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2010-10653 SGLine: 6 4 �9, �-" 9 HUNSAKER & ASSOCIATES S A N 0 1 E 0 0 I N l PLANNING ENGINEERING SURVEYING June 9, 2011 IRVINE L05 ANGELES City of Encinitas RIVERSIDE Engineering Services Permits SAN DIEGO 505 South Vulcan Ave. ARIZONA Encinitas, CA 92024 Re: Engineer's Final Grading Certification for Project No. 10 -123 CDP: Bldg. Permit No. 10 -1091, and Grading Permit Number 10653 -SG The grading under permit number 10653 -SG has been performed in substantial conformance with the approved grading plan or as shown on the attached 'As- Graded' plan. Final grading inspection has demonstrated that lot drainage conforms with the approved grading plan and that swales drain at a minimum of 1 % to the street and /or an appropriate drainage system. All the Low Impact Development, Source Control and Treatment Control Best Management Practices as shown on the drawing and required by the Best Management Practice Manual Part It were constructed and are operational, together with the required maintenance covenant(s). Lp No.48670 M * E.p.06/30/12 Engineer of Record: C CIVi� ? Ra mood L. Martin, RCE 48670 F CAL IF�p/ DAVE HAMMAk Dated: 619111 LE% WILLIMAN ALISA VIALPANDO Verification by the Engineering Inspector of this fact is done by the Inspector's DAN SMITH signature hereon and will take place only after the above is signed and stamped RAY MARTIN and will not relieve the Engineer of Record of the ultimate responsibility: CHUCK CATER 9707 Waples Slreel Engineering Inspector: San Diego, CA 92121 18581 558 -4500 PH Dated: 18581558 -1414 F% o�m eueo9uauw99 ao« w .HunsakerSD. com w MW24 &9/1011 3 2 PM Info 49 H unsa kerSD.com A ADVANCED GEOTECHNICAL SOLUTIONS, INC. ') 25220 Hancock Avenue, Suite 420 Murrieta, California 92562 ST�le 409 -3287 11 NEW POINTE COMMUNITIES, INC. 1 October 27, 2010 J 16880 West Bernardo Drive, Suite 230 P/W 1008 -02 San Diego, CA 92127 _epos{ No. 1008 -02 -B -3 Attention: Mr. Scot Sandstrom Subject: Foundation Design Review Letter for Proposed Single Family Residence Lahoud U, 1835 Lahoud Drive, Encinitas, California References: 1) Foundation Plans Prepared by Innovative Structural Engineering, dated September 30, 2010 (Sheets Sl, SNI, SN2, SI, and SDI) 2) Site and Grading Plans Prepared by Hunsaker and Associates, undated (Sheets I & 2 of 6) 3) Updated Geotechnical Report Proposed Residential Structure, Lahoud 17, APN 260- 443-11-00. Lot 11, Edgewater Terrace Estates Unit No. 1, Encinitas, California, California, prepared by Advanced Geotechnical Solutions, Inc. 's (AGS) dated August27. 1010 (P/W 1008 -02/ Gentlemen: In accordance with your request, Advanced Geotechnical Solutions, Inc.'s (AGS) has reviewed the Foundation Plans prepared by Innovative Structural Engineering (ISE), dated September 30, 2010, Specifically, AGS has reviewed sheets SCS, SNI, SN2, S1, and SDI for conformance to our recommendations presented in the Updated Geotechnical report (reference 3). Based upon our review it is our opinion that the proposed foundation design was prepared in general accordance with the recommendations presented in the referenced report. From a geotechnical perspective once the remedial grading is completed the proposed foundation can be constructed as designed. Additional soils testing will be conducted once finish grade is achieved to evaluate the expansion index and the chemical/resistivity of the near surface soils. Once this testing is complete AGS will provide recommendations regarding final foundation design and concrete requirements for the foundation. In addition, AGS has reviewed the undated grading plan (sheet 2 of 6) Hunsaker and Associates. Based upon our review it is our opinion that the proposed Grading Plan was prepared in general accordance with the recommendations presented in the referenced report. Advanced Geotechnical Solutions, Inc. appreciates the opportunity to provide you with geotechnical consulting services and professional opinions. If you have any questions, please contact the undersigned at(619)708 -1649. Respectfully Submitted, LT=- RCE 46544/RGE Distribution: (6) ORANGE AND L.A. COUNTIES (714) 786-5661 Inc. V A. Ezp.6 /30 /ti � Aden[ s'T4CFarECHN��\/ 6 -30-11 �OFr�t�Di INLAND EMPIRE SAN DIEGO AND IMPERIAL COUNTIES (619) 708 -1649 (619) 850 -3980 ADVANCED GEOTECHNICAL SOLUTIONS, INC. (0)AGS 25220 Hancock Avenue, S \ 20 Murtieta, Califo Tele18`' 4 14) 409 -3287 NEW POUVTE COMMUNITIES, Inc �Z l August 27, 2010 16880 West Bemardo Drive, Suite 230 D �1C P/W 1008 -02 San Diego, CA 92127 DEC a epo No. 1008- 02 -B -2 Attention: Mr. Scot C. Sandstrom President Subject: Updated Geotec`riesl Report Proposed Residential Structure, Lahoud H, APN 260- 443- 11-00, Lot 11, Edgewater Terrace Estates Unit No. 1, Encinitas, California References: Limited Geotechnical Investigation Proposed Single Family Residence, Lahoud Drive APN 260- 443- 11 -00, City of Encinitas, CA. dated February 10, 2010, Prepared by East County Soil Consultation and Engineering, Inc. (project No. 10- 1167F3) Geotechnical Investigation and Foundation Design Recommendations for Proposed 1964 Lahoud Drive, Lot 12 of Map 3965, Edgewater Terrace Estates, Unit 1, Encinitas, California, prepared by Advanced Geotechnical Solutions, Inc.'s (AGS) dated April 2l, 2010 (P/W 1003 -03) Gentlemen: Pursuant to your request, presented herein are Advanced Geotechnical Services, Inc.'s (AGS) updated grading and foundation design recommendations for the proposed residential structure, Lahoud 11, Lahoud Drive, Lot 1 I of Map 3965, Edgewater Terrace, Unit No.], City of Encinitas, California. The relatively level lot was previously graded in the late 1970's. The proposed structure will be a two-story, 3,000 square foot, wood - framed residential structure supported by a conventional slab -on -grade foundation system with associated flatwork and landscape. A previous geotechnical study was conducted for the site prepared by East County Soil Consultation and Engineering, Inc. (reference) and by AGS (P/W 1003 -03) for the southerly adjacent lot. 1.0 SITE DESCRIPTION, HISTORY AND GEOLOGY 1.1. SITE DESCRIPTION AND HISTORY The subject lot is located on Lahoud Drive in the Cardiff area of Encinitas, California. The subject lot is approximately 9,000 square feet and is a relatively flat pad at an approximate elevation of 317 (M.S.L.). A subjacent 2 :1 (horizontal to vertical) slope, approximately 15 to 20 feet high is present along the easterly property line. It appears that the subject lot was likely graded as part of the original Edgewater Estates Unit 1 grading. The approximate location of the lot is shown on the Site Location Map Figure 1. Based upon our initial observations, our work on the adjacent Lot 12 and review of the referenced report by East County Soil Consultation and Engineering, Inc (ECSC&E) it appears that the lot is covered with a thin veneer (0.5 to 2.0 feet) of previously placed fill/topsoil overlying terrace deposits. The terrace deposits consist of silty sandstone that can be cemented. ECSC &E conducted four shallow borings (BH -I through BH-4, see appendix A) at the approximate locations depicted on Plate 1 (Appendix A). These ORANGE AND L.A. COUNTIES INLAND EMPIRE SAN DIEGO AND IMPERIAL COUNTIES (714) 786 -5661 (619) 708 -1649 (619) 850 -3980 August 27, 2010 Page 2 P/W 1005 -08 Report No. 1008- 02 -B -2 borings exposed "Topsoil" ranging in depth from 0 to 2.0 feet deep overlying terrace (Very Old Paralic (Unit 10-11)) deposits. This profile is similar to AGS's observation on adjacent Lot 12. As part of ECSC &E's scope of work "undisturbed" samples were obtained and were tested for moisture and density, results of this testing are presented in the boring logs (Appendix A). Additional laboratory testing for grain size analysis and expansion index was conducted on samples obtained from their borings results of that testing is presented in Appendix B. In general this testing indicated that the onsite soils are predominately comprised of silty sands (SM -per the Unified Soil Classification System) and exhibited "Very Low" expansion potential (per ASTM D 4829). These results are consistent with our findings from adjacent Lot 12. As AGS concluded on the adjacent Lot 12 groundwater will likely not be encountered during construction, and there are no indications of non - seismic geologic hazards (Mass Wasting, Flooding, or Subsidence /Ground Fissuring) 1.2. ENGINEERING GEOLOGY 1.2.1. Geologic and Geomorphic Setting The subject site is situated within the Peninsular Ranges Geomorphic Province. The Peninsular Ranges province occupies the southwestern portion of California and extends southward to the southern tip of Baja California. In general the province consists of young, steeply sloped, northwest trending mountain ranges underlain by metamorphosed Late Jurassic to Early Cretaceous -aged extrusive volcanic rock and Cretaceous -aged igneous plutonic rock of the Peninsular Ranges Batholith. The westernmost portion of the province is predominantly underlain by younger marine and non - marine sedimentary rocks. The Peninsular Ranges' dominant structural feature is northwest- southeast trending crustal blocks bounded by active faults of the San Andreas transform system. 