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HomeMy WebLinkAboutOrdinance 2703 N.C.S. 01/06/20201 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 EFFECTIVE DATE ORDINANCE NO. 2703 N.C.S. OF ORDINANCE February 5, 2020 Introduced by Seconded by Kathy Miller Dave King AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PETALUMA AUTHORIZING THE CITY MANAGER TO EXECUTE ALL CITY DOCUMENTS RELATING TO THE TWENTY-FIVE AFFORDABLE UNITS IN THE BRODY RANCH SUBDIVISION INCLUDING GRANT DEEDS TRANSFERRING LAND TO THE HOUSING LAND TRUST OF SONOMA COUNTY AND, AFFORDABLE HOUSING AGREEMENTS WITH OPTION TO PURCHASE WITH THE HOUSING LAND TRUST TO MAINTAIN THE PROPERTIES IN PETALUMA'S FIRST TIME HOMEBUYER PROGRAM WHEREAS, since 1985 the City Council has developed housing goals to address the broad range of housing needs within the community, including the City's initial General Plan Housing Element; and WHEREAS, the City Council adopted the 2015-2023 General Plan Housing Element on December 1, 2014 pursuant to Resolution No. 2014-190, including several programs to promote the development of affordable housing; and WHEREAS, since 1988, the City, in partnership with nonprofit developers, has helped build 172 units of for -sale housing for first time homebuyers, and has provided homeownership to 267 families, including initial sales and re -sales; and WHEREAS, Policy 4.3 of the Housing Element in the City's General Plan calls for helping facilitate the entry of low and moderate -income households into the housing market by partnering with the Housing Land Trust; and 29 WHEREAS, in 2016, DeNova Homes Inc. filed an application for development of 30 approximately 15.9 acres in the City of Petaluma located at 360 Corona Road and more commonly 31 known as the "Brody Ranch Subdivision;" and 32 33 WHEREAS, DeNova Homes Inc. ("DeNova") and the Housing Land Trust of Sonoma County 34 ("HLT") entered into a Memorandum of Understanding on August 5, 2016 in order to facilitate the 35 development of twenty-five affordable housing units in the Brody Ranch Subdivision; and 36 Ordinance No. 2703 N.C.S. Page 1 1 WHEREAS, On January 9, 2017, the City Council adopted Resolution #2017-013 N.C.S., 2 approving the vesting Tentative Subdivision map for Brody Ranch and the Conditions of Approval 3 recommended by the Planning Commission; and 4 5 WHEREAS, Item #15 of the Conditions of Approval required DeNova to develop twenty-five 6 on-site dwellings affordable in perpetuity to low -and moderate -income household; and 7 8 WHEREAS, the City of Petaluma entered into an Inclusionary Housing Agreement with 9 Petaluma 199, a subsidiary of DeNova Homes and on July 10, 2018, and 10 11 WHEREAS, Section 46 of the Petaluma City Charter provides that certain City Council 12 actions must be taken by ordinance, including certain actions for acquisition, sale or lease of 13 real property; 14 15 NOW, THEREFORE, be it ordained by the council of the City of Petaluma as follows: 16 17 SECTION 1: The City Manager is hereby authorized and directed to execute on behalf 18 of the City all City documents relating to the twenty-five affordable units in the Brody Ranch 19 Subdivision, including documents transferring land to the Housing Land Trust of Sonoma 20 County and affordability agreements with the Housing Land Trust to maintain the units in 21 Petaluma's First Time Homebuyer Program. 22 23 SECTION 2: The City Manager is hereby authorized and directed to execute on behalf 24 of the City documents substantially in accordance with those attached to and made a part 25 of this ordinance as Exhibit A to this ordinance, and/or revised versions of such documents 26 and/or additional documents as may be recommended and approved by the City Attorney 27 to accomplish the purchase of the affordable units in the Brody Ranch Subdivision to maintain 28 their affordability as part of the City's First Time Homebuyer program consistent with the 29 purposes of the City's General Plan Housing Element, the First Time Homebuyer Program and 30 this ordinance. 31 32 SECTION 3: If any part of this Ordinance is for any reason held to be unconstitutional, 33 unlawful or otherwise invalid by a court of competent jurisdiction, such decision will not affect 34 the validity of the remaining parts of this Ordinance. The City Council of the City of Petaluma 35 hereby declares that it would have passed and adopted this Ordinance and each of its 36 provisions irrespective of any part being held invalid. 