10-100981CITY OF
ti. Federal Way
May 28, 2010
1
CITY HALL FILE
33325 8th Avenue South
Mailing Address: PO Box 9718
Federal Way, WA 98063-9718
(253) 835-7000
www.cityoffederalway.com
REO Services LLC E-mail: mike@thereoservices.com
Mike Bauer
1102 39th Avenue SW, Suite 304
Puyallup, WA 98373
RE: FILE #10-100981-00-AD; EXPIRATION DATE OF CAMPUS CREST PRELDIINARY PLAT
Dear Mr. Bauer:
This letter confirms that the expiration date of the Campus Crest Preliminary Plat shall be seven years
from the date of preliminary plat approval, consistent with Substitute Senate Bill #6544, passed by the
Washington State Legislature, and as interpreted by the City of Federal Way City Attorney. This change
to the approval timeline will be effective on June 10, 2010, when SSB #6544 becomes effective.
The Campus Crest Preliminary Plat, which received Federal Way City Council approval on March 15,
2005, will now expire seven years from the date of preliminary plat approval, or March 15, 2012.
Please be advised that the property owner is responsible for maintaining ongoing erosion control
measures on site until such time as the site is fully stabilized. Additionally, a few landscape related items
as detailed in letters dated August 1, 2008, and January 8, 2009, remain unresolved. Copies of those
letters are enclosed for reference.
Please contact Senior Planner Deb Barker at 253-835-2642 should you have any questions about the
Campus Crest expiration date or landscape issues.
Sincerely,
Greg Fewins, Director
Community Development Services
enc: August 1, 2008 letter
January 8, 2009 letter
c: Jim Pirie, Special Assets Officer, Umpqua Bank, 1498 Pacific Avenue, Tacoma, WA 98402
Ken Miller, Deputy Public Works Director
Kevin Peterson, PW Engineering Plans Reviewer
Sarady Long, Senior Traffic Engineer
Deb Barker, Senior Planner
Bill McCollum, PW hispector
Gordon Olson, South King Fire and Rescue
D- I D 54265
CITY OF
ti. Federal Way
May 14, 2010
CITY HALL
33325 8th Avenue South
Mailing Address: PO Box 9718
Federal Way, WA 98063-9718
(253) 835-7000
www.cityoffederalway.com
Michael Bauer via e-mail: �ltrlie(ri�tlter enscrt i_� z.s.coirr
REO Services LLC
RE: File #10-100981-00-AD; CAMPUS CREST PRELIMINARY PLAT EXTENSION REQUEST
Dear Mr. Bauer:
The City of Federal Way and South King Fire and Rescue welcome the requested removal of the bark pile at
the above partially constructed plat site, as discussed in the City's April 26, 2010 letter.
This letter amends the April 26 letter regarding timeline for completion of outstanding Public Works punch -list
items from the preliminary plat application. Specifically, those items from the City's March 26, 2009 Public
Works Punch List shall be completed no later than May 21, 2010, subject to the following condition:
1) No later than 5:00 p.m. on Friday, May 21, 2010, Items 1 through 13, and 15 through 17
from the Campus Crest Project Construction timeline you provided at today's meeting shall
be completed to the satisfaction of the Public Works Department, and all outstanding
inspection and/or extension fees paid. Item #14, Asphalt for patches, will be permitted to be
completed one week after this deadline, or May 28, 2010. No other extensions will be granted
so outstanding work should be expeditiously completed.
If these items are not completed before the end of the business day -May 21, 2010, the City of Federal Way will
have no obligation to consider the preliminary plat extension request. If the preliminary plat extension request
is not approved, the Campus Crest preliminary plat approval would become void, mid a new preliminary plat
approval must be obtained under current code provisions.
However, should the Public Works Department signs off on the outstanding punch -list items from the Campus
Crest Project Time line and the City's March 26, 2009 punch list, the City will inunediately resume processing
the preliminary plat extension request for the Campus Crest Subdivision. Also, as discussed at the today's
meeting, the property owner is responsible for the installation and the ongoing maintenance of on -site erosion
control measures until such time that the site is frilly stabilized.
Please contact me at 253-835-2642 if you have any questions about this letter.
Sincerely, r
Deb Barker
Senior Planner
c: Ken Miller, Deputy Public Works Director
Kevin Peterson, Engineering Plans Reviewer
Bill McCollum, Public Works Inspector
Mike Martin, Public Works Inspector
Sarady Long, Senior Traffic Engineer
Tom Raymond, South King Fire and Rescue
' Campus Crest Project Construction tinzelirre copy enclosed
Doc. I.D. 53901
CITY OF FEDERAL WAY
CITY COUNCIL COMMITTEE STAFF REPORT
To: Jack Dovey, Chair
Land Use/Transportation Committee
FROM: Jim Harris, Senior Planner
VIA: David Moseley, City Manager
RE: Campus Crest Preliminary Plat and Concomitant Agreement
Application No. 03-104293-00-SU and 03-104311-00-UP
DATE: February 22, 2005
I. REQUESTED ACTION
The applicant requests approval of a preliminary plat application and revision of a Concomitant Zoning
Agreement.
II. STAFF RECOMMENDATION
Staff recommends the Land Use/Transportation Committee forward to the City Council a
recommendation approving the Campus Crest preliminary plat with conditions, and approval of the
Campus Crest Concomitant Zoning Agreement based on the findings and conclusions in the February 8,
2005 Reports and Recommendations, by the Federal Way Hearing Examiner.
III. SUMMARY OF APPLICATIONS
The applicant requests approval of a 114-lot residential preliminary plat, as provided for under Federal
Way City Code (FWCC) Chapter 20, "Subdivisions," subject to City Council approval.
The applicant also requests to modify the terms and conditions of a 1990 Concomitant Zoning
Agreement as amended, applicable to the 22.4-acre Campus Crest site. The current Concomitant Zoning
Agreement allows only townhome/condoininium development on the site. The proposed concomitant
agreement amendment would allow the subject property to be developed with a single-family residential
plat. In addition, the applicant requests to modify the terms of the 1990 agreement in regard to the status
of the building permit application, landscape standards abutting single-family zoning, building setbacks
along Campus Drive, required improvements to Campus Drive, building height, maximum density of
233 units, phased construction, and I& Avenue corridor dedication and improvement.
IV. REASON FOR COUNCIL ACTION
Pursuant to FWCC Chapter 20, "Subdivisions," the City Council issues a final decision on the
preliminary plat application at a public meeting, after review of the Hearing Examiner's
recommendation. Consistent with City procedures, preliminary plat applications are brought to the Land
Use/Transportation Committee for review and recommendation prior to review by the full Council.
Pursuant to Section 8 of the 1990 Concomitant Agreement and Section 22-488 et al of FWCC, the City
Council issues a final decision on the Concomitant Zoning Agreement at a public meeting, after review
of the Hearing Examiner's recommendation. The concomitant agreement as proposed allows the subject
property to be developed in conformance with the proposed preliminary plat application.
V. HEARING EXAMINER's RECOMMENDATIONS
On February 8, 2005, the Federal Way Hearing Examiner issued a Report and Recommendation
(Exhibit A) to approve the proposed preliminary plat. The Examiner also issued a Report and
Recommendation on February 8, 2005, to approve the Concomitant Zoning Agreement for the subject
property (Exhibit B). The Hearing Examiner's recommendations include all conditions recommended by
staff. The Examiner's recommendations on the preliminary plat and concomitant agreement were issued
following consideration of a staff report for the preliminary plat (Exhibit C), and staff report for the
concomitant agreement (Exhibit D), and testimony presented at the January 25, 2005 public hearing.
The Hearing Examiner has recommended approval of the concomitant agreement and approval of the
preliminary plat, subject to the following conditions:
/l The Campus Crest preliminary plat shall not be deemed approved unless the proposed Campus
J
Crest Concomitant Agreement is concurrently approved, and allows the site to be developed with
single-family housing.
Prior to proceeding with plat infrastructure construction, the applicant shall provide a revised
landscape plan that includes the following landscaping to be approved by the City:
a. Arterial buffer landscaping in Tracts F and G per FWCC Section 20-178 and in compliance
with the accompanying concomitant agreement. In order to insure the long-term viability and
maintenance of the landscape screen in Tracts F and G, irrigation of these landscape areas is
required. The applicant shall coordinate the landscape plan in Tract F and G with Lakehaven
Utility District, and provide written approval of the plan from Lakehaven in respect to
potential conflict with Lakehaven Utilities located within these tracts;
b. Landscaping adjacent to retaining walls in Tracts F, G, and H shall be an appropriate type,
size, and density to provide visual separation and screening of the walls, and provide a visual
VV enhancement to the site;
C. Street trees in right-of-way landscape planter strips per Public Works Department Standards;
d. Landscaping of Tract M adjacent to Road B shall be planted with Type III landscaping
including trees, shrubs, and groundcover, to provide a visual separation between the public
right-of-way and the proposed stormwater facilities. This landscape tract shall be owned and
maintained by the homeowners' association. If cyclone fencing is used around the storm
drainage ponds, the fencing shall be coated black or green;
e. Significant tree replacement in accordance with FWCC requirements.
3. Prior to approval of engineering construction plans, the applicant shall provide the City a
significant tree survey based on an acceptable statistical forestry sampling methodology to
Campus Crest Preliminary Plat and Concomitant Agreement File #03-104293 / Doc. LD. 30329
Land Use/Transportation Committee Memo Page 2
accurately determine the number of significant trees on the site. The applicant shall also provide a
significant tree replacement plan, to replace at least 25 percent of the significant trees removed
from the site. Pursuant to FWCC Section 20-186, areas of the plat where significant trees are
removed for subdivision improvements (infrastructure) are not subject to significant tree
replacement. The significant tree replacement plan shall be approved by the Department of
Community Development Services prior to engineering plan approval. The replacement trees shall
be planted by the applicant and inspected by the Department of Community Development Services
prior to final plat approval.
4. Design and construction of the project shall comply with all requirements and recommendations of
the project geotechnical engineer.
Prior to final plat approval, the applicant shall provide a paved trail connecting Tract D to the
adjacent BPA Trail. The plan for the trail connection shall be reviewed and approved by the Public
Works and PARCS Departments in conjunction with engineering plan review.
6. On the final plat map, Tract M shall be revised to include any proposed retaining walls within the
south side of Tract H. The retaining walls, if included in the plat construction, shall be owned and
maintained by the future homeowners' association.
7. Prior to approval of construction plans, the applicant shall provide written correspondence from
the Federal Way Public School District regarding the Districts' commitment to eliminating an
existing easement on the site. Prior to final plat approval, the applicant shall document to the City
that the existing school district easement has been extinguished
8. If included in the final engineering design, retaining walls and rockeries on individual lots shall be
harmonious with the residential use of the site and shall promote residential design themes through
such means as terracing, orientation, natural material selection, use of vegetation screening, and
textural treatment to be designed by the applicant and approved by the Community Development
Services Department.
Due to the proximity to Campus Drive and the potential aesthetic impact from large untreated
walls, retaining walls shall be a maximum height of four feet within Tract G, and a maximum
height of nine feet of exposed surface above grade in Tract M. Any walls in Tract M shall include
but are not limited to the following design features: horizontal and vertical undulation, terracing
with a minimum width of six feet between terraces to allow a safe area for maintenance; landscape
screening; and wall texturing.
Prior to final plat approval, as required by Metro, the applicant shall design and construct a bus
stop shelter footing and bus stop landing in accordance with King County Metro standards for the
site frontage along SW Campus Drive. Prior to construction, the applicant shall provide approval
of the landing design and location from Metro. Due to other development in the area of the site,
Metro may determine the site frontage is not the appropriate location for a future bus stop, and
these improvements would not be required if so determined by Metro.
10. Improvements for the project include the off -site connection of Road D to the 10`h Avenue SW stub
in Campus Highlands. Design and construction of the extension shall meet applicable City
standards and be reviewed by Bonneville Power Administration. The design and construction of
loth Avenue SW shall include a raised crossing per City standards at the BPA Trail for safety
purposes.
11. On the final plat map, roadway "D" and a portion of road "C", from the existing terminus of 10tn
Avenue SW in Campus Highlands extending to the point where Road D (and portion of Road C)
Campus Crest Preliminary Plat and Concomitant Agreement File #03-104293 / Doc. 1.D.30329
Land Use/Transportation Committee Memo Page 3
connects to 12th Avenue SW, shall be revised to be a 56-foot wide right-of-way, with a 36-foot
paved roadway, and two -foot utility easements on either side (Roadway Section `S' — Minor
Collector). The street connection to 12th Avenue SW shall be as shown on the plans, or modified to
connect at 12th Avenue SW at SW 343rd Place. Final road alignment will be determined during
engineering plan review.
Tracts A and B, as shown on the plans, may be eliminated or revised upon final road alignment.
V1. PROCEDURAL SUMMARY
September 18, 2003 Date of application for 114-lot Campus Crest preliminary plat and
Concomitant Agreement
November 7, 2003 Date application determined complete
November 15, 2003 Public notice of application issued
September 29, 2004 Environmental determination issued
January 25, 2005 Hearing Examiner Public Hearing
(Pursuant to FWCC Section 22-126, the Hearing Examiner issues a
recommendation to the City Council.)
February 8, 2005 Hearing Examiner issues recommendation of conditional approval of
preliminary plat and approval of Concomitant Zoning Agreement to the
City Council
February 28, 2005 City Council Land Use/Transportation Committee meeting
(This committee forwards a recommendation to the full Council for a decision at
a public meeting [see Section VIII, below].)
VII. DECISIONAL CRITERIA
The decisional criteria for the preliminary plat is set forth in FWCC Section 20-127, and findings and
conclusions that the application is consistent with these decisional criteria are set forth in the Hearing
Examiner's report and recommendation.
The decisional criteria for the concomitant agreement is set forth in FWCC Section 22-489, and findings
and conclusions that the application is consistent with these decisional criteria are set forth in the
Hearing Examiner's report and recommendation.
VIII. COUNCIL OPTIONS
The Federal Way City Council's review of the application is limited to the record of the hearing before
the Hearing Examiner, oral comments received during the public meeting (so long as those comments do
not raise new issues or information contained in the Examiner's record), and the Examiner's written
report. The City Council may receive new information not in the record pursuant to FWCC Sections 20-
127(b) and 22-489(c).
