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Item I1r. s .ill"i'll <1 1, m Meeting Date: February 110, 201.6 Department: Planning 8z Environmental resources Bulk Item: Yes No X Staff Contact Person/Phone #: Mayte Santamarrta 28 -25h2 AGENDA ITEM WORDING: Discussion and direction related to the Administrative Fees included within the ground leases the County has approved for the development of affordable housing and direction on requests to waive the administrative fees which were originally intended to reimburse the County for the coordination of affordable housing, ITBACKGROUND: I it be 015, t Islhe ander re tweed waive from Steven and Jessica Foureman, owners of a affordableVillage,the 1.5% Administrative Fee stipulated in the Ground Lease between Monroe County and !slander Village, LLC. Per the ground lease, the 1.5% of the purchase price is an administrative fee is to be paid to the County for review of the contract and assistance with coordinating the closing on the Affordable Housing Unit. The relevant ground lease provision states: Section 12.08 t4dininistratiye .Fees. With the exception of`the initial sales by Initial Lessee, the Lessor or its designee shall be entitled to charge three and one-half percent (3112%) of the Purchase Price (grass compensation however described) fear any transferred interest (other than simple security mortgage interests or rental agreements) in which Lessor identified the purchaser, as an administrative ,fee for coordinating the closing on any :affordable Housing Unit, said fee to be paid by the selling Unit Owner at the time of closing. This fee does not include other seller and buyer closing related casts .such as title insurance, documentary stamps, intangible taxes, prorated taxes, real estate commissions, insurance, homeowners' assessments, loan expenses and the like, or rental management or processing fees for rental units. In the event Lessor was unable to identify a purchaser, Lessor shall still be entitled to an administrative Lee ot one and one ril the aAffordable� o tlxe After r�r i,eview o the contract and assistance with: coordinating the closin o Housan Unit. A ter the initial sales by Initial Lessee, the Lessor or its designee shall be authorized to designate closing, escrow and title agents involved in all transactions involving interests subject to this Lease. After the initial sale of each Affordable Housing Unit by Initial Lessee, Lessor or its desi aaee an.ay initially anditom time to time, establish., promulgate, revise andl or waive rill or accrt o si-ic{x ees related to the admiaaisstratioai ol" th:is Lease and any S`aibleases but in no event may Lessor increase the amount of the administrative fee to (in amount in excess of three and one-half percent (3�12'%) for an owner who purchased his or her,Affordable Housing Unit without actual, constructive or regulatory notice ref the potential applicability of a greater percentage fee. County staff notified the Fouremans that staff could not administratively waive the Administrative Fee and that the request would need to go before the BOCC. In the interim, the Fouremans have agreed to an escrow agreement to establish an interest -bearing escrow account for the 1.5% Administrative Fee until this matter is presented to the BOCC for direction. Since that date, another buyer (Paul Reed and Sophie Tornek - unit #13 in Park Village) submitted a check for the 1.5% Administrative Fee and did not request a waiver of the fee. In reviewing this request, County staff has identified that four []-Park Village, 2-Flagler Village, 3-Islander Village and 4-Blue Water] of the six [I -Park Village, 2-Flagler Village, 3-1slander Village, 4-Blue Water and 5&0- Habitat for Humanity of the Upper Keys] existing affordable housing ground leases include the same Administrative Fee provision [the remaining two ground leases with Habitat for Humanity of the Upper Keys include a modified administrative fee provision of O a05% for the transfer q1' improvements](excerpts from ground leases are attached). Additionally, staff has not found any evidence of prior payment of the Administrative Fee by affordable housing unit owner-seller(s). (There is one other current pending transaction for unit #13 in Park Village that has placed the 1.5% admin fee in an escrow account). Staff has reviewed sales transaction records and, based on information retrieved, identified that approx. 