HomeMy WebLinkAbout2006-055 Resale Restriction - Rich
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01188837200600205740070076
I, Kathleen S. Beckell, County Clerk for Jackson
certify that the Instrumentldentlned h I County, Oregon,
records. ere n was recorded In the Clerk
Kathleen S. Beckett - County Clerk
When Recorded Return Original to:
Barbara Christensen, City Recorder
20 East Main Street, Ashland. Oregon 97520
CITY OF ASHLAND AFFORDABLE HUU::iINu
RESALE RESTRICTION COVENANT
Owner: Anne C. Rich
Property Address: 905 Larkin Lane
Ashland, OR 97520
Agreement date: L/ /11 /200 (p
Maximum Purchase Price as of April
2006 ad'usts annual! : $148,989
Date of Purchase: 4 /3 /ZOOl..P
Covenant Agreement 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").
This Covenant Agreement assumes the duties and obligations under the City of
Ashland Affordable Housing Resale Restriction Covenant dated May 20, 2004, entered
into by and between the City of Ashland and Lynn Henricksen, being recorded in the
official records of Jackson County as record number 2004-028759 in the County of
Jackson, State of Oregon, on May 24,2004. RECORDED BY LAWYERS TITLE INS. CORP. AS AN
ACCOMMODATION ONLY. NO LIABILITY IS ACCEPTED
REC IT ALS: FOR THE CONDITION OF TITLE OR FOR THE VALIDITY,
SUFFICIENCY. OR EFFECT OF THIS DOCUMENT.
A. The home referred to in this covenant agreement is described more fully on
the attached Exhibit A.
B. Sale or rental of the home is subject to certain restrictions which require that
the home be sold to an eligible moderate-income household, or rented to an eligible
low-income household, pursuant to the City's Affordable Housing Program ("Program").
The Owner shall transfer or rent the home only to an eligible household where the
purchaser or renter intends to live, and actually does live, in the home as a primary
residence.
C. The resale or rental restrictions were imposed on this home when the home was
converted from one of ten apartment units into a condominium. Three of the
condominium units, which includes this home, are to remain affordable in accordance
with the requirements of Chapter 18.24.030.J of the Ashland Municipal Code. The
Owner understands that signing this Covenant Agreement and complying with its terms
are necessary to permit the City to fulfill its affordable housing goals. This covenant
agreement fulfills condition 5 of PLANNING ACTION 2002-140 that required the
applicant in that planning action to sign an agreement prepared by the City of Ashland
stipulating that one of the units, as identified in the condominium bylaws, comply with
PAGE 1-RESALE RESTRICTION COVENANT '. (
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the Program established by the City of Ashland for purchase or rental housing for a
period of not less than 20 years. The agreement is to be recorded in the deed records.
City and Owner agree:
1. Occupancy Requirement. You agree and acknowledge that the City's acceptance
of your participation in the Program and sale of the home is conditioned upon
continuing occupancy of the home by qualified moderate-income households. Rental of
the home is conditioned upon continued occupancy of the home by qualified low-
income households. For purposes of this agreement, continuing occupancy includes
renting of the home by the Owner to others provided the renting household is qualified
under the City's affordable rental program income limits and the rental costs do not
exceed the limits established under the rental program.
2. Transfer of Home. Except as provided in paragraph 3, you agree to "transfer" the
home consistent with this agreement and the provisions of Ashland City Council
Resolution 93-39 including amendments, if any.
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 Agreement 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 Agreement in writing, or sign an agreement
substantially similar to this Covenant Agreement, prior to the transfer of the
home. If the purchaser or transferee fails to assume this Covenant Agreement or
execute and deliver a substantially similar agreement to the City prior to the sale
or transfer, then the sale or transfer shall be considered void and the City may
enforce any of its remedies as contained in section 3.2.7 below.
Recording of the covenant agreement in the official 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 Agreement.
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
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is either an "exempt transfer" or a "qualified transfer" as provided in this paragraph,
such transfer shall not be considered a violation of this agreement.
3.1. Exempt transfer. An "exempt transfer" is:
3.1.1. A transfer by the Owner of a home being rented to a low-income
household under the Program to a transferee who will continues to rent the
home under the Program
3.1.2. A taking of title by a surviving joint tenant; a court-ordered transfer
of title to a spouse as part of a dissolution proceeding; or an acquisition of title,
or of any interest in the title, in conjunction with marriage. If title is taken as
described in this paragraph, and the home is being rented to a low-income
household under the Program, the transfer is only exempt if the transferee will
continues to rent the home under the Program.
3.1.3. A refinancing of the existing purchase money first mortgage or trust
deed encumbering the home by securing a new first mortgage or trust deed on
the home in an amount not greater than the then present balance of the first
mortgage or trust deed plus applicable loan fees and closing costs. An exempt
transfer also includes a home equity loan secured by a third mortgage or trust
deed on the home, which shall be subordinate to this note and the trust deed
securing it, provided that the proceeds of such home equity loan shall only be
used for improvements to the home, including landscaping.
