HomeMy WebLinkAbout2026-063 Promisory Note and Trust Deed - 452 Williamson Way When Recorded Return Original to:
Alissa Kolodzinski,City Recorder
20 East Main Street,Ashland,Oregon 97520
PROMISSORY NOTE
SECURED BY DEED OF TRUST
$19,760.75 Ashland, Oregon, June 26, 2026
For value received, I promise to pay to the order of the City of Ashland, Oregon, ("City"),
the principal sum of Nineteen thousand, seven hundred sixty dollars and seventy-five
cents ($19,760.75), plus accrued interest, upon the terms and conditions set forth
below.
1. AFFORDABLE HOUSING AGREEMENT. This obligation is secured by a Trust Deed
and is subject to all the terms and conditions of such Trust Deed. This obligation is
given pursuant to a "CITY OF ASHLAND AFFORDABLE HOUSING RESALE
RESTRICTION AGREEMENT" and is subject to all the terms and conditions of such
agreement (further referred to in this note as "the Agreement").
2. INTEREST. The unpaid principal balance of this note shall bear simple interest at the
rate of six percent (6.0%) per year from the date of this note until the agreement has
expired.
3. REPAYMENT.
3.1 . During the first 30 years after this note is executed, no payments of either
principal or interest shall be due or payable so long as I continue to own and occupy the
home as my primary residence, and so long as I am not in violation of any of the terms
of this note or the trust deed securing it. As set forth in the Agreement, I may also make
a qualified transfer of the home to an eligible buyer who shall assume this note without
violating the terms of this note. During the first 30 years after this note is executed, the
total amount of the principal and accrued interest shall become immediately due and
payable upon my transfer of the home to any person or entity other than an eligible
buyer as defined in the Agreement or to an otherwise eligible buyer who does not
assume this note and the trust deed securing it and agree to comply with all of its terms,
or whenever I cease to occupy the home as my primary residence, or whenever I am in
default for failure to comply with any of the terms of this note or the trust deed. After the
completion of 30 years of affordability the homeowner can sell the unit at market rate
upon paying back the amount of deferred System Development Charges (SDCs),
Community Development Fee, and Engineering Services Fee, including an assessment
of inflationary cost impacts. The inflationary cost impacts for deferred charges and fees
shall be an annual assessment for each year the unit was in the affordable housing
program utilizing the Engineering News Record (ENR) Construction Index for Seattle
Washington inflation rate at the time of sale. In no event will a purchaser be required to
PAGE 1 of 2-Promissory Note(Rev'd4/09)
sell the unit subject to the Agreement for less than his or her original purchase price
plus any applicable closing costs and realtor fees.
4. BINDING EFFECT; JOINT AND SEVERAL OBLIGATIONS. This note and its terms
shall be binding upon my heirs, executors, administrators, personal representatives,
successors, and assigns. Throughout this note, the terms "I," "me," and "my" refer
individually and collectively to all persons who sign this note, and all persons signing
this note shall be jointly and severally liable for its obligations.
5. ATTORNEY FEES AND COSTS. If either party is required to initiate legal
proceedings to enforce its rights under this Agreement, the prevailing party in such
action shall be entitled to an award of reasonable attorneys' fees and costs in addition to
any other recovery under this Agreement.
11. SEVERABILITY; GOVERNING LAW. If any provision of this note is or becomes
inconsistent with any applicable present or future law, rule or regulation, such provision
will be deemed rescinded or modified in order to comply with the relevant law rule or
regulation, and all other provisions of this note shall continue in full force and effect.
This note shall be governed by and interpreted under the laws of the State of Oregon.
14. NO WAIVER. Failure by the City to require strict performance of any term of this
note, including the extension of any payment or acceptance of any part of a payment,
shall not affect the City's rights or be considered a waiver by the City of the strict
performance of all conditions of this note. No waiver by the City of any default shall be
considered a waiver of any subsequent default or a waiver of this paragraph.
EXECUTED this Z(O day of Jv..,n(L 12026
NOTICE TO BUYER: THIS DOCUMENT CONTAINS PROVISIONS RESTRICTING
RESALES AND ASSUMPTIONS.
Signature Signature
Printed Name Printed Name
PAGE 2 of 2-Promissory Note(Revd 2024)
Jackson County Official Records 2026_013910
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I,Christine Walker,County Clerk for Jackson County,Oregon,certify
that the instrument identified herein was recorded in the Clerk
When Recorded Return Original to: records.
Alissa Kolodzinski,City Recorder Christine Walker-County Clerk
20 East Main Street,Ashland,Oregon 97520
TRUST DEED ORIGINAL DOCUMENT
Consideration: $19,760.75 -CORP7� ELECTRONICALLY
This trust deed is made on June 26, 2026 between Jeremiah M Long & Brandi M Long
as Grantor(s), the City of Ashland, as Beneficiary, and Johan Pietila, an active member
of the Oregon State Bar as Trustee.
1. Conveyance by Grantor. For good and valuable consideration, receipt of which is
acknowledged, and for the purpose of securing the loan obligations described in Section
3 below, Grantor irrevocably grants, bargains, sells, conveys, assigns, and transfers to
Trustee in trust for the benefit and security of the Beneficiary, with power of sale and
right of entry and possession, all of Grantor's right, title, and interest in and to the real
property located in Jackson County, State of Oregon, and more particularly described in
the attached Exhibit A (the "Property").
2. The Note. Beneficiary has offered to defer the systems development charges due on
the Property and to make a loan to Grantor for the amount of the charges which loan is
to be evidenced by a promissory note of the same date as this trust deed. (The
promissory note as modified, supplemented, extended, renewed, or replaced from time
to time is referred to below as the "Note".) The date of maturity of the debt secured by
this instrument is 30 years from the date of the Note. In the event the Property, or any
part of, or interest in, the Property is sold, agreed to be sold, conveyed, assigned or
alienated by the Grantor without complying with the terms of the Note or the Agreement
described below, then, at the Beneficiary's option, all obligations secured by this
instrument, irrespective of the maturity dates expressed above or in the Note, shall
immediately become due and payable.
3. Obligations Secured. This trust deed secures the following, collectively referred to
as the "loan obligations":
3.1. The payment of all indebtedness, including but not limited to principal and interest,
and the performance of all covenants and obligations of Grantor under the Note,
whether such payment and performance is now due or becomes due in the future;
3.2. The payment and performance of all covenants and obligations in the City of
Ashland Affordable Housing Resale Restriction Agreement dated 05/29/2026 ("the
Agreement") entered into by Grantor and Beneficiary. The term "loan obligations" as
used in this trust deed shall mean all amounts payable to Beneficiary under the terms of
the Note and the Agreement.
4. Possession. Grantor agrees to pay the Note and the Agreement in accordance with
their terms. Until default occurs, Grantor shall remain in possession and control of the
property and subject to the terms of the Agreement, Grantor shall be free to operate and
manage the property and receive the proceeds of operation.
Pagell
When Recorded Return Original to:
Alissa Kolodzinski,City Recorder
20 East Main Street,Ashland,Oregon 97520
TRUST DEED
This trust deed is made on June 26, 2026 between Jeremiah M Long & Brandi M Long
as Grantor(s), the City of Ashland, as Beneficiary, and Johan Pietila, an active member
of the Oregon State Bar as Trustee.
1. Conveyance by Grantor. For good and valuable consideration, receipt of which is
acknowledged, and for the purpose of securing the loan obligations described in Section
3 below, Grantor irrevocably grants, bargains, sells, conveys, assigns, and transfers to
Trustee in trust for the benefit and security of the Beneficiary, with power of sale and
right of entry and possession, all of Grantor's right, title, and interest in and to the real
property located in Jackson County, State of Oregon, and more particularly described in
the attached Exhibit A (the "Property").
2. The Note. Beneficiary has offered to defer the systems development charges due on
the Property and to make a loan to Grantor for the amount of the charges which loan is
to be evidenced by a promissory note of the same date as this trust deed. (The
promissory note as modified, supplemented, extended, renewed, or replaced from time
to time is referred to below as the "Note".) The date of maturity of the debt secured by
this instrument is 30 years from the date of the Note. In the event the Property, or any
part of, or interest in, the Property is sold, agreed to be sold, conveyed, assigned or
alienated by the Grantor without complying with the terms of the Note or the Agreement
described below, then, at the Beneficiary's option, all obligations secured by this
instrument, irrespective of the maturity dates expressed above or in the Note, shall
immediately become due and payable.
3. Obligations Secured. This trust deed secures the following, collectively referred to
as the "loan obligations":
3.1. The payment of all indebtedness, including but not limited to principal and interest,
and the performance of all covenants and obligations of Grantor under the Note,
whether such payment and performance is now due or becomes due in the future;
3.2. The payment and performance of all covenants and obligations in the City of
Ashland Affordable Housing Resale Restriction Agreement dated 05/29/2026 ("the
Agreement") entered into by Grantor and Beneficiary. The term "loan obligations" as
used in this trust deed shall mean all amounts payable to Beneficiary under the terms of
the Note and the Agreement.
4. Possession. Grantor agrees to pay the Note and the Agreement in accordance with
their terms. Until default occurs, Grantor shall remain in possession and control of the
property and subject to the terms of the Agreement, Grantor shall be free to operate and
manage the property and receive the proceeds of operation.
Page I 1
5. Warranty of title. Grantor warrants that Grantor holds merchantable title to the
property in fee simple or that Grantor holds a vendee's interest in the property under a
conditional sales contract. Grantor warrants and will defend Grantor's title against the
lawful claims of all persons. In the event any action or proceeding is commenced that
questions Grantor's title or the interest of Beneficiary or Trustee under this deed,
Grantor shall defend the action at Grantor's expense.
6. Powers of Trustee. In addition to all powers of Trustee arising as a matter of law,
Trustee shall have the power to take the following action with respect to the property on
the request of Beneficiary and Grantor: (a) joining in the dedication of roads or other
rights in the public; (b)joining in granting any easement or creating any restriction on
the property; (c) joining in any subordination or other agreement affecting this deed or
the interest of Beneficiary under this deed; or (d) selling the property or any part thereof.
Trustee shall not be obligated to notify any other party of a pending sale under any
other deed or trust or lien, or of any action or proceeding in which Grantor, Beneficiary,
or Trustee shall be a party, unless the action or proceeding is brought by Trustee.
7. Deed of Reconveyance. If Grantor pays all of the loan obligations when due and
otherwise performs all of the obligations imposed on Grantor under this instrument, the
Note and the Agreement, Beneficiary shall execute and deliver to Trustee a request for
full reconveyance.
