L'Attitudes 04/21/2021 4.'7 Kevin Madok, CPA
' Clerk of the Circuit Court& Comptroller—Monroe County, Florida
DATE: May 6, 2021
TO: Sheryl Graham, Director
Social Services
ATTN: Lourdes Francis
FROM: Pamela G. Hanco ; .C.
SUWECT: April 21" ROCC Meeting
Enclosed is a certified copy of die following item for your handling:
C20 Land I Jse Restriction Agreement for the Stale Housing Initiatives Partnership
Program, for the purpose of guaranteeing a fifteen-year affordability period, between Monroe
County and Habitat for Hum:mily of Key West and Lower Florida Keys for the property known as
I:Altitudes located on Stock Islam! at 5530 unit Avenue, Key West, Florida.
Should you have any questions please feel free to contact me at (305) 292-3550.
cc: County Attorney
Finance
File
KEY WEST MARATHON PLANTATION KEY PIC/ROTH BUILDING
500 Whitehead Street 3117 Overseas Highway 88820 Overseas Highway 50 High Point Road
Key West,Florida 33040 Marathon.Florida 33050 Plantation Key,Florida 33070 Plantation Key,Florida 33070
305-294-4641 305-289-6027 305-852-7145 305-852-7145
MONROE COUNTY STATE HOUSING INITIATIVES
PARTNERHIP PROGRAM (SHIP)
LAND USE RESTRICTION AGREEMENT (LURA)
L'ATTITUDES
This LAND USE RESTRICTION AGREEMENT (LURA) (hereinafter called the
"Agreement")is made and entered into as of this 215t day of April,2021 between HABITAT FOR
HUMANITY OF KEY WEST AND LOWER FLORIDA KEYS, (hereinafter called the
"Owner") and MONROE COUNTY, a political subdivision of the State of Florida (hereinafter
called the"County").
WITNESETH
WHEREAS the County approved funding for HABITAT FOR HUMANITY OF KEY WEST
AND LOWER FLORIDA KEYS, through the County's State Housing Initiatives Partnership
Program (SHIP) for the purpose of rehabilitating L'ATTITUDES, located on Stock Island in
Monroe County, Florida at: 5530 3rd Avenue,Key West, in the City of Key West, Florida,and the
legal description as follows:
Lots 16 and 17, Block 54, according to McDonald's Plat of a part of Stock Island as recorded in
Plat Book 1,page 55, Public Records of Monroe County, Florida.
The Real Property or its address is commonly known as 5530 3id Avenue, Key West, FL 33040.
The Real Property tax identification number is 1161179.
WHEREAS, the County has agreed under certain conditions to issue a deferred forgivable loan
using SHIP funds to provide financing for preservation of affordable rental housing for very low
and low-income persons located at 5530 3`d Ave, Stock Island,Florida, 33040, in Monroe
County,Florida,to be occupied by eligible persons as described Article 1.1 of the Agreement.
WHEREAS, in addition to any other requirements the County may impose incident to its
mortgage,the Owner has agreed that all housing units shall be leased,rented or made available on
a continuous basis for rental to very low and low-income persons as described in Article 1.2 of the
Agreement.
WHEREAS, this Land Use Restriction is intended to ensure that the property be used in
accordance with the SHIP program.
NOW, THEREFORE, in consideration of the mutual covenants set forth herein and other good
and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the
County and the Owner do hereby contract and agree as follows:
AGREEMENT
ARTICLE I. RENTAL HOUSING RESTRICTIONS
1.1 Occupancy
One hundred percent(100%)of the housing units must be set-aside for occupants who
upon initial occupancy of both units must have annual gross incomes equal to or below
eighty percent(80%) for the Monroe County, Metropolitan Statistical Area(MSA), as
determined by the US Department of Housing and Urban Development(HUD)on an
annual basis.
1.2 Income/Eligibility
The Owner shall determine and verify the income eligibility of tenants in accordance
with HUD Section 8 housing assistance programs in 24 CFR Part 5 for the Project.