27 transactions have occurred of units subject to the administrative fee provision. (see attached table and summary table below). If the 1.5% administrative fee were collected on these prior sales (from 2009 to present date), the County would have collected a total of approx. $63,960, As a mote, retroactively pursuing prior fees may be legally challenging. These finds could have been utilized to help the County contract with another entity for the monitoring and qualifying of affordable housing applicants. As discussed on previous occasions with the 13OCC, the County has limited resources for monitoring and qualifying of affordable housing. CONTRACT/AGREEMENT CHANGES: N/A STAFF RECOMMENDATIONS: Direction on the collecting or waiving of all or a portion of the 1.5% Administrative Fee for future scenarios and requests. Potential options: • Direct staff to collect admin fee and record the adrnin fee requirement in the land records o Establish an account for collections? Set a threshold for collection admin fees? • Direct staff to attempt to amend ground leases to eliminate admin fee ® Direct staff to attempt to arnend ground leases to set a flat fee per sale transaction • Direct staff to attempt to amend Habitat ground leases to provide for the same admin fee • Direct staff to attempt to amend ground leases to match the admin fee provision of the habitat leases • Direct staff to investigate if the County can pursue retroactive claims o Set a threshold for collection admin fees with legal and admin fees? Direction on the request from Steven and Jessica Foureman to waive the 1.5% Administrative Fee. TOTAL, COST: N/A INDIRECT COST: N/A BUDGETED: Yes o N/A DIFFERENTIAL OF LOCAL PREFERENCE: COST TO COUNTY: N/A SOURCE OFFUNDS: N/A REVENUE PRODUCING: Yes No N/A AMOUNT PER MONTH N/A Year APPROVED, BY: County Atty OMB/Purchasing disk Managen'zent DOCUMENTATION: Included _ X Not Required DISPOSITION: -_ AGENDA ITEM 1. Ground Lease Agreement between Monroe County and Park Village.. LLCI (July 19 2006) With the exception of the initial sales by Initial Lessee, the IA&q ar or its designee shall be entitled to charge three and one-half, percent ( Page25 Of 53 1/~ ),of the Purchase Price (gross compensation however desert iced} far atn-transferred interest (other than simple security mortgage inter is or rentalagreements) in which Lessor identified the purchaser, asanadministrative fee for co coordinating theclosing on. any Affordable Housing Emit, said fee to be pair) by the selling. Unit Owner at the time of closing, This fee does not include other seller and buyer closing related coasts such as title insurance, documentary stamps, intangible taxes, prorated taxes, real estate commissions, insurance, honicoaw hers' assessments, loan expenses and the like, orrernalmanagensentor processing fees for rental units, in the event Lessor was unable to identify a purchaser, Lessor shall still beentided to an administrative fee of tine and one-half percent (:t i2 %) Of the Purchase Price for review of the contract and assistance with coordinating the closing on the Affordable Housing, Unit. sifter the initial sales by Initial Lessee, the Lessor -oar its designee shall be authorized to designate: closing, eseraw and title agents involved in all transactions'involving interests subject to this Lease. meter the hritial sale: of each Affordable Housing Unit by Initial Lessee, Lessor or its designee may, initially and imm time to time, establish, promulgate, revise and/or waive all or part of such fry related to the administration of this Lease andany uble ,butin no event may Lessorinc the amount of the adniWistrative fee to an arno unt in excess of threeand one-half penvnt(3 V2 %) for an oowmer who purchased his or her Affordable Housing limit without actual,. constructive or re teary notice of the potential applicability of a greater percentage fee. Language Conferring Monroe County Free Legislative Discretion to Amend Subject Ground Lease's "Affordable Restrictions"?: Yes, at Article I - Definitions, 'a'iffaord,tble irietions' shall mean the affordable orcurptrri, ?,ousbat regulatious as set forth in thuptev 9,rr and any Other applies ble sections of the Monive County Land t veent R41allommior County Cbde,ashereinafteramen that Inoue%*. t shall the lcsalor doomw the lawfully peratissible sales price for an Afforriable Hoouing Unit to has than the spftMtd says price for moderate fircouar housing us got forth in the land Boviopnmeut Regulations in offect at the time of execution of this Lease where the short Upon an would be to divest such portion or artily of vutue upon which such pemni reasombly and fairly rellod to their datrttnuni. The substance of the Affordable kerrurictions may be fredy amended In the Le : -s legislative discretion, particularly with rei at to adurnistratk , nom. ito timgl and entorrinnem ee ism%, but Any sorh aniendment shall not matariaflly diminish the lawfully established urnd equitablyvested levalueorthe m**ombieallenabhRy+oofan tsle liousinslUnit. ltorw , t et Affordable Housing Unit resalaiaritt rentakto tail as 'loripleyee Housing" as dellned In the Aflonlable Restrictions. as amended from arnelotinic. 