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HomeMy WebLinkAbout0307C - RIVERSIDE COUNTY HOUSING AUTHORITY - BOND PURCHASE 3989 CALLE DE CARLOS COVENANT CCR Housing Authority of Co. of a� Riverside - Reg Agr re 3989 Calle de Carlos per Bond Issu, 0 A§r 190 RECORDING REQUESTED BY AND AGREEMENT 307C' O R861 _5-_26-92_+ WHEN RECORDED RETURN TO ' 0Y I cc Jeffrey P. Christopher, Esq:-- . rn 8 M Camfield & Christopher b - Suite 1080 Q 801 North Brand Blvd. W o M Glendale, CA 91203-1243 REGULATORY AGREEMENT AND DECLARATION OF RESTRICTIVE COVENANTS by and between the HOUSING AUTHORITY OF THE COUNTY OF RIVERSIDE and COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS, CALIFORNIA Dated as of February 1, 1992 Relating to 3989 Calle de Carlos Palm Springs, CA W389-19 2-14-92 213660 TABLE OF CONTENTS Page Section 1. Definitions and Interpretation. . . . . . . . . . . . . . . . . . . . 2 Section 2 . Acquisition of the Project. . . . . . . . . . . . . . . . . . . . . . . . 4 Section 3 . Multifamily Rental Housing. . . . . . . . . . . . . . . . . . . 4 Section 4 . Moderate, Lower, and Very Low Income Tenants. . . . . . 4 Section 5. Modification of Restrictions. . . . . . . . . . . . . . . . . . . . . . 6 Section 6 . Indemnification. . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Section 7 . Reliance. . . . 7 . . . . . . . . . . . . . . Section 8 . Project Location; Cooperation Agreement. . . . . . . . . . . 7 Section 9. Sale or Transfer of Project. . . . . . . . . . . . . . . . . . . . . . . 7 Section 10. Nondiscrimination. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Section11. Term. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Section 12 . Covenants to Run With the Land. . . . . . . . . . . . . 10 Section 13 . Burden and Benefit. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Section 14 . Uniformity; Common Plan. . . . . . . . . . . . . . . . . . . . . . . 10 Section 15. Events of Default; Enforcement. . . . . . . . . . . . . . 10 Section 16 . Governing Law. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . it Section 17. Amendments 11 Section 18 . Severability. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 Section 19 . Time of the Essence. . . . . . . . . . . . . . . . . . . . . . . . . . 12 Section 20. Recording and Filing. . . . . . . . . . . . . . . . . . . . . 12 Section 21. Notice. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 EXHIBIT "A" DESCRIPTION OF PROJECT SITE. . . . . . . . . . . . . . . . . . . . . A-1 EXHIBIT "B" CERTIFICATE OF CONTINUING PROGRAM COMPLIANCE. . . . B-1 W389-19 2-14-92 REGULATORY AGREEMENT AND 213660 DECLARATION OF RESTRICTIVE COVENANTS THIS REGULATORY AGREEMENT AND DECLARATION OF RESTRICTIVE COVENANTS is made and entered into as of February 1, 1992 , by and among the Housing Authority of the County of Riverside, a public body, corporate and politic, of the State of California (the "Authority") , and the Community Redevelopment Agency of the City of Palm Springs, California, a public body, corporate and politic of the State of California (the "Agency") . PREAMBLE WHEREAS, the Authority has acquired a rental housing project as is more fully described in Exhibit A hereto (the "Project") located within the County of Riverside (the "County") and in the City of Palm Springs (the "City") ; and WHEREAS, pursuant to the Health and Safety Code Section 34200 et s_eec . (the "HAL") and the Indenture (as hereinafter defined) , the Authority has issued its Revenue Bonds, 1988 Series A (the "Bonds") in the aggregate principal amount of $99 , 500, 000, a portion of the proceeds of which will be used to acquire and permanently finance the Project; and WHEREAS, in connection with the issuance of the Bonds, the Authority and the Agency have entered into an Agreement for Pledge of Redevelopment Agency Low and Moderate Income Housing Funds (the "Set-Aside Agreement") pursuant to which the Agency has agreed to pledge certain funds to the Authority for use by the Authority in connection with the issuance of the Bonds and the operation of the Project, and therefore the Agency has an interest, pursuant to the Community Redevelopment Law (Health and Safety Code Section 33000 et sea. ) (the "CRL") , in being assured that the Project meets the requirements of the CRL; and WHEREAS, the CRL prescribes that the use and operation of the Project be restricted in certain respects by recording restrictive covenants in the office of the County Recorder, therefore, the Authority and the Agency have determined to enter into this Regulatory Agreement; and NOW, THEREFORE, in consideration of the mutual covenants and undertakings set forth herein, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Authority and the Agency do hereby contract and agree as follows: 1 W389-19 2-14-92 213�66® REGULATORY AGREEMENT Section 1. Definitions and Interpretation. Unless otherwise expressly provided herein or unless the context clearly requires otherwise, the following terms shall have the respective meanings set forth below for all purposes of this Regulatory Agreement: "Adjusted Income" means the adjusted income of all persons who intend to reside in one residential unit, calculated in the manner determined by the Secretary of the Treasury pursuant to Regulation Section 1. 