37 38 SECTION 4: On January 9, 2017, the City Council adopted Resolution 2017-011 N.C.S. 39 approving a Mitigated Negative Declaration and Mitigation Monitoring and Reporting 40 Program for the Brody Ranch project, including the affordable housing components of the 41 project. The authority granted to the City Manager to execute transactional documents on 42 behalf of the City to implement the on-site affordable housing component of the Brody Ranch Ordinance No. 2703 N.C.S. Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 project involves no environmental impacts not already addressed in the Mitigated Negative Declaration and Mitigation Monitoring and Reporting Program already approved for the project. SECTION 5: This Ordinance will become effective thirty days after the date of its adoption by the Petaluma City Council. SECTION 6: The City Clerk is hereby directed to post and/or publish this Ordinance or a synopsis for the period and in the manner required by the City Charter. INTRODUCED, and orderedpublished/posted this 16th day of December 2019. ADOPTED this 6th day of January 2020, by the following vote: Ayes: Mayor Barrett, Fischer, Healy, Kearney, King, Vice Mayor McDonnell, Miller Noes: None Abstain: None Absent: None ATTEST: t Claire Cooper, City Clerk GRA Teresa Barrett, Mayor APPROVED AS TO FORM: Lisa Tennenbau As istant City Attorney Ordinance No. 2703 N.C.S. Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 Recording requested by and when recorded mail to: City of Petaluma 1 1 English Street Petaluma, CA 94952 Attn: City Clerk EXEMPT FROM RECORDING FEES PER GOVERNMENT CODE ��6103, 27383 Exhibit A Space above this line for Recorder's use. AFFORDABLE HOUSING AGREEMENT AND DECLARATION OF RESTRICTIVE COVENANTS ("REGULATORY AGREEMENT") This Affordable Housing Agreement and Declaration of Restrictive Covenants (this "Agreement") is entered into effective as of , 2019 ("Effective Date") by and between the City of Petaluma, a California municipal corporation and charter city ("City") and the Housing Land Trust of Sonoma County, a California nonprofit public benefit corporation ("HLT"). City and HLT are hereafter referred to as the "Parties." RECITALS A. Pursuant to the Petaluma Implementing Zoning Ordinance, Ordinance No. 2300 N.C.S., Section 3.040 (the "Ordinance"), residential developments of five (5) or more units are required to contribute to the provision of below market -rate housing as specified therein. In order to satisfy its obligation under the Ordinance with respect to that certain development known as the Brody Ranch Subdivision, consisting of One hundred and ninety-nine (199) residential units (the "Development") in the City of Petaluma, County of Sonoma, and State of California, Petaluma 199 LP, a Limited Partner ("Subdivider"), has agreed to contribute a portion of the property in the Development, for the construction of twenty-five (25) residential units to be restricted for occupancy to certain income levels (the "Restricted Homes" or the "Project"), as set forth herein, and as more particularly described in Exhibit B B. As of the Effective Date, the land underlying Lot 9, 1432 Sylvia Way, Petaluma, CA, and as more particularly described in Exhibit A, has been conveyed to HLT by Subdivider pursuant to a Grant Deed recorded in the Official Records of Sonoma County ("Official Records"). C. HLT has entered into, or shall enter into an agreement with Subdivider, pursuant to which Subdivider will construct the Restricted Homes as part of the larger Development, and sell the Restricted Homes constructed on the Property to eligible homebuyers at an affordable price. Concurrently with the sale of each of the Restricted Homes, HLT will enter into a Declaration of Affordability Covenants, Buyer's Occupancy Resale Restriction and Option to Purchase ("Declaration") as well as a ground lease ("Ground Lease") for Restricted Homes with each homebuyer in order to ensure long-term affordability of the Restricted Homes. Ordinance No. 2703 N.C.S. Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 D. This Agreement is entered into to provide assurance to City that the Restricted Homes shall comply with the requirements of the Ordinance and the conditions of approval for the Brody Ranch Subdivision. NOW, THEREFORE, the Parties agree as follows: 1. Definitions. As used in this Agreement, the following terms shall have the meanings set forth below. Additional terms are defined in the Recitals and the text of this Agreement. (a) "Affordable Purchase Price" means a home purchase price resulting in an average monthly housing payment (including mortgage loan principal and interest, mortgage insurance fees, property taxes and assessments, a reasonable allowance for property maintenance and repairs, homeowners insurance premiums, a reasonable utility allowance, and homeowners association dues, if any) which is affordable to households of Low to Moderate -Income, as determined using standard underwriting criteria in common use by Fannie Mae or the California Housing Finance Agency. (b) "Area Median Income" means the median household income, adjusted for household size, applicable to Sonoma County, California as published periodically by the State Department of Housing and Community Development in the California Code of Regulations, Title 25, Section 6932 pursuant to California Health and Safety Code Section 50093(c) (or successor provision). (c) "Eligible Buyer" means a household of Low- to Moderate—Income, as applicable, which the City has determined meets the eligibility requirements for purchase of a Restricted Home. (e) "Low -Income" means an annual income which does not exceed eighty percent (80%) of the Area Median Income adjusted for household size. (f) "Median -Income" means an annual income which does not exceed one hundred percent (100%) of the Area Median Income, adjusted for household size. (g) "Moderate -Income" means an annual income which does not exceed one hundred twenty percent (120%) of the Area Median Income, adjusted for household size. (h) "Maximum Initial Sales Price" means the initial Affordable Purchase Price for a Home as determined by City. 2. Satisfaction of Affordable Housing Obligation, Subdivider will construct twenty-five (25) Restricted Homes on the Property and sell nine (9) Restricted Homes at an Affordable Purchase Price to an Eligible Buyer of Low- Income, sixteen (16) Restricted Homes at an Affordable Purchase Price to an Eligible Buyer of Moderate -Income, in accordance with income categories specified in Exhibit B. Concurrently with the sale of each Restricted Home, HLT shall require the homebuyer to execute a Declaration and related Deed of Trust (the "Deed of Trust") substantially in the form attached hereto as Exhibit C or a Ground Lease, substantially in for the attached hereto as Exhibit C -1. -Among other provisions, the Declaration or Ground Lease, as applicable, will require each Restricted Home (i) to be used solely for residential purposes (ii) to be occupied as the homebuyer's principal residence, and (iii) to be permitted to be transferred only to HLT, another Eligible Buyer, or upon the death of the homebuyer, to the homebuyer's heirs who qualify as Low - Income, Median -Income or Moderate -Income, as applicable. HLT agrees that the intent of this Agreement, the Declaration and Ground Lease is that the Restricted Homes shall be permanently affordable to Eligible Buyers of Low -Income to Moderate -Income, as applicable, and HLT agrees that resale of the Restricted Homes shall be so restricted pursuant to the Declaration or Ground Lease, as applicable. Ordinance No. 2703 N.C.S. Page 5 1 2 3. Marketing and Sale to Eligible Buyers. HLT shall require Subdivider to sell the Restricted 3 Homes developed on the Property at an Affordable Purchase Price as described in Section 4 to 4 Eligible Buyers of Low -Income, Median -Income or Moderate -Income, as applicable, and in 5 accordance with Exhibit B. Within the pool of eligible applicants, preference is to be given to 6 persons that either live or work in Petaluma. City shall cooperate with HLT to identify Eligible Buyers; 7 however, HLT will have primary responsibility for marketing the Restricted Homes, finding qualified 8 Eligible Buyers, and screening and selecting applicants. City shall have no obligation to pay costs 9 related to marketing, sales efforts or real estate commissions. HLT agrees that it shall comply, and 10 shall require Subdivider to comply, with applicable fair housing laws in the marketing and sale, as 11 applicable, of the Restricted Homes. 