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HomeMy WebLinkAboutPLC AFFORDABLE RENTAL HOUSING AGREEMENT - 2001-10-15 oF,, /I IV Council/Agency Meeting Held: UEd� 4 Deferred/Continued to: Approved ❑ Conditionally Approved ❑ Denied &V City k s gnature Council Meeting Date: December 1, 2003 Department 1 umber: PL03-25 CITY OF HUNTINGTON BEACH x REQUEST FOR ACTION �, r SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS cr,p SUBMITTED BY: RAY SILVER, City Administrator PREPARED BY: HOWARD ZELEFSKY, Director of Planning 'f SUBJECT: APPROVE AMENDED AND RESTATED AFFORDABLE HOUSING AGREEMENT FOR MAIN PLACE APARTMENTS, LLC (Formerly PLC-Siena Apartments) Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachments) Statement of Issue: Transmitted for your consideration is a request by Main Place Apartments, LLC, formerly PLC-Siena Apartments, to approve an amended and restated affordable housing agreement for a 29 unit apartment project at the northwest corner of Main and Gothard Streets. The amendment changes the ownership of the project from PCL to Main Place Apartments, LLC. Staff recommends that the City Council review and approve the amended and restated affordable housing agreement. Fundinq Source: Not applicable. Recommended Action: Motion to: "Approve the Amended and Restated Agreement Containing Covenants Affecting Real Property By and Between the City of Huntington Beach and Main Place Apartments, LLC, and authorize the Mayor and City Clerk to sign, execute and record (Attachment No. 1)." Alternative Action(s): The City Council may make the following alternative motion(s): "Continue the Amended and Restated Agreement Containing Covenants Affecting Real Property By and Between the City of Huntington Beach and Main Place Apartments, LLC and direct staff accordingly." 91 REQUEST FOR ACTION • MEETING DATE: December 1, 2003 DEPARTMENT ID NUMBER: PL03-25 Analysis: A. PROJECT PROPOSAL: Applicant: Main Place Apartments, LLC, 19 Corporate Plaza Dr., Newport Beach, CA 92660 Location: Northwest corner of Main and Gothard Streets The amended affordable housing agreement changes the ownership from PLC to Main Place Apartments, LLC. The original recorded agreement still restricts the project to low income households for a period of 30 years. The Planning Commission approved the original project on June 12, 2001. The 29 unit project initially restricted 27 units as affordable. The agreement was amended in September 2002, reducing the number to 26 affordable units consisting of two-bedroom units with a two- car garage per unit. B. STAFF ANAYLSIS AND RECOMMENDATION: The original affordable housing agreement was established to meet PLC's affordable housing requirements for three market-rate projects: The Boardwalk single and multi-family components (253 total units) and Rulon Court (four units). Based on the City of Huntington Beach requirement for the equivalent of 10 percent of a project's units to be provided as affordable housing, PLC was required to restrict 27 units (26 units for Boardwalk and 1 unit for Rulon Court). The City Council approved the affordable housing agreement on October 15, 2001, and the agreement was recorded on November 30, 2001. Due to a potentially active fault discovered during rough grading, the Rulon Court project was abandoned by PLC and was not built. This resulted in the reduction of one affordable unit and the agreement was amended in 2002 accordingly. The proposed amended and restated agreement changes only the ownership of the project. The agreement therefore remains consistent with the standard affordable housing agreements prepared by the City Attorney's Office and has been reviewed by the Economic Development Department. Therefore, staff recommends the City Council approve the agreement. Environmental Status: The subject request is not subject to the California Environmental Quality Act pursuant to Section 15061 (b) (3). PL03-25 -2- 11/3/2003 9:48 AM 0 REQUEST FOR ACTION 0 MEETING DATE: December 1, 2003 DEPARTMENT ID NUMBER: PL03-25 Attachmen# s : City Clerk's Page Numberf Description 1. Amended and Restated Affordable Housing Agreement RCA Author: RM/MBB PL03-25 -3- 11/3/2003 9:48 AM • _ Recorded in Official Reco rds, County of Orange Tom Daly, Clerk-Recorder RECORDING REQUESTED BY: fI�Il111Nl11(IIl!l1�Ilii illlllliilllllllllllllllllll1111IIIIIfiIIINO FEE AND WHEN RECORDED-MAIL TO: ) 200300151455610:55am 12/24/03 City of Huntington Beach 1 213 109 Al2 10 2000 Main Street 0,00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1 Huntington Beach, CA 92660 1 Attn: City Clerk i ----- - — ----- --- — _-- T (Space Above for Recorder's Use) This Agreement is recorded at the request and for the benefit of the City of Huntington Beach and is exempt from the payment of fees pursuant to Government Code Section 6103. AMENDED AND RESTATED AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (AFFORDABLE RENTAL HOUSING) THIS AMENDED AND RESTATED AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Restated Agreement") is entered into as of the 1 st day 1 'of September, 2003, by and between the CITY OF HUNTINGTON BEACH, a municipal L corporation ("City"), and MAIN PLACE APARTMENTS, LLC,-a Delaware limited liability company ("Owner"). RECITALS 1 A. Owner is fee owner of record of that certain real property (the "Site") located in the City of Huntington Beach, County of Orange, State of California legally described in the attached Exhibit "A." There are currently no residential housing units located on the Site. B. On November 28, 2000, the Planning Commission of City approved Tentative Tract Map No. 15795, Coastal Development Permit No. 00-1 and Conditional Use Permit No. 00-68. City imposed conditions of approval on the project, requiring the provision of nineteen (19) affordable housing units in conjunction with the new development. C. On July 24, 2001, the Planning Commission of City approved Tentative Tract map No. 16192, Coastal Development Permit No. 01-01 and Conditional Use Permit No. 01-04. City imposed conditions of approval on the project, requiring the provision of seven (7) affordable housing units in conjunction with the new development. D. On or about October 15, 2001, PLC, a California general partnership and Owner's predecessor in interest, and City entered into that certain Agreement Containing Covenants Affecting Real Property (Affordable Rental Housing) and caused the same to be recorded on November 30, 2001, as Instrument No. 20010863183, in the Official Records of the County of orange, State of California (the "Original Agreement"). F:,WP511DL6,MAINPLCSAFFRDHSG AG4.DOC 1 09/29iO3 E. On or about September 16, 2002, PLC and the City entered into that certain Amended and Restated Agreement Containing Covenants Affecting Real Property (Affordable Rental Housing) amending and restating the Original Agreement, and caused the same to be recorded on November 15, 2002, as Instrument No. 2002001025951, in the Official Records of the County of Orange, State of California (the "Amended Agreement"). F. Owner and City now wish to amend and restate the Amended Agreement to reflect certain changes to the terms thereof, all as more particularly described herein. NOW, THEREFORE, BASED UPON THE FOREGOING RECITALS AND FOR GOOD AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH IS ACKNOWLEDGED BY BOTH PARTIES, CITY AND.OWNER HEREBY AMEND AND RESTATE THE AMENDED AGREEMENT IN ITS ENTIRETY TO READ AS FOLLOWS: I. AFFORDABLE HOUSING. (A) Number of Units. Owner agrees to make available, restrict occupancy to, and lease twenty-six (26) Affordable Units on the Site to "Low Income Households" at an "Affordable Rent" for the duration of the "Affordability Period" (as those terms are defined hereinbelow). Nothing in this Restated Agreement shall restrict Owner's right to select which of the twenty-nine (29) rental housing units on the Site shall be the Affordable Units and Owner may at its option change the location of the Affordable Units on the Site from time to time, provided that a minimum of twenty-six (26) rental housing units shall be restricted as Affordable Units during the entire Affordability Period. As used in this Restated Agreement, the term "Low Income Household" shall mean persons and families whose income does not exceed eighty percent (80%) of Orange County median income, adjusted for family size, as determined by the United States Department of Housing and Urban Development ("HUD"), as set forth in the California Health and Safety Code Section 50079.5. As used in this Restated Agreement, the term "Affordable Rent" shall have the meaning set forth in Section I(D) hereinbelow. As used in this Restated Agreement, the term "Tenant" shall mean any person who rents or leases any portion of the Site or any person who is not a fee or equitable owner of any portion of the Site who uses the Site as his or her principal residence. For purposes of this Restated Agreement, principal residence will be determined in the same manner as principal residence is determined for state residency under California Vehicle Code Section 516. (B) Duration of Affordability Requirements. The Affordable Units shall be subject to the requirements of this Restated Agreement from the date of this Restated Agreement until the date that is thirty (30) years from the date the twenty-sixth (26th) Affordable Unit has been rented to a Low Income Household. City acknowledges that the residential dwelling units on the Site are not constructed as of the date this Restated Agreement and that the requirements of this Restated Agreement will be enforced by Owner as units are constructed and become available for rental to eligible households in the FAWP51!DLMMAINPL0AFFRDHSG AGCDOC 2 09129r03 ordinary course of business. The duration of this requirement shall be known as the "Affordability Period." As soon as the twenty-sixth (26th) Affordable Unit has been rented to a Low Income Household pursuant to this Restated Agreement, City and Owner shall cooperate in the recordation of a supplemental Memorandum confirming the expiration date of the Affordability Period. The form of the supplemental Memorandum is attached hereto as. Exhibit "B." (C) Income of Tenant. After the lease of any Affordable Unit to a Tenant, Owner shall submit to City a completed income computation and certification form, in such form as is generally used by City in administering its affordable housing program from time to time. Owner shall certify that to the best of its knowledge each Tenant of an Affordable Unit is a Low Income Household and meets the eligibility requirements established for the particular Affordable Unit occupied by such household. Owner shall obtain an income certification from each Tenant of an Affordable Unit and shall certify that, to the best of Owner's knowledge, the income of the Tenant is truthfully set forth in the income certification form. Owner shall verify the income certification of the Tenant in one or more of the following methods as specifically requested by City: (1) Obtain two (2) paycheck stubs from the Tenant's two (2) most recent pay periods. (2) Obtain a copy of an income tax return from the Tenant for the most recent tax year in which a return was filed verified by the Tenant to be true and complete. (3) Obtain an income verification certification from the employer of the Tenant. (4) Obtain an income verification certification from the Social Security Administration and/or the California Department of Social Services if the Tenant receives assistance from such agencies. (5) Obtain an alternate form of income verification reasonably requested by City, if none of the above forms of verification is available to Owner. If, after renting an Affordable Unit to an eligible household, the household's income increases above the income level permitted for that unit, the household shall continue to be permitted to reside in such Affordable Unit. Subsequently, however, when the next residential rental unit on the Site becomes vacant and available for rent, the vacant unit shall become an Affordable Unit subject to the restrictions of this Restated Agreement (and subject to Owner's retained discretion to change the location of Affordable Units from time to time, as provided in Section I(A) herein). (D) Determination of Affordable Rent for the Affordable Units. The initial maximum monthly rental payment ("Affordable Rent") amount for the Affordable Units required to be leased to Low Income Households during their eligibility hereunder shall be as follows: FAWP511DL61MAINPMAFFRDNSG AG4.DOC 3 09;29i 03 Number of Units Qualifying Income 9 Units Less than 60% OCMFI 9 Units Less than 70% OCMFI 8 Units Less than 80% OCMFI The Affordable Rent amount for the Affordable Units shall be adjusted annually by the following formula upon the publication of revised Orange County.median income figures by the United States Department of Housing and Urban Development: The Affordable Rent amount shall not exceed thirty percent (30%) of eighty percent (80%) of the monthly area median income for three-person households as determined by California Health and Safety Code Section 50053. OWNER UNDERSTANDS AND KNOWINGLY AGREES THAT THE MAXIMUM RENTAL PAYMENTS TO BE ESTABLISHED BY THIS FORMULA ARE NOT NECESSARILY EQUAL TO THE FAIR MARKET RENT FOR THE AFFORDABLE UNITS, AND MAY BE ESTABLISHED AT A LEVEL SUBSTANTIALLY BELOW THE FAIR MARKET RENT LEVELS. OWNER HEREBY AGREES TO RESTRICT THE AFFORDABLE UNITS ACCORDINGLY. r /_ 7,t:: _ Owner's Initials (E) Annual Report. Within sixty (60) days after the end of each calendar year during the Affordability Period, Owner shall submit to City a report verifying Owner's compliance with the provisions of Section I(A)-(D) of this Restated Agreement. Owner's final annual report shall be submitted to City within sixty (60) days after the end of the Affordability Period. Each annual report=shall identify the number and.location-of the Affordable Units for the applicable reporting period, the identity of each Tenant occupying an Affordable Unit during any portion of such period, the income and family size of each such Tenant, the Affordable Rent for each of the Affordable Units, and the actual contract rent actually charged. If City prescribes a particular form to be utilized by Owner in preparing the annual report, Owner shall utilize said form, provided that it complies substantially with the foregoing requirements. II. NON-DISCRIMINATION. Owner, on behalf of itself and its successors, assigns, and each successor in interest to the Site or any part thereof, hereby further covenants and agrees during the Affordability Period: (A) Not to discriminate upon the basis of sex, marital status, race, color, j creed, religion, national origin or ancestry in the sale, lease, sublease, transfer or rental, or in the use, occupancy, tenure, or enjoyment of any of the Affordable Units on the Site. Each and every lease and contract entered into with respect to any of the Affordable Units FAWP51%DL81MA1NPLCIAFFRDNSG AG4.DOC 4 09I29lO3 • on the Site during the Affordability Period shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: In leases: "The lessee herein covenants by and for itself, its successors and assigns, and all persons claiming under or through them, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons on account of sex, marital status, race, color, creed, religion, national origin, or ancestry, in the leasing, renting, subleasing, transferring, use, occupancy, tenure, or enjoyment of the land herein leased, nor shall the lessee itself, or any other person claiming under or through it, establish or permit such practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, sublessees, subtenants, or vendees in the land herein leased." In contracts: "There shall be no discrimination against or segregation of any persons or group of persons on account of sex, marital status, race, color, creed, religion, national origin, or ancestry in the sale, lease, rental, sublease, transfer, use, occupancy, tenure or enjoyment of the land, nor shall the transferee itself or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sublessees, or vendees of the land." Ill. USE RESTRICTIONS. During the Affordability Period, Owner shall be required to take all reasonable steps necessary to ensure that each Tenant of an Affordable Unit and all assignees and transferees of such Tenant have knowledge of all terms and conditions of this Restated Agreement by including in each and every lease and rental agreement a clause which incorporates this Restated Agreement by reference and makes this Restated Agreement a part of an attachment to such lease or rental agreement. In addition, during the Affordability Period, each lease for any of the Affordable Units on the Site shall contain provisions that the Affordable Unit shall be occupied, used, and maintained as follows: (A) the dwelling unit shall be used only for private dwelling purposes, with appurtenant facilities, and for no other purposes; (8) the maximum number of persons in a household that may occupy any of the two-bedroom dwelling units may not exceed five (5); (C) the Tenant shall not permit or suffer anything to be done or kept upon the premises which will increase the rate of insurance on any building, or on the contents thereof, or impair the structural integrity thereof or which will obstruct or interfere with the rights of other occupants, or annoy them by reasonable noises or otherwise, nor shall any i Tenant commit or permit any nuisance on the premises or fail to keep the premises free of rubbish, clippings, and trash or commit or suffer any illegal act to be committed thereon; (D) the Tenant shall comply with all of the lawful requirements of all F:1WP511DLBiMAINPLCSAFFRDHSG AG4.DOC 5 O9r29/03 governmental authorities with respect to the premises; (E) there shall be no structural alteration, construction, or removal of any building, fence, or other structure on the Site (other than repairs or rebuilding permitted herein) without the approval of City: (F) no person shall be permitted to occupy the premises for transient or hotel purposes; and (G) the Tenant shall comply in all respects with this Restated Agreement and any failure by Be Tenant to comply with the terms of this Restated Agreement shall be a default under the Tenant's lease. IV. APPLICABLE LAW. (A) Owner shall maintain the Site in compliance with all applicable HUD Housing Quality Standards and City codes. (B) If any provision of this Restated Agreement or portion thereof, or the application to any person or circumstances, shall to any extent be held invalid, inoperative, or unenforceable, the remainder of this Restated Agreement, or the application of such provision or portion thereof to any other persons or circumstances, shall not be affected thereby, it shall not be deemed that any such invalid provision affects the consideration for this Restated Agreement; and each provision of this Restated Agreement shall be valid and enforceable to the fullest extent permitted by law. (C) This Restated Agreement shall be construed in accordance with the laws of the State of California. V. MISCELLANEOUS. (A) Binding on Successors and Assigns. The covenants and agreements established in this Restated Agreement shall, without regard to technical classification and designation, be binding on Owner and any successor to Owner's right, title, and interest in and to all or any portion of the Site, for the benefit of and in favor of the City of Huntington Beach. All the covenants contained in this Restated Agreement shall remain in effect for the Affordability Period, and shall automatically terminate and be of no further force or effect after such time. Upon expiration of the Affordability Period, City agrees to cooperate with Owner, at no cost to City, in removing this Restated Agreement of record from the Site. (B) Subordination to Trust Deeds. Notwithstanding any other provision in this Restated Agreement to the contrary, the covenants and agreements established in this Restated Agreement at all times shall be junior and subordinate to the lien of any mortgage or deed of trust recorded by or on behalf of a lender to secure a loan for the acquisition or improvement of the Site, including without limitation any deed of trust recorded concurrently herewith. City agrees at no expense to City, to execute such documents as may be reasonably requested by Owner, any successor or assign to Owner's right, title, and interest in and to all or any portion of the Site, or any lender of any such person rAWP511DLB%MAINPLC'.AFFRDHSG AG4.DOC 6 09I29103 subordinating City's rights and interest under this Restated Agreement to the lien of any trust deed recorded or to be recorded by a lender securing a loan for the acquisition or improvement of the Site. Owner, Owner's successor or assign, or the benefited lender shall be responsible for preparing the document(s) creating such subordination of City's interest. [Balance of this page intentionally left blank] F:1WP511DLB'.MAINPLCIAFFRDHSG AG4.DOC 7 09129/03 IN WITNESS WHEREOF, City and Owner have executed this Restated Agreement Containing Covenants Affecting Real Property to be effective as of the date first written above. CITY: CITY OF HUNTINGTON BEACH, APPROVED AS TO FORM: a municipal corporation CA 441 c Mayor. ity Attor ey 3L �v ATTEST: REVIEWED AND APPROVED: City Clerk [;IVd 3 City Adm' strator INITI D AND APPROVED: Dife6tor of 'Planninq STATE OF CALIFORNIA ) ss. COUNTY OF ORANGE } On , 2003, before me, )ou1sG 1� p� , , Notary Public, personally appeared a eA, A4*4ar . and _ �Ai1 h,e a/'d r1c'crs F personally known to me ( atisfac=y-em.Ed-ence) to be the person0s'� whose namegis/(&subscribed to the within instrument and acknowledged to me that he/she/ttobxecuted the same in