HomeMy WebLinkAboutCT 02-28x1; Calso LLC; 2008-0153886; Affordable Housing Agreement/Release5238·
Developer or its successors and the City, provided for below, which shall supersede this Agreement
upon recordation of the Regulatory Agreement.
3. City Approval of Documents.
3.1. The following documents, in form and substance acceptable to the City,
shall be used in connection with the sale of Affordable Units. Documents to be prepared by
Developer shall be submitted to the Housing and Redevelopment director for review and
approval no later than the start of construction of the Affordable Units.
3.1.1. A marketing plan establishing the process for seeking, selecting and
determining the eligibility of buyers of the Affordable Units shall be prepared by the Developer.
3.1.2. An educational program informing Affordable Unit purchasers of the
obligations of home ownership and the specific features of this program shall be prepared by the
Developer.
3.1.3. Purchase and Sale Agreements for sale of the Affordable Units shall
be prepared by the Developer.
3.1.4. City Second Mortgage promissory note, deed of trust, and borrower
disclosure form shall be provided by the City.
3.2 The following documents, in form and substance acceptable to the City,
shall be used in connection with the rental of the Affordable Units.
3.2.1 A marketing plan consistent with the terms of this Agreement,
establishing the process for seeking, selecting and determining the eligibility of tenants of the
Affordable Units.
3.2 .. 2 Form of Rental Agreement.
3.2 .. 3 A Property Management Plan.
3.2 .. 4 A Form of Regulatory Agreement between the developer of the
Affordable Units and City (the "regulatory agreement"), following a format designated by the
City.
3.3 Any of the documents identified in Sections 3.1 and 3.2 may be revised by
Developer from time to time with the prior written approval of the Housing and Redevelopment
Director.
4. Mortgage Credit Certificate Program. Buyers of the Affordable Units may
qualifY for income tax credits pursuant to Mortgage Credit Certificate (MCC) Program, for a
portion of the annual interest paid on a first mortgage used to acquire the Affordable Unit. City
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sale to such purchasers, shall not be subject to the terms of this Agreement; and the terms of this
Agreement shall be of no further force or effect with respect to such completed unit on the date
of the recordation of a deed to the individual purchaser. Upon issuance of certificates of
occupancy for all of the Affordable Units, the entire Subject Property, with the exception of the
property subject to the approved Site Development Plan, shall be released from the burdens of
this Agreement. The burdens of this agreement shall remain in full force and effect and recorded
against the property subject to the approved Site Development Plan in accordance with the terms
of this agreement. The burdens of this agreement shall remain in full force and effect and
recorded against the affordable units for a minimum of 55 years if the units are rental and 30
years if the units are sold.
9. Hold Harmless. Developer will indemniry and hold harmless (without limit as to
amount) City and its elected officials, officers, employees and agents in their official capacity
(hereinafter collectively referred to as "lndemnitees"), and any of them, from and against all loss,
all risk of loss and all damage (including expense) sustained or incurred because of or by reason
of any and all claims, demands, suits, actions, judgments and executions for damages of any and
every kind and by whomever and whenever made or obtained, allegedly caused by, arising out of
or relating in any manner to Developer's performance or non-performance pursuant to this
Agreement, and shall protect and defend lndemnitees, and any of them with respect thereto. The
provisions of this section shall survive expiration or other termination of this Agreement or any
release of part or all of the Property from the burdens of this Agreement, and the provisions of
this Section 9 shall remain in full force and effect
I 0. Insurance Requirements: Developer shall obtain, at its expense, comprehensive
general liability insurance for the development of the Subject Property naming lndemnitees as
additional named insureds with one million dollars ($1 ,000,000) per occurrence and aggregate
limits of not less than two million dollars ($2,000,000) for bodily injury and death and property
damage, including coverages for contractual liability and products and completed operations,
purchased by Developer or its successors or assigns from an insurance company duly licensed to
engage in the business of issuing such insurance in the State, with a current Best's Key Rating of
not less than A-:V, such insurance to be evidenced by an endorsement which so provides and
delivered to the Housing and Redevelopment Department prior to the issuance of any building
permit for the Subject Property.
II. Notices. All notices required pursuant to this Agreement shall be in writing and
may be given by personal delivery or by registered or certified mail, return receipt requested, to
the party to receive such notice at the addressed set forth below:
TO THE CITY OF CARLSBAD
CITY OF CARLSBAD
Housing and Redevelopment Department
Attn: Housing and Redevelopment Director
2965 Roosevelt Street, Suite B ·
Carlsbad, California 92008-2389
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..
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TO THE DEVELOPER:
Calso, LLC
2683 Costabelle Drive
La Jolla, Ca. 92037
Any party may change the address to which notices are to be sent by notifying the other
parties of the new address in the manner set forth above.
12. Integrated Agreement. This Agreement constitutes the entire Agreement between
the parties and no modification hereof shall be binding unless reduced to writing and signed by
the parties hereto.
13. Duration of Agreement. This Agreement shall remain in effect for 55 years
following the date certificates of occupancy have been issued for all affordable rental units,
and/or shall terminate and become null and void upon the: (a) the closing of the sale of the last
of the Affordable Units to an individual eligible purchaser pursuant to a sale on an approved
public report in compliance with the California Subdivided Lands Act, or (b) upon the granting
of a written release by the Community Development Director. This Agreement, and any section,
subsection, or covenant contained herein, may be amended only upon the written consent of
Developer and the Community Development Director.
14. Recording of Agreement. The parties hereto shall cause this Agreement to be
recorded against the Subject Property in the Official Records of he County of San Diego.
15. Severability. In the event any limitation, condition, restriction, covenant, or
provision contained in this Agreement is to be held invalid, void or unenforceable by any court
of competent jurisdiction, the remaining portions of this Agreement shall nevertheless be and
remain in full force and effect.
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524.1
IN WITNESS WHEREOF, the parties hereto have caused this agreement to be
executed as of the day and year first above written.
DEVELOPER CITY
City of Carlsbad, a Municipal corporation
By:~~uc
By:~;;;
Name :Af\(~ Title(YYt~~
By: {} (j
By: ~4<t~
SaJldfaL:Holder
Community Development Director
Name
Title
If required by City, proper notarial acknowledgment of execution by contractor must be
attached. If a Corporation, Agreement must be signed by one corporate officer from each of the
following two groups.
*Group A.
Chairman,
President, or
Vice-President
**Group B.
Secretary,
Assistant Secretary,
CFO or Assistant Treasurer
Otherwise, the corporation must attach a resolution certified by the secretary or assistant
secretary under corporate seal empowering the officer(s) signing to bind the corporation.
APPROVED AS TO FORM:
RONALD R. BALL, City Attorney
By:.~~~~=..!~~·
rr;fle Mobaldi
LA.ss1stant C1ty Attorney
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ATTACHMENTD
Site Development Plan for Affordable Units
(attached to agreement)
REV. 02/05/03