8. Default. Grantor shall be deemed to be in default if Grantor fails to perform any of the
obligations imposed by this deed, the Note or the Agreement.
9. Remedies. On the occurrence of any event of default and at any time thereafter,
Beneficiary may exercise any one or more of the following rights and remedies:
9.1. The right to declare all sums secured by this trust deed immediately due and
payable.
9.2. The right to foreclose by notice and sale by Trustee or by judicial
foreclosure, in either case in accordance with applicable law.
9.3. The right in connection with any legal proceedings to have a receiver
appointed to take possession of any or all of the property, with the power to
protect and preserve the property and to use the property preceding foreclosure
or sale and apply the proceeds, over and above costs of the receivership, against
the loan obligations. The receiver may serve without bond if permitted by law.
Beneficiary's right to the appointment of a receiver shall exist whether or not
apparent value of the property exceeds the loan obligations by a substantial
amount.
9.4. Any other right or remedy provided in this deed, the Note or the Agreement.
Page 2
10. Application of proceeds. In the event the Trustee exercises the power of sale
conferred by this trust deed, the Trustee shall apply the proceeds of the sale in the
following order:
10.1. To the expense of the sale, including reasonable attorney fees,
10.2. To the loan obligations secured by this trust deed, and
10.3. The surplus, if any, to the persons entitled thereto.
11. Waiver. A waiver by either party of a breach of a provision of this agreement shall
not constitute a waiver of or prejudice the party's right otherwise to demand strict
compliance with that provision or any other provision. Election by Beneficiary to pursue
any remedy shall not exclude pursuit of any other remedy, and an election to make
expenditures or take action to perform an obligation of Grantor under this deed after
failure of the Grantor to perform shall not affect Beneficiary's right to declare a default
and exercise its remedies under this trust deed or the Contract.
12. Trust Deed Binding on Successors and Assigns. Subject to the limitations stated
in this deed on transfer of Grantor's interest, and subject to the provisions of applicable
law with respect to successor trustees, this deed shall be binding on and inure to the
benefit of the parties, their successors and assigns.
SIGNATURE PAGE FOLLOWS
Page 13
By:
Brandi M Long
STATE OF OREGON
COUNTY OF JACKSON
This instrument was acknowledged before me on Z by
Gl
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Notary Public for Orego
My commission expires:
OFFICIAL STAMP
ORES ANN GRAHAM
NOTARY PUBLIC-OREGON
COMMISSION NO.1061139
eremlah M Long *WCOMMISSION EXPIRES AUGUST 03,2029
STATE OF OREGON
COUNTY OF JACKSON This instrument was acknowledged before me on [bD2411 by
nj (t
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Notary Public for Orego
My commission expires: �(,L
OFFICIAL,STAMP
OREE ANN GRAHAM
NOTARY PUBLIC-OREGON
COMMISSION NO, 1061139
MYCOMMISSION EXPIRES AUGUST03,2029
Page 4
EXHIBIT A
LEGAL DESCRIPTION
Lot 4 in Rogue Corner Subdivision in the City of Ashland, Oregon, according to the Official Plat
thereof, recorded in Volume 52, Page 12, of the Plat Records in Jackson County, Oregon
Page 15
CITY OF
ASHLAND
Department of Community Development
Housing Programs
20 E Main St.
Ashland OR 97520
Assumption of Resale Restriction Covenant
This acknowledges that the applicant has received a copy of the Resale
Restriction Covenant dated 05/29/2026 , as recorded on the property
containing the covered affordable housing unit located at:
452 Williamson Way
Ashland, OR 97520
Jackson County
The purchaser recognizes the Covenant Agreement shall apply to and bind any
purchaser or transferee in an exempt or qualified transfer. The purchaser or
transferee assumes the duties and obligations under the Resale Restriction
Covenant, upon transfer of the Home.
ACKNOWLEDGEMENT:
urchasers-tSignature Da e
Jeremiah M Long
Printed Name
Purchasers Signature Date
Brandi M Long
Printed Name
�r
Jackson County Official Records 2026-012045
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$60.00$4.00
11 Christine Walker,County Clerk for Jackson County,Oregon,certify
that the instrument identified herein was recorded in the Clerk
When Recorded Return Original to: records. Christine Walker-County Clerk
Alissa Kolodinski, City Recorder
20 East Main Street, Ashland, Oregon 97520
CITY OF ASHLAND AFFORDABLE HOUSING
RESALE RESTRICTION COVENANT
Owner: Rogue Valley Habitat for Home Address/Lot Number:
Humanity 452 Williamson Way Ashland, OR 97520
39 1 E 04 DC, Tax Lot 3630
Covenant date: May 29,2026 Unit#4
i
Name of development: Rogue Corner Subdivision
This Resale Restriction Covenant Agreement (the "Covenant") is entered into on the
date specified above by the City of Ashland ("City") and the Owner(also referred to as
"You") named above regarding certain improved real property located at the property
address specified above ("the Home"),
RECITALS:
A. The Home referred to in this Covenant is described more fully in the attached
Exhibit A.
B. Sale or rental of the home is subject to certain restrictions contained in this
Covenant for the purpose of implementing the City's Affordable Housing Program as set
forth in Ashland City Council Resolution No. 2020-24 ("Program").
C. Resale or rental restrictions were imposed on this home when the
development received Planning Approval, and an Affordable Housing Trust fund Grant
for the development of four homes intended to be owned and occupied by moderate
and low-income homeowners earning 80% of the Area Median income or less. 4 of
the units, which include this Home, are to remain affordable in accordance ORS
197.308 as revised which allows the use of Employment Zoned property as deed
restricted affordable housing without a zone change, and 18.2.3.130 of the Ashland
Land Use Ordinance as in effect on the date of application. The Owner understands that
signing this Covenant and complying with its terms are necessary to permit the City to
fulfill its affordable housing goals and State requirements in accordance with ORS
197.308. The City also provided a deferral of the System Development Charges,
Community Development Fees, and Engineering Services Fees. This Covenant fulfills
The City of Ashland's Affordable Housing Program goals, and the goals the State
requirements as identified in Planning Action PA-T2-2024-00047 that requires the
applicant to sign an agreement prepared by the City of Ashland stipulating that 4 of
the units comply with the Program established by the City of Ashland for purchase or
rental housing for a period of not less than 30 years as established by Resolution
Page 1 of 12
2020-24. The agreement is to be recorded in the deed records.
AGREEMENT:
City and Owner agree:
The recitals set forth above are hereby incorporated herein by this reference.
1. Deferment of Systems Development Char-gee (SDC's). City will defer the payment
of SDC's owed by you and due on the home. You will execute a promissory note
payable to the City in a principal amount equal to the total cost of the SDC's that have
been deferred. The note and the obligations under this Agreement will be secured by a
trust deed on the home.
2. Occupancy Requirement.
1.1 Primary Residence. You agree and acknowledge that the City's
acceptance of Your participation in the SDC deferral program requires that the sale of
the home is conditioned upon occupancy of the home only by qualified low- or
moderate-income households earning no more than 80% of the Area Median Income
(AMI). Rental of the home is conditioned upon occupancy of the home only by a
qualified low-income household earning no more than 60%AMI as established in 2020-
24. You shall use, and shall cause all occupants thereof to use, the Home only as a
primary residence and such incidental activities related to residential use as are then
permitted by applicable zoning, building, subdivision and land use laws. This restriction
and all other requirements of this Covenant will be binding upon anyone who uses the
Home whether a purchaser, a renter or otherwise, because this Covenant is intended to
apply to the Home regardless of changes in ownership or occupancy. You agree and
acknowledge that use of the Home as a primary residence in compliance with all the
requirements of this Covenant is essential to the fulfillment of the City's affordable
housing purposes and shall apply during the full term of this Covenant.
1.2 Qualified Occupants. You agree that as of the commencement date of a
new occupancy (whether by sale or rental or otherwise), You must provide the City
evidence that the new occupants are Qualified Occupants as of such date. The term
"Qualified Occupants" means persons whose combined household income does not
exceed 80% of the Area Median Income when owner occupied, or the household
income does not exceed 60%AMI when rented. The term "Area Median Income" means
the median income of wage-earning employees working on jobs located in the City, as
defined by the department of Housing and Urban Development for the Medford Ashland
Metropolitan Service Area. The Qualified Occupant test only applies as of the
commencement of occupancy in order to encourage the occupants' career
advancement and other means of increasing the occupants' household income. The
occupants must use the Home as their primary residence at all times throughout the
term of this Covenant.
1.3 Responsible Use. You shall use the Home in a manner so as not to cause
harm to others or create any nuisances, public or private; and shall dispose of any and
all waste in a safe and sanitary manner.
Page 2 of 12
1.4 Responsible for Others. You shall be responsible for the use of the Home
by any and all occupants thereof, their families, their friends or visitors, or anyone else
using the Home, and shall make them aware of the spirit, intent and appropriate terms
of this Covenant.
1.5 Condition of Home. Compliance with Covenants and Law. You shall
maintain the Home in good, workable, safe, and habitable condition in all respects
except for normal wear and tear, and in full compliance with all applicable covenants,
easements, restrictions and agreements, and all laws, ordinances, rules and regulations
of the City and any other governmental authority with jurisdiction over matters
concerning the condition and use of the Home, including all such laws related to
environmental matters. You shall not cause or permit any hazardous substances,
including petroleum oil and its fractions, to be spilled, leaked, disposed of or otherwise
released on or under the Home. Tenant may store such substances in or about the
Home only in de minimis quantities customary for normal residential use and must
exercise the highest degree of care in the use, handling and storage of same.
1.6 Property Taxes. You shall pay all taxes and assessments, no matter how
designated, that relate to the Home ("Property Taxes") in order to avoid the loss of the
City's affordable housing by County tax foreclosure and sale of the Home at a market
price. You shall also pay directly, when due, any and all other service bills, utilities
charges, or other governmental assessments charged against the Home. Concurrently
with the payment thereof and upon the request of the City, you shall furnish evidence
satisfactory to the City documenting the payment of all taxes, assessments, and
charges paid by You as required or permitted by the provisions of this Covenant. A
photocopy of a paid receipt for such charges showing payment prior to the due date
thereof shall be the usual method of furnishing such evidence.
1.7 Alterations and Improvements. Any alteration or improvement of the
Home is subject to the following conditions: (1) You shall provide City evidence of
adequate financing of the work; (2) all construction shall be performed in a good and
workmanlike manner and shall comply with all applicable laws, ordinances and
regulations, including, without limitation, the requirements of local and state public
health authorities; (3) all construction must be consistent with use of the Home as a
primary residence; and (4) You shall furnish to City a copy of plans and specifications
for the work and obtain all required building permits from the City prior to commencing
construction work.
