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3 - LOAN AGREEMENT FOR AMCAL_2018-01-16
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3 - LOAN AGREEMENT FOR AMCAL_2018-01-16
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8/1/2018 9:24:34 AM
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2/14/2018 3:08:18 PM
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City Clerk
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Community Development
Item #
3
Date
1/16/2018
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<br />10 <br /> <br />shall and will be restricted to households earning 60% or less of the AMI. One (1) <br />Housing Unit will be rented to an on-site property manager; the manager’s unit will not <br />be rent restricted. <br /> <br />(e) Loan Documents. Developer shall have delivered to the Escrow <br />Holder, signed by the authorized officer or officers of Developer, with such signature(s) <br />acknowledged where necessary, each of the following documents: <br /> <br />(i) this Agency Loan Agreement; <br /> <br />(ii) the Agency Promissory Note ($8,522,740); <br /> <br />(iii) the Agency Deed of Trust; and <br /> <br />(iv) the Affordability Restrictions on Transfer of Property. <br /> <br />(f) Title Insurance. Agency shall have received an American Land <br />Title Association (ALTA) Extended (LP-10) Loan Policy (6-17-06), or evidence of a <br />commitment therefore satisfactory to Agency, issued by Commonwealth Land Title <br />Insurance Company and in form and substance satisfactory to the Agency, together with <br />all endorsements and binders required, naming Agency as the insured, in a policy amount <br />of not less than the total Agency Loan Amount, showing Developer as the fee owner of <br />the Property and insuring the Agency Deed of Trust to be a valid priority lien on the <br />Property. This Agreement, the Agency Promissory Note, and the Agency Deed of Trust <br />shall all be subordinate to the Senior Loan Note and Senior Loan Deed of Trust. <br /> <br />(g) Affordability Restrictions on Transfer of Property. Developer <br />shall have delivered to the Escrow Holder, in the form attached hereto as Exhibit B, the <br />Affordability Restrictions on Transfer of Property pursuant to which, among other things, <br />Developer agrees that the Property shall be used only for decent, safe, sanitary and <br />affordable rental housing pursuant to the affordability requirements of California Health <br />and Safety Code (“H&S”) sections 50052.5 and 33334.3, as applicable. The Agency’s <br />Affordability Restrictions on Transfer of Property shall remain in first position on title <br />and shall not be subordinated. <br /> <br /> (h) Documents Recorded. This Loan Agreement, the Agency Deed of <br />Trust, and the Affordability Restrictions on Transfer of Property shall have been recorded <br />in the Official Records of the County. <br /> <br />(i) Request for Notice. For the benefit of the Agency, Escrow Holder <br />shall have recorded a Request for Notice of Default of the Senior Loan (the "Request for <br />Notice of Default"). <br /> <br />(j) Insurance. Agency shall have received evidence satisfactory to the <br />City Attorney that all of the policies of insurance required by Section 19 of this <br />Agreement are in full force and effect. <br /> <br />EXHIBIT 3 <br />3-20
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