HomeMy WebLinkAboutCD Affordable Housing Agreement for 211-215 Belle AvenueRECORDING REQUESTED By and
WHEN RECORDED MAIL TO:
City of San Rafael
Attn: City Clerk
1400 Fifth Avenue
San Rafael, Ca 94901
No fee for recording pursuant to
Government Code Section 27383
1111111 Iflll VIII VIII Ilii 111111 9IIIl VIII VIII VIII VIII IINI IIII IIII
2020-00051..31
Recol (kr1
Official Rl9r:Urri;
Col InLy of
Mardi
SHELLY
r>I..Recnrder.
0:L01PM 07•
REC FEE 0.00
CONFORMED COPY 0.00
a.
Pay. 1 aF 28
REGULATORY AGREEMENT AND DECLARATION OF RESTRICTIVE COVENANTS
(Below Market Rate Rental Unit Agreement with No Condominium Map; Density Bonus Law)
Development Name:
Location: 211-215 Belle Avenue, San Rafael (APN 014-065-05)
Owner: Ignoffo Family Trust
This Regulatory Agreement and Declaration of Restrictive Covenants (the "Agreement") is made and entered
into this V-`� day of CGbw , .2-019 , among the CITY OF SAN RAFAEL, a municipal
corporation ("City"); "), the HOUSING AUTHORITY OF THE COUNTY OF MARIN, a public body,
corporate and politic, created under the Housing Authority Law of the State of California ("Marin Housing
Authority"); and The Ignoffo Family Trust or any of their successors in interest (collectively the "Owner"),
collectively the "Parties".
RECITALS
A. The City has adopted a density bonus ordinance (Section 14.16.030.H of the San Rafael
Municipal Code) (the "Density Bonus Ordinance") to conform with state density bonus law (Government Code
Sections 65915 — 65918) (together "Density Bonus Law"). Density Bonus Law allows a density bonus,
concessions, and other regulatory incentives when an Owner proposes to provide rental housing affordable to
Very Low Income or Low -Income Households, as defined below.
B. Owner is the owner of certain real property located at 211-215 Belle Avenue, San Rafael,
County of Marin, California, which is more particularly described in attached Exhibit A incorporated herein by
this reference (the "Property"). In consideration of certain valuable land use and economic benefits conferred
by the City upon the Property under Density Bonus Law, Owner, for itself, its successors, heirs, grantees and
assigns, hereby agrees to comply with the requirements of Density Bonus Law as applied to the Property.
C. The Property contains a two, main structures containing four (4) residential units and one,
cottage, which is presently used as a studio. The Owner desires to legalize the cottage as a dwelling unit to be
rented to a Low -Income household (the "Affordable Unit") for the Density Bonus Term as defined below. The
Property zoning and City General Plan land use designation allow a maximum development of four (4)
residential units on the Property. Therefore, legalization of the cottage structure as an additional, fifth dwelling
unit on the Property requires the approval of a Density Bonus.
'i - I - two
D. Under Density Bonus Law, Owner has applied for, and the City has granted, the following
regulatory incentives in exchange for the Owner's provision of the Affordable Unit:
• One Concession, which is the provision of one, uncovered off-street parking space for the one -
bedroom cottage unit.
Any Concession(s), Waiver(s), or Parking- Reduction incorporated into the Development are collectively
"incentives."
E. Density Bonus Law requires the City to ensure, and the Owner to agree to, continued
affordability of the Affordable Unit for the Density Bonus Tenn. To ensure their continued affordability forthe
Density Bonus Tenn, this Agreement shall be executed and recorded against the Property prior to issuance of
all City building permits necessary to convert the cottage from a studio to a dwelling unit.
F. Owner acknowledges and agrees that the Project Approvals provided adequate and proper
notice pursuant to Government Code Section 66020 of Owner's right to protest any requirements for fees,
dedications, reservations, and other exactions as may be included in this Agreement, that no protest in
compliance with Section 66020 was made within ninety (90) days of the date that notice was given, and that
the period has expired in which Owner may protest any and all fees, dedications, reservations, and other
exactions as may be included in this Agreement.
G. Marin Housing Authority is authorized by law to participate in programs that provide housing
for households of very low, low, and moderate income. The City has contracted with Marin Housing Authority
to administer the City's affordable housing program.
NOW THEREFORE, it is hereby agreed by and between the Parties hereto as follows:
AGREEMENT
The Parties agree and acknowledge that the above recitals are true and accurate and are incorporated
into this Agreement by this reference.
1. Definitions and Exhibits
1.1 Definitions. In addition to those terms defined in the Recitals and in other sections of this
Agreement, the following terms are specially defined for the purposes of this Agreement:
A. "Affordable Rent" is the maximum allowable Rent for an Affordable Unit that does
not exceed: (ii) for Low Income Households, is equal to or less than one -twelfth (1 /12) of thirty percent (30%)
of seventy percent (70%) of Area Median Income, assuming a two person household; and (iii) for Median
Income Households, is equal to or less than one -twelfth (1/12) of thirty percent (30%) of one hundred percent
(100%) of Area Median Income, as adjusted for Assumed Household Size. Affordable Rent cannot exceed the
rent for Market Rate Units. An example of the calculations and methodology to be used to determine the
Affordable Rent is illustrated in Exhibit B attached hereto.
B. "Area Median Income" means median yearly income in Marin County as published
pursuant to California Code of Regulations, Title 25, Section 6932, or successor provision.
C. "Assumed Household Size" shall be based on presumed maximum occupancy levels
of one person in a studio apartment, two (2) persons in a one -bedroom unit, three (3) persons in a two-bedroom
unit, and one additional person for each additional bedroom thereafter.