167 (k) - 3 (b) (3) . "Affordable Rents" means a monthly rental for a unit of the applicable size which does not exceed 1/12 of 30% of the maximum Adjusted Income permitted for the Very Low Income Tenants in such unit. "Area" means the metropolitan statistical area in which the Project is located. "Bond Counsel" means an attorney at law or a firm of attorneys acceptable to the Authority and the Trustee of nationally recognized standing in matters pertaining to the tax- exempt nature of interest on bonds issued by states and their political subdivisions duly admitted to the practice of law before the highest court of any state of the United States of America, or the District of Columbia. "Certificate of Continuing Program Compliance" means the certificate attached hereto as Exhibit B. "Income Computation and Certification" means the form provided by the Authority to be completed by a tenant prior to occupancy of a unit. "Indenture" means that certain Indenture of Trust dated as of October 1, 1988, by and between the Authority and the Trustee, pursuant to which the Bonds are issued and secured. "Lower Income Tenants" means individuals of lower income within the meaning of Sections 34312 . 3 and 50079 . 5 of the Health and Safety Code, which provide that occupants of a dwelling units are considered as individuals or families of lower income if their Adjusted Income, as adjusted for family size, does not exceed 800 of the Median Income for the Area. "Lower Income Units" means that number of dwelling units in the Development required to be occupied by or made available to Lower Income Tenants. 2 W389-19 2-14-92 213660 "Moderate Income Tenants" means individuals or families with an Adjusted Income which does not exceed 120 percent of the Median Income for the Area. "Median Income for the Area" shall mean the median income for the Area as most recently determined by the Secretary of Treasury, as adjusted for family size. "Mortgage" means that certain deed of trust executed by the Authority for the benefit of the Trustee creating a first lien on the Project. "Project" means the parcel of real property described in Exhibit A hereto, and all rights and appurtenances appertaining thereto, and the buildings, structures and other improvements constructed thereon, including all fixtures and other property owned, leased or licensed by the Authority and located on, or used in connection with, such buildings, structures or other improvements, all of which shall be owned and operated by the Authority in accordance with the restrictions set forth in this Regulatory Agreement. "Qualified Project Period" means the period beginning on the date this Regulatory Agreement is recorded and ending on the later of (a) the date which is 15 years after said date or (b) the date on which all moneys pledged to the Authority under the Pledge Agreement have been repaid or forgiven. "Regulatory Agreement" means this Regulatory Agreement and Declaration of Restrictive Covenants. "Very Low Income Tenants" means individuals or families with an Adjusted Income which does not exceed 50 percent of the Median Income for the Area. "Very Low Income Units" means the dwelling units in the Project occupied by Very Low Income Tenants. Unless the context clearly requires otherwise, words of the masculine gender shall be construed to include correlative words of the feminine and neuter genders, and vice versa, and words of the singular number shall be construed to include correlative words of the plural number, and vice versa. This Regulatory Agreement and all the terms and provisions hereof shall be construed to effectuate the purposes set forth herein and to sustain the validity hereof. The terms and phrases used in the recitals of this Regulatory Agreement have been included for convenience of reference only, and the meaning, construction and interpretation of all such terms and phrases for purposes of this Regulatory Agreement shall be determined by reference to this Section. The 3 W389-19 2-14-92 F I� 213660 titles and headings of the sections of this Regulatory Agreement have been inserted for convenience of reference only and are not to be considered a part hereof and shall not in any way modify or restrict any of the terms or provisions hereof and shall never be considered or given any effect in construing this Regulatory Agreement or any provision hereof or in ascertaining intent, if any question of intent shall arise. Section 2 . Acquisition of the Project. The Authority hereby represents, covenants and agrees that it has acquired fee title to the Project, is the sole owner thereof and no private entity or individual owns any interest in the Project, except to the