his/her/t9Pauthorized capacit ies and that by his/her/t6�ignaturqoon the instrument the person s19 or the entity upon behalf of which the perso sl acted, executed the instrument. WITNESS my hand and official seal. i Signature ISEAL) KELLY LOUISE MANDIC Cornmission # 1372B99 _��. Notary Public - California z .. Orange County My corrmm.Expires SeP 1.2006 FAWP5n.DLB%MAINPLCIAFFRDHSG AG4.DOC Q9/29,'03 OWNER: MAIN PLACE APARTMENTS, LLC, a Delaware limited liability company By. Its: V165- D2dsr 7- By: lc�� Its: 54C.iTPtliZy _ STATE OF CALIFORNIA } } ss. COUNTY OF ORANGE } On C�0$0 -,?a , 2003, before me, RIDIMU AA. KOi't'i , Notary Public, personally appeared Dan?a[013annen and Zivad Abdufiawad personally known to me be the person(s) whose name(s) i ar subscribed to the within instrument and acknowledged to m�et a /they a ecuted the same in hrsfl, their a thorized capacity/ies, and that by heir re(s) on the instrument the person s , or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature [SEAL] OFFICIAL SEAL. ROBERTA M.KERN 140TARY PUBLIC-CALI FORMA COMMISSION O 1283372 � ORANGE COUNTY My Commission Exp.Dec.d,2004 FAWP515DLB';MAINPLCIAFFRDHSG AG4.DOC 9 09/29103 LEGAL DESCRIPTION OF THE SITE That certain real property located in the City of Huntington Beach, County of Orange, State.of California, more particularly described as: PARCEL 1 OF PARCEL MAP NO. 2000-207, AS SHOWN ON A MAP RECORDED IN BOOK 325, PAGES 35 TO 37, INCLUSIVE, OF MISCELLANEOUS MAPS, OFFICIAL RECORDS OF ORANGE COUNTY, CALIFORNIA. F:SFILES,WPSI'%DLB':MAINPLC,AFFRDHSG AG4.DOC - 08128103 Exhibit "A" - i i k_1 Recorded in Official Records, County of Orange Tom Daly, Cleric-Recorder RECORDING REQUESTED BY:AND WHEN RECORDED MAIL TO: , 'I!!I�'ll !Il�iil�llIII! II�1111;1!Ilill��!Il1'll'II. 1liiliNO FEE I 004004032255 08.25am 01115104 City of Huntington Beach ) 214 110 M10 5 2000 Main Street } 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Huntington Beach, CA 92660 1 Attn: City Clerk �- (Space Above for Recorder's Use) This Agreement is recorded at the request and for the benefit of the City of Huntington Beach and is exempt from n the payment of fees pursuant to Government Code Section 6103. SUPPLEMENTAL MEMORANDUM REGARDING LJ1 AMENDED AND RESTATED AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (AFFORDABLE RENTAL HOUSING) THIS SUPPLEMENTAL MEMORANDUM REGARDING AMENDED AND RESTATED AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Supplemental Memorandum") is entered into this 9th day of January , 2004 , by and between the CITY OF HUNTINGTON BEACH, a municipal corporation ("City"), and MAIN PLACE APARTMENTS, LLC, a Delaware limited liability company ("Owner"). RECITALS A. Owner is fee owner of record of that certain real property (the "Site") located in the City of Huntington Beach, County of Orange, State of California legally described in Attachment No. 1 hereto. There are currently no residential housing units located or. the Site. B. City and Owner have heretofore entered into that certain Amended and Restated Agreement Containing Covenants Affecting Real Property, dated as of September 1, 2003, with respect to the Site (the "Agreement"}, a true and correct copy of which Agreement was recorded on December 24 , 200 3, as Instrument No. 2003001514556 in the Official Records of the Orange County Recorder's Office. C. Pursuant to Section 1(B) of the Agreement, as soon as the twenty-sixth (26th) "Affordable Unit" was rented to a "Low-Income Household" (as those terms are defined in the Agreement) on the Site, City and Owner agreed to cooperate in the recordation of this Supplemental Memorandum memorializing the expiration date of the "Affordability Period" (as that term is defined in the Agreement). D. City and Owner agree that the twZYV -sixth (26th) Affordable Unit on the Site was rented to a Low Income Household on eyy(W , 200 . NOW, THEREFORE, based upon the foregoing Recitals and for good and valuable F:%FILES1WP511DLB"MAINPLC:AFFRDHSG AG4.DOC - 08.28103 Page 1 of 4 • • consideration, the receipt and sufficiency of which is acknowledged by both parties, City and Owner agree as follows: 1. The Affordability Period referred to in Section I(B) of the Agreement shall expire on 009MI76(— 2 ( , 2033 [the thirtieth (30th) anniversary of the date that the twenty-sixth (26th) Affordable unit on the Site was rented to a Lower Income Household]. 2. Upon the expiration of the Affordability Period, all of the provisions of the Agreement and this Supplemental Memorandum automatically shall become null and void and shall be of no further force or effect. At such time, City agrees, upon request and at no cost to City, to cooperate with Owner (including any successor or assign of the current owner's right, title and interest in and to the Site) to record an appropriate document or documents releasing the Site form any covenants and restrictions set forth in the Agreement and this Supplemental Memorandum. The failure to record such a document or documents, however, shall not extend the duration of the Agreement or this Supplemental Memorandum beyond the expiration of the Affordability Period as provided herein. 3. Except as expressly set forth herein, all of the terms of the Agreement shall remain in full force and effect and unmodified by the provisions of this Supplemental Memorandum. [signatures on next page] F:%FILES\WP51:DL6'.MAINPLC,AFFRDHSG AG4.DOC 08128I03 Page 2 of 4 IN WITNESS WHEREOF, City and Owner have executed this Agreement Containing Covenants Affecting Real Property to be effective as of the date first written above. CITY: CITY OF HUNTINGTON BEACH, AP!ROVED AS TO FORM: a municipal corporation Mayor y Attorney o,03 ATTEST: REVIEWED AND APPROVED: pss,5fA)1 City Clerk City Ad inistrator e C�r0 G/��J tz/ _ 17/ INITI TED AND APPROVED: ector of Planning STATE OF CALIFORNIA ) ) ss. COUNTY OF ORANGE ) 4/�diG On 20QLJ before me, -a_f / `.QQ 1 /1'1 , Notary Public, per �nIy a gearedp. + a , esd � le personally known to me to be the person(s) whose name(s) i are ubscribed to the with' instrument and acknowledged to me that helsh he xecute the same in his/he their authorized capacityhes, and that by his/he their ignature(s)on the instrument the person(s), or the entity upon behalf of which the persons acted, executed the instrument. WITNESS my hand and official seal. 1/7 Signature ' [SEAL) KELLY LOUISE MANDIC Commission# 1372899 Notary Public - California Z Orange County My COo7'1i -Expires sep 1,2006 F:%FILE55WP51',DLB':MAINPLC'AFFRDHSG AG4.DDC oa.�a os Page 3 of 4 OWNER: MAIN PLACE APARTMENTS, LLC, a Delaware limited liability company By: 961�-- Its: 7�/I. -�r��au•� By: Its: STATE OF CALIFORNIA ? ) ss. COUNTY OF ORANGE ) On /9 , 2oo 3, before me,Rgbeft M• K(M , Notary Public, personally appeared Christopher C. Gibbs Uanial 00bannon , personally known to me { to be the person(s) whose a(s) Wt§-sbbscribed to the instrument and acknowledged to me that hey xecuted the same in- (their uthorized capacitylies, and that by their gnature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature 4 [SEAL] X SEAL. ROSERTA M.KERN Nd7ARY PUBLIC-CALIFORNIA s COMMISSION i 1283372 ORANGE COUNTY Mr Commission Exp.Dea 41M F:IFILES5WP511DLB1 MAIN PLCiAFFRDHSG AG4.1)OC osrze:os Page 4 of 4 ti LEGAL DESCRIPTION OF THE SITE That certain real property located in the City of Huntington Beach, County of Orange, State of California, more particularly described as: PARCEL 1 OF PARCEL MAP NO. 2000-207, AS SHOWN ON A MAP RECORDED IN BOOK 325, PAGES 35 TO 37, INCLUSIVE, OF MISCELLANEOUS MAPS, OFFICIAL RECORDS OF ORANGE COUNTY, CALIFORNIA. F:5F1LES',WPBI1DLB1MAINPLC'.AFFRDHSG AG4.DOC 08.128103 Attachment No. 1 x � f � . - r a F F: y 1 77, r a . s 3 , f 1 I A RECORDING REQUESTED BY: J AND WHEN RECORDED MAIL TO: } } City of Huntington Beach 2000 Main Street I Huntington Beach, CA 92660 } Attn: City Clerk } (Space Above for Recorder's Use) This Agreement is recorded at the request and for the benefit of the City of Huntington Beach and is exempt from the payment of fees pursuant to Government Code Section 6103. AMENDED AND RESTATED AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (AFFORDABLE RENTAL HOUSING) THIS AMENDED AND RESTATED AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Restated Agreement") is entered into as of the 1 st day of September, 2003, by and between the CITY OF HUNTINGTON BEACH, a municipal corporation ("City"), and MAIN PLACE APARTMENTS, LLC, a Delaware limited liability company ("Owner"). RECITALS A. Owner is fee owner of record of that certain real property (the "Site") located in the City of Huntington Beach, County of Orange, State of California legally described in the attached Exhibit "A." There are currently no residential housing units located on the Site. B. On November 28, 2000, the Planning Commission of City-approved Tentative Tract Map No. 15795, Coastal Development Permit No. 00-1 and Conditional Use Permit No. 00-68. City imposed conditions of approval on the project, requiring the provision of nineteen 0 9) affordable housing units in conjunction with the new development. C. On July 24, 2001, the Planning Commission of City approved Tentative Tract map No. 16192, Coastal Development Permit No. 01-01 and Conditional Use Permit No. 01-04. City imposed conditions of approval on the project, requiring the provision of seven (7) affordable housing units in conjunction with the new development. D. On or about October 15, 2001, PLC, a California general partnership and Owner's predecessor in interest, and City entered into that certain Agreement Containing Covenants Affecting Real Property (Affordable Rental Housing) and caused the same to be recorded on November 30, 2001, as Instrument No. 20010863183, in the Official Records of the County of Orange, State of California (the "Original Agreement"). q 40 f:IWP$i\DLB\MALNPLG1AffR6}ISG AG4.ppE 1 09/29/03 E. On or about September 16, 2002, PLC and the City entered into that certain Amended and Restated Agreement Containing Covenants Affecting Real Property (Affordable Rental Housing) amending and restating the Original Agreement, and caused the same to be recorded on November 15, 2002, as Instrument No. 2002001025951, in the Official Records of the County of Orange, State of California (the "Amended Agreement"). F. Owner and City now wish to amend and restate the Amended Agreement to reflect certain changes to the terms thereof, all as more particularly described herein. NOW, THEREFORE, BASED UPON THE FOREGOING RECITALS AND FOR GOOD AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH IS ACKNOWLEDGED BY BOTH PARTIES, CITY AND OWNER HEREBY AMEND AND RESTATE THE AMENDED AGREEMENT IN ITS ENTIRETY TO READ AS FOLLOWS: I. AFFORDABLE HOUSING. - (A) Number of Units. Owner agrees to make available, restrict occupancy to, and lease twenty-six (26) Affordable Units on the Site to "Low Income Households" at an "Affordable Rent" for the duration of the "Affordability Period" (as those terms are defined hereinbelow). Nothing in this Restated Agreement shall restrict Owner's right to select which of the twenty-nine (29) rental housing units on the Site shall be the Affordable Units and Owner may at its option change the location of the Affordable Units on the Site from time to time, provided.that a minimum of twenty-six (26) rental housing units shall be restricted as Affordable Units during the entire Affordability Period. As used in this Restated Agreement, the term "Low Income Household" shall mean persons and families whose income does not exceed eighty percent (80%) of Orange County median income, adjusted for family size, as determined by the United States Department of Housing and Urban Development ("HUD"), as set forth in the California Health and Safety Code Section 50079.5. As used in this Restated Agreement, the term "Affordable Rent" shall have the meaning set forth in Section I(D) hereinbelow. As used in this Restated Agreement, the term "Tenant" shall mean any person who rents or leases any portion of the Site or any person who is not a fee or equitable owner of any portion of the Site who uses the Site as his or her principal residence. For purposes of.this Restated Agreement, principal residence will be determined in the same manner as principal residence is determined for state residency under California Vehicle Code Section 516. (B) Duration of Affordability Re uirements. The Affordable Units shall be subject to the requirements of this Restated Agreement from the date of this Restated Agreement until the date that is thirty (30) years from the date the twenty-sixth (26th) Affordable Unit has been rented to a Low Income Household. City acknowledges that the residential dwelling units on the Site are not constructed as of the date this Restated Agreement and that the requirements of this Restated Agreement will be enforced by Owner as units are constructed and become available for rental to eligible households in the F:1WP511DL81MA1NPLCNAFFRDH5G AG4.DOC 2- 09l29103 ordinary course of business. The duration of this requirement shall be known as the "Affordability Period." As soon as the twenty-sixth (26th) Affordable Unit has been rented to a Low Income Household pursuant to this Restated Agreement, City and Owner shall cooperate in the recordation of a supplemental Memorandum confirming the expiration date of the .- Affordability Period. The form of the supplemental Memorandum is attached hereto as: Exhibit "B." (C) Income of Tenant. After the lease of any Affordable Unit to a Tenant, Owner shall submit to City a completed income computation and certification form, in such form as is generally used by City in administering its affordable housing program from time to time. Owner shall certify that to the best of its knowledge each Tenant of an Affordable Unit is a Low Income Household and meets the eligibility requirements established for the particular Affordable Unit occupied by such household. Owner shall obtain an income certification from each Tenant of an Affordable Unit and shall certify that, to the best of Owner's knowledge, the income of the Tenant is truthfully set forth in the income certification-form. Owner shall verify the income certification of the Tenant in one or more of the following methods as specifically requested by City: (1) Obtain two (2) paycheck stubs from the Tenant's two (2) most recent pay periods. (2) Obtain-a copy.of-an income tax return from the Tenant for the most recent tax year in.which a return was filed verified by the Tenant to.be true and. complete. (3) Obtain an income verification certification from the employer of the Tenant. (4) Obtain an income verification certification from the Social Security Administration and/or the California Department of Social Services if the Tenant receives assistance from such agencies. (5) Obtain an alternate form of income verification reasonably requested by City, if none of the above forms of verification is available to Owner. If, after renting an Affordable Unit to an eligible household, the household's income.increases above the income level permitted for that unit, the household shall . continue to be permitted to reside in such Affordable Unit. Subsequently, however, when the next residential rental unit on the Site becomes vacant and available for rent, the vacant unit shall become an Affordable Unit subject to the restrictions of this Restated Agreement (and subject to Owner's retained discretion to change the location of Affordable Units from time to time, as provided in Section I(A) herein). (D) Determination of Affordable Rent for the Affordable Units. The initial maximum monthly rental payment ("Affordable Rent") amount for the Affordable Units required to be leased to Low Income Households during their eligibility hereunder shall be as follows: f� q _? FAWP51%DLEhMAIHPLCWFR0HSG AG4.DOC 3 09/29/03 i • Number of Units Qualifying Income 9 Units Less than 60% OCMFI 9 Units Less than.70% OCMFI 8 Units Less than 800?o OCMFI The Affordable Rent amount for the Affordable Units shall be adjusted annually by the following formula upon the publication of revised Orange County median income figures by the United States Department of Housing and Urban Development: The Affordable Rent amount shall not exceed thirty percent (30°/) of eighty percent (80%) of the monthly area median income for three-person households as determined by California Health and Safety Code Section 50053. OWNER UNDERSTANDS AND KNOWINGLY AGREES THAT THE MAXIMUM RENTAL PAYMENTS TO BE ESTABLISHED BY THIS FORMULA ARE NOT NECESSARILY EQUAL TO THE FAIR MARKET RENT FOR THE AFFORDABLE UNITS, AND MAY BE ESTABLISHED AT A LEVEL SUBSTANTIALLY BELOW THE FAIR MARKET RENT LEVELS. OWNER HEREBY AGREES TO RESTRICT THE AFFORDABLE UNITS ACCORDINGLY. f Owner's Initials " (E) Annual Report. Within sixty (60) days after the end of each calendar year during the Affordability Period, Owner shall submit to City a report verifying Owner's compliance with the provisions of Section l(A)-(D) of this Restated Agreement. Owner's final annual report shall be submitted to City within sixty (60) days after the end of the Affordability Period. Each annual report shall identify the number and location of the Affordable Units for the applicable reporting period, the identity of each Tenant occupying an Affordable Unit during any portion of such period, the income and family size of each such Tenant, the Affordable Rent for each of the Affordable Units, and the actual contract rent actually charged. If City prescribes a particular form to be utilized by Owner in preparing the annual report, Owner shall utilize said form, provided that it complies substantially with the foregoing requirements.. II. NON-DISCRIMINATION. Owner, on behalf of itself and its successors, assigns, and each successor in interest to the Site or any part thereof, hereby further covenants and agrees during the Affordability Period: (A) Not to discriminate upon the basis of sex, marital status, race, color, creed, religion, national origin or ancestry in the sale, lease, sublease, transfer or rental, or in the use, occupancy, tenure, or enjoyment of any of the Affordable Units on the Site. Each and every lease and contract entered into with respect to any of the Affordable Units FAWP5Ik0LEWAINPLCIAFFRDHSG AG4.DOC 4 09129103 L� �� 0 on the Site during the Affordability Period shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: In leases: "The lessee herein covenants by and for itself, its successors and assigns, and all persons claiming under or through them, and this lease is made and . accepted upon and subject'to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons on account of sex, marital status, race, color, creed, religion, national origin, or ancestry, in the leasing, renting, subleasing, transferring, use, occupancy, tenure, or enjoyment of the land herein leased, nor shall the lessee itself, or any other person claiming under or through it, establish or permit such practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, sublessees, subtenants, or vendees in the land herein leased." In contracts: "There shall be no discrimination against or segregation of any persons or group of persons on account of sex, marital status, race, color, creed, religion, national origin, or ancestry in the sale, lease, rental, sublease, transfer, use, occupancy, tenure or enjoyment of the land, nor shall the transferee itself or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sublessees, or vendees of the land." Ill. USE RESTRICTIONS. During the Affordability Period, Owner shall be required to take all reasonable steps necessary to ensure that each Tenant of an Affordable Unit and all assignees and transferees of such Tenant have knowledge of all terms and conditions of this Restated Agreement by including in each and every lease and rental agreement a clause which incorporates this Restated Agreement by reference and makes this Restated Agreement a part of an attachment to such lease or rental agreement. In addition, during the Affordability Period, each lease for any of the Affordable Units on the Site shall contain provisions that the Affordable Unit shall be occupied, used, and maintained as follows: (A) the dwelling unit shall be used only for private dwelling purposes, with appurtenant facilities, and for no other purposes; (B) the maximum number of persons in a household .that may occupy any of the two-bedroom dwelling units may not exceed five (5); (C) the Tenant shall not permit or suffer anything to be done or kept upon the premises which will increase the rate of insurance on any building, or on the contents thereof, or impair the structural integrity thereof or which will obstruct or interfere with the rights of other occupants, or annoy them by reasonable noises or otherwise, nor shall any Tenant commit or permit any nuisance on the premises or fail to keep the premises free of rubbish, clippings, and trash or commit or suffer any illegal act to be committed thereon; ? (D) the Tenant shall comply with all of the lawful requirements of all FAWP51%DLB,MAINPLdAFFA0HSG AG4.00c 5 09/29103 governmental authorities with respect to the premises; (E) there shall be no structural alteration, construction, or removal of any building, fence, or other structure on the Site (other than repairs or rebuilding permitted herein) without the approval of City: (F) no person shall be permitted to occupy the premises for transient or. hotel purposes; and (G) the Tenant shall comply in all respects with this Restated Agreement and any failure by Be Tenant to comply with the terms of this Restated Agreement shall be a default under the Tenant's lease. IV. APPLICABLE LAW. (A) Owner shall maintain the Site in compliance with all applicable HUD Housing Quality Standards and City codes. (B) If any