2013-89832 FREE RECORDING REQUESTED
PURSUANT TO GOV. CODE SECTION IIIIIIII III IIIII IIIII IIIII IIIII IIIII IIIII 1111111111111
27383 FEB 08, 2013 4:59 PM
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Recording Requested By: OFFICIAL RECORDS
SAN DIEGO COUNTY RECORDER'S OFFICE
Ernest J Dronenburg,Jr.COUNTY RECORDER
City of Encinitas FEES 0.00
Planning and Building Department PAGES: 11
S. V Avenue
En
Encinitas,, CA A 92024 1 J
And When Recorded Mail To:
City of Encinitas
Planning and Building Department
505 S. Vulcan Avenue
Encinitas, CA 92024
Attn: lJoysing Administrator
A.P.N. 258-161-11-01
AFFORDABLE HOUSING REGULATORY AGREEMENT
(Inclusionary)
This Affordable Housing Regulatory Agreement (hereinafter the "REGULATORY
AGREEMENT") is made and entered into and is effective as of this q�' day of February, 2013
by and between the City of Encinitas (hereinafter the "CITY"),,and Ann Pabian, a single
woman (hereinafter the "OWNER")
RECITALS
A. Whereas, the OWNER is the owner of Residential Unit No. 201, located at 687 S.
Coast Highway 101, Encinitas, CA (hereinafter the "PROPERTY") described in
Attachment A, attached hereto and made a part hereof;
B. Whereas, on April 11, 2008, the CITY passed and adopted Resolution 2007-09,
which approved a Tentative Map, Major Use Permit, Design Review and Coastal
Permit (05-237) that permits the construction and condominium subdivision of a
three-story, mixed-use development with 47 residential units, retail space, office
space, and restaurant space;
C. Whereas, to satisfy the provisions of Municipal Code Chapter 24 21 and certain
conditions of approval of the Tentative Map, OWNER agrees to reserve
Residential Unit No. 201 (hereinafter the "UNIT") as an affordable unit and
comply with the homeowner or tenant qualifications and sale or rent restrictions
contained herewith;
D. Whereas, the PROPERTY was previously subject to a certain Affordable
Housing Regulatory Agreement dated February 17, 2011 and recorded in the
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Official Records of the County of San Diego on February 28, 2011 with document
number 2011-0108554 (the "ORIGINAL REGULATORY AGREEMENT");
E. Whereas, the ownership of the PROPERTY has changed since the ORIGINAL
REGULATORY AGREEMENT was entered into and recorded, and the UNIT has
been conveyed to the OWNER, necessitating a partial release from the
ORIGINAL REGULATORY AGREEMENT pertaining to the UNIT, and
replacement of the ORIGINAL REGULATORY AGREEMENT with this
REGULATORY AGREEMENT specific to the PROPERTY; and,
F. Whereas, in order to restrict use of the affordable UNIT, the OWNER is bound by
this REGULATORY AGREEMENT and has consented to be regulated and
restricted as provided herein.
NOW, THEREFORE, the parties hereto agree as follows:
1. TERM OF AGREEMENT
The term of this REGULATORY AGREEMENT shall commence on the date of recordation of
this REGULATORY AGREEMENT and shall continue in perpetuity.
2. MAINTENANCE OF THE AFFORDABLE UNIT
A. OWNER shall maintain a residential unit on the PROPERTY.
B. The OWNER shall ensure that the appearance and amenities of the UNIT remain
compatible and comparable with other units in the development.
C. The UNIT shall be made affordable to a very low-income household earning fifty
percent (50%) or less of the Area Median Income (AMI) for San Diego County, and
adjusted for household size, as published periodically by the U S Department of
Housing and Urban Development (HUD).
D. Occupancy of the UNIT shall be appropriate to the number of bedrooms in the
UNIT. As a general rule and policy, an appropriately sized household is no less
than one person per bedroom and no more than two persons per bedroom, which
is reasonable under the Fair Housing Act and intent of program assistance.
