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The Village Santa Ana Specific Plan Entitlements & Development Agreement (1561 W. Sunflower Avenue) August 11, 2025 Page 17 design standards. A full list of all applicable General Plan goals and policies that support the Project are attached hereto as Appendix B of Exhibit 7. Development Agreement No. 2025-01 The Applicant has requested approval of a development agreement, DA No. 2025-01. Development agreements are contracts negotiated between project proponents and public agencies, such as the City of Santa Ana, that govern the land uses that may be allowed in a particular project (Gov. Code Section 65864 et seq.). Although a development agreement is subject to negotiation, allowable land uses must be consistent with the local planning policies formulated by the legislative body through its general plan and consistent with any applicable specific plan, such as the proposed SP-6 (Gov. Code Section 65867.5). In addition, approval of a development agreement, requires adoption of an ordinance by the City Council. To evaluate DA No. 2025-01 and identify priorities for agreement terms, the City Council formed an Ad Hoc committee in March 2025 comprised of three City Council members. The Ad Hoc committee met to review the Applicant’s proposed terms, identify community priorities, and ensure that the final agreement addressed the Ad Hoc committee’s priorities. While review of a development agreement is a private contractual process, the extensive community engagement process and routine staff meetings with City Council members ensured that community priorities were effectively communicated to the Ad Hoc committee and informed the negotiation process. DA No. 2025-01 contains an initial term (duration), extension process, community benefits, indemnification, monitoring and reporting, inclusionary housing, open space, infrastructure, modifications, and other relevant items, attached hereto for reference as Exhibit 8. These terms have been crafted to ensure the Project is of high-quality with positive financial impacts to the City. Table 5 below provides a summary of major deal points in DA No. 2025-01. Table 5: DA Major Deal Points Deal Point Ad Hoc Committee Recommendation Proposed by DA Term (Duration) and Extension One 20-year term, and one five- year automatic extension. Extension subject to construction commencement of no less than 50,000 square feet of commercial area and 360 residential dwelling units. Applicant has agreed to this term and proposed agreement was modified to capture this change. Timing of Development No building permits for residential units shall be issued in excess of 360 residential units until building permits are obtained for at least 50,000 square feet of commercial space. Applicant has agreed to this term and proposed agreement was modified to capture this change.