D. "Density Bonus Term" is the period that commences when the City, Marin Housing
Authority, and the Owner record the Regulatory Certificate described in Section 5 and that terminates fifty-five
(55) years after the date of the recordation of the Regulatory Certificate.
E. "Eligible Household" is a household which has been determined to be eligible to rent
an Affordable Unit in compliance with Density Bonus Law and this Agreement.
F. "Household Income" is the combined, gross, pre-tax income of all occupants of the
applicant household, including the income of any co -signors on the lease.
G. "Low Income Affordable Unit" means an Affordable Unit reserved for occupancy by
Low Income Households at an Affordable Rent.
H. "Low Income Household" means a household whose Household Income does not
exceed the lower income limits applicable to Marin County, adjusted for household size, as published annually
by the California Department of Housing and Community Development; generally, a household with a
Household Income between fifty percent (50%) and eighty percent (80%) of Area Median Income, adjusted for
actual household size.
I. "Market Rate Units" are Units which are not Affordable Units.
J. "Median Income Household" means a household whose Household Income does not
exceed the Area Median Income applicable to Marin County, adjusted for household size, as published
annually by the California Department of Housing and Community Development; generally, a household with
a Household Income between eighty percent (80%) and one hundred percent (100%) of Area Median Income,
adjusted for actual household size.
K. "Rent" is the total of monthly payments as calculated by the Marin Housing Authority
and paid by the Tenant of an Affordable Unit for all of the following: (1) use and occupancy of the Affordable
Unit and land and all facilities associated with the Affordable Unit, including but not limited to parking,
bicycle storage, storage lockers, and use of all common areas; (2) any separately charged fees or service
charges assessed by the Owner which are required of all tenants of Units in the Project, except security
deposits; (3) an allowance for utilities paid by the Tenant as established by the Marin Housing Authority,
including garbage collection, sewer, water, electricity, gas and other heating, cooking and refrigeration fuel, but
not telephone service or cable TV; and (4) any other interest, taxes, fees or charges for use of the land or
associated facilities that are assessed by a public or private entity other than the Owner and paid by the Tenant.
L. "Tenant" is a household occupying an Affordable Unit pursuant to a valid lease or
rental agreement with the Owner.
M. "Tenant Lease" is defined in Section 3.4.
N. "Very Low -Income Household" means a household whose Household Income does
not exceed the very low income limits applicable to Marin County, adjusted for household size, as published
annually by the California Department of Housing and Community Development; generally, a household with
a Household Income at or below fifty percent (50%) of Area Median Income.
O. "Very Low -Income Affordable Unit" means an Affordable Unit reserved for rent by
Very Low -Income Households at an Affordable Rent.
1.2 Exhibits. The following exhibits are attached to and incorporated into this Agreement:
Exhibit A
Legal Description of the Property.
Exhibit B
Sample Calculation of Affordable Rent.
Exhibit C
Household Income Certification.
Exhibit D
Certificate of Continuing Compliance.
Exhibit E
Notice of Commencement of Density Bonus Term
2. Construction of Development and Affordable Unit
2.1 Satisfaction of Affordable Housing Requirement. The Affordable Housing Requirements
shall be satisfied with respect to the Property if (a) the Owner legalizes the conversion of the cottage to a
dwelling unit; and (b) Owner offers cottage for rent as an Affordable Unit to an Eligible Household in
compliance with Section 3 below.
2.2 Affordable Unit. To satisfy Owner's affordable housing requirements for the Development
under Density Bonus Law and the Density Bonus Ordinance, at initial occupancy of the Development, Owner
shall rent one (1) Affordable Unit to a Low -Income Household at Affordable Rents, as specified in Section 3
below, for the Density Bonus Term.
2.3 Location of Affordable Unit. The Affordable Unit shall be maintained on the Property in the
location(s) shown or described in Exhibit B attached hereto.
3. Rent Regulatory Provisions
The provisions of this Section 3 are applicable until the expiration of the Density Bonus Tenn.
3.1 Affordability and Occupancy Covenants.
A. Occupancy Requirements. Subject to the provisions of Section 3.2 below, the
Affordable Unit shall be rented to and occupied by or, if vacant, available for occupancy by, a Low -Income
Household. The Affordable Unit shall not be kept vacant or used for any purpose except for residential use
and, when vacant, shall be offered for rent to Eligible Households at Affordable Rent.
B. Allowable Rent. Subject to the provisions of Section 3.2 below, the maximum Rent
charged to Tenants of the Affordable Unit shall not exceed Affordable Rent.
C. Approval of Rents. Initial Rent for the Affordable Unit shall be approved by the Marin
Housing Authority prior to occupancy at the time the Owner submits the marketing plan required by Section
4.2 below. Marin Housing Authority shall review all proposed Rent increases to detennine whether the
proposed increases are consistent with the provisions of this Agreement. Owner shall certify to Marin Housing
Authority that Owner is not charging any fee other than Affordable Rent to Tenants of the Affordable Unit for
all the components of Rent defined in Section 1.1 above.
4
D. Schedule of Affordable Rents. The City has provided the Owner with a schedule of
Affordable Rents for the Affordable Unit in effect on the date of this Agreement, set forth in attached Exhibit
B. Marin Housing Authority annually determines Affordable Rents (including utility allowances) based on
changes in Area Median Income and utility allowances, and Owner shall obtain a copy of the schedule from
Marin Housing Authority.
3.2 Increased Income of Tenants.
A. Increase from Low Income to at or below Median Income. If, upon annual
recertification of a Tenant's Household Income, the Owner determines that a former Very Low Income or Low
Income Household's Income has increased and exceeds the qualifying income for a Very Low Income or Low
Income Household, but does not exceed the qualifying limit for a Median Income Household, then, upon
expiration of the Tenant's lease and after thirty (3 0) days written notice to the Tenant, the Tenant's rent may be
increased to Affordable Rent for Median Income Households.
