property is approximately 107.50 by 175 feet. This lot is raised above the level of the sidewalk by a few feet, creating an elevated lawn bounded by a concrete retaining wall. The residence faces southeast on the lof and is surrounded by other single-family residences. The County Assessor's record estimates a construction date of 1912 and the house on the lot is a remarkable example of Craftsman style architecture popular during that era. As noted in the Landmark nomination, it is possible that the house was constructed as early as 1907. The wood frame building has aloes-pitched, cross- gabled roof and is generally rectangular in plan, although each of the elevations is articulated as a careful study in asymmetry. The elevations are clad in clapboard oh the first floor' and plain wood shingles oh the second floor. Much of the architectural detailing on the exterior elevations such as the exposed rafter tails and decorative roof vents are character defining features of the .house. Another significant feature on the exterior of the property is the large partial fagade porch supported by a series of thick brick columns. Most of the windows and doors on the exterior appear to date to the construction of the house and are significant for their divided light glass windows, some with leaded panes. There have been minor, notable alterations on the exterior, including a northeast wing addition (1927), exterior stair (1950), infill of a sleeping porch and added French doors with balcony at the northwest (date unknown) and an angled bay added to the kitchen (1991). The majority of the exterior building materials appear to be original, rather than replacement. As on the exterior, the interior of the house contains many details that reflect the quality of house's construction. Decorative detailing with fumed oak throughout the interior of the house is expressive of the manner in which it was constructed, the way in which elements are joined to one another, and the natural materials used; exemplifying the Arts and Crafts ideals of honesty, simplicity and a strong relationship to the natural environment. Permanent fixtures within the 405 Palisades Avenue Architectural Report July 28, 2009 Page 2 house are crafted to be simple and elegant yet at the same time have very practical purposes that serve the function of the room. The dining room contains abuilt-in sideboard for china, while the living room alcove contains bookcases with glass display doors. These elements create an interior that is in harmony with the exterior of the house and provides a comfortable environment for its inhabitants. There have been minor, notable alterations on the interior including replacement of the oak floors and living room chimney block, as well as expansion and remodeling on the kitchen and bathrooms in a contemporary, compatible manner. A skylight appears to have been added over the main staircase and master bedroom. Seismic retrofit was performed after the house suffered damage following the Northridge Earthquake in 1994. The full extent of work performed at that time is not known, however it appears to have included repointing of the brick porch piers and structural bracing in the crawl space. General Recommendations Considering its age, the subject property appears to be in relatively good condition. Overall regular and annual maintenance would include general landscaping and upkeep of exterior elevations as well as weatherproofing and roofing maintenance necessary to ensure the building envelope is watertight. While proper maintenance is costly, it is critical to ensure retention of historic building fabric and materials. As the foundation structure is principally unreinforced masonry or brick and the full extent of the 1994 structural retrofit is not known, it seems appropriate to determine what additional work may be advised to ensure long-term structural stability. Future work should take into account that both the exterior and interior finishes, with few exceptions, are original and should be retained to the maximum extent possible. Other potential areas of work to be considered include a comprehensive landscaping plan for the entire lot that reflects the historic nature of the property. Use of the California Historical Building Code would provide some flexibility in making improvements, including structural retrofit. Areas of Work Roof Building permits show that the roof was replaced with "50 year-type" composition shingles in 2007; therefore it may not be necessary to reroof the building within the next ten years. Periodic replacement of certain areas may be necessary within the course of the next ten years; however the roof appears to be in good condition. Recommendations • Periodic inspection of roof and replacement of individual shingles, as necessary • Service all gutters and downspouts regularly to ensure water flow away from building foundation, repair or replace gutters and downspouts in kind (copper) • Annually clean all gutters • Inspect and repair all roof vents, if necessary Exterior Finishes Exterior finishes generally appear to date to constructioh of the house. The wood shingles and clapboard siding on all four elevations may have originally been stained, but appear to have been overpainted many times since construction. While wood detailing on the exterior elevations appears to be in good condition, some evidence of wood degradation has been noted in limited areas on the exterior. 