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HomeMy WebLinkAbout00515C - EMILIO GONZALEZ REGULATORY AGR AND RELATED DOCUMENTS T��r ! f DOC # 2013-0316632 II►f t ��� � 07/01/2013 10:56 AM Fees: $23.00 (3any Page 1 of 3 Wand E%,i , Recorded in Official Records � 4 L(� 2$�n La Larry W�Ward Riverside RECORDING REQUESTED BY Assessor, County Clerk& Recorder AND WHEN RECORDED RETURN TO: I CITY OF PALM SPRINGS "This documentwas electronically submitted HOUSING SUCCESSOR AGENCY to the County of Riverside for recording— Receipted by:SGOMEZ 3200 East Tahquitz Canyon Way Palm Springs, California 92262 i�D5l5G i Attn: CITY CLERK RELEASE OF DISPOSITION AND DEVELOPMENT AGREEMENT AND REGULATORY AGREEMENT AND DECLARATION OF COVENANTS AND RESTRICITONS Property: 375 W. Palm Vista Drive, Palm Springs, California 92262 WHEREAS, the City of Palm Springs Community Redevelopment Agency ("CRA") entered into a Disposition and Development Agreement ("DDA") with Mountain Gate II Palm Springs Ventures, LLC, ("Developer") recorded March 21, 2005, as Instrument#2005-0219028 which included property described in Exhibit "A" attached herewith. The terms and provisions contained in the DDA have been satisfactorily completed and the DDA is hereby released from the subject property. WHEREAS, on April 26, 2007, Emelio A. Gonzalez ("Buyer") purchased the property described in Exhibit "A" and entered into a Regulatory Agreement and Declaration of Covenants and Restrictions ("Declaration") with the CRA which recorded April 30, 2007, as Instrument #2007-0289619. The Declaration was terminated by Buyer's foreclosure and Trustee's Deed Upon Sale recorded March 2, 2012, as Instrument #2012-0096534 and is hereby released from the subject property pursuant to Item 11 of the Declaration. WHEREAS, on January 4, 2012, the City of Palm Springs approved action to retain the housing assets and functions previously performed by the CRA and assume all rights, powers, assets, liabilities, duties, and obligations associated with the housing activities of the CRA, as provided in California Health and Safety Code §34173 and §34176. NOW THEREFORE, this Release of the Disposition and Development Agreement and Release of the Regulatory Agreement and Declaration of Covenants and Restrictions is executed at Palm Springs, California, and made effective this day of June, 2013. IN WITNESS WHEREOF, the City of Palm Springs, acting solely in its capacity as Housing Successor Agency has caused this instrument to be executed. Dated 9,61 11 apl CITY OF PALM SPRINGS, a California charter city Acting soley as the Housing Successor Agency Appro led Ito form: By: Douglas C. Holland, City Attorney David H. Ready, City M er ATTEST: es Thompson, City Clerk Nor rit1lgrGO,npan Inland Empire1 � �1�1t RECORDING REQUESTED BY AND WHEN RECORDED RETURN TO: I CITY OF PALM SPRINGS HOUSING SUCCESSOR AGENCY l 3200 East Tahquitz Canyon Way Palm Springs, California 92262 I Attn: CITY CLERK RELEASE OF DISPOSITION AND DEVELOPMENT AGREEMENT AND REGULATORY AGREEMENT AND DECLARATION OF COVENANTS AND RESTRICITONS Property: 375 W. Palm Vista Drive, Palm Springs, California 92262 WHEREAS, the City of Palm Springs Community Redevelopment Agency ("CRA") entered into a Disposition and Development Agreement ("DDA") with Mountain Gate II Palm Springs Ventures, LLC, ("Developer") recorded March 21, 2005, as Instrument#2005-0219028 which included property described in Exhibit "A" attached herewith. The terms and provisions contained in the DDA have been satisfactorily completed and the DDA is hereby released from the subject property. WHEREAS, on April 26, 2007, Emelio A. Gonzalez ("Buyer") purchased the property described in Exhibit "A" and entered into a Regulatory Agreement and Declaration of Covenants and Restrictions ("Declaration") with the CRA which recorded April 30, 2007, as Instrument #2007-0289619. The Declaration was terminated by Buyer's foreclosure and Trustee's Deed Upon Sale recorded March 2, 2012, as Instrument #2012-0096534 and is hereby released from the subject property pursuant to Item 11 of the Declaration. WHEREAS, on January 4, 2012, the City of Palm Springs approved action to retain the housing assets and functions previously performed by the CRA and assume all rights, powers, assets, liabilities, duties, and obligations associated with the housing activities of the CRA, as provided in California Health and Safety Code §34173 and §34176, NOW THEREFORE, this Release of the Disposition and Development Agreement and Release of the Regulatory Agreement and Declaration of Covenants and Restrictions is executed at Palm Springs, California, and made effective this day of June, 2013. IN WITNESS WHEREOF, the City of Palm Springs, acting solely in its capacity as Housing Successor Agency has caused this instrument to be executed. Dated ok. /-2 CITY OF PALM SPRINGS, a California charter city Acting soley as the Housing Successor Agency Approd / ��offoorrm: By: . no glas C. Holland, City Attorney David H. Ready, City M ger ATTEST: Zes Thompson,�CityClerk��� EXHIBIT A LEGAL DESCRIPTION Lot 117 of the Desert Highland Estates, in the City of Palm Springs, as shown by Map on file in Book 24, Page(s) 53 and 54 of Maps, in the office of the County Recorder of Riverside County, California. Excepting and reserving therefrom all oil, gas, hydrocarbon substances and minerals of every kind and character lying more than five hundred feet (500') below the surface, together with the right to drill into, through, and to use and occupy all parts of the Site lying more than five hundred feet (500') below the surface thereof for any and all purposes incidental to the exploration for and production of oil, gas, hydrocarbon substances or minerals from the Site but, without, however, any right to use either the surface of the Site or any portion thereof within five hundred feet (500') of the surface for any purpose or purposes whatsoever. ACKNOWLEDGMENT OF INSTRUMENT (Cal. Civil Code Section 1181) State of California ) County of Riverside ) ss. City of Palm Springs ) On June 12, 2013, before me, JAMES THOMPSON, CITY CLERK, CITY OF PALM SPRINGS CALIFORNIA, personally appeared DAVID H. READY, who I personally know is the CITY MANAGER of the CITY OF PALM SPRINGS whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his official and authorized capacity on behalf of the City of Palm Springs, a California Charter City. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. Witness my hand and the official seal of the City of Palm Springs, California, this 12`h day of June, 2013. QVALM + c V N • 4 Signatur q[/PORN\ e: MES THOMPSON, CITY CLERK City of Palm Springs, California Title or Type of Document: Release of Disposition and Development Agreement and Regulatory Agreement and Declaration of Covenants and Restrictions — 375 W. Palm Vista Drive Document Date: June 12, 2013 Ao5t5c, RECEIVED THIS IS TO CERTIFY THAT THIS IS A FULL, TRUE AND CORRECT COPY OF THE ORIGINAL RECORDED IN THE OFFICE OF THE COUNTY Recording requested by: 2011 OCT 3 1 AN 9: 12 RECORDING FEE: $27.00 Quality Loan Service Corp RECORDED ON- October 18, 2011 taliES 'iH01 t' '< When recorded mail to: CITY CLERK AS DOCUMENT NO: 11-0457903 Quality Loan Service Corp. BY: s/Megan Blye 2141 5th Avenue LSI TITLE COMPANY San Diego,CA 92101 TS#:CA-11-465049-LL Space above this line For Recorder's use Order#: 1 1 04 03933-CA-GTI APN#:669-386-004-4 IMPORTANT NOTICE NOTICE OF DEFAULT AM ELECpN TO SELL UNDER DEED OF TRUST IF YOUR PROPERTY IS IN FORECLOSURE BECAUSE YOU ARE BEHIND IN YOUR PAYMENTS, IT MAY BE SOLD WITHOUT ANY COURT ACTION, and you may have the legal right to bring your account in good standing by paying all of your past due payments plus permitted costs and expenses within the time permitted by law for reinstatement of your account, which is normally five business days prior to the date set for the sale of your property. No sale date may be set until approximately 90 days from the date this Notice of Default may be recorded (which date of recordation appears on this notice). This amount is $46,160.71 as of 10/13/2011 and will increase until your account becomes current. While your property is in foreclosure, you still must pay other obligations (such as insurance and taxes) required by your note and deed of trust or mortgage. If you fail to make future payments on the loan, pay taxes on the property,provide insurance on the property, or pay other obligations as required in the note and deed of trust or mortgage, the beneficiary or mortgagee may insist that you do so in order to reinstate your account in good standing. In addition, the beneficiary or mortgagee may require as a condition of reinstatement that you provide reliable written evidence that you paid all senior liens, property taxes, and hazard insurance premiums. Upon your