1.8 Prohibition of Liens. No lien for services, labor or materials resulting from
your alterations, additions or improvements shall attach to the Home or to City's interest
in the Home or to any other property owned by City. You shall not suffer or permit any
vendors, mechanic's, laborer's, or material man's statutory or similar lien to be filed
against the Home and You are responsible to remove any such lien from the Home
within sixty (60) days after it is filed by payment, deposit, bond, order of a court of
competent jurisdiction or as otherwise permitted by law. If You shall fail to cause such
lien to be removed from the Home within such time period then, in addition to any other
right or remedy, the City may, but shall not he obligated to, discharge the same by
paying the amount in question. You may contest the underlying lien claim as long as
you have removed the lien from the Home by the statutory procedure of depositing a
Page 3 of 12
bond or cash with the Circuit Court to replace the Home as the security for payment of
the claim. Any amounts paid by City in respect of such liens you shall reimburse to the
City upon demand.
1.9 Maintenance. You shall, at Your sole expense, maintain the Home (which
specifically includes maintenance and repair of sewer, water, electrical, telephone,
cable, gas, and any other services and utilities, sidewalks, curbs, driveways,
landscaping, vegetation, sprinkler systems, and any and all structures and other
improvements on, under or above the surface of the land) in good, safe, habitable and
workable condition and in accordance with all applicable laws, rules, ordinances, orders
and regulations of the City and all other governmental agencies and entities with
jurisdiction and all insurance companies insuring all or any part of the Home
2. Transfer of Home. Except as provided in paragraph 3, You agree to "transfer"the
home consistent with this Covenant.
2.1. Definition of transfer. To"transfer' the home means any sale,
assignment or transfer, whether voluntary or involuntary, of any interest in the
home, including, but not limited to, a fee simple interest, a co-tenancy interest, a
survivorship interest, a life estate, a leasehold interest, any right to possession
under a rental agreement, or an interest evidenced by a mortgage, trust deed or
land sale contract in which possession of the home is transferred and You retain
title.
2.2. Assumption requirement. This Covenant shall apply to and bind any
purchaser or transferee in an exempt or qualified transfer (see paragraph 3).
Such purchaser or transferee (other than a renting household qualified under the
City's affordable rental program) shall assume Your duties and obligations under
this Covenant in writing in a form approved and provided by the City, prior to the
transfer of the home. If the purchaser or transferee fails to assume this Covenant
and execute and deliver the City's form of assumption agreement to the City prior
to the sale or transfer, then the City shall have the option of treating such sale or
transfer as null and void and the City may enforce any of its remedies as set forth
below in this Covenant.
Recording of the assumption agreement in the official deed records of
Jackson County, Oregon, shall be a condition of the City's approval of the
proposed transfer. You agree to pay a reasonable assumption fee to the City and
to reimburse the City for its expenses incurred in administering its rights and
obligations in connection with any transfer under this Covenant. Upon the close
of any transfer, you agree to provide the City with copies of the recorded trust
deed, final sales contract, settlement statement, escrow instructions, and any
other documents prepared or used in connection with the transaction.
3. Exempt and Qualified Transfers. Notwithstanding paragraph 2 above, if a transfer
is either an "Exempt Transfer" or a "Qualified Transfer" as provided in this paragraph,
such transfer shall not be considered a violation of this Covenant.
3.1. Exempt transfer. An "exempt transfer' is:
Page 4 of 12
3.1.1. A taking of title by a surviving joint tenant; a court-ordered transfer
of title to a spouse (or domestic partner) part of a dissolution proceeding; or
an acquisition of title, or of any interest in the title, in conjunction with marriage,
provided that as of the date of any of these types of exempt transfer the Home is
then occupied by a Qualified Occupant.
3.1.2. A Permitted Mortgage (as defined below) encumbering the Home in
an amount not greater than 100% of the Affordable Purchase Price (as defined
below) as of the date of the loan proceeds are advanced to You by the lender,
provided that all of the proceeds over and above the amount necessary to pay off
prior financing is used for the alteration or improvement of the Home such as
landscaping, expansion, remodeling and the like.
3.2. Qualified Transfer. A"Qualified Transfer" is a transfer to a Qualified
Occupant as their primary residence and either(a) a sale at a price that does not
exceed the Affordable Price as of the date of this Covenant, plus the cost of
Allowed Appreciation, as such terms are defined below, or(b) a rental or lease of
the Home for an Affordable Rent (as defined below) as of the date of the date of
such rental or lease. The term "Affordable Price" means the price which the City
estimates will result in annual Home costs (principal, interest, property taxes,
insurance, utilities and maintenance, and homeowner association dues) to be
approximately thirty (30%) of the annual Median Area Income. On such basis,
the City has determined that the Affordable Price for the Home is $__263,700_
as of the date of this Covenant. Affordable Rent means a monthly rent
throughout the rental term that is no more than the maximum rents established
by City of Ashland Resolution 2020-24. On such basis, the City has determined
that the Affordable Rent for the—3—bedroom Home targeted to households
earning at or below 60% Area Median Income is $1,275.00 as of the date of this
Covenant. The City makes no representation or warranty that you will be able to
sell the Home for an Affordable Price or rent the Home for an Affordable Rent at
any given time. Your ability to sell or rent the Home at any given time depends
upon market conditions over which the City has no control. Improvements
including replacement of the Home's original elements or any repairs even if the
replacement materials are an upgrade from the original materials previously
incorporated in the Home do not function to increase the Affordable Price beyond
allowable appreciation. The term "Allowed Appreciation" means the increase in
the Affordable Price in accordance with 3.1 (d) of resolution 2020-24. Which
states that the maximum resale price will be calculated using the current seller's
initial purchase price plus an additional 0.125% of said initial purchase price for
each full month the current seller has owned the home. At least 30 days prior to
the transfer, you shall provide the documents and information to the City
described in the following subsections for the purpose of qualifying the proposed
transfer and determining the price or rent is an Affordable Price or Affordable
Rent as the case may be, including:
3.2.1. The name, address and telephone number of all the proposed
buyers or renters.
Page 5 of 12
3.2.2. A financial statement from, and signed by, each proposed adult
occupant (whether a purchaser or renter) in a form reasonably acceptable to the
City and accompanied by such supporting documentation as requested by the
City. The financial information will be used by the City to ensure the proposed
transfer is only to Qualified Occupants.
3.2.3. A copy of the proposed sale agreement or rental agreement and all
related documents, which set forth the terms of the transfer. Upon any increase
in rent, you must provide the City notice and evidence that the increased amount
will continue to be an Affordable Rent consistent with the limits established in
Resolution 2020-24;
3.2.4. A written certification to the City signed by each proposed adult
occupant of the Home in a form acceptable to the City stating that:
(a) The transfer shall be closed in accordance with the terms of the
sales agreement or rental agreement and other documents submitted and
approved by the City;
(b) The proposed occupants will use the Home as their primary
residence; and
(c) The proposed occupants have not paid or caused anyone to pay
on their behalf to You or for Your benefit, and You have not received, nor will You
receive from any such person any other consideration for the proposed transfer
other than the consideration disclosed to the City;
3.2.5. In the event that a transfer is made in violation of the terms of this
Covenant, or that false or misleading statements are made in any documents or
certifications submitted to the City, the City shall have the right to file a legal
action to force the parties to terminate or rescind the transfer, or to declare the
transfer void notwithstanding the fact that the transfer may have already occurred
and become final as between the parties.
4. You Must Notify City of Transfer. If you desire to transfer the Home, You are
required to notify City in writing to that effect. If the transfer is a Qualified Transfer, the
notice and information provided must comply with the provisions of Section 3 of this
Covenant. For any other transfer, the notice shall state the street address of the home,
your full name or names, the address and telephone number at which you are to be
contacted if not at the home. The notice shall be given at least 30 days prior to the
transfer and shall be delivered as provided in paragraph 9.
5. Financing.
5.1 Permitted Mortgacie(s) Only. You may mortgage, pledge, or encumber the
Home or any portion thereof or interest therein only pursuant to a Permitted Mortgage.
A"Permitted Mortgage" shall be a mortgage or trust deed, and "Permitted Mortgages"
shall be mortgages or trust deeds which:
Page 6 of 12
a) run in favor of an "institutional lender" such as, but not limited to, a
federal, state, or local housing finance agency (including the US Department of
Agriculture, Department of Housing and Urban Development, Oregon Housing and
Community Services, and other like agencies), a bank (including savings and loan
association or insured credit union), an insurance company, a pension and/or profit-
sharing fund or trust, or any combination of the foregoing, the policies and procedures
of which institutional lender are subject to direct governmental supervision or regulation;
or an "owner carry" or"private lender" on terms which provide similar protections to a
purchaser who is a Qualified Occupant as described, in part, below.
b) are a first or second lien on the Home (the "Security").
c) provide, among other things, that in the event of a default in any of
the mortgagor's obligations there under, the holder of the Permitted Mortgage shall
notify City of such fact and City shall have the right, but shall not have the obligation,
within 120 days after its receipt of such notice, to cure such default in the mortgagor's
name and on mortgagor's behalf, provided that current payments due the holder during
such 120-day period (or such lesser time period as may have been required to cure
such default) are made to the holder, and shall further provide that said holder shall not
have the right, unless such default shall not have been cured within such time, to
accelerate the note secured by such Permitted Mortgage or to commence to foreclose
under the Permitted Mortgage on account of such default;
d) provide, among other things, that if after such cure period the
holder intends to accelerate the note secured by such Permitted Mortgage or initiate
foreclosure proceedings under the Permitted Mortgage, all in accordance with this
Section, the holder shall first notify City of its intention to do so and City shall have the
right, but shall not have the obligation, upon notifying the holder within thirty (30) days of
receipt of said notice from said holder, to pay off the indebtedness secured by the
Permitted Mortgage and to acquire the Security; and
e) provide that such holder shall use reasonable efforts to sell the
Security pursuant to any sale after or in lieu of foreclosure to a purchaser who is a
Qualified Occupant for an Affordable Price, as defined herein.
f) provide that in the event such holder is unable to sell the Security
pursuant to any sale after or in lieu of foreclosure to a purchaser who is Qualified
Occupant for an Affordable Price then an amount equal to the difference between the
Affordable price per resolution 2020-24, and the fair market value of the total
consideration, shall be payable to the City and the Covenant shall be removed from the
property.
