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E. The Agency is a non -applicant, but, as set forth herein, shall implement the <br />specific STI Improvements and TRA Improvements, included in the AHSC Application as set <br />out in Exhibit 1 attached hereto (collectively, the "Transit Obligations"). <br />F. The Developer shall be responsible for constructing and developing the Housing <br />Project, HRI Improvements, Educational Programs and TRAs or STI's not included in Exhibit 1 <br />(together, the "Developer Obligations"), and for all costs and expenses related thereto and the <br />Agency shall be responsible for developing and constructing the Transit Obligations, and for all <br />costs expenses related thereto. In connection with the AHSC Grant and AHSC Loan, Developer <br />is required to enter into standard agreements, disbursement agreements, and regulatory <br />agreements with HCD where Developer will be liable for the full and timely performance by the <br />parties to complete the obligations set forth therein, including completion of the Housing Project, <br />completion of the HRI, STI and TRA Improvements, and funding of the AHSC Programs, as <br />described in the AHSC Application. The AHSC Application and all standard agreements, <br />disbursement agreements, regulatory agreements and any other agreements required by HCD in <br />connection with the AHSC Grant and AHSC Loan shall be collectively referred to herein as the <br />"AHSC Documents". <br />NOW, THEREFORE, in consideration of the recitals, covenants and agreements set forth <br />herein, and for other good and valuable consideration, the receipt and sufficiency of which are <br />hereby acknowledged, the parties hereto hereby agree as follows: <br />AGREEMENT <br />1. Obligations. The Agency shall complete the Transit Obligations in accordance <br />with the terms of the AHSC Documents and the approved design and construction documents. <br />The Developer shall, in its sole responsibility, complete the Developer Obligations in accordance <br />with the terms of the AHSC Documents and the approved design and construction documents. <br />2. Indemnification. <br />(a) Agency Indemnity. Agency shall indemnify, defend, protect, and <br />hold harmless the Developer and its affiliates, directors, officers, partners, members, agents and <br />employees (each, a "Developer Indemnified Party") against any and all third -party suits, <br />actions, claims, causes of action, liabilities, costs, and expenses (including attorneys' fees) as <br />incurred (collectively "Damages") arising out of or in connection with Agency's performance of <br />or failure to perform the Transit Obligations and/or obligations hereunder, in the manner and <br />within the time periods, and to otherwise perform any covenants, set forth in the AHSC <br />Documents applicable to the Transit Obligations or its obligations hereunder. However, in no <br />event shall a Developer Indemnified Party be indemnified hereunder for any Damages resulting <br />from such party's sole negligence or willful misconduct. Agency agrees to pay all of the costs <br />and expenses of the Developer Indemnified Parties, including attorneys' fees, which may be <br />incurred in any effort to enforce any term of this Agreement, including, but not limited to, all <br />such costs and expenses which may be incurred by any Developer Indemnified Party in any legal <br />action, reference or arbitration proceeding brought by HCD or other third party. <br />(b) Developer Indemnity. Developer shall indemnify, defend, protect, <br />and hold harmless the Agency and its affiliates, directors, officers, partners, members, agents and <br />VA <br />