provision of this Restated Agreement or portion thereof, or the application to any person or circumstances, shall to any extent be held invalid, inoperative, or unenforceable, the remainder of this Restated Agreement, or the application of such provision or portion thereof to any other persons or circumstances, shall not be affected thereby, it shall not be deemed that any such invalid provision affects the consideration for this Restated Agreement; and each provision of this Restated Agreement shall be.va_iid and enforceable to the fullest extent permitted by law:. (C) This Restated Agreement shall be construed in accordance with the laws of the State of California. V. MISCELLANEOUS. (A) Binding on Successors and Assigns. The covenants and agreements established in this Restated Agreement shall, without regard to technical classification and designation, be binding on Owner and any successor to Owner's right, title, and interest in and to all or any portion of the Site, for the benefit of and in favor of the City of Huntington Beach. All the covenants contained in this Restated Agreement shall remain in effect for the Affordability Period, and shall automatically terminate and be of no further force or effect after such time. Upon expiration of the Affordability.Period, .City agrees to. cooperate with Owner, at no cost to City, in removing this Restated Agreement of record . from the Site. (6) Subordination to Trust Deeds. Notwithstanding any other provision in this Restated Agreement to the contrary, the covenants and agreements established in this Restated Agreement at all times shall be junior and subordinate to the lien of any mortgage or deed of trust recorded by or on behalf of a lender to secure a loan for the acquisition or improvement of the Site, including without limitation any deed of trust recorded concurrently herewith. City agrees at no expense to City, to execute such documents as may be reasonably requested by Owner, any successor or assign to Owner's right, title, and interest in and to all or any portion of the Site, or any lender of any such person FAWP51%DLEhMA1NPLC1AFFADHSG AG4.DOC 6 M29l03 . q0P i subordinating City's rights and interest under this Restated Agreement to the lien of any trust deed recorded or to be recorded by a lender securing a loan for the acquisition or improvement of the Site. Owner, Owner's successor or assign, or the benefited lender shall be responsible for preparing the document(s) creating such subordination of City's interest. [Balance of this page intentionally left blank] 1 � � t FAWP51%DLMMA1NPLGIAFFRDH3G AG4.DOC 7 09/29103 • IN WITNESS WHEREOF, City and Owner have executed this Restated Agreement Containing Covenants Affecting Real Property to be effective as of the date first written above. CITY: CITY OF HUNTINGTON BEACH, APPROVED AS TO FORM:- a municipal corporation r Mayor ny Attar ey ��/�A3� ,,'�$•�3 ATTEST: REVIEWED AND APPROVED: City Clerk City AdminIstrator INITI D AND APPROVED: DifMtor of Planning STATE OF CALIFORNIA ) . ) ss. COUNTY OF ORANGE } On , 2003, before me, , Notary Public, personally appeared , and personally known to me (or proven to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity/ies, and that by his/her/their signature(t) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature [SEAL] FAWP511DLMMA1NPLC%AFFRDHSG AG4.DOC S 09/29103 1 i OWNER: MAIN PLACE APARTMENTS, LLC, a Delaware limited liability.company By: Its: By: QY Its: 5�C.fLI�TPtR STATE OF CALIFORNIA } } ss. COUNTY OF ORANGE } On 0L , 2003, before me, 90befla M. KGM , Notary Public, personally appeared Dan!al Q'Rannon and personally known to me be the person(s) whose me(s) ' ar subscribed to the within instrument and acknowledged to me tha / ey a ecuted the same in hisf a heir a thorized capacityres,-and.that by t eir re(s) on the iristrurment the per on s), or the entity upon behalf of which the per on(s}'acted, executed the instrument: WITNESS my hand and official seal. Signature G Ccca�� [SEAL] OFFIVAL SI:AI. ROBERTA M.KERN NOTARY PUBLIC-CAU FORMA COMMISSION!#12M M .� ORANGE COUNTY My Commission EV.Dec.6,2M � r FAWP5110LMMAINPLCIAFFRDHSG AG4.DOC 9 09129/03 • s _ LEGAL DESCRIPTION OF THE SITE That certain real property located in the City of Huntington Beach, County of Orange, State of California, more particularly described as: PARCEL i OF PARCEL MAP NO. 2000-207, AS SHOWN ON A MAP RECORDED 1N BOOK 325, PAGES 35 TO 37, INCLUSIVE, OF MISCELLANEOUS MAPS, OFFICIAL RECORDS OF ORANGE COUNTY, CALIFORNIA. F:IFILESXWP511DLB1MAINPLC%AFFRDHSG AG4.DOC aWSM Exhibit "A" /i I RECORDING REQUESTED BY: } AND WHEN RECORDED MAIL TO: } } City of Huntington Beach } 2000 Main Street } Huntington Beach, CA 92660 } Attn: City Clerk } (Space Above for Recorder's Use) This Agreement is recorded at the request and for the benefit of the City of Huntington Beach and is exempt from the payment of fees pursuant to Government Code Section 6103. SUPPLEMENTAL MEMORANDUM REGARDING AMENDED AND RESTATED AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (AFFORDABLE RENTAL HOUSING) THIS SUPPLEMENTAL MEMORANDUM REGARDING AMENDED AND RESTATED AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Supplemental Memorandum") is entered into this _ day of , 200_, by and between the CITY OF HUNTINGTON BEACH, a municipal corporation ("City"), and MAIN PLACE APARTMENTS, LLC, a Delaware limited liability company ("Owner"). RECITALS A. Owner is fee owner of record of that certain real property (the "Site") located in the City of Huntington Beach, County of Orange, State of California legally described in Attachment No. 1 hereto. There are currently no residential housing units located on the Site. B. City and Owner have heretofore entered into that certain Amended and Restated Agreement Containing Covenants Affecting Real Property, dated as of September 1, 2003, with respect to the Site (the "Agreement"), a true and correct copy of which Agreement was recorded on , 200 , as Instrument No. in the Official Records of the Orange County Recorder's Office. C. Pursuant to Section I(B) of the Agreement, as soon as the twenty-sixth (26th) "Affordable Unit" was rented to a "Low Income Household" (as those terms are defined in the Agreement) on the Site, City and Owner agreed to cooperate in the recordation of this Supplemental Memorandum memorializing the expiration date of the "Affordability Period" (as that term is defined in the Agreement). D. City and Owner agree that the twenty-sixth (26th) Affordable Unit on the Site was rented to a Low Income Household on , 200—. NOW, THEREFORE, based upon the foregoing Recitals and for good and valuable F:',FILES1WP511DLB1MAINPLCSAFFRDHSG AG4.DOC Exhibit "B" oaf28;03 Page 1 of 4 consideration, the receipt and sufficiency of which is acknowledged by both parties, City and Owner agree as follows: 1 . The Affordability Period referred to in Section I(B) of the Agreement shall expire on , 20 [the thirtieth (30th) anniversary of the date that the twenty-sixth (26th) Affordable unit on the Site was rented to a Lower Income Household). 2. Upon the expiration of the Affordability Period, all of the provisions of the Agreement and this Supplemental Memorandum automatically shall become null and void and shall be of no further force or effect. At such time, City agrees, upon request and at no cost to City, to cooperate with Owner (including any successor or assign of the current owner's right, title and interest in and.to the Site) to record an appropriate document or documents releasing the Site form any covenants and restrictions set forth in the Agreement and this Supplemental Memorandum. The failure to record such a document or documents, however, shall not extend the duration of the Agreement or this Supplemental Memorandum beyond the expiration of the Affordability Period as provided herein. 3. . Except as expressly set forth herein, all of the terms of the Agreement shall remain in full force and effect and unmodified by the provisions of this Supplemental Memorandum. [signatures on next page] F:iFILES`.WP5I OLMIAAINPLC\AFFADHSG AG4,DOC Exhibit "B" 08128103 Page 2 of 4 IN WITNESS WHEREOF, City and Owner have executed this Agreement Containing Covenants Affecting Real Property to be effective as of the date first written above. CITY: CITY OF HUNTINGTON BEACH, APPROVED AS TO FORM: a municipal corporation Mayor ' City Attorney ATTEST: REVIEWED AND APPROVED: City Clerk City Administrator INITIATED AND APPROVED: Director of _Planning STATE OF CALIFORNIA ) } ss. COUNTY OF ORANGE ) On , 200 , before me, , Notary Public, personally appeared , and , personally known to me (or proven to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity/ies, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature [SEAL] F:�.FILF55WPSIkDLBiMAINPLC�AFFRDNSG AG4.DOC Exhibit "B" O 2a,oa Page 3 of 4 OWNER: MAIN PLACE APARTMENTS, LLC, a Delaware limited liability company By: Its: By: Its: STATE OF CALIFORNIA ] ss. COUNTY OF ORANGE ] On , 200_, before me, , Notary Public, personally appeared personally known to me (or proven to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacitylies, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature [SEAL] F:IFILESI,WP511DLB1MAINPLCIAFFRDHSG A64.DOC Exhibit "B" 08128;03 Page 4 of 4 LEGAL DESCRIPTION OF THE SITE That certain real property located in the City of Huntington Beach, County of Orange, State of California, more particularly described as: PARCEL 1 OF PARCEL MAP NO. 2000-207, AS SHOWN ON A MAP RECORDED IN BOOK 325, PAGES 35 TO 37, INCLUSIVE, OF MISCELLANEOUS MAPS_, OFFICIAL RECORDS OF ORANGE COUNTY, CALIFORNIA. F::FILES%WPS}1DLB4MAINPLCIAFFADHSG AG4.DDC 08t28,03 Attachment No. 1 CITY OF HUNTINGTON BEACH 2000 MAIN STREET CALIFORNIA 92648 OFFICE OF THE CITY CLERK CONNIE BROCKWAY GrrY CLERK January 7, 2004 Tom Daly, Recorder County Clerk-Recorder P.O. Box 238 Santa Ana, CA 92702 Enclosed please find the Supplemental Memorandum Regarding Amended and Restated Agreement Containing Covenants Affecting Real Property (Affordable Rental Housing) to be recorded. We are enclosing a copy of this document to be conformed. Please return the conformed copy when recorded to this office in the enclosed self-addressed stamped envelope. Connie Brockway, CMX City Clerk CB:pe Enclosures Re: Main Place Apartments(formerly PLC Siena Apts)N/W comer Main/Gothard G:/fol lowu p/deedslDeed LtrExceptio ns.doc (Telephone:71 R-53G$227) Re cordej in Official Records. County � Darlene Bloom, Clerk-Recorder of Orange RECORDING REQUESTED BY: ) AND WHEN RECORDED MAIL TO: ) it �'� �iill,:Il�u�ll�!!Ili!!Iii�f ;i+''l1'i11f!1111JII'NO FEE 200200102595109.26am 11/15/02 City of Huntington Beach ) 119 79 Al2 18 2000 Main Street ) 0.00 0.00 0.00 0.00 0.00 0-00 0.00 0.00 Huntington Beach, CA 92660 ) �� Attn: City Clerk (space Above for Recordees use) i This Agreement is recorded at the request and for the tgnaefit:of the City of Huntington Beach-and is exempt from the pEfment.of fees pursuant to Government Code Section 6103. C= j `'-1 AMENDED AND RESTATED =r AGREEMENT CONT41NIN0 COVENANTS AFFECTING REAL-PROPERTY ry (AFFORDABLE RENTAL HOUSING) THIS AMENDED AND RESTATED AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Agreement") is entered into this Ifizhiay of September , 2002, by and between the CITY OF HUNTINGTON BEACH, a municipal corporation ("City"), and PLC, a California general partnership ("Owner"). RECITALS A. Owner is fee owner of record of that certain real property (the "Site") located in the City of Huntington Beach, County of Orange, State of California legally described in the I� attached Exhibit "A." There are currently no residential housing units located on the Site. B. On November 28, 2000, the Planning Commission of City approved Tentative Tract Map No. 15795, Coastal Development Permit No. 00-1 and Conditional Use Permit No. 00-68. City imposed conditions of approval on the project, requiring the provision of nineteen (19) affordable housing units in conjunction with the new development. C. On July 24, 2001, the Planning Commission of City approved Tentative Tract map No. 16192, Coastal Development Permit No. 01-01 and Conditional Use Permit No. 01-04. City imposed conditions of approval on the project, requiring the provision of seven (7) affordable housing units in conjunction with the new development. D. On or about October 15, 2001, Owner and City entered into that certain Agreement Containing Covenants Affecting Real Property (Affordable Rental Housing) and caused the same to be recorded on November 30, 2001, as Instrument No. 20010863183, in the Official Records of the County of Orange, State of California (the "Original Agreement"). E. Owner and City now wish to amend and restate the Original Agreement to reflect certain changes to the terms thereof, all as more particularly described herein. NOW, THEREFORE, BASED UPON THE FOREGOING RECITALS AND FOR GOOD AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH IS F:SW P511DLB'BRDWALKAFFHSG3.DOG _ 0612a/02 ACKNOWLEDGED BY BOTH PARTIES, CITY AND OWNER HEREBY AMEND AND RESTATE THE ORIGINAL AGREEMENT IN ITS ENTIRETY TO READ AS FOLLOWS: I. AFFORDABLE HOUSING. (A) Number of l lnitG. Owner agrees to make available, restrict occupancy to, and lease twenty-six (26) Affordable Units on the Site to "Low Income Households" at an "Affordable Rent" for the duration of the "Affordability Period" (as those terms are defined hereinbelow). Nothing in this Agreement shall restrict Owner's right to select which of the twenty-nine (29) rental housing units on the Site shall be the Affordable Units and Owner may at its option change the location of the Affordable Units on the Site from time to time, provided that a minimum of twenty-six (26) rental housing units shall be restricted as Affordable Units during the entire Affordability Period. As used in this Agreement, the term "Low Income Household" shall mean persons and families whose income does not exceed eighty percent (80%) of Orange County median income, adjusted for family size, as determined by the United States Department of Housing and Urban Development ("HUD"), as set forth in the California Health and Safety Code Section 50079.5. As used in this Agreement, the term "Affordable Rent" shall have the meaning set forth in Section I(D) hereinbelow. As used in this Agreement, the term "Tenant" shall mean any person who rents or leases any portion of the Site or any person who is not a fee or equitable owner of any portion of the Site who uses the Site as his or her principal residence. For purposes of this Agreement, principal residence will be determined in the same manner as principal residence is determined for state residency under Califomia Vehicle Code Section 516. (B) Duration of Affordability Requirements. The Affordable Units shall be subject to the requirements of this Agreement from the date of this Agreement until the date that is thirty (30) years from the date the twenty-sixth (26th) Affordable Unit has been rented to a Low Income Household. City acknowledges that the residential dwelling units on the Site are not constructed as of the date this Agreement and that the requirements of this Agreement will be enforced by Owner as units are constructed and become available for rental to eligible households in the ordinary course of business. The duration of this requirement shall be known as the "Affordability Period." As soon as the twenty-sixth (26th) Affordable Unit has been rented to a Low Income Household pursuant to this Agreement, City and Owner shall cooperate in the recordation of a supplemental Memorandum confirming the expiration date of the Affordability Period. The form of the supplemental Memorandum is attached hereto as Exhibit "B." (C) Income of Tenant. After the lease of any Affordable Unit to a Tenant, Owner shall submit to City a completed income computation and certification form, in such form as is generally used by City in administering its affordable housing program from time to time. Owner shall certify that to the best of its knowledge each Tenant of an Affordable Unit is a Low Income Household and meets the eligibility requirements established for the particular Affordable Unit occupied by such household. Owner shall obtain an income certification from each Tenant of an Affordable Unit and shall certify that, to the best of Owner's knowledge, the R WP511DLBIBRDWALKAFFHSG3_DOC 06124,'02 2 income of the Tenant is truthfully set forth in the income certification form. Owner shall verify the income certification of the Tenant in one or more of the following methods as specifically requested by City: (1) Obtain two (2) paycheck stubs from the Tenant's two (2) most recent pay periods. (2) Obtain a copy of an income tax return from the Tenant for the most recent tax year in which a return was filed verified by the Tenant to be true and complete. (3). Obtain an-income verification certification from the employer of the Tenant. (4) Obtain an income verification certification from the Social Security Administration and/or the California Department of Social Services if the Tenant receives assistance from such agencies. (5) Obtain an alternate form of income verification reasonably requested by City, if none of the above forms of verification is available to Owner. If, after renting an Affordable Unit to an eligible household, the household's income increases above the income level permitted for that unit, the household shall continue to be permitted to reside in such Affordable Unit. Subsequently, however, when the next residential rental unit on the Site becomes vacant and available for rent, the vacant unit shall become an Affordable Unit subject to the restrictions of this Agreement (and subject to Owner's retained discretion to change the location of Affordable Units from time to time, as provided in Section I(A) herein). (D) netermination of AffordahlP Rent for the Aftnrdahle Unit, The initial maximum monthly rental payment ("Affordable Rent") amount for the Affordable Units required to be leased to Low Income Households during their eligibility hereunder shall be as follows: Number of Units Qualm 'ng Income initial Maximum Rental Payment 9 Units Less than 60% OCMFI $966.00 per month 9 Units Less than 70% OCMFI $1,136.00 per month 8 Units Less than 80% OCMFI $1,169.00 per month The Affordable Rent amount for the Affordable Units shall be adjusted annually by the following formula upon the publication of revised Orange County median income figures by the United States Department of Housing and Urban Development: The Affordable Rent amount shall not exceed thirty percent (30%) of eighty percent (80%) of the monthly area median income for four-person households as determined by California Health and Safety Code Section 50053. OWNER UNDERSTANDS AND KNOWINGLY AGREES THAT THE MAXIMUM RENTAL PAYMENTS TO BE ESTABLISHED BY THIS FORMULA ARE NOT NECESSARILY EQUAL TO THE FAIR MARKET RENT FOR THE AFFORDABLE UNITS, AND MAY BE ESTABLISHED AT A LEVEL SUBSTANTIALLY BELOW THE FAIR MARKET RENT LEVELS. F'iW P51':DL&SRDWALKAFF HSG3.DOC OWNER HEREBY AGREES TO RESTRICT THE AFFORDABLE UNITS ACCORDINGLY. 