815 N. HARBOR, L.P.-2013 - Laserfiche WebLink

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LOAN AGREEMENT NEIGHBORHOOD STABILIZATION PROGRAM FUNDS THIS LOAN AGREEMENT (the "Agreement ") dated, for identification purposes only, as of September _jj�_, 2013, is made and entered into by and between the City of Santa Ana, a charter city and municipal corporation ( "City ") and 815 N Harbor, L.P. ( "Developer ") with reference to the following: RECITALS A. Developer has entered into an agreement (the "Purchase Agreement ") to purchase property, located at 815 N. Harbor Boulevard, Santa Ana, California, as more particularly described in the legal description, Exhibit A attached hereto and incorporated herein (the "Property "). Pursuant to the Purchase Agreement, the price to be paid for the Property, is $3,856,366_ (the "Purchase Price "). B. This Agreement is made pursuant to the authority of Title XII of Division A of the American Recovery and Reinvestment Act of 2009 (Public Law 111 -5 {February 17, 2009)) (Recovery Act) and sections 2301 -2304 of the Housing and Economic Recovery Act of 2008 (Public Law 110 -289 {July 30, 20081) (HERA). Section 2301 -2304 of HERA is known as the "Neighborhood Stabilization Program" or "NSP" with money funded through the Program as "NSP Funds ". The term "NSP2" refers to the second appropriation of NSP Funds provided under the Recovery Act, and the term 'NSPY refers to the third appropriation of NSP Funds provided under the Recovery Act. C. The City was notified that its application under the NSP for NSP2 Funds was approved by the U.S. Department of Housing and Urban Development ( "HUD ") with funding allocated for acquisition and construction of the multi - family rental component of the NSP. The parties hereto have executed the "Neighborhood Stabilization Program (Program 2) Rental Housing Development Agreement" dated March 1, 2010 in the amount not to exceed $6,500,000 but no less than $2,500,000 plus program income. Developer must comply with all of the NSP Program requirements as set forth in the Agreement. Pursuant to this Agreement, NSP2 and NSP3 Funds will be used for the acquisition of the Property. This agreement amends the agreement dated March 1, 2010 to include redevelopment activities as authorized by the substantial amendment. D. On March 4, 2011, the City was notified that its application under the NSP for NSP 3 Funds was approved by HUD. Funding for the Developer is allocated for acquisition and construction of the multi - family rental components of the NSP 3 program in an amount not to exceed $1,500,000. E. A Request for Proposals was issued by the City to competitively choose a Developer for the NSP Funds. Developer was awarded an agreement for the NSP I Funds for the Rental Program, further funding for NSP2 and now this Agreement, due to its successful implementation of said agreements to use such Funds. 1076 \53\1389382.1