B. Increase from Low Income, or Median Income to Above Area Median Income. If,
upon recertification of a Tenant's Household Income, the Owner determines that the Tenant's Household
Income has increased and exceeds the qualifying income for a Median Income Household, then the Tenant
shall be given written notice that: (i) Tenant's Rent shall be increased sixty (60) days after the date in the notice
to an amount to be determined by Owner but not to exceed Rent for a comparable Market -Rate Unit; and (ii)
Tenant shall vacate the Affordable Unit six (6) months from the date of the notice or upon expiration of the
Tenant's lease, whichever is later. If, prior to the date by which the Tenant must vacate the Affordable Unit,
another Unit is vacated which is not designated as an Affordable Unit and is of appropriate bedroom size, the
Owner may, at the Owner's option, request the City to approve a change in the location of the Affordable Unit;
allow the Tenant to remain in the original Unit; and designate the newly vacated Unit as an Affordable Unit if
approved by the City.
3.3 Agreement to Limitation on Rents. The Development has received Incentives from the City
under the Density Bonus Law and the Density Bonus Ordinance, which is a form of assistance specified in
Chapter 4.3 (commencing with Section 65915) of Division 1 of Title 7 of the Government Code. Sections
1954.52(b) and 1954.53(a) (2) of the Costa -Hawkins Act provide that, where an Owner has received such
assistance, certain provisions of the Costa -Hawkins Act do not apply if an Owner has so agreed by contract.
The Owner hereby agrees to limit Rents as provided in this Agreement in consideration of the Owner's receipt
of the Incentives and further agrees that any limitations on Rents imposed on the Affordable Unit are in
conformance with the Costa -Hawkins Act. The Owner further warrants and covenants that the terms of this
Agreement are fully enforceable.
3.4 Lease Provisions. The Owner shall use a form of Tenant lease (the "Tenant Lease") approved
by the City for the Affordable Unit. The City shall not withhold approval from any form that:
A. provides that the Tenant's Household Income is subject to annual certification;
B. provides for termination of the lease for failure: (1) to provide any information
required under this Agreement or reasonably requested by the Owner to establish or recertify the Tenant's
qualification, or the qualification of the Tenant's household, as an Eligible Household in accordance with this
Agreement, or (2) to qualify as an Eligible Household as a result of any material misrepresentation made by
such Tenant with respect to the Household Income computation or certification;
C. provides that the Rent may not be raised more often than once every twelve (12)
months. The Owner will provide each Tenant with at least sixty (60) days written notice of any increase in
Rent applicable to such Tenant;
D. prohibits subleasing of the Affordable Unit or any portion of the Affordable Unit or
any spaces reserved for the use of the Tenant, contain nondiscrimination provisions, and includes the Tenant's
obligation to inform the Owner of any need for maintenance or repair;
E. includes reasonable rules of conduct consistent with California law;
F. allows termination of the tenancy only for an increase in Tenant's Household Income
above qualifying income for Low Income Households or for good cause, including violation of the terns and
conditions of the Tenant Lease, violations of applicable federal, state, or local law, or other good cause;
G. includes at Owner's option, the obligation for Tenant to provide a security deposit not
exceeding one months' rent.
4. Income Certification. Resorting. and Annual Fee.
4.1 Prohibition on Discrimination in Tenant Selection (Section 8 Vouchers and Certificate
Holders). The Owner will review applications from prospective tenants of the Affordable Unit, on the same
basis as all other prospective tenants, of persons who are recipients of federal certificates for rent subsidies
pursuant to the existing housing program under Section 8 of the United States Housing Act or any successor.
The Owner shall not apply selection criteria to Section 8 certificate or voucher holders that are more
burdensome than criteria applied to all other prospective tenants for the Affordable Unit, nor shall the Owner
apply or permit the application of management policies or lease provisions with respect to the Development
which have the effect of precluding occupancy of Affordable Unit by such prospective tenants.
4.2 Income Certification. Upon initial occupancy and annually thereafter, the Owner will obtain,
complete and maintain on file Household Income certifications (Exhibit C), or a similar form as may be
approved by the City, for each Tenant renting the Affordable Unit. Owner shall make a good faith effort to
verify that the Household Income certifications provided by a Tenant is accurate by taking two or more of the
following steps as a part of the verification process for all members of the Tenant household age eighteen (18)
or older: (a) obtaining a minimum of the three (3) most current pay stubs; (b) obtaining an income tax return
for the most recent tax year including copies of any income tax returns where the Tenant is claimed as a
dependent; (c) conducting a credit agency or similar search; (d) obtaining the three (3) most current savings
and checking account bank statements; (e) obtaining an income verification form from a current employer; (f)
obtaining an income verification form from the Social Security Administration and/or the California
Department of Social Services if an adult member of the Tenant's household receives assistance from either of
such agencies; or (g) if the Tenant is unemployed and has no such tax return, obtain another form of
independent verification: The Owner shall maintain copies of annual Household Income certifications and to
maintain that form on file for a minimum of five years and shall permit the City or their designee to inspect the
household income certifications at the Owner's office upon three days' notice. The Owner shall provide any
additional information reasonably requested by the City or its designee.
4.3 Annual Report. The Owner shall submit to the City and Marin Housing Authority by June 30
of each year a report, in a form prescribed by or otherwise acceptable to the City, verifying compliance by
Owner with the terns of this Agreement and certified as correct by the Owner under penalty of perjury. Exhibit
6
D Certification of Continuing Compliance, or a similar form as may be approved by the City, may be used to
meet this requirement. The annual report shall include without limitation the following information:
A. Certifications of eligibility for all Tenants of the Affordable Unit at the time of initial
occupancy and upon the yearly anniversary of their continuing tenancies.