1.2.2. Stratigraphy A brief description of the earth materials encountered on this site is presented in the following sections. A more detailed description of these materials is provided in the boring logs (ECSC &E, 2010) included in Appendix A. Based on our site reconnaissance, review of recent subsurface excavations by ECSC &E, and review of geologic maps, the site is underlain to the depths explored by very old paralic deposits (marine terrace deposits) which are locally overlain by a thin veneer of topsoil/artificial fill soils. 1.2.3. Topsoil/Artificial Fill (Undifferentiated) Undifferentiated topsoil /artificial fill soils were encountered in the three of the four borings performed by ECSC &E. These materials were observed to overlie the very old paralic deposits (terrace deposits). The topsoil/fill soils were of variable thickness, ranging from approximately 1.5 feet in borings BH -2 and BH-4 to 2.0 feet in BH -1. As encountered, these materials generally consisted of dark brown, loose, silty fine grained sand. ADVANCED GEOTECHNICAL SOLUTIONS, INC. August 27, 2010 Page 3 P/W 1005 -08 Report No. 1008- 02 -B -2 1.2.4. Very Old Paralic Deposits, Units 10 -11 (Terrace Deposits) The site is underlain to maximum depth explored by Very Old Paralic Deposits, Units 10 -11. These materials were identified by ECSC &E as Terrace Deposits (Qt) but have been more recently mapped as a unit of Very Old Paralic Deposits (Qvop) by Kennedy and Tan (2008). As encountered in ECSC &E's exploratory borings, these materials can generally be described as reddish brown, damp to very moist, medium dense to very dense, silty fine grained sand. Surface exposures of the paralic deposits were observed in the western portion of site around boring BH- 3. Practical refusal was encountered in all four borings at depths ranging from 0.5 to 3 feet below existing ground surface. 1.2.5. Groundwater Groundwater was not encountered in the recent borings conducted by ECSC &E or in our exploratory excavations on the adjacent Lot 12. No natural groundwater condition is known to exist at the site that would impact the proposed site development. However, it should be noted that localized perched groundwater may develop at a later date, most likely at or near fill/bedrock contacts, due to fluctuations in precipitation, irrigation practices, or factors not evident at the time of our field explorations. 1.2.6. Non - seismic Geologic Hazards 1.2.6.1. Mass Wasting No evidence of mass wasting was observed onsite nor was any noted on the reviewed maps. 1.2.6.2. Flooding According to available FEMA maps, the site is not in a FEMA identified flood hazard area. 1.2.6.3. Subsidence/Ground Fissuring Due to the presence of the dense underlying materials, the potential for subsidence and ground fissuring due to settlement is unlikely. 1.2.7. Seismic Hazards The site is located in the tectonically active Southern California area, and will therefore likely experience shaking effects from earthquakes. The type and severity of seismic hazards affecting the site are to a large degree dependent upon the distance to the causative fault, the intensity of the seismic event, and the underlying soil characteristics. The seismic hazard may be primary, such as surface rupture and/or ground shaking, or secondary, such as liquefaction or dynamic settlement. The following is a site - specific discussion of ground motion parameters, earthquake - induced landslide hazards, settlement, and liquefaction. The purpose of this analysis is to identify potential seismic hazards and propose mitigations, if necessary, to reduce the hazard to an ADVANCED GEOTECHNICAL SOLUTIONS, INC. August 27, 2010 P/W 1005 -08 Page 4 Report No. 1008- 02 -B -2 acceptable level of risk. The following seismic hazards discussion is guided by the California Building Code (2007), CDMG (2008), and Martin and Lew (1998). 1.2.7.1. Surface Fault Rupture No known active faults have been mapped at or near the subject site. The nearest known active surface fault is the Oceanside section of the Newport- Inglewood -Rose Canyon fault zone which is approximately 4 miles west of the subject site. Accordingly, the potential for fault surface rupture on the subject site is low to remote. This conclusion is based on literature review and aerial photographic analysis. 1.2.7.2. Seismicity As noted, the site is within the tectonically active southern California area, and is approximately 4 miles from an active fault, the Oceanside section of the Newport- Inglewood -Rose Canyon fault zone. The potential exists for strong ground motion that may affect future improvements. At this point in time, non - critical structures (commercial, residential, and industrial) are usually designed according to the California Building Code (2007) and that of the controlling local agency. However, liquefaction/seismic slope stability analyses, critical structures, water tanks and unusual structural designs will likely require site specific ground motion input. 1.2.7.3. Liquefaction Due to dense nature of the underlying bedrock and lack of a shallow groundwater table at the project site, the potential for seismically induced liquefaction is considered negligible. 1.2.7.4. Dynamic Settlement Dynamic settlement occurs in response to an earthquake event in loose sandy earth materials. This potential of dynamic settlement at the subject site is considered very low due to the presence of shallow bedrock and the absence of loose, sandy soils. 1.2.7.5. Seismically Induced Landsliding Evidence of landsliding at the site was not observed during our field reconnaissance for the subject lot or the adjacent lot 12 (AGS 4/21/10) nor was any geomorphic features indicative of landsliding noted during our review of aerial photos and published geologic maps. 2.0 CONCLUSIONS AND RECOMMENDATIONS Construction of the proposed residential structure and associated improvements is considered feasible from a geotechnical standpoint, provided that the conclusions and recommendations presented herein are incorporated into the design and construction of the project. Presented below are specific issues identified ADVANCED GEOTECHNICAL SOLUTIONS, INC. August 27, 2010 P/W 1005 -08 Page 5 Report No. 1008- 02 -B -2 by this study as possibly affecting site development. Recommendations to mitigate these issues are presented in the text of this report. 2.1. GRADING REC0M1NffNDATI0NS 2.1.1. Unsuitable Soil Removals In areas to receive settlement sensitive structures, the existing undocumented fill soils should be removed. Removals should expose competent formational materials. The removals should extend a lateral distance equal to the depth of removal beyond the improvement limits. Minimally, the removals should extend a lateral distance of at least 5 feet beyond the limits of settlement sensitive structures. The resulting removal bottoms should be observed by a representative of AGS to verify that adequate removal of unsuitable materials have been conducted prior to fill placement. In general, soils removed during remedial grading will be suitable for reuse in compacted fills, provided they are properly moisture conditioned and do not contain deleterious materials. Grading shall be accomplished under the observation and testing of the project soils engineer and engineering geologist or their authorized representative in accordance with the recommendations contained herein, the current grading ordinance of the City of Encinitas. 2.1.2. Earthwork Considerations 2.1.2.1. Compaction Standards Fill and processed natural ground shall be compacted to a minimum relative compaction of 90 percent, as determined by ASTM Test Method: D 1557. Compaction shall be achieved at or slightly above the optimum moisture content and as generally discussed in the attached Earthwork Specifications (Appendix B). 