A draft resolution recommending approval of the proposed Concomitant Zoning Agreement and
Campus Crest Preliminary Plat and Concomitant Agreement File #03-104293 / Doc_ W. 30329
Land Use/Transportation Committee Memo Page 4
preliminary plat application as recommended by the Hearing Examiner is enclosed (Exhibit E). After
consideration of the record, the City Council may, by action approved by a majority of the total
membership, take one of the following actions, pursuant to FWCC Section 20-127 and 22-489(c):
Adopt the Hearing Examiner's recommendations and approve the Concomitant Zoning
Agreement and preliminary plat; or
2. Reject the recommendation and deny the Concomitant Zoning Agreement and preliminary
plat; or
Remand the preliminary plat and Concomitant Zoning Agreement back to the Hearing
Examiner pursuant to FWCC Section 20-127(b); or
4. Adopt their own recommendations approving the Concomitant Zoning Agreement and
require or approve a minor modification to the preliminary plat pursuant to FWCC Section
20-127(d).
IX. COMMITTEE RECOMMENDATION
Forward option to the full City Council for approval on March 15, 2005.
EXHIBITS
A. Hearing Examiner Preliminary Plat Report and Recommendation, February 8, 2005
B. Hearing Examiner Concomitant Agreement Report and Recommendation, February 8, 2005
C. Campus Crest Preliminary Plat Staff Report to Hearing Examiner, January 17, 2005*
D. Campus Crest (Parcel 7) Concomitant Agreement Staff Report to Hearing Examiner, January 17,
2005*
E. City Council Draft Resolution for Campus Crest Preliminary Plat and Concomitant Agreement
Approval
F. Concomitant Agreement for Development of Campus Crest Property (Parcel 7)
G. Preliminary Plat Maps for Campus Crest
* Copies of all exhibits to the staff reports are not attached to this memo. A copy of these exhibits is in a
notebook in the City Council Conference Room or is available from City staff.
Campus Crest Preliminary Plat and Concomitant Agreement File #03-104293 / Do. I.D. 30329
Land Use/Transportation Committee Memo Page 5
FILE
CITY of
t Federal Way
April 26, 2010
Michael Bauer
REO Services LLC
t*02 39"' Avenue SW, Suite 304
Puyallup, WA 98373
CITY HALL
33325 8th Avenue South
Mailing Address: PO Box 9718
Federal Way, WA 98063-9718
(253) 835-7000
www.cityoffederalway.com
RE: File #10-100981-00-AD; CAMPUS CREST PRELIMINARY PLAT EXTENSION REQUEST
700 SW Campus Drive, Federal Way
Dear Mr. Bauer:
On April 19, 2010, the City amended some of the conditions of approval for consideration of the Campus
Crest Preliminary Plat extension. This letter provides an update of those conditions as noted below:
The City's April 19, 2010 letter stated that the April 26, 2010, deadline for completion of the March 26,
2009, Public Works punch -list items shall be amended for completion no later than May 17, 2010, subject
to the following conditions:
1) No later than 5:00 p.m. on April 26, 2010, the debris pile shall be eliminated to the
satisfaction of the South King Fire and Rescue Fire Marshal. This shall consist of
spreading the debris onto bare ground into smaller piles that are no more than 2,500 cubic
feet in size. Each pile shall be no less than 50 feet apart from another pile. It is anticipated
these `piles' will require relocation when `final' construction of the plat commences.
Status as of April 26, 2010: On April 22, 2010, Captain Tom Raymond, Assistant Fire
Marshal, conducted a site inspection and found the wood chip pile on the Campus Crest property
had been leveled and was in compliance with the South King Fire and Rescue request for
mitigation. This condition has been met.
2) The debris piles shall be inspected by South King Fire and Rescue at the conclusion of
the remediation action. Call Assistant Fire Marshal Tom Raymond at 253-839-6234 to set
up the inspection.
Status as ofApri126, 2010: On April 22, 2010, Captain Tom Raymond, Assistant
Fire Marshal, conducted a site inspection and found the wood chip pile on the Campus
Crest property had been leveled and was in compliance with the South King Fire and
Rescue request for mitigation. This condition has been met.
3) No later than May 17, 2010, the March 26, 2009, punch list items shall be completed to
the satisfaction of the Public Works Department, and all outstanding inspection and/or
extension fees paid.
Status — The punch list items from May 26, 2009, have not been addressed and remain
outstanding.
_ 1
i�r. Bauel-
April 26, 2010
Page 2
If condition #3 (above) is not met on or before the end of the business day May 17, 2010, the City of
Federal Way will have no obligation to consider the preliminary plat extension request. If the preliminary
plat extension request is not approved, the Carrgpus Crest preliminary plat approval would become void,
and a new preliminary plat approval must be obtained under current code provisions.
However, should the Public Works Department signs off on the outstanding punch -list items, the City will
immediately resume processing the preliminary plat extension request for the Campus Crest Subdivision.
Please contact me at 253-835-2642 if you have any questions about this letter.
Sincerely,
Deb Barker
Senior Planner
c: Ken Miller, Deputy Public Works Director
Kevin Peterson, Engineering Plans Reviewer
Bill McCollum, PW Inspector
Sarady Long, Senior Traffic Engineer
Scott Sproul, Assistant Building Official
Tom Raymond, South King Fire and Rescue
Chris Ingham, South King Fire and Rescue
John Jensen, Lakehaven Utility District
10-100981 Doc I D 53716
cirY OF
Federal
April 19, 2010
CITY HALL
Way33325 8th Avenue South
Mailing Address: PO Box 9718
Federal Way, WA 98063-9718
(253) 835-7000
www.cityoffederalway.com
Mr. Michael Bauer
REO Services LLC
1102 39`h Avenue SW, Suite 304
Puyallup, WA 98373
FILE
via e-mail: Mikefic therep enjces _col_rl
Re: File #10-100981-AD; CAMPUS CREST PRELIMINARY PLAT EXTENSION REQUEST
Dear Mr. Bauer:
Thank you for your e-mail request received on April 9, 2010. This letter responds to your current request
for the preliminary plat property, provides background information, and identifies the next steps.
Background
The Campus Crest preliminary plat approval granted by the Federal Way City Council in March of 2005
was set to expire on March 14, 2010. In a March 11, 2010 letter, you requested an extension to the
Campus Crest preliminary plat approval on behalf of Umpqua Bank. In a March 18, 2010 letter, the City
identified several actions that were to be completed no later than April 26, 2010, before the City could
evaluate the preliminary plat approval extension request. These actions included the abatement of
hazardous and unsafe conditions as detailed by South King Fire and Rescue in a July 9, 2009, Notice of
Violation, and completion of all outstanding punch -list items from the March 26, 2009, Public Works
punch list. (Copies of those documents are enclosed).
On March 24, 2010, you provided detailed responses regarding extension criteria and authorization
verification, and you further declared that that you were working to resolve violations and hazardous
conditions at the site by the April 26, 2010, deadline.
The Current Request
Your April 9, 2010, e-mail is a request to extend by three weeks the April 26, 2010, deadline. This request
is based on the bank's desire to consult with the Campus Crest LLC partners. While the request to delay
the Public Works punch -list items is supported by the City, any further delay in the abatement of life/
safety and other hazards identified by South King Fire and Rescue is not condoned
Therefore, the April 26, 2010, deadline for completion of the March 26, 2009, Public Works pluich-list
items shall be amended for completion no later than May 17, 2010, subject to the following conditions:
1) No later than 5:00 p.m. on April 26, 2010, the debris pile shall be eliminated to the
satisfaction of the South King Fire and Rescue Fire Marshal. This shall consist of
File # 10-100981.AD Doc LD. 53629
Mr. Michael Bauer
Page 2
April 19, 2010
spreading the debris onto bare ground into smaller piles that are no more than 2,500 cubic
Feet in size,. Each pile shall be no less than 54 feet apart from another pile. It is anticipated
tkie�� `piles, will require relocation when 'final' construction of the plat commences.
a.
r'
2) `The debris piles shall be inspected by South King Fire and Rescue at the conclusion of
the remediation action. Call Assistant Fire Marshal Tom Raymond at 253-839-6234 to set
up the inspection.
3) No later than May 17, 2010, the March 26, 2009, punch list items shall be completed to
the satisfaction of the Public Works Department, and all outstanding inspection and/or
extension fees paid.
Next Steps
If the above three conditions are not met on or before the end of the business day May 17, 2010, the City
of Federal Way will have no obligation to consider the preliminary plat extension request. If the
preliminary plat extension request is not approved, the Campus Crest preliminary plat approval would
become void, and a new preliminary plat approval must be obtained under current code provisions.
However, if the Fire Marshal approves of the remediation actions and the Public Works Department signs
off on the outstanding punch -list items, the City will immediately resume processing the preliminary plat
extension request for the Campus Crest Subdivision. Please contact me at 253-835-2642 if you have any
questions about this letter.
Sincerely,
Deb Barker
Senior Planner
Enclosures
c: Ken Miller, Deputy Public Works Director
Kevin Peterson, Engineering Plans Reviewer
Bill McCollum, PW Inspector
Sarady Long, Senior Traffic Engineer
Scott Sproul, Assistant Building Official
Tom Raymond, South King Fire and Rescue
Chris Ingham, South King Fire and Rescue
John Jensen, Lakehaven Utility District
File#10-100981-.4D Doc LD 53629
MEMORANDUM
Community Development Services
Department
DATE: April 9, 2010
TO: Ken Miller
Kevin Peterson
*Sarady Long
Tom Raymond
Chris Ingham
FROM: Deb Barker
SUBJECT: CAMPUS CREST PRELIMINARY PLAT EXTENSION REQUEST
(10-100981-00-AD), 700 SW CAMPUS DR
Reply by: April 14, 2010
Attached please find an April 9, 2010 e-mail from Mike Bauer requesting a three-week extension
to start the necessary work at the Campus Crest site along with a copy of the construction contact
agreement for that work.
In a March 18, 2010 letter, the City said:
"Within 30 (thirty) days of the above referenced deadline, or Monday, April 26, 2010,
outstanding life safety items and Public Works punch -list items shall be addressed to the
satisfaction of the City or the preliminary plat request will be denied. "
Please review the three week request and let me know if you approve the three week request, or
if you chose to deny the plat extension request. Let me know if you need additional information.
Thanks
Deb Barker
From:
Mike Bauer [mike@thereoservices.com]
Sent:
Friday, April 09, 2010 11:32 AM
To:
Deb Barker
Cc:
'Carolyn S. Middleton'
Subject:
Campus Crest Extension
Attachments:
Les Russell Contract.pdf
Ms. Barker,
Attached please find the bid proposal for the site stabilization of Campus Crest. Umpqua Bank is poised to
fund the work yet has been advised to request the cooperation of the present owners in contracting the work.
They are in the process of doing that at this time. Rather than wait to notify the City of this at the 11th hour,
the Bank would like to be as transparent as possible.
If the City of Federal Way would please consider an extension of 3 weeks to have the work completed, the
Bank would be grateful. Umpqua Bank promises to begin work immediately after negotiating with the owners
and will not wait unnecessarily until the extension deadline.
Respectfully,
Nike Bauer
Cell: 425-495-6112
Office: 253-881-3 034
•' ;`
GATB
CONSTRUCTION CONTRACT AGREEMENT
DATE:
PROJECT NAME:
PROJECT LOCATION:
PROJECT ENGINEER
CONTRACTOR:
CLIENT/OWNER:
EXHIBITS ATTACHED:
April 1, 2010
Campus Crest Stabilization
700 SW Campus Drive, Federal Way, WA
Triad Associates
Les Russell Construction, LLC
Umpqua Bank, Attn: Jim Pirie
1496 Pacific Ave, P.O. Box 11628, Tacoma, WA 98411-6628
A. SITE STABILIZATION PUNCH LIST DATED 2/6/09
B. SCOPE OF WORK / SCHEDULE OF COSTS
General Sco a of Work ❑escri tion
Complete those certain Items from the Site Stabilization Punch List dated 2/6109, attached as Exhibit
A, which are priced on Exhibit 6.
Bid Prices/Costs
See attached Exhibit "B" for construction unit costs, description of specific work categories, and
estimated quantities.
Standard Contract Terms and Provisions Conditions
Les Russell Construction, LLC shall provide workmanship and materials to complete improvements,
as summarized on Exhibit "B" attached hereto (Scope of Work/Schedule of Costs"), -in substantial
conformance with the plans and specifications provided by Owner as attached to this contract, or
referenced herein. Owner agrees to provide compensation in the amount as specified on the
attached Exhibit "B",according to the fallowing terms and conditions. The complete Agreement
between Owner and Les Russell Construction, LLC is more fully set forth below.
1. Conformance with Generally Accepted Industry practices - Unless otherwise specified, all
workmanship shall be in reasonable conformance with generally accepted industry practices
for similar activities in the State of Washington. All materials purchased shall be generally
consistent with the required specifications, and shall be placed according to generally
1
accepted practices for such work in the municipality having jurisdiction. All bid prices include
the labor and materials required for each described unit item, except as may be otherwise
specified in this contract and /or subsequent addenda. Contract price is based on
unrestricted access to perform all the work with out interruptions from Owner and/ or Owners
contractors and/or agents.
2. Change Ordecs - Changes required during construction which involves an increase or
decrease in the quantities summarized on Exhibit "B" attached hereto will require
adjustments to our bid. Additional items required during the construction which have not
already been itemized on Exhibit "B" are to be negotiated as separate items when needed
through a change order, according to the bid. ALL CHANGE ORDERS ARE TO HAVE
OWNER APPROVAL PRIOR TO PERFORMANCE OF WORK. Owner shall agree that as
reasonably possible all change orders shall be in writing by fax, e-mail or regular
mail however when time is of the essence a prone call and or conversation in
person shall be deemed acceptable by the parties. All verbal conversations shall be
followed up in writing. In the event that Owner is not available and a change order
decision must be made Owner authorizes Contractor to make the decisions that are
In the best interest of the Owner. Owner or Owners representative shall be
reasonably available to approve any and all Change Orders. Owner shall agree to
promptly pay all costs for change orders on a monthly basis when due, in addition to other
amounts due under this contract. Any change orders or extra costs shall be by separate bid
and/or due to timing with work schedule of a Les Russell Construction, LLC Time and Material
schedule. (See also item 24m)
3. Construction Staking. - Construction staking is to be provided by Owner. This staking must be
provided in general conformance with the requirements of Contractor. Contractor shall be
responsible for recording any and all deviations from the approved plans and will
transmit that information to the Engineer and Surveyor for inclusion into the as -
built record. The Contractor will not be responsible for providing as -built drawings. Re -
staking required due to vandalism will be Owner's responsibility.