E. During the term of this agreement, the UNIT shall be utilized for residential use only
in accordance with applicable local ordinances and regulations, any commercial
use or transient habitation (of less than thirty days) is specifically prohibited
3. OPTION TO SELL OR RENT
A. The OWNER shall either sell or rent the UNIT to an eligible, very low-income
household (as defined in Section 2 C), and in accordance with the terms and
conditions contained herein
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B. OWNER shall make the UNIT available for sale or rent to the general public through
an advertisement in local newspaper(s). Applications shall be made available and
accepted for a minimum of fourteen days. The OWNER may employ additional
marketing methods that are in accordance with professional standards of the
industry and fair housing laws. The CITY will require documentation of the selection
process and the CITY may additionally advertise the UNIT availability.
C. OWNER is prohibited from selling or renting the UNIT to a family member, relative,
employee, or pre-determined household.
D. OWNER may sell or rent the property with the prior written approval of the Planning
and Building Director (hereinafter the "DIRECTOR"). If sold, the subsequent owner
shall execute a new Affordable Housing Regulatory Agreement with the CITY.
4. OPTION TO SELL
A. The UNIT shall only be sold to a very low-income household (as defined in Section
2.C). In addition, the homebuyer must certify that the household will occupy the
UNIT as owner occupant and principal residence, and that the household does not
own or have an interest in any real property.
B. For any proposed homebuyer, the income of all adult members of the household
must be verified by the OWNER using source documentation (e.g , tax return, wage
statement, bank statement, public benefit statement)
C. Prior to opening escrow to sell the UNIT, OWNER shall provide CITY with the
proposed homebuyer's income statement and copies of the documentation of
income. The DIRECTOR shall confirm or deny eligibility based on the documentation
provided.
D. The maximum affordable sales price for the UNIT shall be consistent with State law
and be based on a total housing cost (including principal, interest, taxes, insurance,
utility allowances, and any fees or assessments) of thirty percent (30%) of fifty
percent (50%) of the AMI (as defined in Section 2.C), based on a two-person
household.
1) The calculation of the affordable sales price shall include a five percent
downpayment.
2) The interest rate used in the calculation shall be based on the current
Freddie Mac Monthly Average Commitment Rate on 30-Year Fixed-
Rate Mortgages.
3) Actual financing to be obtained by any prospective homebuyer shall be
a fixed rate loan fully amortized over thirty years.
Prior to the sale of the UNIT, the DIRECTOR shall approve the sales price (as
described in Section 4.D).
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E. OWNER shall record deed restrictions, approved by the DIRECTOR, that restrict the
resale or rental of the property only to other eligible households for the term of the
REGULATORY AGREEMENT. The CITY may enforce the deed restrictions by
recording a second deed of trust on the property securing a note or other
appropriate document. If a note is used, the amount of the note shall be equal to the
amount of subsidy provided by the OWNER (the difference between the market
price and the affordable sales price).
5. OPTION TO RENT
A. The UNIT shall be rented only to a very low-income household (as defined in
Section 2 C) Prior to occupancy, the proposed tenant's household income must be
verified using source documentation for all adult members of the household (e.g., tax
return, wage statement, bank statements, public benefit statements).
B. The maximum monthly rental rate to be charged for the UNIT shall be consistent with
State law and be based on thirty percent (30%) of fifty percent (50%) of AMI (as
defined in Section 2.C) for a two—person household (divided by 12 months) minus any
tenant-paid utilities, fees or assessments. The DIRECTOR shall approve the
maximum rental rate for the UNIT, including the applicable utility allowance. Rental
rate may be adjusted periodically in accordance with the current AMI schedule (as
defined in Section 2.C) and utility allowance schedule
C. OWNER shall maintain tenant files containing information on the household income
and the source documentation used by OWNER to determine household income.
Said files shall be maintained for a period of three years from the termination of any
tenancy. Upon written request, OWNER shall allow the CITY access to review
tenants' files and financial records for compliance with this REGULATORY
AGREEMENT
D OWNER shall re-certify the tenant's income status every twelve months. In the event a
tenant no longer qualifies as very low-income, the OWNER shall provide said tenant
with the most expeditious eviction notice process, in accordance with applicable State
law. However, a 90-day minimum notice shall be provided, unless eviction for cause
consistent with applicable State law.