4fUtC 9t r, f r mn ay . tatltln irk its hte ell "rrn $foil 'as ta"elftoria that Uralic potential buyer or retntal pook Anysuch amendment shall not increAveto thouu 's tisonsibilkies as set fsxth hendin. it is the intent and purpose and ll be the effcet of this Leatle and any Affordable ftruttictlo ns to ensure that the aftordabuitycofAffiardable Housing Units and dedicated mal Mperty upoil which theyart located is maintained and enfo enl such, that arty administrative rule, poh4cy or interp tint de try= Lessor or Its dosignees relating to the maximum, total amount of consideration rind n ned to i in any way lav ecd Jr, a purchase or rental tra - inn (indudlegbutnot limited torlurc. price, lease alailturneot€ rests us ar€Y Other wilipertiation fhvv it or nerved In oor'oouiside ll a related tra ion) sholl never exceed these affordANIfty criteria reasonably established by Id my for the dwelling units involved. In ever, case„ the construction and intertwelation cf tenw_ conditions and restrictions imposed by this Lease and the Afforttability Restrictions than be nude, in favorof an mitriarufic.mthvat maures longt affordslullry benefitsfor tl t`r5taer'1o1c housing resources Inure to the I s al t of Mon toe County, its economy and Its community character, 11111liq Language ConferriagMonroe ,County Free Legislative Discretion to Amend Subject Ground Lease's "Affordable Restrictions"?: Yes, at Article I - Definitions, as arnerided by Amendment No. I to Ground Lease (April 15,2006), '"Affordable Ricstrii0nots" shall nuian the affordable or employ" housing regulations as set forth in Chapter 9.5 and any other applicable Sections of the Moorcgr County Land Development Regulations or County Code, as hereinaller amended, except that in tic) event shall the Lessor materially and adVCTSClY slier the obligations Or rights of Lessee under this Lease or dcoroast the tawfully permissible gales price or rental rare for art A9f6rdable Rousing Unit to less than (tic specified sales price or rental rates 1br nioderato naconte housing as sot forth in the Land Development Rctiulaborts in effect at the time ofexectatkal of this Lease where the effect upon an ownei/Subtes, Sechoortgagee Would be to divest sIr;lI ,person In entity of value upon which Such person reasonably and fairly relied to their detriment. The substance ofthe Affordable Restrictions may be freely amended in the Lessor's legislative discretion, particularly with respect to administrative, monitoring and anforement mechanisms, but any such ranendinent shall not materially dinuniA the lawfully established and equitably vested resale value or the reasIonable alienability of "home -ownership" Affordable Housing Units, in in the case of rOnItAl-only units or projects, shall not materially and adversely diminish or interfere Willi the Lessee's substantive benefits conferred under this Lease or any of its non -administrative tornis. However, Lessor may restrict Affordable Housing Unit resales and rentals to use it,,; "Employee Housing" as defined in ORC, U.0 Anwod I D..n 1764997 Blot 2438 PIM tea JN€Ultk;`! :10111 !1W, 10 tini :1) !oquiTn.wit sl, Molo;vcl, -,I)..liol!:i ­11r�,ili, " linl�l p,l,nllialliV":y ,I Art,, such anwodi-jent shall noel ua.rease nwall 1 ­C x Ic-Spons;ihilil es ,sat iolill heier.I. 11 is 11w, inloill :Iwt pmrpo"e :1nd a,lu, € the UIQ 't j &I'l of rLQ.nsc and "lln Rrstllcli,,11s if) Ivayc �,­, the; Lffoidihiftl% ,,ffootabic flo-oig knits ,nanddv,!I,.naceAl lQa! njojle;[r' OLIDII ,]I �, II die- . 1;-Acd i5 Iwm1(,m.QJ m16 n0WQcAi � MIOt th;vnt ;,dnnj,.