4. Scheduling - Contractor agrees to pursue the work on the project with enough manpower
and equipment to maintain a reasonable schedule for completion. During construction,
Owner and Contractor shall meet as needed to review the progress and to revise the schedule
as necessary to reflect delays due to inclement weather conditions, or other unforeseen
circumstances. Such meetings shall be initiated by Owner or Contractor as either party
deems a revision in the schedule or a progress report necessary or appropriate.
5. Weather Delays_- Contractor shall have the sole authority. to stop work due to inclement
weather conditions at any time without penalty, but shall continue to use its best efforts to
meet the schedule set forth in the Agreement. Contractor shall immediately notify the Owner
of any decision to stop work and shall include the reason therefore. Said decision and reason
shall be followed up in writing.
6. Traffic Control - This contract excludes costs for traffic control services and expenses.
7. Work Performance -- Owner will not contract or approve of any subcontractor work that may
interfere with Les Russell's production schedule or hinder the performance of Les Russell's
work.
8. Utility Coordination - Contractor shall coordinate all utility installation including power,
telephone, natural gas, and cable television, if available. Utility trenches are to be compacted
to 90 percent (90%), with Owner's soil engineer having responsibility to take tests and
2
determine if native material is suitable. All imported bedding or backfill material, together
with the cost to dispose of unsuitable excavation will be an extra and by a separate bid
and/or a Les Russell Construction, LLC Time and Material schedule. Re -excavation due to
weather or utility delays will be an extra.
9. Disposal of Waste L)eb 1 _Material - Removal of any waste material, debris, topsoil, other
excavation, or unsuitable material off -site shall be by a separate bid and/or a Les Russell
Construction, LLC Time and Material schedule
10.T, opsoil - Topsoil is to be stockpiled at Contractor's discretion in one or more locations on site,
or spread over portions of the adjacent lots.
11.Im orted A ❑re ates - This contract does not include provision for importing any backfill
material, pit run, crushed rock, or other aggregates, other than bedding for storm or sanitary
sewer system (see exclusions), unless specifically itemized on the attached Exhibit "B" and
then only to the extent shown. Owner agrees to pay the additional cost for such imported
aggregate materials delivered to the site, together with costs for placement and compaction
of such aggregates and labor for over -excavation and disposal of unsuitable material. This
will be a separate bid and/or a Les Russell Construction, LLC Time and Material schedule.
If Contractor can excavate for aggregates on site In a location acceptable to Owner within
the project boundaries of the proposed fill area, then Contractor shall receive additional
compensation of to be determined (TBD) per cubic yard "truck" measure to excavate
and place said material, using scrapers. If the offsite fill location is greater than one -quarter
mile from the project boundaries then the to be determined (TBD) per cubic yard shall
not apply. Instead, the work shall be at cost by a separate bid and/or a Les Russell
Construction, LLC Time and Materials schedule.
All unsuitable overburden or excavated material Is to be disposed of at Owner's expense,
without compaction, in locations directed by Owner. This work, including labor, shall be a
separate bid.
12. Compaction Te Ln - Compaction testing for all related phases of this project shall be
the responsibility of the Owner or the Owner's Agent. The Agent shall be
determined by Owner. The Owner shall employ.(to be determined), to provide compaction
testing of all fills and utility trench line backfill, and shall be on site during the grading and
backfill of utility trench operations to certify all lot grading and utility trench backfill, and shall
also be on site to supervise use of on -site native materials or for the need to import pit run
for road stabilization or trench backfill. Any reports received by Owner regarding any tests or
Information shall be immediately forwarded to the contractor in writing. Approval of
compaction methods and testing by the owner and/or the owner's contractors or agents shall
release contractor from subgrade liability.
13. Weather Limitations for Hydroseedin_g - If pond hydroseeding will not germinate due to
weather conditions, Contractor may delete this item and provide sod by a separate bid and/or
a Les Russell Construction, LLC Time and Material schedule or delay this work until weather
will permit. Watering of hydroseeded areas shall be by a separate bid and/or a Les Russell
Construction Time and Materials schedule.
14. Construction Cleanup - Contractor agrees to conduct Its operations in such a manner to
generally minimize disruptions to local streets and inconveniences to local residents. This
contract also includes provisions for cleanup by Contractor of construction -related debris and
materials following completion of the job.
3
15. Rock excavation - is defined as removal and disposal of solid rock, boulders over 1 cubic
yard, ledge rock, and rock -hard cementitious deposits that cannot be excavated with modern
heavy-duty track -mounted excavating equipment the size of a 95,000-pound Cat 235
excavator. This will be a separate bid and/or a Les Russell Construction, LLC Time and
Material schedule.
16. Billing - Contractor shall submit progress billings to Owner each month based upon
percentage of completion. Each progress billing shall include the additional tax required by
state law. These invoices shall be submitted to Owner by the 25"' day of each month for
work completed by this billing cut-off bate. Owner shall review and approve the construction
progress billings, which approval shall not be unreasonably withheld. These invoices shall
then be due and payable by the loth day of each following month. Final payment of contract
will be at the time the job is substantially complete not withstanding any additional change
orders.
Contractor's work shall be deemed reasonably complete when improvements installed by
Contractor are inspected or are "ready" for acceptance whichever comes first by onsite
Inspector. Contractor shall provide proof of payment for all material, labor, taxes, and other
costs required by the work for each monthly billing, a lien release for Contractor, and a
release of lien from the Washington State Department of Labor and Industries relevant to
Worker's Compensation taxes resulting from the work, if requested by Owner.
17. Late Payment Penalty - Contractor reserves the right to assess interest on any payments not
received by the 10�" of each month, in an amount equal to 1 percent (1%), computed
monthly on the outstanding balance. Owner also understands that in the event of
nonpayment for the work performed, Contractor reserves the right to stop work on the
project and to pursue the placement of a lien on the property to secure the payment due.
18. Bonds. Taxes and Permits - This contract does not include the provision for any bonds, taxes,
permits, or inspections, all of which must be provided by Owner. Sales tax is not included,
and will be added to all taxable work in accordance with the laws of the State of Washington.
19. arrant - Contractor shall provide a one (1)-year warranty for all workmanship and
materials provided by Contractor. The one (I) --year period shall commence following the
substantial completion of the Contractor's portion of the project. Contractor shall repair or
replace, without charge to Owner, any and all improvements that Owner notified Contractor
of that failed to meet the respective municipal agency standards due to faulty workmanship
and or materials during said one (1)-year period. Contractor shall not be responsible for
repairing or replacing damaged improvements to the extent caused by the activities of
others.
Owner shall pay for repair of damaged utilities that are broken due to action of Owner or its
agents, except where subgrade failure occurred due to inadequate compaction. Contractor
shall not be responsible for keeping the streets and utility lines clean during said one (1)-year
period or for performing any routine maintenance on the storm retention facilities or
blofiltration swale. Any cleaning or routine maintenance will be the responsibility of Owner.
20. Hazardous Waste Uabillty Indemnification -- Owner agrees to indemnify and hold Contractor
harmless for any liability incurred as a result of pre-existing hazardous waste found on the
premises, whether such existence is known to Owner or not. Owner hereby warrants that the
property is free of hazardous substances as commonly defined by the Washington State
Department of Ecology and the Federal Comprehensive Environmental Response
M
Compensation, and Liability Act (CERCLA), administered by the Federal Environmental
Protection Agency.
21.Contract Assumptions and ation to Construction Plons - This contract has been prepared
using copies of construction plans prepared by see atta and provided by Owner. If
these plans are modified before or during construction, then the bid items and quantities
summarized in this bid proposal shall be adjusted accordingly between Contractor and Owner,
by the Change Order process.
22. Contra cLgr_Rgg:tstration - Les Russell Construction, LLC is registered with the State of
Washington, Registration No. LESRUCL022QT, as a general contractor, and has posted with
the State of Washington a bond for $12,000 for satisfying claims against Contractor for
negligent or Improper work or breach of contract in the conduct of Contractor's business.
This bond may not be sufficient to cover a claim that might arise from the work performed
under this contract. If any supplier of materials used in this construction project or any
employee of Contractor or subcontractor Is not paid by Contractor or subcontractor on this
project, Owner's property may be liened to force payment. If Owner wishes additional
protection, it may request Contractor to provide original "lien release" documents from each
supplier or subcontractor on this project. Contractor is required to provide Owner with
further Information about lien release documents If Owner so requests. General information
is also available from the Department of Labor and Industries.
23.Prol2osal Ex ira i Da e -- This quotation is valid for fourteen (14) days from the date shown'
hereon, unless extended by Les Russell Construction, LLC.
24. Mlscellaneous
a. This written Agreement, including the exhibits "A", & "B" attached hereto and
incorporated herein by this reference, constitute the complete Agreement between the
parties and incorporate all prior written or oral negotiations. All modifications to this
contract, including Change Orders for different or additional work, must be In writing
and signed by the parties hereto. Neither this Agreement nor any term or provision
hereof may be changed, waived, discharged, amended, modified, or terminated orally,
or in any manner other than by an instrument in writing signed by the parties hereto.
All invoicing for time and equipment/material shall be accompanied by copies of actual
Invoices for said time and equipment/materials.
b. Neither the Contractor nor the Owner shall assign their rights or obligations under this
Agreement without the written consent of the other except as to the assignment of
proceeds.
c. This Agreement shall be governed by and interpreted in accordance with the laws of
the State of Washington and the ordinances of the local jurisdiction in which the
property is located,
d. The failure of either party to this Agreement to insist upon the strict conformance to
Its terms by the other party shall not operate as a waiver of the fight to subsequently
so insist.
e. The underlined paragraph headings in this document are not a part of this Agreement
and shall not be interpreted to limit, modify, or expand the terms of this Agreement or
the obligations of rights of the parties hereto.
61
f. If any portion of this Agreement shall be found to be invalid, illegal, unenforceable, or
contrary to law, in whole or part, the remainder of the Agreement shall to"the extent
practicable continue to remain in full force and effect.
g. Time is of the essence for the Agreement
h. This Agreement shall be binding upon and inure to the benefit of the respective parties
and their successors and assigns, heirs, and personal representatives.
I. The paragraph headings are for convenience only and in no way define, limit, extend,
or Interpret the scope of this Agreement or of any particular paragraph hereof.
j. All pronouns include the masculine, feminine, neuter, singular, or plural as the
indemnification of persons, places, firms, corporations, or entities and the context may
require.
k. Each individual executing this Agreement on behalf of a corporation or other entity
represents and warrants that the individual is duly authorized to execute and deliver
this Agreement on behalf of said corporation or entity in accordance with a duly
adopted resolution of the Board of Directors of said corporation or entity or in
accordance with the by-laws of said corporation or entity, and that this employment
agreement is binding upon said corporation or entity in accordance with its terms.
I. If either party to this Agreement shall retain an attorney to enforce their rights
hereunder because of any default or breach on the part of the other party or for a
determination of the rights of the parties hereto, the prevailing party shall be entitled
to recover its expenses, costs, and reasonable attorney fees in connection therewith. .
m. In the event that the Owner and Contractor agree that a change order is needed that
is over and above the contract amount; the Contractor will provide a change order
form/request that the owner and the contractor shall agree to as to its terms and
conditions prior to any work being started. Upon the Change order request being
presented to the owner by the contractor the owner shall agree to the terms and
conditions verbally first and then in writing. The owners agree to be available at all
reasonable times to discuss any possible changes in the work to be performed and
agree to pay the full amount of any work order changes with the normal contract
billing. In order to assure the owner of a timely finish to the project and that both
parties agree that a slow down and or stoppage is not In the best interests of either
the owner, and, or the contractor, change orders that have been agreed to, but not
signed by the owner, shall be deemed acceptable within 24 hours of delivering to the
owner. For purposes of clarification delivery shall mean via facsimile, a -mall, U.S. mail
and, or, hand delivered.
n. In the event that the Les Russell Construction bid is done on preliminary engineer's
plans, Les Russell shall have the right to re-bld this job. Final price shall be from
approved engineering plans only. (see Exhibit "C")
25. Arbitration — All claims or disputes between the Contractor and Owner, arising out of or
related to the work under this Agreement, shall be decided by binding arbitration, with the
arbitrator to be chosen by mutual agreement of the parties. If the parties cannot agree upon
an arbitrator, each party shall appoint one arbitrator and the two arbitrators shall jointly
appoint a third arbitrator and the third arbitrator shall serve as the sole arbitrator to hear any
claims or disputes hereunder. Notice of the Demand for Arbitration shall be filed in writing
0
with the other party to this contract. The parties agree to share equally and pay the
arbitrator's fee, provided the prevailing party shall be entitled to an award for the arbitrator's
fee paid by the prevailing party. The award rendered at the arbitration shall be final, and
judgment may be entered upon it in accordance with the applicable law in any court having
jurisdiction thereof. Notwithstanding this provision, nothing shall preclude the Contractor's
right to pursue lien remedies and procedures as provided in RCW 60.04. However, the
Contractor's right to foreclose upon a labor and materialmen's lien must be based upon an
arbitrator's award in the Contractor's favor. The arbitrator's award may be registered in the
appropriate Superior Court, a judgment obtained upon the arbitration award and upon this
judgment a lien foreclosure action may be predicated.
26.Insurance — Contractor shall maintain public liability insurance that covers death or bodily
injury and property damage with a combined single limit of not less than $2,000,000.00 that
protects Contractor and Owner from any liability on account of such injury or damage that
might arise out of the conduct of the work contracted for herein and performed by Contractor
or any subcontractor or employee or agent of either Contractor or any subcontractor. Said
insurance shall name Owner as an additional named insured. Contractor agrees to provide
Owner with proof of insurance coverage in conformance with this paragraph prior to
commencement of work. Contractor agrees to provide Owner with ten (10) days written
notice prior to cancellation or non -renewal of insurance for any reason.