12 13 4. Affordable Purchase Price. The Maximum Initial Sales Price for the Homes is shown in 14 Exhibit B attached hereto and incorporated herein. 15 16 5. City Review of Documents. Upon request, HLT agrees that it shall provide the the 17 form of Ground Lease, Declaration and Deed of Trust to be executed by the homebuyers. 18 19 6. Compliance Reports, Inspections, Monitoring. Upon completion of construction of 20 the Restricted Homes, and annually thereafter by no later than each anniversary of the Effective 21 Date, upon City's request HLT shall submit to City a Compliance Report verifying HLT's compliance 22 with this Agreement, and certified as correct by HLT under penalty of perjury. The Compliance 23 Report shall be in such format as City may reasonably request and shall contain certifications 24 regarding the eligibility of homebuyers and evidence of the homebuyer's and HLT's execution of the 25 Ground Lease or Declaration, as applicable. 26 27 HLT shall retain all records related to compliance with this Agreement, and shall make such 28 records available to City or its designee for inspection and copying on five (5) business days' written 29 notice. HLT shall permit City and its designees to inspect the Property to monitor compliance with this 30 Agreement following two (2) business days' written notice. 31 32 7. Covenants Run with the Land. The covenants and conditions herein contained shall 33 apply to and bind, during their respective periods of fee ownership, HLT and its heirs, executors, 34 administrators, successors, transferees, and assignees having or acquiring any right, title or interest in 35 or to any part of the Property and shall run with and burden such portions of the Property. This 36 Agreement shall remain in effect in perpetuity unless released by City pursuant to an instrument 37 recorded in the Official Records of Sonoma County. 38 39 8. Default and Remedies. Failure of HLT to cure any default in HLT's obligations under 40 this Agreement within thirty (30) days after the delivery of a notice of default from the City will 41 constitute an Event of Default under this Agreement. In addition to remedies set forth in this 42 Agreement, the City may exercise any and all remedies available under law or in equity, instituting 43 against HLT or other applicable parties, a civil action for declaratory relief, injunction or any other 44 equitable relief, or relief at law, including without limitation an action to rescind a transaction and/or 45 to require repayment of any funds received in connection with such a violation. 46 47 9. Option to Purchase Enter and Possess or Assignment of Rights. 48 A. For those Restricted Homes that are subject to a Ground Lease the following shall apply. 49 City shall have the right at its option to purchase, enter and take possession of the Property or any 50 portion thereof owned by HLT with all improvements thereon (the "Option"), if, at or after the initial 51 sale of the Restricted Homes to Eligible Buyers, the Restricted Homes are sold to persons who do not 52 qualify as Eligible Buyers. In such event City shall have an option to purchase any such Restricted Ordinance No. 2703 N.C.S. Page 6 1 Homes at the Affordable Purchase Price as determined pursuant to this Agreement, or the City may 2 pursue any remedies it may have under this Agreement, the Deed of Trust or under law or in equity. 3 In order to exercise the Option, the City shall give HLT notice of such exercise, and HLT shall, 4 within thirty (30) days after receipt of such notice, provide the City with a summary of all of HLT's 5 costs incurred as described in this Section. Within thirty (30) days of the City's receipt of such 6 summary, the City shall pay into an escrow established for such purpose cash in the amount of all 7 sums owing pursuant to this Section 9, and HLT shall execute and deposit into such escrow a grant 8 deed transferring to the City all of HLT's interest in the Property, or portion thereof, as applicable and 9 the improvements located thereon. 10 B. For those Restricted Homes that are subject to a Declaration, the following shall apply: If, 11 at or after the initial sale of the Restricted Homes to Eligible Buyers, the Restricted Homes are sold to 12 persons who do not qualify as Eligible Buyers, the City shall have the option to assume HLT's rights 13 under each Declaration and Deed of Trust. Upon notice from the City of a violation under this 14 Section 9B and the exercise of the option under this Section 9B by the City, HLT shall assign its interest 15 in the applicable Declaration(s) and Deed(s) of Trust to the City. In such event City shall assume the 16 rights and obligations of HLT under the applicable Declaration(s) and Deed(s) of Trust. 