� uafiv, lanceIIII& bY LQ-1RI) )1 its; dltq�elvvl ki tile.nsxi€nnin.and UuSl )CInnuec III be in vr&eaj ire or kjTfaj nquIsaCti(ju (inclwhoji but 1."It lunw!'] to pure hose pr,rv, kase asSigutnew rents Of any o(hur corupQrlsldiuri gi,:en or received In or ­cnniadc" of % related lransacltnnS shall atver eKce.Gd She afibrilabilily erUeria rVisonaNy evablished by Mom"C. County fol thn dwelling oats 111koh"Ed. III every Case, the Construction and wtetpmgOon on rvong, eonifitrons and restrictions rinposedi by ties Lease and the Aftoidabifirty Hhall be made in favor of ensuirrig that long Icon afiolidalbility bencfits fin the respective homing , resources more to the benefit of Monroe County, its economy and its vorranturity character. In ail casea, of conflict between local and federal LIHTC ronfid, tenant elittibdity and other grau-Mitios, Lessee shall be entitled to adhere to governing federal (1-111TC) requirements without being deemed in broach of this Lease or the Affordable Restrictions. 3, Ground Lease Agreement ent between Monroe County and Islander Villaae LL (ADHI 18 20071: Contains an Administrative Fee provision at Section 12,08. `' 1 r ei ..t:w.kskla etna, a late rcealrtia rr ea#the i€aitaatl scales la, kaci:tiatl I,a sset�„ the leaser or its desip utevshaali be entitictl teaaa:laaarge the eaa aarpd One-half R 1 �" 90 of aloe l' arclaat e, lar tea t,grces e:c tatp ets tdttklr he Wtveer described) for any tr rnstezrred interest (other this" aatrapale +uKIIIity toort taye interetosts, or ronlaal as re�taaraa;„Itts,1 ill cwvhicfk Lessor identifled the ,tt all adlinisI c1mi€tgolhartV :" Iford-able l lnausisa la,tit„ s;tr`«d fee to be'. paid by"the selling Unit Oivneraat that [lease* a p cblt �iat�. 11ci^ fee docsnot i.rrt^ltitle trt:l'aerselleriaold bs e r clOAra9r46t(lls:aartuh as title i€[strange elaaaiaartroa�nfa►a� staan�apaos, rrttan�ilil@� t«axes, pr•aaraatt�cl fzrxats„ rr~aG a �ttataT c•r�gtints�str�apus.„ iatwatr<ar5+a°ti,, hol insane" resew,sarwnts, kian exli nsoes and the like, or rental ma ri a emear.to ga�� cas�;i;ra ft', rOS. for rental uaarits, I11 than event I!Alssor vk%as unable to identify a pnrchascr, lxs%or,s:hall tildl attitle teran;�aclrtairaistuaatiwifecco�°ynalauaaMcicta�lr,all"Is ra.c„ t,0t/2%)of`hePurchaase Pri.e fear of that. ContFR& ind assistanct� xith cA)oiT%jjnatijjg tile; clogitt� aura tltea eft"aaaalaul'ais Y1�rr�aa t'rtit.. tit,[larva'aitial';Zl(�Sley°Initiaalle„ seer literssaacearitatitwi tare shall ire.aauthorizedterdesignate rlcis;iat ,os ocovasridtitleaa�ct:atsmyrrlteatart:aittokarat,tietitatu ratty°olving intercr:sts:subje(i to Hats Lease. softer tier® initiM as le o(e:,ach. A(fon..Nat)le 1-jousin tUnitlxw Initial 1,esa It%„I,rrs,ororif.sdestgne ttu;ar innfial1v and frotntionetotime, establish, promulgate, revise ;and{earxwauayeallorpstrtat'atchleasrel.atedlothesadministration€fthis IANIcar and ally 8talsleyases, iaabt its 110 O ent 9tr,'ry° 9.c§sSM increiate the amount of the :adaiinisiraatiw e feu to .an aarnount in cx+'osa tlf [loran atold conic -half pere°ent (3 r/2 `J for an eaa.w rWr Who purchased his or her Affordable 1-101sSirtg Unit v,rithraut aaet.tarala cean.struaa tip at eaa' regotlaatori. notice ofthe 1ac.sta>ttEiaal <applicabiluty of<a greater pe c.,entaa e fee, Lan ua e Conferring Monroe County Free Legislative Discretion to Amend Subject Ground Lease's "Affordable Restrictions"?: Yes, at Article 1- Definitions. '•Affor°dable Restrictions ' -.,hallmeaan the arffordable or etaploy ee hou sing, regniaticrns Las .set forth in Chapter 9.5 and any other applicable Sections (if the Monroe County Land 17eveloprtaeat Regulations or County Cade, as herveinafteramcrided, except that in no eaent shall tileLessor decrease the lawwfialdy permissible sales price fc r rasa Affordable Housing Unit to less than i he specified sales price for moderate income housing as set fearth in the land Development Rrgralationa in effect at the time of execution of this [.ease where the effect upon an no ner,rSublessee, mortgage e aw ould be to digest such person or entity of value [upon which such person reasonably and fairlyv I died- to theao detrienrent. Thesahs�race of the Affordable Restrictionsmazy he freely amended in the Lessor's legislative discretion, partiruLarit Frith respect to administrative, naernitoring and enforcement mechanism—,, heat any, such amenchrient shall not materially diminish the lax+,fully established and equitably vested resale. value, or the reasonable alienability ofan Afford able. (lousing Unit, However, Lessor may, restrict Affordable Housing unit resales and rentals to use as ®ianployee Housing- as definers in the Affordable Restrictions, as amended beast, titre to time: - Moreover, Lessor nrayestrablish