6 MANAGEMENT AND MAINTENANCE (APPLIES TO RENTAL OPTION ONLY)
A. Any tenant selected to occupy the UNIT shall enter into a written occupancy
agreement or lease with the OWNER. OWNER shall use the standard lease form
published by the California Apartment Association or other form approved by the
DIRECTOR. The agreement or lease shall contain a recital that the UNIT is an
income restricted unit and a condition of occupancy.
B Leases and the landlord-tenant relationship shall be subject to California law and the
provisions of this REGULATORY AGREEMENT. The OWNER shall establish
reasonable rules of conduct and occupancy that comply with State and local laws
and regulations.
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C. OWNER is responsible to maintain the leased UNIT in a habitable condition and in
good repair at all times. OWNER is responsible for maintenance costs, including all
repairs, corrections and replacements necessary to maintain and preserve the UNIT
in a safe and sanitary condition in accordance with the HUD's Housing Quality
Standards (HQS). Upon written request by the CITY, the OWNER shall provide
DIRECTOR or representative with access to inspect the UNIT for compliance with
this section.
D OWNER shall obtain, and at all times during the term of this REGULATORY
AGREEMENT, and maintain policies of general liability and property damage
insurance from an insurance company authorized to be in business in the State of
California. The general liability shall be in an amount of not less then $1,000,000 for
each occurrence. The property damage insurance shall be in an amount sufficient to
replace the UNIT in the event of fire or other major damage. OWNER shall provide
CITY with Certificate of Insurance and an additional insured endorsement naming
the City of Encinitas as Additional Insured. OWNER may self-insure, with the prior
written approval of the City of Encinitas's Risk Manager.
E. OWNER may contract with a management agent for the performance of the services
or duties. However, such an arrangement does not relieve the OWNER of
responsibility for proper performance of these duties
F OWNER shall make a good faith effort to expeditiously re-rent the UNIT whenever it
becomes vacant. In the event the UNIT is vacant for a period of more than thirty (30)
days, the OWNER shall notify the CITY. If available, CITY shall provide OWNER with
a list of eligible households seeking rental housing.
7. REPORTING REQUIREMENTS (APPLIES TO RENTAL OPTION ONLY)
OWNER shall submit a report to the DIRECTOR immediately after initial lease-up of the
UNIT and annually thereafter, on a form prescribed by the DIRECTOR. The report shall
include information on the household(s) occupying the affordable UNIT during the prior
year, household income, and the amount of rent collected. Whenever requested by the
CITY, the OWNER shall provide source documentation demonstrating the qualified status
of the household.
8. NON-DISCRIMINATION
OWNER shall not discriminate against any prospective homebuyer or tenant on the basis
of race, color, religion, sex, national origin, familial status, disability or other individuals
protected under State and Federal fair housing law.
9. CERTAIN ACTS PROHIBITED
OWNER shall not make any sale, encumbrance (except for a first Deed of Trust
associated with mortgage financing), assignment or conveyance, or transfer in any
other form, of the PROPERTY or of its entire interest therein other than in accordance
with the terms of this REGULATORY AGREEMENT.
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10. VIOLATION OF REGULATORY AGREEMENT BY THE OWNER
In the event of the violation of any of the provisions of this REGULATORY
AGREEMENT by the OWNER, the CITY may give written notice thereof to the OWNER
by registered or certified mail addressed to the OWNER at the address stated in this
REGULATORY AGREEMENT, or to such other address as may have been designated
by the OWNER, and if such violation is not corrected to the satisfaction of the CITY
within thirty (30) days after the date such notice is mailed (or within such further time as
the CITY, in its reasonable discretion, may permit), the CITY may, without further prior
notice, declare in writing a default under this REGULATORY AGREEMENT effective on
the date of such declaration of default, and upon any such declaration of default the
CITY may apply to any court, State or Federal, for specific performance of this
REGULATORY AGREEMENT; for an injunction against any violation by the OWNER of
this REGULATORY AGREEMENT; for the appointment of a receiver to take over and
operate the UNIT in accordance with the terms of this REGULATORY AGREEMENT; or
for such other relief as may be appropriate, it being agreed by the OWNER that the
injury to the CITY arising from a default under any of the terms of this REGULATORY
AGREEMENT would be irreparable and that it would be extremely difficult to ascertain
the amount of compensation to the CITY which would afford adequate relief, in light of