405 Palisades Avenue Architectural Report July 28, 2009 Page 3 Recommendations • Inspect all exterior elevations for evidence of wood degradation or rot, and repair including consolidation with epoxy or replace in kind with like species (preferred), as necessary • Assess condition of wood shingles and clapboard, prepare for and repaint exterior wood finishes. Consider paint removal and/or replacement of limited areas of shingles and clapboard with like material if severe deterioration is found • Periodically inspect for termites, follow recommended courses of action Windows While the majority of windows appear to be in good working order, some windows will need substantial rehabilitation of the window frame and sash. Certain windows are not in working order as originally intended (both upper and lower sashes should operate freely with weights). Although the original mechanisms are likely still extant, the sashes and weights may need to be removed, serviced. and reinstalled to ensure proper operation as intended. Recommendations Assess condition of all windows including head flashing, and repair damaged and non- functioning windows Periodically prepare and repaint window sash and frames, ensure strike surfaces remain unpainted to allow for proper operation Replace only severely deteriorated portions of window sash, whole sash, both sash or frame in kind, as necessary Foundation Inspection of the foundation reveals an combination of a brick stem walls and possibly concrete footings. It appears additional wood bracing (heavy timber) was installed between the brick and concrete foundation on piers in the crawl space as part of the 1994 seismic retrofit. A few places have been noted on the first and second floors that have settled unevenly over the course of time such as the upstairs hallway near the southwest corner of the house. Exterior vent screens around the perimeter of the crawlspace should be inspected. Recommendations • Determine the extent of seismic retrofit completed and consider future work • Assess condition of foundation walls and consider installing blocking between wood joists • Inspect, repair and/or replace all screens in crawlspace vents • Determine cause of uneven settling and consider structural repairs as necessary • Consider installation of sump pump. Landscaping Inspection of the landscape surrounding the house revealed heavy irrigation near brick foundation walls. Cracks were noted around various portions of the concrete pathways which may evidence settlement as well as general wear and tear over the years. The concrete wall (finished as scored block) around the perimeter of the front lawn also appears to have cracks, certain areas are no longer plumb, and general deterioration is noted. Recommendations • Due to the brick foundation of the property, it is recommended that very little irrigation occur near the actual structure, landscaping immediately adjacent to the elevations 405 Palisades Avenue Architectural Report July 28, 2009 Page 4 should be restricted to plants needing limited water and drip systems should be installed and used The condition of the concrete pathways should be assessed and repaired or replaced in kind as necessary, including using retarder on new concrete surfaces to remove the "cream" and allow for a weathered appearance to blend new and old concrete areas successfully Assess condition of concrete wall and determine extent of rehabilitation necessary, remove and replace only those areas which are deteriorated Implement a comprehensive landscape plan that is historically accurate and reduces water usage Electrical, Mechanical and Plumbing While most of the original systems appear to have been replaced within the house, any remaining original systems would be deemed unsafe unless otherwise noted. While it appears that most of the original "knob and tube' wiring has been replaced, some older wiring could possibly remain within certain areas. While this wiring may not pose an immediate threat to safety, further investigation would determine an appropriate action to take regarding old wiring. Similarly, while the plumbing (both supply and waster lines) within the house appears to have been replaced, there may be portions of galvanized steel supply pipes extant within the house. No air-conditioning has been installed within the house, and the heating systems appear to have been recently replaced. Recommendations • Inspect and replace all remaining "knob and tube" wiring within house • Inspect and replace all remaining galvanized steel piping • Inspect and consider replacing all remaining cast iron or terra cotta waste lines, if any • Consider installation of seismic shut-off valve for gas line Insulation Further investigation would be necessary to determine if insulation has been installed within the walls of the house, however inspection of the attic revealed that portions