27. No PartnershJ1p_a ]oint Venture - Contractor and Owner agree, affirm, and represent that
their relationship is one solely as a Contractor and Owner, respectively, and not as partners,
joint ventures, or employee/employer.
Authorized Signature Dated
Les Russell Construction, LLC
Acceptance of Proposal
The scope of work and costs, together with the specifications, conditions, revisions, and contractual
obligations set forth herein are satisfactory and are hereby accepted. By accepting this proposal,
the Les Russell Construction, LLC is hereby authorized to begin the work as specified with payment
to be made according to the terms and conditions of this Agreement.
Authorized Signature
7
Date
SITE STABAUZATON PUNCH LIST
Campus Crest
700 SW Campus Drive
Permit No_ 08-102647-00-OP
February 6, 2009
ITr,=Nt 1 tocATIQN
Miscellaneous
Retention/Detention Fond
SW Campus Drive @ Proposed 9th
Ave SW
L:NCSDCkE)MSESAV E\$a4747 Za30. Do c
DF-scRlnTloN OF WORK
• Remove trash and debris from entire site and
BPA right-of-way.
• Repair and maintain construction fencing per
plan.
• Stock Piles: Knock down steep edges, mound
piles, seed and coverwith rolled erosion control
matt; install slit fence arodnd bottom. (Hog Fuel
can be used as cover,)
• Hydroseed and cover all exposed soll surfaces
With 2" to W of mulch (existing straw cover is too
light).
Remove all construction lath within all BPA
easements, and withirt all City property and rights
Of way.
Secure all CB's and structures to have
permanent grates and/or lids attached, socks
installed, and backfill any excavations and/or
trenches.
Provide details outlining safety and erasion
control measures for all portlons of the drajn@ge
system that are actively conveying storm water.
All graded areas on City properly shall be sloped
3:1, minimum, and remove any obstacles.
Slope pond sides to 3:1 rrtaximum, or enclose
with 6-foot high chain link fence_
Cover exposed soil with rolled erosion control
matt.
• Remove all debris from and within the pond.
• Move fence back from edge of sidewalk on SW
Campus Dr at proposed 9" Ave SW.
• Backfill around any structures and install tops
and grates or lids.
Site Slabilization.Punch List
Permit No. 08-102647-00-OP
February 6, 2009
Page Two
ITEM l LOCATION
DESCRIPTION OF WORK
Avenue $W Re -install permanent Type lit barricades at end of
11 fl, Ave SW, and taper road ending (no steep
drop off).
® 111 Ave SW that's cut to sub -grade will treed
bare ground covered with mulch, 2" to 3" deep.
® BPA Trail at 11t` Ave SW crossing: Provide a
minimum 2-foot shoulder on each side, slope
bank edges, and remove construction fencing
from sides.
BPA Trail at 11`h Ave SW crossing: install a
permanent asphalt patch.
121h Avenue SW Barricade end of sidewalk on 12ch Ave SIN_
® Repair curblgirtter on 12h Ave SW at
construction entrance to SW 341ct St to restore
drainage.
® Secure/Block construction entrance off of 12�
Ave SW.
Backfill behind curb on" 12`h Ave SW adjoining
Wynstone.
All exposed surfaces and slopes shall he seeded/mulched per the
r�q 946inerit� of lliq �19g8 King. buhty Surface Water Design Manual
(1<84w6m) and the approved plans. This site shall be stabilized and
maintained to meet the standards required sunder the KCSWlDM and
the NP1aES Permit conditions.
L.XCSD C\DO CSN.SRVEA6347473030.DOC
CAMPUS CREST PUNCHLIST
CUSTOMER: UMPQUA BANK
PHONE: JIM PIRIE
DATE BID DUE:3130110
ESTIMATOR: JAY
UPDATED:
3i3112010
UNIT PRICE
UNIT
TEM; DESCRIPTION
ESTQUAN MEAS
UNITPRICE
TOTAL
11 TH AVE SW
1 REINSTALLTYPE3,TAPER ROAD EDGE
1 LS
$627.00
$627.00
2 COVER 11TH WITH MULCH
1 LS
$4000.00
$4000.00
3 BPATRAIL, SHOULDER 2 FT.SLOPE
1 LS
$600.00
$600,00
4 BPA PERMANENT PATCH
1 LS
$2490.00
$2490.00 $7617.00
12TH AVE SW
1 BARRICADE 51WON 12TH
1 EA
$160.00
$160.00
2 REPAIR ASPHALT WEDGE
1 LS
$860.00
$850.00
3 BLOCK 12TH AVE ENTRY
1 EA
$100,00
$100.00
4 BACKFILL CURB ON 12TH
1 LS
$400.00
$400.00 $1610.00
MISCELLANEOUS
1 REMOVESITETRASH
1 LS
$1885.00
$1835-00
2 REPAIR SILT FENCING
1 LS
$840.00
$840,00
3 STOCKPILE GRADING & SILT FENCE
l LS
$5840.00
$5840.00
4 HYDROSEEDAND MULCH
I LS
$1210.00
$1210.00
5 REMOVE LATH
1 LS
$155.00
$165.00
6SECURECB,S,BACKFILLEXCAVATIONS
1 LS
$1200.00
$1200,00
7 SITE SAFETY PLAN
1 LS
$250.00
$250.00
8 SLOPE ALL GRADES TO3:1 MAX
1 LS
1
$1200.00
$1200.00 $12530,00
1
CAMPUS CREST PUNCHLIST
RETENTION 1 DETENTION POND
1 ENCLOSE WITH TEMP FENCE
2 COVER EXPOSED Sol LW/JUTE MAT
3 REMOVE DEBRIS FROM POND
SW CAMPUS DR & 9TH AVE SW
4 MOVETEMP FENCEAT CAMPUS DRIVE
6 RACKFILLAND INSTALL TOPS ON CB,S
6 MOB EQUIPMENT IN AND OUT
1 LS $2600.00 $2600.00
1 LS $6760,00 $6760.00
1 LS $010,00 $610.00 $9970.00
1 LS $210.00 $210.00
1 LS $3300.00 $3300.00
1 LS $1600.00 $1600.00 $6110.00
$36737.00 $36737.00
1 ACRE OFHYDROSEEDING INCLUDED IN BID.ADD $1,100.00 PERACREAS NEEDED
ADD FOR 721N BEEHIVE IF N EEDED $2,200.00
2
March 24, 2010
Deb Barker
RESUBMITTED
MAR 2 4 2010
CITY OF FEDERAL WAY
BUILDING DEPT.
Senior Planner
City of Federal Way
33325 8th Avenue South, PO Box 9718
Federal Way, WA 98063-9718
Re: Campus Crest
03-104293-SU
Dear Ms. Barker,
REO Services, LLC
REO Services, LLC has consulted with Mr. Isaac Conlen regarding the
completeness of our plat extension application and have received
confirmation that our application satisfied both (A) extension criteria and (B)
authorization verification.
We presently have two site contractors working on providing the Bank bids to
remediate the stabilization and safety measures itemized in the February
2009 punch list.
We have had a discussion with Capt. Tom Raymond from SKFD and
understand the steps necessary to address that department's safety concerns.
We have had several discussion with Mr. Kevin Peterson and will be
contacting Mr. Ken Miller later this week to schedule a site visit in order to
update that punch list so that contracts for the work to be done represent the
work that is expected by the Public Works Department.
It is our intent to begin the stabilization of the site as early as the week of
March 29-April 2.
Respectfully,
Mic ael C. Bauer
REO Services, LLC
1102 39th Ave. SW Suite 304
Puyallup, WA 98373
(253) 881-3034
mike thereoservices.com
cc. Carolyn Middleton
Jim Pirie
CITY of CITY HALL
33325 8th Avenue outh
'LE
Mailing Address: Box 9718
�� FedQraI Way
98 ��.++ Federal Way, WA 98063-9718
(253) 835-7000
www.cityoffederalway.com
March 18, 2010
Donald Gardner
Campus Crest LLC
PO Box 24585
Federal Way, WA 98093
Michael Bauer
REO Services LLC
1102 39`h Avenue SW, Suite 304
Puyallup, WA 98373
RE: FILE #10-100981-00-AD AND FILE #10-101031-00-AD
CAMPUS CREST PRELIMINARY PLAT EXTENSION REQUESTS
Dear Mr. Gardner and Mr. Bauer:
The City is in receipt of your requests for extension of the preliminary plat application for the Campus
Crest subdivision. This 114-lot subdivision received preliminary plat approval on March 15, 2005, with
the MDNS issued on September 29, 2004.' As the expiration date for preliminary plat approval was on
Sunday, March 14, 2010, expiration was extended to March 15, 2010. Two separate extension requests
were received by March 15.
ADDITIONAL INFORMATION REQUESTED
Under Federal Way Revised Code (FWRC) 18.05.090 (1), no less than 60 days prior to the lapse of
approval, the applicant may request an extension of those time limits of up to two years. The 60-day time
period was not met by either requestor. The City, however, will consider the requests despite the lack of
timely filing. Specific information, however, must be provided before any extension request can be
considered. The below requested information must be submitted within seven (7) days of the date of this
letter or the application(s) will be considered incomplete and the plat will expire. Note: the two
applications varied significantly in terms of quality/completeness, so the following comments
throughout the remainder of this letter may not be applicable to both applications. Please respond
to the following as applicable:
(A) Extension Criteria — In order to be granted by the Director of Community Development Services
an extension request shall satisfy the criteria of FWRC 18.05.090(2). In the case of Campus
Crest, the request must address criterion (2b), (2c), and (2d) of FWRC 18.05.090. As provided in
FWRC 18.05.090, the applicant may also provide pertinent documentation of financial backing,
lease or other such commitments secured by the developer or agent, as well as applicable project
timelines with milestones and dates of anticipated completion. Relevant information must be
formally provided in writing by the above noted deadline.
' File #03-104293-00-SU, 03-104310-00-SE
Mr. Gardner and Mr. Bauer
Margh 18, 2010
Page 2
(B) Authorization — Provide written documentation accompanied by a cover letter to demonstrate
that your firm or the firm that you represent is authorized as the applicant to file the preliminary
plat extension as defined under FWRC 19.05.010.2
ABATEMENT OF LIFE/SAFETY/OTHER HAZARDS
The City and South King Fire and Rescue (SKFR) remain concerned about hazardous and unsafe
conditions that continue at the site. In a letter dated March 6, 2009, the city provided a punch -list of
outstanding issues that exist on the site. A copy of this punch -list is enclosed. On July 9, 2009, a Notice of
Violation (NOV) was issued by SKFR to Donald Gardner due to the large pile of chips, which have self-
combusted numerous times. Subsequent SKFR callouts resulted in extensive service time and firefighter
injury as noted in the enclosed memorandum. A fine has been paid, but the condition continues unabated.
A second violation is in process.
The above violations and hazardous conditions must be corrected prior to city consideration/issuance of a
plat extension. Within thirty-seven (37) days of the date of this letter please correct the above -referenced
hazards and punch -list items. If these issues are not resolved within the time specified, the city will deny
the plat extension requests.
OTHER RELEVANT INFORMATION ABOUT THE PRELIMINARY PLAT PROJECT
(A) Traffic Mitigation —The 2004 SFPA determination required that pro-rata share contribution be paid
to the -City to mitigate traffic impacts prior to final plat approval. The City's traffic division has
reviewed the MDNS and finds that a majority of the identified projects have been constructed. They
note that they would support extension of the preliminary plat subject to conditions to address the
following:
1. The applicant would be required to fund the preparation of a concurrency analysis to be
performed by the City. This analysis will determine if capacity still exists for the proposed
114 single-family lots. In the event that there is not adequate capacity, the applicant would be
required to construct whatever mitigation measures are necessary to obtain the adopted Level
of Service (LOS) at any failing intersection.
Z. The applicant would be required to make payment of applicable transportation impact
fees/concurrency fees that are in effect associated with any extension.
This information is included for your information. Timing and other details will be considered and
identified as conditions of approval should the plat extension request(s) be approved.
(B) Lakehaven Utility District —In a March 16, 2010 memorandum, Lakehaven Utility District noted
that water and sewer systems were approved and partially installed, but they have not been accepted
by Lakehaven. The developer extension agreement has expired under its own terms, but Lakehaven
has not terminated the agreement. However, the project account is delinquent and Lakehaven has
filed a lien against the property. Lakehaven could amend the agreement to extend the expiration date
2 Applicant "means a person who, whether personally or through an agent, seeks, requests, or applies for any permit, approval,
license, franchise, development proposal, or capacity reserve certificate (CRC), aperson who is the owner of the property subject
to this title, and a person who is engaged, whether personally or through an agent, in development activity. "Applicant" includes
both the principal and any agent.
10-100981 Doc I D 53328
Mr. Gardner and Mr. Bauer
March 18, 2010
Page 3
and work with the developer/bank/court receiver to complete the project. The contact for the
developer/bank/court receiver needs to provide a written request to Lakehaven with contact
information to amend the agreement and bring the project account ctu-rent before the amendment can
be generated. For specifics on the outstanding project account the developer/bank/court receiver
needs to contact John Jensen, Lakehaven Utility District, at 253-946-5706 or at
jjensen@lakehaven.org.
SUMMARY
In order for the City and South King Fire and Rescue to consider an extension request, information
addressing the preliminary plat extension criteria and owner authorization must be submitted to the City
within one week of the date of this letter, or March 25, 2010. Failure to provide this required information
by the date stated will result in denial of the extension request. Within 30 (thirty) days of the above
referenced deadline, or Monday, April 26, 2010, outstanding life safety items and Public Works punch -
list items shall be addressed to the satisfaction of the City or the preliminary plat request will be denied.
RESUBMITTAL INFORMATION
When resubmitting requested information, please provide six copies of any letters or documents, and
include the enclosed Resubmittal Information form with your materials.