the purposes of the Inclusionary Housing program
11. AMENDMENT.
This REGULATORY AGREEMENT shall not be altered or amended except by writing
executed between the parties
12 SEVERABILITY.
In the event that any provision or covenant of this REGULATORY AGREEMENT is held
by a court of competent jurisdiction to be invalid or unenforceable, then it shall be
severed from the remaining portions of this REGULATORY AGREEMENT, which shall
remain in full force and effect.
13. BINDING ON SUCCESSORS.
This REGULATORY AGREEMENT shall bind, and the benefits thereof shall inure to,
the respective parties hereto, their legal representatives, executors, administrators,
successors in the office or interest, and assigns; provided, however, that the OWNER
may not assign this REGULATORY AGREEMENT or any of its obligations hereunder,
voluntarily or by operation of law, without the prior approval of the CITY, excluding an
assignment to an affiliate. As used herein, "affiliate" means any entity in which OWNER
holds an ownership interest, or any person or entity that holds an ownership interest in
the PROPERTY.
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14. GENDER.
The use of the plural in this REGULATORY AGREEMENT shall include the singular and
the singular shall include the plural, and the use of one gender shall be deemed to
include all genders.
15. ELECTION OF REMEDIES: EVENT OF DEFAULT.
The remedies of the CITY hereunder or under any other instrument providing for or
evidencing the financial assistance provided herein are cumulative, and the exercise of
one or more of such remedies shall not be deemed an election of remedies and shall
not preclude the exercise by the CITY of any one or more of its other remedies.
16. WAIVER.
No waiver by the CITY of any breach of or default under this REGULATORY
AGREEMENT shall be deemed to be a waiver of any other or subsequent breach or
default hereunder.
17. GOVERNING LAW
This REGULATORY AGREEMENT shall be construed in accordance with and
governed by the laws of the State of California.
18. NOTICES.
Written notices and other written communications by and between the parties hereto
shall be addressed as follows unless and until a party hereto has in writing,
communicated a different address to the other party hereto.
CITY OWNER
City of Encinitas Ann Pabian
505 S Vulcan Ave. 687 S. Coast Highway 101
Encinitas, CA 92024 Unit #201
Attn: Housing Administrator Encinitas, CA 92024
IN WITNESS WHEREOF, OWNER has executed this REGULATORY AGREEMENT as of the
day and year first above written.
OWNER
Ann Pabian, a isinle woman
e / � ; ( �
Date.
Ann Pabian
(Notarization of signature must be attached)
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CITY
City of Encinitas__
Date: L l3
Tom Curriden, City Planner
(Notarization not required)
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CALIFORNIA ALL-PURPOSE ACKNOWLEDGEMENT
File No: DTR-3685650(dm)
STATE OF California )SS APN No: 258-161-11-01
COUNTY OF SCIc )
On rZ r�t� 1 y' 7 DUI-3 before me, Pa ((-La �>n., yi J,-) Notary Public, personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/axe subscribed to the within
instrument and acknowledged to me that he/she/tWey executed the same in his/her/their authorized capacity(ies), and that by
Ft's/her/th*ir signature) on the instrument the person), or the entity upon behalf of which the person
instrument. ,() acted, executed the
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.
Signature
OENELDA�LE�E S�PMfT
Commission 0 1931493
Notary Pubk-Ca Mornis
son Diego County
M Comm. Expires Apr 4,2015
This area for official notarial seal.
OPTIONAL SECTION
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documents.
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[❑ CORPORATE OFFICER(S) TITLE(S)
0 PARTNER(S) ❑ LIMITED ❑ GENERAL
❑ ATTORNEY-IN-FACT
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SIGNER IS REPRESENTING,
Name of Person or Entity Name of Person or Entity
OPTIONAL SECTION
Though the data requested here is not required by law, it could prevent fraudulent reattachment of this form.
