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Exhibit CC 07-05-2011 Item No. 19 Vallco C ( 7 -- S - (1 Pe # (9 IN THE OCTOBER 17, 1974 AGREEMENT, THE CITY OF CUPERTINO GRANTED TO VALLCO SHOPPING CENTER CERTAIN EASEMENTS ACROSS WOLFE ROAD: 1 . THE PEDESTRIAN AND RETAIL SPACE OVERCROSSING WOLFE ROAD AND 2. THE ROADWAY AND TUNNEL UNDER WOLFE ROAD. THESE EASEMENTS ARE CURRENTLY IN USE AND WILL CONTINUE TO BE USED. IN EXCHANGE FOR THESE EASEMENTS VALLCO GRANTED TO THE CITY OF CUPERTINO: 1 . AN EASEMENT FOR AIR RIGHTS ABOVE A PLANE TWELVE (12) FEET TO TWENTY -SIX (26) FEET ABOVE THE PARCEL (APN #316 -20- 088) AND 2. A SECOND EASEMENT FOR SUBTERRANEAN RIGHTS FOR TWO (2) LEVELS, BOTH EASEMENTS FOR THE PURPOSE OF A PUBLIC RAPID TRANSIT FACILITY CONSISTING OF A STATION AND PARKING STRUCTURE. SINCE THE PROSPECT FOR A RAPID TRANSIT IS REMOTE, THE CITY IS CONSIDERING A REQUEST BY THE CURRENT OWNER OF THE PROPERTY, EAST WEST BANK, THAT THE CITY RELINQUISH ITS EASEMENT INTEREST IN THE PROPERTY WITHOUT ANY CONSIDERATION. APPARENTLY, THESE EASEMENTS WERE NOT KNOWN UNTIL RECENTLY. ALTHOUGH THIS AGREEMENT WAS RECORDED AND SHOULD HAVE BEEN DISCLOSED DURING THE TITLE SEARCHES, THERE WAS NO MENTION OF THESE EASEMENTS DURING THE 2006 DISCUSSIONS FOR THE 137 CONDOMINIUM UNITS PROJECT BY VALLCO. ALSO, SUBSEQUENT OWNERS OF THIS PROPERTY, IN THEIR RECENT DISCUSSIONS ABOUT THEIR PROPOSALS, HAVE NEVER MENTIONED THESE EASEMENTS. THE AIR RIGHTS EASEMENT WOULD HAVE /WILL AFFECTED ALL OF THESE PROJECTS BY PRECLUDING THEIR BUILDING ABOVE TWELVE FEET TO TWENTY -SIX FEET. THE SUBTERRANEAN RIGHTS WOULD HAVE /WILL AFFECTED THEIR PLANS FOR BELOW GRADE PARKING. THE REMOVAL OF THESE EASEMENTS WILL INCREASE THE VALUE OF THIS PARCEL FOR THE PROPERTY OWNER. THEREFORE, THESE EASEMENTS HAVE VALUE. THE CITY SHOULD CONSIDER NEGOTIATING THESE EASEMENTS TO: AN EASEMENT FOR PATH/TRAIL PRESENTLY THERE IS A TREE -LINED PATH/TRAIL ON THE WEST SIDE OF THE WEST PERIMETER ROAD, ADJACENT TO SEARS, THE OLD PARKING STRUCTURE, MACY'S AND THE NEW PARKING STRUCTURE, ENDING AT THE SOUTH BORDER OF PARCEL #316-20-088. THE NEW EASEMENT COULD EXTEND THIS PATH/TRAIL NORTHWARD ALONG THE WEST BORDER OF THE PARCEL. BESIDE THE PUBLIC BENEFIT OF THE PATH/TRAIL, AN ADDITIONAL BENEFIT WOULD BE A LANDSCAPED SETBACK FROM THE WALL WHICH SEPARATES RESIDENTIAL NEIGHBORHOOD FROM THE SHOPPING CENTER. AN EASEMENT FOR A PATH/TRAIL ALONG THE NORTH BORDER OF THE PARCEL WOULD COMPLEMENT THE ADJACENT SANTA CLARA VALLEY WATER DISTRICT PARCEL, OPENING THE POSSIBILITY OF FUNDING FROM THE SANTA CLARA VALLEY WATER DISTRICT'S CLEAN, SAFE CREEKS AND OPEN SPACE GRANTS. CONTINUING THIS EASEMENT FOR A PATH/TRAIL ALONG THE EAST BORDER OF PARCEL #316 -20 -088 COULD CONNECT WITH THE SIDEWALL /TUNNEL UNDER WOLFE ROAD. THEREFORE, 1 SUGGEST THAT THE CITY OF CUPERTINO CONSIDER THE POSSIBILITY OF NEGOTIATING A CHANGE OF THE EASEMENTS FOR AIR RIGHTS AND SUBTERRANEAN RIGHTS TO A PATH/TRAIL EASEMENT ON THE PERIMETER OF PARCEL #316 -20 -088. SUBMITTED BY DARREL LUM CC 7 - S -tt L +e w, # ( Karen B. Guerin From: Ruby Elbogen [rgelbogen @aol.com] Sent: Tuesday, July 05, 2011 4:20 PM To: City Council Subject: Agenda Item 19 To The City Council of Cupertino I cannot believe this controversial piece of land is once again up for discussion. I am completely against giving away the overhead and below ground rights. My interpretation of what this means is that once the city gives up it's rights, our neighborhood will once again be plagued with developers wanting to build multi story housing there. Developers give nothing away, and neither should the city. When and if a developer comes up with a plan for what the existing zoning calls for -a retail or commercial use, we could consider trading the rights -but not before - -and they should be traded or negotiated and not just given away. It is also odd that even though this parcel was part of Measure D, they were never revealed before this. Thank you. Ruby Elbogen 1