C i t ru s R a nc h
City of Indio
Riverside County, CA
Marketing Brochure
2
Table of Contents
EXECUTIVE SUMMARY
Project Advantages 4
Property Description 6
Regional Map 15
Local Map 16
Vicinity Map 17
Aerial Map 18
Site Photos 19
School Information 20
PHASING & COST PROJECTIONS
Phasing Plan Map 22
Backbone Cost Assumptions 23
In-Tract Cost Assumptions 24
Community Facility District (CFD) 25
Improvement Cost Summary 26
Terra Lago Golf Course
COMMUNITY PLANS
Grading & Drainage Plan 28
Golf Course 29
Community Center Plan 30
Open Space Plan 31
Community & Neighborhood Parks 32
MARKET OVERVIEW
Coachella Valley Overview 34
City of Indio Overview 37
Citrus Ranch Overview 40
OFFERING OVERVIEW
Offering Guidelines 42
Project Advantages
Property Description
Regional Map
Local Map
Vicinity Map
Aerial Map
Site Photos
School Information
Executive Summary
4
Executive Summary
Citrus Ranch
• Citrus Ranch is a new master-planned golf course community containing
approximately 3,053 Residential units ranging in density from 2.5 to 15 du/ac
within an 1,183 acres site located in the desirable northern portion of the City of
Indio. The community is planned to integrate comfortable residential living,
diverse recreational opportunities and a boutique hotel with the surrounding
natural open space of the desert.
• The site is located at the foothills in north Indio and features mountain and
open space orientations along with the proximity to newer retail/commercial
centers.
• The project offers an attractive new gated master-planned community
positioned at a premium to slightly older neighborhood resales due to the
foothill location, new home premium, and integrated amenities and as an
affordable alternative to the higher priced Palm Desert area.
• There is an opportunity to bring in a compelling new master-planned
community with mountain and open space orientations that offers more than
the area legacy communities which typically feature only neighborhood parks
and walking trails. A new large master-planned community featuring an
attractive community setting and amenities (community pool/spa, clubhouse,
parks, and golf, etc.) with segmented products will achieve a premium in
comparison to the area competition.
• This is the only entitled master planned community in Indio available for
purchase.
• Citrus Ranch residents can explore wilderness trails and open space, play golf
among the foothills of the mountains surrounded by the desert landscape, and
stroll along the paseos and trails that connect and weave into many
neighborhoods.
Project Advantages
• The theme of the development reflects the historic uses of the site: an
established citrus grove as well as the natural desert. Citrus tree-lined
roadways, paseos, and greenbelts roam throughout the community.
• The highlight of Citrus Ranch is an exceptional golf experience with several of
the holes intermingling through the foothills, a driving-range nestled against the
desert slope, and a clubhouse to complement the golf operations.
• Citrus Ranch’s 18-hole, 7,100 yard, par 72 golf course provides spectacular
views of the surrounding communities and takes advantage of the natural
topography of the southern portion of the site.
• Citrus Ranch features a neighborhood community center that provides a key
gathering place for residents and their guests.
• Citrus Ranch is an exceptional community for all lifestyles and provides the
ultimate integration of nature, recreation, and comfortable living.
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Executive Summary
City of Indio
• Quite literally, all signs lead to Indio. Whether actual freeway signs, billboard
advertising, new homebuyers or the sheer pull of economic growth, Indio is the
ultimate destination in the Coachella Valley. Close to 200 new businesses, both
national and international in scope, have established themselves within Indio this
past year. Many of those are well-known retail outlets attracting countless
shoppers to the area and reinforcing Indio as the retail hub of the Valley. And
some of the boost can be attributed to the many events Indio is most happy to
accommodate, including internationally known Coachella and Stagecoach music
festivals which cause hundreds of thousands of fans from both near and far to
descend upon the area with an economic impact of over $254M in the Valley.
• Over $350 million will be invested into Indio through public projects, thereby
enhancing Indio’s economic base, spurring future development and increasing
job opportunities in the region. Indio essentially employs the region by the sheer
number of businesses in existence and the number of people working in the
community. And Indio’s city leaders recognize the importance of enacting pro-
active, business-friendly policies and are always pushing toward that end.
• Indio is where new homebuyers want to be. And this is why Lennar, K
Hovnanian, Shea Homes, DR Horton and Woodside Homes all bought lots in
2012 in Indio. In fact, 2,800 improved lots were available in Indio in June 2012
and by year end only 702 lots remained! Citrus Ranch is the only entitled master
plan community that could be in a position to deliver improved lots in 24 months
to homebuilders. And there will be stiff competition to buy these lots.
• The City of Indio has the highest population throughout the Coachella Valley with
78,065 residents.
• According to Dataquick, the City of Indio had the highest existing home sales in
the Coachella Valley from 2011 to 2012 with 1,632 sold, followed by La Quinta
with 1,276 sold and Palm Desert with 1,191 homes sold. Indio also had the
highest volume of New Home Sales throughout the Coachella Valley. Indio had
169 new homes sold, La Quinta with 61 new homes sold and Palm Springs with
58 new homes sold.
Project Advantages
Coachella Valley
• According to the U.S. Census, the Coachella Valley’s 39.8% increase in
population from 2000-2012 was much faster than the Inland Empire (31.8%), the
U.S. (11.7%), and California (11.2%).