2.1.2.2. Treatment of Removal Bottoms At the completion of unsuitable soil removals, the exposed bottom should be scarified to a minimum depth of eight inches, moisture conditioned to above optimum conditions and compacted in -place to the standards set forth in this report. 2.1.23. Fill Placement Fill should be placed in thin lifts (eight -inch bulk), moisture conditioned to at or slightly above the optimum moisture content, uniformly mixed, and compacted by the use of both wheel rolling and kneading type (sheeps foot) compaction equipment until the designed grades are achieved. 2.13. Cut Fill Transition Lots Finalized grading plans were not available for review at the time of this report. If the proposed structure or other settlement sensitive improvements are planned across cut -fill transitions, remedial grading may be necessary to reduce to potential for differential settlement. We recommend that one of the following two options be performed. ADVANCED GEOTECHNICAI. SOLUTIONS, INC. August 27, 2010 P/W 1005 -08 Page 6 Report No. 1008- 02 -B -2 Option 1 — Overexcavate the building pad to a minimum depth of three feet below finish grade or 12 inches below the bottom of the proposed footings (whichever is deeper) and replace with compacted fill. Option 2 — Scarify and re- compact the upper one foot of the building pad. Extend foundation elements to bear directly on Very Old Paralic deposits. 2.2. DESIGN RECOMMENDATIONS It is our understanding that the proposed foundation will consist of a shallow conventional slab - on -grade foundation system supporting the proposed two-story wood -frame residential structure. In addition to the structure, associated driveways, hardscape and landscape areas are proposed. From a geotechnical perspective these proposed improvements are feasible provided that the following recommendations are incorporated into the design and construction. 2.2.1. Foundation Design Criteria The single - family residential structure can be supported on conventional shallow foundations and slab -on -grade systems. The expansion potential of the underlying soils is classified as "Low The following values may be used in the foundation design. Allowable Bearing: 2000 lbs. /sq.ft. Lateral Bearing: 250 lbs. /sq.ft. at a depth of 12 inches plus 125 lbs. /sq.ft. for each additional 12 inches embedment to a maximum of 2000 lbs. /sq.ft. Sliding Coefficient: Settlement- Differential- 0.35 Total = 3/4 inch 3/8 inch in 20 feet The above values may be increased as allowed by Code to resist transient loads such as wind or seismic. Building Code and structural design considerations may govern. Depth and reinforcement requirements should be evaluated by the Structural Engineer. 2.2.2. Seismic Design Parameters The following seismic design parameters are presented to be code compliant to the California Building Code (2007). The subject lots have been identified to be site class "C" in accordance with CBC, 2007, Table 1613.5.3 (1). The lot is located at Latitude 33.0241° N and Longitude 117.2672° W. Utilizing this information, the computer program USGS Earthquake Ground Motion Parameters Version 5.0.7 and ASCE 7 criterion, the seismic design category for 0.20 seconds (Ss) and LO second (SI) period response accelerations can be determined (CBC, 2007 1613.5.5.1) along with the design spectral response acceleration (CBC, 2007 1613.5.4). ADVANCED GEOTECHNICAL SOLUTIONS, INC. August 27, 2010 P/W 1005 -08 Page 7 Report No. 1008- 02 -B -2 Seismic Design Criteria Mapped Spectral Acceleration (0.2 sec Period), Ss 1.3448 Mapped Spectral Acceleration (1.0 sec Period), S, 0.505g Site Coefficient, F. 1.0 Site Coefficient, F„ 1.3 MCE Spectral Response Acceleration (0.2 sec Period), SMs 1.3448 MCE Spectral Response Acceleration (1.0 sec Period), SM, 0.657g Design Spectral Response Acceleration (0.2 sec Period), SDs 0.8968 Design Spectral Response Acceleration (1.0 sec Period), SD, 0.438g 2.23. Conventional Foundation Design Based upon the onsite soil conditions and information supplied by the CBC -2007, conventional foundation systems should be designed in accordance with Section 2.2.1 and the following recommendations. > Interior and exterior footings for the proposed two -story residence should be a minimum of 15 inches wide and extend to a depth of at least 18 inches below lowest adjacent grade. Footing reinforcement should minimally consist of four No. 4 reinforcing bars, two top and two bottom or two No. 5 reinforcing bars, one top and one bottom. > Conventional, slab -on -grade floors, underlain by "very low to low" expansive compacted fill, should be five or more inches thick and be reinforced with No. 3 or larger reinforcing bars spaced 18 inches on center each way_ The slab reinforcement and expansion joint spacing should be designed by the Structural Engineer. > Isolated spread footings outside the footprint of the proposed structures should be tied with grade beams to the structure in two orthogonal directions. Footing depth, width and reinforcement should be the same as the structure. A grade beam reinforced continuously with the garage footings shall be constructed across the garage entrance, tying together the ends of the perimeter footings and between individual spread footings. This grade beam should be embedded at the same depth as the adjacent perimeter footings. A thickened slab, separated by a cold joint from the garage beam, should be provided at the garage entrance. Minimum dimensions of the thickened edge shall be six (6) inches deep. Footing depth, width and reinforcement should be the same as the structure. Slab thickness, reinforcement and under -slab treatment should be the same as the structure. ADVANCED GEOTECHNICAL SOLUTIONS, INC. August 27, 2010 P/W 1005 -08 Page 8 Report No. 1008- 02 -B -2 If exterior footings adjacent to drainage swales are to exist within five feet horizontally of the swale, the footing should be embedded sufficiently to assure embedment below the Swale bottom is maintained. Footings adjacent to slopes should be embedded such that a least seven feet are provided horizontally from edge of the footing to the face of the slope. 2.2.4. Under Slab Prior to concrete placement the subgrade soils should be moisture conditioned to optimum moisture content. A moisture and vapor retarding system should be placed below the slabs -on -grade in portions of the structure considered to be moisture sensitive. The retarder should be of suitable composition, thickness, strength and low permeance to effectively prevent the migration of water and reduce the transmission of water vapor to acceptable levels. Historically, a 10 -mil plastic membrane, such as Visqueen, placed between one to four inches of clean sand, has been used for this purpose. More recently Stego Wrap or similar underlayments have been used to lower permeance to effectively prevent the migration of water and reduce the transmission of water vapor to acceptable levels. The use of this system or other systems, materials or techniques can be considered, at the discretion of the designer, provided the system reduces the vapor transmission rates to acceptable levels. 2.2.5. Deepened Footings and Structural Setbacks It is generally recognized that improvements constructed in proximity to natural slopes or properly constructed, manufactured slopes can, over a period of time, be affected by natural processes including gravity forces, weathering of surficial soils and long -term (secondary) settlement. Most building codes, including the California Building Code (CBC), require that structures be set back or footings deepened, where subject to the influence of these natural processes. For the subject site, where foundations for residential structures are to exist in proximity to slopes, the footings should be embedded to satisfy the requirements presented in Figure 2. ADVANCED GEOTECHNICAL SOLUTIONS, INC. August 27, 2010 P/W 1005 -08 FIGURE 2 FACE OF STRUCTURE W2 `BUT NEED NOT EXCEED 15 FT. MAX. 2.2.6. Concrete Design Page 9 Report No. 1008- 02 -13-2 FACE OF FOOTING TOP OF SLOPE H/9 BUT NEED NOT EXCEED 40 FT. MAX. Testing performed on the adjacent Lot 12 indicates the soils exhibit a "very low" sulfate exposure when classified in accordance with ACI 318 -05 Table 4.3.1 (per 2007 CBC). However, some fertilizers have been known to leach sulfates into soils otherwise containing "negligible" sulfate concentrations and increase the sulfate concentrations to potentially detrimental levels. It is incumbent upon the owner to determine whether additional protective measures are warranted to mitigate the potential for increased sulfate concentrations to onsite soils as a result of the future homeowner's actions. 