7di`J� Owner's nitials (E) Annual Renort. Within sixty (60) days after the end of each calendar year during the Affordability Period, Owner shall submit to City a report verifying Owner's compliance with the provisions of Section I(A)-(D) of this Agreement. Owner's final annual report shall be submitted to City within sixty (60) days after the end of the Affordability Period. Each annual report shall identify the number and location of the Affordable Units for the applicable reporting period, the identity of each Tenant occupying an Affordable Unit during any portion of such period, the income and family size of each such Tenant, the Affordable Rent for each of the Affordable Units, and the actual contract rent actually charged. If City prescribes a particular form to be utilized by Owner in preparing the annual report, Owner shall utilize said form, provided that it complies substantially with the foregoing requirements. II. NON-DISC IMINATION. Owner, on behalf of itself and its successors, assigns, and each successor in interest to the Site or any part thereof, hereby further covenants and agrees during the Affordability Period. (A) Not to discriminate upon the basis of sex, marital status, race, color, creed, religion, national origin or ancestry in the sale, lease, sublease, transfer or rental, or in the use, occupancy, tenure, or enjoyment of any of the Affordable Units on the Site. Each and every lease and contract entered into with respect to any of the Affordable Units on the Site during the Affordability Period shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: In leases: "The lessee herein covenants by and for itself, its successors and assigns, and all persons claiming under or through them, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons on account of sex, marital status, race, color, creed, religion, national origin, or ancestry, in the leasing, renting, subleasing, transferring, use, occupancy, tenure, or enjoyment of the land herein leased, nor shall the lessee itself, or any other person claiming under or through it, establish or permit such practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, sublessees, subtenants, or vendees in the land herein leased." In contracts: "There shall be no discrimination against or segregation of any persons or group of persons on account of sex, marital status, race, color, creed, religion, national origin, or ancestry in the sale, lease, rental, sublease, transfer, use, occupancy, tenure or enjoyment of the land, nor shall the transferee itself or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sublessees, or vendees of the land." F_,W p5 7,D L B,BR D W AL.K A,F FHSG3.D O C 06124IO2 4 III. USE RESTRICTIONS. During the Affordability Period, Owner shall be required to take all reasonable steps necessary to ensure that each Tenant of an Affordable Unit and all assignees and transferees of such Tenant have knowledge of all terms and conditions of this Agreement by including in each and every lease and rental agreement a clause which incorporates this Agreement by reference and makes this Agreement a part of an attachment to such lease or rental agreement. In addition, during the Affordability Period, each lease for any of the Affordable Units on the Site shall contain provisions that the Affordable Unit shall be occupied, used, and maintained as follows: (A) the dwelling unit shall be used only for private dwelling purposes, with appurtenant facilities, and for no other purposes; (B) the maximum number of persons in a household that may occupy any of the two-bedroom dwelling units may not exceed five (5); (C) the Tenant shall not permit or suffer anything to be done or kept upon the premises which will increase the rate of insurance on any building, or on the contents thereof, or impair the structural integrity thereof or which will obstruct or interfere with the rights of other occupants, or annoy them by reasonable noises or otherwise, nor shall any Tenant commit or permit any nuisance on the premises or fail to keep the premises free of rubbish, clippings, and trash or commit or suffer any illegal act to be committed thereon; (D) the Tenant shall comply with all of the lawful requirements of all governmental authorities with respect to the premises; (E) there shall be no structural alteration, construction, or removal of any building, fence, or other structure on the Site (other than repairs or rebuilding permitted herein) without the approval of City: (F) no person shall be permitted to occupy the premises for transient or hotel purposes; and (G) the Tenant shall comply in all respects with this Agreement and any failure by Be Tenant to comply with the terms of this Agreement shall be a default under the Tenant's lease. IV. APPI IC:ABLE I AW. (A) Owner shall maintain the Site in compliance with all applicable HUD Housing Quality Standards and City codes. (B) If any provision of this Agreement or portion thereof, or the application to any person or circumstances, shall to any extent be held invalid, inoperative, or unenforceable, the remainder of this Agreement, or the application of such provision or portion thereof to any other persons or circumstances, shall not be affected thereby, it shall not be deemed that any such invalid provision affects the consideration for this Agreement; and each provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law. F3WP51TL"RDWALK0F FHSG3_DOC 06/24/02 5 (C) This Agreement shall be construed in accordance with the laws of the State of California. V. (A) Binning nn Sumpssors and A,sslgns. The covenants and agreements established in this Agreement shall, without regard to technical classification and designation, be binding on Owner and any successor to Owner's right, title, and interest in and to all or any portion of the Site, for the benefit of and in favor of the City of Huntington Beach. All the covenants contained in this Agreement shall remain in effect for the Affordability Period, and shall automatically terminate and be of no further force or effect after such time. Upon expiration of the Affordability Period, City agrees to cooperate with Owner, at no cost to City, in removing this Agreement of record from the Site. (B) . Notwithstanding any other provision in this Agreement to the contrary, the covenants and agreements established in this Agreement at all times shall be junior and subordinate to the lien of any mortgage or deed of trust recorded by or on behalf of a lender to secure a loan for the acquisition or improvement of the Site, including without limitation any deed of trust recorded concurrently herewith. City agrees at no expense to City, to execute such documents as may be reasonably requested by Owner, any successor or assign to Owner's right, title, and interest in and to all or any portion of the Site, or any lender of any such person subordinating City's rights and interest under this Agreement to the lien of any trust deed recorded or to be recorded by a lender securing a loan for the acquisition or improvement of the Site. Owner, Owner's successor or assign, or the benefited lender shall be responsible for preparing the document(s) creating such subordination of City's interest. [Balance of this page intentionally left blank] F:SW P515DLB',BRDW ALK'AF F HSQ3.DOc 0612gi02 6 IN WITNESS WHEREOF, City and Owner have executed this Agreement Containing Covenants Affecting Real Property to be effective as of the date first written above. CITY: CITY OF HUNTINGTON BEACH, APPROVED AS TO FORM: a municipal corporation • 6"4�2 &eL ? ` Mayor City Attorney ATTEST: REVIEWEDUD APPROVED:eti� 1 �y '�e� 6, y r City Administrator O IN1T T D AND APPROVED: ire for of Pla ing STATE OF CALIFORNIA } ) SS. COUNTY OF ORANGE } On to , 2002, before me, �\k S , Notary Public, personally appeared yiEggim- cook and tr1Aklsvb personally known to me t4e4)asis-Gf mn to be the perso (s) whose n m (s) are ubscribed to the wit In instrument and ac;i) Wedged tome tha he xec to he same in I�isµiel� ei authorized capaci and that by he hei Signatur (s} on the instrument the perso (s) or the entity upon behof which the perso s} cted, executed the instrument. WITNESS my hand and official seal. Signature [SEAL] JEFFREY A. HUGHES Commission# 1373036 €j0MyCornm.E)q*e3 Notary Public - Califemlo Orange County Szp 2 2001► FAW P51.DLMBRDWAL"FFHSG3.DOG 06,24702 7 OWNER: PLC, a California general partnership By: PLC Holdings, a California general partnership as a general partner By: PACLACO, INC., a California corporation as its general partner c By. ltS ,Lca anie tSa[ non By: 66 Its Christopher Q. Gibbs By: TIL HUNTINGTON BEACH, LLC, a Delaware limited liability company, as a general partner By: LENNAR LAND PARTNERS II, a Florida general partnership, its managing member By: LENNAR HOMES OF CALIFORNIA, INC., a California corporatio its Attorney-in-Fact By: Its ce resi F:`:W P510LB%BRDWALKiAFFHSG3.DOC 06..'24102 8 STATE OF CALIFORNIA j ) ss. COUNTY OF ORANGE ) On 7 2002, before me, Rob@tt M. Kern , Notary Public, personally a eared aB8l'1nm and Christopher C. Gibbs , personally known to46the to be the person(s) whose name(s) ubscribed to the within instrument and acknowledged to me that hefshe ey xe same in hi�ef/ eir authorized capacitylies, and that by hi eir ignature(s) on the instrument the person(s), or the entity upon behalf of which the person(s acted, executed the instrument. WITNESS m hand and official seal. ROBERTA M.KERN r- COMM_# 1283372 Notary Rubric-California 2�- Or County V1 nr Comm.Expires -L Signature DEyCEMBER 6,2004 g [SEAL] STATE OF CALIFORNIA ) ) Ss. COUNTY OF ORANGE ) On a 2002, before me, Robe M. @Pn Notary Public, personally ap!Year-ed ION 5O FF O , personally known to me (er- wa to me ' er o ('s,Lwhose name i laf&subscribed he within instrument and acknowledged to me tha(�shettheq-executed the same in h' /heNffiei1=authorized capacity#es, and that b is hedtheif signatures) on the instrument the person(*,_or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. ROBERTA M.KERN *' COMM.# 1283372 Not Public-California 7lange County (1) M Comm.Expiras :► Signature DelEMBER 6x 2004 [SEAL] F:+.W P515DL8`BRD W ALKC,AFFHSG3.DOC 06i24r02 9 • EXHIBIT A LEGAI DESCRIPTION OF THE SITE That certain real property located in the City of Huntington Beach, County of Orange, State of California, more particularly described as: PARCEL 9 OF PARCEL MAP NO. 2000-207, AS SHOWN ON A MAP RECORDED IN BOOK 325, PAGES 35 TO 37, INCLUSIVE, OF MISCELLANEOUS MAPS, OFFICIAL RECORDS OF ORANGE COUNTY, CALIFORNIA. FAW P51 1DL&-BRDWALKAF FHSG3.DOC 06124!02 Exhibit "A" EXHIBIT B RECORDING REQUESTED BY: } AND WHEN RECORDED MAIL TO: ) City of Huntington Beach ) 2000 Main Street ) Huntington Beach, CA 92660 ) Attn: City Clerk ) (Space Above for Recorder's Use) This Agreement is recorded at the request and for the benefit of the City of Huntington Beach and is exempt from the payment of fees pursuant to Government Code Section 6103. SUPPLEMENTAL MEMORANDUM REGARDING AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (AFFORDABLE RENTAL HOUSING) T THIS SUPPLEMENTAL MEMORANDUM REGARDING AMENDED AND RESTATED AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Supplemental Memorandum") is entered into this_day of , 2002, by and between the CITY OF HUNTINGTON BEACH, a municipal corporation ("City"), and PLC, a California general partnership ("Owner"). RECITALS A. Owner is fee owner of record of that certain real property (the "Site") located in the City of Huntington Beach, County of Orange, State of California legally described in Attachment No. 1 hereto. There are currently no residential housing units located on the Site. B. On or about , 2002, City and Owner entered into that certain Amended and Restated Agreement Containing Covenants Affecting Real Property with respect to the Site (the "Agreement"), a true and correct copy of which Agreement was recorded on , 2002, as Instrument No. in the Official Records of the Orange County Recorder's Office. C. Pursuant to Section I(B) of the Agreement, as soon as the twenty-sixth (26th) "Affordable Unit"was rented to a "Low Income Household" (as those terms are defined in the Agreement) on the Site, City and Owner agreed to cooperate in the recordation of this Supplemental Memorandum memorializing the expiration date of the "Affordability Period" (as that term is defined in the Agreement). D.. City and Owner agree that the twenty-sixth (26th) Affordable Unit on the Site was rented to a Low Income Household on , 200i NOW, THEREFORE, based upon the foregoing Recitals and for good and valuable consideration, the receipt and sufficiency of which is acknowledged by both parties, City and Exhibit "B" RMP51TLB'%BRDWALIC,P.FFHSG3.DOC Page 1 Of 5 osizaroz g Owner agree as follows: 1. The Affordability Period referred to in Section I(B) of the Agreement shall expire on 120 [the thirtieth (30th) anniversary of the date that the twenty-sixth (26th) Affordable unit on the Site was rented to a Lower Income Household]. 2. Upon the expiration of the Affordability Period, all of the provisions of the Agreement and this Supplemental Memorandum automatically shall become null and void and shall.be of no further force-or effect. At such time, City agrees, upon request and at no cost to City, to cooperate with Owner (including any successor or assign of the current owner's right, title and interest in and to the Site) to record an appropriate document or documents releasing the Site form any covenants and restrictions set forth in the Agreement and this Supplemental Memorandum. The failure to record such a document or documents, however, shall not extend the duration of the Agreement or this Supplemental Memorandum beyond the expiration of the Affordability Period as provided herein. 3. Except as expressly set forth herein, all of the terms of the Agreement shall remain in full force and effect and unmodified by the provisions of this Supplemental Memorandum. [signatures on next page] Exhibit "B" FAWP51!.DLBIBRDWALKAF F HSG3.DOC Page 2 of 5 osl2A.ro2 g IN WITNESS WHEREOF, City and Owner have executed this Agreement Containing Covenants Affecting Real Property to be effective as of the date first written above. CITY: CITY OF HUNTINGTON BEACH, APPROVED AS TO FORM: a municipal corporation Mayor C%tVorney71 _� 3/0Z ATTEST: REVIEWED AND APPROVED: City Clerk City Administrator INITIATED AND APPROVED: Director of Planning STATE OF CALIFORNIA } ) ss. COUNTY OF ORANGE ) On , 200 before me, , Notary Public, personally appeared and personally known to me (or proven to me on the basis of satisfactory evidence) to be the person(s)whose name(s) islare subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacitylies, and that by hislherltheir signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature [SEAL] Exhibit "B" F:1WP51`.DL&..BRDWALK`AFFHSG3.DDC Page 3 of 5 06-24,'02 g OWNER: PLC, a California general partnership By: PLC Holdings, a California general partnership as a general partner By: PACLACO, INC., a California corporation as its general partner By: Its By: Its By: T/L HUNTINGTON BEACH, LLC, a Delaware limited liability company, as a general partner By: LENNAR LAND PARTNERS II, a Florida general partnership, its managing member By: LENNAR HOMES OF CALIFORNIA, INC., a California corporation, its Attorney-in-Fact By: Its Vice President Exhibit "B" F:'-.WP511DLwBRDWALK,AFFHSG3.DOC 06!24.,02 Page 4 of 5 STATE OF CALIFORNIA } ) ss. COUNTY OF ORANGE ) On , 200 before me, , Notary Public, personally appeared and , personally known to me (or proven to me on the basis of satisfactory evidence)-to-be-the-person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that helshelthey executed the same in his/her/their authorized capacitylies, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature [SEAL] STATE OF CALIFORNIA ) ) ss. COUNTY OF ORANGE ) On 1200_, before me, Notary Public, personally appeared , personally known to me (or proven to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacitylies, and that by hislherltheir signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature [SEAL] Exhibit "B" FAWP514DL69RDWALK-AFFHSG3.DOC o6lzarOz Page e 5 of 5 LEGAL nFSCRIPTION OF THE SITE That certain real property located in the City of Huntington Beach, County of Orange, State of California, more particularly described as: PARCEL 1 OF PARCEL MAP NO. 2000-207, AS SHOWN ON A MAP RECORDED IN BOOK 325, PAGES 35 TO 37, INCLUSIVE, OF MISCELLANEOUS MAPS, OFFICIAL RECORDS OF ORANGE COUNTY, CALIFORNIA. F:%-W P511DLB'tBRD W ALKAFFHSG3.DOC 06124M Attachment No. 1 OFFICE OF THE CITY CLERK CITY OF HUNTINGTON BEACH P. O: Box 190/2000 Main Street Huntington Beach, CA 92648 (714) 536-5227 (714) 374-1557 FAX LETTER OF TRANSINUTTAL OF ITEM APPROVED BY THE CITY COUNCIL/ REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH DATE: TO: ATTENTION: Name DEPARTMENT: Street REGARDING: City,State.2fp T� See Attached Action Agenda Item Lam_ Jr Date of Approval Enclosed For Your Records Is An Executed Copy Of The Above Referenced Agenda Item. Remarks: Connie Brockway City Clerk Attachments: Action Agenda Page ✓ Agreement t/ Bonds Insurance RCA Deed Other CC: Name Department RCA Agreement Insurance Bonds Name Department RCA Agreement Insurance Bonds Name Department RCA Agreement Insurance Bonds Name Department RCA Agreement Insurance Other Name Department RCA Agreement Insurance Other g 1followuplletters/oover{tr.doc Council/Agency Meeting Held: 09 Deferred/Continued to: Ap rove U Conditionally Approves! ❑ Denied bet- Cie Signature Council Meeting Date: September 16, 2002 Department ID Number: PL02-27 CITY OF HUNTINGTON BEACH , REQUEST FOR ACTION ,Y r : SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS_ ram; T SUBMITTED BY: RAY SILVER, City Administrator aor ' cz PREPARED BY: HOWARD ZELEFSKY, Director of Planning SUBJECT: APPROVE AMENDED AND RESTATED AFFORDABLE HOUSING AGREEMENT FOR PLC (Siena Apartments) Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attaclmnt(s) Statement of Issue: Transmitted for your consideration is a request by PLC to approve an amended and restated affordable housing agreement for a 29 unit apartment project at the northwest corner of Main and Gothard Streets. The original agreement was approved by the City Council to restrict 27 of the apartments to low income families for a period of 30 years. The agreement has been revised to restrict only 26 of the units as one of the affordable units is no longer required per City standards. Staff recommends that the City Council review and approve the amended and restated affordable housing agreement. Funding Source: Not applicable. Recommended Action: Motion to: "Approve the Amended and Restated Agreement Containing Covenants Affecting Real Property By and Between the City of Huntington Beach and PLC, and authorize the Mayor and City Clerk to sign, execute and record (Attachment No. 1).° Alternative Actions : The City Council may make the following alternative motion(s): "Continue the Amended and Restated Agreement Containing Covenants Affecting Real Property By and Between the City of Huntington Beach and PLC, and direct staff accordingly." MEETING DATE: September 16, 2002 DEPARTMENT ID NUMBER: PL02-27 Analysis: A. PROJECT PROPOSAL: Applicant: PLC, 19 Corporate Plaza Dr., Newport Beach, CA 92660 Location: Northwest corner of Main and Gothard Streets The amended affordable housing agreement will restrict 26 units in the Siena Apartment project to low income households for a period of 30 years (Attachment No. 1). The original agreement restricted 27 units (Attachment No. 2). The Siena Apartment project was approved by the Planning Commission on June 12, 2001. The apartment project consists of 29 two-bedroom units, either 986 or 1,148 square feet in size; each unit has a two-car garage. B. STAFF ANALYSIS AND RECOMMENDATION: The original affordable housing agreement was established to meet PLC's affordable housing requirements for three market-rate projects: The Boardwalk single and multi-family components (253 total units) and Rulon Court (four units). Based on the City of Huntington Beach requirement for the equivalent of 10 percent of a project's units to be provided as affordable housing, PLC was required to restrict 27 units (26 units for Boardwalk and 1 unit for Rulon Court). The City Council approved the affordable housing agreement on October 15, 2001, and the agreement was recorded on November 30, 2001. Subsequently, during rough grading at the Rulon Court site an additional trace of the Newport-Inglewood Fault was discovered, which had not been detected during the initial Alquist-Priolo trenching of the site. After investigation by PLC's geotechnical consultant, the fault trace was deemed to be potentially active, which affects the previously recommended fault setback. Based upon the resulting information, PLC decided to abandon the project. Because the four units will not be built, one of the affordable housing units is no longer required. Thus, the amended and restated agreement reflects that only 26 units at the Siena Apartment project will be restricted to low-income affordable buyers; the remaining three units will be rented at market rates. The other terms of the agreement have not changed from what was originally approved other than an adjustment to the maximum rents to reflect the 2002 Orange County Median Income data now available. The proposed agreement is consistent with standard affordable housing agreements prepared by the City Attorney's Office and has been reviewed by the Economic Development Department. Therefore, staff recommends the City Council approve the agreement. PL02-27 -2- 9/5/2002 10:30 AM 0 MEETING DATE: Septmber 16, 2002 DEPARTMENT ID NUMBER: PL02-27 Environmental Status: The subject request is not subject to the California Environmental Quality Act pursuant to Section 15061 (b) (3). Attachment(s]: City Clerk's Page Number No. Description 1. Amended and Restated Affordable Housing Agreement 2. 