Orange County NC Website
Browse       Search
what each must do to accomplish the 99 year duration of this Declaration of Restrictive <br />Covenants. <br />SECTION 4 ENFORCEMENT OF AFFORDABLE HOUSING REQUIREMENTS <br />a. At the time of resale of the project dwelling unit, CHT will convey a housing unit to <br />qualified homebuyer. Each housing unit will consist of a 99 year Ground Lease (renewable for an <br />additiona199 years) to the project dwelling unit. The Ground Lease, the form of which is Exhibit <br />C hereto, provides for the long term affordability (at least 99 years) of the housing unit and <br />provides remedies to insure the long term affordability of the housing unit. CHT hereby declares <br />and covenants, on behalf of itself and all future owners of the Property, that, during the term of <br />this Declaration, the County is a third party beneficiary of and successor to each and every <br />remedy intended to insure the long term affordability of the housing unit that is provided for in <br />the Ground Lease and may, in the event of the failure or default of the Lessor in the Ground <br />Lease to insure the long term affordability of the housing unit as provided for in the Ground <br />Lease, exercise all rights and remedies available to the Lessor in the Ground Lease for that <br />purpose. <br />b. CHT covenants that it will not knowingly take or permit any action that would result in a <br />violation of the affordability requirements of the GRANT AGREEMENT.. Orange County, <br />together with any future owner of the Property may execute and record any amendment or <br />modification of this Declaration necessary to insure the successful completion of the Project and <br />the long term affordability (at least 99 years) of the housing units on the Property and such <br />amendment or modification shall, to the extent permitted by law, either relate back to the date of <br />recording of this Declaration or not as necessary to carry out the intent of this Declaration, and be <br />binding on third parties granted rights under this Declaration. CHT expressly covenants and <br />agrees to rerecord this Declaration periodically and no less often than one day less than every 30 <br />years from the date hereof for the purpose of renewing the Lessor's option to purchase and right <br />of first refusal, that are contained in the Exhibit C Ground Lease, in the Property or portion <br />thereof including any leasehold interest in the Property or portion thereof. <br />c. CHT acknowledges that the primary purpose for requiring compliance by CHT with <br />restrictions provided in this Declaration is to assure compliance with the long term affordability <br />requirements of the HOME INVESTMENT PARTNERSHIP PROGRAM, AND BY REASON <br />THEREOF, CHT, IN CONSIDERATION FOR RECEIVING HOME INVESTMENT <br />PARTNERSHIP PROGRAM FUNDS FOR THE PROPERTY, HEREBY AGREES AND <br />CONSENTS THAT THE COUNTY SHALL BE ENTITLED, FOR ANY BREACH OF THE <br />PROVISIONS HEREIN, AND IN ADDITION TO ALL OTHER REMEDIES PROVIDED BY <br />LAW OR IN EQUITY, TO ENFORCE BY SPECIFIC PERFORMANCE CHT'S <br />OBLIGATIONS UNDER THIS DECLARATION IN A STATE COURT OF COMPETENT <br />JURISDICTION, WITH VENUE IN ORANGE COUNTY. CHT hereby further specifically <br />acknowledges that the beneficiaries of CHT's obligations hereunder cannot be adequately <br />compensated by monetary damages in the event of any default hereunder. If legal costs are <br />incurred by the County, such legal costs, including attorney fees and court costs (including costs <br />of appeal), are the responsibility of, and maybe recovered from the CHT. <br />14 <br />