THIS CERTIFICATE MUST BE ATTACHED TO THE DOCUMENT DESCRIBED BELOW
TITLE OR TYPE OF DOCUMENT:
NUMBER OF PAGES DATE OF DOCUMENT
SIGNER(S) OTHER THAN NAMED ABOVE
Reproduced by First American Title Company 11/2007
ATTACHMENT A
LEGAL DESCRIPTION
Real property in the City of Encinitas, County of San Diego, State of California, described as
follows:
A CONDOMINIUM COMPRISED OF:
PARCEL 1:
AN UNDIVIDED 1/47TH FEE SIMPLE INTEREST AS A TENANT IN COMMON IN AND TO
THE RESIDENTIAL COMMON AREA, AS SHOWN ON THAT CERTAIN PACIFIC STATION
CONDOMINIUM PLAN RECORDED IN THE OFFICE OF THE COUNTY RECORDER OF
SAN DIEGO COUNTY, CALIFORNIA, ON JANUARY 19, 2011 AS DOCUMENT NO. 2011-
0033817, AS AMENDED BY THAT CERTAIN AMENDMENT TO PACIFIC STATION
CONDOMINIUM PLAN RECORDED IN THE OFFICE OF THE COUNTY RECORDER OF
SAN DIEGO COUNTY, CALIFORNIA, ON APRIL 5, 2011 AS DOCUMENT NO. 2011-0175074
AND ANY ADDITIONAL AMENDMENTS OR SUPPLEMENTS THERETO ("CONDOMINIUM
PLAN"), WHICH IS LOCATED WITHIN A PORTION OF LOT 1 OF CIT OF ENCINITAS
TRACT 05-237, IN THE CIT OF ENCINITAS, COUNTY OF SAN DIEGO, STATE OF
CALIFORNIA, ACCORDING TO MAP THEREOF NO. 15722, FILED IN THE OFFICE OF
THE COUNTY RECORDER OF SAN DIEGO COUNTY, OCTOBER 10, 2008, AS
CORRECTED BY CERTIFICATE OF CORRECTON RECORDED FEBRUARY 10, 2011 AS
DOCUMENT NO 2011-0079751, IN THE OFFICE OF THE COUNTY RECORDER OF SAN
DIEGO COUNTY, CALIFORNIA ("MAP").
PARCEL 2:
RESIDENTIAL UNIT NO 201, AS SHOWN AND DESCRIBED ON THE CONDOMINIUM
PLAN.
PARCEL 3.
AN EXCLUSIVE EASEMENT TO USE EACH PORTION OF THE MASTER ASSOCIATION
PROPERTY (DEFINED IN THE MASTER DECLARATION DESCRIBED BELOW) THAT IS
DESIGNATED IN THE CONDOMINIUM PLAN AS BEING AN EXCLUSIVE USE DECK AREA
APPURTENANT TO THE RESIDENTIAL UNIT DESCRIBED IN PARCEL 2 ABOVE, IF ANY,
FOR THE PURPOSES DESCRIBED IN THE RESIDENTIAL DECLARATION AND THE
MASTER DECLARATION.
PARCEL 4:
NON-EXCLUSIVE, APPURTENANT EASEMENTS IN AND TO THE MASTER ASSOCIATION
PROPERTY, FOR USE THEREOF IN ACCORDANCE WITH AND SUBJECT TO THE
DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTONS FORTHE
RESIDENCES AT PACIFIC STATION. RECORDED IN THE OFFICE OF THE COUNTY
RECORDER OF SAN DIEGO COUNTY, CALIFORNIA ON JANUARY 19, 2011, AS
DOCUMENT NO. 2011-0033820, ("RESIDENTIAL DECLARATION") AND THE MASTER
DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTONS AND GRANT OF
RECIPROCAL EASEMENTS FOR PACIFIC STATION RECORDED IN THE OFFICE OF THE
COUNTY RECORDER OF SAN DIEGO COUNTY, CALIFORNIA, ON JANUARY 19, 2011, AS
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DOCUMENT NO. 2011-0033818 ("MASTER DECLARATION").
APN: 258-161-11-01
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