5.2 City's Consent to Permitted Mortgage. Not less than thirty (30) days prior
to the date on which You desire a mortgage to be effective, You shall furnish, or cause
to be furnished to City true and correct copies of each and every document and
instrument to be executed in connection with the transaction represented by such
mortgage. City shall be required to consent to such mortgage only it
a) the mortgage so submitted is a Permitted Mortgage as defined in
Page 7 of 12
this Covenant;
b) at the time of such submission and at the time proposed by You for
the execution of such documents, no default under this Covenant is then outstanding;
c) such Permitted Mortgage and related documentation do not contain
any provisions other than provisions generally contained in mortgages used for similar
transactions in the State of Oregon by institutional mortgagees;
d) such Permitted Mortgage and related documentation do not contain
any provisions which could be construed as rendering City or any subsequent holder of
the City's interest in and to this Covenant, or their respective heirs, executors,
successors or assigns, personally liable for the payment of the debt evidenced by such
note and Permitted Mortgage or any part thereof;
e) such Permitted Mortgage and related documentation shall contain
provisions to the effect that the holder of the Permitted Mortgage (a "Permitted
Mortgagee") shall not look to City or City's interest in the Home, but will look solely to
You and the buildings and improvements which may from time to time be a part of the
Home, for the payment of the debt secured thereby or any part thereof. (It is the
intention of the parties hereto that City's consent to such Permitted Mortgage shall be
without any liability on the part of City);
f) such Permitted Mortgage and related documentation provide that in
the event any part of the Security is taken in condemnation or by right of eminent
domain, the proceeds of the award shall be paid over to the holder of the Permitted
Mortgage in accordance with this Covenant;
g) You pay the City a reasonable fee for the City's review, approval
and processing of the Permitted Mortgage.
5.3 Rights of Permitted Mortgagee. Any Permitted Mortgagee shall without
requirement of consent by the City have the right, but shall not have the obligation, to:
a) cure any default under this Covenant, and perform any obligation
required hereunder, such cure or performance by a Permitted Mortgagee being effective
as if the same had been undertaken and performed by You;
b) acquire and convey, assign, transfer and exercise any right,
remedy or privilege granted to You by this Covenant or otherwise by law, subject to the
provisions, if any, in said Permitted Mortgage, which may limit any exercise of any such
right, remedy or privilege; and
c) rely upon and enforce any provisions of this Covenant to the extent
that such provisions are for the benefit of a Permitted Mortgagee.
Permitted Mortgagee shall not, as a condition to the exercise of its rights hereunder, be
required to assume personal liability for the payment and performance of Your
obligations under this Covenant. Any such payment or performance or other act by
Page 8 of 12
Permitted Mortgagee hereunder shall not be construed as an agreement by Permitted
Mortgagee to assume such personal liability except to the extent Permitted Mortgagee
actually takes possession of the Security [or collects fees or rents from You]. In the
event Permitted Mortgagee does take possession of the Security and thereupon
transfer the Security, any such transferee shall be required to enter into a written
agreement assuming such personal liability and upon any such assumption the
Permitted Mortgagee shall automatically be released from personal liability hereunder.
5.4 Notice. Whenever in this Section notice is to be given to Permitted
Mortgagee, such notice shall be given in the manner set forth in this Covenant to the
Permitted Mortgagee at the address which has been given by the Permitted Mortgagee
to City by a written notice to City sent in the manner set forth in this Covenant for
notices between the parties.
5.5 Costs of Permitted Mortgage. You shall pay to City at City's option, all
fees, costs, and expenses, including, without limitation, reasonable attorney fees,
incurred by City in connection with any Permitted Mortgage.
6. Default.
6.1 Events of Default. It shall be an Event of Default:
a) if You shall fail to perform or observe any other term or condition in
this Covenant, and such failure is not cured by You or a Permitted Mortgagee within one
hundred twenty days (120) days after notice thereof from City to You and such
Permitted Mortgagee; however, in the case where You or Permitted Mortgagee has
commenced to cure such default within such one-hundred-twenty-day (120-day) period
and is continuing such cure with all due diligence, but cannot by the exercise of due
diligence cure such default within such period, such period shall be extended for such
additional period as may be reasonably required under the circumstances to complete
such cure; or
b) if Your interest in the Home shall be taken on execution or by other
process of law, or if You shall be judicially declared bankrupt or insolvent according to
law, or if any assignment shall be made of Your property for the benefit of creditors, or if
a receiver, trustee in involuntary bankruptcy or other similar officer shall be appointed to
take charge of all or any substantial part of your property by a court of competent
jurisdiction, or if a petition shall be filed for the liquidation or reorganization of You under
any provisions of the Bankruptcy Code now or hereafter enacted, or if You shall file a
petition for such liquidation or reorganization, or for arrangements under any provision
of the Bankruptcy Code now or hereafter enacted and providing a plan for a debtor to
settle, satisfy or extend the time for payment of debts; or
6.2 Remedies. In the event You default and upon the expiration of any
applicable cure period, City may, immediately or at any time, thereafter, exercise all
rights and remedies available to City at law or in equity including but not limited to the
following remedies:
(a) Terminate the occupancy of the Home by You and anyone in
Page 9 of 12
possession of the Home through or under You by summary eviction proceedings or any
other appropriate legal proceedings. Pursuant to such proceedings, without demand or
notice, City may enter into and upon the Home or any part thereof in the name of the
whole and expel You and those claiming through or under You and remove its or their
effects without being guilty of any manner of trespass, and without prejudice to any
remedies which might otherwise be used for money owed to City or preceding breach of
covenant.
(b) Specifically enforce the obligations You are required to perform by the
terms of this Covenant, or such other equitable relief as may be appropriate in the
circumstances such as a restraining order and injunction, receivership and the like.
(c) Obtain an award of liquidated damages in the amount of$100 per day,
which the parties hereby acknowledge is a reasonable estimate of the actual damages
that would be suffered by City if You default on this Covenant and which actual
damages the parties acknowledge would be difficult to precisely determine and prove.
If City evicts the occupants of the Home pursuant to an Event of Default, or otherwise
incurs costs or expenses in correcting or remedying an Event of Default, You agree to
pay and be liable for any damages which may be due or sustained prior to or in
connection with such termination, eviction, or correction or remedying of an Event of
Default, and all reasonable costs, fees and expenses (including, without limitation,
reasonable attorneys' fees) incurred by City in pursuit of its remedies under this
Covenant.
6.3 City's Default. City shall in no event be in default in the performance of
any of City's obligations hereunder unless and until City shall have failed to perform
such obligations within sixty (60) days, or such additional time as is reasonably required
to correct any default, after notice by You to City properly specifying wherein City has
failed to perform any such obligation.
7. Priority and Effectiveness of this Covenant. This Covenant, or a memorandum of
this Covenant, shall be filed for recordation in the County Clerk deed records, Jackson
County, Oregon prior to any sale, conveyance, transfer or other disposition of the home,
or of any estate or interest in the home, by you. The Covenant shall have priority over
any subsequent sale, conveyance, transfer, lease or other disposition or encumbrance
of the home, or of any estate or interest in the home.
8. Term of Covenant. The restrictions contained in this Covenant shall continue for a
period of 30 years from the date of this Covenant.
9. Survival of Covenant Upon Transfer. The City's rights under this Covenant shall
survive any transfer of the home by You. In the event that the City's interest under this
Covenant is assigned or otherwise transferred (whether voluntarily or involuntarily) by
City to any other person or entity, this Covenant shall not cease, but shall remain
binding and unaffected. However, the City may only transfer its interest under this
Covenant to a non-profit corporation, charitable trust, governmental agency or other
similar entity sharing the goals,and objective set forth in the Recitals above regarding
the development and maintenance of adequate levels of affordable housing in the City.
Page 10 of 12
10. Notices. Except as otherwise specified in this Covenant, all notices required to be
sent pursuant to this Covenant shall be made by personal delivery or by deposit in the
United States mail, first class postage prepaid, and shall be deemed to have been
delivered and received on the date of personal delivery or five days after deposit in the
mail, if sent to the following addresses:
City: Affordable Housing Coordinator
City of Ashland
20 E. Main Street
Ashland, Oregon 97520
OWNER: Rogue Valley Habitat for Humanity
2233 S Pacific Hwy/PO Box 688
Medford, OR 97501
The addresses above may be changed by notice given pursuant to this paragraph.
11. Waiver. No condition of this Covenant or of the note or trust deed shall be deemed
waived unless expressly waived in writing by City.
12. Amendment. This Covenant may be amended upon mutual agreement in writing
signed by the City of Ashland and the Owner or the Owner's successor in interest as the
case may be.
13. Binding Effect. Throughout this Covenant, the terms "Owner" and "You" refer
individually and collectively to all persons who sign this Covenant and all persons
signing this Covenant shall be jointly and severally liable for its obligations.
14. Attorneys' Fees. With respect to any dispute relating to this Covenant, or in the
event that a suit, action, arbitration, or other proceeding of any nature whatsoever,
including (without limitation), any proceeding under the U.S. Bankruptcy Code and
involving issues peculiar to federal bankruptcy law or any action seeking a declaration
of rights or an action for rescission, is instituted to interpret or enforce this Covenant or
any provision of this Covenant, the prevailing party shall be entitled to recover from the
losing party its reasonable attorneys , paralegals', accountants' and other experts' and
professional fees and all other fees, costs and expenses actually incurred and
reasonably necessary in connection therewith including (without limitation) deposition
and expert fees and costs incurred in creating exhibits and reports, as determined by
the judge or arbitrator at trial or other proceeding, or on any appeal or review, in addition
to all other amounts provided by law. As used in this Covenant, the"prevailing party"
shall be that party in whose favor the balance of the issues was decided. In making the
determination of who is the prevailing party, the parties agree that an award of money
damages shall be one factor in the judge's, arbitrator's or other authority's decision but
shall not be the only factor. Other factors for the judge, arbitrator or other authority to
consider shall include, but not be limited to, the number, size and importance of claims
asserted by the party in whose favor a monetary award was made but on which the
party did not prevail, the size of any monetary award in relation to the amount requested
and the resolution of nonmonetary issues. To aid in the judge's, arbitrators, or other
Page 11 of 12
authority's determination of who is the prevailing party and the reasonableness of the
award of attorneys' fees, the judge, arbitrator or other authority shall be entitled to
compare his/her final award to the parties' settlement offers made in writing prior to the
arbitration hearing. For purposes of this Covenant, the term attorney fees include all
charges of the prevailing party's attorneys and their staff(including without limitation
legal assistants, paralegals, word processing, and other support personnel) and any
post petition fees in a bankruptcy court. For purposes of this Covenant, the term fees
and expenses include but is not limited to long-distance telephone charges; expenses of
facsimile transmission; expenses for postage (including costs of registered or certified
mail and return receipts), express mail, or parcel delivery; mileage and all deposition
charges, including but not limited to court reporters' charges, appearance fees, and all
costs of transcription; and costs incurred in searching records.