in its Affordable Restrrctirrns "means" ear41a.S.Setsll criteria that limit potential buyer or rental pools. Any such amendment shall not infreaase Initial Lessee's msponsibilitua as set forth hcrciaa. It is the intent and purpose and shall be the effect of this Lease and any Affordable Restrictions to ensnare that the affordability of Affordable Housing Units and dedicated real property upon which; they are lox:aated is traaaintainw d and enfoareed Such that an administrative rulaa, ptilley or interpretation thereof, made ley lessor or its designees relating to the maximum total aarnount ofconsiderition and cost permitted to be its any way involved in a purchase or rental transactioai (including but not limited topurxhaseprice lease ,a signment fees, rents orn nvother compensation given or received its or 'outside" cif a related transaction) shall never exceed the affordability criteria real nabfyesta blishad by Monroe County for the dwelling units involved. in every case., the c€anstruenon and interpretation cif tenses, conditions and restrictions imposed by this Lease and the Affordability Restrictions Shall be made in €av°orof an interpretation that, ensure-s long term affordability banetits for the respective housing msourees inure to tlae Nmefit of Monroe County, its economy and its community character. With the exception of the initial Salesby initial IRSSM where the Lessor authorizes Wes of units for intlividualhome-ownership purposes, the Lessor or its designee shall be entitled to charge three and one-half percent (g •) of the Purchase Price (guess compensation however described) for any transferred interest (outer than simple -urity mortgage interests or rental agreements) in which Tx csr identified the patrmimsrer, as an administrative fete for coordinating the closing on any Affordable Housing Utli t, said fcnto be paid by the sefling,Unit Owner at the tur e of elosing, 'l"Itas fee doositot include other seller and buyerelosing related cos9s such as title insurance, documentary°starrips,intangible tams, prorated taxes, realMatecearrstxntssiorir,ittatararace, la rnee�va tern' a saglt nt , loan "Perises and the like, or rental management or processing fetes for rental units, In the event Lessor was unable' to ideat fg,° a purchaser, Lessor;shall still beentitled to an administrative fee of onare and one—ltatlf percent (t 14 %) of the Purchase Price for review of the. contract and assistance with coordinating the closing earl the, Affordable Housing Unit, differ the initial sales by, Initial Lessee, the E., sr or its designee shall be authorized to designate closing, a rowa nd title agents involved in all trart aetions involving interests subject to this Lease, After the initial sale of each Afforftble Housing Unit by Initial Lessee, Lessor or its designee may, initially and from tirne to time, e>ataabfiah, promulgate, revise and/or aa, aaive all or part of such fees related. to the administration tion of this 1 V..a se and any Subleases, but in no event may ear increase the amount of the administrative fev, to an amount in excess of three and riney-half percxort f3 IA ) for an owner who purchased his or her affordable Housing Unit without Tactual, constructive or regulatory notice of'the potential, applicabilky of a grater percentage fee. Language Conferring Monroe County Free Legislative Discretion to Arnend Subject Ground Lease's "Affordable Restrictions"?: Yes, at Article I - Definitions. "Affordable ptestrictions" Aall ream the affordable or employee housing regulations as set forth in Chapter 9,,,s and anv other applicable sections of the Monroe Coumt ,, Lund lDevelopmt nt he it lticons aircountyr (..ode, as hereinafter amended, except that in no event shall the lessor materiilly- and adversely alter the obligations or rights of Lessee Under this. 1 ase, or decrease the lawfully pertnissitile sales price or rental rate for an Affordable Housing unit to less than the specified sales price or rental mates for moderate laconic hcousin,g aas &(A forth in the Land rNwelop pent Regulations in effect at then nmeof execution of this tx ase wherea the ufiect upton our ovwtnerf 5aahless ¢ ragearf zag vwcaatldbetodivest such person or ent �v of value upon which :steep person reasonably ably aanal fauirly relied to their detriment. The substance of the Affordable Restrictions may be freely amended in the 1. sor's legislative discretion, particularly with recpeci to adininim.rattiv e, monitoring and