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1. Grant of Open Space Easement. Owner, as grantor, hereby grants an open space easement to the Town of Los Altos Hills, a municipal corporation in the County of Santa Clara, State of California, over the real property described and shown as Exhibit A. Exhibit B and Exhibit C, (the "Property"), to have and to hold said open space easement for the term and for the purposes and subject to the conditions, covenants, and exceptions described herein. 2. Statutory Authorization. This Agreement and grant of open space easement are made and entered into pursuant to Chapter 6.6 commencing with Section 51070 of Part 1, Division 1, Title 5 of the Government Code. This Agreement is subject to all of the provisions of said sections and chapters including any amendments thereto which may hereafter be enacted. 3. Restriction on Use of Property. During the term of this Agreement and the open space easement granted herein, the Property shall not be used for any purpose other than an open space easement and those uses related to or compatible therewith. Owner, for the direct benefit of the Property described herein, hereby declares that the Property shall be subject to restrictive covenants running with the land which shall be binding upon all subsequent grantees. Said restrictive covenants shall be: a. against the right of Owner to construct any improvements on or within the Property except for underground public and private utilities (excluding solar panels), paths dedicated to the Town, a vineyard, approved drainage installations, sanitary sewer installations or an approved septic system, and maintenance of these improvements, provided these reserved exceptions shall be consistent with the purposes of maintaining and preserving the natural or scenic character of the land; and b. against the extraction of natural resources or other activities which may destroy the unique physical and scenic characteristics of the land; and C. against the grading of land or placement of retaining walls for structures and reasons other than attendant to permitted uses including but not limited to drainage improvements, septic fields, underground utilities, and placement of fill to reduce export of soils; and d. against the cutting of vegetation, except as may be required for fire prevention, thinning, elimination of diseased growth, removal of invasive or non-native species and similar measures; and C. against any plantings other than native vegetation and a vineyard; and f. against the erection of structures other than any improvements authorized by Paragraph 3(a) herein. Resolution 18-22 Page 3