I can be reached at 253-835-2642 should you have any questions about this letter. Please note that I will
be out of the office from March 17 through March 26, 2010. In my absence, please contact Planning
Manager Isaac Conlen at 253-835-2643 or at Isaac.conlen@cityoffederalway.coin
Sincerely
-�—yO'eb Barker
Senior Plamier
enc: Public Works March 12, 2009 letter and Punch List
South King Fire and Rescue memo and photo dated July 2009
Lakehaven Memo dated March 16, 2010
Resubmittal Information Form
Request for Public Records
c: Tom Raymond, South King Fire and Rescue
Chris Ingham, South King Fire and Rescue
John Jensen, Lakehaven Utility District
Ken Miller, Deputy Public Works Director
Kevin Peterson, Engineering Plans Reviewer
Sarady Long, Senior Traffic Engineer
PW Inspectors
Scott Sproul, Assistant Building Official
10-100981 Doc. I.D. 53328
Will Bishoo, White & Marshall, PS.
ATTORNEYS AT LAW
WILLIAML &SHOP, JR
KRISTA L- MTE' •''•'
ANN T. MARSHALL
DAMDA WEIBEL•
ERIN M. SMNES
LAURIE K. FRIEDL'
ANNETTECOOK
DANIEL L HEMBREE--
HALLIE N. WNNETT #
BPRBARAL.BOLLERO— '
JEFFREY S. MACKIE
JEROME M. YALON. JR.;
of counsel
KENNARO M. GOODMAN "'
Alm AdMW In Ompoo
Also A&dbd in Idaho
^• Also AdmKledin Alaska
Also Admhled In Cafd
Aso A&MvdinlY 41
# A1kaW In Calla
March 12, 2010
VIA E-MAIL AND U.S. MAIL
Deb Barker, Senior Planner
City of Federal Way
33325 8th Avenue South, PO Box 9718
Federal Way, WA 98063-9718
RE: Campus Crest; 03-104293-SU
Dear Ms. Barker:
72D OLIVE WAY, SUITE 1301
SEATTLE, WASHINGTON 98101-1801
TELEPHONE
(206)622-5306
FAX
(206) 622-0354
E-MAIL
AMarshafl@ bwmlegaf.com
Phone Extension 5915
I am an attorney for Umpqua Bank and writing this to follow up on Umpqua Bank's request for an
extension of the above referenced plat application. I understand the City has requested the authority for the
lender's request for the extension. Umpqua Bank is the beneficiary of a deed of trust encumbering the property.
Its predecessor, Rainier Pacific Bank, made a construction loan in the amount of $16,500,000. Pursuant to the
Deed of Trust, a copy of which is enclosed herewith, Campus Crest Properties, LLC, ("Campus Crest"), the owner
of the property, is obligated to take reasonable steps to protect and preserve the property. See p. 3, Paragraph
"Duty to Protect" ("Grantor shall do all other acts, in addition to those acts set forth above in this section, which
from the character and use of the Property are reasonably necessary to protect and preserve the Property.')
Further, if Campus Crest fails to comply with this provision of the Deed of Trust, the Lender may take any action
the Lender deems appropriate, on Grantor's behalf. See p. 4, Paragraph "Lender's Expenditures." Also, in the
construction loan agreement, Campus Crest agreed to complete improvements as planned and approved by the
lender. The lender has not approved any other plan or use for the property other than as set forth in the
preliminary plat approval.
MAR 12 2010
CITY OF FEDERAL WAY
BUILDING DEPT.
Umpqua Bank requests that its request for an extension be considered and granted_ Its position is that it
has standing to make the request. Should anyone have any questions or need further information, please let me
know.
Very truly yours,
BISHOP WHITE & MARSHALL, P.S.,
Ann T. Marshall
FRETURN ADDREESS:
i
Rainier Pacific Bank
Administrative Office
P.O. Box 11628
Facoma, VJA 984,1
20071022001617
FIDE1:ITY NATIO BT 53.00
PAC.t "I OF 013
10FZZJ2007 14 : i 1
KING COUNTY, IJA
CONSTRUCTION DEED OF TRUST
MSUP,ED'
DATE: October 3. 2007 ;. 8"r 4 E NPR. � €ONAL TITLE
E� ..,,
Reference P (if applicable); 801951760 —� �i Additional on page
Grantor(s);
1. Campus Crest Properties. LLC
Grantees)
1. Rainier Pacific Bank
2. Fidelity National Title, Trustee
Lega: Description: Pin SE NW 19-21-4 3
Additional on page
Assessor's Tax Parcel ID#: 1 92104-9008-03 and 192104-9043-00
THIS DEED OF TRUST is dated October 3, 2007, among Campus Crest Properties, LLC, a
Washington Limited Liability Company ("Grantor"); Rainier Pacific Bank, whose mailing address
is Administrative Office, 1498 Pacific Avenue, Tacoma, WA 98402 (referred to below
sometimes as "Lender" and sometimes as "Beneficiary"); and Fidelity National Title, whose
mailing address is 2727 HDllycroft Street, Suite 460, Gig Harbor, WA 98335 (referred to below
as "Trustee") -
RESUBMITTED
MAR 12 2010
CITY OF FEDERAL WAY
BUILDING DEPT.
DEE[) OF TRUST
Loan No: 801951760 (Continued) Page 2
CONVEYANCE AND GRANT. For valuable consideration, Grantor conveys to Trustee in trust with power of sale. right
of entry and possession and for the benefit of Lander as Samfrciary. all of Grantor's right, ti:le, and interest in and to
the following described real property, together with all existing or subsequently erected or affixed buildings,
improvements and fixtures; all easements, rights of way, and appurtenances; all water, weiat rights and ditch rights
lincltrtfing stock in utilities with ditch or irrigation rightsl; and all other rights, royalties, and profits reiaiing to the real
property, including without lirnita;ton all minerals, oil, gas, geothermal and similar matters, the `Real Property")
located in King County, State of Washington:
See Exhibit "A", which is attached to this Deed of Trust and made a part of this Deed of
Trust as if fully set forth herein.
The Real Property or its address is commonly known as 702 SW Campus Drive, Federal Way,
WA 98023. The Real Property tax identification number is 192104-9008-03 and
192104-9043-00.
Grantor hereby assigns as security to Lender, all of Grantor's right, title, and interest in and to all leases, Rents, and
profits of the Property. This assignment is recorded in accordance with RCW 65.08,070: the lien created by ;his
assignment is intended to be specific, perfected amf choele upon the rerording of this Deed of Trust. Lender grants to
Grantor a license to collect the Rents and profits, which license may be revoked at Lender's opticn and shall be
automatically revoked upon acceteration of all or part of the Indebtedness.
THIS DEED OF TRUST, INCLUDING THE ASSIGNMENT OF RENTS AND THE SECURITY INTEREST IN THE RENTS AND
PERSONAL PROPERTY, IS GiVEN TO SECURE (Al PAYMENT OF THE INDEBTEDNESS AND IB) PERFORMANCE OF
ANY AND ALL OBLIGATIONS UNDER THE NOTE, THE RELATED DOCUMENTS, AND THiS DEED OF TRUST. THiS
DEED OF TAUS T, INCLUDING 1,it ASSIGNMENT OF RENTS AND THE S1=CURrrY INTEREST. IN THE RENTS AND
PERSONAL PROPERTY. IS ALSO GIVEN TO SECURE ANY AND ALL OF GRANTOR'S OBLIGATIONS UNDER THAT
CERTAIN CONSTRUCTION LOAN AGREEMENT BETWEEN GRANTOR AND LENDER OF EVEN DATE HEREWITH_ ANY
EVENT OF DEFAULT UNDER THE CONSTRUCTION LOAN AGREEMENT. OR ANY OF THE RELATED DOCUMENTS
REFERRED TO THEREIN, SHALL ALSO BE AN EVENT OF DEFAULT UNDER THIS DEED OF TRUST. THIS DEED OF
TRUST IS GIVEN AND ACCEPTED ON THE FOLLOWING TERMS;
PAYMENT AND PERFORMANCE_ Except as atfterwise provided in this Deed of Trust. Grantor shall pay to Lender all
amounts secured by this Deed of Trust as they become due, and shall stricify and in a timely manner perform all of
Grantor's obligatfons under the Note, this Deed of Trust, and the Related Oocu nents.
CONSTRUCTION MORTGAGE, This Geed of Trust is a 'construction mongage' for the purposes of Sections 9-334
and 2A•309 of the Uniform Commercial Code, as those sections have been adopted by the State of Washington_
POSSESSION AND MAINTENANCE OF THE PROPERTY_ Grantor agrees that Grantor's possession and use of the
Property shall be governed by the following provisions:
Possession and Use. Until the occurrence of an Event of Default, Grantor may (1) remain in possession and
control of the Property; f2) use, operate or manage the Property; and 13) collect the Rents from the Property
phis privilege is a license from Lender to Grantor automatically revoked upon default). The following provisions
relate to the use of the Property or to other lirniiatlons on the Property. The Real Property is not used principally
for agricultural purposes.
Duty to Maintain. Grantor shall maintain the Property in tenanrable condition and promptly perform all repairs,
replacements. and maintenance nct:essary to preserve its value.
Nuisance. Waste. Grantor shall nor cause, cohdvcl or permii any nuisance nor commit, pettnit, Ur suffer any
stripping of or waste on or it the Property of any portion of the Property. Without limitirsg the generality of the
loregoing. Grantor will not remove, or grant to any other pang the right to remove, any timber, mortals fmcluding
oil and gas), coal, clay, scoria, soil grave; or Pock products without Lr:nder's prior written consent
Removal of Improvements_ Grantor shall not demolish or remove any improvements from the Real Property
without Lender's prior written consent. As a condition to the removal of any Improvements. Ler.det may require
Grantor to make arrangements satisfactory to Lender to replace such Improvements with Improvements of at least
equal value.
Lender's Right to Enter. Lender and Lender's agents and representa lives may enter upon the Rear Property at all
reasonable times to attend to Lender's interests and ro inspect the Real Property for purposes of Grantor's
compliance with the terms and conditions of this Deed of Trust.
Compliance with Governmental Requirements. Grantor shall promptly comply, and shell promptly catise
DEED OF TgUST
Loan No: 801951?f3D (Continuc-d) Page 3
compliance by all agents, ienanls of other persons or entities of every nature wharsDever who rent, lease or
otherwise use or occupy the Property in any manner, with all taws, ordinances, and regulations, now or hereafter
in effect, of all governmental authorities applicable to the use or occupancy of the Property, including without
limitation, the Americans With Disabilities Act. Grantor may contest in good faith any such law, ordinance, or
regulation and withhold compliance during any proceeding, including appropriate appeals, so long as Grantor has
notified Lender in writing prior to doing so and so long as, in Lender's sole opinion, Lender's interests in the
Property are not jeopardized. Lender may require Grantor to post adequate security or a surety bond, reasonably
satisfactory to Lender, to protect Lender's interest.
Duty to Protect. Grantor agrees neither to abandon or leave unattended the Property. ClUnior shall do all other
is in addition to those acts set forth above in this section, which from the characier and use of the Property are
reasonabf Mmssary to protect an prese e t e roe
Construction Loan. It some or all of the proceeds of the loan creating the indebtedness are to be used to construct
Of complete construction of any improvements on the Property, the Improvements shall be completed no Eater Than
the maturity date of the Note for such earlier data as Lender may reasonably establish) and Grantor shall pay in full
all costs and expenses in connection with the work. Lender will disburse loan proceeds under such terms and
conditions as Lender may deem reasonably necessary to insure that the interest created by this Deed of Trust shall
have priority over all possible liens, including those of material suppliers and workmen, Lender may require, among
other things, that disbursement requests be supported by receipted bills, expense affidevits, waivers of liens,
construction progress reports, and such other documentation as Lender may reasonably request.
TAXES AND LIENS. The following provisions relat)hg to the taxes and liens on the Propeny are part of this Deed of
Trust:
Payment. Grantor shall pay when due land in all events prior to delinquency) all taxes, special taxes, assessments,
charges (including water and sewer), tines and impositions levied against or on account of the Property, and shall
pay when due all claims for work done an or for services rendered or material furnished to the Property. Grantor
shall maintain the Property free of ail liens having priority over or equal to the interest of Lender under this Deed of
Trust, except for the lien o1 taxes and assessments not due and except a5 otherwise provided in this Deed of
Trust.
Right to Contest. Grantor may withhold payment of any tax, assessment, or claim in connection with a good faith
dispute over the obligation to pay, so long as Lender's interest in the Property is not jeopardized. li a lien arises or
is filed as a result of nonpayment, Grantor shall within fifteen 415) days after the lien arises or, if a lien is fried,
within fifteen (1 5) days aher Grantor has notice of the filing, secure The discharge of the lien, or if requested by
Lender, deposit with Lender cash or a sufficient corporate surety bond or other security satisfactory to Lender in an
amount sufficient to discharge the lien plus any Costs and attorneys' lees, or other charges that could accrue as a
result of a foreclosure or sale under the Gen, In any contest, Grantor shall defend itself and Lender and shall
satisfy any adverse judgment before enforcement against the Property_ Grantor shall name Lender as an additional
obligee under any surery bond furnished in the contest proceedings.
Evidence of Payment. Grantor shall upon demand furnish to Lender satisfactory evidence of payment of the taxes
or assessments and shall authorize the appropriate governmental official to deliver to Lender at any time a written
statement of the taxes and assessments against the Property.
Notice of Construction. Grantor shall notify Lender at least lihean 1151 days before any work is commenced. any
services are furnished, or any materials ere supplied to the Property, if any mechanic's lien, rnateriafinen's lien, or
other lien could be assened on account of the work, services, or materials. Grantor will upon request of Lender
furnish to Lender advance assurances satisfactory to Lender that Grantor can and will pay the cost of such
improvements.
PROPERTY DAMAGE INSURANCE. The following provisions relating to insuring the Property are a part of this peed of
i Ft155.
