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NOW, THEREFORE, in consideration of the mutual covenants, promises, and <br />representations contained herein, it is agreed between the parties hereto as follows: <br />1. OCHLT agrees to acquire and resale the Project dwelling units in the following manner. <br />a. The seven (7) prospective dwelling units (dwellings) to be purchased have obtained a <br />Certificate of Occupancy. <br />b. If any of the Project dwelling units fail to meet Section 8 Housing Quality Standards <br />(HQS) and repairs are necessary, OCHLT is responsible that the work is done <br />properly and in accordance with all applicable laws and local ordinances. Before <br />resale, each Project dwelling unit must meet the Section 8 Housing Quality <br />Standards and local Minimum Housing Code at a minimum. <br />c. OCHLT will purchase two (2) dwelling units for $76,100 and sell them for $66,100; <br />two (2) dwelling units for $104,150 and sell them for $94,150; two (2) dwelling units <br />for $118,000 and sell them for $103,000; and one dwelling unit for $126,000 and <br />sold for $111,000. <br />d. Upon resale, OCHLT must provide to the Orange County Housing and Community <br />Development Office certification that the property was sold to a family whose <br />income does not exceed 80% of area median income and provide information <br />regarding family characteristics asrequested. <br />2. OCHLT shall convey each of the Project dwelling units to a first-time homebuyer with <br />income 80% or less of the area median household income by family size, as determined <br />by the U.S. Department of Housing and Urban Development at the time of the sale. A <br />housing unit will consist of a 99-year ground lease (renewable for an additional 99 years) <br />to the housing unit and a warranty deed to the improvements on the leased premises. <br />3. The period of affordability will be 99 years and will be secured by an OCHLT Ground <br />Lease with restrictions to ensure compliance. Further security shall be in the form of a <br />Declaration of Restrictive Covenants that will make the County a third party beneficiary <br />of and successor to the long term affordability remedies in the Ground Lease in the event <br />of a failure of or inability of OCHLT to enforce the long-term affordability remedies in <br />the Ground Lease. <br />4. OCHLT is responsible for soliciting buyers for the Project dwelling units constructed on <br />the Property. OCHLT and/or its buyers shall be responsible for securing permanent <br />mortgage financing for the homes built on the Property. <br />5. OCHLT is responsible for verifying the income of the homebuyers and explaining the <br />OCHLT Ground Lease to potential homebuyers and certifying by written documentation <br />signed by the homebuyer that the HOME program requirements have been fully <br />explained. OCHLT shall maintain purchaser files as part of its Books and Records as <br />required and for the period of time required by Section 10.c. of this Agreement. <br />2 <br />