1 Original Affordable Housin Agreement RCA Authors: MBB PL02-27 -3- 8/23/2002 9:46 AM CITY OF HUNTINGTON BEACH 2000 MAIN STREET CALIFORNIA 92648 OFFICE OF THE CITY CLERK CONNIE BROCKWAY CITY CLERK October 14, 2002 Darlene J. Bloom County Clerk-Recorder P. O. Box 238 Santa Ana, CA 92702 Enclosed please find a Amended and Restated Agreement Containing Covenants Affecting Rea!Property to be recorded and returned to the City of Huntington Beach, Office of the City Clerk, 2000 Main Street, Huntington Beach, CA 92648. Please return'a conformed copy-ofAgreement'Containing Covenants when recorded to this office in the enclosed self=addressed stamped envelope, Thank-you. Connie Brockway, CIVIC City Clerk Enclosures (Telephone:714-536-5227) Recorded in Official Records, County of Orange Gary Granville,Clerk-Recorder 4flllC,lllllilllllllllll?llil'111i11ii111II11I11111�0 FEE RECORDING REQUESTED BY: 20010$083 a4;30Pm JV3 AND WHEN RECORDED MAIL TO: ) 112 45 Ay2 16 0.00 0.00 0.00 0.00 City of Huntington Beach Q.QI] D.00 0.00 �.o� 2000 Main Street ) Huntington Beach, CA 92666 ) Attn: City Clerk } (Space Above for Reaor(sees Use) -This Agreement is recorded at the request and for the benefit _ of the City of Huntington Beach and is exempt from the payment of fees pursuant to Government Code Section 6103. AGREEMENT CONTAINING r-OVENA_ _NTSAFFECTING REAL PROPERTY (AFFORDABLE RENTAL HOUSING) THIS AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Agreement") is entered into this 15 day of October , 2001, by and -" between the CITY OF HUNTINGTON BEACH, a municipal corporation ("City"), and PLC, a California general partnership ("Owner"). RECITALS ' A. Owner is fee owner of record of that certain real property (the "Site") located in the City of Huntington Beach, County of Orange, State of California legally described in the attached Exhibit "A." There are currently no residential housing units located on the Site. B. On November 14, 2000, the Planning Commission of City approved Tentative Parcel Map No. 00-128 and Conditional Use Permit No. 00-07. City imposed conditions of approval on the project, requiring the provision of one (1) affordable housing unit in conjunction with the new development. C. On November 28, 2000, the Planning Commission of City approved Tentative Tract Map No. 15795, Coastal Development Permit No. 00-1 and Conditional Use Permit No. 00-68_ City imposed conditions of approval on the project, requiring the provision of nineteen (19) affordable housing units in conjunction with the new development. D. On July 24, 2001, the Plannning Commission of City approved Tentative Tract Map No. 16192, Coastal Development Permit No. 01-01 and Conditional Use Permit No. 01-04. City imposed conditions of approval on the project, requiring the provision of seven (7) affordable housing units in conjunction with the new development. NOW, THEREFORE, BASED UPON THE FOREGOING RECITALS AND FOR GOOD AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH IS ACKNOWLEDGED BY BOTH PARTIES, CITY AND OWNER AGREE AS FOLLOWS: F A W P 510L B 46 R D WALKIA FF R D HSGA G 2 07/24/01 f. AFFORDABLE HOUSING. (A) NuMber of Units. Owner agrees to make available, restrict occupancy to, and lease twenty-seven (27) Affordable Units on the Site to "Low Income Households" at an "Affordable Rent" for the duration of the "Affordability Period" (as those terms are defined hereinbelow). Nothing in this Agreement shall restrict Owner's right to select which of the twenty-nine (29) rental housing units on the Site shall be the Affordable Units and Owner may at its option change the location of the Affordable Units on the Site from time to time, provided that a minimum of twenty-seven (27) rental housing units shall be restricted as Affordable Units during the entire Affordability Period. As used in this Agreement, the term "Low Income Household" shall mean persons and families whose income does not exceed eighty percent (80%) of Orange County median income, adjusted for family size, as determined by the United States Department of Housing and Urban Development ("HUD"), as set forth in the California Health and Safety Code Section 50079.5. As used in this Agreement, the term "Affordable Rent"shall have the meaning set forth in Section 1(D) hereinbelow. As used in this Agreement, the term "Tenant" shall mean any person who rents or leases any portion of the Site or any person who is not a fee or equitable owner of any portion of the Site who uses the Site as his or her principal residence. For purposes of this Agreement, principal residence will be determined in the same manner as principal residence is determined for state residency under California Vehicle Code Section 516. (B) Duration of Affordability Requirements. The Affordable Units shall be subject to the requirements of this Agreement from the date of this Agreement until the date that is thirty (30) years from the date the twenty-seventh (27th) Affordable Unit has been rented to a Low Income Household_ City acknowledges that the residential dwelling units on the Site are not constructed as of the date this Agreement and that the requirements of this Agreement will be enforced by Owner as units are constructed and become available for rental to eligible households in the ordinary course of business. The duration of this requirement shall be known as the "Affordability Period." As soon as the twenty-seventh (27th)Affordable Unit has been rented to a Low Income Household pursuant to this Agreement, City and Owner shall cooperate in the recordation of a supplemental Memorandum confirming the expiration date of the Affordability Period. The form of the supplemental Memorandum is attached hereto as Exhibit "B."/ (C) Income of Jonant. After the lease of any Affordable Unit to a Tenant, Owner shall submit to City a completed income computation and certification form, in such form as is generally used by City in administering its affordable housing program from time to time. Owner shall certify that to the best of its knowledge each Tenant of an Affordable Unit is a Low Income Household and meets the eligibility requirements established for the particular Affordable Unit occupied by such household. Owner shall obtain an income certification from F.1WP511DLB%BRDWALMFFRDHSG.AG2 07124101 2 s • each Tenant of an Affordable Unit and shall certify that, to the best of Owner's knowledge, the income of the Tenant is truthfully set forth in the income certification form. Owner shall verify the income certification of the Tenant in one or more of the following methods as specifically requested by City: (1) Obtain two (2) paycheck stubs from the Tenant's two (2) most recent pay periods. (2) Obtain a copy of an income tax return from the Tenant for the most recent tax year in which a return was filed verified by the Tenant to be true and complete. (3) Obtain an income verification certification from the employer of the Tenant. (4) Obtain an income verification certification from the Social Security Administration and/or the California Department of Social Services if the Tenant receives assistance from such agencies. (5) Obtain an alternate form of income verification reasonably requested by City, if none of the above forms of verification is available to Owner. If, after renting an Affordable Unit to an eligible household, the household's income increases above the income level permitted for that unit, the household shall continue to be permitted to reside in such Affordable Unit. Subsequently, however, when the next residential rental unit on the Site becomes vacant and available for rent, the vacant unit shall become an Affordable Unit subject to the restrictions of this Agreement(and subject to Owner's retained discretion to change the location of Affordable Units from time to time, as provided in Section I(A) herein). (D) Determination of ffmdable Rent for the Affordable Units. The initial maximum monthly rental payment ("Affordable Rent") amount for the Affordable Units required to be leased to Low Income Households during their eligibility hereunder shall be as follows: 0ua10fying Income Initial Maximum Renta2a=w2 9 Units Less than 60% OCMFI $928.00 per month 9 Units Less than 70% OCMFI $1,094.00 per month 9 Units Less than 80% OCMF1 $1,259.00 per month The Affordable Rent amount for the Affordable Units shall be adjusted annually by the following formula upon the publication of revised Orange County median income figures by the United States Department of Housing and Urban Development: The Affordable Rent amount shall not exceed thirty percent (30%) of eighty percent (80%) of the monthly area median income for three-person households as determined by California Health and Safety Code Section 50053. F;%Vh'P511DLB18RD WALKIAFFRDHSG.AG2 07/24/01 .3 OWNER UNDERSTANDS AND KNOWINGLY AGREES THAT THE MAXIMUM RENTAL PAYMENTS TO BE ESTABLISHED BY THIS FORMULA ARE NOT NECESSARILY EQUAL TO THE FAIR MARKET RENT FOR THE AFFORDABLE UNITS, AND MAY BE ESTABLISHED AT A LEVEL SUBSTANTIALLY BELOW THE FAIR MARKET RENT LEVELS. OWNER HEREBY AGREES TO RESTRICT THE AFFORDABLE UNITS ACCORDINGLY. o- Ow f is Init Is (E) Annual Rem. Within sixty (60) days after the end of each calendar year during the Affordability Period, Owner small submit to City a report verifying Owner's compliance with the provisions of Section I(A)-(D) of this Agreement. Owner's final annual report shall be submitted to City within sixty (60) days after the end of the Affordability Period. Each annual report shall identify the number and location of the Affordable Units for the applicable reporting period, the identity of each Tenant occupying an Affordable Unit during any portion of such period, the income and family size of each such Tenant, the Affordable Rent for each of the Affordable Units, and the actual contract rent actually charged. If City prescribes a particular form to be utilized by Owner in preparing the annual report, Owner shall utilize said form, provided that it complies substantially with the foregoing requirements. II. NON-DISCRIMINATION. Owner, on behalf of itself and its successors, assigns, and each successor in interest to the Site or any part thereof, hereby further covenants and agrees during the Affordability Period: (A) Not to discriminate upon the basis of sex, marital status, race, color, creed, religion, national origin or ancestry in the sale, lease, sublease, transfer or rental, or in the use, occupancy, tenure, or enjoyment of any of the Affordable Units on the Site. Each and every lease and contract entered into with respect to any of the Affordable Units on the Site during the Affordability Period shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: In leases: "The lessee herein covenants by and for itself, its successors and assigns, and all persons claiming under or through them, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons on account of sex, marital status, race, color, creed, religion, national origin, or ancestry, in the leasing, renting, subleasing, transferring, use, occupancy, tenure, or enjoyment of the land herein leased, nor shall the lessee itself, or any other person claiming under or through it, establish or permit such practices of discrimina#ion or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, FAWA511DL8iBRD WAUMFFRDHSG.AG2 07I24l01 4 sublessees, subtenants, or vendees in the land herein leased." In contracts: "There shall be no discrimination against or segregation of any persons or group of persons on account of sex; marital status, race, color, creed, religion, national origin, or ancestry in the sale, lease, rental, sublease, transfer, use, occupancy, tenure or enjoyment of the land, nor shall the transferee itself or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sublessees, or vendees of the land." 111. . LLSE RESTRICTIONS. During the Affordability Period, Owner shall be required to take all reasonable steps necessary to ensure that each Tenant of an Affordable Unit and all assignees and transferees of such Tenant have knowledge of all terms and conditions of this Agreement by including in each and every lease and rental agreement a clause which incorporates this Agreement by reference and makes this Agreement a part of an attachment to such lease or rental agreement. In addition, during the Affordability Period, each lease for any of the Affordable Units on the Site shall contain provisions that the Affordable Unit shall be occupied, used, and maintained as follows: (A) the dwelling unit shall be used only for private dwelling purposes, with appurtenant facilities, and for no other purposes; (8) the maximum number of persons in a household that may occupy any of the two-bedroom dwelling units may not exceed five (5); (C) the Tenant shall not permit or suffer anything to be done or kept upon the premises which will increase the rate of insurance on any building, or on the contents thereof, or impair the structural integrity thereof or which will obstruct or interfere with the rights of other occupants, or annoy them by reasonable noises or otherwise, nor shall any Tenant commit or permit any nuisance on the premises or fail to keep the premises free of rubbish, clippings, and trash or commit or suffer any illegal act to be committed thereon; (D) the Tenant shall comply with all of the lawful requirements of all governmental authorities with respect to the premises; (E) there shah be no structural alteration, construction, or removal of any building, fence, or other structure on the Site (other than repairs or rebuilding permitted herein) without the approval of City: (F) no person shall be permitted to occupy the premises for transient or hotel purposes; and (G) the Tenant shall comply in all respects with this Agreement and any failure by Be Tenant to comply with the terms of this Agreement shall be a default under the F:l4NIPS 11DLB1BRO WALK%FFRDHSG.AG2 07124101 5 s � Tenant's lease. IV. (A) Owner shall maintain the Site in compliance with all applicable HUD Housing Quality Standards and City codes. (B) If any provision of this Agreement or portion thereof, or the application to any person or circumstances, shall to any extent be held invalid, inoperative, or unenforceable, the remainder of this Agreement, or the application of such provision or portion thereof to any other persons or circumstances, shall not be affected thereby, it shall not be deemed that any such invalid provision affects the consideration for this Agreement; and each provision of this Agreement shalt be valid and enforceable to the fullest extent permitted by law. (C) This Agreement shall be construed in accordance with the laws of the State of California. V. MISCEIIANEO 1S. (A) Binding on Successors-and Assigns. The covenants and agreements established in this Agreement shall, without regard to technical classification and designation, be binding on Owner and any successor to Owners right, title, and interest in and to all or any portion of the Site, for the benefit of and in favor of the City of Huntington Beach. All the covenants contained in this Agreement shall remain in effect for the Affordability Period, and shall automatically terminate and be of no further force or effect after such time. Upon expiration of the Affordability Period, City agrees to cooperate with Owner, at no cost to City, in removing this Agreement of record from the Site. (B) Subordinatinn to Trust Deeds. Notwithstanding any other provision in this Agreement to the contrary, the covenants and agreements established in this Agreement at all times shall be junior and subordinate to the lien of any mortgage or deed of trust recorded by or on behalf of a lender to secure a loan for the acquisition or improvement of the Site, including without limitation any deed of trust recorded concurrently herewith. City agrees at no expense to City, to execute such documents as may be reasonably requested by Owner, any successor or assign to Owner's right, title, and interest in and to all or any portion of the Site, or any lender of any such person subordinating City's rights and interest under this Agreement to the lien of any trust deed recorded or to be recorded by a lender securing a loan for the acquisition or improvement of the Site. Owner, Owners successor or assign, or the benefited lender shall be responsible for preparing the document(s) creating such subordination of City's interest. [Balance of this page intentionally left blank] F A W P511O L 8 W R D W A LKW FR D HS G.AG 2 07l24101 IN WITNESS WHEREOF, City and Owner have executed this Agreement Containing Covenants Affecting Real Property to be effective as of the date first written above. CITY: CITY OF HUNTINGTON BEACH, APPROVED AS TO FORM: a municipal corporation Mayor Cit Attorney Jj-c ATTEST: REVIEWED AND APPROVED: City Clerk City Admi Istrator INITIATPqAND APPROVED: bir ctor of Planning STATE OF CALIFORNIA ) ) ss. COUNTY OF ORANGE } On !P/aele.-4,6e. S , 2001, before me, Notary Public, personally appeared and personally known to me to be the person(s) whose name(s) Aare subscribed to the within instrument and acknowledged to me that /they executed the same in hff/their authorized capacitylies, and that by *~their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature [SEAL] VIRGINIA it. MELTON Commbston!12PO573 "O CWffixygo a�C&Aty M,Camn.e�s�ant�aIIS F:5WP511DLBl9RD WALKIAFFRDHSG.AG2 07/24/01 7 OWNER: PLC, a California general partnership By: PLC Holdings, a California general partnership as a general partner By: PACLACO, INC., a California corporation as its general partner By: Its 3 By: Its d'rc-0- P ir'-fo—w- - By: TIL HUNTINGTON BEACH, LLC, a Delaware limited liability company, as a general partner By: LENNAR LAND PARTNERS 11, a Florida general partnership, its managing member By: LENNAR HOMES OF CALIFORNIA, INC., a California corporat' n, its Attorney-in-Fact By: I It Vice res nt FAWP511DL8 aRDWAL"FFRDHSG.AG2 07/24/01 • i STATE OF CALIFORNIA ) ) ss. COUNTY OF ORANGE } On =��IlYLUCI4, 2001, before me, , Notary Public, personally appeared CInri$k:�2h orr C ('��r.>bs and 1-)3y)iP l )' c f-► - , personally known to me -basi•s-of to be the person(s§jwhose name(s)Ware subscribed to the within instrument and acknowledged to me that he4Wthev executed the same in hieAieNtheir authorized capacitylin and that by hic~their signature(s) on the instrument the person, or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. IQSSANDRA SCOTT S CommMIDn#1223699 Signature - X �► Nofa y FLM-Canknjo _ STATE OF CALIFORNIA } ) ss. COUNTY OF ORANGE ) On t , 2001, before me, y , Notary Public, personally app ared ?on-g3 ,-"A M.SQL , personally known to me (eleven ) to be the person0%) wh se name(k) is subscribed to the within instrument and acknowledged to me that he executed the same in is - authorized capacityhj?% and that by(5j her-Ftkieir signature.(* on the instrument-he personN), or the entity upon behalf of which the person('4 acted, executed the instrument. WITNESS my hand and official seal. DEE rA. M= corrnnrsdor:&12577fy NolaYftbk--Cadkmb Signature [S QWCCrnMF gj P4Ajprj92M$ F:1WP51 UXMRD WAUMFFRDHSG.AG2 D7124101 LEGAL_ DESCRIPTInN OF THE SITE That certain real property located in the City of Huntington Beach, County of Orange, State of California, more particularly described as: PARCH A: LOTS 23 TO 27, INCLUSIVE, IN BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS SHOWN ON A MAP THEREOF RECORDED IN BOOK 7, PAGES 27 AND 28 OF MISCELLANEOUS MAPS, RECORDS OF SAID COUNTY, CALIFORNIA PARCE1 R-1: THE NORTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING PARALLEL WITH THE SOUTH LINE OF SAID LOT 20. PARQFL g-?: THE SOUTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING PARALLEL WITH THE SOUTH LINE OF SAID LOT 20. F:IWP511DLB%BRD WALKIAFFRDH&G.AG2 07/24/01 Exhibit"A' RECORDING REQUESTED BY: ) AND WHEN RECORDED MAIL TO: ) ) City of Huntington Beach ) 200D Main Street ) Huntington Beach, CA 92660 ) Attn: City Clerk } (Space Above for Recorder's Else) This Agreement is recorded at the request and for the benefit of the City of Huntington Beach and is exempt from the payment of fees pursuant to Government Code Section 6103. St JPPI F_MENIALFMQgAMD tM RFGARDING (AFFORDABLE RENTAL HOUSING) THIS SUPPLEMENTAL MEMORANDUM REGARDING AGREEMENT CONTAINING COVENANTS AFFECTING REAL, PROPERTY (the "Supplemental Memorandum") is entered into this day of , 2001, by and between the CITY OF HUNTINGTON BEACH, a municipal corporation ("City"), and PLC, a California general partnership ("Owner"). RECITALS A. Owner is fee owner of record of that certain real property (the "Site") located in the City of Huntington Beach, County of Orange, State of California legally described in Attachment No. 1 hereto. There are currently no residential housing units located on the Site. B. On or about , 2001, City and Owner entered into that certain Agreement Containing Covenants Affecting Real Property with respect to the Site (the "Agreement"), a true and correct copy of which Agreement was recorded on 2001, as Instrument No. in the Official Records of the Orange County Recorder's Office. C. Pursuant to Section I(B) of the Agreement, as soon as the twenty-seventh (27th) "Affordable Unit"was rented to a "Low Income Household" (as those terms are defined in the Agreement) on the Site, City and Owner agreed to cooperate in the recordation of this Supplemental Memorandum memorializing the expiration date of the "Affordability Period" (as that term is defined in the Agreement). D. City and Owner agree that the twenty-seventh (27th) Affordable Unit on the Site was rented to a Low Income Household on , 200 Exhibit "B" G7z P5I0L8%BRD14ALKVFFRDHSG.,AG2 page 1 of 5 NOW, THEREFORE, based upon the foregoing Recitals and for good and valuable consideration, the receipt and sufficiency of which is acknowledged by both parties, City and Owner agree as follows: 1. The Affordability Period referred to in Section l(B) of the Agreement shall expire on , 24 (the thirtieth (30th) anniversary of the date that the twenty-seventh (27th) Affordable unit on the Site was rented to a lower Income Household]. 2. Upon the expiration of the Affordability Period, all of the provisions of the Agreement and this Supplemental Memorandum automatically shall become null and void and shall be of no further force or effect. At such time, City agrees, upon request and at no cost to City, to cooperate with Owner(including any successor or assign of the current owner's right, title and interest in and to the Site) to record an appropriate document or documents releasing the Site form any covenants and restrictions set forth in the Agreement and this Supplemental Memorandum. The failure to record such a document or documents, however, shall not extend the duration of the Agreement or this Supplemental Memorandum beyond the expiration of the Affordability Period as provided herein. 