written request, the beneficiary or mortgagee will give you a written itemization of the entire amount you must pay. You may not have to pay the entire unpaid portion of your account, even though full payment was demanded, but you must pay all amounts in default at the time payment is made. However, you and your beneficiary or mortgagee may mutually agree in writing prior to the time the notice of sale isf posted (which may not be earlier than three-months after this Notice of Default is recorded) to,;among other things, (1) provide additional time in which to cure the default by transfer of the property or otherwise; or (2) establish a schedule of payments in order to cure your default; or both(1)and(2). Following the expiration of the time period referred to in the first paragraph of this notice, unless the obligation being foreclosed upon or a separate written agreement between you and your creditor permits a longer period, you have only the legal right to stop the sale of your property by paying the entire amount demanded by your creditor. To find out the amount you must pay, or arrange for payment to stop the foreclosure, or if your property is in foreclosure for any other reason, contact: BANK OF AMERICA,N.A., SUCCESSOR BY MERGER TO BAC HOME LOANS SERVICING, LP FKA COUNTRYWIDE HOME LOANS SERVICING LP C/O Quality Loan Service Corp. 2141 5th Avenue San Diego, CA 92101 619-645-7711 If you have any questions, you should contact a lawyer or the governmental agency which may have insured your loan. Notwithstanding the fact that your property is in foreclosure, you may offer your property for sale provided the sale is concluded prior to the conclusion of the foreclosure. Remember, YOU MAY LOSE LEGAL RIGHTS IF YOU DO NOT TAKE PROMPT ACTION. NOTICE IS HEREBY GIVEN: That the undersigned is either the original trustee, the duly appointed substituted trustee, or acting as agent for the trustee or beneficiary under a Deed of Trust dated 4/26/2007, executed by EMILIO A GONZALEZ , A MARRIED MAN AS HIS SOLE & SEPARATE PROPERTY, as Trustor, to secure certain obligations in favor of MORTGAGE ELECTRONIC REGISTRATION SYSTEMS, INC., AS NOMINEE FOR COUNTRYWIDE HOME LOANS, INC. DBA AMERICA'S WHOLESALE LENDER, as beneficiary, recorded 4/30/2007, as Instrument No. 2007-0289617, of Official Records in the Office of the Recorder of RIVERSIDE County, California describing land therein: as more fully described in said Deed of Trust. Said obligations including 1 NOTE(S) FOR THE ORIGINAL sum of $185,900.00, that the beneficial interest under such Deed of Trust and the obligations secured thereby are presently held by the beneficiary; that a breach of, and default in, the obligations for which such Deed of Trust is security has occurred in that payment has not been made of: The installments of principal and interest which became due on 12/l/2008, and all subsequent installments of principal and interest through the date of this Notice, plus amounts that are due for late charges, delinquent property taxes, insurance premiums, advances made on senior liens, taxes and/or insurance, trustee's fees, and any attorney fees and court costs arising from or associated with the beneficiaries efforts to protect and preserve its security, all of which must be paid as a condition of reinstatement, including all sums that shall accrue through reinstatement or pay-off. Nothing in this notice shall be construed as a waiver of any fees owing to the Beneficiary under the Deed of Trust pursuant to the terms of the loan documents. That by reason thereof, the present beneficiary under such deed of trust, has executed and delivered to said duly appointed Trustee, a written Declaration of Default and Demand for same, and has deposited with said duly appointed Trustee, such deed of trust and all documents evidencing obligations secured thereby, and has declared and does hereby declare all sums secured thereby immediately due and payable and has elected and does hereby elect to cause the trust property to be sold to satisfy the obligations secured thereby. The Beneficiary or its designated agent declares that it has contacted the borrower, tried with due diligence to contact the borrower as required by California Civil Code § 2923.5, or the borrower has surrendered the property to the beneficiary or authorized agent, or is otherwise exempt from the requirements of § 2923.5, Pursuant to the attached declaration incorporated herein and made a part hereof by this reference. Dated: OCT 1 3 2011 Quality Loan Service Corp.,Trustee ,);�:D>- -- --e-, By:Seth Ott,Assistant Vice President �. If you have previously been discharged through bankruptcy, you may have been released of personal liability for this loan in which case this letter is intended to exercise the note holders right's against the real property only. THIS OFFICE IS ATTEMPTING TO COLLECT A DEBT AND ANY INFORMATION OBTAINED WILL BE USED FOR THAT PURPOSE. As required by law, you are hereby notified that a negative credit report reflecting on your credit record may be submitted to a credit report agency if you fail to fulfill the terms of your credit obligations. Baokef rnerica Home loans Notice Date: July 1, 2011 Account No.: 167366713 Emilio A Gonzalez 375 W Palm Vista Dr Property Address: Palm Springs, CA 92262 375 West Palm Vista Drive Palm Springs, CA 92262 nl `, CALIFORNIA DECLARATION eal, Mortgage Servicing Specialist III of Bank of America, N.A., declare under penalty of perjury, under the laws of the State of California, that the following is true and correct: Bank of America, N.A. ❑ has contacted the borrower to assess the borrower's financial situation and explore options for the borrower to avoid foreclosure, ® tried with due diligence to contact the borrower in accordance with California Civil Code Section 2923.5, or ❑ verified that the borrower has surrendered the property. ❑ has evidence and reasonably believes that the borrower has contracted with an organization, person, or entity whose primary business is advising people who have decided to leave their homes on how to extend the foreclosure process and to avoid their contractual obligations to beneficiaries. ❑ has confirmed that the borrower(s) filed for bankruptcy and the proceedings have not been finalized to wit, there is no order on the court's docket closing or dismissing the bankruptcy case. ❑ The provisions of Cafrfornia Civil Code§2923.5 do not apply because State Reason. and ace = Name of Signor CA-DECLARATIONS 8638Wa 8t27l2008 Quality Loan Service Corp. 2141 5th Avenue San Diego, CA 92101 M O J Z 097968 1 MB 0 . 390 I��dI��IIJI'II���I��I�IIJyIllild����ll�l��l����"Illdlli�ll I(IIIII IIIII IIIII IIIII IIIII IIIII IIII I I IIII IIII I I IIII IIII IIII CA-11-465049-LL COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS CITY CLERK 3200 EAST TAHQUITZ-CANYON WAY PALM SPRINGS,CA 92262 =n =rn =M M o (, �'�J✓.C-4L�� aJ7/-LLB DOC # 2007-0289619 04/30/2007 08:00n Fee:NC Pagc 1 of is Recorded in Offlcial Records; County of Riverside Larry N. Ward SUBDIV SUBDIVISION TITLECOIVlF'4NX IIIQIIiiIh1111111111111111[II(111111flllllllllll[lilll susDrvrstoN D>iraPTMEnrr RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: Community Redevelopment Agency s R U PAGE 517E DA MISC LONG RFD COPY of the City of Palm Springs 3200 East Tahpuitz-Canyon Way 4- Palm Springs, California 92262 A L 465 426 PCOR NCOR SMF Attention_ City Clerk Q]y Exempt from payment of a recording fee pursuant to Government Cade section 6103. REGULATORY AGREEMENT AND 014 DECLARATION OF COVENANTS AND RESTRICTIONS This REGULATORY AGREEMENT AND DECLARATION OF COVENANTS AND RESTRICTIONS (the "Agreement") is entered into as of this day of +L 2007, by and between the COMMUNITY REDEVELOPMENT AGENCY g O TF HE CiTY OF PALM SPRINGS, a public body, corporate and politic ("Agency"), and EMILIO A, GONZALEZ, A MARRIED MAN AS HIS SOLE AND SEPARATE PROPERTY("Owner"). RECITALS A. Owner has entered. into a purchase agreement (the "Purchase Agreement') to purchase from Mountain Gate II Palm Springs Ventures, LLC (the "Developer") certain real property located at 375 West Palm Vista Drive, Palm Springs, California 92262, and more particularly described in the legal description attached hereto as Exhibit"A" (the."Property')-- B. Agency has developed a program to assist persons and families of very low, low, and moderate income, as defined by Section 50093 of the Califomia Health and Safety Code, to rehabilitate residential property and to increase, improve and preserve very. low, low and moderate-income housing available at affordable housing cost (as defined in Health and Safety Code Section 50052,5) within the territorial jurisdiction of Agency in accordance with the Community Redevelopment Law, Health and Safety Code Section 33000, et seq. Ih furtherance of this program, Agency has provided financial assistance in the development of the housing project in which the Property is located. C.' Agency and the Developer entered into that certain Disposition and Development Agreement.