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HomeMy WebLinkAbout2011-316 Housing - Amendment to Development Agreement for HOME Consortium Project - The Landings at Winmore Zt*1Ji� NORTH CAROLINA ORANGE COUNTY AMENDMIENT TO DEVELOPMENT AGREEMENT This is an amendment to the 4I(31 1 I AGREEMENT between ORANGE COUNTY, a body politic and corporate, a political subdivision of the State of North Carolina, (hereinafter referred to as the "County"), THE LANDINGS AT WINMORE, LLC, a North Carolina limited liability company, (hereinafter referred to as "The Landings"), CROSLAND, LLC, a North Carolina limited liability company (hereinafter referred to as "Crosland") and COMMUNITY HOME TRUST, a North Carolina non-profit corporation (hereinafter referred to as"CHT"). The effective date of this amendment is July 1, 2011. WITNESSTH WHEREAS, the Orange County HOME Consortium has designated approximately $300,000 in FY 2007 HOME funds to assist in the construction of 58 rental units known as The Landings at Winmore in Carrboro; and WHEREAS, the County is the lead entity of the Orange County HOME Consortium, so designated in an agreement dated July 1, 2008 and as such is the lead entity in a representative capacity for all members of the Orange HOME Consortium for the purposes of carrying out the HOME Program in accordance with the Title II of the Cranston-Gonzalez National Affordable Housing Act (Pub. L. 101-625), (42 U.S.C. 3535(d) et. seq.) (hereinafter referred to as the "Act"), and as further defined in the Federal Program Requirements provided by the U.S. Department of Housing and Urban Development; and WHEREAS, The Landings is financing the construction of The Landings at Winmore (hereinafter referred to as "the Project"), a new 58 unit affordable housing development owned by The Landings dwelling units to 15 low income families earning less than 40% of the Area Median Income, 21 families earning less than 50% of Area Median Income, and 22 families earning less than 60% of Area Median Income, and which will remain affordable for low income families throughout the term of the 99 year period of affordability. The Landings at Winmore is located off Homestead Road in Carrboro, NC. The Project dwelling units are located on the property more particularly described in EXHIBIT A attached hereto and made a part of this Agreement(hereinafter referred to as"the Property"); and WHEREAS, The Landings and Crosland agree to utilize HOME funds provided for the purpose of constructing the Property as described in its HOME Program application dated February 28, 2007 which is hereby incorporated into this Agreement and hereinafter referred to as"the Project"; and WHEREAS, The Landings, Crosland, and CHT have entered into a Homebuyer Counseling and Management Contract dated July 31, 2009 (hereinafter referred to as "Management Contract") that more specifically outlines the responsibilities of each entity in this partnership which is attached hereto as EXHIBIT B; and WHEREAS, notwithstanding any provision of this Agreement, the County, The Landings, Crosland, and CHT hereto agree and acknowledge that this Agreement does not constitute a commitment of funds or site approval, and that such commitment of funds or approval may occur only upon satisfactory completion of an environmental review and receipt by Orange County of a Release of Funds from the U.S. Department of Housing and Urban Development under 24 CFR Part §58 if applicable. The parties further agree that the provision of such funds to the project is conditioned on Orange County's determination to proceed with, modify,or cancel the project based on the results of a subsequent environmental review. NOW, THEREFORE, in consideration of the mutual covenants, promises, and representations contained herein, it is agreed between the parties hereto that all of the terms and conditions of the Development Agreement are herein affirmed and incorporated herein by reference and amended as follows: Section I1. AMOUNT OF HOME FUNDS/LOAN TERMS is rewritten to read as follows: The County shall make available to the Owner up to Three Hundred Thousand Dollars ($300,000) at an interest rate of two percent (2%) pursuant to this Agreement. Said funds shall be disbursed by the County to the Owner for performance of the services described in Exhibit C. HOME funding will be provided in the form of an amortized loan with a 30 year term at 2% simple interest per annum. A Deed of Trust and Promissory Note will secure the loan funds. The loan repayment terms shall be a thirty (30) year period to commence on May 1, 2011. The Owner shall make consecutive monthly payments including principal and interest at the aforesaid rate to the County of$1,108.86 per month until paid in full. The associated Loan Amortization Schedule is attached as Exhibit E and hereby incorporated by reference. Monthly payments should be made payable to Orange County, NC and sent to the following address by the 5th day of each month. Orange County,NC c/o Housing, Human Rights, and Community Development Department 300 W. Tryon Street P.O. Box 8181 Hillsborough,NC 27278 2 r IN WITNESS WHEREOF, the parties hereto, intending to be legally bound, have set their hands and seals on the day and year first above written. ORANGE COUNTY,NORTH CAROLINA Frank W. Clifto Manager ATTEST: D nna Baker Clerk to the Board of Commissioners - 52 MAppas rm and le gality ID , Staff ttorney This document has been preaudited in accordance with the N.C. Local Government and Fiscal Control Act. G^'�''�'' ✓✓• X 1►�--- , Clarence Grier,Finance Director THE LANDINGS AT WINMORE,LLC a North Carolina limited liability company By: Crosland Landings, LLC,Managing Member Name: Title CROSLAND, LLC a North Carolina limited liability company Name: Title: COMM TY HOME TRUST,INC. Gj • / ✓1?i�L i� ,P ident ATTEST 3