3. Except as expressly set forth herein, all of the terms of the Agreement shall remain in full force and effect and unmodified by the provisions of this Supplemental Memorandum. [signatures on next page] Exhibit'B" FAWP %DL50RDWALKWFFRDHSG.AG2 07124JOI Page 2 of 5 IN WITNESS WHEREOF, City and Owner have executed this Agreement Containing Covenants Affecting Real Property to be effective as of the date first written above. CITY: CITY OF HUNTINGTON BEACH, APPROVED AS TO FORM: a municipal corporation Mayor City Attorney ATTEST: REVIEWED AND APPROVED: City Clerk City inistrator } INITIAT80 AND APPROVED: Director of Planning STATE OF CALIFORNIA ) ) Ss- COUNTY OF ORANGE ) On , 2001, before me, , Notary Public, personally appeared , , and personally known to me (or proven to me on the basis of satisfactory evidence)to be the person(s)whose name(s) is/are subscribed to the within instrument and acknowledged to me that Ile/she/they executed the same in his/her/their authorized capacityries, and that by his/herltheir signature(s) on the instrument the person(s), or the entity upon behalf of which the persons) acted, executed the instrument. WITNESS my hand and official seal. Signature {SEAL) Exhibit"B" F�WPSIZL6',BROWALKV.FFrRCHSG.AGZ Page 3 of 5 OWNER: PLC, a California general partnership By: PLC Holdings, a California general partnership as a general partner By: PACLACO, INC., a California corporation as its general partner By: Its By: Its By: T/L HUNTINGTON BEACH, LLC a Delaware limited liability company, as a general partner By: LENNAR LAND PARTNERS il, a Florida general partnership, its managing member By: LENNAR HOMES OF CALIFORNIA, INC., a California corporation, its Attorney-in-Fact By: Its Vice President Exhibit'B" F:1WP51QL818RpWALKWFR0NSGAG2 07l24i0] Page 4 of 5 STATE OF CALIFORNIA ) ) ss. COUNTY OF ORANGE ) On , 2001, before me, , Notary Public, personally appeared and , personally known to me (or proven to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that helshelthey executed the same in hislherltheir authorized capacitylies, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS may hand and official sea]. Signature [SEAL] STATE OF CALIFORNIA ) ) ss. COUNTY OF ORANGE ) On , 2001, before me, , Notary Public, personally appeared _ _ _ , personally known to me (or proven to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that helshelthey executed the same in his/her/their authorized capacitylies, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS may hand and official seat. Signature [SEAL) Exhibit "B" F:1W P51ZLBMRDWALK\AFFRnHSGAG2 07/24/01 Page 5 of 5 LEGAL DESCRIPTION QF THE SITE That certain real property located in the City of Huntington Beach, County of Orange, State of Califomia, more particularly described as: PARCFL A: LOTS 23 TO 27, INCLUSIVE, 1N BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS SHOWN ON A MAP THEREOF RECORDED IN BOOK 7, PAGES 27 AND 28 OF MISCELLANEOUS MAPS, RECORDS OF SAID COUNTY, CALIFORNIA PARCEL R-1: THE NORTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK"B"OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING PARALLEL WITH THE SOUTH LINE OF SAID LOT 20- PARCEL 13-2: THE SOUTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK"B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING PARALLEL WITH THE SOUTH LINE OF SAID LOT 20. F'WJP5 t 1DLS)B RD W AL KW,F F RD HS G A G Z 07/24lat Attachment No. 1 Recorded in Official R% s, County of Orange Gary Gr anville, Clerk-Reorder IIIli4111111[fil4fffl114141111{11111i1i1��lili4lliill�IttNO FEE RECORDING REQUESTED BY: 20010863183 0430pm 11130101 AND WHEN RECORDED MAIL TO: ) 112 45 q12 16 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 City of Huntington Beach ) 2000 Main Street Huntington Beach, CA 9 — Attn: City Clerk ) (Space Above for Recorder's use) This Agreement is recorded at the request and for the benefit of the City of Huntington Beach and is exempt from the payment of fees pursuant to Government Code Section 6103. AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (AFFORDABLE RENTAL HOUSING) THIS AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Agreement") is entered into this 15 day of October , 2001, by and between the CITY OF HUNTINGTON BEACH, a municipal corporation ("City"), and PLC, a California general partnership ("Owner'). RECITALS A. Owner is fee owner of record of that certain real property (the "Site") located in the City of Huntington Beach, County of Orange, State of California legally described in the attached Exhibit "A." There are currently no residential housing units located on the Site. B. On November 14, 2000, the Planning Commission of City approved Tentative Parcel Map No. 00-128 and Conditional Use Permit No. 00-07. City imposed conditions of approval on the project, requiring the provision of one (1) affordable housing unit in conjunction with the new development. C. On November 28, 2000, the Planning Commission of City approved Tentative Tract Map No. 15795, Coastal Development Permit No. 00-1 and Conditional Use Permit No. 00-68. City imposed conditions of approval on the project, requiring the provision of nineteen (19) affordable housing units in conjunction with the new development. D. On July 24, 2001, the Plannning Commission of City approved Tentative Tract Map No. 16192, Coastal Development Permit No. 01-01 and Conditional Use Permit No. 01-04. City imposed conditions of approval on the project, requiring the provision of seven (7) affordable housing units in conjunction with the new development. NOW, THEREFORE, BASED UPON THE FOREGOING RECITALS AND FOR GOOD AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH IS ACKNOWLEDGED BY BOTH PARTIES, CITY AND OWNER AGREE AS FOLLOWS: F-%W P511D LBSBR DWALKVAFFR DH SG.AG2 07/24101 I. AFFORDABLE HOUSING. (A) Number of units. Owner agrees to make available, restrict occupancy to, and lease twenty-seven (27)Affordable Units on the Site to "Low Income Households" at an "Affordable Rent" for the duration of the "Affordability Period" (as those terms are defined hereinbelow). Nothing in this Agreement shall restrict Owner's right to select which of the twenty-nine (29) rental housing units on the Site shall be the Affordable Units and Owner may at its option change the location of the Affordable Units on the Site from time to time, provided that a minimum of twenty-seven (27) rental housing units shall be restricted as Affordable Units during the entire Affordability Period. As used in this Agreement, the term "Low Income Household" shall mean persons and families whose income does not exceed eighty percent (80%) of Orange County median income, adjusted for family size, as determined by the United States Department of Housing and Urban Development ("HUD"), as set forth in the California Health and Safety Code Section 50079.5. As used in this Agreement, the term "Affordable Rent" shall have the meaning set forth in Section I(D) hereinbelow. As used in this Agreement, the term "Tenant" shall mean any person who rents or leases any portion of the Site or any person who is not a fee or equitable owner of any portion of the Site who uses the Site as his or her principal residence. For purposes of this Agreement, principal residence will be determined in the same manner as principal residence is determined for state residency under California Vehicle Code Section 516. (B) Durntinn of Affordability Requirements. The Affordable Units shall be subject to the requirements of this Agreement from the date of this Agreement until the date that is thirty (30) years from the date the twenty-seventh (27th) Affordable Unit has been rented to a Low Income Household. City acknowledges that the residential dwelling units on the Site are not constructed as of the date this Agreement and that the requirements of this Agreement will be enforced by Owner as units are constructed and become available for rental to eligible households in the ordinary course of business. The duration of this requirement shall be known as the "Affordability Period." As soon as the twenty-seventh (27th) Affordable Unit has been rented to a Low Income Household pursuant to this Agreement, City and Owner shall cooperate in the recordation of a supplemental Memorandum confirming the expiration date of the Affordability Period. The form of the supplemental Memorandum is attached hereto as Exhibit "B."/ (C) Income of Tenant. After the lease of any Affordable Unit to a Tenant, Owner shall submit to City a completed income computation and certification form, in such form as is generally used by City in administering its affordable housing program from time to time. Owner shall certify that to the best of its knowledge each Tenant of an Affordable Unit is a Low Income Household and meets the eligibility requirements established for the-particular Affordable Unit occupied by such household. Owner shall obtain an income certification from FAW P5 NDLB0RD WALKW FFRDHSG.AG2 o71241DI 7 each Tenant of an Affordable Unit and shall certify that, to the best of Owner's knowledge, the income of the Tenant is truthfully set forth in the income certification form. Owner shall verify the income certification of the Tenant in one or more of the following methods as specifically requested by City: (1) Obtain two (2) paycheck stubs from the Tenant's two (2) most recent pay periods. (2) Obtain a copy of an income tax return from the Tenant for the most recent tax year in which a return was filed verified by the Tenant to be true and complete. (3) Obtain an income verification certification from the employer of the Tenant. (4) Obtain an income verification certification from the Social Security Administration and/or the California Department of Social Services if the Tenant receives assistance from such agencies. (5) Obtain an alternate form of income verification reasonably requested by City, if none of the above forms of verification is available to Owner. If, after renting an Affordable Unit to an eligible household, the household's income increases above the income level permitted for that unit, the household shall continue to be permitted to reside in such Affordable Unit. Subsequently, however, when the next residential rental unit on the Site becomes vacant and available for rent, the vacant unit shall become an Affordable Unit subject to the restrictions of this Agreement (and subject to Owner's retained discretion to change the location of Affordable Units from time to time, as provided in Section I(A) herein). (D) Determinatinn of Affordable Rent for the AffordablP Units. The initial maximum monthly rental payment ("Affordable Rent") amount for the Affordable Units required to be leased to Low Income Households during their eligibility hereunder shall be as follows: Numher of Units Qualifying Income Initial Maximum Rental Payment 9 Units Less than 60% OCMFI $928.00 per month 9 Units Less than 70% OCMF! $1,094.00 per month 9 Units Less than 80% OCMFI $1,259.00 per month The Affordable Rent amount for the Affordable Units shall be adjusted annually by the following formula upon the publication of revised Orange County median income figures by the United States Department of Housing and Urban Development: The Affordable Rent amount shall not exceed thirty percent (30%) of eighty percent (80%) of the monthly area median income for three-person households as determined by California Health and Safety Code Section 50053. F AW P511D LB%BRDWALKIAFFRDHSG.AG2 07l24M 3 OWNER UNDERSTANDS AND KNOWINGLY AGREES THAT THE MAXIMUM RENTAL PAYMENTS TO BE ESTABLISHED BY THIS FORMULA ARE NOT NECESSARILY EQUAL TO THE FAIR MARKET RENT FOR THE AFFORDABLE UNITS, AND MAY BE ESTABLISHED AT A LEVEL SUBSTANTIALLY BELOW THE FAIR MARKET RENT LEVELS. OWNER HEREBY AGREES TO RESTRICT THE AFFORDABLE UNITS ACCORDINGLY. 0- Ow t is Init Is (E) Annual Rem. Within sixty (60) days after the end of each calendar year during the Affordability Period, Owner shall submit to City a report verifying Owner's compliance with the provisions of Section I(A)-(D) of this Agreement. Owner's final annual report shall be submitted to City within sixty (60) days after the end of the Affordability Period. Each annual report shall identify the number and location of the Affordable Units for the applicable reporting period, the identity of each Tenant occupying an Affordable Unit during any portion of such period, the income and family size of each such Tenant, the Affordable Rent for each of the Affordable Units, and the actual contract rent actually charged. If City prescribes a particular form to be utilized by Owner in preparing the annual report, Owner shall utilize said form, provided that it complies substantially with the foregoing requirements. II. NON-DISCRIMINATION. Owner, on behalf of itself and its successors, assigns, and each successor in interest to the Site or any part thereof, hereby further covenants and agrees during the Affordability Period: (A) Not to discriminate upon the basis of sex, marital status, race, color, creed, religion, national origin or ancestry in the sale, lease, sublease, transfer or rental, or in the use, occupancy, tenure, or enjoyment of any of the Affordable Units on the Site. Each and every lease and contract entered into with respect to any of the Affordable Units on the Site during the Affordability Period shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: In leases: "The lessee herein covenants by and for itself, its successors and assigns, and all persons claiming under or through them, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons on account of sex, marital status, race, color, creed, religion, national origin, or ancestry, in the leasing, renting, subleasing, transferring, use, occupancy, tenure, or enjoyment of the land herein leased, nor shall the lessee itself, or any other person claiming under or through it, establish or permit such practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, F:1W P511D LBO R D WALMFFRDH SG.AG2 07/24101 4 sublessees, subtenants, or vendees in the land herein leased." In contracts: "There shall be no discrimination against or segregation of any persons or group of persons on account of sex, marital status, race, color, creed, religion, national origin, or ancestry in the sale, lease, rental, sublease, transfer, use, occupancy, tenure or enjoyment of the land, nor shall the transferee itself or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sublessees, or vendees of the land." Ill. USE RESTRICTIONS. During the Affordability Period, Owner shall be required to take all reasonable steps necessary to ensure that each Tenant of an Affordable Unit and all assignees and transferees of such Tenant have knowledge of all terms and conditions of this Agreement by including in each and every lease and rental agreement a clause which incorporates this Agreement by reference and makes this Agreement a part of an attachment to such lease or rental agreement. In addition, during the Affordability Period, each lease for any of the Affordable Units on the Site shall contain provisions that the Affordable Unit shall be occupied, used, and maintained as follows: (A) the dwelling unit shall be used only for private dwelling purposes, with appurtenant facilities, and for no other purposes; (B) the maximum number of persons in a household that may occupy any of the two-bedroom dwelling units may not exceed five (5); (C) the Tenant shall not permit or suffer anything to be done or kept upon the premises which will increase the rate of insurance on any building, or on the contents thereof, or impair the structural integrity thereof or which will obstruct or interfere with the rights of other occupants, or annoy them by reasonable noises or otherwise, nor shaft any Tenant commit or permit any nuisance on the premises or fail to keep the premises free of rubbish, clippings, and trash or commit or suffer any illegal act to be committed thereon; (D) the Tenant shall comply with all of the lawful requirements of all governmental authorities with respect to the premises; (E) there shall be no structural alteration, construction, or removal of any building, fence, or other structure on the Site (other than repairs or rebuilding permitted herein) without the approval of City: (F) no person shall be permitted to occupy the premises for transient or hotel purposes; and (G) the Tenant shall comply in all respects with this Agreement and any failure by Be Tenant to comply with the terms of this Agreement shall be a default under the F:1WP$1MXB0RD WALK%AFFRDHSG.AG2 07/24/01 5 { Tenant's lease. IV. APPI ICABLE LAW. (A) Owner shall maintain the Site in compliance with all applicable HUD Housing Quality Standards and City codes. (B) If any provision of this Agreement or portion thereof, or the application to any person or circumstances, shall to any extent be held invalid, inoperative, or unenforceable, the remainder of this Agreement, or the application of such provision or portion thereof to any other persons or circumstances, shall not be affected thereby, it shall not be deemed that any such invalid provision affects the consideration for this Agreement; and each provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law. (C) This Agreement shall be construed in accordance with the laws of the State of California. V. MISCFI I ANFQU,9. (A) Binding-on Successors and Assigns. The covenants and agreements established in this Agreement shall, without regard to technical classification and designation, be binding on Owner and any successor to Owner's right, title, and interest in and to all or any portion of the Site, for the benefit of and in favor of the City of Huntington Beach. All the covenants contained in this Agreement shall remain in effect for the Affordability Period, and shall automatically terminate and be of no further force or effect after such time. Upon expiration of the Affordability Period, City agrees to cooperate with Owner, at no cost to City, in removing this Agreement of record from the Site. (B) Subordination to TruM Deeds. Notwithstanding any other provision in this Agreement to the contrary, the covenants and agreements established in this Agreement at all times shall be junior and subordinate to the lien of any mortgage or deed of trust recorded by or on behalf of a lender to secure a loan for the acquisition or improvement of the Site, including without limitation any deed of trust recorded concurrently herewith. City agrees at no expense to City, to execute such documents as may be reasonably requested by Owner, any successor or assign to Owner's right, title, and interest in and to all or any portion of the Site, or any lender of any such person subordinating City's rights and interest under this Agreement to the lien of any trust deed recorded or to be recorded by a lender securing a loan for the acquisition or improvement of the Site. Owner, Owner's successor or assign, or the benefited lender shall be responsible for preparing the document(s) creating such subordination of City's interest. (Balance of this page intentionally left blank] F:%W P511DLB1BRDWALK%AFFRDHSG-AG2 07124/01 Fi IN WITNESS WHEREOF, City and Owner have executed this Agreement Containing Covenants Affecting Real Property to be effective as of the date first written above. CITY: CITY OF HUNTINGTON BEACH, APPROVED AS TO FORM: a municipal corporation Mayor City Attorney Q I,I2,1191 1-7-0--0( ATTEST: REVIEWED AND APPROVED: f111�f City Clerk City AdmW istrator INITIATK7AND APPROVED: .Dir ctor of Planning STATE OF CALIFORNIA ) ) SS. COUNTY OF ORANGE ) On No ve wAe•-- S 2001, before me, �i ti.,¢ _ e/r-v�r/, Notary Public, personally appeared a4w7 sTc�«� f dc<c���r_, su I; - 4,ea , and personally known to me (OP-pFeven to me on the basis-ur to be the person(s) whose name(s)*are subscribed to the within instrument and acknowledged to me that I eltliey executed the same in Us#w/their authorized capacitylies, and that by Wsfh,?rltheir signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature [SEAL] r�o VIRGINIA R. MELTON tacm, g i#1290= am oo" 40U &M►OI�trslonlS POW F AWP511DLBZRD WALK%FFRDH SG.AG2 0712=1 7 OWNER: PLC, a California general partnership By: PLC Holdings, a California general partnership as a general partner By: PACLACO, INC., a California corporation as its general partner By: Its By: Its Vice— '0-4'u� By: TIL HUNTINGTON BEACH, LLC, a Delaware limited liability company, as a general partner By: LENNAR LAND PARTNERS II, a Florida general partnership, its managing member By: LENNAR HOMES OF CALIFORNIA, INC., a California corporat' n, its Attorney-in-Fact By: It Vice res nt F AWP511DLBZRDWALK%AFFRDHSG.AG2 07124ro1 8 STATE OF CALIFORNIA } ) ss. COUNTY OF ORANGE } On _ �aQ�{�, 2001, before me, ;��3. _f'C'�-';rcTU' , Notary Public, personally appeared Chcj Rah Of C. t;-r►blos and T-)DUn-kn1 0, nc_;,-n , personally known to me f to be the person(sLwhose narne(q Ware subscribed to the within instrument and acknowledged to me that h@kA9 t�executed the same in IZis#rWtheir authorized capacitydn and that by hisser/their signatureL) on the instrument the person, or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. room. a. NDRA scrnr COMMMM# 1=M Signature [4 ^� Notoy Ktac-Cal rft p�,Q CoLni�t - WComm. JUn7.2M3 STATE OF CALIFORNIA ) ) ss. COUNTY OF ORANGE ) On , 2001, before me, Notary Public, personally app ared 7onat-h .Sam_ , personally known to me pFeve ) to be the person() wh se name(,tc} is subscribed to the within instrument and acknowledged to me that he executed the same in is authorized capacitylbm and that b ii hef4Wr signaturek* on the instrumen the persons., or the entity upon behalf of whit the person{� acted, executed the instrument. WITNESS my hand and official seal. L19AM taoerxr*dan i 125'717 Notc><yPjtft.0 0krriQ Signature ownw co" [S off e MrC0MMB0MAW19.