2.2.7. Corrosion Resistivity tests performed on the adjacent Lot 12 indicate that the soils are "severely" corrosive to buried metallic materials. AGS recommends minimally that the current standard of care be employed for protection of metallic construction materials in contact with onsite soils or that consultation with an engineer specializing in corrosion to determine specifications for protection of the construction materials. 2.2.8. Retaining Walls The following earth pressures are recommended for the design of retaining walls onsite: Rankine Equivalent Fluid Level Backfill Coefficients Pressure (osUlin.ft.) Coefficient of Active Pressure: K. = 0.31 38 Coefficient of Passive Pressure: KP = 3.25 407 Coefficient of at Rest Pressure: K" = 0.47 59 ADVANCED GEOTECHNICAL SOLUTIONS, INC. August 27, 2010 P/W 1005 -08 Page 10 Report No. 1008- 02 -B -2 Rankine Equivalent Fluid 2 • 1 Backfdl Coefficients Pressure (asf/lin.ft.) Coefficient of Active Pressure: Ka = 0.47 59 Coefficient of Passive Pressure: Descending Kp ( -) = 1.23 154 Coefficient of At Rest Pressure: Ka = 0.72 90 The foundations for retaining walls of appurtenant structures structurally separated from the building structure may bear on properly compacted fill. A bearing value of 2,000 psf may be used for design of retaining walls. Retaining wall footings should be designed to resist the lateral forces by passive soil resistance and/or base friction as recommended for foundation lateral resistance. To relieve the potential for hydrostatic pressure wall backfill should consist of a free draining backfill (sand equivalent "SE" >20) and a heel drain should be constructed as depicted in Figure 3. The heel drain should be place at the heel of the wall and should consist of a 4 -inch diameter perforated pipe (SDR 35 or SCHD 40) surrounded by 4 cubic feet of crushed rock (3/4- inch) per lineal foot, wrapped in filter fabric (Mirafi® 140N or equivalent). Proper drainage devices should be installed along the top of the wall backfill, which should be properly sloped to prevent surface water ponding adjacent to the wall. In addition to the wall drainage system, for building perimeter walls extending below the finished grade, the wall should be waterproofed and/or damp- proofed to effectively seal the wall from moisture infiltration through the wall section to the interior wall face. The wall should be backfilled with granular soils placed in loose lifts no greater than 8- inches thick, at or near optimum moisture content, and mechanically compacted to a minimum 90 percent relative compaction as determined by ASTM Test Method D1557. Flooding or jetting of backfill materials generally do not result in the required degree and uniformity of compaction and, therefore, is not recommended. The soils engineer or his representative should observe the retaining wall footings, back drain installation and be present during placement of the wall backfill to confirm that the walls are properly backfilled and compacted. ADVANCED GEOTECHNICAL SOLUTIONS, INC. August 27, 2010 P/W 1005 -08 Figure 3 Retaining Wall Back -Fill and Drainage Detail 'NATERPROOFING VIENSFANE ;OPTIONAL) �I 'I H i ei o'c ,I e 1�*I PROVIDE DRAINAGE SWALE 12 in. min. t SELECT i BACK-ILL (EIC%D 6 i SE-20) W2 m11. 5 I� DRAIN (1 ) NATIVE BACKFILL (EIc5J) Page I 1 Report No. 1008- 02 -13-2 1:1 "V) OR FLATTER )Y� I1jn��SUBSTn�l1iRE FlACED PERF03APON30GV+�DSURROUDD EJ�31'A M WMUM OF 1 CUBIC FEET O= 34 .`CH ROCK OR APPROVED EOUIYAEEJT S SSTRUTEANDWMPPEDMASFVW 140FC1 FABRICORAPMiO EQUIVALENT SUBSnruTF 2.3. UTILITY TRENCH EXCAVATION All utility trenches should be shored or laid back in accordance with applicable OSHA standards. Excavations in bedrock areas should be made in consideration of underlying geologic structure. AGS should be consulted on these issues during construction. 2.4. UTHdTY TRENCH BACKFILL Mainline and lateral utility trench backfill should be compacted to at least 90 percent of maximum dry density as determined by ASTM D 1557. Onsite soils will not be suitable for use as bedding material but will be suitable for use in backfill, provided oversized materials are removed. No surcharge loads should be imposed above excavations. This includes spoil piles, lumber, concrete trucks or other construction materials and equipment. Drainage above excavations should be directed away from the banks. Care should be taken to avoid saturation of the soils. ADVANCED GEOTECHNICAL SOLUTIONS, INC. August 27, 2010 P/W 1005 -08 Page 12 Report No. 1008- 02 -B -2 Compaction should be accomplished by mechanical means. Jetting of native soils will not be acceptable. 2.5. EXTERIOR SLABS AND WALKWAYS 2.5.1. Subgrade Compaction The subgrade below exterior slabs, sidewalks, driveways, patios, etc. should be compacted to a minimum of 90 percent relative compaction as determined by ASTM D 1557. 2.5.2. Subgrade Moisture The subgrade below exterior slabs, sidewalks, driveways, patios, etc. should be moisture conditioned to a minimum of 110 percent of optimum moisture content prior to concrete placement. 2.53. Slab Thickness Concrete flatwork and driveways should be designed utilizing four -inch minimum thickness. 2.5.4. Control Joints Weakened plane joints should be installed on walkways at intervals of approximately eight to ten feet. Exterior slabs should be designed to withstand shrinkage of the concrete. 2.5.5. Flatwork Reinforcement Consideration should be given to reinforcing any exterior flatwork. 2.5.6. Thickened Edge Consideration should be given to construct a thickened edge (scoop footing) at the perimeter of slabs and walkways adjacent to landscape areas to minimize moisture variation below these improvements. The thickened edge (scoop footing) should extend approximately eight inches below concrete slabs and should be a minimum of six inches wide. 2.6. PLAN REVIEW Once grading and foundation design plans become available, they should be reviewed by AGS to verify that the design recommendations presented are consistent with the proposed construction. 3.0 SLOPE AND LOT MAINTENANCE Maintenance of improvements is essential to the long -term performance of structures and slopes. Although the design and construction during mass grading is planned to create slopes that are both grossly and surficially stable, certain factors are beyond the control of the soil engineer and geologist. The homeowners must implement certain maintenance procedures. The following recommendations should be implemented. ADVANCED GEOTECNNICAL SOLUTIONS, INC. August 27, 2010 P/W 1005 -08 3.1. SLOPE PLANTING Page 13 Report No. 1008- 02 -B -2 Slope planting should consist of ground cover, shrubs and trees that possess deep, dense root structures and require a minimum of irrigation. The resident should be advised of their responsibility to maintain such planting. 3.2. LOT DRAINAGE Roof, pad and lot drainage should be collected and directed away from structures and slopes and toward approved disposal areas. Design fine -grade elevations should be maintained through the life of the structure or if design fine grade elevations are altered, adequate area drains should be installed in order to provide rapid discharge of water, away from structures and slopes. Residents should be made aware that they are responsible for maintenance and cleaning of all drainage terraces, down drains and other devices that have been installed to promote structure and slope stability. 33. SLOPE IRRIGATION The resident, homeowner and Homeowner Association should be advised of their responsibility to maintain irrigation systems. Leaks should be repaired immediately. Sprinklers should be adjusted to provide maximum uniform coverage with a minimum of water usage and overlap. Overwatering with consequent wasteful run -off and ground saturation should be avoided. If automatic sprinkler systems are installed, their use must be adjusted to account for natural rainfall conditions. 3.4. BURROWING ANIMALS Residents or homeowners should undertake a program for the elimination of burrowing animals. This should be an ongoing program in order to maintain slope stability. 