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HomeMy WebLinkAboutDeed 1357 Deed 1357 Doc # 2010 - 0288216 06/23/2010 08:00A Fee:NC Page 1 of 15 RECORDING REQUESTED BY ) Recorded in Official Records AND WHEN RECORDED MAIL T0: ) County of Riverside Larry W. Ward Assessor, County Clerk & Recorder Redevelopment Agency of the City of Cathedral IIIIII edral City ) VIII IIIIIIillllilllllillllllllllilllllllllllllll 68 -700 Avenida Lalo Guerrero ) Cathedral City, CA 92234 Attn • Agency Secretary S R U PAGE SIZE DA MISC LONG RFD COPY AM Ig o- 316 -c0 ( � M A L 465 426 PCOR NCOR SMF NCHG EXAM II ! l +� ` T: CTY UNI M1' Exempt from Recording Fees Per Government Code Section 27383 I &Js DECLARATION OF AFFORDABILITY COVENANTS THIS DECLARATION OF AFFORDABILITY COVENANTS (this "Declaration ") is made on May 3, 2010, by Rancho Housing Alliance, Inc., a California non - profit public benefit corporation ( "Declarant ") with respect to certain property located in the City of Cathedral City, County of Riverside, California, as more fully described in Exhibit "A" attached hereto and incorporated herein by this reference (the "Property "). WHEREAS, Declarant is the fee simple owner of the Property; and WHERAS, the Property has been improved with a multi- family rental housing complex consisting of 2 units (the "Project "); and WHEREAS, Declarant, the County of Riverside (the "County "), and the Redevelopment Agency of the City of Cathedral City (the "Agency ") have agreed that the Property and the Project shall be included in the Neighborhood Stabilization Program of Riverside County (the "NSP -4 Program "); and WHEREAS, in accordance with the NSP -4 Program, Declarant has agreed to rehabilitate the Property in order to bring it into compliance with the Cathedral City Municipal Code (the "CCMC ") as well as all applicable building and development codes, as may be interpreted and enforced by the Cathedral City Building Department; and 1 WHEREAS, pursuant to the mutual agreement of the Agency and Declarant, and in consideration for the Agency's consent to include the Property in the NSP -4 Program, Declarant has agreed to rehabilitate and maintain the Property as multi- family rental housing to be made available at affordable rent to persons or families of very low income, as those terms are hereinafter defined, and to impose certain other covenants upon the Property; and WHEREAS, Declarant desires this Declaration to serve as the instrument to impose said covenants. NOW THEREFORE, Declarant declares that the Property described above is held and will be held, transferred, encumbered, used, sold, conveyed, leased and occupied subject to the covenants, restrictions and limitations set forth in this Declaration, all of which are in accordance with the requirements of the NSP -4 Program and the California Community F Redevelopment Law (California Health and Safety Code section 33000 et seq.). All of the restrictions, covenants and limitations will run with the land and will be binding on all parties having or acquiring any right, title or interest in the Property described above or any part thereof, and to any improvements located thereon, and will inure to the benefit of the Agency and the future lessees of the Property. Each grantee of a conveyance or purchaser under a contract or agreement of sale covering any right, title or interest in any part of the Property, by accepting a deed or a contract of sale or agreement of purchase, accepts the document subject to, and agrees to be bound by, any and all of the restrictions, covenants and limitations set forth in this Declaration. 1. Recitals The Recitals set forth above are true and correct and incorporated herein by this reference. 2. Affordability Covenants Declarant hereby agrees that the following Affordability Covenant shall be effective as of its date of recordation with the Riverside County Recorder's Office, and shall remain in effect for Fifty -Five (55) years from such date. Declarant covenants that each of the units to be rehabilitated and maintained on the Property will be available at affordable rent to and occupied by qualified persons or families with very low income, as those terms are defined by Sections 50053 and 50105 of the California Health and Safety Code, respectively, and as set forth in this Declaration ( 2 P 2a1M288216 IIIIII IIIIIII IIII VIII IIIIII IIIII IIIII III IIIII IIII IIII 06./2- 2of 65 00R and provided under the California Community Redevelopment Law (the "Affordability Covenants "). 