• In the past decade, the Coachella Valley’s median existing home price soared
from 2000-2007, rising a compound annual rate of 15.8% from $170,756 to
$477,672. In 2008, with demand evaporating, the median price fell to $317,114.
This process continued through 2009 with prices reaching a low for the cycle at
$218,069. In 2010, prices moved up to $248,444 with increased demand due to
rising affordability and investor purchases. They fell a little in 2011 to $232,463,
but moved up to $270,201 by second quarter 2012, up 23.9% from the 2009 low
(Dataquick).
6
Property History
Citrus Ranch was most recently utilized as active agricultural land and open space.
Ventura Coastal Corporation owned and operated a citrus grove of approximately
380 acres that existed on the southern parcel for approximately 65 years, along with
harvesting and processing equipment. Several building foundations that supported
the citrus operation are located in the center of the grove. Around 1980,
approximately 140 acres of the northern parcel were used for the installation of the
citrus operation’s leach field for citrus pulp, citrus acid, and other waste products. In
addition, the military used the northern parcel for training purposes starting in early
1960s and continuing through the 1980s. Most of the site is highly disturbed due to
agricultural operations as well as the use of off-road vehicles in and west of the site.
Location
Citrus Ranch is located the Indio Hills area of Indio, in the County of Riverside. The
Indio Hills area is an expansive, sparsely developed, rural residential community
located along the southern portion of Dillon Road, north of the current boundaries of
the City of Indio. Specifically, the site is located just west of Dillon Road, between
Avenue 37 and Avenue 41.
Municipality
City of Indio
Owner of Record
Assessor Parcel Numbers
601-031-001, 601-031-003, 601-031-008 thru 009, 601-031-011, 601-041-002, 601-
041-009 thru 011, 745-380-001 thru 003.
Acreage
Approximately 1,183 gross acres
Property Condition
Citrus Ranch is currently open space and agricultural land.
Zoning
Citrus Ranch is currently zoned Agriculture with an approved Specific Plan (“Indio
Citrus Ranch” SP).
Entitlement Status
Indio Citrus Ranch has an approved Specific Plan and Final EIR. The property was
annexed into the City of Indio in 2013.
Topography
Citrus Ranch’s southwestern portion of the site consists of hilly terrain while the
balance of the site is a generally flat plain.
Homeowners Association
A Homeowners Association (HOA) is likely to be established to maintain common
areas. Monthly dues and obligations have not been determined.
Property Description
Executive Summary
Dillon Avenue 44, LLC
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Land Use
The Citrus Ranch Specific Plan Land Uses and Residential Summary are describedin the following tables and illustrated in the Land Use Plan:
Property Description
Executive Summary
Land Use Acres
Residential 576.0
Boutique Hotel 5.4
Clubhouse 6.0
Community Center 5.0
Open Space 520.6
Undisturned Open Space [186.7]
Wilderness Trails [3.0]
Community Park [6.1]
Neighborhood Park [9.3]
Citrus Grove Paseos [11.3]
Recreation OS Playfields [56.2]
Dillon Road Landscape [7.2]
Golf Course [233.1]
SE Drainage Channel [7.7]
Community Collector Streets 60.0
Dillon Road R.O.W. 3.9
Golf Course Maintenance Yard 1.6
Fire Station Site 2.0
Well Site 3.0
Total 1,183.5
Planning Area Acres DensityCategory
TargetNumber of Residences
1 5.00 LDR 112 4.90 LDR 103 5.90 LDR 154 15.20 MDR 895 16.80 MDR 1076 9.50 LDR 417 24.00 MDR 1278 7.10 MDR 34
9A 10.50 MDR 599B 10.00 HDR 13510 15.50 HDR 23211 9.60 HDR 14412 17.70 HDR 23613 29.40 MDR 14314 15.10 LDR 5615 27.40 MDR 13416 14.30 LDR 6017 34.50 LDR 9218 18.70 LDR 8019 24.80 LDR 7920 25.10 LDR 9421 20.00 LDR 7422 27.70 LDR 10323 38.10 LDR 16224 43.60 MDR 21125 19.30 LDR 8226 34.70 MDR 16727 31.20 MDR 16728 20.40 MDR 109
(31*) (5.4) (LDR) (22)
Total 576 (581.4*) 3,053 (3,075*)
Residential Planning Area Summary Table
*PA 31: Should market condition not support the Boutique Hotel, PA 31 will bedeveloped with a maximum of 22 residential units at PA 14 standards.
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Executive Summary
Specific Plan
9
Low Density Residential Planning Areas
Planning Area Units Acres du/ac1 11 5 2.22 10 4.9 23 15 5.9 2.56 41 9.5 4.3
14 56 15.1 3.716 60 14.3 4.217 92 34.5 2.718 80 18.7 4.319 79 24.8 3.220 94 25.1 3.721 74 20 3.722 103 27.7 3.723 162 38.1 4.325 82 19.3 4.2
Totals: 959 262.9
Single Family Detached Housing
Executive Summary
10
Medium Density Residential Planning Areas
Planning Area Units Acres du/ac
4 89 15.2 5.95 107 16.8 6.47 127 24 5.38 34 7.1 4.8
9A 59 10.5 5.613 143 29.4 4.915 134 27.4 4.924 211 43.6 4.826 167 34.7 4.827 167 31.2 5.428 109 20.4 5.3
Totals: 1347 260.3
Attached & Detached Housing
Executive Summary
11
High Density Residential Planning Areas
Planning Area Units Acres du/ac9B 135 10 13.5
10 232 15.5 15
11 144 9.6 15
12 236 17.7 13.3
Totals: 747 52.8
Attached & Detached Housing
Executive Summary
12
Circulation
The Citrus Ranch Specific Plan provides for the development of adequate roadway
improvements and is planned as a gated community. It includes provision for public
transportation, unique pedestrian systems, hiking, biking, and parking.