17 In order to exercise the option to assume described in 9B above, the City shall give HLT 18 notice of assignment, and HLT shall, within thirty (30) days after receipt of such notice to assign its 19 rights and obligations under the applicable Declaration and Deed of Trust to the City. 20 10. Mortgagee Protection. The City's rights pursuant to Section 9 shall not defeat, limit or 21 render invalid any mortgage or deed of trust recorded against the Property or any portion thereof, 22 including without limitation, any Restricted Home. Any conveyance of the Property to the City 23 pursuant to Section 9 shall be subject to mortgages and deeds of trust permitted by this Agreement. 24 Notwithstanding any other provision in this Agreement to the contrary, this Agreement shall not 25 diminish or affect the rights of the California Housing Finance Agency ("Call -IFA"), HUD, the Federal 26 National Mortgage Association ("FNMA"), or the Veterans Administration ("VA") under any 27 mortgage recorded against the Property in compliance with the Declaration. 28 11. Remedies Cumulative. No right, power, or remedy specified in this Agreement is 29 intended to be exclusive of any other right, power, or remedy, and each and every such right, 30 power, or remedy shall be cumulative and in addition to every other right, power, or remedy 31 available to the City under law or in equity. Neither the failure nor any delay on the part of the City 32 to exercise any such rights, powers or remedies shall operate as a waiver thereof, nor shall any single 33 or partial exercise by the City of any such right, power or remedy preclude any other or further 34 exercise of such right, power or remedy, or any other right, power or remedy. 35 36 12. Attorneys' Fees and Costs. The City shall be entitled to receive from HLT or any person 37 violating the requirements of this Agreement, in addition to any remedy otherwise available under 38 this Agreement or at law or equity, whether or not litigation is instituted, the costs of enforcing this 39 Agreement, including without limitation reasonable attorneys' fees and the costs of City staff time. 40 In any dispute arising in connection with this Agreement, the prevailing party shall be entitled to 41 recover reasonable attorneys' fees. 42 43 13. Appointment of Other Agencies. In its sole discretion, the City may designate, 44 appoint or contract with any other person, public agency or public or private entity to perform 45 some or all of the City's obligations under this Agreement. 46 47 14. Hold Harmless. HLT agrees to indemnify, defend (with counsel approved by the City) 48 and hold harmless City and its elected and appointed officials, officers, employees, representatives 49 and agents (all of the foregoing, collectively the "Indemnitees") from and against all liability, loss, Ordinance No. 2703 N.C.S. Page 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 cost, claim, demand, action, suit, legal or administrative proceeding, penalty, deficiency, fine, damage and expense (including, without limitation, reasonable attorney's fees and costs of litigation) (all of the foregoing, collectively hereinafter "Claims") arising or allegedly arising out of or relating in any manner to the Project, the Property, or HLT's performance or nonperformance under this Agreement, except to the extent arising from the gross negligence or willful misconduct of the City. The provisions of this section shall survive the expiration or other termination of this Agreement or any release of part or all of the Property from the burdens of this Agreement. 