3. Compliance with Affordability Covenants In order to insure compliance with the Affordability Covenants set forth in this Declaration, each of the following shall occur: F, (a) Declarant and its successors shall ensure that each lessee of a housing unit on the Property executes, under penalty of perjury, an income verification and information form ( "Income Verification and Information Form "), in a form reasonably acceptable to the Agency, certifying the lessee's income. Units will be leased only to lessees who have incomes qualifying under the affordability covenants set forth herein. ( (b) Declarant and his successors shall obtain a copy of each lessee's federal income tax return for the taxable F year immediately preceding such lessee's initial occupancy in the Project or, if a lessee certifies that he or she did not file or did not retain a copy of such tax return, other t satisfactory evidence of income for such year, such, as wage statements or employer records. (c) Annually, Declarant and its successors shall provide to the Agency copies of said executed Income Verification and Information Forms with respect to each lessee along with a summary for the applicable year signed by Declarant or its successor, certifying compliance with the provisions of this Declaration under penalty of perjury as may be required by the Agency and California State Law. f L (d) Prior to the completion of the fifty -five (55) -year period of the Affordability Covenants, in order to certify the compliance of Declarant or its successor with these 3 provisions, the Agency shall have a right to inspect the books and records pertaining to such matters of the then owner(s) or operator(s) of the Property. 4. Management and Maintenance of Property During such time as the Affordability Covenants are in effect, the t Property shall at all times be maintained in a neat and orderly condition consistent with good management practices and in accordance with all applicable Federal, State and local laws, k ` including, but not limited to the CCMC and any applicable building and development codes and in compliance with the following: 3 IIIIIIIIIIIIIIIIIIIIillllllllllllllli $ 2A1&-�� IIIII11111IIIIIIII 0F,z3, © 1 5 96R a (a) Declarant shall ensure that during the period when the Affordability Covenants as set forth herein apply to the Property at all times and that the Property be managed by an experienced on -site management staff (the "Management Agent "). Declarant, or an affiliated entity, shall serve as the Management Agent for the Property. (b) The Management Agent shall cause the Project at all times to be operated in a manner that will provide decent, safe and sanitary residential facilities to occupants thereof, by representatives experienced in complying with reporting requirements and occupancy restrictions similar to those imposed upon the Project by terms of this Declaration. The Management Agent shall ensure that tenants of the Project use the Property and the Project in a manner which fits in with the character of the surrounding neighborhood and the Agency's redevelopment goals. In order to achieve this, Declarant, or its designee, or the Management Agent or its designee, shall draft, or cause to be drafted, operating rules, policies and regulations for the Project, and include covenants in tenant leases which require proper use of the Property and Project (the "Operating Rules" and "Lease Covenants ", respectively). Such Operating Rules and n Lease Covenants shall be subject to the approval of the Agency, which approval shall not be unreasonably withheld. The Management Agent shall be responsible for enforcing such Operating Rules and Lease Covenants. Management practices, tenant qualification, and background checks shall conform, as closely as possible, to the principles of a "Crime -Free Multi - Family Housing Program ", whether or not the Cathedral City Police Department has an active Crime -Free Multi - Family Housing Program. (c) If the Agency determines in its reasonable judgment that the Project is not being operated and managed in accordance with all of the requirements and standards of this Declaration, and /or any other applicable laws, ordinances, regulations, or other restrictions imposed by law, then the Agency may deliver written notice to Declarant of its intention to cause replacement of the Management Agent. Within thirty (30) days of receipt by Declarant of such written notice, representatives of the Agency, Declarant and the Management Agent shall meet and confer in good faith to consider methods for improving the financial and operating status of the Project, including, without limitation, replacement of the Management Agent. If after such meeting, the Agency still elects to 4 201E�- 928821fi �' I I I I I I I I I I I I I I I V I I I I I I I I I IIIIIIIIIIIIIIIIIIIIIIIIII 06/23/ 4 of 1 5 0FlA III proceed with the replacement of the Management Agent, then the Agency shall notify Declarant in writing within fifteen (15) days following the meeting. Upon receipt of such notice, Declarant shall promptly dismiss the then Management Agent, and shall appoint, subject to the approval of the Agency, a person or entity to serve as Management Agent which meets the standards for a Management Agent set forth in the following paragraph. Declarant's failure to remove a Management Agent in accordance with the provisions of this paragraph (c) shall constitute an event of default hereunder. 