of insulation within the roof have deteriorated over the years. Most houses built during this period were.not insulated, reducing their energy efficiency. Recommendations • Assess status of insulation within walls of house, in the crawl space and roof, consider installation of insulation within walls, crawl space and roof so as to improve energy efficiency Interior Finishes The interior finishes of the house appear to have been well cared for since construction of the house. Generally the wall finishes and architectural detailing appear to be in good condition and are not in need of significant restoration, however a small portion of the lath has been exposed in the stairway to the basement do to deteriorated stucco. The skylights over the main staircase have also been identified as problematic due to insufficient waterproofing between the roof and the skylight Recommendations • Replace deteriorated plaster in stairway to basement • Assess condition of skylights and install sufficient weatherproofing 405 Palisades Avenue Architectural Report July 28, 2009 Page 5 This report is intended to provide a general assessment of the current condition of the property; however it is by no means comprehensive in scope of work. Further inspections may be necessary to determine other specific work that needs attention. Very truly yours, CHATTEL ARCHITECTURE, PLANNING & P _ ON, INC. By: Mme' /(J7 ~ (.Y/ Robert Jay C a el, ~ ,President. * ~ C 27398 405 PALISADES AVENUE MILLS ACT APPLICATION RESTORATION/l~HABILITATION PLAN CHATTEL ARCHITECTURE, PLANNING & PRESERVATION, INC. 405 Palisades Avenue Rehab/Restoration/Maintenance Plan Restoration/Rehabilitation Plan Order of Magnitude Yr.of Building Featulre _Cost Description of Work completion: Exterior Roof Replace and repair portions of roof, install screens on 2015 $2,500 all roof vents if necessary Drainage- Assess condition of rain gutters and downspouts and 2010 $4,500 repair/replace damaged areas Exterior Finishes Assess condition of wood shingles and clapboard and 2015 replace and repair as necessary, possible removal of paint from shingles, inspect for termite damage $30,000 Windows Assess condition of all window sashes and frames, 2015 rehabilitation of damaged and non-functioning $10,000 windows Landscape Assess condition of landscape and replace and 2016 replant as necessary, repair portions of damaged pathway and concrete wall, implement landscape plan $25,000 Irrigation Reduce excessive irrigation near foundation, possible 2012 $1,500 installation of drip systems Interior Foundation Assess condition of foundation and perform seismic retrofitting if necessary, install sump pump if $45,000 necessary, assess uneven settlin 2010 Electrical, Mechanical Inspect and replace all "knob and tube" cloth wiring, and Plumbing remove all dead electrical wiring, inspect and replace $20,000 galvanized steel piping 2010 Insulation $5,000 Install insulation in floors and walls if necessary 2012 Interior Finishes Weatherproofing of skylights, Assess condition of $20,000 plaster and repair damaged portions 2009 Floors Assess condition of wood floors and replace with $8,000 historically accurate wood floors if necessary 2019 $171,500 Estimated Cost of Restoration/Rehabilitation Plan 405 PALISADES AVENITE MILLS ACT APPLICATION MAINTENANCE PLAN. CHATTEL ARCHdTECTURE~ PLANNING & PRESERVATIONS INC. 405 Palisades Avenue Rehab/Restoration/Maintenance Plan Maintenance Plan Building Feature Order of Magnitude Cost Description of Work Yr.of completion Exterior Roof $25,000 Assess condition of and repair and replace portions of roof as necessary, clean and repair roof gutters, apply weatherproofing annual cost exterior elevations $15,000 Cleaning, painting and maintenance of all elevations annual cost Windows $1,000 Periodic repainting and repair of windows annual cost Landscape $15,000 General upkeep of landscape features annual cost Foundation $800 General maintenance of brick mortar annual cost Interior Walls and ceiling $2,500 Periodic repainting of all interior spaces annual cost Floors $2,500 Periodic refinishing of floors annual cost Plumbing $3,000 Repair plumbing fixtures, pumps, supply and waste lines as necessa annual cost Electrical systems $5,000 Maintenance and replacement of lighting fixtures, electrical equipment and wirin annual cost Wood framing $750 Regular pest control inspection and protection annual cost Foundation $750 Regular mold, mildew inspection annual cost $71,300 Estimated Cost of Maintenance Plan annual cost 405 PALISADES AVENUE PH®T®GI2APH ATTACHIVI~NT MILLS ACT APPLICATION CAATTEL ARCIII'1'ECTYJRE~ PLANNING & PRESERVATION, INC. 405 PALISADES AVENUE MILLS ACT APPLICATION CAATTEL ARCHTI'ECTiJRE, PLANNING & PRESERVATION, INC. Figure 1: Primary (south) fapade from the sidewalk, looking northeast. (Image credit: Chattel Architecture) Figure 2: South fagade from sidewalk, looking north. (linage credit: Chattel Architecture) 405 PALISADES AVENUE 16'IILLS ACT APPLICATION CHATTEL ARCHITECTURE, PLANNING & PRESERVATION, INC. Figure 5: West fapade, looking northeast. (Image credit: Chattel Architecture) Figure 6: North elevaflon, looking southeast. (Image