15. Insurance Requirements. HLT shall obtain and maintain at HLT's expense, Commercial General Liability, naming Indemnitees as additional insureds with aggregate limits of not less than Two Million Dollars ($2,000,000) for bodily injury and death or property damage including coverage for contractual liability and premises operations, purchased from an insurance company duly licensed to issue such insurance in the State of California with a current Best's Key Rating of not less than A-V, such insurance shall be evidenced by an endorsement which so provides and delivered to the City prior to the Effective Date. 16. Notices. All notices required pursuant to this Agreement shall be in writing and may be given by personal delivery or by registered or certified mail, return receipt requested, to the party to receive such notice at the addresses set forth below: City: H LT: City of Petaluma 11 ENGLISH STREET Petaluma, CA 94952 Attn: City Clerk Housing Land Trust of Sonoma County P.O. Box 5431 Petaluma, CA 94955-5431 Attn: Executive Director Any party may change the address to which notices are to be sent by notifying the other parties of the new address, in the manner set forth above. 17. Integrated Agreement; Amendments. This Agreement, together with the exhibits hereto constitutes the entire Agreement between the Parties with respect to the subject matter hereof. No modification of or amendment to this Agreement shall be binding unless reduced to writing and signed by the Parties. The City Manager or his or her designee shall have authority to approve or disapprove minor or technical amendments to this Agreement on behalf of the City. 18. Subordination; Execution of Riders for the Benefit of Mortgage Lenders. City agrees that if required in order to assist Eligible Buyers to secure purchase money financing for the acquisition of a Home, the City will enter into a subordination agreement with a purchase money lender to subordinate this Agreement under such terms as the City and the purchase money lender shall negotiate provided that City is granted reasonable notice and cure rights under the first mortgage. The City further agrees that if City succeeds to the interest of HLT under the Ground Lease applicable to any one or more Restricted Homes pursuant to the exercise of City's remedies under this Agreement or the Deed of Trust, the City agrees that it shall recognize the Lessee under the Ground Lease and shall comply with the requirements of Fannie Mae Form 2100 (3/06) and Fannie Mae Announcement 06-03 or similar successor policy, as such documents may be modified or amended. Notwithstanding any other provision hereof, the provisions of this Agreement shall be subordinate to the lien of the First Lender Loan (as defined in the Declaration) and shall not impair Ordinance No. 2703 N.C.S. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 the rights of the First Lender, or the First Lender's successor or assign, to exercise its remedies under the First Lender Deed of Trust in the event of default under the First Lender Deed of Trust by the Owner. Such remedies under the First Lender Deed of Trust include the right of foreclosure or acceptance of a deed or assignment in lieu of foreclosure. After such foreclosure or acceptance of a deed or assignment in lieu of foreclosure, this Agreement shall be forever terminated and shall have no further effect as to the Unit or any transferee thereafter; provided, however, if the holder of such First Lender Deed of Trust acquired title to the Home pursuant to a deed or assignment in lieu of foreclosure and no notice of default was recorded against the Home by such holder in connection therewith, this Agreement shall automatically terminate upon such acquisition of title, only if (i) the City has been given written notice of default under such First Lender Deed of Trust with a sixty (60) - day cure period (which requirement shall be satisfied by recordation of a notice of default under California Civil Code Section 2924), and (ii) the City shall not have cured the default within the sixty (60) -day period. Owner agrees to record any necessary documents to affect such termination, if applicable 19. Parties Not Co -Venturers. Nothing in this Agreement is intended to or shall establish the Parties as partners, co -venturers, or principal and agent with one another. 20. Further Assurances; Action by the City. The Parties shall execute, acknowledge and deliver to the other such other documents and instruments, and take such other actions, as either shall reasonably request as may be necessary to carry out the intent of this Agreement. Except as may be otherwise specifically provided herein, whenever any approval, notice, direction, consent or request by the City is required or permitted under this Agreement, such action shall be in writing, and such action may be given, made or taken by the City Manager or by any person who shall have been designated by the City Manager, without further approval by the City Council unless the City Manager determines in his or her discretion that such action requires such approval. 