4 (d) Declarant may not cease its operations as Management Agent without the prior written approval of the Agency and without presenting to the Agency a qualified third - party Management Agent to serve in its stead, which third -party Management Agent is subject to the approval of the Agency. In the event that Declarant seeks approval from the Agency to g appoint a third -party Management Agent, Declarant shall advise the Agency in writing of the identity of any such proposed qualified Management Agent. Any third -party Management Agent shall be properly licensed by the State of California. Declarant shall also submit such additional information about the background, licensing, experience, financial condition and other qualifications of any proposed third -party Management Agent as is reasonably necessary for the Agency to determine whether the proposed management agent meets the standards which the Agency may impose. Any contract for the operation or management of the Project entered into. by Declarant shall provide that such contract shall be terminated upon thirty (30) days notice, with or without cause. (e) Declarant covenants and agrees for itself, its successors, its assigns, and every successor in interest to the Property, or any part thereof, that Declarant, such successors and such assigns shall maintain in good condition the improvements on the Property, shall keep the Property free from any accumulation of debris or waste material, subject to normal construction job -site conditions, and shall maintain in a neat, orderly, healthy and good condition the landscaping, driveways and exterior appearance of the Property. In the event Declarant, or its successors or assigns, fails to perform the e maintenance as required herein, the Agency and /or the City of Cathedral City (the "City ") shall have the right, but not the obligation, to enter the Property and undertake, such maintenance activities. In such event, the Participant shall 5 ` w F I IIIIII IIIIiII IIII VIII IIIIII VIII VIII III VIII 1111 IN 96 �� 9 of 15199R reimburse the Agency and /or City for all reasonable sums incurred by it for such maintenance activities. 5. Nondiscrimination and Nonsegregation (a) There shall be no discrimination against or segregation of any person, or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, or on the basis of domestic partnership status or arrangement, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Property; nor shall Declarant, 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, sublessee or vendees of the Property. a Notwithstanding the immediately preceding paragraph, with respect to familial status, the immediately preceding paragraph shall not be construed to apply to housing for older persons, as defined in Section 12955.9 of the Government Code. With respect to familial status, nothing in the immediately preceding paragraph shall be construed to affect Sections 51.2., r 51.3, 51.4, 51.10, 51.11, and 799.5 of the Civil Code, relating to housing for senior citizens. Subdivision (d) of Section 51 and Section 1360 of the Civil Code and subdivisions (n), (o) and (p) of Section 12955 of the Government Code shall apply to the immediately preceding paragraph. (b) Declarant further agrees to cause the following nondiscrimination covenants to appear in all deeds, leases, and /or contracts affecting or relating to the Property: In deeds: `The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 6 1111 0 IIII 6/23/2010 E o£ 08: 5 00rt E E 12955, and Section 12955.2 of the Government Code or on the basis of domestic partnership status or arrangement, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land in perpetuity. Notwithstanding the immediately preceding paragraph, with respect to familial status, the immediately preceding paragraph shall not be construed to apply to housing for older t persons, as defined in Section 12955.9 of the Government Code. x With respect to familial status, nothing in the immediately preceding paragraph shall be construed to affect Sections 51.2, 51.3, 51.4, 51.10, 51.11, and 799.5 of the Civil Code, relating to housing for senior citizens. Subdivision (d) of Section 51 U and Section 1360 of the Civil Code and subdivisions (n), (o), and (p) of Section 12955 of the Government Code shall apply to the immediately preceding paragraph." In leases: `The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through him or her, 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 any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code or on the basis of domestic partnership status or arrangement, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, ry 4: location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees in the premises herein leased. The foregoing covenants shall run with the land in perpetuity. 