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Item 29 - Amendments to Loan Agreements for the Santa Ana Arts Collective
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Item 29 - Amendments to Loan Agreements for the Santa Ana Arts Collective
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Agenda Packet
Agency
Clerk of the Council
Item #
29
Date
6/15/2021
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SECOND AMENDMENT TO HOME LOAN AGREEMENT <br /> <br />THIS SECOND AMENDMENT TO HOME LOAN AGREEMENT dated, for <br />identification purposes only, as of ________________ 2021 is made and entered into by and <br />between the CITY OF SANTA ANA, a charter city and municipal corporation (“City”) and <br />SANTA ANA ARTS COLLECTIVE, L.P., a California limited partnership (“Developer”), <br />with reference to the following: <br /> <br />RECITALS: <br /> <br />A. The City and Developer entered into a HOME Loan Agreement dated July 5, <br />2017, and recorded in Official Records, Orange County, with filing number <br />2017000308368 on July 26, 2017, as amended by that certain First Amendment <br />thereto dated August 18, 2021 (“said HOME Loan Agreement”). <br /> <br />B. The purpose of said HOME Loan Agreement is to assist with the development of <br />an adaptive reuse project consisting of a fifty-eight (58) unit multi-family <br />residential housing development, with live/work units and a commercial art <br />studio, as well as a community room located at 1666 N. Main Street, Santa Ana, <br />California (“Project”). <br /> <br />C. In accordance with the terms and conditions of said HOME Loan Agreement, the <br />parties desire to amend said HOME Loan Agreement, including the HOME <br />Promissory Note, to (i) provide the City’s consent to Developer obtaining a loan <br />in the amount of loan from the California Housing Finance Agency in the face <br />amount of Two Million, Three Hundred Sixty-Two Thousand, Two Hundred <br />Fifteen and No/100s Dollars ($2,362,215.00) for the Project (the “SNHP Loan”), <br />and (ii) revise the sharing of residual receipts among the public agency lenders to <br />the Project. <br /> <br />NOW, THEREFORE, for and in consideration of the mutual covenants and agreements <br />herein contained, and subject to the terms and conditions of said HOME Loan Agreement, except <br />as herein modified, City and Developer agree as follows: <br /> <br /> <br />1. Section 3.1, Use Covenants and Restrictions, in Exhibit B, Affordability <br />Restrictions on Transfer of Property, of said HOME Loan Agreement shall be <br />amended to replace the Assisted Units matrix with the following: <br />Affordability Levels/Unit Mix: <br />The Project’s unit mix and levels of affordability are as follows: <br />Unit Size 30% AMI 35% AMI 50% AMI 60% AMI Total <br />1 Bedroom 15 6 5 -- 26 <br />2 Bedroom 2 -- 7 5 14 <br />3 Bedroom 4 -- -- 13 17 <br />Total 21 6 12 18 57 <br />AKEXHIBIT 2
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