(the "DDA") dated March 9, 2005, and a Grant Deed, dated, May 19, 2005, recorded June 1, 2005, as Instrument No- 2005-6434476 in the official records of Riverside County- Pursuant to the terms of the DDA and the Grant Deed Aeyulatory Agroemmt PAGE I OF 17 Emilio A,Gonml6 D Wamdon oFCovemnts And Resaiciioos 375 Wm Palm vista Drive 1 vesting title to the Property in Developer, title to the Property may be vested in Owner subject to this Regulatory Agreement, and the terms hereof shall be binding on the Owner and its successors in interest in the Property for so long as the Regulatory Agreement shall remain in effect. D. Owner requires financial assistance to purchase the Property and would not be able to purchase the Property without such assistance. Owner is a person or family of moderate income who currently earns less than 120% of the current annual median income for the Riverside County area, adjusted for family size, as those terms are defined in California Health and Safety Code Section 50093. E. Owner has represented to Agency that Owner and Owner's immediate family shall reside in the Property as the familys principal residence at all times throughout the term of this Agreement. F. Agency desires to lend and Owner desires to borrow funds in the form of a loan secured by a second lien Deed of Trust to assist Owner to purchase the Property, subject to the terms and conditions set forth herein. The terms, conditions, and amount of the loan shall be specified in the Agency Promissory Note- G. This Agreement is in furtherance of Agency's program to create long term affordable housings units in the City of Palm Springs. This goal is accomplished through the terms and conditions of this Agreement which restrict the resale price of the Property to a level that is affordable to buyers of a certain income level. - NOW THEREFORE, in consideration of the benefits received by Owner, and for other good and valuable consideration, the receipt and sufficiency of which ns hereby acknowledged, Owner and Agency agree as follows: 1. Definitions. The following defined terms have the meanings given below: "Affordability Period" means the period commencing on the date of recordation of this Agreement and ending forty-five (45) years thereafter_ "Affordable Housing Cost" shall mean that purchase price which would result in a Monthly Housing Cost (as defined below) which does not exceed the product of thirty- five percent(35%) times one hundred ten percent(110%) of the Riverside County area median income adjusted for family size appropriate for the Property ("Median Income") for purchasers earning not greater than one hundred ten percent (110%) of the Median' Income, or the product of thirty-five (35%) times the actual gross .income of the household for purchasers earning more than one hundred ten percent (110%) and not more than one hundred twenty percent (120%) of the Median Income, all as more particularly set forth in Section 50052.5 of the California Health and Safety Code. "Agency" means the Palm Springs Redevelopment Agency, a public body, corporate and politic. R.uhwr7 Agx t PAOE Z OF 17 RmirioA dordi¢ Doolamtian of Cwep°nta and Reanicdon° $75 We PaLu Vnu Drive "Agency Loan" means the loan to be made by Agency to Owner in the amount of$50,000.00. The amount of the Agency Loan shall be the difference between the Purchase Price and the Affordable Housing Cost, as further described in the Agency Promissory Note. "Agency Option" shall mean Agency's option to purchase the Property, as more particularly described in Section 5.2 of this Agreement. "Agreement' means this Regulatory Agreement and Declaration of Covenants and Restrictions by and between Agency and Owner. "Eligible Person or Family" or "Eligible Persons or Families" shall mean persons and families earning 120% or less of the median income, adjusted for family size, for the Riverside County area, as further described in the Housing Guidelines. "Event of Acceleration" shall have the meaning ascribed in Section 7 of this Agreement_ "Exempt Transfer" shall have the meaning ascribed in Section 5 of this Agreement. An Exempt Transfer is a Transfer of the Property that does not trigger repayment of the Agency Loan and the Shared Appreciation Amount_ "First Lien" shall have the meaning ascribed in Section 7 of this Agreement. "Monthly Housing Cost" shall include all of the following associated with the Property, estimated or known as of the date of the proposed sale of the Property: (i) principal and interest payments on a mortgage loan not' exceeding the prevailing conventional home mortgage lending rates applied by any reputable institutional home mortgage fender, or the lending rates of any government-subsidized .or special mortgage program for which a Qualified Purchaser qualifies and has obtained a first trust deed loan for the acquisition of the Property; (ii) property taxes and assessments; (iii) fire and casualty insurance covering replacement value of property improvements; and (iv) a reasonable utility allowance. Monthly housing cost of a purchaser shall be an average of estimated costs for the next twelve (12) months. "Note" or "Agency. Promissory Note" shall mean the promissory note memorializing Owner's obligation to pay,the Agency Loan, on the terms set forth therein. "Owner" has the meaning set forth in the preamble to this Agreement. "Agency Deed of Trust" shall mean the deed of trust which shall be recorded against the Property, securing the Note and this Agreement, in the form as distributed to Owner prior to receiving the Agency Loan. "Qualified Purchaser" shall have the meaning ascribed in Section 5 of this Agreement. ,Regulatory Agr=aimt PAW OF 17 P+oiSo A.Ooazda ! Daclamlion ofCwmaaW mdRcaaicpoaa 375 S4cartlm Vida Drin "Permitted Transfer" shall have the meaning ascribed in Section 4 of this Agreement. "Prohibited Transfer' shall have the meaning ascribed in Section 4 of this Agreement. .Property"shall have the meaning ascribed in Recital B of this Agreement. 2. Owner Representations and Warranties. Owner represents and warrants to Agency that the financial and other information previously provided to Agency by Owner for the purpose of qualifying to purchase the Property was true and correct at the time it was given and remains true and correct as of the date of this Agreement. Owner acknowledges that Agency is relying upon Owner's representations that Owner is,an Eligible Person or Family, and Agency would not have entered into this Agreement if Owner did not so qualify. 3. Affordability Covenants- During the Affordability Period, the Property shall be owned and occupied by Owner or persons, who at the time of purchase, are Eligible Persons or Families. 4. Transfer of Property. All Prohibited Transfers (as defined, below) shall constitute Events of Acceleration, causing the Agency Loan to become due and payable. If the Prohibited Transfer is a result of an affirmative conveyance of the Property by Owner (i-e., not arising from Owner's death or operation of law), and the conveyance is not an Exempt Transfer pursuant to Section 5, the Prohibited Transfer shall also constitute a default under this Agreement, entitling Agency to exercise all remedies available at law or equity. A "Prohibited Transfer" is any Transfer of the Property that does not constitute a Permitted Transfer, A "Transfer' is any any sale, assignment, or transfer of an interest in the Property, including, without limitation, a fee simple interest, tenancy in common, joint tenancy, community property, tenancy by the entireties, life estate, or other limited estate, leasehold interest or any rental of the Property, or any interest evidenced by a land contract, or any mortgage or other encumbrance. The following Transfers shall constitute "Permitted Transfers" so long as the transferee(s) give written notice to'Agency of such event within thirty (30) days of its occurrence and the transferee(s) assume the Owners obligations 'under this Agreement, the Promissory Note, and the Deed of Trust, by execution of an assignment and assumption agreement to be 'provided by Agency, if such assumption does not occur by operation of law: (i) transfer by gift, devise, or inheritance to the Owners spouse; (ii) transfer of title by an Owner's death to a surviving joint tenant, tenant by entireties, or a surviving spouse.of community property; (iii) transfer of title to a spouse as part of divorce or dissolution proceedings or in conjunction with marriage; and (iv) an Exempt Transfer, as further explained in Section 5 of this Agreement A sale or transfer which under federal law, would not, by itself, permit Agency to exercise a due on sale or due on encumbrance clause shall also constitute a.Permitted Transfer. 