Water and Sewer Plan
The Indio Water Authority provides water service to the City and will provide water
to Citrus Ranch from water wells throughout the valley and conveyed through
transmission mainlines. It is anticipated three (3) water storage reservoirs will be
sited within or adjacent to the site. Each reservoir is anticipated to provide
approximately 3 million gallons of storage. The reservoirs are designed to be
located at elevation 300 feet, 465 feet and 540 feet. Final location of the reservoirs
is anticipated to be determined by the final site development plan.
Sewer service is provided by Valley Sanitation District. Construction of “offsite”
transmission lines from the southerly end of the development to the existing Valley
Sanitation District transmission facility located near Van Buren and Golf Center
Parkway is required. Valley Sanitation District has plans to expand the capacity of
the wastewater treatment plant. This expansion allows them to treat effluent from
Citrus Ranch as well as several other projects planned for the area. The internal
sewer collection facilities consist of gravity mains within the development
connecting to the “offsite” facilities near the southerly boundary of the project.
Grading and Drainage
The Citrus Ranch Specific Plan provides for adequate on-site conveyance of
nuisance and stormwater, consistent with local flood-control requirements and is
planned to provide a “balanced” condition for onsite earthwork.
Property Description
Executive Summary
13
Irrigation Water
Irrigation water is required for irrigation of the project common areas, golf course
and neighborhood parks. The Coachella Valley Water District (CVWD) and Desert
Water Agency provide the management of the aquifers in the Coachella Valley.
Based on CVWE polices, the golf course’s primary water source must not be the
domestic water system. Irrigation wells are required for back-up or primary
irrigation sources.
Electric Service
Imperial Irrigation District supplies electrical power to the area in which Citrus
Ranch is located.
Gas
Natural gas for Citrus Ranch project is provided by the Southern California Gas
Company.
Solid Waste
Residents of the City of Indio are required to contract for their own waste pickup
through Waste Management of the Desert.
Schools
Citrus Ranch is not required to provide a school site, although payment of
mitigation fees is required.
Parks and Recreations
Citrus Ranch features on-site recreation facilities including open space, trails,
athletic fields, a private community recreation center, a golf course, and associated
clubhouse.
Property Description
Executive Summary
Open Space
Consistent with the General Plan, Citrus Ranch contains noteworthy open space in
the foothills and along utility easements. These areas are complemented by planned
recreational trails. The Dillon Road corridor has a planned landscape design that
enhances the views associated in its designation as a “scenic corridor.” Roadways
and golf course holes in the foothills are sensitively designed to minimize impacts of
grading and proposed residential development.
Soils/Agricultural Resources/Water Resources
Citrus Ranch implements findings of geotechnical studies and determinations
contained in the associated Environmental Impact Report. Phase I studies were
prepared and address pervious agricultural and military uses of the property.
Biological Resources/Cultural Resources
Citrus Ranch design responds to identified biological and cultural resources in a
manner consistent with the General Plan.
Energy Conservation/Mineral Resources
Citrus Ranch meets California State energy conservation criteria. The master plan
provides an open space buffer along the northern boundary adjacent to the
neighboring planned sand and gravel operations.
Noise/Air Quality
Citrus Ranch incorporates recommendations from the General Plan in addition to
meeting the requirements identified in the technical reports and Environmental
Impact Report prepared for the project.
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Emergency Preparedness/Hazardous Materials
Citrus Ranch implements recommendations in the General Plan as well as findings
of the associated Environmental Impact Report.
Housing
Citrus Ranch provides a diversity of densities, providing housing for the needs of a
variety of households. The development is designed to appeal to all sectors of the
population, a goal of the General Plan.
Police/Fire
Citrus Ranch responds to concerns of the Indio Police and Fire Department. A fire
station site was designed in consultation with the City of Indio Fire Department for
possible future use.
Property Description
Executive Summary
Geology and Seismicity Implementation Measures
Citrus Ranch adheres to the requirements identified in the technical reports and
Environmental Impact Report prepared for the project in order to remain consistent
with the General Plan goal of protecting public safety. The site design responds to
identified seismic risk areas.
School District
Desert Sand Unified School District
• Dwight Eisenhower Elementary School (K-5)
State Rank: 3 API: 768
• Desert Ridge Academy (6-8)
State Rank: 5 API: 812
• Shadow Hills High School (9-12)
State Rank: 6 API: 749
For more information, please refer to page 20 herein.