= F:1W P511DLB1BRDWALK%AFFRDHSG.AG2 a7;2aro1 9 LEGAL DESCRIPTION OF THE SITE That certain real property located in the City of Huntington Beach, County of Orange, State of California, more particularly described as: PARCEL A: LOTS 23 TO 27, INCLUSIVE, IN BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS SHOWN ON A MAP THEREOF RECORDED IN BOOK 7, PAGES 27 AND 28 OF MISCELLANEOUS MAPS, RECORDS OF SAID COUNTY, CALIFORNIA PARCEL R-1: THE NORTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING PARALLEL WITH THE SOUTH LINE OF SAID LOT 20. - : THE SOUTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING PARALLEL WITH THE SOUTH LINE OF SAID LOT 20. F:1W P510L B18R D WAMAF F RDHSG.AG2 O7l24l01 Exhibit"A" RECORDING REQUESTED BY: ) AND WHEN RECORDED MAIL TO: ) } City of Huntington Beach ) 2000 Main Street ) Huntington Beach, CA 92660 ) Attn: City Clerk } (Space Above for Recorder's Use) This Agreement is recorded at the request and for the benefit of the City of Huntington Beach and is exempt from the payment of fees pursuant to Government Code Section 6103. AGREEMENT CONIAINING COVENANTS AFFECTING REAL PROPERTY (AFFORDABLE RENTAL HOUSING) THIS SUPPLEMENTAL MEMORANDUM REGARDING AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Supplemental Memorandum") is entered into this day of , 2001, by and between the CITY OF HUNTINGTON BEACH, a municipal corporation ("City"), and PLC, a California general partnership ("Owner"). RECITALS A. Owner is fee owner of record of that certain real property (the "Site") located in the City of Huntington Beach, County of Orange, State of California legally described in Attachment No. 1 hereto. There are currently no residential housing units located on the Site. B. On or about , 2001, City-and Owner entered into that certain Agreement Containing Covenants Affecting Real Property with respect to the Site (the "Agreement"), a true and correct copy of which Agreement was recorded on , 2001, as Instrument No. in the Official Records of the Orange County Recorder's Office. C. Pursuant to Section I(B) of the Agreement, as soon as the twenty-seventh (27th) "Affordable Unit"was rented to a "Low income Household" (as those terms are defined in the Agreement) on the Site, City and Owner agreed to cooperate in the recordation of this Supplemental Memorandum memorializing the expiration date of the "Affordability Period" (as that term is defined in the Agreement). D. City and Owner agree that the twenty-seventh (27th) Affordable Unit on the Site was rented to a Low Income Household on , 200 Exhibit "B" FAWP510LM8RDWAL"FRDHSG.AG2 Pa e 1 of 5 0712aa1 g NOW, THEREFORE, based upon the foregoing Recitals and for good and valuable consideration, the receipt and sufficiency of which is acknowledged by both parties, City and Owner agree as follows: 1. The Affordability Period referred to in Section l(B) of the Agreement shall expire on , 20� [the thirtieth (30th) anniversary of the date that the twenty-seventh (27th) Affordable unit on the Site was rented to a Lower Income Household]. 2. Upon the expiration of the Affordability Period, all of the provisions of the Agreement and this Supplemental Memorandum automatically shall become null and void and shall be of no further force or effect. At such time, City agrees, upon request and at no cost to City, to cooperate with Owner (including any successor or assign of the current owner's right, title and interest in and to the Site) to record an appropriate document or documents releasing the Site form any covenants and restrictions set forth in the Agreement and this Supplemental Memorandum. The failure to record such a document or documents, however, shall not extend the duration of the Agreement or this Supplemental Memorandum beyond the expiration of the Affordability Period as provided herein. 3. Except as expressly set forth herein, all of the terms of the Agreement shall remain in full force and effect and unmodified by the provisions of this Supplemental Memorandum. [signatures on next page] Exhibit "B" F:1WPSI%DLBSROWALK',AFFRDH$G.AG2 g 0712V01 Page 2 of 5 IN WITNESS WHEREOF, City and Owner have executed this Agreement Containing Covenants Affecting Real Property to be effective as of the date first written above. CITY: CITY OF HUNTINGTON BEACH, APPROVED AS TO FORM: a municipal corporation Mayor City Attorney ATTEST: REVIEWED AND APPROVED: City Clerk City inistrator INITIAT.LIb AND APPROVED: Director of Planning STATE OF CALIFORNIA } ) ss. COUNTY OF ORANGE } On , 2001, before me, , Notary Public, personally appeared , , and personalty known to me (or proven to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacitylies, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature [SEAL) Exhibit"B" FAWP511DLBZRDWAMAFFRDHSG.AG2 D7n4/01 Page e 3 Of 5 OWNER: PLC, a California general partnership By: PLC Holdings, a California general partnership as a general partner By: PACLACO, INC., a California corporation as its general partner By: Its By: Its By: TIL HUNTINGTON BEACH, LLC a Delaware limited liability company, as a general partner By: LENNAR LAND PARTNERS Il, a Florida general partnership, its managing member By: LENNAR HOMES OF CALIFORNIA, INC., a California corporation, its Attorney-in-Fact By: Its Vice President Exhibit "B" F:1WP511DLB1BRDWALKWFFRDHSGAG2 a Pa of 5 07124Ml 9 STATE OF CALIFORNIA ) ) ss. COUNTY OF ORANGE } On , 2001, before me, , Notary Public, personally appeared and , personally known to me (or proven to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacitylies, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS may hand and official seal. Signature [SEAL] STATE OF CALIFORNIA ) ) ss. COUNTY OF ORANGE ) On , 2001, before me, , Notary Public, personally appeared , personally known to me (or proven to me on the basis of satisfactory evidence) to be the person(s)whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacitylies, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS may hand and official seal. Signature [SEAL] Exhibit "B" FFAWP51%DLMBRDWALKWFR1)HSGAG2 Page 5 of 5 LEGAL DESCRIPTION QE THE SITE That certain real property located in the City of Huntington Beach, County of Orange, State of California, more particularly described as: PARCEL A: LOTS 23 TO 27, INCLUSIVE, IN BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS SHOWN ON A MAP THEREOF RECORDED IN BOOK 7, PAGES 27 AND 28 OF MISCELLANEOUS MAPS, RECORDS OF SAID COUNTY, CALIFORNIA PARCEL B-1: THE NORTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING PARALLEL WITH THE SOUTH LINE OF SAID LOT 20. PARCEL B-2: THE SOUTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK"B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING_ PARALLEL WITH THE SOUTH LINE OF SAID LOT 20. FAW P51%DLMBRD WALKW FRDHSG-AG2 07,24ro1 Attachment No. 1 Council/Agency Meeting Held: Deferred/Continued to: X)��rgved Conditionally Approved O Denied mil'- City CI ric' ig ature Council Meeting Date: October 15, 2001 Department ID Number: PL01-32 CITY OF HUNTINGTON BEACH REQUEST FOR ACTION s SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS 2!�-< SUBMITTED BY: RAY SILVER, City Administratoru?�y PREPARED BY: HOWARD ZELEFSKY, Director of Planning co SUBJECT: APPROVE AFFORDABLE HOUSING AGREEMENT FOR PLC (Siena Apartments) Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s) Statement of Issue: Transmitted for your consideration is a request by PLC to approve an affordable housing agreement for a 29 unit apartment project at the northwest corner of Main and Gothard Streets. The agreement will restrict 27 of the apartments to low income families for a period of 30 years; the remaining two units will be rented at market rates. Staff recommends that the City Council review and approve the affordable housing agreement. Fundina Source: Not applicable. Recommended Action: Motion to: "Approve the Agreement Containing Covenants Affecting Real Property By and Between the City of Huntington Beach and PLC, and authorize the Mayor and City Clerk to sign and execute (Attachment No. 1)." Alternative Action(s): The City Council may make the following alternative motion(s): "Continue the Agreement Containing Covenants Affecting Real Property By and Between the City of Huntington Beach and PLC, and direct staff accordingly." MEETING DATE: October 15, 2001 DEPARTMENT ID NUMBER: PL01-32 Analysis: A. PROJECT PROPOSAL: Applicant: PLC, 19 Corporate Plaza Dr., Newport Beach, CA 92660 Location: Northwest corner of Main and Gothard Streets The affordable housing agreement will restrict 27 units in the Siena Apartment project to low income households for a period of 30 years. The Siena Apartment project was approved by the Planning Commission on .tune 12, 2001 with the condition that 27 of the units be restricted to low income households. The apartment project consists of 29 two-bedroom units, either 986 or 1,148 square feet in size; each unit has a two-car garage. B. STAFF ANALYSIS AND RECOMMENDATION: The Planning Commission has recently approved three market-rate projects for which PLC is the master developer: The Boardwalk single and multi-family components (253 total units) and Rulon Court (four units). The City of Huntington Beach requires developers to provide the equivalent of 10 percent of a project's units as affordable housing. Developers have the option of restricting units within their specific projects as affordable or restricting units off-site. To meet the affordable housing requirements for the three projects, PLC will construct a new 29-unit apartment complex and restrict 27 of the units to low income households for a period of 30 years. The agreement specifies units will be evenly divided into three tiers of affordability under the low-income cap: 60 percent, 70 percent and 80 percent of Orange County median income. For a three person household this is the equivalent of maximum household annual gross incomes of $39,810, $46,445 and $53,050, respectively. The maximum monthly rents for the units in the three categories are $928, $1,094 and $1,259, based on current Orange County median income data. The proposed agreement is consistent with standard affordable housing agreements prepared by the City Attorney's Office and complies with the affordable housing requirements approved by the Planning Commission. Therefore, staff recommends the City Council approve the agreement. Environmental Status: The subject request is not subject to the California Environmental Quality Act pursuant to Section 15061 (b) (3). PLO142 -2- 10/7/01 10:02 AM MEETING DATE: October 15, 2001 DEPARTMENT ID NUMBER: PL01-32 Attachment(s): City Clerk's Page Number No. Description 1. Affordable Housing Agreement RCA Authors: MBB PL0I-32 -3- 10/1101 10:02 AM ATTACHMENT 1 CITY OF HUNTINGTON BEACH 2000 MAIN STREET CALIFORNIA 92648 OFFICE OF THE CITY CLERK CONNIE BROCKWAY CITY CLERK November 13, 2001 Gary L. Granville County Clerk-Recorder P. 0. Box 238 Santa Ana, CA 92702 Enclosed please find a Agreement Containing Covenants Affecting Real Property (Affordable Rental Housing) to be recorded and returned to the City of Huntington Beach, Office of the City Clerk, 2000 Main Street, Huntington Beach, CA 92648. Please return a conformed copy of the Agreement Containing Covenants when recorded to this office in the enclosed self-addressed stamped envelope. Connie Brockway, CIVIC City Clerk Enclosures gafollowuplmisc...doc Agreement Containing Covenants—PLC(Siena Apartments)—Affordable Rental Housing {Telephone.714.53"227) 7, RECORDING REQUESTED BY: ) AND WHEN RECORDED MAIL.TO: ) City of Huntington Beach ) 2000 Main Street ) Huntington Beach, CA 92660 ) Attn: City Clerk ) (Space Above for Recorders Use) This Agreement is recorded at the request and for the benefit of the City of Huntington Beach and is exempt from the payment of fees pursuant to Government Code Section 6103. (AFFORDABLE RENTAL HOUSING) THIS AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Agreement") is entered into this 15 day of October , 2001, by and between the CITY OF HUNTINGTON BEACH, a municipal corporation ("City"), and PLC, a California general partnership ("Owner"). RECITALS A. Owner is fee owner of record of that certain real property (the "Site") located in the City of Huntington Beach, County of Orange, State of California legally described in the attached Exhibit "A." There are currently no residential housing units located on the Site. B. On November 14, 2000, the Planning Commission of City approved Tentative Parcel Map No. 00-128 and Conditional Use Permit No. 00-07. City imposed conditions of approval on the project, requiring the provision of one (1) affordable housing unit in conjunction with the new development. C. On November 28, 2000, the Planning Commission of City approved Tentative Tract Map No. 15795, Coastal Development Permit No. 00-1 and Conditional Use Permit No. 00-68. City imposed conditions of approval on the project, requiring the provision of nineteen (19) affordable housing units in conjunction with the new development. D. On July 24, 2001, the Plannning Commission of City approved Tentative Tract Map No. 16192, Coastal Development Permit No. 01-01 and Conditional Use Permit No. 01-04. City imposed conditions of approval on the project, requiring the provision of seven (7) affordable housing units in conjunction with the new development. NOW, THEREFORE, BASED UPON THE FOREGOING RECITALS AND FOR GOOD AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH IS ACKNOWLEDGED BY BOTH PARTIES, CITY AND OWNER AGREE AS FOLLOWS: F:SWP 510 LB 1B R D W ALK%A FF R D H$G.AG 2 07124l01 I. AFFORDAF11 F HOUSING. (A) Number of Units. Owner agrees to make available, restrict occupancy to, and lease twenty-seven (27)Affordable Units on the Site to "Low Income Households" at an "Affordable Rent" for the duration of the "Affordability Period" (as those terms are defined hereinbelow). Nothing in this Agreement shall restrict Owner's right to select which of the twenty-nine (29) rental housing units on the Site shall be the Affordable Units and Owner may at its option change the location of the Affordable Units on the Site from time to time, provided that a minimum of twenty-seven (27) rental housing units shall be restricted as Affordable Units during the entire Affordability Period. As used in this Agreement, the term "Low Income Household" shall mean persons and families whose income does not exceed eighty percent (80%) of Orange County median income, adjusted for family size, as determined by the United States Department of Housing and Urban Development ("HUD"), as set forth in the California Health and Safety Code Section 50079.5. As used in this Agreement, the term "Affordable Rent' shall have the meaning set forth in Section I(D) hereinbelow. As used in this Agreement, the term "Tenant" shall mean any person who rents or leases any portion of the Site or any person who is not a fee or equitable owner of any portion of the Site who uses the Site as his or her principal residence. For purposes of this Agreement, principal residence will be determined in the same manner as principal residence is determined for state residency under California Vehicle Code Section 516. (B) Duration of Affordabifity Requirements. The Affordable Units shall be subject to the requirements of this Agreement from the date of this Agreement until the date that is thirty (30) years from the date the twenty-seventh (27th) Affordable Unit has been rented to a Low Income Household. City acknowledges that the residential dwelling units on the Site are not constructed as of the date this Agreement and that the requirements of this Agreement will be enforced by Owner as units are constructed and become available for rental to eligible households in the ordinary course of business. The duration of this requirement shall be known as the "Affordability Period." As soon as the twenty-seventh (27th) Affordable Unit has been rented to a Low Income Household pursuant to this Agreement, City and Owner shall cooperate in the recordation of a supplemental Memorandum confirming the expiration date of the Affordability Period. The form of the supplemental Memorandum is attached hereto as Exhibit "B." (C) Income of Tenant. After the lease of any Affordable Unit to a Tenant, Owner shall submit to City a completed income computation and certification form, in such form as is generally used by City in administering its affordable housing program from time to time. Owner shall certify that to the best of its knowledge each Tenant of an Affordable Unit is a Low Income Household and meets the eligibility requirements established for the particular Affordable Unit occupied by such household. Owner shall obtain an income certification from F:1WP511DLB%SROWAI KNAFFRDHSGAG2 07/24/01 2 each Tenant of an Affordable Unit and shall certify that, to the best of Owners knowledge, the income of the Tenant is truthfully set forth in the income certification form. Owner shall verify the income certification of the Tenant in one or more of the following methods as specifically requested by City: (1) Obtain two (2) paycheck stubs from the Tenant's two (2) most recent pay periods. (2) Obtain a copy of an income tax return from the Tenant for the most recent tax year in which a return was filed verified by the Tenant to be true and complete. (3) Obtain an income verification certification from the employer of the Tenant. (4) Obtain an income verification certification from the Social Security Administration and/or the California Department of Social Services if the Tenant receives assistance from such agencies. (5) Obtain an alternate form of income verification reasonably requested by City, if none of the above forms of verification is available to Owner. If, after renting an Affordable Unit to an eligible household, the household's income increases above the income level permitted for that unit, the household shall continue to be permitted to reside in such Affordable Unit. Subsequently, however, when the next residential rental unit on the Site becomes vacant and available for rent, the vacant unit shall become an Affordable Unit subject to the restrictions of this Agreement (and subject to Owner's retained discretion to change the location of Affordable Units from time to time, as provided in Section I(A) herein). (D) Determination of Affordahle Bent for the Affordable Units. The initial maximum monthly rental payment ("Affordable Rent") amount for the Affordable Units required to be leased to Low Income Households during their eligibility hereunder shall be as follows: Number of Units Qualifying Income Initial Maximum Rental Payment 9 Units Less than 60% OCMFI $928.00 per month 9 Units Less than 70% OCMFI $1,094.00 per month 9 Units Less than 80% OCMFI $1,259.00 per month The Affordable Rent amount for the Affordable Units shall be adjusted annually by the following formula upon the publication of revised Orange County median income figures by the United States Department of Housing and Urban Development: The Affordable Rent amount shall not exceed thirty percent (30%) of eighty percent (80%) of the monthly area median income for three-person households as determined by California Health and Safety Code Section 50053. F AW P510L"R0 WAUMF F ROHSG.AG2 07/24101 3 OWNER UNDERSTANDS AND KNOWINGLY AGREES THAT THE MAXIMUM RENTAL PAYMENTS TO BE ESTABLISHED BY THIS FORMULA ARE NOT NECESSARILY EQUAL TO THE FAIR MARKET RENT FOR THE AFFORDABLE UNITS, AND MAY BE ESTABLISHED AT A LEVEL SUBSTANTIALLY BELOW THE FAIR MARKET RENT LEVELS. OWNER HEREBY AGREES TO RESTRICT THE AFFORDABLE UNITS ACCORDINGLY. Ow is Init Is (E) Annual Rapnrt. Within sixty (60) days after the end of each calendar year during the Affordability Period, Owner shall submit to City a report verifying Owner's compliance with the provisions of Section I(A)-(D) of this Agreement. Owner's final annual report shall be submitted to City within sixty (60) days after the end of the Affordability Period. Each annual report shall identify the number and location of the Affordable Units for the applicable reporting period, the identity of each Tenant occupying an Affordable Unit during any portion of such period, the income and family size of each such Tenant, the Affordable Rent for each of the Affordable Units, and the actual contract rent actually charged. If City prescribes a particular form to be utilized by Owner in preparing the annual report, Owner shall utilize said form, provided that it complies substantially with the foregoing requirements. II. NON-DISCRIMINATION. Owner, on behalf of itself and its successors, assigns, and each successor in interest to the Site or any part thereof, hereby further covenants and agrees during the Affordability Period: (A) Not to discriminate upon the basis of sex, marital status, race, color, creed, religion, national origin or ancestry in the sale, lease, sublease, transfer or rental, or in the use, occupancy, tenure, or enjoyment of any of the Affordable Units on the Site. Each and every lease and contract entered into with respect to any of the Affordable Units on the Site during the Affordability Period shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: In leases: "The lessee herein covenants by and for itself, its successors and assigns, and all persons claiming under or through them, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons on account of sex, marital status, race, color, creed, religion, national origin, or ancestry, in the leasing, renting, subleasing, transferring, use, occupancy, tenure, or enjoyment of the land herein leased, nor shall the lessee itself, or any other person claiming under or through it, establish or permit such practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, F A W P 511DLSIB R D W ALKW FR D H SG.AG 2 07124M 1 4 sublessees, subtenants, or vendees in the land herein leased." In contracts: "There shall be no discrimination against or segregation of any persons or group of persons on account of sex, marital status, race, color, creed, religion, national origin, or ancestry in the sale, lease, rental, sublease, transfer, use, occupancy, tenure or enjoyment of the land, nor shall the transferee itself or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sublessees, or vendees of the land." III. USE RESTRICTIONS. During the Affordability Period, Owner shall be required to take all reasonable steps necessary to ensure that each Tenant of an Affordable Unit and all assignees and transferees of such Tenant have knowledge of all terms and conditions of this Agreement by including in each and every lease and rental agreement a clause which incorporates this Agreement by reference and makes this Agreement a part of an attachment to such lease or rental agreement. In addition, during the Affordability Period, each lease for any of the Affordable Units on the Site shall contain provisions that the Affordable Unit shall be occupied, used, and maintained as follows: (A) the dwelling unit shall be used only for private dwelling purposes, with appurtenant facilities, and for no other purposes; (B) the maximum number of persons in a household that may occupy any of the two-bedroom dwelling units may not exceed five (5); (C) the Tenant shall not permit or suffer anything