6dawry Agixmrn[ pAGH4 OF V Emilio A.Gomzlas Aool+ tivn afCovn to and Ptatiicdons 375 WestPulm V. D(.vc i I 5. Exempt Transfer; Sale to Qualified Purchaser at Affordable Housing Cost; Agency Option to Purchase. An "Exempt Transfer" is (i) the sale of the Property by the Owner to a person who is an Eligible Person or Family ("Qualified Purchaser") (and that person's status as a Qualified Purchaser has been verified by Agency pursuant to this Section 5) provided that the Qualified Purchaser assumes the Promissory Note, the Agency Deed of Trust, and this Agreement pursuant to an assignment and assumption agreement approved by Agency, and the sale price less the balance of thg Agency Loan does not exceed the Affordable Housing Cost for the Qualified Purchaser, or (ii) the sale of the Property by the Owner to Agency or a person designated by Agency pursuant to Section 5.2 of this Agreement. An Exempt Transfer is a Permitted Transfer. 5.1 Sale by Owner. If Owner desires to sell, exchange, quitclaim or in any manner dispose of the Property or any part thereof (`Proposed Sale"), Owner shall notify Agency in writing no later than ten (10) days prior to the date the Property is placed on the market for a Proposed Sale- .Owner shall not sell or transfer the Property until such time as Agency has determined (i) the proposed buyer intends to occupy the Property as its principal residence; (h) the proposed buyer is a Qualified Purchaser and eligible under the Housing Guidelines; and (III) the Proposed Sale is at an Affordable Housing Cost(excluding the Agency Loan assumed by the buyer)_ Owner shall cooperate with and reasonably assist Agency with the determination of whether a proposed buyer is a Qualified Purchaser. In order to verify the buyer's status as a Qualified Purchaser, Owner 'shall submit to Agency the- identity of the proposed buyer and adequate information evidencing the income of the proposed buyer. Said income information shall be submitted not less than thirty (30) days prior to the Proposed Sale and shall include original or true copies of pay stubs, income tax records or other financial documents in order that Agency may determine and verify the I household income of the proposed buyer to determine Qualified Purchaser status and whether the Property is available to such buyer at an Affordable Housing Cost (excluding the Agency Loan assumed by the buyer). Agency may request additional information reasonably required to verify the proposed buyer's status. OWNER UNDERSTANDS THAT THE DETERMINATION OF THE AFFORDABLE HOUSING COST CAN BE MADE ONLY AT THE TIME OF .THE PROPOSED SALE, TAKING INTO CONSIDERATION INTEREST RATES, THE TERMS OF SALE OFFERED TO AND THE ECONOMIC CIRCUMSTANCES OF THE PROPOSED PURCHASER AND OTHER FACTORS THAT CANNOT BE ACCURATELY PREDICTED, AND THAT THE TRANSFER PRICE PERMITTED HEREUNDER WILL BE LESS THAN THE FAIR MARKET VALUE OF THE PROPERTY AND MAY NOT INCREASE OR DECREASE IN THE SAME MANNER AS OTHER SIMILAR REAL PROPERTY WHICH IS NOT ENCUMBERED BY THE AFFORDABILITY COVENANTS IN THIS AGREEMENT. OWNER FURTHER ACKNOWLEDGES THAT AT ALL TIMES IN SETTING THE TRANSFER PRICE THE PRIMARY OBJECTIVE OF AGENCY AND THIS AGREEMENT'IS TO PROVIDE. HOUSING TO ELIGIBLE PERSONS AND FAMILIES AT AN AFFORDABLE HOUSING COST. RcydaWryAp raue¢c PAGE OF 17 A.Gmalc2 D=Il UDA OfCovw, U•Gd RnUiefjans 375 WatPaLq Y6fi brive k 5.2 Agency Option to Purchase. Owner hereby grants to Agency an option to purchase the Property at an Affordable Housing Cost or to cause the purchase of the Property by a third party who is a Qualified Purchaser at an Affordable Housing Cost, on the temps set forth below ("Agency Option"). In the event Owner is unable to sell the Property to a Qualified Purchaser pursuant to the terms set forth in Section 5.1, Owner may request that Agency,exercise the Agency Option to purchase the Property by delivering to Agency, by certified mail, a copy of this Agreement and a written request for Agency to exercise the Agency Option (the "Option Request Notice"). The Option Request Notice shall (i) be dated and signed by the Owner, (ii) contain the address of the property, and (iii) cwgtain the following statement: THE PURPOSE OF THIS OPTION REQUEST NOTICE IS TO REQUEST AGENCY EXERCISE ITS OPTION TO PURCHASE THE PROPERTY. PURSUANT TO THE TERMS OF THE REGULATORY AGREEMENT I AND DECLARATION OF COVENANTS AND RESTRICTIONS, AGENCY HAS'6p DAYS TO NOTIFY OWNER OF ITS ELECTION TO EXERCISE THE AGENCY OPTION TO PURCHASE THE PROPERTY. IF THE AGENCY DOES NOT EXERCISE THE OPTION, THE PROPERTY WILL BE RELEASED FROM THE AFFORDABILITY RESTRICTIONS IN THE AGREEMENT, Should the property be released from the affordability restrictions under the terms of this Section 5.2, the sale shall constitute.a Prohibited Transfer under Section 4 above and Owner shall repay the Agency Loan or portion thereof in accordance with Section S. In no event shall Owner deliver the Option Request Notice to Agency until Owner has, for a period of ninety (90) days following the date the Property is placed on the market for a Proposed Sale pursuant to Section 5.1, diligently marketed the Property and exercised best efforts to sell the Property to an Qualified Purchaser, as reasonably determined by Agency- Agency shall have no obligation to exercise the Agency Option. In the event Agency elects to exercise the Agency Option, Agency shall exercise the Agency Option by delivering written notice to Owner within forty-five (45) days of Agency's receipt of the Option Request Notice. In the event Agency exercises the Agency Option and either purchases the Property or arranges the purchase by a Qualified Purchaser, an escrow shall be established to close within ninety (90) days after delivery of Agency's notice of exercise of the Agency Option, In the event Agency fails to agree in writing to exercise the Agency Option, Owner may sell the Property at an unrestricted sales price to a purchaser who does not qualify as a Qualified Purchaser. The transfer of the property pursuant to the preceding sentence constitutes a Prohibited'Transfer for purposes of accelerating the Agency Loan and triggering the Shared Appreciation Amount pursuant to Section 7 of this Agreement, but shall not constitute a default under this Agreement. 6. Agency Loan. Agency shall loan to Owner the Agency Loan subject to the conditions and restrictions set forth herein and those set forth in the Promissory Note, Agency Deed of Trust, and the Buyer Disclosure Statement. Owner shall execute, as maker, and deliver to Agency the Promissory Note in favor of Agency, as holder, in the principal amount of the Agency Loan (the "Note Amount"). Owner shall also execute and deliver to Agency the Agency Deed of Trust and the Buyer Disclosure Statement in x'e"lawq Agx mt PAGE 6 OF 17 Vm o A.G9xvAm Dcclualion ofCnvr pnlc. dk=tdctiow 375We tFarmVistarhive i the form as distributed to Owner prior to receiving the Agency Loan. The Agency Loan shall be used only for the purchase of the Property. 7. Events of Acceleration. The Agency Loan, or balance thereof, shall become due and immediately payable in accordance with Section 8 of this Agreement, upon the occurrence of any one of the following events of acceleration ("Event of Acceleration"): Q) a Prohibited Transfer, (d) the refinancing of the lien.to which the Agency Deed of Trust is subordinate ("Mrst Lien") for an amount which would provide a total encumbrance which exceeds the maximum amount permitted under the Housing Program; (iii) such time if or when Owner is 60 longer an occupant of the Property pursuant to Section 10 of this Agreement; or (iv) Owner is in default of any other obligation under this Agreement, the Note, or the Agency Deed of Trust. . S. Note Repayment and Shared Equity Appreciation. - 8.1 Repayment 6y Maker, This is a deferred loan. Unless the conditions of Section 7 of the Agreement are met ("Event of Acceleration"), the Maker Will not make payments on this note. Instead, interest in the amount of three percent (3%) per annum shall accrue on the 15th day of each calendar month after the Interest Accrual Commencement Date until principal and interest have been fully amortized. On the anniversary date of the Interest Accrual Commencement Data, an amount equal to twenty percent (20%) of the original principal shall be forgiven by the Agency. The accumulated interest shall be forgiven on the sixth anniversary date of the Interest Accrual Commencement Date, 8.2 Shared Equity Appreciation. In the event of a Prohibited Transfer during the Affordability Period, in addition to repayment of the balance of the Note Amount, Agency shall receive a share of the sales proceeds that exceed the value of the Property at the time of the Agency Loan, in order to recover funds for other low and moderate-income housing pursuant to state law. The Agency's share of the increase in equity shall be determined based on the length of time the Property has been occupied by an Eligible Person or Family prior to the Prohibited Transfer, pursuant to the table below. The Agency's share of the equity increase will be lowered in the event the Prohibited Transfer is the result of divorce or death. Year of Prohibited Percent of Equity Increase Transfer After Loan Retained by Owner Years Other Divorce Death 0- 15 0% 01Y0 0% 16- 18 2% 6% 911/0, 19-21 5% 9% 12% RcFWowry A8;m m-t FA BB 7 OF 17 Emilio A.Qonzal= Declmtion orcooa and Re W*Liuna 375 Wn[Film Vista Pri'eo Year of Prohibited Percent of Equity Increase Transfer After Loan Retained by Owner 22-24 9% 13% 16% 25=27 13% 17% 20% 28-30 17% 21% 24% 31 -33 23°% 27% 1 30% 34- 36 290% 33% 36% 37 39 40% 44% 47°/v 40-42 69% 73% 76% 43-45 100% 100% 100% As an example only:* Value of Property at time of loan = $200,000 • Amount of Agency Loan = $50,000 • Value of Propertyat time of Prohibited Transfer during Year 20= $250,000 • Increase in equity=$50,001) • Repayment of Agency Loan = $50,000 plus interest Amount of Equity Increase shared with Agency= (95%X $50,000).