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Regional Map
Executive Summary
Citrus Ranch
16
Local Map
Executive Summary
Citrus Ranch
17
Vicinity Map
Executive Summary
18
Aerial Map
Executive Summary
Citrus Ranch
19
Site Photos
Executive Summary
SouthLooking east across site Looking northeast from Terra Lago towards site
Looking west Looking northeast from western ridge
Looking south toward water tank
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School Information
Executive Summary
Desert Sands Unified School District Website: http://www.dsusd.k12.ca.us
The Desert Sands Unified School District is located in southern portion of the Coachella Valley. DSUSD
consists of nineteen elementary schools, one charter elementary school, six middle schools, one charter
middle school, four comprehensive high schools, two continuation high schools, one alternative education
school, and preschool. The district serves students in portions of Indio, La Quinta, Palm Desert, Indian
Wells, Bermuda Dunes, and Rancho Mirage.
Shadow Hills High School (9-12)
State Rank: 6 API: 749
• Shadow Hills High School has a fresh outlook on education
and a curriculum that includes a Robotics Team, Academy
of Technology, and the opportunity to take outside classes to
gain college credits. The Successful Practices Network is a
new program that Shadow Hills is implementing and its main
purpose is to incorporate rigor and relevance to classroom
instruction by introducing a curriculum tied to real-world
examples.
• Shadow Hills High School offers a great philanthropic
opportunity with their “Knights of the Round Table” program ;
a membership program that provides private scholarship
assistance to members of the student body.
Desert Ridge Academy (6-8)
State Rank: 5 API: 812
•Desert Ridge Academy seeks to ensure that every student
gains the knowledge and skill set to become a motivated ,
ethical, and productive citizen.
• Students are also offered free membership to After School
Education and Safety (ASES) which is an enrichment
program sponsored by Boys & Girls Clubs of Coachella
Valley. The purpose of this club is to keep students busy
with various afterschool activities during the school year.
The State Rank is determined by a school's API Score in comparison to all other schools in California. (1 is the worst, 10 is the best). An equal number of schools occupy each rank. This rank comes from the 2012 California Academic Performance Index (API) Base report.
The API Score is a number between 200 and 1000 that reflects a school’s or school district’s performance on statewide student assessments .
Source: Desert Sands Unified School District and Land Advisors Organization research
Eisenhower Elementary (K-5)
State Rank: 3 API: 768
• Dwight Eisenhower Elementary School fosters high ideals of
education through “positive self-concepts, and promoting
cooperative attitudes among all.” Students are encouraged to
get involved in various school activities to include several
philanthropic institution.
• Dwight Eisenhower Elementary has received perfect
attendance and growth in learning English on the California
Standards Test. There is a huge school involvement in events
such as Read Across America Week, where students are
encouraged to work together to promote the importance of
literacy in young students
Phasing Plan Map
Backbone Cost Assumptions
In-Tract Cost Assumptions
Community Facility District (CFD)
Improvement Cost Summary
Phasing & Cost Projections
22
Phasing Plan Map
Phasing & Cost Projections
Phase One:
• Planning Areas: 1, 2, 3, 4, 5, 6, 7, 8, 9A, 9B,
10, 11, 29 (holes 10-18), 31, and 32
• Full improvements to the Primary Community
Entry, Central Roundabout, and the Spine
Road south of the Primary Entrance
• 300-foot-elevation Reservoir and Connections
• Offsite sewer connections
Phase Two:
• Planning Areas: 12, 13, 14, 15, 16, 17A, 17B,
18, 19, 20, 29 (holes 1-9), 33, 35, and 36
(option fire station site)
• Full improvements to the Avenue 38 entry,
and the Spine Road south of the Avenue 38
entry
• 470-foot-elevation Reservoir and Connections
• Offsite sewer connections
Phase Three:
• Planning Areas: 21, 22, 23, 24, 25, 26, 27, 28,
30 and 34
• Full improvements to the Spine Road north of
the Avenue 38 entry and the Emergency
Access Road
• 600-foot-elevation Reservoir and Connections
• Offsite Sewer Connections
23
Backbone Cost Assumptions
In an appraisal conducted at the peak of the real estate market, Suncal provided the appraisers with a comprehensive cost to complete analysis for the Citrus Ranch project. This estimate
contemplated the full entitlement and horizontal development of the Citrus Ranch project. The cost to complete numbers contained within this report have been copied directly from