to be done or kept upon the premises which will increase the rate of insurance on any building, or on the contents thereof, or impair the structural integrity thereof or which will obstruct or interfere with the rights of other occupants, or annoy them by reasonable noises or otherwise, nor shall any Tenant commit or permit any nuisance on the premises or fail to keep the premises free of rubbish, clippings, and trash or commit or suffer any illegal act to be committed thereon; (D) the Tenant shall comply with all of the lawful requirements of all governmental authorities with respect to the premises; (E) there shall be no structural alteration, construction, or removal of any building, fence, or other structure on the Site (other than repairs or rebuilding permitted herein) without the approval of City: (F) no person shall be permitted to occupy the premises for transient or hotel purposes; and (G) the Tenant shall comply in all respects with this Agreement and any failure by Be Tenant to comply with the terms of this Agreement shall be a default under the F i W P511DL819 R D WALK{AF FR D H S G.AG 2 07124101 Tenant's lease. IV. APPLICABLE LAW. (A) Owner shall maintain the Site in compliance with all applicable HUD Housing Quality Standards and City codes. (B) If any provision.of this Agreement or portion thereof, or the application to any person or circumstances, shall to any extent be held invalid, inoperative, or unenforceable, the remainder of this Agreement, or the application of such provision or portion thereof to any other persons or circumstances, shall not be affected thereby, it shall not be deemed that any such invalid provision affects the consideration for this Agreement; and each provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law. (C) This Agreement shall be construed in accordance with the laws of the State of California. V. MISC:FI I AfUFO 1S. (A) binding on Successors and Assigns. The covenants and agreements established in this Agreement shall, without regard to technical classification and designation, be binding on Owner and any successor to Owner's right, title, and interest in and to all or any portion of the Site, for the benefit of and in favor of the City of Huntington Beach. All the covenants contained in this Agreement shall remain in effect for the Affordability Period, and shall automatically terminate and be of no further force or effect after such time. Upon expiration of the Affordability Period, City agrees to cooperate with Owner, at no cost to City, in removing this Agreement of record from the Site. (B) Sul3ordinntinn to Trust Deeds. Notwithstanding any other provision in this Agreement to the contrary, the covenants and agreements established in this Agreement at all times shall be junior and subordinate to the lien of any mortgage or deed of trust recorded by or on behalf of a lender to secure a loan for the acquisition or improvement of the Site, including without limitation any deed of trust recorded concurrently herewith. City agrees at no expense to City, to execute such documents as may be reasonably requested by Owner, any successor or assign to Owner's right, title, and interest in and to all or any portion of the Site, or any lender of any such person subordinating City's rights and interest under this Agreement to the lien of any trust deed recorded or to be recorded by a lender securing a loan for the acquisition or improvement of the Site. Owner, Owner's successor or assign, or the benefited lender shall be responsible for preparing the document(s) creating such subordination of City's interest. [Balance of this page intentionally left blank] F:%WP510L8%SR0 WALMAFFRDHSG.AG2 07124101 IN WITNESS WHEREOF, City and Owner have executed this Agreement Containing Covenants Affecting Real Property to be effective as of the date first written above. CITY: CITY OF HUNTINGTON BEACH, APPROVED AS TO FORM: a municipal corporation �f 's�& - Mayor City Attorney - Q ATTEST: REVIEWED AND APPROVED. City Clerk City Adm' istrator INITIAT AND APPROVED: I}ir ctcr of Planning STATE OF CALIFORNIA ) ) Ss. COUNTY OF ORANGE ) On Na yen✓e,-- 5- , 2001, before me, Notary Public, personally appeared a,4,." f4vc,cAe,,,, a uwi and personally known to me ) to be the person(s) whose name(s)Ware subscribed to the within instrument and acknowledged to me that felthey executed the same in bier/their authorized capacitylies, and that by hisfherltheir signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature [SEAL] VIRGINIA it. M 00; T;;Z1,WCanvr&dcn#12MM Chix CaunM NyrCarlfn.B�i�s�13�s F:1W P511DLB1BRDWALKAFFRDHSG.AG2 07/24/01 7 OWNER: PLC, a California general partnership By: PLC Holdings, a California general partnership as a general partner By: PACLACO, INC., a California corporation as its general partner By: — d2 Its By: Its dl G6 P.CoTrrC�v7� rBy: TIL HUNTINGTON BEACH, LLC, a Delaware limited liability company, as a general partner By: LENNAR LAND PARTNERS II, a Florida general partnership, its managing member By: LENNAR HOMES OF CALIFORNIA, INC., a California corporat" n, its Attorney-in-Fact By: It Vice res nt FAWP510LBZRD WALK%FFRDHSGAG2 07124101 8 STATE OF CALIFORNIA ) ) SS. COUNTY OF ORANGE ) On ,,-�� , 2001, before me,. ►��L3.f(1C�.YC,l�'c7 , Notary Public, personally appeared (Vy,2Ad;�hor C. (��bhs _and rL-)aon►pS , personally known to me basis-of to be the person whose name(s)Ware subscribed to the within instrument and acknowledged to me that hekA%2ey executed the same in hide ltheir authorized capacitydn and that by hii;A%r/their signatureL} on the instrument the person, or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. KMMDRA SCG-r comrreldon#1223699 Signature rs Nokxy P&M-Calfffta b _ Orange Co xit _ MY Comm.E>Pk1wlun 7,2)03 STATE OF CALIFORNIA } ) ss. COUNTY OF ORANGE ) On l , 2001, before me, Notary Public, personally app ared personally known to me (OF PFeye� ) to be the person(i) wh se name(,) is subscribed to the within instrument and acknowledged to me that he executed the same in is authorized capacityho% and that b ii hemj;ejr signaturei* on the instrumen the person(}, or the entity upon behalf of whic-R the person(s4 acted, executed the instrument. WITNESS my hand and official seal. MUM Oartunh*rt#1237717 &ZA) Hatary►Pubft-Cookrrft Signature orange Count ir �S @MyCZrrVTLF g:-mApr19.M F:1WP511DLB%BRD WALKW FFRDHSG.AG2 07/24/01 q LEGAL DESCRIPTION OF ME SITE That certain real property located in the City of Huntington Beach, County of Orange, State of California, more particularly described as: PARCEL A: LOTS 23 TO 27, INCLUSIVE, IN BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS SHOWN ON A MAP THEREOF RECORDED IN BOOK 7, PAGES 27 AND 28 OF MISCELLANEOUS MAPS, RECORDS OF SAID COUNTY, CALIFORNIA PARCEL B-1: THE NORTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK"B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING PARALLEL WITH THE SOUTH LINE OF SAID LOT 20. PARCEL R-2: THE SOUTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK"B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING PARALLEL WITH THE SOUTH LINE OF SAID LOT 20. FAWP51 LDLMBRDWALK%AFFRDHSGAG2 071241D1 Exhibit "A" RECORDING REQUESTED BY: ) AND WHEN RECORDED MAIL TO: ) } City of Huntington Beach ) 2000 Main Street ) Huntington Beach, CA 92660 ) Attn: City Clerk } (Space Above for Recorders Use) This Agreement is recorded at the request and for the benefit of the City of Huntington Beach and is exempt from the payment of fees pursuant to Government Code Section 6103. SUPPLEMENTAL MEMORANDUM BEGARDING AGREEMENT CONTAINING Q OVFNANTS AFFECTING REAL PROPERTY (AFFORDABLE RENTAL HOUSING) THIS SUPPLEMENTAL MEMORANDUM REGARDING AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Supplemental Memorandum") is entered into this_day of , 2001, by and between the CITY OF HUNTINGTON BEACH, a municipal corporation ("City"), and PLC, a California general partnership ("Owner"). RECITALS A. Owner is fee owner of record of that certain real property (the "Site") located in the City of Huntington Beach, County of Orange, State of California legally described in Attachment No. 1 hereto. There are currently no residential housing units located on the Site. B. On or about , 2001, City and Owner entered into that certain Agreement Containing Covenants Affecting Real Property with respect to the Site (the "Agreement"), a true and correct copy of which Agreement was recorded on , 2001, as Instrument No. in the Official Records of the Orange County Recorder's Office. C. Pursuant to Section I(B) of the Agreement, as soon as the twenty-seventh (27th) "Affordable Unit" was rented to a "Low Income Household" (as those terms are defined in the Agreement) on the Site, City and Owner agreed to cooperate in the recordation of this Supplemental Memorandum memorializing the expiration date of the "Affordability Period" (as that term is defined in the Agreement). D. City and Owner agree that the twenty-seventh (27th) Affordable Unit on the Site was rented to a Low Income Household on 1200� Exhibit "B" FFAWP551%DLBSBRDWALKWFRDHSGAG2 Page 1 of 5 NOW, THEREFORE, based upon the foregoing Recitals and for good and valuable consideration, the receipt and sufficiency of which is acknowledged by both parties, City and Owner agree as follows: 1. The Affordability Period referred to in Section l(B) of the Agreement shall expire on , 20_[the thirtieth (30th) anniversary of the date that the twenty-seventh (27th)Affordable unit on the Site was rented to a tower Income Household). 2. Upon the expiration of the Affordability Period, all of the provisions of the Agreement and this Supplemental Memorandum automatically shall become null and void and shall be of no further force or effect. At such time, City agrees, upon request and at no cost to City, to cooperate with Owner(including any successor or assign of the current owner's right, title and interest in and to the Site) to record an appropriate document or documents releasing the Site form any covenants and restrictions set forth in the Agreement and this Supplemental Memorandum. The failure to record such a document or documents, however, shall not extend the duration of the Agreement or this Supplemental Memorandum beyond the expiration of the Affordability Period as provided herein. 3. Except as expressly set forth herein, all of the terms of the Agreement shall remains in full force and effect and unmodified by the provisions of this Supplemental Memorandum_ [signatures on next page) Exhibit "B" RMP51%DLB0RDWAU0AFFRDKSG.AG2 07r2a01 Page 2 of 5 IN WITNESS WHEREOF, City and Owner have executed this Agreement Containing Covenants Affecting Real Property to be effective as of the date first written above. CITY: CITY OF HUNTINGTON BEACH, APPROVED AS TO FORM: a municipal corporation Mayor City Attorney ATTEST: REVIEWED AND APPROVED: City Clerk City A4ffninistrator INITIATEM AND APPROVED: Director of Planning STATE OF CALIFORNIA ) ) ss. COUNTY OF ORANGE ) On , 2001, before me, , Notary Public, personally appeared , and personally known to me (or proven to me on the basis of satisfactory evidence) to be the person(s) whose name(s) islare subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacityCes, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature [SEAL) Exhibit "B" ,v%?SIVLBLRDWALKIAFFRLNSG.AG2 0712,01 Page 3 of 5 OWNER: PLC, a California,general partnership By: PLC Holdings, a California general partnership as a general partner By: PACLACO, INC., a California corporation as its general partner By: _. Its By: Its By: TIL HUNTINGTON BEACH, LLC a Delaware limited liability company, as a general partner By: LENNAR LAND PARTNERS II, a Florida general partnership, its managing member By: LENNAR HOMES OF CALIFORNIA, INC., a California corporation, its Attorney-in-Fact By: Its Vice President Exhibit"B" FAWP510L6IBRDWALKIAFFRDHSGAG2 Page 4 of 5 07/24/01 STATE OF CALIFORNIA } )ss. COUNTY OF ORANGE ) On , 2001, before me, , Notary Public, personally appeared and , personally known to me (or proven to me on the basis of satisfactory evidence) to be the person(s)whose name(s) is/are subscribed to the within instrument and acknowledged tome that helshelthey executed the same in his/her/their authorized capacitylies, and that by hislherltheir signature(s)on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS may hand and official seal. Signature {SEAL] STATE OF CALIFORNIA ) ) ss. COUNTY OF ORANGE ) On , 2001, before me, , Notary Public, personally appeared , personally known to me (or proven to me on the basis of satisfactory evidence) to be the person(s)whose name(s) is/are subscribed to the within instrument and acknowledged to me that helshelthey executed the same in his/her/their authorized capacitylies, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS may hand and official seal. Signature [SEAL] Exhibit"B" F:WP5,1DLB%BRDWAU<IAFFRDHSGAG2 F page 5 of 5 LEGAL QFSQRIPTION OF THE SITE That certain real property located in the City of Huntington Beach, County of Orange, State of California, more particularly described as: PARCEL A: LOTS 23 TO 27, INCLUSIVE, IN BLOCK"B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS SHOWN ON A MAP THEREOF RECORDED IN BOOK 7, PAGES 27 AND 28 OF MISCELLANEOUS MAPS, RECORDS OF SAID COUNTY, CALIFORNIA PARCEL R-1: THE NORTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK"B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING PARALLEL WITH THE SOUTH LINE OF SAID LOT 20. PARCFI R-2: THE SOUTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING PARALLEL WITH THE SOUTH LINE OF SAID LOT 20. F:%W5t0LWSRDWALK%AFFRDHSGAG2 07124,,31 Attachment No. 1 hT .D/t� RECORDING REQUESTED BY: ) AND WHEN RECORDED MAIL TO: ) } City of Huntington Beach ) 2000 Main Street ) Huntington Beach, CA 92660 ) Attn: City Clerk j (Space Above for Recorders Use) This Agreement is recorded at the request and for the benefit of the City of Huntington Beach and is exempt from the payment of fees pursuant to Government Code Section 6103. SUPPLEMENTAL MEMORANDUM REGARDING AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (AFFORDABLE RENTAL HOUSING) THIS SUPPLEMENTAL MEMORANDUM REGARDING AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Supplemental Memorandum") is entered into this i day of , 2001, by and between the CITY OF HUNTINGTON BEACH, a municipal corporation ("City"), and PLC, a California general partnership ("Owner"). RECITALS A. Owner is fee owner of record of that certain real property (the "Site") located in the City of Huntington Beach, County of Orange, State of California legally described in Attachment No. 1 hereto. There are currently no residential housing units located on the Site. B. On or about , 2001, City and Owner entered into that certain Agreement Containing Covenants Affecting Real Property with respect to the Site (the "Agreement"), a true and correct copy of which Agreement was recorded on 2001, as Instrument No. in the Official Records of the Orange County Recorder's Office. C. Pursuant to Section i(B) of the Agreement, as soon as the twenty-seventh (27th) "Affordable Unit"was rented to a "Low Income Household" (as those terms are defined in the Agreement) on the Site, City and Owner agreed to cooperate in the recordation of this Supplemental Memorandum memorializing the expiration date of the "Affordability Period" (as that term is defined in the Agreement). D. City and Owner agree that the twenty-seventh (27th) Affordable Unit on the Site was rented to a Low Income Household on , 200^ Exhibit "B" FAWP511DLBZRDWALKwFFRDHSG.AG2 07r24101 page 1 of 5 • NOW, THEREFORE, based upon the foregoing Recitals and for good and valuable consideration, the receipt and sufficiency of which is acknowledged by both parties, City and Owner agree as follows: 1. The Affordability Period referred to in Section I(B) of the Agreement shall expire on , 20 [the thirtieth (30th) anniversary of the date that the twenty-seventh (27th) Affordable unit on the Site was rented to a Lower Income Household]. 2. Upon the expiration of the Affordability Period, all of the provisions of the Agreement and this Supplemental Memorandum automatically shall become null and void and shall be of no further force or effect. At such time, City agrees, upon request and at no cost to City, to cooperate with Owner (including any successor or assign of the current owner's right, title and interest in and to the Site) to record an appropriate document or documents releasing the Site form any covenants and restrictions set forth in the Agreement and this Supplemental Memorandum. The failure to record such a document or documents, however, shall not extend the duration of the Agreement or this Supplemental Memorandum beyond the expiration of the Affordability Period as provided herein. 3. Except as expressly set forth herein, all of the terms of the Agreement shall remain in full force and effect and unmodified by the provisions of this Supplemental Memorandum. [signatures on next page] Exhibit "B" FAWP510LMRDWALK%FFRDHSG.AG2 07/24/01 Page 2 Of 5 IN WITNESS WHEREOF, City and Owner have executed this Agreement Containing Covenants Affecting Real Property to be effective as of the date first written above. CITY: CITY OF HUNTINGTON BEACH, APPROVED AS TO FORM: a unicipal corporation Mayor City Attorney r -t/ ")/0r 97_aa-c�� ATT ST: REVIEWED AND APPROVED: ram' City Clerk City Aldffiinistrator INITIA,To AND APPROVED: Director of Planning STATE OF CALIFORNIA } ) ss. COUNTY OF ORANGE ) On&otlelvke S , 2001, before me, /�%6-/�1144Aefi`o�r/, Notary Public, personally appeared and personally known to me to be the person(s) whose name(s).istare subscribed to the within instrument and acknowledged to me that be4ho/they executed the same in-hiss /their authorized capacitylies, and that by Iisther/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. IdOESIL YIRGINIA R. MELTON Cc�lWori 1 Signatur -� [SEAL) Exhibit "B" FAW?5i0LB0RDWALK%FFRDHSG.AG2 07124MI page 3 of 5 i • OWNER: PLC, a California general partnership By: PLC Holdings, a California general partnership as a general partner By: PACLACO, INC., a California corporation as its general partner By: - �' k Its By: Its_ At yree-- � a •� By: TIL HUNTINGTON BEACH, LLC, a Delaware limited liability company, as a general partner By: LENNAR LAND PARTNERS II, a Florida general partnership, its managing member By: LENNAR HOMES OF C ORNIA, INC., a California corporat' n, its Attorney-in-Fact By: Its ice P esi dee Exhibit "B" FAWP511DLBZRDWALKWFFRDHSG.AG2 9 o 2"l Page 4 of 5 STATE OF CALIFORNIA } ) ss. COUNTY OF ORANGE ) On,,,� ` 141, 2001, before me, , Notary Public, person aily appeared _f'Yy,�i �C.(�,ti`rs and �pI C)' , personally known to me ( f to be the persons whose nameUs 4Ware subscribed to the within instrument and acknowledged to me that he4lielt� hey executed the same in hisAwltheir authorized capacitylies, and that by hWherltheit signature�on the instrument the person, or the entity upon behalf of which the person acted, executed the instrument. WITNESS my hand and official seal. or Signature A AjkM' -� cw� [SE11 KWMDRASOOTt C.ammhidw#12nM Noftr ftm-caFart oMnM cam► W Comm.B0wJun7.2M3 STATE OF CALIFORNIA ) ) ss. COUNTY OF ORANGE } On 11 , 2001, before me, -e- Notary Public, personally appeared .-TA r►AEhA,, M- SadQ , personally known to me (eHxGven } to be the person(,A) whose name is subscribe to the within instrument and acknowledged to me thatie'shslkxey executed the same in is eMheiF authorized capacity/ids, and that by is heFAheir signature" on the instrumen the person(*, or the entity upon behalf of whit the personN acted, executed the instrument. WITNESS my hand and official seal. CEE DAKM Garton O 125MY Nokxyfttft-carrorr�ta Signature Orange cour" - [S OMVCWM E rl PAAprAM Exhibit "B" F:kWP514DLB13RDWALKWFFRRHSG.AG2 a7r2a o1 Page 5 of 5 LEGAL DESCRIPTION OF THE SITE That certain real property located in the City of Huntington Beach, County of Orange, State of California, more particularly described as: PARC FL A: LOTS 23 TO 27, INCLUSIVE, IN BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS SHOWN ON A MAP THEREOF RECORDED IN BOOK 7, PAGES 27 AND 28 OF MISCELLANEOUS MAPS, RECORDS OF SAID COUNTY, CALIFORNIA PARrFL 13-1 THE NORTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING PARALLEL WITH THE SOUTH LINE OF SAID LOT 20. PARCEL B-2B-2: THE SOUTH ONE-HALF OF THE SOUTH ONE-HALF OF LOT 20 IN BLOCK "B" OF THE GARFIELD STREET ADDITION TO HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 7, PAGES 27 AND 28, OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, THE NORTH LINE OF SAID PROPERTY BEING PARALLEL WITH THE SOUTH LINE OF SAID LOT 20. FAWP511DL05BRD WAWAFFRDHSG.AG2 07124101 Attachment No. 1 RCA ROUTING SHEET INITIATING DEPARTMENT: Planning SUBJECT: Affordable Housing Agreement for PLC COUNCIL MEETING DATE: I October 15, 2001 RCA ATTACHMENTS STATUS Ordinance (w/exhibits & le islative draft if applicable) Not Applicable Resolution (w/exhibits & legislative draft if applicable) Not Applicable Tract Map, Location Map and/or other Exhibits Not Applicable Contract/Agreement(wlexhibits if applicable) (Signed in full by the City Attome Attached Subleases, Third Party Agreements, etc. (Approved as to form !?y Ci Attome Not Applicable Certificates of Insurance LApproved by the Pity Attome Not Applicable Financial Impact Statement Unbud et, over $5,000 Not Applicable Bonds If applicable) Not Applicable Staff Report If applicable) Attached Commission, Board or Committee Report If applicable) Not Applicable Findings/Conditions for Aeproval and/or Denial Not A licable EXPLANATION FOR MISSING ATTACHMENTS REVIEWED RETURNED f FORWARDED Administrative Staff t) Assistant Ci Administrator Initial City Administrator Initial City Clerk7--�� EXPLANATION FOR RETURN OF ITEM: (Below Only) RCA Author: MBB f