=$47,500 • Amount of Equity Increase kept by Owner = (5% X $50,000)_$2,500 9. Maintenance of Property. Owner shall maintain the buildings, landscaping and yard areas on the Property, as follows: No improperly maintained landscaping shall be visible from public rights-of-way, including: no lawns with grasses in excess of six(6) inches in height; no untrimmed hedges; no trees, shrubbery, lawns, and other plant life dying from lack of water or other necessary maintenance; no trees and shrubbery grown uncontrolled without proper pruning; no vegetation so overgrown as to be likely to harbor rats or vermin; ItaSd•e^A APammt PAQ,C S OE 17 Emilia A.dovalex Deelantivn of Covemets.'[Rcstrichs 375 W-00m Vislo briYe and no dead, decayed, or diseased trees, weeds, and other vegetation. No yard areas shall be left unmaintained, including: no broken or discarded furniture, appliances, and other household equipment stored in yard areas for periods exceeding one (1) week; no packing boxes, lumber, trash, dirt, and other debris stored in yards for periods exceeding one (1) week in areas visible from public property or neighboring properties; no unscreened trash cans, bins, or containers stored for longer than reasonably required for removal by the City's waste haulers in areas visible from public property or neighboring properties; and no vehicles parked or stored in areas other than approved parking areas. i No inoperable vehicles stored where visible from public property or neighboring properties. No buildings may be left in an unmaintained condition, including: i no violation of state or federal law, . Uniform Codes, or City ordinances, rules or regulations; no condition that constitutes an unsightly appearance that detracts from the aesthetics or property value of the subject property or f constitutes a private or public nuisance; no broken windows or chipped, cracked or peeling paint; and no conditions constituting hazards and/or inviting trespassers or illegal activity. If such buildings,'landscaping or yard areas are not so maintained, and such conditions are not corrected as soon as possible but in no event longer than thirty (30) days after notice thereof from Agency or the City of Palm Springs (the "City"), then either Agency or the City may perform the necessary maintenance and Owner shall pay such costs as are reasonably incurred for such maintenance. Not by way of limitation of the foregoing, Owner shall maintain the improvements and landscaping on the Property in a manner consistent with community standards which will uphold- the value of the Property, in accordance with the Palm Springs Municipal Code. RLEWata+7 Agr wl PAGE 9 OP 17 P.r Mp A.Gonzd= r/cimlian nfCvran n mdlicgW,a w 375 WCAPa10 Viafa Drive i 10, Occupancy, Standards. The Property shall be used as the principal residence of Owner and Owner's family and'for no other purpose. Owner shall not enter into an agreement for the rental or lease of the Property. Agency may grant a temporary waiver of the above requirements for good cause, in Agency's sole and absolute discretion. The maximum occupancy of the Property shall not exceed the maximum occupancy allowed by the stricter of applicable state law or the Palm Springs Municipal Code. Owner shall, upon demand by Agency, submit to Agency an affidavit of occupancy verifying Owner's compliance with this Section 10. Said affidavit may be required-by Agency on an annual basis- 11. First Lien; Covenants Do Not Impair First Lien. The provisions of this Agreement and the Agency Deed of Trust shall be subordinate to the First Lien on the Property held by'the Lender and shall not impair the rights of Lender, or Lenders assignee or successor in interest, to exercise its remedies under the First Lien in the event of default under the First Lien by Owner, Such remedies under the First Lien include the right of foreclosure or acceptance of a deed or assignment un lieu of foreclosure. After such foreclosure or acceptance of a deed in lieu of foreclosure, this Agreement shall be forever terminated and shall have no further effect as to the Property or any transferee thereafter;provided, however, if the holder of the First Lien acquires title to the'Property pursuant to a deed or assignment in lieu of foreclosure, this Agreement shall automatically terminate upon such acquisition of title, provided that (i) Agency has been given written notice of a default under the First Lien, and (ii) Agency shall not have cured the default under such First Lien within the 30-day period provided in such notice sent to Agency. Agency shall cause a Request for Notice, in the form attached to the DDA as Attachment No, 10, to be recorded on the Property subsequent to the recordation of the First Lien deed of trust or mortgage requesting a statutory notice of default as set forth in the California Civil Code Section',2924b. 12. Defaults. Failure or delay by either party to perform any term or provision of this Agreement which is not cured within thirty (30) days after receipt of notice from the other party constitutes a default under this Agreement; provided, however, if such default is of the nature requiring more than thirty (30) days to cure, the defaulting party, shall avoid default hereunder by commencing to cure within such thirty (30) day period, and thereafter diligently pursuing such cure to completion, The party who so fails or delays must immediately commence to cure, correct or remedy such failure or delay, and shall complete such cure, correction or remedy-with diligence. The injured party shall give written notice of default to the party in default, specifying the default complained of by the injured party. Except as required to protect against further damages, the injured party may not institute proceedings against the party In default until thirty (30) days after giving such notice. Failure or delay in giving such notice shall not constitute a waiver of any default, nor shall it change-the time of default 13_ Indemnification. Owner shall defend, indemnify and hold harmless Agency and the City of Palm Springs and their respective officers, officials, agents, employees, RegWataty Ap---t PAGE 10 OF 17 Emitio A Qawg= A�clanGon ofCovmenL9 and&atdcti= 375 WtatPalm Vista Nva i representatives, and volunteers from and against any loss, liability, claim, or judgment relating in any manner to the Property or this Agreement. .14. Insurance. Owner shall maintain, during the Affordability Period, an all-risk property insurance policy insuring the Property in an amount equal to the full replacement value of the structures on the Property, in a form, content and with companies approved by Agency. The policy shall name Agency as loss payee and shall contain a statement of obligation on behalf of the carrier to notify Agency of any material change, cancellation or termination of coverage at least thirty -(30) days in advance of the effective date of such material Grange, cancellation or termination. Owner shall transmit a copy of the certificate of insurance and loss payee endorsement to Agency within thirty (30) days of the effective date of this Agreement, and Owner shall annually transmit to Agency a copy of the certificate of insurance and a loss payee endorsement, signed by an authorized agent of the insurance carrier setting forth the general provisions of coverage. The copy of the certificate of insurance and loss payee endorsement shall be transmitted to Agency at the address set forth in Section 16:5_ 