Suncal's information and have not been adjusted down to reflect today's lower of entitlement and construction costs. Further, Land Advisors Organization believes the CFD proceeds
today will be lower than originally contemplated by Suncal given today's public improvement financing market
Total Lot Count: 3053
Land Improvement Hard Costs Totals Per Lot
Site prep and grading $ 18,749,500 $ 6,141
Street improvement $ 11,669,028 $ 3,822
Sanitary Sewer $ 3,622,100 $ 1,186
Water Improvements $ 25,704,750 $ 8,420
Storm Drain $ 1,830,600 $ 600
Amenities & Special Construction $ 47,410,152 $ 15,529
Utilities $ 8,232,200 $ 2,696
Total Direct Hard Costs $ 117,218,330 $ 38,394
Contingency at 15% 15% $ 17,454,697 $ 5,717
Total Direct and Contingency $ 134,673,027 $ 44,112
Indirect Costs
Fees, Assessments & Bonds-Map $ 2,979,111 $ 976
Consultants & Engineering $ 16,099,209 $ 5,273
Contingency on Consulting & Admin $ 2,285,576 $ 749
Total Indirect Costs $ 21,363,896 $ 6,998
Total Land Improvement Hard Costs $ 156,036,923 $ 51,109
Indio Southwest Arts Festival
Phasing & Cost Projections
24
In-Tract Cost Assumptions
Phase I Phase II Phase III Total Project
# of Lots 951 # of Lots 1005 # of Lots 1097 # of Lots 3053
Totals Per Lot Totals Per Lot Totals Per Lot Totals Per Lot
Site Prep & Grading $ 10,608,892 $ 11,156 $ 5,135,515 $ 5,110 $ - $ - $ 15,744,407 $ 5,157
Street Improvements $ 5,851,928 $ 6,153 $ 7,017,644 $ 6,983 $ 9,784,883 $ 8,920 $ 22,654,455 $ 7,420
Sanitary Sewer $ 1,566,702 $ 1,647 $ 1,960,008 $ 1,950 $ 2,733,556 $ 2,492 $ 6,260,266 $ 2,051
Water Improvements $ 2,433,741 $ 2,559 $ 3,142,039 $ 3,126 $ 4,352,129 $ 3,967 $ 9,927,909 $ 3,252
Storm Drain & Retention $ 387,440 $ 407 $ 641,802 $ 639 $ 906,122 $ 826 $ 1,935,364 $ 634
Amenities & Special Construction $ 163,350 $ 172 $ 321,255 $ 320 $ 304,920 $ 278 $ 789,525 $ 259
Utilities $ 1,133,803 $ 1,192 $ 2,536,300 $ 2,524 $ 3,566,700 $ 3,251 $ 7,236,803 $ 2,370
Contingency $ 1,664,000 $ 1,750 $ 1,037,728 $ 1,033 $ 1,082,415 $ 987 $ 3,784,143 $ 1,239
Fees, Assessments & Bonds - Permit $ 16,847,426 $ 17,715 $ 18,577,482 $ 18,485 $ 20,178,053 $ 18,394 $ 55,602,961 $ 18,213
Consultants and Engineering $ 435,800 $ 458 $ 699,300 $ 696 $ 987,300 $ 900 $ 2,122,400 $ 695
Contingency on Consultants and Admin $ 864,161 $ 909 $ 963,839 $ 959 $ 1,058,268 $ 965 $ 2,886,268 $ 945
Subtotal $ 41,957,243 $ 44,119 $ 42,032,912 $ 41,824 $ 44,954,346 $ 40,979 $ 128,944,501 $ 42,235
Less: Fee Credits $ (3,070,979) $ (3,229) $ (3,281,616) $ (3,265) $ (3,563,945) $ (3,249) $ (9,916,540) $ (3,248)
Less: Prepaid Fees by CFD $ (13,028,993) $ (13,700) $ (14,444,373) $ (14,373)
$ (15,526,858)
$ (14,154) $ (43,000,224) $ (14,085)
Less: Reimbursements $ - $ - $ - $ - $ - $ - $ - $ -
Subtotal $ (16,099,972) $ (16,930) $ (17,725,989) $ (17,638) $ (19,090,803) $ (17,403) $ (52,916,764) $ (17,333)
Totals $ 25,857,271 $ 27,190 $ 24,306,923 $ 24,186 $ 25,863,543 $ 23,577 $ 76,027,737 $ 24,903
Total Project In-Tract Costs $ 76,027,737
Per Lot $ 24,903
Phasing & Cost Projections
25
# of Lots 3,053
Total CFD Capacity $ 126,978,000 $ 41,591
Fees
Less: Fee Credits $ - $ -
Less: Prepaid Fees by CFD $ 43,000,224 $ 14,085
Less: Reimbursements $ - $ -
Subtotal $ 43,000,224 $ 14,085
Construction $ - $ -
Reimbursements $ 83,977,776 $ 27,507
Remaining CFD $ - $ -
Net CFD Proceeds By Phase
Phase I Phase II Phase III Total
Proposed CFD Funding $ 42,182,201 $ 34,677,678 $ 50,118,121 $ 126,978,000
Less: Prepaid Fees by CFD $ (13,028,993) $ (14,444,373) $ (15,526,858) $ (43,000,224)
Less: Reimbursements to Others $ - $ - $ - $ -
Net CFD Proceeds $ 29,153,208 $ 20,233,305 $ 34,591,263 $ 83,977,776
Community Facility District (CFD)
Indio Polo Grounds
Indio Polo Grounds
Phasing & Cost Projections
26
Improvement Cost Summary
Total Project In-Tract Costs $ 76,027,737 $ 24,903
Total Project Backbone Costs $ 156,036,923 $ 51,109
CFD Proceeds $ (83,977,776) $ (27,507)
Total Project Development Costs and Fees Less CFD Assumptions $ 148,086,884 $ 48,505
Terra Lago – Adjacent Community WorldMark Indio
Phasing & Cost Projections
Community Plans
Conceptual Grading & Drainage Plan
Conceptual Golf Course
Conceptual Community Center Plan
Conceptual Open Space Plan
Conceptual Community & Neighborhood Parks
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Conceptual Grading & Drainage Plan
Community Plans
The conceptual grading and drainage plan illustrates the
conceptual grading and drainage proposed for the project.
The plan is to provide a “balanced” condition for onsite
earthwork. It is assumed that the golf and residential grading
will be performed in one operation.