21. Governing Law; Venue. This Agreement shall be construed and enforced in accordance with the laws of the State of California without regard to principles of conflicts of law. The Parties consent to the jurisdiction of any federal or state court in the jurisdiction in which the Property is located (the "Property Jurisdiction"). Borrower agrees that any controversy arising under or in relation to this Agreement shall be litigated exclusively in courts having jurisdiction in the Property Jurisdiction. Borrower irrevocably consents to service, jurisdiction, and venue of such courts for any such litigation and waives any other venue to which it might be entitled by virtue of domicile, habitual residence or otherwise. 22. No Waiver. Any waiver by the City of any obligation or condition in this Agreement must be in writing. No waiver will be implied from any delay or failure by the City to take action on any breach or default of HLT or to pursue any remedy allowed under this Agreement or applicable law. Any extension of time granted to HLT to perform any obligation under this Agreement shall not operate as a waiver or release from any of its obligations under this Agreement. Consent by the City to any act or omission by HLT shall not be construed to be a consent to any other or subsequent act or omission or to waive the requirement for the City 's written consent to future waivers. 23. Headings. The titles of the sections and subsections of this Agreement are inserted for convenience of reference only and shall be disregarded in interpreting any part of the Agreement's provisions. 24. Counterparts. This Agreement may be executed in counterparts, each of which shall be an original and all of which taken together shall constitute one and the same instrument. 25. Severability. If any provision contained in this Agreement is to be held by a court of competent jurisdiction to be void or unenforceable the remaining portions of this Agreement shall remain in full force and effect. Ordinance No. 2703 N.C.S. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 26. Exhibits. The following exhibits attached to this Agreement are hereby incorporated herein by reference: Exhibit A Legal Description of the Property Exhibit B Maximum Homebuyer Income Level; Unit Size and Bedroom Count; Maximum Initial Sales Price Exhibit C Form of Declaration and Deed of Trust Exhibit C-1 Form of Ground Lease [SIGNATURES ON FOLLOWING PAGE; SIGNATURES MUST BE NOTARIZED] Ordinance No. 2703 N.C.S. Page 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 IN WITNESS WHEREOF, the Parties have executed this Agreement as offhe date first written above. H LT: Housing Land Trust of Sonoma County, A nonprofit public benefit corporation Its: CITY: City of Petaluma, a California municipal corporation By: Peggy Flynn, City Manager ATTEST: City Clerk APPROVED AS TO FORM: By: Eric W. Danly, City Attorney Ordinance No. 2703 N.C.S. Page I I 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 Exhibit A LEGAL DESCRIPTION OF THE PROPERTY Real property in the City of Petaluma, County of Sonoma, State of California, described as follows: , as shown upon the map entitled " ", filed 200 in Book of Maps Pages Sonoma County Records. APN: Ordinance No. 2703 N.C.S. Page 12 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 Exhibit B Brody Ranch Workforce housing maximum sales price sheet 21 CONDOS: Low Income Households: 80% area medium income: 1 Bedroom 2 Bedroom 3 Bedroom Sales Price ; $144,000 $170,000 $195,100 Medium Income Household: 100% area medium income: 1 Bedroom 2 Bedroom 3 Bedroom Sales Price $215,000 $250,000 $285,000 Moderate Income Households: 120% area medium income: 1 Bedroom 12 Bedroom ( 3 Bedroom Sale Price $270,000 DUETS: Lots 9 & 10 Moderate Income Household: 4 Bedroom Sale Price $370,000 SFH: Lots 21 & 22 Moderate Income Household: 4 Bedroom Sale Price $393,000 Unit Income Classification Lot Nos. Moderate Income 9 Moderate Income 10 15,000 $355,000 Address 1432 Sylvia Way, Petaluma 1428 Sylvia Way, Petaluma Ordinance No. 2703 N.C.S. Page 13