credit: Chattel Architecture) 405 PALISADES AVENUE MII.LS ACT APPLICATION Figure 8: East elevation, looking northwest. (Image credit: Chattel Architecture) CAATTEL ARCIId'I'ECTURE~ PLANNING & PRESERVATION, INC. Figure 7: North addition along east elevation, looking northwest. (Image crediti Chattel Architecture) 405 PALISAIDES AVENUE MILLS ACT APPLICATION CHATTEL ARCHIT'ECTIJRE, PLANNING & PRESERVATION, INC. Figure 9: Garage located northeast of residence, looking southeast along alley. (Image credit: Chattel Architecture) Figure 10: Gazage located northeast of residence, looking northeast. (Image credit: Chattel Architecture) 405 PALI$ADE$ AVENUE MILLS ACT APPLICATION CHA'1"Y'EL ARCfiI'1'ECTIJRE, PLANNING & PRESERVATIONS INC. Figure 11: Detail of front porch at entry, looking north. (Image credit: Chattel Architecture) Figure 12: Detail view of front porch, looking west. (Image credit: Chattel Architecture) 405 PALISADES AVENUE east. (Image credit: Chattel Architecture) MILLS ACT APPLICATION CAATTEL ARCHITECTURE,PLANNING & PRESERVATION, INC. Figure 17: Detail view of brick porch and foundation where it meets the wood siding, view Figure 18: Exterior concrete wall and stairs along 4th Street, view northeast. (Image credit: Chattel Architecture) 405 PALISADES AVENUE MILLS ACT APPLICATION CxATTEL ARCHITECT[JRE, PLANNING & PRESERVATION, INC. Figure 19: Living room, looking southwest . (Image credit: Chattel Architecture) Figure 20: Dining room, looking northeast. (Image credit: Chattel Architecture) 405 PALISADES AVENCIE MILLS ACT APPLICATION CAATTEL AItCIIl'1'ECTURE, PLANNING & PAESERVATION~ INC. Figure 21: Pocket door between living room and living room alcove, looking southwest. (Image credit: Chattel Architecture) Figure 22: Infilled back porch, looking east. (Image credit: Chattel Architecture) 405 PALISADES AVENUE MILLS ACT APPLICATION CAA1°d'EL ARCiI11'EC1'URE, PLANNING & PRESERVAT%ON, INC. Figure23: Central stair, looking south. (Image credit: Chattel Architecture) Figure 24: Wood paneling along stairway above built-in bench. (Image credit: Chattel Architecture) 4®$ PALISADES AVENUE MILLS ACT APPLICATION CAATTEL ARCffiTECTtTRE, PLANNING & PRESERVATION, INC. Figure 25: Detail of living room alcove built-in book shelf along ,looking northwest. (Image credit: Chattel Architecture) Figure 26: Detail of dining room built-in sideboazd, looking northeast. (Image credit: Chattel Architecture) 405 PALISADES AVENUE MILLS ACT APPLICATION CHA1"1'EL ARCIII'I'ECTdJRE~ PLANNING & PRESERVATIONS INC. Figure 27: Crawlspace showing brick foundation and structural framing, view south- west. (Image credit: Chattel Architecture) Figure 2R: Attic space, view southeast. (Image credit: Chattel Architecture) 405 PALISADES AVENUE MILLS ACT APPLICATION CHATTEL ARCHITECTURE, PLANNING & PRESERVATYON~ INC. Figure 3: Primary (south) facade, looking northeast. (Image credit: Chattel Architecture) Figure 4: Detail view of porch, looking northeast. (Image credit: Chattel Architecture) 4®$ PALISADES AVENUE MILLS ACT APPLICATION CAATTEL ALiCRI'1'ECTURE, PLANNING & PRESERVATION, INC. Figure 13: Detail of main entrance, looking north. (Image credit: Chattel Architecture) Figure 14: Detail view of second story wood shingles along west elevation, looking northeast. (Image credit: Chattel Architecture) 405 PALISADES AVENUE 1!'gILLS ACT APPLICATION CAATTEL ARCAITECTi7RE~ PLANNING & PRESERVATION, INC. Figure 15: DetaIl view of first story clapboazd along west elevation, looking east. (Image credit: Chattel Architecture) Figure 16: Detail of roof overhang showing some wood degradation neaz drainspout, looking north. (Image credit: Chattel Architecture) ESTIMATE FINANCIAL ANALYSIS FOR MILLS ACT CONTRACT** 405 Palisades Avenue REVENUES 1) Est. Monthly Rental Income 2) Annual Rental Income Current „_~'f~3'(2(estimate only `~) $147,744 ANNUAL EXPENSES Gen. Expenses: 25%SFD, Others 30% $36,936 Vacancy loss 3% $4,432 8) Total Expenses $41,368 NET OPERATING INCOME (NOI) $106,376 (Line 2 Minus 8) CAPITALIZATION RATE 9) Interest Component 6.75% 10) Historic Property Risk 4% (2%, or 4% for SFD) 11) Property Tax Component 1 12) Amortization Component 0.5% 13) Capitalization Rate 12% (Sum Line 9 - 12) TAXES 14) Mills Act Assessment $868,373 (NOI/ Line 13) 15) Tax Under Mills Act $8,989 (Line 14 X .01035146) 16) Current Tax $t'r7~~!, _ 17) Tax Savings _.. (Line 16 -Line 15) $53,766 18) Annual Costs to City (Line 17 X 16%) $8,603 **This worksheet provides only an estimate analysis. The County of Los Angeles Office of the Assessor is responsible for calculating official Mills Act property tax assessments each year. Adopted and approved this 27th. day of October, 2009. ~,~~~~ Ken Genser, Mayor I, Maria Stewart, City Clerk of the City o Santa Monica, do hereby certify that the foregoing Resolution No. 10432 (CCS) was duly adopted at a meeting of the Santa Monica City Council held on the 27th day of October, 2009, by the following vote: Ayes: Council members: Davis, McKeown , sloom, Holbrook Mayor Genser _ Noes: Council members: None Abstain: Council members: None Absent: Council members: shriven Mayor Pro Tem O'Connor ATTEST: Maria Stewart, City Jerk