OWNER:
By: Date:
V
State of Oregon
County of Jackson
This *Lostrumenit was acknowledged before me on 2026,
by NAAA t Jt.LMti amd
Z� OFFICIAL STAMP
::WR;LA:NDON DEAN TWOS Notary Public for Oregon
NOTARY PUBUC-OREC"
COMMISSION No.`10683W My commission expires:
My COMMISSION EXPIRES APRIL 29,]2029
Cl
Date: 4
Sabrina Cotta,City Manager
State of Oregon
County of Jackson
This instrument was ackno ledqed before me on —17, 0 2026
-) ,
by r" 0.n as r
of
C.t L. the City of
Ashland, Oregon.
OFFICI&SVAW A
AUNA NICOLI KCUXXWM
NOTARY PUSUC-OREGON Notary Public for Oregon
COMMISSION NO.104MM My commission expires:
7 11-�o
Page 12 of 12
EXHIBIT A
Order No.: 470326097727
Lot 4 in Rogue Corner Subdivision in the City of Ashland, Oregon, according to the Official Plat thereof,
recorded in Volume 52, Page 12, of the Plat Records in Jackson County, Oregon
When Recorded Return Original to:
Alissa Kolodzinski,City Recorder
20 East Main Street,Ashland,Oregon 97520
PROMISSORY NOTE
SECURED BY DEED OF TRUST
$19,764.15 Ashland, Oregon, June 26, 2026
For value received, I promise to pay to the order of the City of Ashland, Oregon, ("City"),
the principal sum of Nineteen thousand, seven hundred sixty-four dollars and fifteen
cents ($19,764.15), plus accrued interest, upon the terms and conditions set forth
below.
1. AFFORDABLE HOUSING AGREEMENT. This obligation is secured by a Trust Deed
and is subject to all the terms and conditions of such Trust Deed. This obligation is
given pursuant to a "CITY OF ASHLAND AFFORDABLE HOUSING RESALE
RESTRICTION AGREEMENT" and is subject to all the terms and conditions of such
agreement (further referred to in this note as "the Agreement").
2. INTEREST. The unpaid principal balance of this note shall bear simple interest at the
rate of six percent (6.0%) per year from the date of this note until the agreement has
expired.
3. REPAYMENT.
3.1 . During the first 30 years after this note is executed, no payments of either
principal or interest shall be due or payable so long as I continue to own and occupy the
home as my primary residence, and so long as I am not in violation of any of the terms
of this note or the trust deed securing it. As set forth in the Agreement, I may also make
a qualified transfer of the home to an eligible buyer who shall assume this note without
violating the terms of this note. During the first 30 years after this note is executed, the
total amount of the principal and accrued interest shall become immediately due and
payable upon my transfer of the home to any person or entity other than an eligible
buyer as defined in the Agreement or to an otherwise eligible buyer who does not
assume this note and the trust deed securing it and agree to comply with all of its terms,
or whenever I cease to occupy the home as my primary residence, or whenever I am in
default for failure to comply with any of the terms of this note or the trust deed. After the
completion of 30 years of affordability the homeowner can sell the unit at market rate
upon paying back the amount of deferred System Development Charges (SDCs),
Community Development Fee, and Engineering Services Fee, including an assessment
of inflationary cost impacts. The inflationary cost impacts for deferred charges and fees
shall be an annual assessment for each year the unit was in the affordable housing
program utilizing the Engineering News Record (ENR) Construction Index for Seattle
Washington inflation rate at the time of sale. In no event will a purchaser be required to
PAGE 1 of 2-Promissory Note(Rev'd4/09)
sell the unit subject to the Agreement for less than his or her original purchase price
plus any applicable closing costs and realtor fees.
4. BINDING EFFECT; JOINT AND SEVERAL OBLIGATIONS. This note and its terms
shall be binding upon my heirs, executors, administrators, personal representatives,
successors, and assigns. Throughout this note, the terms "I," "me," and "my" refer
individually and collectively to all persons who sign this note, and all persons signing
this note shall be jointly and severally liable for its obligations.
5. ATTORNEY FEES AND COSTS. If either party is required to initiate legal
proceedings to enforce its rights under this Agreement, the prevailing party in such
action shall be entitled to an award of reasonable attorneys' fees and costs in addition to
any other recovery under this Agreement.
11. SEVERABILITY; GOVERNING LAW. If any provision of this note is or becomes
inconsistent with any applicable present or future law, rule or regulation, such provision
will be deemed rescinded or modified in order to comply with the relevant law rule or
regulation, and all other provisions of this note shall continue in full force and effect.
This note shall be governed by and interpreted under the laws of the State of Oregon.
14. NO WAIVER. Failure by the City to require strict performance of any term of this
note, including the extension of any payment or acceptance of any part of a payment,
shall not affect the City's rights or be considered a waiver by the City of the strict
performance of all conditions of this note. No waiver by the City of any default shall be
considered a waiver of any subsequent default or a waiver of this paragraph.
EXECUTED this : G day of Jv,�L , 2026
NOTICE TO BUYER: THIS DOCUMENT CONTAINS PROVISIONS RESTRICTING
RESALES AND ASSUMPTIONS.
Sig ature
L Jor�w•��
Printed Name
PAGE 2 of 2-Promissory Note(Rev'a 2024)
Jackson County Official Records 2026-013892
R-TD
Stn=10 MARISCLR 06/26/2026 01:42:02 PM
$25.00$10.00$13.00$13.00$11.00 $136.00
$60.00$4.00
I,Christine Walker,County Clerk for Jackson County,Oregon,certify
that the instrument identified herein was recorded in the Clerk
records.
When Recorded Return Original to: Christine Walker-County Clerk
Alissa Kolodzinski,City Recorder
20 East Main Street,Ashland,Oregon 97520
TRUST DEED ORIGINAL DOCUMENT
Consideration: $19,764.15 REC0Rl E,D E-LECTROMCALLY
This trust deed is made on 06/26/2026 between Ana Jorgensen as Grantor(s), the City
of Ashland, as Beneficiary, and Johan Pietila, an active member of the Oregon State
Bar as Trustee.
1. Conveyance by Grantor. For good and valuable consideration, receipt of which is
acknowledged, and for the purpose of securing the loan obligations described in Section
3 below, Grantor irrevocably grants, bargains, sells, conveys, assigns, and transfers to
Trustee in trust for the benefit and security of the Beneficiary, with power of sale and
right of entry and possession, all of Grantor's right, title, and interest in and to the real
property located in Jackson County, State of Oregon, and more particularly described in
the attached Exhibit A (the "Property").
2. The Note. Beneficiary has offered to defer the systems development charges due on
the Property and to make a loan to Grantor for the amount of the charges which loan is
to be evidenced by a promissory note of the same date as this trust deed. (The
promissory note as modified, supplemented, extended, renewed, or replaced from time
to time is referred to below as the "Note".)The date of maturity of the debt secured by
this instrument is 30 years from the date of the Note. In the event the Property, or any
part of, or interest in, the Property is sold, agreed to be sold, conveyed, assigned or
alienated by the Grantor without complying with the terms of the Note or the Agreement
described below, then, at the Beneficiary's option, all obligations secured by this
instrument, irrespective of the maturity dates expressed above or in the Note, shall
immediately become due and payable.
3. Obligations Secured. This trust deed secures the following, collectively referred to
as the "loan obligations":
3.1. The payment of all indebtedness, including but not limited to principal and interest,
and the performance of all covenants and obligations of Grantor under the Note,
whether such payment and performance is now due or becomes due in the future;
3.2. The payment and performance of all covenants and obligations in the City of
Ashland Affordable Housing Resale Restriction Agreement dated May 29, 2026 ("the
Agreement") entered into by Grantor and Beneficiary. The term "loan obligations" as
used in this trust deed shall mean all amounts payable to Beneficiary under the terms of
the Note and the Agreement.
4. Possession. Grantor agrees to pay the Note and the Agreement in accordance with
their terms. Until default occurs, Grantor shall remain in possession and control of the
property and subject to the terms of the Agreement, Grantor shall be free to operate and
Page I 1
manage the property and receive the proceeds of operation.
5. Warranty of title. Grantor warrants that Grantor holds merchantable title to the
property in fee simple or that Grantor holds a vendee's interest in the property under a
conditional sales contract. Grantor warrants and will defend Grantor's title against the
lawful claims of all persons. In the event any action or proceeding is commenced that
questions Grantor's title or the interest of Beneficiary or Trustee under this deed,
Grantor shall defend the action at Grantor's expense.
6. Powers of Trustee. In addition to all powers of Trustee arising as a matter of law,
Trustee shall have the power to take the following action with respect to the property on
the request of Beneficiary and Grantor: (a) joining in the dedication of roads or other
rights in the public; (b) joining in granting any easement or creating any restriction on
the property; (c) joining in any subordination or other agreement affecting this deed or
the interest of Beneficiary under this deed; or (d) selling the property or any part thereof.
Trustee shall not be obligated to notify any other party of a pending sale under any
other deed or trust or lien, or of any action or proceeding in which Grantor, Beneficiary,
or Trustee shall be a party, unless the action or proceeding is brought by Trustee.
7. Deed of Reconveyance. If Grantor pays all of the loan obligations when due and
otherwise performs all of the obligations imposed on Grantor under this instrument, the
Note and the Agreement, Beneficiary shall execute and deliver to Trustee a request for
full reconveyance.
8. Default. Grantor shall be deemed to be in default if Grantor fails to perform any of the
obligations imposed by this deed, the Note or the Agreement.
9. Remedies. On the occurrence of any event of default and at any time thereafter,
Beneficiary may exercise any one or more of the following rights and remedies:
9.1. The right to declare all sums secured by this trust deed immediately due and
payable.
9.2. The right to foreclose by notice and sale by Trustee or by judicial
foreclosure, in either case in accordance with applicable law.
9.3. The right in connection with any legal proceedings to have a receiver
appointed to take possession of any or all of the property, with the power to
protect and preserve the property and to use the property preceding foreclosure
or sale and apply the proceeds, over and above costs of the receivership, against
the loan obligations. The receiver may serve without bond if permitted by law.
Beneficiary's right to the appointment of a receiver shall exist whether or not
apparent value of the property exceeds the loan obligations by a substantial
amount.