Maintenance of Irrsuranca_ Grantor shall procure and maintain policies of fire insurance with standard extended
coverage endorsements on a fair value basis for the full insurable value covering all Improvements on the Real
Property in an amount sufficient to avoid application of any coinsurance rfause, and with a standard mortgagee
clause in favor of Lender. Grantor shall also procure and maintain comprehensive general liability insurance in such
coverage amounts as Lender may request with Trustee and Lender being named as additional insureds in such
liability insurance policies. Additionally, Grantor shall maintain such other insurance, including but not limited to
hazard, business interruption, and boiler Insurance, as Lender may reasonably require. Policies shall be written in
form, amounts, coverages and basis reasonably acceptable to Lender and issued by a company or companies
reasonably acceptable to Lender. Grantor, upon request of Lender, will deliver to Lender from time to time the
polices or certificates of insurance in form satisfactory to Lender, including stipulations that coverages will not be
cancelled or diminished without at least lhirty (3D) days prior written notice to Lender. Each insurance policy also
shall include an endorsement providing that coverage in lavor of Lender will not be impaired in any way by any act,
DE-ED OF TRUST
Lawn No:9D1951760 (Continued) Page 4
omission or default of Grantor or any other person. Should the Reel Property be located in an area designated by
the Director of the Federal Emergency Management Agency as a special flood hazard area, Grantor agrees to
obtain and maintain Federal Flood Insurance, if available, within 45 days after notice is given by Lender that the
Property is located in a special flood hazard area, for the full unpaid principal balance of the loan and any prior liens
on the property securing the loan, up to the maximum policy limits set under the National Flood Insurance Program,
or as otherwise required by Lender, and to maintain such insurance for the term of the loan.
Application of Proceeds_ Grantor shall promptly notify Lender of any foss of damage to the Property. Lender may
make proof of loss if Grantor fails to do so within fifteen (151 days of the casualty_ Whether or not Lender's
security is impaired, Lender may, at Lender's election, receive and retain the proceeds of any insurance and apply
the proceeds to the reduction of the indebtedness, payment of any lien affecting [he Property, or the restoration
and repair of the Property. If Lender elects to apply the proceeds to restoration and repair, Grantor shall repair or
replace the damaged or destroyed Improvements in a manner satisfactory to Lender, Lender shall, upon
satisfactory proof of such expenditure, pay or reimburse Grantor from the proceeds for the reasonable cost of
repair or restoration if Grantor is not in default under this Deed of Trust. Any proceeds which have not been
disbursed within I BO days after their receipt and which Lender has not committed to the repair or restoration of
the Property shall be used first to pay any amount owing to lender under this Dead of Trust, then to pay accrued
interest, and the remainder, if any, shall be applied to the principal balance of the Indebtedness. If Lender holds
any proceeds after payment in full of the indebtedness, such proceeds shall be paid without interest to Grantor as
Grantor's interests may appear.
Grantor's Report on Insurance. Upon request of Lender, however not more than once a year, Grantor shall furnish
to Lender a report on each existing policy of insurance showing; 11) the name of the 'insurer; l?) the risks
insured; (3) the amount of the policy; (4) the property insured, the then current replacement value of such
property, and the manner of determining that value; and 15) the expiration dare of the policy. Grantor shall, upon
request of Lender, have an independent appraiser satisfactory to Lender determine the cash value replacement cost
of the Property,
LENDER'S EXPENDITURM It any action or prace-dinq is commenced that Would materially affect Lend is interest i
the P►oparty or If Grantor far s to cpmp y wr1 'any pro vltsrPn a I this Q e a d of Truss a rd eCu ants including
but not I muted to Grantor's far ore to d1srharge at pay when due any amounts rnnior is required to discharge or pay
under this Deed of Trust or any Related Documents. Lender on Grantor's behalf mg ?but shall not be obli aced ii2l take
any action That, Lender deems a r❑ tiara, frtcludin but not rmrre to di yMg a taxes, )ions, security
interests, encumbrances and other claims. at any time le%ie or placed on the Property and paying all costs for insuring,
maintaining and preserving the Property_ All such expenditures incurred or paid by Lender for such purposes will then
bear interest at the rate charged under the Note from the date incurred or paid by Lender to the date of repayment by
Grantor. All such expenses will become a part of the Indebtedness and, at Lender's option, will IA1 be payable on
demand; (6) be added to the balance of the Note and be apportioned among and be payable with any installment
payments to become due during either (1) the term of any applicable insurance policy; or lZ) the remaining term of
the Note; or IC) be treated as a balloon payment which will be due and payable at the Note's maturity. The Deed of
Trust also will secure payment of these amounts. Such right shall be in addition to all other rights and remedies to
which Lender may be entitled upon Default.
WARRANTY. DEFENSE OF TITLE_ The following provisions relating to ownership of the Property are a part of this Dead
of Trust:
Tide. Grantor warrants that: lal Grantor holds good and marketable title of record to the Property in lee simple,
free and clear of all liens and encumbrances other than those set forth in the Real Property description or in any
title insurance policy, title report, or final th)e opinion issued in favor of, and accepted by, Lender in connection
with this Deed of Trust, and Ib) Grantor has the full right, power, and authority to execute and deliver rhis Deed of
Trust to Lender.
Defanse of T-rtle. Subject to the exception in the paragraph above, Grantor warrants end will forever defend the
title to the Properly against the lawful claims of all persons. In the evaht any action or proceeding is commenced
that questions Grantor's title or the interest of Trustee or Lender under this Deed of Trust, Grantor shall defend the
action at Grantor's expense. Grantor may be the nominal party in such proceeding, but Lender shall be entitled to
participate in the proceeding and to be represented in the proceeding by counsel of Lender's own choice. and
Grantor will deliver, or cause to be delivered, to Lender such instruments as Lender may request irom time to time
to permit such participation.
Compliance With Laws, Grantor warrants that the Property and Grantor's use of the Property complies with all
existing applicable laws, ordinances, and regulations of governmental authorities_
Survival of Representations and Warranties. All represcntations, warranties, and agreements made by Grantor in
this Deed of Trust shall survive the execution and delivery of this Deed of Trust, shall be continuing in nature. and
shall remain in tull torte and effect until such time as Grantor's Indebtedness shall be paid in full,
Loan No:301951760
DEED DF TRUST
(Continued)
Page 5
CONDEMNATION, The following provisions relating to condemnation proceedings are a part of this Deed of Trust:
Proceedings, if any proceeding in condemnation is filed, Grantor shall promptly notify Lender in writing, and
Grantor shall promptly take such seeps as may be necessary To defend the action and obtain the award. Grantor
may be the nominal parry in such proceeding, but Lender shall be entitled to participate in the proceeding and to be
represented in the proceeding by counsel of its own choice ail at Grantor's expense, and Grantor will deliver or
cause to be delivered To Lender such instruments and documentation as may be requested by Lender from time to
time to permit such participation -
Application of Net Proceeds. A all or any part 01 the Property is condemned by eminent domain proceedings or by
any proceeding or purchase in lieu of condemnation. Lender may at its election require that all or any portion of the
net proceeds of the award be applied To the indebtedness or the repair or restoration of the Property. The net.
proceeds of the award shall mean The award alter payment of all reasonable costs, expenses, and attorneys' fees
incurred by Trustee or Lender in connection with the condemnation.
IMPOSITION OF TAXES, FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES. The following provisions relating
to governmental taxes, fees and charges are a part of this Deed of Trust:
Currant Taxes, Fees and Charges. Upon request by Lender, Grantor shall execute such documents in addition to
this Deed of Trust and take whatever other action is requested by Lender to perfect and continue Lender's lien on
the Real Property. Grantor shall reimburse Lender for all taxes, as described below, together with all expenses
incurred in recording, perfecting or continuing this Deed of Trust. including without limitation all taxes, tees,
documentary stamps, and other charges for recording or registering this Deed of Trust,
Taxes. The tollowing shall constitute taxes to which this section applies: 11) a specific tax upon this Type of
Deed of Trust or upon all or any part of the Indebtedness secured by this Deed of Trust; 121 a specific tax on
Grantor which Grantor is authorized or required to deduct from payments on the Indebtedness secured by this type
of Deed of Trust; 43) a tax on This type of Deed of Trust chargeable against the Lender or the holder of the Note:
and (4) a specific tax on all or any portion of the Indebtedness or on payments of principal and interest made by
Grantor.
Subsequent Taxes. If any tax to which this section applies is enacied subsequent To the date of this Deed Of
Trust. tiffs event shall have the same effect as an Event of Default, and Lender may exercise any or all of its
avallable remedies for an Event of Default as provided below unless Grantor either (1) pays The tax before it
becomes delinquent, or (2) conTesls the tax as provided above in the Taxes and Liens section and deposits with
Lender cash or a sufficient corporate surety bond or other security satisfactory to Lender.
SECURITY AGREEMENT: FINANCING STATEMENTS. The following provisions relating to this Deed of Trust as a
security agreement are a part of this Deed of 'rust:
Security Agreement. This instrument shall constitute a SecuriTy Agrzernent to the extent any of the Property
constitutes fixturas, and Lender shall have all of the rights of a secured party under the Uniform Commercial Code
as amended from time to time.
Security Interest, Upon request by Lender, Grantor shall take whatever action is requested by Lender to perfect
and continue Lender's security interest in the Rents and Personal Property. In addition to recording This Deed of
Trust in the real property records, Lender may, et any time and without further authorization from Grantor, fife
executed counterparts, copies or reproductions of this Deed of Trust as a financing statement. Grantor shall
reimburse Lender for at[ expenses incurred in perfecting or continuing this security interest. Upon default, Grantor
shall not remove, sever or detach the Personal Property from the Property- Upon default, Grantor shalt assemble
any Personal Property not affixed to the Property in a manner and at a place reasonably convenient to Grantor and
Lender and make it available to Lender within three 131 days after receipt of written demand from Lender to the
extent permitted by applicable law.
Addresses. The mailing addresses of Grantor (debtor) and Lender (secured panyl from which information
concerning the security interest granted by this Deed of Trust may be obtained (each as requited by the uniform
Commercial Code) are as stated on the first page of This Deed of Trust.
FURTHER ASSURANCES; ATTORNEY -IN -FACT. The following provisions 'Plating to further assurances and
attorney -in -fact are a part of this Deed o1 Trust:
Further Assurances_ At any time, and from time to time. upon request o1 Lender, Grantor will make. execute and
deliver, or will cause to be made, executed or delivered, to Lender or to Lender's designee, and when requested by
Lender, cause to be filed, recorded, refiled, or rerecorded, as the case may be, at such times and in such offices
and places as Lender may deem appropriate, any and all such mortgages, deeds of trust, security deeds, security
agreements, financing statements, continuation statements, instruments of further assurance, certificates, and
other documents as may, in the sole opinion of Lender, be necessary or desirable in order io effectuate, complete,
perfect, continue, or preserve f1) Grantor's obligations under the Note, this Deed of Trust, and the Belated
Documents, and (2) the liens and security interests created by this Deed of Trust as first and prior liens on the
DEED of TRUST
Loan No: 901951760 (Continued) Paae 6
Property, whether now owned or hereafter acquired by Grantor. Unless prohibiled by law or Lender agrees to the
contrary in writing, Grantor shall reimburse Lender for all costs and expenses incurred in connection with the
matters referred to in this paragraph.
Attomay-in•Fact. If Grantor fails to do any of the things referred to in the preceding paragraph, Lender may do so
for and in the name of Grantor and at Grantor's expense, For such purposes, Grantor hereby irrevocably appoints
Lender as Grantor's attorney -in -tact for the purpose of making, executing, delivering, filing, recording, and doing all
other things as may be necessary or desirable, in Lender's sole opinion, to accomplish the matters referred to in
the preceding paragraph.
FULL PERFORMANCE. 11 Grantor pays all the Indebtedness when due, and otherwise performs all the obligations
imposed upon Grantor under this Deed of Trust, Lender shall execute and deliver to Trustee a request for full
reconveyance and shall execute and deliver to Grantor suitable statements of termination of any financing statement on
file evidencing Lender's seeuriry interest In the Rants and the Personal Property. Any reconveyance fee shall be paid by
Grantor. if permitted by applicable law. The grantee in any reconveyance may be described as the "person or persons
legally entitled thereto', and the recitals in the reccnveyance of any matters or facts shell be conclusive proof of the
truthfulness of any such motters or !acts.
EVENTS OF DEFAULT. Each of the following, at Lender's option, shall constitute an Event of Default under this Deed
of Trust:
Payment Default. Grantor fails to make Finy payment when due under the Indebtedness -
father Defaults. Grantor falls to comply with or to perform any other term, obligation, covenant or condition
contained in this Deed of Trust or In any of the Related Documents or to comply with or to perform any term,
obligation, covenant or condition contained in any other agreement between Lender and Grantor.
Compliance Default. Failure to comply with any other term, obligation, covenant or condition contained in this
Deed of Trust, the Nate or in any of the Related Documents.
Default on Other Payments, Failure of Grantor within the. time required by this Deed of Trust to make any payment
for taxes or insurance, or any other payment necessary to prevent filing of or to effect discharge of any lien.
Default in Favor of Third Parties. Should Grantor default under any loan, extension of credit, security agreement,
purchase or sales agreement, or any other agreement, in favor of any other creditor or parson that may Materially
affect any of Grantor's property or Grantor's ability to repay the Indebtedness or perform their respective
obligations under this Deed of Trust or any of the Related Documents.
False Statements- Any warranty, representation or statement made or furnished to Lender by Grantor or on
Grantor's behalf under this Deed of Trust or the Related Documents is false or misleading in any material respect,
either now or at the time made or furnished or becomes false or misleading at any time lhematter,
Defective Colfaterdllzation. This Deed of Trust or any of the Related Documents teases to be in furl force and
effect lincluding failure of any collateral document to create a valid and perfected security interest or lien) at any
time and for any reason.
Death w Insolvency. The dissolution of Grantor's [regardless of whether election to continue is madel, any
member withdraws from the limited frebri1hy company, or any other termination of Grantor's existence as a going
business or'the death of any member, the insolvency of Grantor, the appointment of a receiver for any Fart of
Grantor's property, any assignment Inc t%C bCmfil of Creditors, any type of creditor workout, or the
commencement of any proceeding under any bankruptcy or insolvency laws by or against Grantor.