B. Verified Household Income statements. Owner shall retain in the Tenant's file all
verifications of Tenant's Household Income.
C. Number of persons in each Affordable Unit.
D. Certification of the amount of Rent charged for the year for the Affordable Unit.
E. Certification that Owner is not charging any fee other than Affordable Rent to Tenants
of the Affordable Unit for all the components of Rent defined in Section 1.1 above.
F. Other information reasonably required by the City.
4.4 Other Reports. Within fifteen (15) days after receipt of a written request, Owner shall provide
any other information or completed forms requested by the City or Marin Housing Authority to ensure
compliance with this Agreement.
4.5 Records. The Owner shall maintain complete, accurate, and current records pertaining to the
Units for five (5) years after creating such records and shall permit any duly authorized representative of the
City or Marin Housing Authority to inspect and copy such records, including the records pertaining to
Household Income and household size of Tenant households.
4.6 Annual Monitoring fee. The Owner agrees to pay to the City during the Density Bonus Tenn
an annual monitoring fee payable on or before June 30 of each year as established by the City. The initial
annual monitoring fee is shown on Exhibit D.
5. Commencement of Density Bonus Term. The Density Bonus Term shall commence on the date that
the Owner, City, and Marin Housing record a Notice stating that the Affordable Unit is rented and occupied by
an Eligible Household. Such notice shall identify the beginning and end dates of the Density Bonus Term
(Exhibit E).
6. Management of Property and Property Maintenance.
6.1 Management Responsibilities. The Owner is responsible for all management functions with
respect to the Development, including, without limitation, the annual recertification of household size and
Household Income (subject to review by the City or its assignee), selection of Tenants, maintenance of a
waiting list for the Affordable Unit, evictions, collection of Rents and deposits, maintenance, landscaping,
routine and extraordinary repairs, replacement of capital items, and security. The City and Marin Housing
Authority shall have no responsibility over management of the Development.
6.2 Properly Maintenance. The City places prime importance on quality maintenance to ensure
that all developments within the City which include affordable housing units are not allowed to deteriorate due
to below-average maintenance. Owner shall provide the Affordable Unit with the same level and quality of
maintenance, including performance of repairs and periodic replacement of fixtures, as the Market -Rate Units.
7
The Owner agrees to maintain all interior and exterior improvements, including landscaping, on the Property in
good condition and repair (and, as to landscaping, in a healthy condition) and in accordance with all applicable
laws, rules, ordinances, orders and regulations of all federal, state, county, municipal, and other governmental
agencies and bodies having or claiming jurisdiction and all their respective departments, bureaus, and officials.
6.3 Remedies. In the event that the Owner breaches any of the covenants contained in this Section
6 and such default continues for a period of ten (10) days after written notice from the City specifying the
nature of the breach with respect to graffiti, debris, waste material, or a health or safety violation, or thirty (30)
days after written notice from the City specifying the nature of the breach with respect to general maintenance,
landscaping and building improvements, then the City, in addition to whatever other remedy it may have at law
or in equity, shall have the right (but is not required) to enter upon the Property after ten (10) days' prior written
notice to the Owner describing the nature of the City's intended actions and to perform or cause to be
performed all acts and work necessary to protect, maintain, and preserve the improvements and landscaped
areas on the Property, as specified in a correction plan approved by the City, and to attach a lien on the
Property, or to assess the Property, in the amount of the expenditures incurred by the City or its agents arising
from such acts and work of protection, maintenance, and preservation by the City and/or costs of such cure,
plus an administrative charge equal to fifteen percent (15%) of the amount of such expenditures (the
expenditures plus the administrative charges are the "Correction Costs"), if Owner does not remit the full
amount of the Correction Costs to the City within thirty (30) days after City notifies Owner of the full amount
of the Correction Costs.
6.4 Taxes and Assessments. Owner shall pay all real and personal property taxes, assessments, if
any, and charges and all franchise, income, employment, old age benefit, withholding, sales, and other taxes
assessed against it, or payable by it, at such times and in such manner as to prevent any penalty from accruing,
or any lien or charge from attaching to the Property; provided, however, that Owner shall have the right to
contest in good faith, any such taxes, assessments, or charges. In the event Owner exercises its right to contest
any tax, assessment, or charge against it, Owner, on final detennination of the proceeding or contest, shall
immediately pay or discharge any decision or judgment rendered against it, together with all costs, charges and
interest.
6.5 Damage or Destruction of Development. If all ofthe Units on the Property are demolished, the
incentives granted to Owner under Density Bonus Law shall terminate and the teens of this Agreement shall
terminate and be of no further force and effect.
7. Enforcement
7.1 Covenants Running with the Land. The City, Marin Housing Authority, and Owner hereby
declare their express intent that the covenants and restrictions set forth in this Agreement shall apply to and
bind Owner and its heirs, executors, administrators, successors, transferees, and assignees having or acquiring
any right, title or interest in or to any part of the Property and shall run with and burden such portions of the
Property until teruninated in accordance with Section 7.2. Until all or portions of the Property are expressly
released from the burdens of this Agreement, each and every contract, deed or other instrument hereafter
executed covering or conveying the Property or any portion thereof shall be held conclusively to have been
executed, delivered, and accepted subject to such covenants and restrictions, regardless of whether such
covenants or restrictions are set forth in such contract, deed or other instrument. In the event of foreclosure or
transfer by deed -in -lieu of all or any portion of the Property prior to completion and sale of the Affordable
Unit, title to all or any portion of the Property shall be taken subject to this Agreement. Owner acknowledges
that compliance with this Agreement is a requirement of Density Bonus Law and the Project Approvals, and
that no event of foreclosure or trustee's sale may remove these requirements from the Property.