9.4. Any other right or remedy provided in this deed, the Note or the Agreement.
Page 2
10. Application of proceeds. In the event the Trustee exercises the power of sale
conferred by this trust deed, the Trustee shall apply the proceeds of the sale in the
following order:
10.1. To the expense of the sale, including reasonable attorney fees,
10.2. To the loan obligations secured by this trust deed, and
10.3. The surplus, if any, to the persons entitled thereto.
11. Waiver. A waiver by either party of a breach of a provision of this agreement shall
not constitute a waiver of or prejudice the party's right otherwise to demand strict
compliance with that provision or any other provision. Election by Beneficiary to pursue
any remedy shall not exclude pursuit of any other remedy, and an election to make
expenditures or take action to perform an obligation of Grantor under this deed after
failure of the Grantor to perform shall not affect Beneficiary's right to declare a default
and exercise its remedies under this trust deed or the Contract.
12. Trust Deed Binding on Successors and Assigns. Subject to the limitations stated
in this deed on transfer of Grantor's interest, and subject to the provisions of applicable
law with respect to successor trustees, this deed shall be binding on and inure to the
benefit of the parties, their successors and assigns.
SIGNATURE PAGE FOLLOWS
Page 13
By: rcl�,,-
Ana Jorgensen
STATE OF OREGON
COUNTY OF JACKSON
This instrument was acknowledged before me on u� Zvi. by
D r1 :�-C �
Notary Public for Oregon
My commission expires: b7cf
OFF:ANN
STAMP
9REEGRAFfAMNOTARY C-OREGON
COMMISNO. 1061139MY COMMISSIONES AUGUST03,2029
Page 4
EXHIBIT A
LEGAL DESCRIPTION
Lot 3 in Rogue Corner Subdivision in the City of Ashland, Oregon, according to the Official Plat
thereof, recorded in Volume 52, Page 12, of the Plat Records in Jackson County, Oregon
Page 15
CITY OF
ASHLAND
Department of Community Development
Housing Programs
20 E Main St.
Ashland OR 97520
Assumption of Resale Restriction Covenant
This acknowledges that the applicant has received a copy of the Resale
Restriction Covenant dated 05/29/2026 , as recorded on the property
containing the covered affordable housing unit located at:
450 Williamson Way
Ashland, OR 97520
Jackson County
The purchaser recognizes the Covenant Agreement shall apply to and bind any
purchaser or transferee in an exempt or qualified transfer. The purchaser or
transferee assumes the duties and obligations under the Resale Restriction
Covenant, upon transfer of the Home.
ACKNOWLEDGEMENT:
Purchasers Signature Date
Ana Jorgensen
Printed Name
Jackson County Official Records 2026-012044
R-DR
Stn=41 SHINGUS 06/0412026 01:53:01 PM
$65.00$10.00$13.00$13.00$11.00 $176.00
When Recorded Return Original to: $60.00$4.00
1,Christine Walker,County Clerk for Jackson County,Oregon,certify
that the instrument identified herein was recorded in the Clerk
Alissa Kolodinski, City Recorder records. Christine Walker-County Clerk
20 East Main Street, Ashland, Oregon 97520
CITY OF ASHLAND AFFORDABLE HOUSING
RESALE RESTRICTION COVENANT
Owner-, Rogue Valley Habitat for Home Address/Lot Number:
Humanity 450 Williamson Way Ashland, OR 97520
39 1 E 04 DC, Tax Lot 3630
Covenant date: May 29,2026 Unit# 3
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Name of development: Rogue Corner Subdivision
This Resale Restriction Covenant Agreement (the "Covenant") is entered into on the
date specified above by the City of Ashland ("City") and the Owner(also referred to as
"You") named above regarding certain improved real property located at the property
address specified above ("the Home").
RECITALS:
A. The Home referred to in this Covenant is described more fully in the attached
Exhibit A.
B. Sale or rental of the home is subject to certain restrictions contained in this
Covenant for the purpose of implementing the City's Affordable Housing Program as set
forth in Ashland City Council Resolution No. 2020-24 ("Program").
C. Resale or rental restrictions were imposed on this home when the
development received Planning Approval, and an Affordable Housing Trust fund Grant
for the development of four homes intended to be owned and occupied by moderate
and low-income homeowners earning 80% of the Area Median income or less. 4 of
the units, which include this Home, are to remain affordable in accordance ORS
197.308 as revised which allows the use of Employment Zoned Property as deed
restricted affordable housing without a zone change, and 18.2.3.130 of the Ashland
Land Use Ordinance as in effect on the date of application. The Owner understands that
signing this Covenant and complying with its terms are necessary to permit the City to
fulfill its affordable housing goals and State requirements in accordance with ORS
197.308. The City also provided a deferral of the System Development Charges,
Community Development Fees, and Engineering Services Fees. This Covenant fulfills
The City of Ashland's Affordable Housing Program goals, and the goals the State
requirements as identified in Planning Action PA-T2-2024-00047 that requires the
applicant to sign an agreement prepared by the City of Ashland stipulating that 4 of
the units comply with the Program established by the City of Ashland for purchase or
rental housing for a period of not less than 30 years as established by Resolution
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2020-24. The agreement is to be recorded in the deed records.
AGREEMENT:
City and Owner agree:
The recitals set forth above are hereby incorporated herein by this reference.
1. Deferment of Systems Development Charges (SDC's). City will defer the payment
of SDC's owed by you and due on the home. You will execute a promissory note
payable to the City in a principal amount equal to the total cost of the SDC's that have
been deferred. The note and the obligations under this Agreement will be secured by a
trust deed on the home.
2. Occupancy Requirement.
1.1 Primary Residence. You agree and acknowledge that the City's
acceptance of Your participation in the SDC deferral program requires that the sale of
the home is conditioned upon occupancy of the home only by qualified low-or
moderate-income households earning no more than 80% of the Area Median Income
(AMI). Rental of the home is conditioned upon occupancy of the home only by a
qualified low-income household earning no more than 60%AMI as established in 2020-
24. You shall use, and shall cause all occupants thereof to use, the Home only as a
primary residence and such incidental activities related to residential use as are then
permitted by applicable zoning, building, subdivision and land use laws. This restriction
and all other requirements of this Covenant will be binding upon anyone who uses the
Home whether a purchaser, a renter or otherwise, because this Covenant is intended to
apply to the Home regardless of changes in ownership or occupancy. You agree and
acknowledge that use of the Home as a primary residence in compliance with all the
requirements of this Covenant is essential to the fulfillment of the City's affordable
housing purposes and shall apply during the full term of this Covenant.
1.2 Qualified Occupants. You agree that as of the commencement date of a
new occupancy (whether by sale or rental or otherwise), You must provide the City
evidence that the new occupants are Qualified Occupants as of such date. The term
"Qualified Occupants" means persons whose combined household income does not
exceed 80% of the Area Median Income when owner occupied, or the household
income does not exceed 60%AMI when rented. The term "Area Median Income" means
the median income of wage-earning employees working on jobs located in the City, as
defined by the department of Housing and Urban Development for the Medford Ashland
Metropolitan Service Area. The Qualified Occupant test only applies as of the
commencement of occupancy in order to encourage the occupants' career
advancement and other means of increasing the occupants' household income. The
occupants must use the Home as their primary residence at all times throughout the
term of this Covenant.
1.3 Responsible Use. You shall use the Home in a manner so as not to cause
harm to others or create any nuisances, public or private; and shall dispose of any and
all waste in a safe and sanitary manner.
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1.4 Responsible for Others. You shall be responsible for the use of the Home
by any and all occupants thereof, their families, their friends or visitors, or anyone else
using the Home, and shall make them aware of the spirit, intent and appropriate terms
of this Covenant.
1.5 Condition of Home, Compliance with Covenants and Law. You shall
maintain the Home in good, workable, safe, and habitable condition in all respects
except for normal wear and tear, and in full compliance with all applicable Covenants,
easements, restrictions and agreements, and all laws, ordinances, rules and regulations
of the City and any other governmental authority with jurisdiction over matters
concerning the condition and use of the Home, including all such laws related to
environmental matters. You shall not cause or permit any hazardous substances,
including petroleum oil and its fractions, to be spilled, leaked, disposed of or otherwise
released on or under the Home. Tenant may store such substances in or about the
Home only in de minimis quantities customary for normal residential use and must
exercise the highest degree of care in the use, handling and storage of same.
1.6 Property Taxes. You shall pay all taxes and assessments, no matter how
designated, that relate to the Home ("Property Taxes") in order to avoid the loss of the
City's affordable housing by County tax foreclosure and sale of the Home at a market
price. You shall also pay directly, when due, any and all other service bills, utilities
charges, or other governmental assessments charged against the Home. Concurrently
with the payment thereof and upon the request of the City, you shall furnish evidence
satisfactory to the City documenting the payment of all taxes, assessments, and
charges paid by You as required or permitted by the provisions of this Covenant. A
photocopy of a paid receipt for such charges showing payment prior to the due date
thereof shall be the usual method of furnishing such evidence.
1.7 Alterations and Improvements. Any alteration or improvement of the
Home is subject to the following conditions: (1) You shall provide City evidence of
adequate financing of the work; (2) all construction shall be performed in a good and
workmanlike manner and shall comply with all applicable laws, ordinances and
regulations, including, without limitation, the requirements of local and state public
health authorities; (3) all construction must be consistent with use of the Home as a
primary residence; and (4) You shall furnish to City a copy of plans and specifications
for the work and obtain all required building permits from the City prior to commencing
construction work.
1.8 Prohibition of Liens. No lien for services, labor or materials resulting from
your alterations, additions or improvements shall attach to the Home or to City's interest
in the Home or to any other property owned by City. You shall not suffer or permit any
vendor's, mechanic's, laborer's, or material man's statutory or similar lien to be filed
against the Home and You are responsible to remove any such lien from the Home
within sixty (60) days after it is filed by payment, deposit, bond, order of a court of
competent jurisdiction or as otherwise permitted by law. If You shall fail to cause such
lien to be removed from the Home within such time period then, in addition to any other
right or remedy, the City may, but shall not he obligated to, discharge the same by
paying the amount in question. You may contest the underlying lien claim as long as
you have removed the lien from the Home by the statutory procedure of depositing a
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bond or cash with the Circuit Court to replace the Home as the security for payment of
the claim. Any amounts paid by City in respect of such liens you shall reimburse to the
City upon demand.