4.0 CLOSURE 4.1. Geotechnical Review As is the case in any grading project, multiple working hypotheses are established utilizing the available data, and the most probable model is used for the analysis. Information collected during the grading and construction operations is intended to evaluate the hypotheses, and some of the assumptions summarized herein may need to be changed as more information becomes available. Some modification of the grading and construction recommendations may become necessary, should the conditions encountered in the field differ significantly than those hypothesized to exist. AGS should review the pertinent plans and sections of the project specifications, to evaluate conformance with the intent of the recommendations contained in this report. If the project description or final design varies from that described in this report, AGS must be consulted regarding the applicability of, and the necessity for, any revisions to the recommendations presented herein. AGS accepts no liability for any use of its recommendations if the project description or final design varies and AGS is not consulted regarding the changes. ADVANCED GEOTECHNICAL SOLUTIONS, INC. August 27, 2010 P/W 1005 -08 Page 14 Report No. 1008- 02 -B -2 4.2. Limitations This report is based on the project as described and the information obtained from the previous geotechnical investigation by ECSC &E and our work on the adjacent Lot 12. The findings are based on the results of the field, laboratory, and office investigations combined with an interpolation and extrapolation of conditions between and beyond the excavation locations. The results reflect an interpretation of the direct evidence obtained. Services performed by AGS have been conducted in a manner consistent with that level of care and skill ordinarily exercised by members of the profession currently practicing in the same locality under similar conditions. No other representation, either expressed or implied, and no warranty or guarantee is included or intended. The recommendations presented in this report are based on the assumption that an appropriate level of field review will be provided by geotechnical engineers and engineering geologists who are familiar with the design and site geologic conditions. That field review shall be sufficient to confirm that geotechnical and geologic conditions exposed during grading are consistent with the geologic representations and corresponding recommendations presented in this report. AGS should be notified of any pertinent changes in the project plans or if subsurface conditions are found to vary from those described herein. Such changes or variations may require a re- evaluation of the recommendations contained in this report. The data, opinions, and recommendations of this report are applicable to the specific design of this project as discussed in this report. They have no applicability to any other project or to any other location, and any and all subsequent users accept any and all liability resulting from any use or reuse of the data, opinions, and recommendations without the prior written consent of AGS. AGS has no responsibility for construction means, methods, techniques, sequences, or procedures, or for safety precautions or programs in connection with the construction, for the acts or omissions of the CONTRACTOR, or any other person performing any of the construction, or for the failure of any of them to carry out the construction in accordance with the final design drawings and specifications. ADVANCED GEOTECHNICAL SOLUTIONS, INC. August 27, 2010 P/W 1005 -08 Page 15 Report No. 1008- 02 -13-2 The opportunity to be of service is sincerely appreciated. If you should have any questions, please do not hesitate to contact the undersigned. Submitted, Inc. E 2314, Reg. Exp. 6 -30 -11 Distribution: (6) Addressee Attachments: PAUL J. DE RISI, Vice President CEG 2536, Reg. Exp. 5 -31 -11 Attachments: Figure 1- Site location Map Appendix A- Boring logs BH -I thru BH4 and Location of Exploratory Boreholes (Plate 1) by ECSC &E 1110/10 Appendix B- Laboratory data ECSC &E 2/10/10 A. No. 2314 Exp.6/30/11 yp14 AL ci No. 2536 -- N CL CERTIFIED ENGINEERING 0 GEOLQGI$T •. OF ADVANCED GEOTECHNICAL SOLUTIONS, INC. August 27, 2010 P/W 1005 -08 APPENDIX A Boring Logs and Boring Location Plan East County Soils Consultation & Engineering, Inc. From Report Dated 2/10/10 ADVANCED GEOTECHNICAL SOLUTIONS, INC. Page 16 Report No. 1008 -02 -B -2 $gym I � 't ) EASTCOI & ENGINEERING, INC. 1093 HARTLEY RD_ SUrTE L SANTM G 92071 (619) 255.7901 F=1619) 259 -7902 a�/- YP sfcES /� //67F3 / ?.fi b SCHROEDER PRCJECT NO 10- 1167F3 PLATE NO. 2 SUMMARY SHEET NO. 1 BOREHOLE NO. 1 DEPTH SOIL DESCRIPTION Y yt Surface TOPSOIL dark b , Ery mois ose, porous. si ty me sand 93 9 13 -g with some rootlets 2.0' TERRACE DEPOSITS (Qt) reddish brown, very moist, medium dense, silty fine sand reddish own, moist dense, si t. fine sand 108.3 15.2 3.0' bottom of borehole, no caving, no groundwater, refusal borehole backfilled BOREHOLE NO.2 DESCRIPTION Y 41 Surface TOPSOIL dark brown, moist, loose porous. silly fine sand with some rootlets 1.5' TERRACE DEPOSITS (Oil reddish brown, very moist, medium dense, silt• fine sand 2-0' reddish brown, moist. dense. silty tine :and 2.5' bottom of borehole, no caving. no groundwater. refusal borehole backfilled 2 /1 /10 BOREHOLE NO.3 DEPTH SOIL DEscgwrioN _ - -y— M Surface TYRRACE DFP(1SEES (Q, reddish brown, damp, very dense. silty fine sand 0 bort rn of hnrehnle on raying nn groundwater, refnsai borehole backfilled 2/1 /10 BOREHOLE NO. a -- - -` --- -- - ---- -- DEPTH SOIL DESCRIPTION y til Surface TOPSOIL lark brown very mo s , 1.5- TERRACE DEPOSITS (Qt) rcdt rfi tir 2.0' bottom of borehole, no caving, no groundwater, refusal 14 August 27, 2010 P/W 1005 -08 FEW Laboratory Test Data East County Soils Consultation & Engineering, Inc. From Report Dated 2/10/10 ADVANCED GEOTECHNICAL SOLUTIONS, INC. Page 17 Report No. 1008 -02 -B -2 SCHROEDER PROJECT PAGE Ii LABORATORY TEST RESULTS EXPANSION INDEX TEST (ASTM D4829) INITIAL SATURATED INITIAL_ DRY VIC7IS I CRE MOISTURE DENSITY EXPANSION- O oo CONT % (PCFI rhnFY 9.5 23.1 PARTICLE SIZE ANALYSIS (ASTM D422) S� A %I F, kl(. T First American Title Insurance Company 11512 El Camino Real, Suite 350 San Diego, CA 92130 September 03, 2010 New Pointe Investment 12, LLC 16880 W. Bernardo Drive # 230 San Diego, CA 92127 File No.: DTR- 3553277 Property: Vacant Land, Encinitas, CA In connection with the above referenced transaction, the following is enclosed: Policy of Title Insurance If you have any questions regarding the enclosed, please contact the undersigned. Sincerely, Dianne Livingston Title Officer Phone: (858)509-2113 Fax:(866)559 -1843 Email: dslivingston @firstam.com CLTA Homeowners Policy of Title Insurance (6/2/98) ALTA Homeowner's Policy of Title Insurance (10/17/98) Order Number: OTR- 3553277 Page Number: 1 FIRST AMERICAN TITLE INSURANCE COMPANY EAGLE Protection Owner's Policy FOR A ONE -TO -FOUR FAMILY RESIDENCE OWNER'S INFORMATION SHEET Your Title Insurance Policy is a legal contract between You and Us . it applies only to a one-to -four family residence and only if each insured name in Schedule A is a Natural Person. If the Land described in Schedule A of the Policy in rot an improved residential lot on which there is located a one -to -four family residence, or If each insured named in Schedule A is not a Natural Person, contact Us immediately. The Policy insures You against actual loss resulting from certain Covered Risks. These Covered Risks are listed on page 3 of the Policy. The policy is limited by: • Provision of Schedule A • Exceptions in Schedule B • Our Duty to Defend Against Legal Actions on Page 4 • Exclusions on Page 4 • Conditions on Pages 4, 5 & 6 You should keep the Policy even if You transfer Your title to the Land . if you want to make a claim, see paragraph 3 under Conditions on page 5. You do not owe any more premiums for the Policy. This sheet is not Your insurance Policy. It is only a rights and obligations and Our rights and obligations. n5 Since the PDI n and �notlthi�eet Policy thfeatures. egal document, um Plicy explains in detail Your YOU SHOULD READ THE POLICY VERY CAREFULLY. if you have any questions about your Policy, contact: First American Title 1 First American Way Santa Ana, CA 92707 714- 800 -3000 or 800 -854 -3643 First American Title CLTA Homeowners Policy of Title Insurance (612/98) ALTA Homeowners Policy of Title Insurance (10117/98) Order Number: DTR- 3553277 Page Number 2 FIRST AMERICAN TITLE INSURANCE COMPANY EAGLE Protection Owners Policy FOR A ONE- TO-FOUR FAMILY RESIDENCE TABLE OF CONTENTS M OWNER'S COVERAGE STATEMENT 3 3 COVERED