enforcement mechar kris but arty such araa,rarsdment shall not materially diminish the lawfully established and e€ uilably vested: resale value or the. wdstianaMble alienability of "home -ownership" Affordable Housing Baits, or in the case refrentaal--ardy units or prcajeLls, such as the one contemplated herein, shall not materially and adversely diminish or interfere with the Lessee's substsantiva benefits conferred underthis Lcararnveaiits non- admini:straative terms- However, Lessor may, restrict Affordable Ht n.using Unlit resales and rentals to use aas'Employee 1lousing'asdeftn,edinthe AffbotckNe Restrictions,aasamended fronn I.imeA to time (though not in conflict with Lill l'"C requirements),. Maroover„ Lessor may establish in its Affordable Restrictius "arsons" car"assets' criteria that limit ptoten, Baal buyer or rental pools. Anysuch amendment shall not increase InitialLessee's responsibilities as: set forth herein. it is the intent and purpose* and shall be the effect of than Lease and any Affordable Restrictions to ensure that the affordability of Affordable Housing, Units and dedir.atedd real paroyiert;y upon which they are is maintained. and enforced such than any administrative rLde, policy or interpretation there -of, roade by fessor of its designees relati rig to the maximum total amount of consideration and cost permitted to be in anyway involved in a purchase or rental transaac.Fion (including but not lirtrated to purchase price, lease assiguriaerafees, rents or any othevrcompensationgiv=en or ive€ inor'outside"ofa related transact:ionr) shall never exce-M the affordacbilih? criteria reasonably establislsed by Monroe County for the dw lli% units involvext to every esaw, , the construction and interpretation of terms, conditions and restrictions imposed by this use and the. ,kffrardability Restrictionsshall be made in favor of ensuring that long terns affordability, benefits for the re-Vective housing resources inure to the benefit of Monroe County, its economy and its community character, In all cases of conflict between local and federal DFITC rental, tenant eligibility and azthergmi clines, l sse:es shall Lw entitled to adhere to governi.rig federal (1.11T`17 } requirements avithout being deemed in breach of this Lease, 01, the Affordable Pestrsctions, tz _A Lct8_Ad s r ti ? . Lesser` may not charge more than one half of one percent (,00S%) administrative fee based on the sales price for the transfe • trf improvements from one slrfi3 see to another.. Language Conferring Monroe Countv Free Legislative Discretion to Amend Subject Ground Lease's "Affordable Restrictions-?: Yes, at Article I - Definitions, "Affordab[eRestrictions"shall mean the-aklnrdableorempl yceiicnisingregulatior)s Rage sl Of 45 asset forth in a:pplicablesections ofthe Mon roe County Land Development Regulations or Count,,, Code, as hereinafter .amended, except that in no event shall the Lessor materially and adversely ° alter the obligations or rights of lessee under this Lease or decrease the. lawn fully permissible salesprice or rental rate. for an Affordable Housing using Unit to less than the slaecifced sales price or rental ratesfor moderate income housing asset forth in the Land Development Regulations in effect at the time of execution of this Lease where the effect upon an owner/Sublessee/mortgagee would betodivest such person or. entity 0tvalue upon which. such person reasonably and fairly relied to their detriment The substance of the Affordable Restrictions may be freely amended in the Lessor's legislative discretion, particularly with respect to administrative, monitoring and enforcement mechanisms, but any such amendment shall not materially diminish the lawfully established and equitably v.%t€>d ix —sale value or the reasonable aheanalrilita +�f"home-nwaaer tails"Afforda ale Housing Units, or in the case of rental -only units or projects, shall not materially and adversely diminish or interfere with the Lessee's substantive benefits conferred under this Lase or any ofits non-a<hm stra6ve terms. I-lorwevver, Lessor restrict Affordable HoiLsing Unit resales anti rentals to use as 'Employee Housing" as defined in the At`fordable Restrictions, as amended from time to time, Moreover, Lessor may establish, in its Affordable Restrictions means" or"asset5" criteria that limit potential buyer orrental pools. Any -such amendment shall not increase Initial Lessee's responsibilities as set forth herein, It is the intent