1.9 Maintenance. You shall, at Your sole expense, maintain the Home (which
specifically includes maintenance and repair of sewer, water, electrical, telephone,
cable, gas, and any other services and utilities, sidewalks, curbs, driveways,
landscaping, vegetation, sprinkler systems, and any and all structures and other
improvements on, under or above the surface of the land) in good, safe, habitable and
workable condition and in accordance with all applicable laws, rules, ordinances, orders
and regulations of the City and all other governmental agencies and entities with
jurisdiction and all insurance companies insuring all or any part of the Home
2. Transfer of Home. Except as provided in paragraph 3, You agree to "transfer"the
home consistent with this Covenant.
2.1. Definition of transfer. To ""transfer" the home means any sale,
assignment or transfer, whether voluntary or involuntary, of any interest in the
home, including, but not limited to, a fee simple interest, a co-tenancy interest, a
survivorship interest, a life estate, a leasehold interest, any right to possession
under a rental agreement, or an interest evidenced by a mortgage, trust deed or
land sale contract in which possession of the home is transferred and You retain
title.
2.2. Assumption requirement. This Covenant shall apply to and bind any
purchaser or transferee in an exempt or qualified transfer(see paragraph 3).
Such purchaser or transferee (other than a renting household qualified under the
City's affordable rental program) shall assume Your duties and obligations under
this Covenant in writing in a form approved and provided by the City, prior to the
transfer of the home. If the purchaser or transferee fails to assume this Covenant
and execute and deliver the City's form of assumption agreement to the City prior
to the sale or transfer, then the City shall have the option of treating such sale or
transfer as null and void and the City may enforce any of its remedies as set forth
below in this Covenant.
Recording of the assumption agreement in the official deed records of
Jackson County, Oregon, shall be a condition of the City's approval of the
proposed transfer. You agree to pay a reasonable assumption fee to the City and
to reimburse the City for its expenses incurred in administering its rights and
obligations in connection with any transfer under this Covenant. Upon the close
of any transfer, you agree to provide the City with copies of the recorded trust
deed, final sales contract, settlement statement, escrow instructions, and any
other documents prepared or used in connection with the transaction.
3. ExemDt and Qualified Transfers. Notwithstanding paragraph 2 above, if a transfer
is either an "Exempt Transfer" or a "Qualified Transfer'"as provided in this paragraph,
such transfer shall not be considered a violation of this Covenant.
3.1. Exempt transfer. An "exempt transfer" is:
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3.1.1. A taking of title by a surviving joint tenant; a court-ordered transfer
of title to a spouse (or domestic_partner)
as part of a dissolution proceeding; or
an acquisition of title, or of any interest in the title, in conjunction with marriage,
provided that as of the date of any of these types of exempt transfer the Home is
then occupied by a Qualified Occupant.
3.1.2. A Permitted Mortgage (as defined below) encumbering the Home in
an amount not greater than 100% of the Affordable Purchase Price (as defined
below) as of the date of the loan proceeds are advanced to You by the lender,
provided that all of the proceeds over and above the amount necessary to pay off
prior financing is used for the alteration or improvement of the Home such as
landscaping, expansion, remodeling and the like.
3.2. Qualified Transfer. A"Qualified Transfer" is a transfer to a Qualified
Occupant as their primary residence and either (a) a sale at a price that does not
exceed the Affordable Price as of the date of this Covenant, plus the cost of
Allowed Appreciation, as such terms are defined below, or(b) a rental or lease of
the Home for an Affordable Rent(as defined below) as of the date of the date of
such rental or lease. The term "Affordable Price" means the price which the City
estimates will result in annual Home costs (principal, interest, property taxes,
insurance, utilities and maintenance, and homeowner association dues)to be
approximately thirty (30%) of the annual Median Area Income. On such basis,
the City has determined that the Affordable Price for the Home is $ 263,700_
as of the date of this Covenant. Affordable Rent means a monthly rent
throughout the rental term that is no more than the maximum rents established
by City of Ashland Resolution 2020-24. On such basis, the City has determined
that the Affordable Rent for the—3—bedroom Home targeted to households
earning at or below 60% Area Median Income is $1.,275.00 as of the date of this
Covenant. The City makes no representation or warranty that you will be able to
sell the Home for an Affordable Price or rent the Home for an Affordable Rent at
any given time. Your ability to sell or rent the Home at any given time depends
upon market conditions over which the City has no control. Improvements
including replacement of the Home's original elements or any repairs even if the
replacement materials are an upgrade from the original materials previously
incorporated in the Home do not function to increase the Affordable Price beyond
allowable appreciation. The term "Allowed Appreciation" means the increase in
the Affordable Price in accordance with 3.1 (d) of resolution 2020-24. Which
states that the maximum resale price will be calculated using the current seller's
initial purchase price plus an additional 0.125% of said initial purchase price for
each full month the current seller has owned the home. At least 30 days prior to
the transfer, you shall provide the documents and information to the City
described in the following subsections for the purpose of qualifying the proposed
transfer and determining the price or rent is an Affordable Price or Affordable
Rent as the case may be, including:
3.2.1. The name, address and telephone number of all the proposed
buyers or renters.
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3.2.2. A financial statement from, and signed by, each proposed adult
occupant (whether a purchaser or renter) in a form reasonably acceptable to the
City and accompanied by such supporting documentation as requested by the
City. The financial information will be used by the City to ensure the proposed
transfer is only to Qualified Occupants.
3.2.3. A copy of the proposed sale agreement or rental agreement and all
related documents, which set forth the terms of the transfer. Upon any increase
in rent, you must provide the City notice and evidence that the increased amount
will continue to be an Affordable Rent consistent with the limits established in
Resolution 2020-24;
3.2.4. A written certification to the City signed by each proposed adult
occupant of the Home in a form acceptable to the City stating that:
(a) The transfer shall be closed in accordance with the terms of the
sales agreement or rental agreement and other documents submitted and
approved by the City;
(b) The proposed occupants will use the Home as their primary
residence; and
(c) The proposed occupants have not paid or caused anyone to pay
on their behalf to You or for Your benefit, and You have not received, nor will You
receive from any such person any other consideration for the proposed transfer
other than the consideration disclosed to the City;
3.2.5. In the event that a transfer is made in violation of the terms of this
Covenant, or that false or misleading statements are made in any documents or
certifications submitted to the City, the City shall have the right to file a legal
action to force the parties to terminate or rescind the transfer, or to declare the
transfer void notwithstanding the fact that the transfer may have already occurred
and become final as between the parties.
4. You Must Notify City of Transfer. If you desire to transfer the Home, You are
required to notify City in writing to that effect. If the transfer is a Qualified Transfer, the
notice and information provided must comply with the provisions of Section 3 of this
Covenant. For any other transfer, the notice shall state the street address of the home,
your full name or names, the address and telephone number at which you are to be
contacted if not at the home. The notice shall be given at least 30 days prior to the
transfer and shall be delivered as provided in paragraph 9.
5. Financing.
5.1 Permitted Mortgage(s) Only. You may mortgage, pledge, or encumber the
Home or any portion thereof or interest therein only pursuant to a Permitted Mortgage.
A"Permitted Mortgage" shall be a mortgage or trust deed, and "Permitted Mortgages"
shall be mortgages or trust deeds which:
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a) run in favor of an "institutional lender'" such as, but not limited to, a
federal, state, or local housing finance agency (including the US Department of
Agriculture, Department of Housing and Urban Development, Oregon Housing and
Community Services, and other like agencies), a bank (including savings and loan
association or insured credit union), an insurance company, a pension and/or profit-
sharing fund or trust, or any combination of the foregoing, the policies and procedures
of which institutional lender are subject to direct governmental supervision or regulation;
or an "owner carry" or"private lender" on terms which provide similar protections to a
purchaser who is a Qualified Occupant as described, in part, below.
b) are a first or second lien on the Home (the "Security").
c) provide, among other things, that in the event of a default in any of
the mortgagor's obligations there under, the holder of the Permitted Mortgage shall
notify City of such fact and City shall have the right, but shall not have the obligation,
within 120 days after its receipt of such notice, to cure such default in the mortgagors
name and on mortgagor's behalf, provided that current payments due the holder during
such 120-day period (or such lesser time period as may have been required to cure
such default) are made to the holder, and shall further provide that said holder shall not
have the right, unless such default shall not have been cured within such time, to
accelerate the note secured by such Permitted Mortgage or to commence to foreclose
under the Permitted Mortgage on account of such default;
d) provide, among other things, that if after such cure period the
holder intends to accelerate the note secured by such Permitted Mortgage or initiate
foreclosure proceedings under the Permitted Mortgage, all in accordance with this
Section, the holder shall first notify City of its intention to do so and City shall have the
right, but shall not have the obligation, upon notifying the holder within thirty (30) days of
receipt of said notice from said holder, to pay off the indebtedness secured by the
Permitted Mortgage and to acquire the Security; and
e) provide that such holder shall use reasonable efforts to sell the
Security pursuant to any sale after or in lieu of foreclosure to a purchaser who is a
Qualified Occupant for an Affordable Price, as defined herein.
0 provide that in the event such holder is unable to sell the Security
pursuant to any sale after or in lieu of foreclosure to a purchaser who is Qualified
Occupant for an Affordable Price then an amount equal to the difference between the
Affordable price per resolution 2020-24, and the fair market value of the total
consideration, shall be payable to the City and the Covenant shall be removed from the
property.
5.2 Cily's Consent to Permitted Mortgage. Not less than thirty (30) days prior
to the date on which You desire a mortgage to be effective, You shall furnish, or cause
to be furnished to City true and correct copies of each and every document and
instrument to be executed in connection with the transaction represented by such
mortgage. City shall be required to consent to such mortgage only if:
a) the mortgage so submitted is a Permitted Mortgage as defined in
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this Covenant;
b) at the time of such submission and at the time proposed by You for
the execution of such documents, no default under this Covenant is then outstanding;
c) such Permitted Mortgage and related documentation do not contain
any provisions other than provisions generally contained in mortgages used for similar
transactions in the State of Oregon by institutional mortgagees;
d) such Permitted Mortgage and related documentation do not contain
any provisions which could be construed as rendering City or any subsequent holder of
the City's interest in and to this Covenant, or their respective heirs, executors,
successors or assigns, personally liable for the payment of the debt evidenced by such
note and Permitted Mortgage or any part thereof;
e) such Permitted Mortgage and related documentation shall contain
provisions to the effect that the holder of the Permitted Mortgage (a "Permitted
Mortgagee") shall not look to City or City's interest in the Home, but will look solely to
You and the buildings and improvements which may from time to time be a part of the
Home, for the payment of the debt secured thereby or any part thereof. (It is the
intention of the parties hereto that City's consent to such Permitted Mortgage shall be
without any liability on the part of City);
f]l such Permitted Mortgage and related documentation provide that in
the event any part of the Security is taken in condemnation or by right of eminent
domain, the proceeds of the award shall be paid over to the holder of the Permitted
Mortgage in accordance with this Covenant;
g) You pay the City a reasonable fee for the City's review, approval
and processing of the Permitted Mortgage.