RISKS OUR DUTY TO DEFEND AGAINST LEGAL ACTION 4 SCHEDULE A Policy Number, Premium, Date and Time and Amount 7 Deductible Amounts and Maximum Dollar Limits of Liability Street Address of the Land 8 1. Name of Insured 8 2. Interest in Land Covered 8 3. Description of the Land SCHEDULE B -- EXCEPTIONS EXCLUSIONS CONDITIONS 4 1. D Definitions 4 2. C Continuation of Coverage S 3. H How to Make a Claim 5 4. O Our Choices When We Learn of a Claim S. H Handling a Claim or Legal Action S 6. L Limitation of the Company's Liability 6 7. T 6 6 8. E Entire Contract 6 9. I Increased Policy Amount 6 10. S Severability Fi7st Amencan Title CLTA Homeowner's Policy of Title Insurance (6/2/98) ALTA Homeowners Policy of Title Insurance (10/17/98) Order Number: DTR- 3553277 Page Number: 3 Policy of Title Insurance � r i. ISSUED BY First American Title insurance Company EAGLE Protection Owner's Policy FOR A ONE- TO-FOUR FAMILY RESIDENCE OWNER'S COVERAGE STATEMENT This Policy insures You against actual loss, including any costs, attorneys' fees and expenses provided under this Policy, resulting from the Covered Risks set forth below, if the Land is an improved residential lot on which there is located a one- to-four family residence and each insured named in Schedule A is a Natural Person. Your Insurance is effective on the Policy Date. This Policy covers Your actual loss from any risk described under Covered Risks if the event creating the risk exists on the Policy Date or, to the extent expressly stated, after the Policy Date. Your insurance is limited by all of the following: The Policy Amount shown is Schedule A For Covered Risk 14, 15, 16 and 18, Your Deductible Amount and Our Maximum Dollar Limit of liability shown in Schedule A Exceptions in Schedule 8 Our Duty To Defend Against Legal Actions Exclusions on page 4 • Conditions on page 4, 5 and 6. COVERED RISKS The Covered Risks are: 1. Someone else owns an interest in Your Title. 2. Someone else has rights affecting Your Title arising out Of leases, contracts, or options. 3. Someone else claims to have rights affecting Your Title arising out of forgery or impersonation. 4. Someone else has an easement On the Land. 5. Someone else has a right to limit Your use of the Land. 6. Your Title is defective. 7. Any of Covered Risks 1 through 6 Occurring after the Policy Date. B. Someone else has a lien on Your Title including a: a. Mortgage; b. judgement, state cx federal tax lien, or special assessment; c charge by a homeowners or condominium association; or d. lien, Occurring before or after the Policy Date, for labor and material furnished before the Policy Date. 9. Someone else has an encumbrance on Your Title. 10.Sorneone else claims to have rights affecting Your Title arising out of fraud, duress, incompetency or incapacity. I1.You do not have both actual vehicular and pedestrian access to and from the Land, based upon a legal right. 12.You are forced to correct or reprove an existing violation of any covenant, condition or restriction affecting the Land, even if the covenant, condition or restriction is excepted in Schedule B. 13.Your Title is lost or taken because of a violation of any covenant, condition or restriction, which occurred before You acquired Your Title, even if the covenant condition or restriction is excepted in schedule B. 14. Because of an existing violation of a subdivision law or regulation affecting the Land: a.You are unable to obtain a building permit; b.You are forced to correct or remove the violation; or csomeone else has a legal right to, and does, refuse to perform a contract to purchase the Land, lease it or make Mortgage loan on it. The amount of Your insurance for this Covered Risk is subject to Your deductible Amount and Our Maximum Dollar Limit of Liability shown is Schedule A. 15.You are forced to remove or remedy Your existing structures, or any part of them - other than boundary waits or fences - because any portion was built without obtaining a building permit from the proper government office. The amount of Your insurance for this Covered Risk is subject to Your Deductible Amount and Our Maximum Dollar Limit of liability shown in Schedule A. 16.You are forced to remove or remedy Your existing structures, or any part of them, because they violate an existing zoning law or zoning regulation. If You are required to remedy any potion of Your existing structures, the amount of Your insurance for this Covered Risk is subject to Your Deductible Amount and Our Maximum Dollar Limit of Liability shown in Schedule A. 17.You cannot use the Land because use as a single - family residence violates an existing zoning law or zoning regulation. First American Title CLTA Homeowners Policy of Title insurance Number: DTR- 3553277 nce (6(2/98) page Number: 4 ALTA Homeowners Policy of Title Insurance (10/17/98) 18.You are forced to remove Your existing structures because they encroach onto Your neighbors land. If the encroaching structures are boundary walls or fences, the amount of Your insurance for this Covered Risk is subject to Your Deductible Amount and Our Maximum Dollar Limit of Liability shown in Schedule A. 19.Someone else has a legal right to, and does, refuse to perform a contract to purchase the land, lease it or make a Mortgage loan on it because Your neighbors existing structures encroach onto the Land. 20.You are forced to remove Your existing structures because they encroach onto an easement or over a building set -bade line, even if the easement or building set -back line is excepted in Schedule B. 21.Your existing structures are damaged because of the exercise of a right to maintain or use any easement affecting the Land, even rf the easement s except in Schedule B. are damaged because 22.Your existing improvements (or a replacement a modification made to them after the Policy Date), including lawns, shrubbery a trees, 9 of the future exercise of a right to use the surface of the Land for the extraction or development of minerals, water or any other substance, even if those rights are excepted or reserved from the description of the Land a excepted in Schedule B. 23.Sorneone else tries to enforce a discriminatory covenant, condition or restriction that they claim affects Your Title which is based upon race, color, religion, sex, handicap, familial status, or national origin. 24.A taxing authority assesses supplemental real estate taxes not previously assessed against the land for any period before the Policy Date because of construction or a charge of ownership or use that occurred before the Policy Date. 25-Your neighbor builds any structures after the Policy Date - other than boundary walls or fences - which encroach onto the Land. 26.Your Title is unmarketable, which allows someone else to refuse to perform a contract to purchase the land, lease it or make a Mortgage loan on it. 27.A document upon which Your Title is based is invalid because it was not properly signed, sealed, acknowledged, delivered or recorded. 28.The residence with the address shown in Schedule A is not located on the Land at the Policy Date. 29.The map, if any, attached to this Policy does not show the correct khcation of the Land according to the Public Records. OUR DUTY TO DEFEND AGAINST LEGAL ACTIONS We will defend Your Title in any legal action only as to that part of the action which is based on a Covered Risk and which is not part of the legal r action from is not coverage in this Policy. We will pay the costs, attorneys' fees, and expenses We incur In that defense. We will not pay for any pa based on a Covered Risk or which is excepted or excluded from coverage in this Policy. We can end Our duty to defend Your Title under paragraph 4 of the Conditions. This Policy is not complete without Schedules A and B. EXCLUSIONS at[ane fees, and expenses resulting from In addition to the Exceptions in Schedule B, You are not insured against Noss, costs, attorneys' la and regulations concerning: I.Covemmentill police power, and the existence or violation of any law r law regulation. This includes ordinances, lam a.building b.zoning use damprovements on the Land e.land division f.environmental protection This Exclusion does not apply to violations or the enforcement of these matters if notice of the violabon or enforcement appears in the Public Records at the Policy Date. This Exclusion does not limit the coverage described in Covered Risk 14,15,16,17 or 24. 