Creditor or Forfeiture Proceedings. Commencement of foreclosure or forfeiture proceedings, whether by judicial
proceeding, sell -help, repossession or any other method, by any creditor of Grantor or by any governmental agency
against any property securing the Indebtedness. This includes a garnishment of any of Grantor's accounts,
including deposit accounts, with Lender, However, this Event of Default shall not apply if there is a good faith
dispute by Grantor as to the validity or reasonableness of the claim which is the basis of the creditor or forfeiture
Proceeding and if Grantor gives Lender written notice of the creditor or forfeiture proceeding and deposits with
Lender monies or a surely bond for the creditor or forfeiture proceeding, in an amount determined by Lender, in its
sole discretion, as being an adequate reserve or bond for the dispute,
Breech of father Agr-eaten[. Any breach by Grantor under the lerms of any ether agreemenl between Grantor and
Lender that is not remedied within any grace period pmvidad therein, inciudinp without limitation any agreement
concerning any indebtedness or other obligation of Grantor to Lender, whether existing now or later_
Events Affecting Guarantor. Any of the preceding events occurs with respect to any Guarantor of any of the
lndetpt-dness or any Guarantor dies or becomes incompetent, or revokes or disputes the validity of. or liability
under, any Guaranty of the Indebtedness. h the event of a death, Lender, al its option, may, but shall not be
required to, permit the Guarantor's r_stale to assume unconditionally the obligations arising under the guaranty in a
manner satisfactory to Lender, and, in doing so. cure any Evenr of Default.
DEED OF TRUST
Loan No: 801951760 (Continued) Page 7
Adverse Change. A material adverse change occurs in Grantor's financial condition, or Lender believes the
prospect of payment or performance of the Indebtedness is impaired.
Right to Cure_ It any dr(auit, other than a defoull in payment is curable and if Grantor hzs not been given a notice
of a breach of the same provision of this Deed of Trust within the preceding twelve (12) months, it may be cured it
iferitc;r, after receiving written notice from Lender demarding cure of such default. (1) cures the default within
fifteen 0S) days; or (2) II the cote requires more than sheen (15) days, immediately initiates steps which Lender
deems in Lender's sole discretion to be sufficient to cure the default and thereafter continues and completes all
reasonable and necessary steps sufficient to produce compliance as soon as reasonably practical.
RIGHTS AND REMEDIES ON DEFAULT. If an Event of Default occurs under this Deed of Trust, at any time thereafter,
Trustee or Lender may exercise any one or more of the following rights and remedies:
Election of Remedies, 'lectfon by Lender to pursue any remedy shall not exclude pursuit of any other remedy, and
an election to make expenditures or to tape action to pario►m an obligation of Grantor under this Deed of Trust,
after Grantor's failure to perform, shall not affect Lender's right to declare a default and exercise its remedies.
AGcalerate Indebtedness. Lender shall have the right at its option to declare the entire Indebtedness immediately
due and payable, including any prepayment penalty which Grantor would be required to pay.
Foreclosure. With respect to all or any part tat the Real Property, the Trustee shall have the right to exercise: its
power of sale and to foreclose by notice and sale, and Lender shall have the right to foreclose by judicial
foreclosure, in.either Lase in accordance with and to the full extent provided by applicable law.
UGC Remedies. 1Alsth respect to all or any part of the Personal Property, Lender shall have ell the rights and
remedies of a secured party under the Uniform Commercial Code_
Collect Rents. Lender shall have the right, without notice to Grantor to take possession of and manage the
Property and coltecT the Rents, including amounts past due and unpaid, end apply the net proceeds, over and
above Lender's costs, against the Indebtedness. In furtherance of this right. Lender may require any tenant or
other user of the Property to make payments of rent or use fees directly to Lender. If the Rents are collected by
Lender, then Grantor irrevocably designates Lender as Grantor's attorney -in -feet to endorse instruments received in
payment thereof in the name of Grantor and to negotiate the some and collect the proceeds_ Payments by tenants
or other users to Lender in response to Lender's demand shall satisfy the obligations for which the payments are
made, whether or not any proper grounds for the demand existed. Lender 'may exercise its rights under this
subparagraph either in person, by agent, or through a receiver.
Appoint Receiver. Lender shall have the right to have a receiver appointed to take possession of all or any part of
The Property, with the power to protect and preserve the Property. to operate the Property preceding or pending
iwecfosure or sale, and to Caileet the Rents from the Properry and apply the proceeds, over and above the cost of
The (ece'ive:ship. against the indebtedness. The receiver may serve without bond if permitted by law. Lender's
right to the appointment at a receiver shall exist whether or not the apparent value of %fie Property exceeds the
Indebtedness by a substantial amount. Employment by Lender shall not disqualify a person from serving as a
receiver_
Tenancy at Sufferance. 11 Grantor remains in possession of the Property after iha Property is sold as provided
above or Lender otherwise becomes entitled to possession of the Property upon default of Grantor, Gianior shall
become a tenant as sulferance of Lender or the purchaser of the Property and shall, at Lender's option, either (I )
pay a reasonable rentas for The use of the Property. or (2) vacate The Property immedialely upon the demand of
tender,
Other Remedies_ Trustee or Lender shall have any other right or remedy provided in this Deed of Trust or the Note
or available at law or in equity.
Notice of Sale. Lender shall Dive Grantor reasonable notice of the time and place of any public sale of the Personal
Property or of the time aher which any private sale or other intended disposition of the Personal Property is to be
made_ Reasonable notice shall mean notice given at least ten 1101 days before the time of the sale or disposition.
.Any sale of the Personal Property may be made in conjunction with any sale of the Real Property.
Sale of the Property. To the extent permitded by applicable law, Grantor hereby waives any and all rights to have
the Property marshalled. In exercising its rights and remedies, the Trustee or Lender shall be tree To sell all or any
part of the Property Together or separately, in one sale or by separate sales, Lender shall be enlitied to bid at any
public sale on all or any portion of the Property.
Attorneys' Feas; Expenses. 11 Lender institutes any suit or action to enforce any of the terms of this Deed of
Trust, Lender shall be entitled to recover such sum as the court may adjudge reasonable as attorneys' fees at trial
and upon any appeal. Whether or not any court action is involved, and to the extent not prohibited by law, all
reasonable expenses Lender incurs that in Lender's opinion are necessary at any Time for the protection of its
interest or the enforcement of its rights shall become a part of The Indebtedness payable on demand and shall bear
DEED OF TRUST
Loan rJo: 130135176f) `Continued) Pace 8
interest at the Note rate from the date of the exptnditure until repaid, Expenses covered by ihi_ paragraph include,
without limitation, heWEvet subject to any limits under applicable law, Lender's attorneys' ices and Lender's legal
expenses, whether or not there is a lawsuit, including attorneys' fees and expenses for bankruptcy proceetiinrs
(inciudLig efforts to modify or vacate any automatic slay or Injunction), appeals, and any anticipated post•judgmeni
collection services, the cost of searching records, obtaining title reports (including foreclosure reports), surveyors'
reports, and appraisal fees, ritle insurance, and ices for the Trustee, to the extent permitted by applicable law.
Grantor also will pay any court costs, in addition to all other sums provided by law.
Rights of Trustee_ Trustee shall have all of the rights and duties of Lender as set forth in this section,
FOWERS AND OBLIGATiONS OF TRUSTEE. The following provisions relating to the powers and obligations of Trustee
(pursuant to Lender's insttuetions) are part of this Deed of Trust:
Powers of Trustee. In addition to all powers of Trustee arising as a matter of law. Trustee shall have the power to
take the following actions with respect to the Propeny upon the written request of Lender and Grantor: la) join in
preparing and filing a map or plat of the Real Property, including the dedication of streets or other rights to the
public; (b) join in granting any easement or creating any restriction on the Heal Propeny; and W join in any
subordination or other agreement affecling this peed of Trust or the interest of Lender under this Deed of Trust.
Obligations to Notify. Trustee shall not be obligated to notify any other party of a pending sale under any other
trust deed or lien, or of any action or proceeding in which Grantor, Lender, or Trustee shall be a parry, unless
required by applicable law, or unless the action or proceeding is brought by Trustee.
Trustee. Trustee shall meet all qualifications required for Trustee unde.l applicable few, In addition to the rights
and remedies set forth above, with respect to all or any part of the Property, the Trustee shall have the right to
foreclose by notice and sale, and Lender shall have the right to foreclose by judicial foreclosure, in either cose in
accordance with and to the full extent provided by applicable law.
Successor Trustee. Lender, at Lender's option, may from Lime to time appoint a successor Trustee to any Trustee
appointed under this Deed of Trust by an instrument executed and acknowledged by Lender and recorded in the
office of the recorder of King County, State of Washington. The instrument shall contain, in addition to all other
matters required by state law, the nernes of the original Lender, Trustee, and Granror, the book and page or the
Auditor's File Number where this Deed of Trust is recorded, and the name and address ❑f the successor trustee,
and the instrument shall be executed and acknowledged by Lender or its successors in interest. The successor
trustee, without conveyance of the Property, shall succeed to pll the title, power, and duties conferred upon the
Trustee in this Dead of Trust and by applicable law. This procedure for substitution of Trustee shall govern to the
exclusion of all other provisions for substitution,
NOTICES. Subject to applicable law, and except for notice tequired or allowed by law to be given in another manner,
any notice required to be given under this Deed of Trust, including without limitation any notice of default and any
notice of sale shall be given in writing, and shall be effective when actually delivered, when actually received by
telefacsimite (unless othetwise required by law), when deposited with a nalianally recognized overnight courier, or, if
mailed, when deposited in the United States mail, as first class, certified or registered mail postage prepaid, directed to
the addresses sho+vn near the beginning of this Deed of Trust. All copies of notices of foreclosure fTom the holder of
any lien which has priority over this Deed o1 Trust shall be sent to Lender's address, as shown near the beginning of
this Deed at Trust. Any party may change irs address for notices under this Deed of Trust by giving format written
notice to tits other parties, specitying that the purpose of the novice is to change the parry's address. For notice
purposes, Grantor agrees to keep Lender informed at all times of Grantor's current address. Subject to applicable law,
and except for notice required ar allowed by law to be given in another manner, it there is mere than one Grantor, any
notice given by Lender to any Grantor is deemed io be notice given 10 all Grantors,
MISCELLANEOUS PROVISIONS. The following miscellaneous provisions are a parr of this Deed of Trust:
Amendments. This Deed of Trust, together with any Related Doi; uments, constitutes the entire understanding and
agreement of the parties as to the matters set forth in this Deed of Trust, No alteration of or amendment to this
Deed of Trust shall be effective unless given in writing and signed by the party or parties sought to be charged or
bound by the alteration or amendment,
Annual Reports. i1 the Property is used for purposes other than Grantor's residence. Grantor shall furnish to
Lender, upon request, a certified siatentert of net opwating income received from the Property during Grantor's
previous fiscal year in such form and detail as Lender shall require. 'Net operating income' shall mean all cash
receipts from the Property less all cash expenditures made in connection with the operation of the Property,
Caption Headings. Caption headings in this Deed of Trust are for convenience purposes only and are not to be
used to interpret or define the provisions of this Deed of Trust.
Merger. There shall be no merger of the interest or estate created by this Deed of Trust with any other interest or
estate in the Property ai any rime held by or for the benefit of Lender in any capacity, without the written consent
of Lend^r.
DEED OF TRUST
Loan No. 801951760 (Continued) page 9
Governing law, This Deed of Trust will ba governed by federal law applicable to Leader and, to the extent not
preempmd Iry federal law, the laws of the State of Washington without ragotd to its aortfllcts of law Provisions.
This Dead of Trust has been accepted by Lender in the State of Washington.
Choice of Venue. If there is a lawsuit, Grantor agrees upon Lender's request to submit to the jurisdiction of the
courts of Pierce County, State of Washington.
No Waiver by Lender. Lender shall not be deemed to have waived any rights under this Deed of Trust unless such
waiver is given in writing and signed by Lender. No delay or omission on the part of Lender in exercising any right
shall operate as a waiver of such right or any other right. A waiver by Lender of a provision of this Deed of Trust
shall not prejudice or constitute a waiver of Lender's right otherwise to demand strict compliance with that
provision or any other provision of this Deed of Trust. No prior waiver by Lender, nor any course of dealing
between Lender and Grantor, shall constitute a waiver of any of Lender's rights or of any of Grantor's obligations
as to any future transactions. Whenever the consent of Lender is required under this Deed of Trust, the granting
of such consent by Lender in any Instance shall not constitute continuing consent to subsequent instances where
such consent is required and in all cases such consent may be granted or withheld in the sole discretion of Lender,
Saverability. if a court of competent jurisdiction finds any provision of this Deed of Trust to be i€legal, invalid, or
unenforceable as to env circumstance, that finding shall not make the offending provision illegal, invalid, or
unenforceable as to any other circumstance. II feasible, the offending provision shall be considered modified so
:het it becomes legal. valid and enforceable. If the offending provision cannot be so modified, it shall be
considered deleted from this Deed of Trust_ Unless otherwise required by law, the illegality, invalidity, or
unenforceability of any provision of this Deed of Trust shall not affect the legality. validity or enforceability of any
other provision of this Deed of Trust.
Successors and Assigns. Subject to any limitations stated in this Deed of Trust on transfer of Grantor's interest,
this Deed of Trust shall be binding upon and inure to the benefit of the ponies, their successors and assigns, It
ownership of the Property becomes vested in a person other than Grantor, Lender, without notice to Grantor, may
deal with Grantor's successors with reierente to this Deed of Trust and the Indebtedness by way of forbearance or
extension without releasing Grantor from the obligations of this Deed of Trust or liability under the Indebtedness.
Time is of the Essence- Time is of the essence in the performance of this Deed of Trust.
Waive Jury- All parties to this Deed of Trust hereby waive the right to any jury trial in any action. proceeding, or
counterclaim brought by any party against any other party -
Waiver of Homestead Exemption. Grantor hereby releases and waives all rights and benefits of the homestead
exemption laws of the State of Washington as to all Indebtedness secured by this Deed of Trust.
DEFINITIONS. The following capitalized words and terms shall have the following meanings when used in this Deed of
Trust. Unless specifically stated to the contrary, all references to dollar amounts shall mean amounts in lawful money
of the United States of Americo. Words and terms used in the singular shall include the plural, and the plural shall
include the singular, as the context may require. Words and terms not otherwise defined in this Deed of Trust shall
have the meanings attributed to such terms in the Uniform Commercial Code:
Beneficiary. The word "Beneficiary" means Rainier Pacific Bank, and its successors and assigns.
