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SETTLEMENT AGREEMENT RECITALS 1, Blue Point Apartments, LLC owns two parcels of land on North Wandermere Road in Spokane County, Washington. Blue Point Apartments Proposes to develop its property with a complex of apartment buildings and related facilities. a Blue Point Apartments has obtained County approvals for development of the first phase of its project on the northern parcel. It also is seeking a Comprehensive Plan amendment and rezone (County File No. 14-CPA- 02) of the so-called Phase 2 parcel in the middle of its property. 3. Friends of Wandermere is a community organization representing Property owners and residents in the vicinity of Blue Point Apartments’ proposal. 4. To resolve their differences, the parties to this agreement have negotiated certain modifications of the Blue Point Apartments’ proposal as reflected herein. In exchange, Friends of Wandermere will withdraw its opposition to the project, as specified below. PARTIES The parties to this agreement are: L Rudeen Development LLC and Blue Point Apartments LLC, their Successors and assigns, hereinafter referred to as “Rudeen” and Friends of Wandermere, a community organization, and the following individuals: Jennifer Mudge and Wayne Rau, hereinafter referred to as “Neighbors.” DEFINITIONS “Phase 1” means the Blue Point Apartments approved by Spokane County on June 8 and June 9, 2015 (the northern portion of parcel number 37325.9072). “Phase 2” means the Blue Point Apartments project parcel for which a Comprehensive Plan amendment and rezone was requested (Parcel No. 37323,9079), under 14-CPA-02. “Phase 3” means the Blue Point Apartments project proposed for the remainder of parcel number 37325.9072 (generally, south of Phase 2). a eo OPERATIVE PROVISIONS 1, Rudeen will revise the site plans for Phase 1 and Phase 2 as follows: a. Building A and Building C will be shifted to align along Highway 395. The parking lot just north of Building B, Building B and Building D will be shifted to align along Wandermere as shown on Exhibit A hereto. b. The two eastern most units on the third floor of Building & and Building F will be eliminated. c. A fence like that shown in Exhibit B hereto will be constructed along the east property line of Phase 1 and Phase 2. Rudeen will provide fence color swatches to Neighbors, which colors Rudeen has the right to choose to ensure such colors are complementary to the project. Neighbors may select the color from those provided by Rudeen if they choose to do so. d. At least 20 trees fifteen feet or higher will be planted along the east property line of Phase 1 and Phase 2. These trees shall be in addition to landscaping required by the county. A copy of the revised site plan for Phase 1 is attached hereto as Exhibit A. 2. Rudeen will seek County approval of the revised plans for Phase 1 and will include the Phase 2 revisions in any permit applications for Phase 2. 3. The Neighbors will support Rudeen’s comprehensive plan amendment and rezone of the Phase 2 parcel subject to the Development Agreement filed in 14-CPA-02, provided that the total unit count for the entire 17.6 acre development (Phase 1, Phase 2 and Phase 3) shall be reduced to 310. The parties’ obligations as to Phase 1 and the 310 maximum unit count remain in effect regardless of the outcome of the comprehensive plan amendment and rezone applications for Phase 2. Neighbors agree not to file an appeal of 14-CPA-02, if approved by the Board of County Commissioners, or future building permits or SEPA determinations, provided the same are consistent with this agreement. 4. The Neighbors will withdraw their appeal of the Phase 1 approval and related SEPA appeal, except that Neighbors may request the Hearing Examiner and/or Engineering Department to improve safety of the crossing of Wandermere Road by requiring installation of pedestrian activated FE C-26-108 safety lights, markings of the crosswalks and lanes, and signage for the turn pocket. The Neighbors obligations set forth herein remain in effect regardless of the Examiner's response to these requests. 5. Rudeen will assure that construction never starts before 7 a.m. After one violation, Rudeen shall make a contribution to the Mead food bank of $300 for any day on which construction starts before 7 a.m. 6. Rudeen shall abide by the terms of the development agreement it enters into with Spokane County. The terms of this agreement are in addition to, not in lieu of, Rudeen’s obligations under its development agreement with Spokane County. 7. In the event of any dispute regarding compliance with this agreement, the parties agree to first meet and confer in an effort to resolve their differences. If a party fails to meet and confer within four business days after a request from the other party, this condition shall be considered waived. If the parties fail to resolve their differences through the meet and confer requirement, the parties agree to use the services of a professional mediator before bringing any action in court to enforce the terms of this agreement. Mediation expenses shall be split evenly between Rudeen and the Neighbors, If a lawsuit is filed, the parties recognize that damages are not a fully compensatory remedy and that the court should enter injunctive relief to assure compliance with the terms of this agreement. 8. The parties signing this agreement represent that they have authority to sign on their own behalf and on behalf of the organizations they represent. 9. The provisions of this agreement pertaining to development of Rudeen’s property shall constitute covenants running with the land and shall inure to the benefit of the Neighbors. This agreement and any agreement amending it or terminating it shall be recorded with the Spokane County Auditor. 10. Failure by any party to enforce this Agreement or any provision of it shall not be construed as a waiver by that party of its right to do so. 11 This agreement may only be amended in writing. 12. Notices under this agreement to Rudeen shall be provided to Kirk Kappen, Rudeen Development LLC, 695 North Legacy Ridge Drive, Suite 301, Liberty lake, WA 99019 and to Neighbors c/o Jennifer Mudge, 14624 North Edencrest Drive, Spokane, WA 99208 and Wayne Rau, 15323 North Franklin 3 EE 6-Zb fos Court, Spokane, WA 99208. Either party may change ‘ts representative and/or address by giving notice in writing. Rudeen Development, LLC Bive Point Apartments, LLC By. SG ay LE Ayes oe a caende, Its: Gat Mggen = CFO Ns dee degptaa = cotton bee Date: _@-26r Zo Date: __6-£6 ars” Friends of Wandermere 4 ty fennifef Mudge Date: Ky stewsopnag snenmoy squeuniedy quied ent

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