7.2 Release of Property from Agreement.
A. Prior to the expiration of the Density Bonus Term, Owner shall provide all
notifications required by Government Code Sections 65863.10 and 65863.11 or successor provisions and any
other notification required by any state, federal, or local law.
B. Upon the expiration of the Density Bonus Tenn, City and Marin Housing Authority
shall execute and record a release of the Development, the Property, and each Unit in the Development from
the burdens of this Agreement within thirty (30) days following written notice from the Owner, if at the time
the Owner is in compliance with all terms of this Agreement.
7.3 Default. Failure of the Owner to satisfy any of Owner's obligations under the terms of this
Agreement within thirty (30) days after the delivery of a notice of default from the City will constitute a default
under this Agreement and a failure to satisfy the Project Approvals and Density Bonus Law. In addition to
remedies for breach of this Agreement, the City or Marin Housing Authority, if authorized by the City, may
exercise any and all remedies available to it, including but not limited to:
A. withholding, conditioning, suspending or revoking any permit, license, subdivision
approval or map, or other entitlement for the Development, including without limitation final inspections for
occupancy and/or certificates of occupancy;
B. instituting against the Owner, or other parties, a civil action for declaratory relief,
injunction or any other equitable relief, or relief at law, including without limitation an action to rescind a
transaction and/or to require repayment of any funds received in connection with such a violation;
C. where one or more persons have received financial benefit as a result of violation of
this Agreement or of any requirement imposed under the Density Bonus Law, instituting legal action to recover
as necessary, a penalty in any amount up to and including the amount of financial benefit received, in addition
to recovery of the benefit received;
D. requiring the Owner or his/her successors in interest to the Property to pay the City
Rent or any other payment received by the Owner for the Affordable Unit from the date of any unauthorized
use of the Affordable Unit or in excess of Affordable Rent; and
E. Any other means authorized under the City of San Rafael Municipal Code, Density
Bonus Law, or any other federal or state statute.
7.4 Remedies Cumulative. No right, power, or remedy given to the City or Marin Housing
Authority by the terms of this Agreement or Density Bonus Law is intended to be exclusive of any other right,
power, or remedy; and each and every such right, power, or remedy shall be cumulative and in addition to
every other right, power, or remedy given to the City by the teens of this Agreement, Density Bonus Law, or
by any statute or ordinance or otherwise against Owner and any other person. Neither the failure nor any delay
on the part of the City or Marin Housing Authority to exercise any such rights and remedies shall operate as a
waiver thereof, nor shall any single or partial exercise by the City or Marin Housing Authority of any such right
or remedy preclude any other or further exercise of such right or remedy, or any other right or remedy.
0
7.5 Attorney's Fees and Costs. If either party initiates an action to enforce its rights under the
Agreement and elects at the initiation of the action to seek the recovery of attorneys' fees, the prevailing party
in such an action shall be entitled to an award of reasonable attorneys' fees and costs in addition to any other
recovery under this Agreement.
8. General Provisions
8.1 Appointment of Other Agencies. At its sole discretion, the City may designate, appoint or
contract with any other public agency, for-profit or non-profit organization to perform some or all of the City's
obligations under this Agreement.
8.2 Records. Owner shall retain all records related to compliance with obligations under this
Agreement for a period not less than five (5) years from the date of origination of such records and make them
available to City or Marin Housing Authority employees or others designated by the City for inspection and
copying on five (5) business days' written notice. The City and Marin Housing Authority shall be entitled to
monitor compliance with this Agreement and Density Bonus Law, and Owner shall cooperate with City
monitoring, including obtaining Tenant Rent and Household Income verification upon request of the City.
8.3 Nondiscrimination. The Affordable Unit shall be available for occupancy to members of the
general public. The Owner shall not give preference to any particular class or group of persons in renting the
Affordable Unit, except to the extent that the Affordable Unit is required to be rented to Eligible Households
and as required by this Agreement, including, without limitation, as set forth in Section 3 above; provided,
however, there shall be no discrimination against or segregation of any person or group of persons, on account
of race, color, creed, religion, sex, sexual orientation, marital status, national origin, source of income (e.g.,
SSI), age (except for lawful senior housing), ancestry, or disability, in the leasing, transferring, use, occupancy,
tenure, or enjoyment of any Unit nor shall the Owner or any person claiming under or through the Owner,
establish or permit any such practice or practices of discrimination or segregation with reference to the
selection, location, number, use, or occupancy of Tenants of any Unit or in connection with the employment of
persons for the construction, operation and management of the Development.
8.4 Hold Harmless. Owner will indemnify and hold harmless (without limit as to amount) City and
Marin Housing Authority and their elected officials, officers, employees and agents in their official capacity
(hereinafter collectively referred to as "Indemnitees"), and any of them, from and against all loss, all risk of loss
and all damage (including expense) sustained or incurred because of or by reason of any and all clairns,
demands, suits, actions, judgments and executions for damages of any and every kind and by whomever and
whenever made or obtained, allegedly caused by, arising out of or relating in any manner to the Development,
the Affordable Unit, or Owner's performance or non-perfonnance under this Agreement, including claims
pursuant to California Labor Code Section 1720 et seq., and shall protect and defend Indernnitees, and any of
them with respect thereto, except to the extent arising from the active negligency, sole negligence or willful
misconduct of the Indernnitees. The provisions of this Section shall survive expiration or other termination of
this Agreement or any release of part or all of the Property from the burdens of this Agreement, and the
provisions of this Section shall rernain in fiull force and effect.