With minor grading modification, and including subsidence
and shrinkage, the preliminary site grading concept plan
balances the earthwork onsite. The plan identifies flow
directions and major contours and the tentative map and
identifies proposed contours. The grading and drainage plan
is subject to modifications based on the final site plan for
development, including golf course configuration and final
offsite and onsite hydrology conditions.
Final engineering for regional and offsite flood improvements
is planned along the northern border of the site and within
the golf course through the heart of Citrus Ranch may result
in minor adjustments to the outer edges and alignment of
the resulting conveyances. Negotiations with permitting
agencies may also result in modifications to the grading
along these corridors. These adjustments may impact the
configuration of adjacent planning areas.
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Conceptual Golf Course
The Citrus Ranch Golf Course blends natural desert beauty with the challenge of a desert-landscaped course design. Citrus Ranch provides 18 holes of desert
golf totaling 233.1 acres. The golf course meanders through the development and up into the Indio Hills where the fairways and greens make use of the existing
topography and integrate into the desert landscape. A series of lakes and detention basins provide unique views to the golf course while serving to convey
stormwater flows through the development.
Community Plans
30
Conceptual Community Center Plan
A community center provides additional opportunities
for recreation to residents of the development as well
as key-holding guests of the boutique hotel.
Amenities proposed, such as exercise and meeting
rooms, provide facilities for residents of the
community to exercise, play, and hold meetings or
classes in a central location. In addition to the
extensive indoor facilities, outdoor recreational
amenities are provided and include some of the
following:
• Picnic table and barbeque grills
• Shaded benches
• Pool
• Spa/Jacuzzi
• Sports courts
The community center is centrally located and
adjacent to the main entrance to the development,
the community center is the easily accessible social
hub of Citrus Ranch.
Community Plans
31
Conceptual Open Space Plan
Citrus Ranch’s open space/recreation plan identifies natural and
active open space areas. Typical open space and recreational
features make up 516.7 acres, or 43%, of Citrus Ranch at the
completion of the project.
Natural undisturbed open space occupies 186.7 acres or 36 percent
of the total open space in the community. The natural open space is
located in the Indio Hills acres of the site. Development of wilderness
trails and scenic backdrop for the community and a challenging trail
experience for residents to enjoy.
Community and neighborhood parks are a major unifying element of
Citrus Ranch as an extensive system of recreation facilities
connected by a network of trails along paseos and major streets. This
system of active and passive parks provides a comprehensive variety
of activities to serve the needs of the community.
Community Plans
32
Conceptual Community & Neighborhood Parks
Community and neighborhood pocket parks are primarily passive play
spaces, but each park includes a minimum of three of the following types
of recreational equipment and facilities:
• Tot lots or other children’s play equipment
• Picnic tables and barbeque grill
• Open lay lawn
• Shaded benches
• Formal gardens
• Special interest gardens with interpretive signage
• Public art
• Game tables
• Sports courts
• Other similar amenities
Community Plans
Coachella Valley Overview
City of Indio Overview
Citrus ranch Overview
Market Overview
34
Housing in the Coachella Valley is driven by three segments: Primary Housing, Second Home/Vacation Housing and Retirement Housing.
Primary Housing is affordability driven, comprised of service workers supporting the hospitality, medical, retail and agricultural industries in the Valley. Major employment nodes are
located along the south side of I-10 from Palm Springs to Coachella and are concentrated in the retail, hospitality, and health care sectors. Within a 25-mile radius, there are 125,822
primary jobs, according to the 2010 Census, with about half of these jobs less than 15 miles from the subject site.
Second Home/Vacation Housing is comprised of primarily wealthy households, consisting of families and older couples. The Coachella Valley is a vacation and resort destination within a
two to three hour drive of the greater Southern California area. Southern California is the second largest concentration of population in the United States, with 21.5 million people in six
counties and a large employment base (8.1 million jobs). Direct domestic and international airline flights, a key to pulling second home buyers from outside the Southern California drive-
in area connect Palm Springs Airport to key feeder markets in Northern California, the Northwest and Canada.
Retirement Housing and Active Adult Communities comprise the third segment of the Coachella Valley housing market. This demographic is primarily a mix of "snowbirds" from cold
weather environments (Midwest and Northeast) residing in the Valley during the winter months and local Southern California retirees. This market segment is growing rapidly and
continued to be a strong source of housing demand during the past recession.
Housing in the Coachella Valley is also on the mend as measured by housing price and sales trends, a decline in distressed sales, declining housing inventory, increasing new home
sales and months supply of housing.
Coachella Valley – Overview
Market Overview
Year-to-Date Change in Home Prices Per Sq. Ft.
