25K - NEIGHBORHOOD STABILIZATION PROGRAM

Home Browse Search

511. Affordable Housing Property Tax. Developer shall be responsible for applying to the County of Orange to request that the property tax be based on the restricted value with the affordability covenants that are recorded against each Affordable Unit. 512. Maintenance. The Deed of Trust shall require each of the households to maintain their property in conformance with local and state requirements. 513. Reasonable Efforts to Sell Affordable Units. The Developer agrees to exercise reasonable efforts consistent with prudent business practices to sell all of the NSP Assisted Units to owner-occupants as soon as practical following the completion of the rehabilitation. The Developer agrees that the NSP Assisted Units shall not be sold to the Developer or any party/employee related to the Developer. 514. Guarantee/Homeowner Protection Plan. Developer agrees to guarantee its work from defects for a period of at least one (1) year after rehabilitation is complete, with a five (5) year guarantee for the roof of each Unit. Developer shall provide each Homebuyer with all of the manufacturer's warranties and product information. Developer shall also provide the Homebuyers of each of the Affordable Units with a Homeowner Protection Plan. 515. Subsequent Sales/Recapture of Loan Amount. The Grant Deed from Developer to any proposed qualified household shall restrict the use of the Property to being owner- occupied. The Homebuyer Deed of Trust shall be recorded against the property with a term of 45 years. If said NSP Assisted Unit is sold prior to the expiration of the 45 year covenant of affordability, the loan can be transferred to another income qualified household (with City approval), or the City must be repaid the full amount of its Promissory Note. Upon transfer and repayment to the City, the covenant of affordability shall no longer be applicable. 516. Maintenance Covenants. During the time of Developer's ownership of the Sites, the Developer shall maintain the Sites and all improvements thereon, including all landscaping, in compliance with the terms of all applicable provisions of the City of Santa Ana Municipal Code. Each Homebuyer shall be responsible for maintenance of his/her own property after transfer of title. 517. Nondiscrimination Covenants. Developer herein covenants by and for itself, its successors and assigns, 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, 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. 600. DEVELOPER FEE AND PERFORMANCE. 601. Developer Fee. The Developer shall be paid ten percent (10%) of the cost of the acquisition sales price of each property, plus all rehabilitation costs, actual acquisition and sale 12 25K-28