8.5 Notices. All notices required pursuant to this Agreement shall be in writing and may be given
by personal delivery or by registered or certified mail, return receipt requested, to the Party to receive such
notice at the addressed set forth below:
10
To the City: City of San Rafael
Community Development Department
1400 Fifth Avenue
San Rafael, Ca 94915-1560
To the Owner: Ignoffo Family Trust
To Marin Housing Authority: Marin Housing Authority
Executive Director
4020 Civic Center Drive
San Rafael, CA 94903-4173
Any party may change the address to which notices are to be sent by notifying the other parties of the
new address, in the manner set forth above.
8.6 Integrated Agreement. This Agreement constitutes the entire Agreement between the Parties
and no modification hereof shall be binding unless reduced to writing and signed by the Parties hereto.
8.7 Each Party's Role in Drafting the Agreement. Each Party to this Agreement has had an
opportunity to review the Agreement, confer with legal counsel regarding the meaning of the Agreement, and
negotiate revisions to the Agreement. Accordingly, neither Party shall rely upon Civil Code Section 1654 in
order to interpret any uncertainty in the meaning of the Agreement.
8.8 Amendment of Agreement; Approvals and Consents.
A. Amendments to this Agreement, including any proposal to change any condition of
the Project Approvals, shall be subject to the review and approval of the decision-making body which
approved the Development. No amendment may be approved that is inconsistent with State law, the San Rafael
Municipal Code, or any adopted affordable housing guidelines. Upon approval, a new Agreement or
amendments to this Agreement, as appropriate, shall be executed and recorded.
B. The City has authorized the City Manager to execute this Agreement and has
authorized the City Manager to deliver such approvals or consents as are required by this Agreement. Marin
Housing Authority has authorized the Executive Director to execute this Agreement and has authorized
Executive Director to deliver such approvals or consents as are required by this Agreement. Any consents or
approvals required under this Agreement shall not be unreasonably withheld or made, unless it is specifically
provided that a sole discretion standard applies.
C. This Agreement, and any section, subsection, or covenant contained herein, may be
amended only upon the written consent of the City, Marin Housing Authority, and the Owner.
8.9 No Claims. Nothing contained in this Agreement shall create or justify any claim against the
City or Marin Housing Authority by any person that Owner may have employed or with whom Owner may
have contracted relative to the purchase of materials, supplies or equipment, or the furnishing or the
performance of any work or services with respect to the Property or the construction of the Development or
construction of the Affordable Unit.
11
8.10 Applicable Law and Venue. This Agreement shall be governed by California law. Venue for
any dispute arising out of this Agreement shall be Marin County.
8.11 Waivers. Any waiver by the City or Marin Housing Authority of any obligation or condition
in this Agreement must be in writing. No waiver will be implied from any delay or failure by the City or Marin
I lousing Authority to take action on any breach or default of Owner or to pursue any remedy allowed under
this Agreement or applicable law. Any extension of time granted to Owner to perform any obligation under
this Agreement shall not operate as a waiver or release from any of its obligations under this Agreement.
Consent by the City or Marin Housing Authority to any act or omission by Owner shall not be construed to be
consent to any other or subsequent act or omission or to waive the requirement for Marin Housing Authority's
or the City's written consent to future waivers.
8.12 Title of Parts and Sections. Any titles of the sections, subsections, or subparagraphs of this
Agreement are inserted for convenience of reference only and shall be disregarded in interpreting any part of
the Agreement's provisions.
8.13 Multiple Originals; Counterpart This Agreement may be executed in multiple originals, each
of which is deemed to be an original, and may be signed in counterparts.
8.14 Recording of Agreement. This Agreement shall be recorded against the Property in the
Official Records of the County of Marin prior to the recordation of any parcel map or final subdivision map or
issuance of any building permit for the Development, whichever occurs first.
8.15 Severability. In the event any limitation, condition, restriction, covenant, or provision
contained in this Agreement is to be held invalid, void or unenforceable by any courtofcompetent jurisdiction,
the remaining portions of this Agreement shall nevertheless be and remain in frill force and effect.
12
a
Exhibits. The following exhibits are attached to this Agreement:
Exhibit A
Legal Description of the Property.
Exhibit B
Unit Description and Sample Calculation of Affordable Rent.
Exhibit C
Household Income Certification.
Exhibit D
Certificate of Continuing Compliance.
Exhibit E
Notice of Commencement of Density Bonus Term
13
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the day
and year first above written.
OWNER:
Ignoffo Family Trust
MARIN HOUSING AUTHORITY:
Housing Authority of the County of Marin, a public
body, corporate and politic, created under the Housing
Authority Law of theajgf California
CITY:
City of San Rafael, a municipal corporation
By:.
Jim S hu z, City Mai g r
ATTEST:
Lin say Lara, City Clerk
APPROVED AS TO FORM:
By: r�
Lewis A. Jordan, Executive Director Robert F. Epstein, qity Attcvtney
14
ACKNOWLEDGMENT
A notary public or other officer completing this
certificate verifies only the identity of the individual
who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.
State of California
County of Marin )
On _Ilt-fld-VIbefore me, Brenna Kathleen Nurmi llG
//�� (insert name
/hsand title of the officer) [�
personally appeared �// l�'1 % 6 F/ � ®i�� f ,,��-� � / q 7)
who proved to me on the basis of satisfactory evidence to be the perso s whose na Me
subscribe to the within instrume and acknowledged to that/ane ey xecuted the san
r/ eir uthorized capacit ie , and that by'Awr/t eir ignatur (s n the instrument the
perso (s r the entity upon behalf of which the pers (s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.