15. Nondiscrimination. Owner covenants by and for itself, its successors and assigns, and all persons claiming under or through them that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, religion, sex, marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Property, nor shall Owner itself or any person claiming under or through it, establish or permit any such 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 Property. Owner, its successors and assigns, shall refrain from restricting the rental, sale or(ease of the Property on the basis of race, color, religion, sex, marital status, national origin or ancestry of any person. All such deeds, leases or contracts shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: In deeds; "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, religion, sex,.marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land herein conveyed, nor shall the grantee himself or herself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessee or vendees in the land herein conveyed. The foregoing covenants shall run with the land." In leases: "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all AegaUturyAt�alt PAGE 11 OF 17 F.W-A.Oumatsz DovLuabon of Covrnwm aad Eearicuonx 775 We tPalm Vier Drive ui ' 1 i. I , persons claiming under or through him or her, and this lease is made and .accepted upon and subject to the following conditions.- "There shall be no discrimination against or segregation of any person or group of persons on account of race, color, religion, sex, marital status, ancestry or national origin in the leasing, subleasing, transferring, use, occupancy, tenure or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person cUming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, sublessees, subtenants or venidees in the premises herein leased-" In contracts: 'There shall be no discrimination against or segregation of, any person or group of persons on account of race, color, religion, sex, marital status, ancestry or national origin, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the premises, nor shall the transferee himself or herself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessee or vendees of the premises." Notwithstanding the foregoing, Owner acknowledges and agrees that during the Affordability Period, Owner shall occupy the P{operty as Owner's principal residence and shall not rent or lease the Property. 16. Miscellaneous. '16.1 Attorneys' trees and Costs. If any action is brought to enforce the terns of.this Agreement, the prevailing parry shall be entitled to reasonable attorneys' fees and costs_ 16.2 Controlling Agreement. Owner covenants that Owner has not executed, and will not execute any other agreement with provisions contradictory to or in apposition to the provisions hereof, and that in any event, Owner understands and agrees that this Agreement shall control the rights and obligations between the parties. 16.3 Severabiiity, If any one or more of the provisions contained in this Agreement shall for any reason be held to be invalid, illegal, or unenforceable in any respect, then such provision or provisions shall be deemed severable from the remaining provisions contained in this Agreement, and this Agreement shall be construed as if such invalid, illegal, or unenforceable provision(s) had never been contained hereon. Hcgnl.tory Agr mt FADE 1Z OF 17 Emilio A.Qoma1C6 Da Jmlion of Covga„b mud Vmtdcaa� 775 WmtRalm Yis1+17rive l 16.4 Time. Time is of the essence of this entire Agreement. Whenever under the terms of this Agreement the time for performance falls on a day which is not a business day, such time for performance shall be on the next day that is a business day- 16.5 Notices. All notices required to be delivered under this Agreement to the other party must be in writing and shall be effective (i) when personally delivered by the other party or messenger or courier thereof; (ii) three (3) business days after deposit in the United States mail, registered or certified; or (iii) one (1) business day after deposit before the daily deadline time with a reputable overnight courier or service; in each case postage fully prepaid and addressed to the respective parties as set forth below or to such other address and to such other persons as the parties may hereafter designate by written notice to the other party hereto Community Redevelopment Agency of the If to Agency: City of Palm Springs Attention: Executive ❑irector 3200 East Tahquitz Canyon Way Palm Springs, California 92262 If to Owner. Emilio A- Gonzalez 375 West Palm Vista Drive Palm Springs, CA 92262 16.6 Captions and pronouns. The captions and headings of the various Sections of this Agreement are for convenience only, and are not to be construed as confining or limiting in any way the scope or intent of the provisions hereof. Whenever the context requires or permits, the singular shall include the plural, the plural shall include the singular, and masculine, feminine, and neuter shall be freely interchangeable. 16.7 Running of Benefits and Burdens. All conditions, covenants, and restrictions contained in this Agreement shall be covenants running with the land, and shall, in any event, and without regard to technical classification or designation, legal or otherwise, be, to the fullest extent permitted by law and equity, binding for the benefit and in favor of, and enforceable by, Agency and its successors and assigns, against Owner; its successors and assigns, to or of the Property conveyed herein or any portion thereof or any interest therein, and any party in possession or occupancy of said Property or portion thereof. In amplification and not in restriction of the provisions set forth hereinabove, it is intended and agreed that Agency shall be deemed a beneficiary of the agreements and covenants provided hereinabove both for and in its own right and also for the purposes of protecting the interests of the community. All covenants without regard to technical classification or designation shall be binding for the benefit of Agency and such covenants shall run in favor of Agency for the entire period during which such covenants shall be in force and effect, without regard to whether Agency is or remains an owner of any land or interest therein to which such covenants relate. Agency shall have the right, AvSd.tvry Ag�—t PAG$13 6F 17 Emilie A-(]. >[ s DxLntia�aFCovNwn�avd RcalycyvLa 37S WCB[Pilm�cm➢rivc in the event of any breach of any such agreement or covenant, to exercise all the rights and remedies, and to maintain any action at law or suit in equity or other proper proceedings to enforce the curing of such breach of agreement or covenant. 16.8 Construction_ The rule of strict construction does not apply to this Agreement. This Agreement shall 'be given a reasonable construction so that the intention of the parties, to prevent any-Prohibited Transfer or any use of the Property in violation of this Agreement, is carried out 16.9 Obligations Secured by Agency Deed of Trust. The payment and Performance of all obligations of Owner under this Agreement are secured by the Agency Deed of Trust. I 16.10 Counterparts. This Agreement may be executed in two or more counterparts, each of which when so executed and delivered shall be deemed an original and all of which, when taken together, shall constitute one and the same instrument. 16.11- Recordation'; Effective Date. This Agreement shall be recorded• and shall become effective upon the transfer of fee title to the Property to Owner. 16.12 Waiver. No delay or omission by Agency in exercising any right or Power accruing upon the compliance or failure of performance by Owner hereto under the provisions of this Note shall impair any such right or power or be construed to be a waiver thereof. A waiver by Agency of a breach or Event of Acceleration or of any failure of performance by Owner of any of the covenants, conditions or agreements hereof to be performed by Owner shall not be construed as a waiver of any succeeding I breach of the same or other covenants, agreements, restrictions or conditions hereof; I/ // // d I PACE 14 OF 17 Emilio A.Uawticz DhoVmGdn ofCovn ft and Rwricrivns 37$Ww Palm data rkiw I �I [I IN WITNESS WHEREOF, the,parties have executed this Agreement as of the date first written above. COMMUNITY REDEVELOPMENT AGENCY OF THE CITYOF PALM SPRINGS, a public body, corporate and politic Sighed in Gbunterpare By: Executive Director "AGENCY" Attest: Signed in Counterpart _ James Thompson, Assistant Secretary Emilio A- Gonzalez (Agency's and Owners Signature must be "OWNER" acknowledged by a Notary Public) Approved as to form: Signed in Counterpart Douglas C. Holland, City Attorney i I ReguiatdryAgincpmt PAOB 15 OF 17 E.N9 A.Qvaulu Deil+ntian of Cavmenla ead lLesIDeltew& 375 WestPdm ViM Yhive STATE OF CALIFORNIA } } COUNTY OF } ss Onh, lZ A!W deD7 b' pfpre m_ e,TE?M77ri 9-r /0Z?e2]{W Notary Public, personally appeared i D �nZY7 lZ peraeagalFyHmevvn to rfle (or ed to me on the bas f satisfactory evidence) to be the personf whose name ] is/ subscribed to the within instrument and acknowledged to me that he/st /Jhey executed the ' same in his/f}efiOr authorized capacity,W, and that by his/hefr(hef signature on the instrument the person or the entity upon behalf of which the person acted, executed the instrument. WITNESS my hand and official seal. J1,%If:IFER PROCTOR F•" i•'2 Commission#f iS5G965 7 C .