2018-120-E Housing - Empowerment acquisition of rental properties

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DocuSign Envelope ID: 764A29F1 -E414- 4251- 9AE2- 7ABF3F9D9344 County, North Carolina Registry ( "Declaration "), the form of which is attached as Exhibit D and hereby incorporated into this Agreement. The Declaration shall constitute and remain a lien on the Property during the Period of Affordability. C. Owner agrees to the Affordability Requirements as provided herein and the Resale Provisions provided in the Exhibit D, Declaration of Restrictive Covenants, Section 4B. D. It is the responsibility of the Owner to rerecord the Declaration of Restrictive Covenants periodically and no less often than one day less than every 30 years from the date hereof for the purpose of renewing the rights of first refusal in the Property or portion thereof including any leasehold interest in the Property or portion thereof. Orange County retains the right to, periodically and every 30 years after the first recording of the Declaration of Restrictive Covenants on the Property to register, with the Register of Deeds of Orange County, a notice of preservation of the Restrictive Covenants on the Property as provided in North Carolina General Statute § 47134 or any comparable preservation law in effect at the time of the recording of the notice of preservation. It is the intent of this Agreement that the 99 -year duration of this Declaration of Restrictive Covenants be accomplished and that any future owner of the Property, Owner, and Orange County will do what is necessary to ensure that the same is not extinguished by N.C. Gen. Stat. § 41 -29 or any comparable law purporting to extinguish, by the passage of time, preemptive rights in the Property and by the Real Property Marketable Title Act or any comparable law purporting to extinguish, by the passage of time, non - possessory interests in real property. Any future owner, Owner and Orange County agree to do what each must do to accomplish the 99 -year duration of this Declaration of Restrictive Covenants. E. Resale Provisions. The Declaration of Restrictive Covenants shall include at least the following elements in their resale provisions: 1. If the buyer no longer uses the Property as rental housing to families eligible to rent a dwelling unit under this Agreement or is unable to continue ownership, then the buyer must sell, transfer, or otherwise dispose of their interest in the Property only to an agency with similar interest in affordable housing and serve families with incomes not exceeding 80% of the area median household income by family size, as determined by the U.S. Department of Housing and Urban Development at the time of the transfer. The non - profit fund, foundation, or corporation of like purposes must have established its tax - exempt status under Section 501 (c) (3) of the Internal Revenue Code. 2. If the Property is sold, transferred, or otherwise disposed of during the Period of Affordability to other than an agency with similar interest in affordable housing as provided in a. above, the Right of First Refusal provision of the then current County's Long -Term Housing Affordability Policy must be followed and the net sales proceeds (sales price less: 1) selling cost, 2) the unpaid principal amount of the original first mortgage and 3) the unpaid principal amount of the initial County contribution and any other initial government contribution secured by a deferred payment promissory note and deed of trust or "equity" will be divided 50150 by the seller of the Property and the County. If the initial County contribution does not have to be 4