5.3 Rights of Permitted Mortgagee. Any Permitted Mortgagee shall without
requirement of consent by the City have the right, but shall not have the obligation, to:
a) cure any default under this Covenant, and perform any obligation
required hereunder, such cure or performance by a Permitted Mortgagee being effective
as if the same had been undertaken and performed by You;
b) acquire and convey, assign, transfer and exercise any right,
remedy or privilege granted to You by this Covenant or otherwise by law, subject to the
provisions, if any, in said Permitted Mortgage, which may limit any exercise of any such
right, remedy or privilege; and
c) rely upon and enforce any provisions of this Covenant to the extent
that such provisions are for the benefit of a Permitted Mortgagee.
Permitted Mortgagee shall not, as a condition to the exercise of its rights hereunder, be
required to assume personal liability for the payment and performance of Your
obligations under this Covenant. Any such payment or performance or other act by
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Permitted Mortgagee hereunder shall not be construed as an agreement by Permitted
Mortgagee to assume such personal liability except to the extent Permitted Mortgagee
actually takes possession of the Security [or collects fees or rents from You]. In the
event Permitted Mortgagee does take possession of the Security and thereupon
transfer the Security, any such transferee shall be required to enter into a written
agreement assuming such personal liability and upon any such assumption the
Permitted Mortgagee shall automatically be released from personal liability hereunder.
5.4 Notice. Whenever in this Section notice is to be given to Permitted
Mortgagee, such notice shall be given in the manner set forth in this Covenant to the
Permitted Mortgagee at the address which has been given by the Permitted Mortgagee
to City by a written notice to City sent in the manner set forth in this Covenant for
notices between the parties.
5.5 Costs of Permitted Mortgage. You shall pay to City at City's option, all
fees, costs, and expenses, including, without limitation, reasonable attorney fees,
incurred by City in connection with any Permitted Mortgage.
6. Default.
6.1 Events of Default. It shall be an Event of Default:
a) if You shall fail to perform or observe any other term or condition in
this Covenant, and such failure is not cured by You or a Permitted Mortgagee within one
hundred twenty days (120) days after notice thereof from City to You and such
Permitted Mortgagee; however, in the case where You or Permitted Mortgagee has
commenced to cure such default within such one-hundred-twenty-day (1 20-day) period
and is continuing such cure with all due diligence, but cannot by the exercise of due
diligence cure such default within such period, such period shall be extended for such
additional period as may be reasonably required under the circumstances to complete
such cure; or
b) if Your interest in the Home shall be taken on execution or by other
process of law, or if You shall be judicially declared bankrupt or insolvent according to
law, or if any assignment shall be made of Your property for the benefit of creditors, or if
a receiver, trustee in involuntary bankruptcy or other similar officer shall be appointed to
take charge of all or any substantial part of your property by a court of competent
jurisdiction, or if a petition shall be filed for the liquidation or reorganization of You under
any provisions of the Bankruptcy Code now or hereafter enacted, or if You shall file a
petition for such liquidation or reorganization, or for arrangements under any provision
of the Bankruptcy Code now or hereafter enacted and providing a plan for a debtor to
settle, satisfy or extend the time for payment of debts; or
6.2 Remedies. In the event You default and upon the expiration of any
applicable cure period, City may, immediately or at any time, thereafter, exercise all
rights and remedies available to City at law or in equity including but not limited to the
following remedies: '
(a) Terminate the occupancy of the Home by You and anyone in
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possession of the Home through or under You by summary eviction proceedings or any
other appropriate legal proceedings. Pursuant to such proceedings, without demand or
notice, City may enter into and upon the Home or any part thereof in the name of the
whole and expel You and those claiming through or under You and remove its or their
effects without being guilty of any manner of trespass, and without prejudice to any
remedies which might otherwise be used for money owed to City or preceding breach of
covenant.
(b) Specifically enforce the obligations You are required to perform by the
terms of this Covenant, or such other equitable relief as may be appropriate in the
circumstances such as a restraining order and injunction, receivership and the like.
(c) Obtain an award of liquidated damages in the amount of$100 per day,
which the parties hereby acknowledge is a reasonable estimate of the actual damages
that would be suffered by City if You default on this Covenant and which actual
damages the parties acknowledge would be difficult to precisely determine and prove.
If City evicts the occupants of the Home pursuant to an Event of Default, or otherwise
incurs costs or expenses in correcting or remedying an Event of Default, You agree to
pay and be liable for any damages which may be due or sustained prior to or in
connection with such termination, eviction, or correction or remedying of an Event of
Default, and all reasonable costs, fees and expenses (including, without limitation,
reasonable attorneys' fees) incurred by City in pursuit of its remedies under this
Covenant.
6.3 City's Default. City shall in no event be in default in the performance of
any of City's obligations hereunder unless and until City shall have failed to perform
such obligations within sixty (60) days, or such additional time as is reasonably required
to correct any default, after notice by You to City properly specifying wherein City has
failed to perform any such obligation.
7. Priority and Effectiveness of this Covenant. This Covenant, or a memorandum of
this Covenant, shall be filed for recordation in the County Clerk deed records, Jackson
County, Oregon prior to any sale, conveyance, transfer or other disposition of the home,
or of any estate or interest in the home, by you. The Covenant shall have priority over
any subsequent sale, conveyance, transfer, lease or other disposition or encumbrance
of the home, or of any estate or interest in the home.
8. Term of Covenant. The restrictions contained in this Covenant shall continue for a
period of 30 years from the date of this Covenant.
9. Survival of Covenant Upon Transfer. The City's rights under this Covenant shall
survive any transfer of the home by You. In the event that the City's interest under this
Covenant is assigned or otherwise transferred (whether voluntarily or involuntarily) by
City to any other person or entity, this Covenant shall not cease, but shall remain
binding and unaffected. However, the City may only transfer its interest under this
Covenant to a non-profit corporation, charitable trust, governmental agency or other
similar entity sharing the goals and objective set forth in the Recitals above regarding
the development and maintenance of adequate levels of affordable housing in the City.
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10. Notices. Except as otherwise specified in this Covenant, all notices required to be
sent pursuant to this Covenant shall be made by personal delivery or by deposit in the
United States mail, first class postage prepaid, and shall be deemed to have been
delivered and received on the date of personal delivery or five days after deposit in the
mail, if sent to the following addresses:
City: Affordable Housing Coordinator
City of Ashland
20 E. Main Street
Ashland, Oregon 97520
OWNER: Rogue Valley Habitat for Humanity
2233 S Pacific Hwy/PO Box 688
Medford, OR 97501
The addresses above may be changed by notice given pursuant to this paragraph.
11. Waiver. No condition of this Covenant or of the note or trust deed shall be deemed
waived unless expressly waived in writing by City.
12. Amendment. This Covenant may be amended upon mutual agreement in writing
signed by the City of Ashland and the Owner or the Owner's successor in interest as the
case may be.
13. Bindina Effect. Throughout this Covenant, the terms"Owner" and "You" refer
individually and collectively to all persons who sign this Covenant and all persons
signing this Covenant shall be jointly and severally liable for its obligations.
14. Attorneys' Fees. With respect to any dispute relating to this Covenant, or in the
event that a suit, action, arbitration, or other proceeding of any nature whatsoever,
including (without limitation), any proceeding under the U.S. Bankruptcy Code and
involving issues peculiar to federal bankruptcy law or any action seeking a declaration
of rights or an action for rescission, is instituted to interpret or enforce this Covenant or
any provision of this Covenant, the prevailing party shall be entitled to recover from the
losing party its reasonable attorneys', paralegals', accountants' and other experts' and
professional fees and all other fees, costs and expenses actually incurred and
reasonably necessary in connection therewith including (without limitation) deposition
and expert fees and costs incurred in creating exhibits and reports, as determined by
the judge or arbitrator at trial or other proceeding, or on any appeal or review, in addition
to all other amounts provided by law. As used in this Covenant, the "prevailing party"
shall be that party in whose favor the balance of the issues was decided. In making the
determination of who is the prevailing party, the parties agree that an award of money
damages shall be one factor in the judge's, arbitrator's or other authority's decision but
shall not be the only factor. Other factors for the judge, arbitrator or other authority to
consider shall include, but not be limited to, the number, size and importance of claims
asserted by the party in whose favor a monetary award was made but on which the
party did not prevail, the size of any monetary award in relation to the amount requested
and the resolution of nonmonetary issues. To aid in the judge's, arbitrators, or other
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authority's determination of who is the prevailing party and the reasonableness of the
award of attorneys' fees, the judge, arbitrator or other authority shall be entitled to
compare his/her final award to the parties' settlement offers made in writing prior to the
arbitration hearing. For purposes of this Covenant, the term attorney fees include all
charges of the prevailing party's attorneys and their staff(including without limitation
legal assistants, paralegals, word processing, and other support personnel) and any
post petition fees in a bankruptcy court. For purposes of this Covenant, the term fees
and expenses include but is not limited to long-distance telephone charges; expenses of
facsimile transmission; expenses for postage (including costs of registered or certified
mail and return receipts), express mail, or parcel delivery; mileage and all deposition
charges, including but not limited to court reporters' charges, appearance fees, and all
costs of transcription; and costs incurred in searching records.
OWNER:
By: Nmg Date:
U
State of Oregon
County of Jackson
This instrument was acknowledged before me on 2026,
by vuv Md
OFFICIAL STAMP
BRANDON DEAN THOMS
NOTARY PUBLIC-OREGON Notary Public for Oregon
COMMISSION NO.1068358 My commission pires:
MY COMMISSION EXPIRES APRIL 29,2029 ex
CITY:
Date:,10
Sabrina Cofta,city Manager
State of Oregon
County of Jackson
This instrument was acknowledged before me on
0 2026,
by as jP
Ashland�d4jon. of the City of
OFFICIAL STAMP
A'WSA NICOLE KOLOW11110 I A
NOTARY PUBLIC-OREGON
COMMIS81ON NO.1049800 146fary—ON—icFor dregon
#16COWAMMOWSWO1.20 My commission expires:
Page 12 of 12
EXHIBIT A
Order No.: 470326097730
Lot 3 in Rogue Corner Subdivision in the City of Ashland, Oregon, according to the Official Plat thereof,
recorded in Volume 52, Page 12, of the Plat Records in Jackson County, Oregon