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EXHIBIT 1
<br />4.3 Location of Affordable Units. During the Density Bonus Housing Agreement
<br />Tenn, the Affordable Units shall be disbursed throughout the Project in accordance with the terms
<br />and conditions set forth in this Agreement.
<br />4.4 Occupancy Levels. The number of persons permitted to occupy each Affordable
<br />Unit shall not exceed the occupancy permitted pursuant to the requirements of the United States
<br />Department of Housing and Urban Development. In the event that a household residing in an
<br />Affordable Unit exceeds the permitted number of persons, then that household shall be placed on
<br />the waiting list for the appropriate -sized unit and be eligible for transfer when that unit becomes
<br />available. If the household refuses to transfer to the appropriate -sized unit then the Owner will
<br />have grounds to terminate that household's lease.
<br />4.5 Use ,of the Property. All uses conducted on the Property, including, without
<br />limitation, all activities undertaken by the Developer pursuant to this Agreement, shall conform to
<br />all applicable provisions of the Santa Ana Municipal Code and other applicable federal, state, and
<br />local laws, rules, and regulations. The Project shall at all times during the term of this Agreement
<br />be used as an apartment complex and none of the Housing Units in the Project shall at any time be
<br />utilized on a transient basis, nor shall the Property or any portion thereof ever be used as a hotel,
<br />motel, dormitory, fraternity or sorority house, rooming house, hospital, nursing home, sanitarium
<br />or rest home, or be converted to condominium ownership. All of the community facilities and any
<br />social programs provided to the Project's residents shall be available on an equal,
<br />nondiscriminatory basis to residents of all Housing Units at the Project.
<br />4.6 Maintenance. Owner shall, at all times during the term of this Agreement, cause
<br />the Property and the Project to be maintained in a decent, safe and sanitary manner, regardless of
<br />cause of the disrepair. Owner shall be fully and solely responsible for costs of maintenance, repair,
<br />addition and improvements. City, and any of its employees, agents, contractors or designees shall
<br />have the right to enter upon the Property at reasonable times and in a reasonable manner to inspect
<br />the Project. If at any time Developer fails to maintain the Project or the Property in accordance
<br />with this Agreement and such condition is not corrected within five (5) days after written notice
<br />from City with respect to debris and waste material, or thirty (30) days after written notice from
<br />City with respect to general maintenance, landscaping and building improvements, then City, in
<br />addition to whatever remedy it may have at law or at equity, shall have the right to enter upon the
<br />applicable portion of the Project or the Property and perform all acts and work necessary to protect,
<br />maintain, and preserve the Project and the Property, and to attach a lien upon the Property, or to
<br />assess the Property, in the amount of the expenditures arising from such acts and work of
<br />protection, maintenance, and preservation by City and/or costs of such cure, including a reasonable
<br />administrative charge, which amount shall be promptly paid by Developer to City upon demand.
<br />4.6.1 Property Maintenance Agreement. Subject to review and applicability by the
<br />Planning and Building Agency (the "PBA"), the CDA, the Public Works Agency (the "PWA"),
<br />and the City Attorney to ensure that the property and all improvements located thereupon are
<br />properly maintained, Developer (and the owner of the property upon which the authorized use
<br />and/or authorized improvements are located if different from the applicant) shall execute a
<br />maintenance agreement with the City of Santa Ana prior to occupancy which shall be recorded
<br />against the property and which shall be in a form reasonably satisfactory to the City Attorney. The
<br />60A-15
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