7 r t Ilil lilt IIII Il VIII VIII III VIII IN 1111 es 201F� � � 5 E r Notwithstanding the immediately preceding paragraph, with respect to familial status, the immediately preceding paragraph shall not be construed to apply to housing for older persons, as defined in Section 12955.9 of the Government Code. With respect to familial status, nothing in the immediately preceding paragraph shall be construed to affect Sections 51.2, 51.3, 51.4, 51.10, 51.11, and 799.5 of the Civil Code, relating to housing for senior citizens. Subdivision (d) of Section 51 and Section 1360 of the Civil Code and subdivisions (n), (o), and (p) of Section 12955 of the Government Code shall apply to the immediately preceding paragraph." In contracts: "There shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in ( Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code or on the basis of domestic partnership status or arrangement, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises which are the subject of this Agreement, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land in perpetuity. Notwithstanding the immediately preceding paragraph, with respect to familial status, the immediately preceding paragraph shall not be construed to apply to housing for older persons, as defined in Section 12955.9 of the Government Code. With respect to familial status, nothing in the immediately preceding paragraph shall be construed to affect Sections 51.2, 51.3, 51.4, 51.10, 51.11, and 799.5 of the Civil Code, relating to housing for senior citizens. Subdivision (d) of Section 51 and Section 1360 of the Civil Code and subdivisions (n), (o), and (p) of Section 12955 of the Government Code shall apply to the immediately preceding paragraph." ( (c) The covenants set forth in this Section 5 shall remain in effect without limitation as to time. 6. Covenants Run with the Land 8 k t IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII 2010-0288216 6E 20 6506A } t (a) All of the foregoing covenants shall run with the land, and shall inure to the benefit of and be enforceable by the Agency, and its successors and assigns. (b) The covenants set forth in this Declaration shall run in favor of the Agency for the entire period during which such covenants are to remain in force as set forth herein, and shall be in effect without regard to whether the Agency has at any time been, remains, or is an owner of any land or interest therein to which these covenants relate. In the event of any breach of these covenants, the Agency shall have the F right to exercise all the rights and remedies available at law or in equity to enforce the curing of such breach. 7. Events of Default; Enforcement In the event of a' default in the performance or observance of any covenant, agreement or obligation as set forth in this Declaration and, if r such default remains uncured for a period of thirty (30) days after notice thereof shall have been given by the Agency, or such longer period as may be approved by the Agency in writing in its sole discretion, then the Agency may declare that an Event of Default has occurred hereunder and may take any one or more of the following steps, at its option: ( (a) By mandamus or other suit, action or proceeding at law or in equity, require Declarant or its successors in interest to perform its obligations and covenants x hereunder, or enjoin any acts or things which may be unlawful or in violation of the rights of the Agency hereunder; and 3 (b) Take whatever other action at law or in equity may appear necessary or desirable to enforce the obligations, covenants and agreements hereunder. g t No delay in enforcing the provisions hereof as to any breach or violation shall impair, damage or waive the right against or recover for the continuation or repetition of such breach or violation or any similar breach or violation thereof at any later time or times. 