Income shall be calculated by annualizing verified sources of income for the household
as the amount of income to be received by a household,during the 12 months, following
the effective date of the determination. The Annual Gross Income,as defined in Section
420.9071(4), F.S., must be used and the SHIP Program income limits cannot be
exceeded. The Owner shall maintain complete and accurate income records pertaining to
each tenant occupying a SHIP assisted unit. Onsite inspection as will be conducted
annually upon reasonable prior written notice to verify compliance with tenant income,
rents, and the minimum property standards as stated in Section 420.907-420.9079,
Florida Statutes and Rule 67-37, Florida Administrative Code, as they may be amended
from time to time.
1.3 SHIP Affordability
All housing units are subject to affordability limits established for SHIP assisted rental
units on an annual basis.
1.4 Long-term Affordability
The SHIP funds are subject to recapture during the affordability period if the property is
sold,transferred, etc. If the property is offered for sale prior to the end of the
affordability period, the Property shall be subject to the right of first refusal for purchase
at the current market value minus the grant award by eligible nonprofit organizations that
would provide continued occupancy by 80%and below AMI tenants. The County shall
-
-------have ninety (90) days from the date of notification of intent to sell by the Owner to
identify an eligible non-profit.
1.5 Housing Standards
Rental Units assisted with SHIP funds shall be maintained in compliance with local
building code requirements for the duration of the affordability period. The Owner shall
cooperate with the County by allowing on-site inspection of SHIP assisted units for
compliance with local code requirements.
ARTICLE II. CONSIDERATION
The County has authorized and issued a deferred forgivable loan to the Owner as an inducement
to the Owner to operate the units in the Project for the benefit of low-income households whose
incomes are equal to or less than eighty (80%)percent of median annual gross income for the
Monroe County, Metropolitan Statistical Area(MSA), as determined by the US Department of
Housing-and Urban Development(HUD) on an annual basis, for a period of fifteen(15)years
following completion of the Project. In consideration of the issuance of the loan by the County
for the foregoing purposes,the County and Owner have entered into this Agreement.
ARTICLE III. RELIANCE
In performing its duties hereunder, the County may rely upon statements and certifications of the
Owner, believed to be genuine and to have been executed by the proper person or persons, and
upon audits of the books and records of the Owner pertaining to occupancy of the Project. In
addition, the Florida Housing Finance Corporation may consult with counsel, and the opinion of
such counsel shall be full and complete authorization and protection with respect to any action
taken or suffered by the County in good faith and in conformity with the opinion of such counsel.
The Owner may rely upon certification of low-income households reasonably believed to be
genuine and to have been executed by the proper person or persons.
ARTICLE IV. TERM
This Agreement shall become effective upon its execution and shall remain in full force and effect
for a period of fifteen(15)years from the date of the completion of the rehabilitation of the Project
as confirmed by final inspection by the building department and/or issuance of a final certification
of occupancy.
ARTICLE V. INSURANCE
The Owner shall insure the property for the full replacement cost for the duration of the Land Use
Restriction Agreement. Any such policy must be issued by a company acceptable to the County,
include the County as an additional insured and provide for at least thirty (30) days' notice prior
to cancellation.
ARTICLE VI. DAMAGE,DESTRUCTION OF THE PROJECT
Subject to the superior rights of the holder of any first mortgage, in the event that the Project is
damaged or destroyed, the Owner shall deposit with the County any insurance proceeds and shall
promptly commence to rebuild,replace,repair or restore the Project in such manner as is consistent
with the Loan Documents. The County shall make any such insurance proceeds available to
provide funds for such restoration work. In the event the Owner fails to commence or to complete
the rebuilding, repair, replacement or restoration of the Project after notice from the County, the
County shall have the right, in addition to any other remedies granted in the Loan Documents or
at law or in equity, to repair,restore, rebuild or replace the Project so as to prevent the occurrence
of a default hereunder.
ARTICLE VII. SALE, TRANSFER OR REFINANCING OF THE PROJECT OR
DISSOLUTION OF CORPORATION
The loan for the Project hereunder as to both principal and interest shall be assumable upon project
sale, transfer or refinancing or dissolution of the Owner's Corporation if the proposed Owner of
the Project is an eligible nonprofit organization (approved by the County) and agrees to maintain
all set asides and other requirements of the SHIP Loan Documents for the period originally
specified.
