Orange County NC Website
Browse       Search
<br />20 <br /> <br />A. The following provisions apply throughout the duration of the HOME Affordability Period, <br />which is fifteen (15) years, and continue to apply upon expiration of the HOME <br />Affordability Period and prior to expiration of ninety (99) years from the date of Project <br />Completion: <br /> <br />1. Rights of Refusal <br /> <br />a. Grant and Effect. Orange County is granted a right of first refusal to purchase the <br />Property as described in this Section. Any assignment, sale, transfer, conveyance, or <br />other disposition of the Property or any part thereof whether voluntarily or involuntarily <br />or by operation of law (“Transfer”) shall not be effective unless and until the below- <br />described procedure is followed. <br /> <br />b. Right of First Refusal. If Owner contemplates a Transfer to any entity other than an <br />agency with similar interest in affordable housing serving families with incomes not <br />exceeding 80% of the area median household income by family size, as determined by <br />the U.S. Department of Housing and Urban Development, at the time of the transfer, <br />which non-profit fund, foundation, or corporation of like purposes must have <br />established its tax-exempt status under Section 501(c)(3) of the Internal Revenue Code, <br />then the Owner shall send to Orange County, at the address noted in the Notice section <br />of this Declaration, not less than 90 days prior to the contemplated closing date of the <br />Transfer, a “Notice of Intent to Sell (“Notice”).” This Notice shall be accompanied by <br />a copy of a completed, fully executed bona fide offer to purchase the Property on the <br />then current North Carolina Bar Association “Offer to Purchase and Contract” form. If <br />Orange County elects to exercise its said right of refusal, it shall notify the Owner of <br />its election to purchase within 30 days of its receipt of the Notice and shall purchase <br />the Property or portion thereof within 90 days of the receipt of the “Notice of Intent to <br />Sell.” <br /> <br />1. Sales After Failure to Exercise Rights of Refusal. If Orange County does not <br />advise Owner in a timely fashion of its intent to purchase the Property, then owner <br />shall be free to transfer the property in accordance with the provisions in this <br />Section. <br /> <br />2. Assignability. Orange County may assign its right of first refusal without Owner’s <br />consent. <br /> <br />2. Resale and Recapture Provisions <br /> <br />a. If the Owner no longer uses the Property as affordable rental property or is unable to <br />continue ownership, then Owner must sell, transfer, or otherwise dispose of their <br />interest in the Property only to a qualified homebuyer, i.e., a low -income household, <br />one whose combined income does not exceed 80% of the area median household <br />income by family size, as determined by the U.S. Department of Housing and Urban <br />Development at the time of the transfer, to use as their principal residence. Subsequent <br />resales are allowable to households earning up to 115% of the area median income. <br />DocuSign Envelope ID: 48DDB7F3-249B-44E9-A965-4AB2E5C0F864