extent of the lien of the Mortgage creates any such ownership interest. Section 3 . Multifamily Rental Housing. The Authority hereby declares its intent that the Project is to be owned, managed and operated, for so long as any Bonds remain outstanding under the Indenture, but in any event at least for the Qualified Project Period, as "multifamily rental housing" , within the meaning of Section 34312 .3 of the HAL, and as "rental housing units" within the meaning of the CRL. To that end, and for the term of this Regulatory Agreement, the Authority hereby represents, covenants, warrants and agrees that the Project is being acquired for the purpose of providing multifamily rental housing, and the Project is to be owned, managed and operated as such in accordance with the HAL and the CRL as either may be amended from time to time and in accordance with such requirements as may be imposed thereby on the Project from time to time. Section 4 . Moderate. Lower, and Very Low Income Tenants. The Authority and the Agency hereby agree that their joint objective is to increase the supply of lower income housing within their respective areas of jurisdiction. The Authority and the Agency acknowledge that the requirements of the HAL and the CRL in setting forth this objective are similar but not synonymous, and that an effort to coordinate such non-synonymous requirements would result in the establishment of tenancy restrictions upon the Project which are more burdensome upon the owner of the Project than are intended by either the HAL or the CRL. With such agreement and acknowledgement understood, the Authority hereby represents, warrants, covenants and agrees as follows: (a) During the Qualified Project Period: (1) The Authority will use its best efforts to rent all of the units in the Project only to Moderate Income Tenants, Lower Income Tenants and Very Low Income Tenants; provided that, however, upon the first vacancy of a unit in the Project after this Regulatory Agreement 4 W389-19 2-14-92 213660 is recorded and continuously thereafter at least one (1) unit should be occupied by or held vacant or available for Very Low Income Tenants. Except for reserving one (1) unit for occupancy by a Very Low Income Tenant, the Authority' s inability to perform such covenant shall not of itself constitute of violation of the terms of this Regulatory Agreement. No individual or family occupying a unit as a Moderate Income Tenant, a Lower Income Tenant or a Very Low Income Tenant shall be denied continued occupancy because, after commencement of such individual ' s or family's tenancy, such individual ' s or family' s income exceeds that set for such Tenants, respectively. (2) The rent to be charged for each unit in the Project shall not exceed the amount then permitted to be charged under applicable law with respect to Very Low Income Tenants, Lower Income Tenants, and Moderate Income Tenants respectively, except that in no event shall the rent paid by Moderate Income Tenants exceed the then market-rate rent for similar apartment units in the City. However, it shall not be deemed to constitute a default hereunder if the Authority, in order to generate sufficient net rental income from the Project in order to satisfy the terms and conditions of the Indenture, is required to charge rents that exceed the limits hereinabove set forth. Notwithstanding anything contained in this paragraph to the contrary, the rent charged for the unit reserved for occupancy by Very Low Tenants shall not exceed 1/12 of thirty percent (30%) of fifty percent (50%) of the Median Income for the Area and the charging of rent in excess of said amount shall be deemed to constitute a default hereunder. (3) A tenant's status as a Moderate Income Tenant, a Lower Income Tenant or a Very Low Income Tenant shall be identified at the time of such tenant' s initial occupancy of the applicable dwelling unit. (b) Immediately prior to a Moderate Income Tenant' s, a Lower Income Tenant's or a Very Low Income Tenant's occupancy of a unit, the Authority will obtain and maintain on file an Income Computation and Certification form, in a form reasonably satisfactory to the Agency, from each such tenant dated immediately prior to the initial occupancy of such Moderate Income Tenant, Lower Income Tenant or Very Low Income Tenant in the Project. The Authority shall verify that the income provided by an applicant is accurate. (c) Upon the recording of this document and annually thereafter during the term of this Regulatory Agreement, the 5 W389-19 2-14-92 213666 Authority shall advise the Agency of the status of the occupancy of the Project by delivering to the Agency a Certificate of Continuing Program Compliance together with a copy of all Income Computations and Certifications received from new tenants. (d) The Authority will maintain complete and accurate records pertaining to the Lower Income Tenants and Very Low Income Tenants, and will permit any duly authorized representative