In the event the above-stated conditions are not met, the loan for the Project hereunder as to both
principal and interest shall be due in full upon the sale, transfer or refinancing of the Project.
Notwithstanding, payment of principal and interest in full, these restrictions shall remain in full
force andeffect for the term of this Agreement.
ARTICLE VIII. ENFORCEMENT/DEFAULT
The benefits of this Agreement shall inure to, and may be enforced by the COUNTY for the
duration of the Agreement, whether or not the COUNTY shall continue to be the holder of the
Mortgage,whether or not the Project loan may be paid in full,and whether or not any bonds issued
for the purpose of providing funds for the project are outstanding. The SPONSOR warrants that
it has not, and will not, execute any other agreement with provisions contradictory to, or in
opposition to,the provisions hereof,and that,in any event,the requirements of this Agreement are
paramount and controlling as to the rights and obligations herein set forth and supersede any other
requirements in conflict herewith. However, this shall not preclude the COUNTY from
subordinating its loan to construction financing.
If the Owner defaults in the performance of its obligations under this Agreement or breaches any
covenant, agreement or warranty of the Owner set forth in this Agreement, and if such default
remains uncured for a period of thirty (30) days after notice thereof shall have been given by the
County to the Owner(or for an extended period approved by the County if such default stated in
such notice can be corrected, but not within such thirty (30) day period, and if the Owner
commences such correction within such thirty (30) day period, and thereafter diligently pursues
the same to completion within such extended period),then the County may take any lawful action,
whether for specific performance of any covenant in this Agreement or such other remedy as may
be deemed most effective by the County to enforce the obligations of the Owner with respect to
the Project. If a default by the Owner under this Agreement is not timely cured,the County may
institute foreclosure proceedings against the Project,but only as provided in the Mortgage.
Notwithstanding any of the foregoing,the County will have the right to seek specific performance
of any of the covenants and requirements of this Agreement concerning the rehabilitation and
operation of the Project.
ARTICLE IX. RECORDING AND FILING
Upon execution and delivery by the parties hereto, the County shall cause this Agreement and all
amendments and supplements hereto to be recorded and filed in the official public records of
Monroe County.
ARTICLE X. COVENANTS TO RUN WITH THE LAND
This Agreement and the covenants contained herein shall run with the land and shall bind, and the
benefits shall inure to,respectively,the Owner and the County and their respective successors and
assigns during the Term of this Agreement.
ARTICLE XI. GOVERNING LAW
This Agreement shall be governed by and construed in accordance with the laws of the State of
Florida,with respect to both substantive rights and with respect to procedures and remedies.
ARTICLE XII. ATTORNEY'S FEES AND COSTS
In the event of any legal action to enforce the terms of this Agreement, each party shall bear its
own attorney's fees and costs.
ARTICLE XIII. NOTICE AND EFFECT
Any notice required to be given hereunder shall be given by personal delivery, by registered mail
or by registered expedited service at the addresses specified below or at such other addresses as
may be specified in writing by the parties hereto, and any such notice shall be deemed received on
the dated€delivery if by personal delivery or expedited delivery service, or upon actual receipt if
sent by registered mail.
FOR THE COUNTY FOR THE OWNER
Robert Shillinger, Esq. HABITAT FOR HUMANITY OF KEY
County Attorney WEST AND LOWER KEYS
1111 12th Street, Suite 408 471 Overseas Highway,#102
Key West, FL 33040 Key West, FL 33040
(305)292-3470 P.O. Box 5873 Key West, FL 33045
(305)294-9006
"pi r , WITNESS WHEREOF, the Parties have caused their respective duly authorized
r i a 'ves to execute this Agreement on the date first written above.
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�\ s E ADOK,CPA, CLERK BOARD OF TY COMMISSIONERS OF
r(�j� MOLAR cO,,,, Y FBI,+QR�ID
By: � VV1J
(SEAL) 11 )21I2D21
Date
Pedro Merv,..
Assistant C ty Attorney
HABITAT FOR HUMANITY OF KEY WEST
AN OWE KEYS
4.7&A--
By: Kristin WelburnExecutive Director
Date: 75"Mr"POo1O
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