City April 2013 Median $/SQFT December 2012 Median Price YTD Change 2006 All Time High
La Quinta $195 $142 37.4% $293
Indio $125 $98 29.1% $215
Cathedral City $121 $104 16.5% $237
Desert Hot Springs $79 $68 15.8% $187
Palm Desert $168 $150 12.2% $187
Palm Springs $236 $214 10.4% $319
Coachella $81 $74 9.6% $216
Rancho Mirage $202 $185 9.3% $331
Indian Wells $259 $252 2.5% $359
Source: Market Watch
35
Market Overview
Source: Market Watch
Coachella Valley – Overview
Coachella Valley Price Per Sq. Ft. Monthly Coachella Valley Sales
$90$100$110$120$130$140$150$160$170
Mar
-10
May
-10
Jul-1
0S
ep-1
0N
ov-1
0Ja
n-11
Mar
-11
May
-11
Jul-1
1S
ep-1
1N
ov-1
1Ja
n-12
Mar
-12
May
-12
Jul-1
2S
ep-1
2N
ov-1
2Ja
n-13
Mar
-13
May
-13 0
200
400
600
800
1000
1200
Mar
-10
May
-10
Jul-1
0
Sep-
10
Nov
-10
Jan-
11
Mar
-11
May
-11
Jul-1
1
Sep-
11
Nov
-11
Jan-
12
Mar
-12
May
-12
Jul-1
2
Sep-
12
Nov
-12
Jan-
13
Mar
-13
May
-13
3 month avg 12 month avg
10%
20%
30%
40%
50%
60%
70%
Mar
-10
May
-10
Jul-1
0Se
p-10
Nov
-10
Jan-
11M
ar-1
1M
ay-1
1Ju
l-11
Sep-
11N
ov-1
1Ja
n-12
Mar
-12
May
-12
Jul-1
2Se
p-12
Nov
-12
Jan-
13M
ar-1
3M
ay-1
3
Year Ago
Coachella Valley Distressed SalesREO and Short Sales
36
Market Overview
Source: Market Watch
Coachella Valley – Overview
Coachella Valley Months of Supply
2,0002,5003,0003,5004,0004,5005,0005,5006,0006,500
Jan-
10M
ar-1
0M
ay-1
0Ju
l-10
Sep-
10No
v-10
Jan-
11M
ar-1
1M
ay-1
1Ju
l-11
Sep-
11No
v-11
Jan-
12M
ar-1
2M
ay-1
2Ju
l-12
Sep-
12No
v-12
Jan-
13M
ar-1
3M
ay-1
30.01.02.03.04.05.06.07.08.09.0
Months
Coachella Valley Existing Home Sales2012 Based on First Six Months
Coachella Valley New Home Sales2012 Based on First Six Months
Inventory of Homes for SaleJune 1st – Coachella valley
5,14
1
4,45
1 5,38
7 6,12
9
7,57
4
6,69
5
5,24
0
4,38
9
5,70
5
7,47
0
7,23
1 7,76
3
8,03
2
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Year
2,19
0
2,03
0 2,67
9
4,06
5
5,53
3
5,49
0
4,91
3
2,77
1
1,49
8
840
548
470
470
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Year
37
The Indio housing market mirrors the positive housing outlook of the Coachella Valley.
Homebuilders recognize the favorable housing indicators and have started buying lots in their preferred North Indio submarket. In June 2012 there were approximately 2,700 improved
lots in Indio. In the last six months of 2012 homebuilders including DR Horton, Lennar, K Hovnanian, Shea Active Adult, and Woodside Homes purchased about 2,100 of these lots.
City of Indio – Overview
Market Overview
Source: Market Watch
Months of Supply by City
0
2
4
6
8
10
12
14
16
Months
June 1st 2013 Year Ago
370
500
1,000
1,500
2,000
2,500
3,000
June 2012 Today
2,700 Improved Lots
702 Improved lots NOT held by a Builder
Decreased 75%
38
City of Indio – Overview
Market Overview
Source: Market Watch
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
Indio La Quinta Palm Desert Palm Springs Cathedral City Desert HotSprings
Rancho Mirage Coachella Indian Wells
2011 2012
Coachella Valley Existing Home Sales2012 Based on First Six Months
0
20
40
60
80
100
120
140
160
180
200
Indio La Quinta Palm Springs Palm Desert Cathedral City Coachella Rancho Mirage Indian Wells Desert HotSprings
2011 2012
Coachella Valley New Home Sales2012 Based on First Six Months
39
Indio finished lot values peaked in 2005 when lot values reached $175,000 for a standard lot and up to $235,000 for lots fronting on the nearby Terra Lago Golf Course fairway. Current
finished lot market value is likely just north of $100,000 with significant appreciation expected given the lack of supply and improving demand.
City of Indio – Overview
Market Overview
39
$25,000
$50,000
$75,000
$100,000
$125,000
$150,000
$175,000
$200,000
$225,000
$250,000
$275,000
$300,000
$325,000
$25,000
$50,000
$75,000
$100,000
$125,000
$150,000
$175,000
$200,000
$225,000
$250,000
$275,000
$300,000
$325,000
Cathedral City Coachella Desert Hot Springs Indian Wells Indio N. Indio S. Indio West
S. Indio East La Quinta Palm Desert Palm Springs N. Palm Springs S. Palm Springs Rancho Mirage
Market Peak 2005
40
There is a good opportunity for market success of Citrus Ranch with an estimated entry of land sales in 2015 given the lack of current supply in the market, builder interest in the area
and forecasted increases in both price and sale volume as the market improves. The current plan offers a wide variety of lot/homes segments including single family detached lots from
4,500 to 9,000 square feet, cluster homes and townhomes. These homes will attract a variety of buyer profiles ranging from move-down, retiree, families and second home buyers
attracted to the north Indio area. This is based on a number of positive factors, including:
• The Subject is located at the foothills in north Indio and features mountain and open space orientations along with the proximity to newer retail/commercial centers in north Indio.