WITNESS my hand and official seal.
:_
�.,�� BRENNA KATHLEEN NURMI
'` Notary Public - California
�• - Marin County >
Signature, Njt/(/I /L1 A (Seal) Commission ; 2297544
9
1 ' ' °`" , My Comm. Expires Jul 18, 2023
ACKNOWLEDGMENT
A notary public or other officer completing this
certificate verifies only the identity of the individual
who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.
State of California
County of Marin
On 1 21 201q before me,
Lindsay Faye Lara, Notary Public
(insert name and title of the officer)
personally appeared J %Vy*1, �!) �o utZ
who proved to me on the basis of satisfactory evidence to be the person($) whose name(,9)61are
subscribed to the within instrument and acknowled ed to me that Fie she/they executed the same in
OD/her/their authorized capacitylies7, and that by0'her/their signature(g) on the instrument the
persons,), or the entity upon behalf of which the person acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.
WITNESS my hand and official seal.
LINDSAY FAYE LARA
COMM. #2182818 z
Ow
Notary Public • California o
ZMarin CountySignature �'N `— (Seal)Comm. Expires Feb. 10, 20211
A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document to which this certificate is attached, and not the
truthfiilness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF MARIN
On t/"At, 64' Z D M , before me, JAro l T. kA—Zet t- nt h- , Notary Public,
personally appeared LjauA5 A. 3a+rd, who proved to me on the basis of
satisfactory evidence to be the person(s) whose name(s) War-& subscribed to the within instrument and
acknowledged to me that he/sheAhgy executed the same in his/4edt4eir authorized capacity(4@&), and that
by his/herJ. keif signatureW on the instrument the person(s-, or the entity upon behalf of which the
person(ky acted, executed the instrument.
I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Name: r t/T. ` ti
*My
CAROL J. KAZARIANNota Public
Notary arin C -California ryMarin County >
i Commission k 2243153
Comm. Expires Jun 15, 2022
A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document to which this certificate is attached, and not the
truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF MARIN
On _ -,before me, , Notary Public,
personally appeared , who proved to me on the basis of
satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that
by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the
person(s) acted, executed the instrument.
I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Name:
Notary Public
A notary public or other officer completing this certificate verifies only the identity of the !i
individual who signed the document to which this certificate is attached, and not the
truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF MARIN
On , before me, , Notary Public,
personally appeared , who proved to me on the basis of
satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that
by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the
person(s) acted, executed the instrument.
I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Name:
Notary Public
A notary public or other officer completing this certificate verifies only the identity ofthe
individual who signed the document to which this certificate is attached, and not the
truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF MARIN
On , before me, , Notary Public,
personally appeared who proved to me on the basis of
satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that
by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the
person(s) acted, executed the instrument.
I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Name:
Notary Public
A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document to which this certificate is attached, and not the
truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF MARIN
On , before me, , Notary Public,
personally appeared , who proved to me on the basis of
satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that
by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the
person(s) acted, executed the instrument.
I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Name:
EXHIBIT A
LEGAL DESCRIPTION OF PROPERTY
_ LOT 9, BLOCK "C" AS SHOWN UPON THAT
CERTAIN MAP ENTITLED "MAP NO, 1 OF SAN RAFAEL DEVELOPMENT COMPANY,"
FILED FOR RECORD APRIL 25, 1908 IN VOLUME 2 OF MAPS, AT PAGE 116, MARIN
COUNTY RECORDS. APN 014-065-05 Address: 211-215 Belle Avenue, San Rafael, CA
211-215 BELLE AVENUE
APN 014-065-05
EXHIBIT B
UNIT DESCRIPTION AND SAMPLE CALCULATION OF AFFORDABLE RENT
TOTAL NUMBER OF VERY LOW AND LOW INCOME UNITS: One
One 1 Bedroom unit @ Low Income.
ALLOWABLE RENT CALCULATION (MAXIMUM RENT): Housing expense includes
utility allowance per schedule below (allowances from Marin Housing). Low Income is
60% of Area Median Income. The rent will be calculated based on a two person
household, regardless of the actual size of the household. Actual households can
exceed the household size indicated but the rental calculation will not change.
For example, using the 2019 Area Median Income such calculation would be as follows:
The One Bedroom Housing Expense shall not exceed 1/12 of 30% of 70% (Low
income).
The maximum qualifying tenant income is 70% of Area Median Income for Low income
or a lesser income as defined by the Owner.
Household Size
2 Person
Unit Type
1 BRM
Median Income
109,450
70%
76,600
Monthly Income
6,385
30% of Income
1,915
Monthly Utility
Allowance
51
Allowable Rent
1,864
EXHIBIT C
HOUSEHOLD INCOME CERTIFICATION
SAN RAFAEL BELOW MARKET RATE RENTAL MONITORING PROGRAM
Project Name: 211-215 Belle Avenue Date:
MONTHLY RENT $
OCCUPANT/HOUSEHOLD NAME:
TOTAL HOUSEHOLD GROSS ANNUAL INCOME:
Total household income is the combined, gross, pre-tax income of all occupants of the
household including any co -signors on the lease. Income includes all wages, salaries,
governmental assistance, as reported as gross income for federal income tax; or verified by pay
stubs, bank account records, governmental assistance records or other relevant documentation.
Attached hereto are the tax returns, pay stubs or other evidence of the income of the persons
listed below:
Name of household
member
Relationship to
head of
household
Age
Place of Employment/Source
of income
I/We understand and have read and answered fully, frankly and personally each of the above
questions under penalty of perjury and do hereby swear they are true.