2.The failure of Your existing structures, or any part of them, to be constructed in accordance with applicable building codes. This Exclusion does not apply to violations of building codes if notice of the violation appears in the Public Records at the Policy Date. 3.The right to take the Land by condemning it, unless: a.a notice of exercising the right appears in the Public Records at the Policy Date; or b.the taking happened before the Policy Date and is binding on You if You bought the Land without Knowing of the taking. 4.Risks: a.that are created, allowed, or agreed to by You, whether or not they appear in the Public Records; b.that are Known to You at the Policy Date, but not to Us, unless they appear in the Public Records at the Policy Date; c.that result in no loss to You; o d -that first occur after the Policy Date - this does not limit the coverage described in Covered Risk 7, 8.d, 22, 23, 24 or 25. S.Failure to pay value for Your Title. 61adk of a right: a.to any Land outside the area specifically described and referred to in paragraph 3 of Schedule A; and b.in streets, alleys, or waterways that touch the Land. This Exclusion does not limit the coverage described in Covered Risk 11 or 18. CONDITIONS S.DEFINMONS: a.Easement - the right of someone else to use the Land for a special purpose. b.Rnown - things about which You have actual knowledge. The words "Know" and "Knowing" have the same meaning as Known. c.Land - the Land or condominium unit described in paragraph 3 of Schedule A and any improvements on the Land which are real property. d.Mortgage - a mortgage, deed of trust, trust deed or other security instrument e.Natural Person - a human being, not a commercial or legal organization or entity. Natural Person includes a trustee of a Trust even it the trustee is not a human being. f. Policy Date - the date and time shown in Schedule A. If the insured named in Schedule A first acquires the interest shown in Schedule A by an instrumen recorded in the Public Records later than the date and time shown in Schedule A, the Policy Date is the date and time the instrument is recorded. g. Public Records - records that give constructive notice of matters affecting Your Title, according to the state statutes where the Land is located. h.Ttle - the ownership of Your interest in the Land, as shown in Schedule A. i.Trust - a living last established by a human being for estate planning. j.We /Our /Us - First American Title Insurance Company. k.You /Your - the insured named in Schedule A and also those identified in paragraph 2.b. of these Conditions. 2.CONTINUATION OF COVERAGE: a.This Policy insures You forever, even after You no longer have Your Title. You cannot assign this Policy to anyone else. b.This Policy also insures: (1) anyone who inherits Your Tide because of Your death; (2) Your spouse who receives Your Title because of dissolution of Your marriage; (3) the trustee or successor trustee of a Trust to wham You transfer Your Title after the Policy Date; or FirstAmerican Title CLTA Homeowner's Policy of Title Insurance (6/2/98) order Number: DTR- 3553277 ALTA Homeowners Policy of Title Insurance (10/17/98) Page Number: 5 (4) the beneficiaries of Your Trust upon Your death. c.We may assert against the insureds identified in paragraph 2.b. any rights and defenses that We have against any previous insured under this Policy. 3.HOW TO MAKE A CLAIM: a.Prompt Notice Of Your Claim (1) As soon as You Know of anything that might be covered by this Policy, You must notify Us promptly in writing. (2) Send Your notice to First American Title Insurance Company, 1 first American Way, Santa Ana, California, 92707, Attention: Claims Department. Please include policy, the Policy number shown in Schedule A, and the county and state where the Land is located. Please enclose a copy of Your K available. (3) If You do not give Us prompt notice, your coverage will be reduced or ended, but only to the extent Your failure affects Our ability to resolve the claim or defend You. b.Proof of Your Loss (1) We may require You to give Us a written statement signed by You describing Your loss which includes: (a) the basis of Your claim; (b) the Covered Risks which resulted in Your loss; (c) the dollar amount of Your loss; and (d) the method You used to compute the amount of Your loss. (2) We may require You to make available to Us records, checks, letters, contracts, insurance policies and other papers which relate to Your claim. We may make copies of these papers (3) We may require You to answer questions about Your claim under oath. papers We Your cover will (4) If You fail or refuse to give Us a statement of loss, answer Our questions under oath, or make available to Us the request, age be reduced or ended, but only to the extent Your failure or refusal affects Our ability to resolve the claim or defend You. 4. OUR CHOICES WHEN WE LEARN OF A CLAIM: a.ARer We receive Your notice, or otherwise learn, of a claim that is covered by this Policy, Our choices include one or more of the following: (1) Pay the claim. (2) Negotiate a settlement. (3) Bring or defend a legal action related to the claim. (4) Pay You the amount required by this Policy. fees and (5) End the coverage of this Policy for the claim by paying You Your actual loss resulting from the Covered Risk, and those costs, attorneys' expenses incurred up to that time which We are obligated to pay. (6) End the coverage described in Covered Risk 14, 15, 16 or 18 by paying You the amount of Your insurance then in force for the particular Covered Risk, an dim costs, attorneys' fees and expenses incurred up to that time which We are obligated to pay. (7) End all coverage of this Policy by paying You the Policy Amount then in force and all those costs, attorneys' fees and expenses incurred up to that hme which We are obligated to pay. (8) Take other appropriate action. including Our obli lion to defend, or continue to defend, b.When We choose the options in paragraphs 4.a. (5),(6) or (7), all Our obligations for the claim end, q 9a any legal action. c.Even if We do not think that the Policy covers the claim, We may choose one or more of the options above. By doing so, We do not give up any rights. S.HANDLING A CLAIM OR LEGAL ACTION a.You must cooperate with Us in handling any claim or legal action and give Us all relevant information. b.If You fail or refuse to cooperate with Us, Your coverage will be reduced or ended, but only to the extent Your failure or refusal affects Our ability to resolve the claim m defend You. in advance. c.We are required to repay You only for those settlement costs, attorneys' fees and expenses that We approve d.We have the right to choose the attorney when We bring or defend a legal action on Your behalf. We can appeal any decision to the highest level. We do not have to pay Your claim until the legal action is finally decided. e.Whether or riot We agree there is coverage, We can bring or defend a legal action, or take other appropriate action under this Policy. By doing so, We do not give up any rights. 6.LIMrrATION OF OUR LIABILITY a.After subtracting Your Deductible Amount if it applies, We will pay no mare than the least of: (1) Your actual loss, (2) Our Maximum Dollar Limit of Liability then in force for the particular Covered Risk, for claims covered only under Covered Risk 14, 15, 16 or 18, or (3) the Policy Amount then in force, and any costs, attorneys' fees and expenses which We are obligated to pay under this Policy. b. (1) If We remove the cause of the claim with reasonable diligence after receiving notice of it, all Our obligations for the claim end, including any obligation for kxs You had while We were removing the cause of the claim. (2) Regardless of 6.b. (1) above, it You cannot use the Land because of a claim covered by this Policy: until the earlier of: (a) You may rent a reasonably equivalent substitute residence and We will repay You for the actual rent You pay, (1) the cause of the claim is removed; or (2) We pay You the amount required by this Policy. If Your claim is covered only under Covered Risk 14, 15, 16 or 18, that payment is the amount of Your insurance then in force for the particular Covered Risk. (b) We will pay reasonable costs You pay to relocate any personal property You have the right to repave from the Land, including transportation of that personal property for up to twenty-five (25) miles from the Lard, and repair of any damage to that personal property because of the relocation. The amount e will pay You under this paragraph is limited to the value of the personal property before You relocate it First