• The Subject offers an attractive new gated master-planned community positioned at a premium to slightly older neighborhood resales due to the foothill location, new home premium,
and integrated amenities and as an affordable alternative to the higher priced Palm Desert area.
• Improving economic and housing market conditions, such as annual regional job growth of 1.9% in 2013; further employment growth is projected over the next five years.
• New home sales volume is expected to increase 8% in 2013 and 18% in 2014. The median new home price is expected to rise 12% in 2014.
• Resale volume has been increasing and is forecasted to peak in 2015-2016; resale home values are projected to increase over the next five year period.
• Very low resale inventory (three months).
• There is an opportunity to bring in a compelling new master-planned community with mountain and open space orientations that offers more than the area legacy communities which
typically feature only neighborhood parks and walking trails. A new large master-planned community featuring an attractive community setting and amenities (community pool/spa,
clubhouse, parks, and golf, etc.) with segmented products will achieve a premium in comparison to the area competition.
Citrus Ranch – Overview
Market Overview
Offering Overview
Offering Guidelines
42
Letter of Intent
The Letter of Intent should include the following:
• Purchase Price: No asking price has been established for the subject Property.
• Potential Offering Structure: The Owner is primarily interested in seeing two types of offers; (i) All cash at the close of escrow, and/or (ii) Joint venture proposals.
The joint venture (“JV”) proposals should include a proforma that includes an initial payment of 20% to 30% of the asset’s current value to the Owner upon the close
of escrow. Additionally, the proposal should include anticipated profit potential to the Owner; time required to realize said profits; and how the prospective buyer
intends to fund and process the remaining entitlements and development.
• Escrow Deposit: Upon the execution of the Purchase Agreement, Buyer shall deposit into escrow with First American Title Insurance Company a refundable deposit
in an amount of $100,000 (the “Refundable Deposit”).
• Due Diligence Period: Buyer will be given sixty (60) days following execution of the Purchase Agreement to complete all due diligence investigations with respect to
the Property. Upon the expiration of the due diligence period, and if Buyer shall determine to proceed with the transaction, Buyer will be required to deposit additional
funds into escrow which, when combined with the Refundable Deposit, shall cause the total amount of Buyer’s funds held in escrow to equal $250,000, which amount
shall constitute the entire deposit and shall be non-refundable but applicable to the Purchase Price.
• Close of Escrow: Escrow shall close within thirty (30) days of the expiration of the Due Diligence Period.
Offering Guidelines
Selection Process
The ultimate purchaser will be selected by Owner on the basis of a number of factors, including but not limited to, the price and terms of the initial purchase offer, Owner’s
satisfaction with said prospective purchaser’s development plans, experience and track record with developing similar property, experience with relevant or similar regulatory
agencies, access to capital and other financing sources, and the proven ability to close on a timely basis. Owner will endeavor, but is not obligated, to respond to all prospective
purchasers who submit offers. Offers should be submitted in accordance with the Offering Guidelines hereinafter contained. All prospective offers should include the following
information:
• Qualifications and development experience.
• Ownership structure and capitalization.
• Financial capacity and/or funding sources.
Offering Overview
43
Offering Guidelines
Offering Overview
Owner Disclosures
This Marketing Package and any additional materials provided by Owner are for convenience only and may not be relied upon by prospective purchasers without their
independently verifying the information presented. Prospective purchasers are strongly encouraged to independently verify all of the information contained herein and in any
supplements or exhibits and to conduct their own due diligence.
Nothing contained herein should be construed as an offer or other binding commitment to sell the Property, and Owner reserves the right to withdraw the Property from the market,
not to negotiate with any prospective purchaser, or to accept or reject any bid, at any time and for any or no reason, in Owner’s sole and absolute discretion. In addition, the
information contained herein related to the Property is merely a partial summary of the information available, and prospective purchasers are encouraged to conduct a full and
thorough due diligence investigation. The Property is being offered on an unqualified “as is/where is” basis, and the Purchase Agreement will include a comprehensive disclaimer
of representations and warranties.
Brokerage Commission/Disclosures
A commission to Land Advisors will be paid by Owner pursuant to the terms of Owner’s listing agreement therewith. Any other commissions must be paid by the prospective
Buyer. All communications and inquiries regarding the Property should be directed to the individuals listed on the back page of this Marketing Brochure.
Please be advised, Buyer acknowledges that Park Place Partners, Inc. d/b/a Land Advisors Organization, may (1) act as an agent for more than one prospective Buyer on the
subject property and/or (2) act as the agent for both the Buyer and Seller on the subject property. Any prospective Buyer requesting Land Advisors to submit an offer on its behalf
acknowledges the foregoing disclosures and agrees to the described agency relationships with other prospective Buyers.
Bid Due Date: Submit offer as soon as possible
Offers should be directed to Stone James at [email protected] at (760) 219-7227
and/or David Landes at [email protected] at (858) 692-8626
44
Stone James MREDMarketing Consultant CA DRE #00654419
74-130 Country Club Drive, suite 201Palm Desert, CA 92260
David LandesMarketing Consultant CA DRE #011067749707 Waples Street
San Diego, CA 92121
Terra Lago Golf Course