Occupant -Head of Household
Date:
PROPERTY OWNER TO MAINTAIN THIS DOCUMENT FOR FIVE YEARS FOR INSPECTION
PURSUANT TO AGREEMENT WITH THE CITY
I
H
m
X
LU
Q
O
a.
W Z
U
Z O
Q F—
Z
(L O
E 2
O I—
U Z
O W
Z
W W
Z Q w
Z Q Q
O w H
L) Z Z
LL Q
O U
Z
O
Z
LLI
U Lu�
L
U W
Y
Q
O
J
W
m
a)
U 4)
L
C y
O p
E N
N aJ
r -fl
a) r
3� O
y U
O) N
C 0
N=p O
LL. O U
a) 'O
ma
C
L ro
O O• a)
•C N
O +L N
mL
ro
a) cu
Z3
C "O L
ro C
❑ Q � L
+� L
N �
m o
a) m
U
U
fA
L O
a)
- +�
L �
U U
a) Q
O a)
a. L
fq a)
_ L
w
L ro
C
40- L+
ro
CD O O O Z
o 0 0 W O
LO r ao o
O W
LU CD
CD
o � L
Q
>'
U3 roIW-�
rcu
Q a`)
❑ a) L
> r W o
Y
r Oro Q
�cu
Z Z
O W
i
W W
M W
a) �
ro Q
m
ro
Q U
U o
a) —> U
42 CU U m
w L -_a
a) C 2 O
:3 CoL U
C (n U
CD
U
m Q
m o ro
LOa)
O N ro O a)
N T= m C a) 3
L r L lO O
a) N N N >i Y
i' N O
C E o_ rn.Ev
O ro mN O c
ca Z — N O O
U L: U C .0 co
L a) a) a) 7 L
a) L ?: a L = c
Ua.OQIzo
—
m
7
(9
c
rn
U)
U
`m
C
O
a)
o
�
U
C
r
L
LO
U
3
Go,
C
ro
p
—
O
a)
E
U
Q
0
O
�
H
. o
E
E
E
.�..
'D
'O
'D
'LO
C
)
al
m
ou
:)
U
r
N
M
O
aa))
O
�
o
>
co
o
E
C:
�
a)
E
o
C
U
r
CD
o
CD
O
K}
O
0
o
fn
C
ro
�
j
r
N
C7
-4-
C.)
U
O
C
W
x
L
C
O
a)
E
O
U
C
0
O
LO
7 to
U ro
r
N
ch
d
O
1111111
IIIII
IIII
IIII
�Id�
1
IIIIIIIIIIII
m
7
(9
c
rn
U)
U
`m
C
O
a)
o
�
U
C
r
L
LO
U
3
Go,
C
ro
p
—
O
a)
E
U
Q
0
O
�
H
. o
E
E
E
.�..
'D
'O
'D
'LO
C
)
al
m
ou
:)
U
r
N
M
m
7
(9
c
rn
U)
U
`m
C
O
C
a)
T
L
C
O
a)
E
U
0
O
C
ro
U
U
O
aa))
O
�
o
>
co
o
E
C:
�
a)
E
o
C
U
r
CD
o
CD
O
K}
O
0
o
fn
C
ro
j
r
N
C7
-4-
C.)
U
O
C
W
x
L
C
O
a)
E
O
U
C
0
O
LO
7 to
U ro
r
N
ch
d
O
m
7
(9
c
rn
U)
U
`m
C
O
RECORDING REQUESTED By and
WHEN RECORDED MAIL TO:
City of San Rafael
Attn: City Clerk
1400 Fifth Avenue
San Rafael, Ca 94901
No fee for recording pursuant to
Government Code Section 27383
NOTICE OF COMMENCEMENT OF DENSITY BONUS TERM
A. The CITY OF SAN RAFAEL, a municipal corporation ("City"); the HOUSING
AUTHORITY OF THE COUNTY OF MARIN, a public body, corporate and politic, created under the
Housing Authority Law of the State of California ("Marin Housing Authority"); and IGNOFFO
FAMILY TRUST or any successor in interest ("Developer"), collectively the "Parties," entered into that
certain Regulatory Agreement and Declaration of Restrictive Covenants executed on
and recorded in the Official Records of the County of Marin, California (the
"Official Records") on as Document No. (the "Affordability
Restrictions") as to the property located in the City at 211-215 Belle Avenue and described in EXHIBIT
A attached hereto and incorporated by reference herein (the "Property"). The Affordability Restrictions
are an equitable servitude and covenant running against the land for the benefit of the City. All capitalized
terms not otherwise defined in this Notice of Commencement shall have the meaning ascribed to them in
the Affordability Restrictions.
B. Section 5 of the Affordability Restrictions provides that the Density Bonus Term, as
defined in the Affordability Restrictions, shall commence on the date that this Notice of Commencement
is recorded in the Official Records.
NOW, THEREFORE, the Parties hereby declare as follows:
1. The Affordable Unit has been rented and is occupied by an Eligible Household.
The beginning date of the Density Bonus Term is . The Density Bonus
Term shall terminate on , 55 years from the date of this Notice.
Signatures on following page
DEVELOPER:
Name, Title
MARIN HOUSING AUTHORITY:
CITY:
City of
Name, City Manager
a municipal corporation
APPROVED AS TO FORM:
Housing Authority of the County of Marin, a public By:
body, corporate and politic, created under the
Housing Authority Law of the State of California
LE
Louis A. Jordan, Executive Director
2
885\01\2095327.1
3/21/2017
Name, City Attorney
A notary public or other officer completing this certificate verifies only the identity of
the individual who signed the document to which this certificate is attached, and not
the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF MARIN
On before me, Notary Public, personally
appeared , who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged
to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their
signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.
I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.
WITNESS my hand and official seal.
Name: _
Notary Public
3