Borrower. The Word 'Borrower' means Campus Crest Properties, LLC and includes all co-signers and co -makers
signing the Note and all their successors and assigns.
Deadof Trust- The words 'Deed of Trust' mean this Deed of Trust among Grantor, Lender, and Trustee, and
includes without limitation all assignment and security interest provisions relating to the Personal Property and
Rents.
Default. The word "Default' means the Default set forth in this Deed of Trust in the section titled 'Default'.
Event of Default. The words 'Event of Default" mean any of the events of default set forth in this Deed of Trust in
The events of default seclion of this Deed of Trust.
Grantor. The word 'Grantor' means Campus Crest Properties, LLC.
Guarantor. The word 'Guarantor" means any guarantor, surety, or accommodation party of any or all of the
Indebtedness.
Guaranty. The word "Guaranty' means the guaranty from Guarantor to Lander, including without limitation a
guaranty of all or pan of the Note.
improvements, The word `Improvements' means ail existing and future improvements, buildings, structures,
mobile homes affixed on the Real Property, facilities, additions, replacements and other construction on the Real
Proparry.
Indebtedness- The WDrd 'Indebtedness' means all grin=ipal, interest, and other amounts, costs and expenses
DEED OF TRUST
Loan No: 801951760 (Continued) Page 110
payable under the Now cr Related Documents, roga:hei with all renewals of, exiensi'ons of, awdifications of,
consot[dat[arks of and substitutions for the Note or Related Dgcurnenrs and any amounts expended or advanced by
Lender io discharge Grantor's Obligations or expenses incurred Iry Trustee or Lender to enforce Grantor's
obiigatidns under this Deed of Trust, together with interest On such amounts as provided in this teed of Trust.
Lender. The word 'Lender' means Rainier Facifoc Bank, its successors and assigns.
Note. The word 'Note' means the promissory note dated October 3, 2007. in the original pr'rnCipal at7tatlnt
of t 16,500,000.00 from Grantor it) Lender, IDoether with all renewals of, extensions at. modifications oi,
refinancings of, consolidations of. and st_tl3 huiions for the promissory pate or agreement. The maturity date of
this Detd of Trust is April 19, 2DDS, NOTICE TO GRANTOR: THE f oTc- CONTAINS A VARIABLE INTEREST
RATE.
Personal Property. The words "Personal Property' mean -all squipmeni, fixtures. and ether articles of personal
pfopeny now of hereafter owned by Grantor, and now or hereafter attached or affixed to the Real Property;
together VAlb an accessions, pans, and additlons 10. rill replacements o1, and all substitutions for. any of such
property; and together wkh all issues and profits thereon and proceeds Gncluding without limitation all insurance
proceeds and refunds of premiumsl from any sale or other disposition of the property.
Property. The word 'Property" means collectively the Real Property and the Personal Property.
Real Property. The words 'Rea[ Property' mean the real propery, interests and rights, as further described in this
Deed of Trust.
Related Docurnants. The words 'Related Documents' mean all ptornissary notes, credit agMgrnents, loan
agreements, guaranties, security agreements. mortgaot:s, deeds Of trust, security deeds. coltateral mortgages, and
all other instruments, agreements and documents. whetner now or heieaher existing, execUled in connection with
the Indebtedness; provided, that the enviranmenial indemnity agreements are not 'Related Documents' and are
not sectued by this Deed of Trust.
Rents_ The word "Rents' means all present and luiure rents, revenues. income, issues, royalties, profits, and
other benefits derived from the Property.
Trustee, The word -Trustee' means Fidelity National Title, whose mailing address is 2727 Hollycroft Street. Suite
460, Gig harbor, WA 98335 and any substilwe or successor trustees.
GRANTOR ACKNOWLEDGES HAVING READ ALL THE PROVISIONS OF THIS GEED OF TRUST, AND GRANTOR
AGREES TO ITS TERMS.
GRANTOR:
CAMPUS CREST PROPERTIES. LLC
fAICHAE S NER: ING par of C pus L'aest Properties. LLC
g Z-e !i e50' r �, -
Y
Michat:f B_ Kerschner, esidant of Mic ael Ke+schner, lnc.
DOrVAC+4RpN>t NC [s+fam5e,jo3 Campus Gest properties, LLC
By: u _ fs 1s�ri i
Dona d L. Gafdnbr, Presrden[ of Donald Cardnet, ins.
DEED OF TRUST
Loan No: 801951750 (COI'1Cinued) Page 11
If4
STATE OF f e
COUMiY OF
LIMITED LIABILITY COMPANY ACKNOWLEDGMENT
p(cr e'c
) SS
On this day of 20v before me, the undersigned
Notary Public, personally appeared fW s a. -,ma r ' Donald f., Gardner.
President of Donald Gardner, Inc.. and personally known to me or proved to m2 on the basis of satisfactory evidence to
be members or designated agents of the limited liability company that.executed the Deed of Trust and acknowledged
the Deed of Trust to be the free and voluntary act and deed of the limited liability company, by authority of statute, its
articles of organization or its operating agreement, for the uses and purposes therein mentioned. and on oath stated
that they are authorized to xecute this Deed of Trust arrd in Fact executed the Dead of Trust on behalf of the firnited
liaiil$Ty a any.
By r + Residing at VV
No ui�tr in and for the State of L)j - NFy commission expires 7
REQUEST F0'R:FULL RECONVEYANCE
Ta , Trustee
The undersigned is the legal owner and holder of all indebtedness secured by this Deed of Trust. You are hereby
requested, upon payment of all sums owing to you, To reconvey without warranty, to the persons entitled thereto, the
rlghr, title and interest now held by you under the Deed of Trust.
Date: 3enenciary:
By:
Its:
wrfo ]mr. µ,AFN. 'Ic
i3O., ,
State of �
)-ss
County of Ot u-e—t--- a
i certify that i know cr have satisfacton evidence that f` V�r
Nerve of Person
is the person who appeared before me, and said person acknowledge that (he/she) signed this
instrume on oa h sta d that (he/she) is authorized t esecu a the instrument and acknowledged it
as the V(-e-k1 � of . ru-j Obu-1_, j/L C-' . to be
(Type of Authority -0Seer/Truslee,cic) (name of Party on behalf ofu,hom the Isutrurnent was eaeaited)
the free and voluntary act of such harry for the uses and purposes mentiotIpd in this instrument.
Dated:
-
V.
Acknowledgement
Representative
Notary V61i and fnr the State of 4
Residing at: Cd
My appointment expires. '7 --Z
EXHIB IT "k"
LEGAL DESCRIPTION
Those portions of the Northeast quarter of the Northwest quarter and the Southeast quarter of the
Northwest quarter, All in Section 19, Township 21 North, Range 4 East, W.M., in King County,
Washington, said portions being more particularly described as follows:
COMMENCING at the West quarter corner of said Section 19;
THENCE along the East!West centerline of said Section 19 South 88'58'22" East 1,2132.94 feet to the
Southwest comer of the Southeast quarter of said Northwest quarter,
THENCE along the West line thereof North 01'13'12" East 202.55 feet to the NorthNeslerty line of that
certain easement granted to the United States of America for electrical transmission lines by documents
recorded under Recording Nos, 3194572, 3258849 and 5029580, in King County, Washington, and the
true point of beginning;
THENCE continuing along said West line and the West line of said Northeast quarter of said Northwest
quarter North 1"13'12" East 1,502.83-feet to a point on the Southerly margin of the lands described in
deed recorded under Recording No. 8501170665, in King County, Washington, said point being on a
curve concave to the Northeast having a radius of 842.00 feet and to which point a radial line bears
South 47911'42" West;
THENCE along said margin Southeasterly and Easterly 80122 feet along said curve through a central
angle of 54*31'16" to the beginning of a reverse curve concave to the Southwest having a radius of
618.00 feet (a radial line through said beginning bears North 07'19'34" West);
THENCE continuing along said margin Easterly and Southeasterly 647.38 feet along said curve through
a central angle of 60*01'11" to said Northwesterly line of that certain easement granted to the United
States of America for electrical transmission lines by documents recorded under Recording Nos.
3194572, 3258849 and 5029580, in King County, Washington;
THENCE along said Norlhwestedy line South 52'56'44" West 1,662.66 feet to the true point of beginning.
Situate in the County of 1Gng, State of Washington.
I Ci _ 100gel AD
March 11, 2010
Deb Barker
Senior Planner
City of Federal Way
33325 8th Avenue South, PO Box 9718
Federal Way, WA 98063-9718
Re: Campus Crest
03-104293-SU
Dear Ms. Barker,
REO 5er MS. LIJC
RECEIVED
MAR 11 2010
CITY OF FEDERAL WAY
CDS
REO Services, LLC hereby represents Umpqua Bank in the matter of
Campus Crest and its' approval status within the jurisdiction of the City of
Federal Way. This letter is a request for extension to the preliminary and
final plat approval of Campus Crest. We observe the ordinary requirement of
submitting this request at least 60 days from the expiration date, and
appreciate the relief from that condition.
Our request for extension includes all concomitant agreements that are
attached to the conditions of approval of the preliminary plat or reference
Campus Crest Property Parcel 7.
Since the preliminary approval of the plat, engineering has been approved
and approximately two-thirds of the site construction has been completed. On
March 4, 2009, The City of Federal Way issued a 30 day notice of non-
compliance that alerted Rainier Pacific Bank to the lack of progress on the
project. REO Services, LLC was contracted to perform -studies and obtained
bids for the bank to stabilize the site at the request of the City of Federal
Way. The applicant and owner at that time were either unwilling or unable
to perform those conditions. Subsequently, one of the guarantors on the loan
with the Bank was involved in a Chapter 7 Bankruptcy, and the property was
under the jurisdiction of the Court. The Bank obtained a release of the
property from the Bankruptcy Court and is moving ahead with its foreclosure
action. The bank's foreclosure is still pending, and is contested by the
borrowers.
The Bank which provided the original financing on the plat, Rainier Pacific
Bank, was recently closed by the FDIC on February 26, 2010, and as a result
Umpqua Bank took over the loan on March 1, 2010.
Umpqua Bank is willing to continue to take all possible steps necessary to
ensure this project is completed as intended, within the conditions of the
preliminary plat approval, including negotiating taking the property back
from the borrowers, and therefore requests that the preliminary plat and
final plat approval be extended.
A non -approval of the extension of the plat would create a hardship in terms
of the layout of the plat, specifically the existing storm pond design that has
been roughed in. The configuration and number of lots would need to be
adjusted to compensate for additional storage and water quality measures
adopted since the approval of the plat. This would create expenses greater
than the cost of completing the plat at this time and may compel the bank to
mothball the project for years. Unfortunately, the high visibility of the project
along SW Campus Drive would be an eye sore for the City of Federal Way for
years to come.
The existing mitigation and impact fees levels will stimulate the local
economy yet increasing those fees would discourage business and availability
of new homes priced affordably.
If permitted to continue the project as approved, the project development
could be completed in 2010 with new homes starting at the end of 2010 or the
beginning of 2011. This will bring needed jobs to local contractors, permit and
impact fees to the City of Federal Way and represent a daily reminder to the
thousands of cars that pass in front of Campus Crest every day that the
economy is improving and that mothballed developments are on their way
out.
Your consideration is greatly appreciated.
Respectfully,
Mi hael C. Bauer
REO Services, LLC
1102 39th Ave. SW Suite 304
Puyallup, WA 98373
(253) 881-3034
mike@thereosei-vices.com
cc. Carolyn Middleton
�1
CITY OF FEDERAL WAY
DEPARTMENT OF COMMUNITY DEVELOPMENT SERVICES
DEVELOPMENT REVIEW COMMITTEE TRANSMITTAL
DATE:
FROM:
FOR DR MTG, ON:
FILE NUMBER(s):
RELATED FILE NOS.:
PROJECT NAME:
ZONING DISTRICT.
March 11, 2010
Ken Miller
Kevin Peterson
Sarady Long
Scott Sproul
Brian Asbury
Chris Ingham
Deb Barker
March lit 2010
10-100981-00-AD
03-104293-SU
CAMPUS CREST PRELIMINARY PLAT EXTENSION REQUEST
RM* (with concomitant agreement)
PROJECT DESCRIPTION: Request to extend preliminary plat approval of the 11 4-lot subdivision fot up to
two years. Preliminary plat approval expires on Sunday, March 14, 2010.
PROJECT CONTACT.
REO Services LLC
Mike Bauer
1102-39"' Avenue SW
Suite 304
Puyallup, WA 98373
253-881-3034
MATERIALS SUBMITTED: Letter date March 11, 2010 requesting extension.
FEES: Hourly review fees apply. PLEASE TRACK YOUR HOURS IN AMANDA.
PRELIMINARYPLAT
EXTENSIONREQUESTS: The preliminary plat extension request can be administratively approved as long
as the following criteria have been met. SEE OVER
18.05.090 Lapse of approval — Time extension.
2) Criteria. An extension request shall satisfy the following criteria to be approved:
(a) Except for the first request for time extension, the applicant has made substantial progress to
complete the plat;
(b) There are circumstances beyond the applicant's control which prevent compliance with the
:time limits of FWRC I R: 0.2160 and.1.8. 35.220, or any previously granted extension;
(c) The extension will not create or continue conditions that constitute a code violation or an
:attractive nuisance, contribute to erosion and sedimentation problems, or impact the public health,
:safety, and welfare; and
(d) Whether either physical conditions in the vicinity of the plat or codes and requirements of
the city, applicable agencies, and utility providers have changed to a such a degree since initial approval
'that it would be contrary to the public interest to extend the life of the plat, including but not limited to
such factors as:
(i) Whether the adoption of new codes and/or standards would substantially affect project
:layout and storm drainage design;
(ii) The adequacy of mitigation and/or impact fees to address the cost of mitigation at the
=,end of the expiration period;
(iii) Whether the delayed project is an impediment to other development projects in the
vicinity as a result of traffic concurrency reserved capacity.
The director may condition the extension request to satisfy criteria (2)(c) and (d) of this section as
appropriate.
In order to demonstrate compliance with the criteria of this subsection (2), the applicant may also
;provide pertinent documentation of financial backing, lease acceptance, or other such commitments secured by
the developer and/or agent as well as applicable project timelines with milestones and dates of anticipated
completion.