3.2. Qualified transfer. A "qualified transfer" is a transfer to an eligible
buyer under the Program for a sales price that does not exceed the affordable
housing purchase price as determined by Ashland City Council Resolution
number 93-39 including amendments, if any. A qualified transfer shall include the
rental of the home to an eligible household as determined by Ashland City
Council Resolution number 93-39 including amendments, if any. At least 30 days
prior to the transfer, you shall provide the following information to the City:
3.2.1. The name, address and telephone number of the proposed buyer
or renter(s);
3.2.2. A financial statement signed by the proposed buyer and his or her
spouse, if any, in a form acceptable by the City and accompanied by such
supporting documentation as requested by the City. Use of the property, as a
rental, requires all members of the rental household provide income verification
documentation to the City to qualify as an eligible renter. The financial
information shall be used by the City to determine the income eligibility of the
proposed buyer. To be an eligible buyer under the Program, a buyer shall certify
that he or she will occupy the home as his or her principal home. The buyer and
all other members of the buyer's household shall meet the income guidelines
established from time to time by the City for participation in its affordable housing
program.
F'AC,E 3-RESALE RESTRICTiON COVENANT ..,
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3.2.3. A copy of the proposed sales agreement or rental agreement and
all related documents, which set forth the terms of the transfer;
3.2.4. A written certification signed by the proposed buyer or renter(s) and
you in a form acceptable to the City stating that:
3.2.5. 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;
3.2.6. Neither the proposed buyer nor any other party has paid or will pay
to you or for your benefit, and you have not received nor will you receive from the
proposed buyer, renter(s), or any other party, either directly or indirectly or for
your benefit, money or any other consideration in addition to what is set forth in
the sales agreement and related documents;
3.2.7. In the event that a transfer is made in violation of the terms of this
agreement, 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 sales agreement, or rental
agreement, or to declare the sale void notwithstanding the fact that the sale may
have closed and become final as between the buyer and you.
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 paragraph 3.2. 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. Priority and Effectiveness of this Covenant Aareement. This Covenant
Agreement, or a memorandum of this agreement, 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 Agreement 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.
6. Term of Aareement. The restrictions contained in this Covenant Agreement shall
continue for a period of 20 years from the May 24, 2004.
7. Survival of Aareement Upon Transfer. The City's rights under this Covenant
Agreement shall survive any transfer of the home by you.
8. Notices. Except as otherwise specified in this Covenant Agreement, all notices
required to be sent pursuant to this Covenant Agreement shall be made by personal
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F'N~E 4-RESALE RESTRICT ON i.::NENA!\T
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:
Anne C. Rich
905 Larkin Lane
Ashland Or, 97520
The addresses above may be changed by notice given pursuant to this paragraph.
9. Waiver. No condition of this agreement or of the note or trust deed shall be deemed
waived unless expressly waived in writing by City.
10. Amendment This Covenant Agreement may be amended upon mutual agreement
in writing signed by the City of Ashland and the Owner or the Owner's successor in
interest.
11. Default. A default shall occur if you fail to perform or observe any of the provisions
of this Covenant Agreement. If any default occurs, City may, at its option, require you to
rescind any sale or rental, or the City may seek specific performance of this Covenant
Agreement by suit in equity. The remedies provided above shall be nonexclusive and in
addition to any other remedies provided by law.
12. Bindina Effect. Throughout this Covenant Agreement, the terms "Owner" and
"you" refer individually and collectively to all persons who sign this Agreement and all
persons signing this Covenant Agreement shall be jointly and severally liable for its
obligations.
13. Attornevs' fees. If either party is required to initiate legal proceedings to enforce its
rights under this Covenant 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.
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OWNER:
~J(L e. r6ch
Date: '11/ -6&J.
State of Oregon
County of Jackson
This in trument w)ls a ,nowledged before me on !Jpri I II , 2006,
by rlt c! "e 'cmd
OFFICIAL SEAL
JAMILA M. BAKER
NOTARY PUBLIC-oREGON
COMMISSION NO. 379448
MY COMMISSION eXPIRES MAY 11, 2008
/~. ~
( .#ltJiJ~~/
Notary ubllc for Oregon 1/ J
My commission expires: f ~ J",;J{)rJ{
CITY:
Date:
<t/t'1/~
I I
State of Oregon
County of Jackson
This instrument was acknowledged before me on Aprl , ,y
by r;;1t\Jo 610 IYlALD I as C-ITY ADtvll "'1~T~.Alor~
Ashland, Oregon.
, 2006,
of the City of
_OFFICIAL SEAL
NANCY SNOW
NOTARY PUBLlC-OREGON
COMMISSION NO. 384506
MY COMMISSION EXPIRES SEPT. 08, 2008
L/I.l),1U!-~ ~,c)
Notary Public for Oregon
My commission expires: Q-<6-08
FACE a.RESALE RESTRICTiON COVENANT ( -
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OrderNo.40g0403518
"EXHIBIT A"
Unit Two (2), of LARKIN LANE CONDOMINIUM, in the City of Ashlnad, Jackson County,
Oregon, as set forth on the plat and declaration recorded in Volume 30, Page 40, Plat
Records; and as set forth in Condominium Declaration recorded June 25, 2004 as No. 2004-
035873, Official Records; together with those limited common elements appurtenant to said
Unit as set forth in said declaration; and together with an undivided fractional ownership of
the general common elements of said Condominium as set forth in the said Declaration and
in any subsequent amendments thereto as appurtenant to said Unit.
(Account 10978811, Levy Code 5-01, Map 391E09DA - 90003
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