American Title CLTA Homeowners Policy of Title Insurance (612/98) Order Number: DTR- 3553277 ALTA Homeowners Policy of Tide Insurance (10/17/98) Page Number: 6 c.All payments We make under this Policy reduce the Policy Amount, except for casts, attorneys' fees and expenses. All payments we make for daims which are covered only under Covered Risk 14,15,16 or 18 also reduce Our Maximum Dollar limit of Liability for the particular Covered Risk, except for costs, attorneys fees and expenses. d.lf We issue, or have issued, a policy to the owner of a Mortgage on Your Title and We have not given You any coverage against the Mortgage, then: (1) We have the right to pay any amount due You under this Policy to the owner of the Mortgage to reduce the amount of the Mortgage, and any amount paid shall be treated as a payment to You under this Policy, including under paragraph 4.a. of these Conditions; (2) Any amount paid to the owner of the Mortgage shall be subtracted from the Policy Amount of this Policy; and (3) if Your claim is covered only under Covered Risk 14,15,16 or 18, any amount paid to the owner of the Mortgage shall also be subtracted from Our Maximum Dollar Limit of Liability for the particular Covered Risk. someone else, We can subtract from Our liability the amount by which You reduced the e.lf You do anything to affect any right of recovery You may have against value of that right. 7.TRANSFER OF YOUR RIGHTS TO US a. When We settle Your claim, We have all the rights You have against any person or property related to the claim. You must transfer these rights to Us when We ask, and You must not do anything to affect these rights. You must let Us use Your name in enforcing these rights. b. We will not be liable to You if We do not pursue these rights or if We do not recover any amount that might be recoverable. c. We wi0 pay any money We collect from enforcing these rights in the following order (1) to Lis for the costs, attorneys' fees and expenses We paid to enforce these rights; (2) to You for Your loss that You have not already mllected; (3) to Us for any money We paid out under this Policy on account of Your claim; and (4) to You whatever is left. d.If You have rights under contracts (such as indemnities, guaranties, bonds or other policies of insurance) to recover all or part of Your loss, then We have all of those rights, even if those contracts provide that those obligated have all of Your rights under this Policy. &ENTIRE CONTRACT This Policy, with any endorsements, is the entire contract between You and Us. To detemnine the meaning of any part of this Policy, You must read the entire Policy. Any changes to this Policy must be agreed to in writing by Us. Any claim You make against Us must be made under this Policy and Is subject to its terms. 9.INCREASED POLICY AMOUNT The Policy Amount will increase by ten percent (10 %) of the Policy Amount shown in Schedule A each year for the first five years following the policy date shown In Schedule A, up to one hundred fifty percent (150%) of the Policy Amount shown In Schedule A. The Increase each year will happen on the anniversary of the policy date shown in Schedule A. 10.SEVERA8ILITY If any part of this Policy is held to be legally unenforceable, both You and We can still enforce the rest of this Policy. II.ARBITRATI0N a.If permitted in the state where the land is located You or We may demand arbitration. b.The arbitration shall be binding on both You and Us. The arbitration shall decide any matter in dispute between You and Us, c.The arbitration award may be entered as a judgment in the proper court. d.The arbitration shall be under the Title Insurance Arbitration Rules of the American Arbitration Association. You may choose current Rules or Rules in existence on the Policy Date. e.The law used in the arbitration is the law of the place where the Land is located. f.You can get a copy of the Rules from Us. First American 71de Insurance Company BY �f'�^' �/ / ��' Fne SIOENT ATTEST l/C /� {��'��Y SECFEiMY First American Title CLTA Homeowners Policy of Title Insurance (6(2198) ALTA Homeowners Policy of Title Insurance (10/17/98) SCHEDULE A Premium: $1,207.00 Amount of Insurance: $353,000.00 Date of Policy: August 12, 2010 at 8:00 a.m. Deductible Amounts and Maximum Dollar Limits of Liability For Covered Risk 14, 15, 16, and 18: Covered Risk 14 (Subdivision Law Violation) Covered Risk 15 (Building Permit): Covtreei Risk 16 (Zoning): Covered Risk 18 (Encroachment of Boundary Walls or Fences): Your Deductible Amount 1% of Policy Amount or $2,500 (whichever is less) 1% of Policy Amount or $5,000 (whichever is less) 1% of Policy Amount or $5,000 (whichever is less) 1% of Policy Amount or $2,500 (whichever is less) Order Number: OTR- 3553277 Page Number: 7 Policy Number: DTR- 3553277 Street Address of the Land: Vacant Land, Encinitas, California First American Title Our Maximum Dollar Limit of Liability $10,000 $25,000 $25,000 $5,000 CLTA Homeowner's Policy of Title Insurance (6/2/98) ALTA Homeowner's Policy of Title Insurance (10/17/98) SCHEDULE A (Continued) 1. Name of insured: Order Number: DTR- 3553277 Page Number: 8 New Pointe Investment 12, L-C, a California limited liability company 2. Your interest in the land covered by this policy is: A fee. 3. The land referred to in this policy is described as follows: Real property in the City of Encinitas, County of San Diego, State of California, described as follows: LOT 11 OF EDGEWATER TERRACE ESTATES UNIT NO. 1, IN THE COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 3965, FILED SEPTEMBER 16, 1958, IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY. APN: 260 - 443 -11 First Amencan Title CLTA Homeowners Policy of Title Insurance (6/2198) ALTA Homeowners Policy of Title Insunnce (10/17/98) SCHEDULE B EXCEPTIONS Order Number: OTR- 3553277 Page Number: 9 In addition to the exclusions, you are not insured against loss, costs, attorneys' fees, and expenses resulting from: 1. General and special taxes and assessments for the fiscal year 2010 -2011, a lien not yet due or payable. 2. The lien of supplemental taxes, if any, assessed pursuant to Chapter 3.5 commencing with Section 75 of the California Revenue and Taxation Code. 3. Any and all offers of dedications, conditions, restrictions, easements, notes and /or provisions shown or disclosed by the filed or recorded map referred to in the legal description including but not limited to: sewer easement and incidental purposes affecting said land. 4. Covenants, conditions, restrictions and easements in the document recorded September 19, 195E as Book 7261, Page 442 of Official Records, which provide that a violation thereof shall not defeat or render invalid the lien of any first mortgage or deed of trust made in good faith and for value, but deleting any covenant, condition or restriction indicating a preference, limitation or discrimination based on race, color, religion, sex, handicap, familial status, national origin, sexual orientation, marital status, ancestry, source of income or disability, to the extent such covenants, conditions or restrictions violate Title 42, Section 3604(c), of the United States Codes or applicable state law. Lawful restrictions under state and federal law on the age of occupants in senior housing or housing for older persons shall not be construed as restrictions based on familial status. Document(s) declaring modifications thereof recorded June 19, 1959 as Book 7726, Page 479 and October 6, 1958 in Book 7287, Page 158, both of Official Records. An easement for public utilities and incidental purposes, recorded October 23, 1958 as Book 7315, Page 526 of Official Records. In Favor of: The Pacific Telephone and Telegraph Company, a Corporation Affects: The land 6. An easement for public utilities and incidental purposes, recorded December 10, 1958 as Book 7390, Page 307 of Official Records. In Favor of: San Diego Gas and Electric Company, a Corporation Affects: Said land The map attached, if any, may or may not be a survey of the land depicted hereon. First American expressly disclaims any liability for loss or damage which may result from reliance on this map except to the extent coverage for such loss or damage is expressly provided by the terms and provisions of the title insurance policy, if any, to which this map is attached. First American Title CLTA Homeowner's Policy of Title Insurance (6/2/98) ALTA Homeowners Policy of Title Insurance (10/17/98) First American Title Order Number: DTR- 3553277 Page Number: 10