� Nota ,?ubllc W-Cifyorrlla Signature ' ""�a�lAy Comrn.Ezpi:e59ec 162007 i STATE OF CALIFORNIA } }ss COUNTY OF } On before me, Notary Public, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to --be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same .in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature Pc8ul�7ABtnt PAGE 17 op 17 $milioA tlonn{nz 1)ec4ntiop aSCweoeure and ICcatrictivao 775 Wea[Pdb Mara Ariw i IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above. COMMUNITY REDEVELOPMENT AGENCY OF THE CITYOF PALM SPRINGS, a public body, corporate and politic Executive Dyi�rector QLCCII I J "AGENCY Attest: , • James Thompson,Assistant Secr ary Emilio A. Gonzalez (Agency's and Owner's Signature must be -OWNER" acknowled by a Notary Public) Appro e s to form: Dougla clland, City Attorney 449MY BY RES. Ma���( � D� 'rfr'Uy�Y . P��uw`�r4� Ao�tvL AO�L�L R a1o4'Apfu�eat FAGE 15 OF 17 Fm1&A.Gomal= ticdmatioo ofCavGhaat3 m1d Restricpans 375 Weal Palm Vista hive STATE OF CALIFORNIA } }ss COUNTY OF �(VV faC } On rl� before me, h« A &WA ?G Notary Public, personally appeared c ar personally known to me to be the person(s) whose name(s) re subscribed to the within instrument and acknowledged to me that X101e4be executed the 'same in Dis/Isar heir authorized capacity(ies), and that by>sOW13hei signature(s) on the instrument Vie person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature Mytanwri F�►wr�a1°"201 i STATE OF CALIFORNIA } )ss COUNTY OF } On before me, Notary Public, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacily(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the persoh(s) acted, executed the instrument. WITNESS my hand and official seal. Signature Regutaz ry Abrc mt PACE 17 OF 17 Emilio A.Gv=I= Dm1arution afco'vnosata and Rasirielions 375 We•.1 Palm Visor Drive EXHIBIT A LEGAL DESCRIPTION Lot 117 of the Desert Highland Estates, in the City of Palm Springs, as shown by Map on file in Book 24, Page(s) 53 and 54 of Maps, in the office of the County Recorder of Riverside County, Califomia- i Excepting and reserving therefrom all oil, gas, hydrocarbon substances and minerals of every kind and character lying more than five hundred feet (500') below the surface, together with the right to drill into, through, and to use and occupy all parts of the Site lying more than five hundred feet (500') below the surface thereof for any and all purposes incidental to the exploration for and production of oil, gas, hydrocarbon substances or minerals from the Site but, without, however, any right to use either the surface of the Site or any portion thereof within five hundred feet(500') of the surface for any purpose or purposes whatsoever. c f C i I I Reguiamry gcet wt PAGE 16 OF 17 rmdia A GaaLiltL A. DeclMtion oECovcn9n(s and RPstriedms M West Palm Vista chive i l i DCC # 2007-0289618 04/30/2007 08;00A Fee:NC FIDELITY NATIONALTTTLE COMPANY Pin t or to Recorded in Diricial Records SUB Larry DIVISION DEPARTMENT County Riverside W. Ward Assessor, County Clerk & Recorder RECORDING REQUESTED BY AND I IIIII IIIIIII IIIII �II IIIII I IIIIII IIIII_ II� WHEN RECORDED MAIL TO: Community Redevelopment Agency of the City of Palm Springs 3200 East Tahquitz-Canyon Way S R U PAGE SIZE DA MISC LONG RFD COPY Palm Springs, California 92262 Attention: City Clerk (� A L 465 426 PCOR NCOR SMF NCHG E% M Exempt from payment of recording fees Q ! (� pursuant to Government Code § 6103. l Escrow#220224-TW DEED OF TRUST WITH ASSIGNMENT OF RENTS } 014 THIS DEED OF TRUST WITH ASSIGNMENT OF RENTS ("Deed of Trust") is made as of the April 26, , 2007, by and between EMILIO A. GONZALEZ, A MARRIED MAN AS HIS SOLE AND SEPARATE PROPERTY, ("Trustor"), whose address is 375 West Palm Vista Drive, Palm Springs, California 92262, FIDELITY NATIONAL TITLE INSURANCE COMPANY ("Trustee"), whose address is 3550 Vine Street, Riverside, California, 92507, and the COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS, a public body corporate and politic ("Beneficiary"), whose address is 3200 East Tahquitiz-Canyon Way, Palm Springs, California 92262. WITNESSETH: That Trustor grants to Trustee in trust, with power of sale, that property in the City of Palm Springs, County of Riverside, State of California, described as set forth on Exhibit "A" attached hereto and hereby incorporated herein by reference (the 'Property") together with rents, issues and profits thereof, subject, however, to the right, power and authority hereinafter given to and conferred upon Beneficiary to collect and apply such rents, issues and profits for the purpose of securing (1) payment of the sum of Fifty Thousand Dollars ($50,000.00), with interest thereon according to the terms of a promissory note or notes of even date herewith made to Trustor, payable to order of Beneficiary, and extensions or renewals thereof; (2) the performance of each agreement of Trustor incorporated by reference or contained herein; and (3) payment of additional sums and interest thereon which may hereafter be loaned to Trustor, or his or her successors or assigns, when evidenced by a promissory note or notes reciting that they are secured by this Deed of Trust. THIS DEED OF TRUST IS HEREBY MODIFIED/SUPPLEMENTED BY THE TERMS OF THAT CERTAIN RIDER TO DEED OF TRUST WHICH IS ATTACHED TO THIS DEED OF TRUST AND HEREBY INCORPORATED BY REFERENCE. To protect the security of this Deed of Trust, and with respect to the property above described, Trustor expressly makes each and all of the agreements, and adopts and agrees to perform and be bound by each and all of the terms and provisions set forth in subdivision a, and it is mutually agreed that each and all of the terms and provisions set forth in subdivision B of the fictitious deed of trust recorded in Orange County August 17, 1964, and in all other counties August 18, 1964, in the book and at the page of Official Records in the office of the county recorder of the county where said property is located, noted below opposite the name of such county, namely: COUNTY BOOK PAGE COUNTY BOOK PAGE COUNTY 51GOK PAGE COUNTY BOOK PAGE Alameda 1288 656 King: 858 713 Placer 1028 n7u 51cml 38 187 Alpine 3 130-31 L.Ne 437 Ila Pluma� 165 1307 Sleldyou 608 762 Amador 133 438 L.ecen Ian 267 Fmemldp 3778 357 Solon. 1287 621 Butt. 1330 G13 Let Angeloc T3878 874 Sacrament. G030 124 Sonoma 2067 427 C.Im ema 165 330 Mndem 911 135 San Benllo 300 405 51 1970 SG Colusa 313 301 Mad. 1840 122 San Bemardm. 6213 758 Sutter Bar Gall Contm Coy. 4884 1 Madp.. B0 462 Son Fmnepco A3304 586 Tehom. 457 ta3 Del None 101 540 Mend..I. 6e7 pP San Joaqun 2655 292 Trinity 108 $86 El Dorado 704 635 Merced Idea 753 Sun Lul,Obispo 1311 137 Tutu, 2530 109 preen. 5052 622 Mmoc 191 03 San Mateo 4778 175 Tuelumno 177 160 Glenn 400 75 Mono eo 302 S.nm Burb.ra 2065 281 venlum 2007 237 Humboldt Sol 83 Momony 357 220 Santo clot. 5626 564 Yob 769 1e Impodal 1189 701 N.P. 704 742 Santa C. 1G30 507 Yuba 366 893 1'. 105 672 Nev.da 353 94 Shasta 800 San Kenn a718 0P0 Orange 71a2 13 Sun Ciooc SERIES 5 Gook 1064 P.ge 14P779 shall inure to and bind the parties hereto, with respect to the property above described. said agreements, terms and provisions contained in said subdivision A and B (identical in all counties, and printed on pages 3 and 4 hereof) are by the within reference thereto, incorporated herein and made a part of this Deed of Trust for all purposes as fully as if set forth at length herein, and Beneficiary may charge for a statement regarding the obligation secured hereby, provided the charge therefore does not exceed the maximum allowed by law- S ignature of Trustor rCrl Date: ` l,i-6 / By: Emilio A. Gonzalez [End of Signatures] STATE OF CALIFORNIA } } ss COUNTY OF �7"/LL1 de. } On _&912- �607 before me, 722 2101"i l- 4�ZY Notary Public, personally appeared perssftaHgimovvn terwrte (or proved to me on the basis of satisfacto e�vid_e_nce) to be the person whose namejzs) is/0 subscribed to the within instrument and acknowledged to me tha he/sh lWy executed the same in his/hafteirauthorized capacity(i< and that by hisjhef/t�signature(t` on the instrument the personvor the entity upon behalf of which the person acted, executed the instrument. WITNESS m an an official l a sea . Y hddf JEJ ,,,DC PWOCTOR f '}. �•,-_•'��, COfl R1i.,51CR-f �.i$b�b$ I, 'i- l_n{� ?