of the Agency to inspect the books and records pertaining to the Project, including those records pertaining to the tenancy of the Lower Income and Very Low Income Tenants. (e) The form of lease to be utilized by the Authority in renting any units in the Project to any person other than a Section 8 tenant who is intended to qualify as a Lower Income Tenant or a Very Low Income Tenant shall provide for termination of the lease and consent by such person to immediate eviction for failure to qualify as a Lower Income Tenant or a Very Low Income Tenant as a result of any material misrepresentation made by such person with respect to the Income Computation and Certification. (f) The Authority shall use its best efforts to lease a vacant unit in the Project to residents of the City of Palm Springs prior to offering to rent such units to any other person. If the Authority is unable to locate a qualified tenant pursuant to the terms of this Agreement who is a resident of the City of Palm Springs within thirty (30) days from the date the unit becomes vacant, the Authority may rent the unit to a tenant who is not resident. Nothing contained herein shall require the Authority to offer to rent said units to persons on terms and conditions which are more favorable than the terms and conditions on which such units will be offered to the public generally. Section 5. Modification of Restrictions. The parties hereby agree as follows: (a) To the extent any amendments to the HAL shall, in the written opinion of Bond Counsel filed with the parties hereto, impose requirements upon the ownership or operation of the Project more restrictive than those imposed by this Regulatory Agreement which must be complied with under the CRL or the HAL, this Regulatory Agreement shall be deemed to be automatically amended to impose such additional or more restrictive requirements. (b) The Authority and the Agency shall execute, deliver and, if applicable, file of record any and all documents and 6 W389-19 2-14-92 213660 instruments, necessary to effectuate the intent of this Section 5. Section 6. Indemnification. The Authority shall indemnify, hold harmless and defend the Agency and its commissioners, officers, members, directors, officials and employees and each of them (a) from and against any and all claims by or on behalf of any third person arising from any inaction, indecision, act or decision of the Authority in connection with the approval of tax- exempt financing for the Project, (b) against all loss, costs, damages, expenses, suits, judgments, actions and liabilities of whatever nature (including, without limitation, attorneys fees, litigation and court costs, amounts paid in settlement, and amounts paid to discharge judgments) directly or indirectly resulting from or arising out of or related to the construction, installation, operation, use, occupancy, maintenance, or ownership of the Project (including compliance with laws, ordinances and rules and regulations of public authorities relating thereto. Section 7 . Reliance. In performing its duties and obligations hereunder, the Authority may rely upon statements and certificates of the Moderate Income Tenants, Lower Income Tenants and Very Low Income Tenants believed to be genuine and to have been executed by the proper person or persons. In addition, the Authority may consult with counsel, and the opinion of such counsel shall be full and complete authorization and protection in respect of any action taken or suffered by the Authority hereunder in good faith and in conformity with the opinion of such counsel. In determining whether any default or lack of compliance by the Authority exists under this Regulatory Agreement, the Agency shall not be required to conduct any investigation into or review of the operations or records of the Authority with respect to the occurrence or absence of a default and may rely solely on any notice or certificate delivered by the Agency with respect to the occurrence or absence of a default. Section 8. Project Location• Cooperation Agreement. The Agency hereby represents and warrants that the Project will be located entirely within its area of jurisdiction, and that a cooperation agreement pursuant to the HAL is in full force and effect with respect to the operation of the Project by the Authority. Section 9 . Sale or Transfer of Project. During the Qualified Project Period, the Authority hereby covenants and agrees not to sell, transfer or otherwise dispose of the Project or any interest therein (other than the making of leases for the units to members of the general public) without obtaining the prior written consent of the Agency, which shall be conditioned solely upon receipt of evidence satisfactory to the Agency that (i) the Authority has complied with all of the conditions relating to the disposition of property set forth in Sections 7 W389-19 2-14-92 213�b� 34312 . 