8. Attorneys' Fees In any legal proceeding to enforce the terms of or restrain a violation of this Declaration, the losing party or parties must pay the attorneys' fees of the winning party or parties in the amount fixed by the court in the proceeding. F c 9 z 11111 1111 IN 96 2 1 90 of 151 & & R 9. Amendments This Declaration may only be amended in writing by an instrument signed by the authorized representative of the Agency or it successor in interest and the then record owner or owners of the Property. 10. any Y . If p rovision of this Declaration shall be invalid, inoperative or unenforceable as applied in any particular case, in any jurisdiction or jurisdictions or in all jurisdictions, or in all cases because it conflicts with any other provision or provisions hereof or any constitution or statute or rule of public policy, or for any other reason, such circumstances shall not have the effect of rendering the provisions in question inoperative or e unenforceable in any other case or circumstance, or of rendering any other provision or provisions herein contained invalid, inoperative, or unenforceable to any extent whatsoever. The invalidity of any one or more phrases, sentences, clauses or sections contained in this Declaration shall not affect the remaining portions of this Declaration or any part hereof. 11. Headings The section headings are not part of this Declaration and will not affect the interpretation of any provisions hereof. 12. Time of the Essence In each provision of this Declaration which states a specific amount of time within which the requirements thereof are to be satisfied or are to persist, time shall be deemed to be of the essence. 13. Notices Any notice required to be given hereunder shall be given by personal delivery or by registered or certified mail at the addresses specified below or at such other addresses as may be specified in writing by the parties hereto:' x To Declarant: Rancho Housing Alliance, Inc. F 53 -990 Enterprise Way, Suite 1 Coachella, California, 92236 Attention: Executive Director With a copy to: FITZGERALD & MULE LLP 74 -770 Highway 111, Suite 205' Indian Wells, CA 92210 Attn: Karen Sloat 3 i 10 IIIIIII 2eie- ©�sa�i5 g IIIIIII Iill VIII IIIIII VIII VIII III IIIIII IIIIIII 10 to © 1 6ep k y4 If to the Agency: Redevelopment Agency of the City of Cathedral City 68 -700 Avenida Lalo Guerrero Cathedral City, California 92234 Attention: Agency Secretary it With a copy to: Green, de Bortnowsky and Quintanilla 23801 Calabasas Road, Suite 1015 Calabasas, California 91302 Attention: Charles R. Green Notice shall be deemed given three (3) business days after the date of mailing, or, if personally delivered, when received. A party's address for notice may be changed by giving notice to the other party in the manner set forth above and indicating the new address for notice. u- F [REMAINDER OF THIS PAGE LEFT INTENTIONALLY BLANK] [ E [ [ s• : t 11 [ I IIIIII IIIIIII IIII IIIII IIIill lllll lllll 111 llllll 111 llll ei OE: A I o 15�0A IN WITNESS WHEREOF, Declarant has executed this Declaration on the date first written above, "DECLARANT" Rancho Housing Alliance, Inc., a California non - profit public benefit corpora ion BY , Jeff ey Hays, Exe t've Director 5 t Q r 6 S CATH.0010 /DOC /2020 -2.doc 4 e 12 2010-0288216 2 G 8 k I IIIIII IIIIIII IIII (IIII IIIIII (IIII IIIIII 06:'2.3/2610 b8 NA 1 f t EXHIBIT "A" g LOT 57 OF EL RANCHO GRANDE, IN THE CITY OF CATHEDRAL CITY, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN BY MAP ON FILE IN BOOK 29, PAGES 85 AND 86 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. E k 9 f S yy M q � q i k . I: j : t fi- 5 �'�'ree �ddres5 0� Pro e l0 8l g � qr f?oa�, C a� �'" , �a W 3 y PIS 6 0- 316 Ge3 Exhibit "A" Page - 1 APN: 680-396-003 f k IIIIII Iilllil IIII illli IIIIII VIII VIII III IIIIII III IIII r�F 2619 -© o 50eR AKCNOWLEDGMENT State of California County of Riverside On May 10 zoo before y e ore me, Eddie Cedeno, Notary Public , personally appeared Jeffrey A. Hays who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity and that by his signature on the instrument the person or the entity upon behalf of which the person acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing is true and correct WITNESS my ha d and official seals 16 Conn *m 0 1730014 Signature Co tbmm. 9 1 (Seal) E s 8'. T g E [ P' e 11111111 HIM 1111111 14 of 15 0R i , . . � LARRY W. WARD P.Recorder O. Box 751 COUNTY OF RIVERSIDE Riverside, CA 92502 -0751 ASSESSOR - COUNTY CLERK - RECORDER (951) 486 -7000 www.riversideacr.com NOTARY CLARITY 3 Under the provisions of Government Code 27361.7, 1 certify under the penalty of perjury that the notary seal on the document to which this statement is attached reads as follows: Name of Notary: czc) EJ`' V ' Commission M I �v �7 Place of Execution: 1 F Date Commission Expires: ZO I Date: Signature: 23 Z v Print Name: 261&- 9888216 III IN es,2a,1 £ e t e $ 5 0R ACR 186P- AS4RE0 (Rev. 09/2006) Available in Alternate Formats