and purpose and shall be the effect of this Lease and any Affordable restrictions to erasure that the affordabil ity of Affordable Housing Units and dedicated real property upon which they are located is maintained and enforeed such that any adrniuistrative rule, policy or interpretation thereof, made by Lessor or its designees relating to the maximum total amount of consideration and east permitted to be in any ways involved in a purchase or rental transaction ('including but not limited to purchase price, lease assignment fees, rents or any other compensation given or received in or'outside" ofa related transaction) shall newer eNceed the affordability criteria reasonably established by Monroe County for the dwelling snits in-volved. Iu every case, the construction and interpretation of terms, conditions and restrictions unposed by this Lase and the. Atlfordaltllity Restrictionssball be mach: in favor of ensuring that lung term affordability benefits for the respective, housing resource.-, inure to the benefit of Monroe County, itseconon-ty and its com munity character r l a cad... s astrat� Lessee mky not charge more than one half of orte percent (.c)caS%) administrative fee based on the spies price for Lbe transfer of improvements from onesublessee to anothm Lan ua_e Conferring Monroe Count Free Legislative Discretion to Amend Subject Ground Lease's "Affordable Restrictions"?: Yes, at Article I - Definitions, "Affordable H trictions"shall meantbeaffordable or t,.;iip4loycielioi3,giiigregulatiorts as set forth in applicable sectionsof the Monroe County Land Development Regulations Or County Cade, as hereinafter amended, except that in no event shall the. I.esszar materially and adversely alter the obligations or rights of Lessee tinder this tease or decrease the lavvfullyr permissible sales price or rental rate for an Affordable dousing Unit to less than the specified saaks price or rental rates for moderate income trcrtafiiaag;ars set forth in the Land Development Regulations in effect at the time or execution of this tea -se. where the effamti Palle 4 o€.16 etpranaaar�oaner Sttblessre;?traartgage�iveaslddretcitiinestsuchperutrsCara:.s'utit' aftialoe:itpon. which such person reasonably and fairdy re lied to their detriment. The substance of the Affordable Restrictions nnay, be freely" amended in the Les. r, legislative discretion, particularly with respect to administrative, ttacanitoring and enforcement mechanisms, but ariv shich anaendmerit shall not materially diminish the la w•9utliv established and equitably vested re&tali; value or the reasu nable alienability of"home-cave n€ rship" Affordable 14ousitng [:nits, or in the case of rental -only units or prnlect , Shnil nett materially and aadrer ly daatairn`ssh or interfere chitin the Lessee's :roubstantive benefits conferm' d tinder this base or naay of its rton-aciaazlnistrativfe tereaas, However, Lessor may restrict Affordahlo Housing Unit remles and rentals to use as" Employee Housing" as defined in the Affordable Restrictions, as amended from time to time. Moreover, lessor may establish in its Affordable Restrictions "inea.ns" or`°asse;ts" criteria that limit poundal huy-erorrental pools. Any such amendment shall not increase Initial Lessee's responsibilities as set forth herein. It is the intent and purpose and sh ll be the effect of dais tease and anyAffordable Restrictions to erasure that the affordability, of A€t'ordable Hot tying Units and dedicated read property upon. which they are located is maaintaitaed and enforced such that any administrative rotor, policy or interpretation thereof, n e&, by lessor or its designees relating to the m aximiArn total amount of consideration and cost permitted to be in any. way invraNe in a purchase or rental transaction (inchiding but not limited. to purchase price, lease as-sigrarnent fees, rents or any anther compensation given or received in or'outside" of a related transaction) shall never exceed the affordability criteria reasonably established law Monroe County for the dwelling units involved.. in eery, erne, the construction and interpretation of terms, conditions and restrictions imposed bythialt lase and the a'affordahilingRestriationsshaltlbe made in flavor of ensuring that Icing terra affordability benefits for the respective houasinig resources inure to the benefit of Monroe County, its ecttanomy and its.corninutnitycharacter In 10/20/2015 7 *r A rO19701191 A 't R 4 '+Overseas "O�� Marathon, F1 33050 X =� we have found buyerand w. purebm R 1! =, :.... � i..4i 7 . R m execute& tl, to the Chad provided N !R= (rat theCounty' ! ' R = *' ^ ["i - 1, `� R RR ,� ! CA 1Y;{� ' s R`:'►_R r't °�.1M .gM r ► -,R,_ R'+ .c�R . ! f" + . 