�OI(S'j n, �iC.C.GIIfCioiQ r" Signature i h,y Conrn C ^e,- (Seal) STATE OF CALIFORNIA } ) ss COUNTY OF } On before me, Notary Public, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature (Seal) LEGAL DESCRIPTION - Lot 117 of the Desert Highland Estates, in the City of Palm Springs, as shown by Map. on file in Book 24, Page(s) 53 and 54 of Maps, in the office of the County Recorder of Riverside County, California. Excepting and reserving therefrom all oil, gas, hydrocarbon substances and minerals of every kind and character lying more than five hundred feet (500') below the surface, together with the right to drill into, through, and to use and occupy all parts of the Site lying more than five hundred feet (500') below the surface thereof for any and all purposes incidental to the exploration for and production of oil, gas, hydrocarbon substances or minerals from the Site but, without, however, any right to use either the surface of the Site or any portion thereof within five hundred feet (500') of the surface for any purpose or purposes whatsoever. RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: Community Redevelopment Agency of the City of Palm Springs 3200 East Tahquitz-Canyon Way Palm Springs, California 92262 Attention: City Clerk Exempt from payment of recording fees pursuant to Government Code § 6103. Escrow#220224-TW RIDER TO DEED OF TRUST WITH ASSIGNMENT OF RENTS THIS RIDER TO DEED OF TRUST WITH ASSIGNMENT OF RENTS ("Rider') is attached to and incorporated by reference to that certain Deed of Trust With Assignment of Rents, executed by EMILIO A. GONZALEZ, A MARRIED MAN AS HIS SOLE AND SEPARATE PROPERTY, as "Trustor," naming FIDELITY NATIONAL TITLE INSURANCE COMPANY ("Trustee'), whose address is 3550 Vine Street, Riverside, California, 92507, as "Trustee," in favor of the COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS, a public body, corporate and politic, as "Beneficiary." The Deed of Trust, as hereby modified/supplemented by this Rider, is hereinafter referred to as the "Deed of Trust" The following documents are incorporated herein by reference: a. The Regulatory Agreement and Declaration of Covenants Running With Land by and between Trustor as "Owner" and Beneficiary as "Agency" dated on April 27, , 2007 (the "Affordable Housing Agreement"), which sets forth terms and conditions for Beneficiary's loan of the Loan (as defined below) to Trustor. All terms which are not defined in this Deed of Trust shall have the meaning given in the Affordable Housing Agreement. b. The Agency Promissory Note ("Note"), dated on April 26 2007, with Trustor as "Borrower" and Beneficiary as "Agency" or "Lender," in the principal amount of Fifty Thousand Dollars ($50,000.00) ("Loan" or "Note Amount"), for which this Deed of Trust is security. The parties hereto agree: 1, Obligations Secured. Trustor makes this grant and assignment for the purpose of securing the following obligations: a. Payment to Beneficiary of the Loan and all indebtedness at any time owing under the terms of the Note; b. Payment and performance of all obligations of Trustor under this Deed of Trust; C. Payment and performance of all obligations of Trustor under the Affordable Housing Agreement; d. Payment and performance of all future advances and other obligations of Trustor or any other person, firm, or entity with the approval of Trustor, may agree to pay and/or perform (whether as principal, surety or guarantor) for the benefit of Beneficiary, when the obligation is evidenced by a writing which recites that it is secured by this Deed of Trust; and e. All modifications, extensions and renewals of any of the obligations secured hereby, however evidenced. 2. No Renting or Leasing. Trustor acknowledges and agrees that Trustor shall occupy the Property as Trustor's principal residence in accordance with the Affordable Housing Agreement and shall not rent or lease the Property. Nothing in the Deed of Trust including the assignment of rents shall be interpreted or construed to permit the Trustor to rent or lease the Property. 3. Mortgagee-in-Possession. Neither the assignment of rents set forth in the Deed of Trust nor the exercise by Beneficiary of any of its rights or remedies hereunder shall be deemed to make Beneficiary a "mortgagee-in-possession" or otherwise liable in any manner with respect to the Property, unless Beneficiary, in person or by agent, assumes actual possession thereof. Nor shall appointment of a receiver for the Property by any court at the request of Beneficiary or by agreement with Trustor, or the entering into possession of the Property by such receiver, be deemed to make Beneficiary a "mortgagee-in-possession" or otherwise liable in any manner with respect to the Property. 4. No Cure. In the event Beneficiary collects and receives any rents under the Deed of Trust upon any default hereof, such collection or receipt shall in no way constitute a curing of the default. 5. Beneficiary Option to Purchase. NOTICE IS HEREBY GIVEN THAT TRUSTOR HAS GRANTED TO BENEFICIARY AN OPTION TO PURCHASE THE PROPERTY, THE TERMS OF WHICH ARE SET FORTH IN THE AFFORDABLE HOUSING AGREEMENT, 6. Waiver. No delay or omission by Beneficiary in exercising any right or power accruing upon the compliance or failure of performance by Trustor hereto under the provisions of this Deed of Trust shall impair any such right or power or be construed to be a waiver thereof. A waiver by Beneficiary of a breach of, Event of Acceleration, or any other of any failure of performance by Trustor of any of the covenants, conditions or agreements hereof to be performed by Trustor shall not be construed as a waiver of any succeeding breach of the same or other covenants, agreements, restrictions or conditions hereof. IN WITNESS WHEREOF, Trustor has executed this Rider as of the date set forth in the Deed of Trust's acknowledgment hereinbelow, to be effective for all purposes as of the day and year first set forth above. SIGNATURE OF TRUSTOR: Date: 6 By: (�IVY6-, Emilio A. Gonzalez jEnd of Signatures] STATE OF CALIFORNIA } ss COU./�NTYOFA')/ %,ry[L� } On .-,26;it' before me, 1' �i(r u ��r Notary Public, personally appeared � Yl; 41 C per-soRally-Imown to-me-�or proved tom on the-basis-af_satisf, go-y evidence to be the personj5) whose name is/�subscribed to the within instrument and ac�owledged to me that hehPb1tVy executed the same in hislVr/their authorized capacity(, and that by his/h,&thyr signatureA on the instrument the person] or the entity upon behalf of which the person acted, executed the instrument. WITNESS my hand and official seal. - .:' ,1-;i� rj oCTOa Carnrri aivP '4.G4o5 .i L. � Signature "e /J/ r,, „r Dec 16 ?,c; (Seal) STATE OF CALIFORNIA } )Ss COUNTY OF } On before me, Notary Public, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature (Seal) LEGAL DESCRIPTION Lot 117 of the Desert Highland Estates, in the City of Palm Springs, as shown by Map on file in Book 24, Page(s) 53 and 54 of Maps, in the office of the County Recorder of Riverside County, California. Excepting and reserving therefrom all oil, gas, hydrocarbon substances and minerals of every kind and character lying more than five hundred feet (500') below the surface, together with the right to drill into, through, and to use and occupy all parts of the Site lying more than five hundred feet (500') below the surface thereof for any and all purposes incidental to the exploration for and production of oil, gas, hydrocarbon substances or minerals from the Site but, without, however, any right to use either the surface of the Site or any portion thereof within five hundred feet (500') of the surface for any purpose or purposes whatsoever. 1 GOVERNMENT CODE 27361.7 I certify under penalty of perjury that the notary seal on the document to which this statement is attached reads as follows: Name of Notary Notary Identification Number Vender Identification Number �~ County Where Bond Is Filed ) Date Commission Exp 1� SPL, I as DATE:/ Signature State of California ) County of ) On before me, personally appeared, personally known to me (or proved to me the basis of satisfactory evidence) to be the person (s) whose name (s) is/are subscribed to the within instrument and acknowledged to me that helshe/they executed the same in his/her their authorized capacity (ies), and that by his/her/their signature (s) on the instrument the pe:aon (s), or the entity upon behalf of which the person (s) acted, executed the instrument. WITNESS my hand and official seal. Signature I CERTIFY UNDER PENALTY OF PERJURY THAT THIS MATERIAL IS A TRUE COPY OF THE ORIGINAL MATERIAL CONTAINED IN THE DOCUMENT: SPL, Inc. as agent DATE: / !_ Signature Revised 9/6/0(,R I N7 001 Z)Icnalucsml RI(1)dnc