3 (b) or 34315 .7 of the HAL, (ii) the transferee has assumed in writing and in full the Authority' s duties and obligations under this Regulatory Agreement, (iii) the Authority has delivered an opinion of counsel to such party that such party has assumed the obligations of the Authority hereunder and that the obligations assumed are binding on such party, (iv) the terms and conditions for transfer set forth in the Loan Funding Agreement have been met, and (v) the Authority has delivered an opinion of counsel acceptable to the Agency that such transfer will not adversely affect the exclusion from gross income for federal income tax purposes of interest on the Bonds. It is hereby ex- pressly stipulated and agreed that any sale, transfer or other disposition of the Project in violation of this Section 9 shall be null, void and without effect and shall cause a reversion of title to the Authority. Any sale, transfer or other disposition of the Project in violation of this Section shall be ineffective to relieve the Authority of its obligations under this Regulatory Agreement. Section 10. Nondiscrimination. 10. 1 In General. There shall be no discrimination against or segregation of any person, or group of persons, on account of race, color, creed, religion, sex, martial status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Project, or any part thereof, nor shall the Authority, 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 the tenants, lessees, subtenants, sublessees or vendees of the Project, or any part thereof. 10.2 Clauses in Agreements. The Authority shall not restrict the rental, sale or lease of any portion of the Project on the basis of race, color, creed, religion, sex, martial status, ancestry or national origin of any person. Any and all agreements relating to the rental, sale or lease of the Project, or any portion thereof, shall contain the following nondiscrimination or nonsegregation clauses (or clauses substantially similar thereto) : 10. 2 . 1 Clause for Deeds. The following language shall appear in deeds: "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administra- tors, 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, creed, religion, sex, marital status, ancestry or national origin in the sale, lease, sublease, transfer, use, occupancy, 8 W389-19 2-14-92 213660 tenure or enjoyment of the land herein conveyed, nor shall the grantee himself or herself, or any persons claiming under or through him or her, establish or permit any such practice or practices of discrim- ination or segregation with reference to the selec- tion, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees in the land herein conveyed. The foregoing covenants shall run with the land. " 10. 2 . 2 Clause for Leases. The following language shall appear in leases: "The lessee herein covenants by and for him-self or herself, his or her heirs, executors, admin- istrators and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following con- ditions: That there shall be no discrimination against or segregation of any person or group of persons on account of race, color, creed, religion, sex, marital status, ancestry or national origin in the leasing, subleasing, transferring, use, occupancy, tenure or enjoy- ment of the land herein leased nor shall the lessee himself or herself, or any person claim- ing under or through him or her, establish or permit any such practice or practices of dis- crimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, sublessees, subtenants, or vendees in the land herein leased. " 10. 2 . 3 Clause for Contracts. The following lan- guage shall appear in contracts: "There shall be no discrimination against or segregation of any persons or group of persons on account of race, color, creed, religion, sex, marital status, ancestry or national origin in the sale, lease, transfer, use, occupancy, tenure or enjoyment of land, 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, subles- sees or vendees of land. " Section 11. Term. This Regulatory Agreement and all and 9 W389-19 2-14-92 0 213660 several of the terms hereof shall become effective upon its execution and recording and shall remain in full force and effect for the Qualified Project Period. Section 12 . Covenants to Run with the Land. The Authority hereby subjects the Project and the land described in Exhibit "A" hereto to the covenants, reservations and restrictions set forth in this Regulatory Agreement. The Authority and the Agency hereby declare their specific intent that the covenants, reservations and restrictions set forth herein shall be deemed covenants running with the land and shall pass to and be binding upon the Authority's successors in title to the Project; provided, however, that on the termination of this Regulatory Agreement said covenants, reservations and restrictions shall expire. Each and every contract, deed or other instrument hereafter executed covering or conveying the project or any portion thereof shall conclusively be held to have been executed, delivered and accepted subject to