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1 <br /> <br />NORTH CAROLINA <br /> <br />ORANGE COUNTY <br /> <br />DEVELOPMENT AGREEMENT <br /> <br /> This is an AGREEMENT between ORANGE COUNTY, NORTH CAROLINA, a <br />general local governmental unit of the State of North Carolina, (hereinafter referred to as the <br />“County”) and COMMUNITY HOME TRUST INC., a North Carolina non-profit corporation <br />(hereinafter referred to as “CHT”). The effective date of this agreement is November 5, 2018. <br /> <br />WITNESSETH <br /> <br /> WHEREAS, on June 19, 2018, the Orange County Board of County Commissioners <br />approved an award of funds from the County’s Capital Investment Plan Land Banking Fund in an <br />amount not to exceed $46,529.40 to, to be awarded on a per project basis as a grant to CHT for the <br />purpose of acquiring units and providing homebuyer assistance; and <br /> <br />WHEREAS, CHT has proposed to utilize $18,000 of the aforementioned funding to <br />support the resale of the property the organization owns located at 234 Lexes Trl in Chapel Hill, <br />NC, hereinafter referred to as the “Property,” and more specifically defined in EXHIBIT A; and <br /> <br /> WHEREAS, CHT plans to assist in the sale of the Property to a homebuyer earning less <br />than 80% of the HUD area median income as defined in their Request for Orange County Local <br />Funds for 234 Lexes Trl, Chapel Hill, NC 27516, dated October 30, 2018, which request is <br />incorporated by reference into this Agreement, and hereinafter referred to as the Project. Their <br />October 30, 2018 request is on file in the office of the Orange County Department of Housing <br />and Community Development; and <br /> <br />WHEREAS, the Property would be held in a Community Land Trust (CLT), ensuring <br />affordability of the home for at least 99 years; and <br /> <br />NOW, THEREFORE, in consideration of the mutual covenants, promises, and representations <br />contained herein, it is agreed between the parties hereto as follows: <br /> <br />1. CHT agrees to convey the housing unit to a homebuyer with income of 80% or less of <br />the area median household income by family size, as determined by the U.S. Department <br />of Housing and Urban Development at the time of the sale. A housing unit will consist <br />of a 99-year ground lease (renewable for an additional 99 years) to the housing unit and <br />a warranty deed to any improvements on the leased premises. <br /> <br />2. The period of affordability will be at least 99 years and will be secured by a CHT <br />Ground Lease of the housing unit with restrictions to ensure compliance. Further <br />security shall be in the form of a Declaration of Restrictive Covenants (Exhibit B) that <br />will make the County a third party beneficiary of and successor to the long term <br />DocuSign Envelope ID: 1C608BEC-B713-4BE4-9E53-CD92D598627F