1 ♦. � R R ;►_<J1 # R i R ,,:' P • 4r 4� 1 :. Rom' l 3 -- R ki <<^tl �` �.1 . R -C. R.,, l `!��' 7; R R R„'�M "�" R r �� 1 I'}: :!'1' R S►" '. R' 1 We would R R G,ir` fllY requestR S the R e i W:,- A R RFeebe waiva it is • r : ii r FdtR i 12.08fthe I Xm-w:a� ► .. �.t; �:r R � `si if f : I,A .:RF 4 'I 'R �. R ..:R 1,rs: R. ,.R "Ri" R+Ru �i RR T lua R• �f".' R 'R:4'♦ . '�. 1 ,'� tau "�,,. t1,:{ Sincerely r,.. m, t �` W -7w4-1 T (44anjugDepartment Marathon, FL 33050 Vo89-2500 FAX: (305) 289-2536 25 Calle Uno Key West, FL 33040 County of Monroe Growth Management Division Board of County Commissioners Mayor Danny Kolhage, Dist, I George Neugent, Dist, 2 David Rice, Dist.4 Silvia Murphy, Dist, 5 We shive to be caring, professional andfair The Planning Department has completed the review your Affordable Housing Application, for #)roperty described as follows: mzm!� 1) The Affordable Housing Deed Restriction is recorded in the Monroe County Public Records. 2) The applicant(s) qualify under the current income allowances based on submitted documentation for a household of 6. 3) The contract is within allowance, 4) The Certificate of Occupancy was issued on 5/29/2008, as indicated on Building Permit 07103428. Based on the documentation submitted, I am pleased to let you know that your application for the household qualifies for the Affordable Housing Program. However, be advised that this approval is valid to May 1, 2016, unless the property is homesteaded by that time, If you are not homesteaded you may be required to re-q.alify, The review of your affordable housing application approval considers only County code provision 289-2513, am= AF14 approval Barter Itr 10.20,2015.doc Doen 16470 i 12/2007 4 : 47 M Filed & Recorded its Official Records of MONROE COUNTY DANNY L m KOLKAGE Doc# 1647623 2301 P9 LEASE BEIWEEN MONROE COUNTY "LESSOR" AND ISLANDER VILLAGE, LLC "LESSEE" DATED April 18, 2007 Doag 1647623 2301 PgN 389 operation of this Lease and the Affordable Restrictions, it being expressly and irrevocab accepted on behalf of all future Sublessees and all -those who would or might succeed their interests, that these Demised Premises and each and every portion thereof, for t entire Terin of this Lease, are to be used as affordable housing according to the Affordab Restrictions. In the event the spouse, heirs, devisees, legatees or beneficiaries of a deceas Owner do not meet the requirements for affordable housing, such persons shall not occu the remises and shall not be entitled to os A imn] F-essor i accomplishing sarne. It is the intent of this Lease, to the ftill extent Florida law permi that constitutional homestead rights not be construed to inhibit or limit the intende operation of this provision. Section 12.o8 Administrative Fees. With the exception of the initial sales by initial Lessee %) of the Purchase Price (gross compensation however described) for any transferred interest (other than simple security mortgage interests or rental agreements) in which fees for rental units. In the event Lessor was unable to identify a purchaser, Lessor shall Price for review of the contract and assistance with coordinating the closing on the Affordable Housing Unit. After the initial sales by Initial Lessee, the iessor or its designee shall be authorized to desianate cl *sin e V14 Lull 1M MWERNMIMBIUM. M. NXIMMMM.M. WMIN ON '67 7 !C�'7 ZM WE �Val L 411 bUU11 ICCb LCEILell to Lne McaunisiLrarl �ease and any Subleases, but in no event may Lessor increase the amount of the administrative fee to an amount in excess of three and one-half percent (3 Va %) for an owner who purchased his or her Affordable Housing Unit without actual, constructive or regulatory notice of the potential applicability of a greater percentage fee, ARTICLE XIII Section 13.ol Eminent Domain, Cancellation. If, at any time during the continuance of this Lease, the Demised Premises or any Dortion thereof is taken, appropriated or condemned by reason of eminent domain, there shall be such division of the proceeds and awards in such condemnation proceedings and such abatement of the Rent and other nk _T :.__T IM j Ssi, _7T_ ----- _T ca 11 T I T 11 1 1 1 1 mll 1 A 1 1 L L 3 _ s B 6 3 R m 6gyFl � .Hza Hill R 5 y6 F „ x x F � IT ITTI � ry