such covenants, reservations and restrictions, regardless of whether such covenants, reservations and restrictions are set forth in such contract, deed or other instruments. Section 13 . Burden and Benefit. The Authority and the Agency hereby declare their understanding and intent that the burden of the covenants set forth herein touch and concern the land in that the Authority's legal interest in the Project is rendered less valuable thereby. The Authority and the Agency hereby further declare their understanding and intent that the benefits of such covenants, touch and concern the land by enhancing and increasing the enjoyment and use of the Project by tenants and, specifically, by Median Income Tenants, Lower Income Tenants and Very Low Income Tenants, the intended beneficiaries of such covenants, reservations and restrictions, and by fur- thering the public purpose for which the Bonds were issued. Section 14 . Uniformity; Common Plan. The covenants, reservations and restrictions hereof shall apply uniformly to the entire Project in order to establish and carry out a common plan for the use, development and improvement of the land on which it is to be constructed. Section 15. Events of Default; Enforcement. If the Authority defaults in the performance or observance of any covenant, agreement or obligation of the Authority set forth in this Regulatory Agreement, and if such default remains uncured for a period of thirty (30) days after notice thereof shall have been given by the Agency to the Authority (or for a period of sixty (60) days after such notice if such default is curable but requires acts to be done or conditions to be remedied which, by their nature, cannot be done or remedied with such 30-day period, and if the Authority commences to remedy the default with such 30-day period and thereafter diligently and continuously 10 W389-19 2-14-92 STATE OF CALIFORNIA ) ss. 213gfi0 COUNTY OF RIVERSIDE ) On this 2"l day of J_UNE in the year 1992 , before the undersigned Notary Public, personally appeared k11;14,q/H R• , personally known to me to be the person who executed this instrument as the Executive Director of the Housing Authority of the County of Riverside, a public body, corporate and politic, organized and existing under the constitu- tion and laws of the State of California, that executed the foregoing instrument; and he acknowledged to me that he executed the same pursuant to a resolution of its Board of Commissioners, for the purposes and consideration therein expressed, in the capacity therein stated, as the act and deed of said Housing Authority. KIAL WITNESS MY HAND AND OFFICIAL SEAL NQT PIKIC„C!iLiu�pM'. R116=0 CGU'N" Notary Pub f r the St9tte of California State of California 213660 SS. County of Riverside On this 27th day of March. 1992 before me, ELAINE L. SCHWARTZ, the undersigned Notary Public, personally appeared ***TUCK BROICH and JUDITH SUMICH***, personally known to me to be the persons who executed the within instrument as VICE CHAIRMAN and ASSISTANT SECRETARY on behalf of the Community Redevelopment Agency of the City of Palm Springs, and acknowledged to me that the corporation executed it. WITNESS my hand and Official seal. OFFICIAL NOTARY SEAL c =.�• ELAINE L.SCHWARTZ / - Notary Public—California N tary Pc MY Comm IRExp,,s PE6 a,1995 140Laiy ruui ' 14 W389-19 2-14-92 EXHIBIT A TO REGULATORY AGREEMENT 213 S6Q DESCRIPTION OF PROJECT SITE LEGAL DESCRIPTION: Lot 23 , Vista del Cielo, Unit No. 3, as per plot recorded in Book 21 of Maps, Page 55, in the office of the County Recorder for Riverside County, California. A-1 W389-19 2-14-92 EXHIBIT B TO REGULATORY AGREEMENT CERTIFICATION OF CONTINUING PROGRAM COMPLIANCE To: Community Redevelopment Agency of the City of Palm Springs Re: 3989 Calle de Carlos (4 units) The undersigned, on behalf of the Housing Authority of the County of Riverside, hereby represents and warrants that in connection with the Regulatory Agreement and Declaration of Restrictive Covenants dated as of February 1, 1992 , between the Authority and the Agency; and As of the date of this certificate, the following number of completed residential units in the Project (i) are occupied by persons and families of Lower Income and Very Low Income (as such terms are defined the Regulatory Agreement) or (ii) are currently vacant and being held available for such occupancy and have been so held continuously since the date a Lower Income Tenant or a Very Low Income Tenant vacated such unit, as indicated and the following percentages of the units are occupied by Very Low Income Tenants at an Affordable Rent (as defined in the Regulatory Agreement) : Occupied by Moderate Income Tenants (Units Nos. : ) Occupied by Lower Income Tenants (Units Nos. : ) Occupied by Very Low Income Tenants: (Units Nos. : ) Held vacant for occupancy by Moderate Income, Lower Income and Very Low Income Tenants: (Units Nos. : ) Dated: HOUSING AUTHORITY OF THE COUNTY OF RIVERSIDE By: Its: B-1 W389-19 2-14-92