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HomeMy WebLinkAboutRC 20120216000158 t, �y syr letertor G�ty °rgosvo AFTER RECORDING RETURN TO: P\a116 Renton Housing Authority CONFORMED COPY FEB Attn.Mark Gropper,Executive Director V � 2900 Northeast 10th Street GS Renton,WA 98056 �``-� 20120216000158 RENTON HOUSING COV 65.00 PAGE-001 OF 004 02/16/2012 07:49 • AFFORDABLE HOUSING RESTRICTIVE COVENANT Grantor(s): Housing Authority of the City of Renton Grantee(s): City of Renton Abbreviated Legal Lots 9& 10,Block 42,Volume 57 of Plats,Page 92-98, records of King Description: County, Washington Full legal description is located on pages 1-2. Assessor's Property Tax 722780-1375-00 and 722780-1380-03 Parcel/Account Number(s): This Affordable Housing Restrictive Covenant Agreement ("Covenant") is made and entered into this 6I, day of RitiNct,7 , 2012, by the Housing Authority of the City of Renton("Owner"). RECITALS WHEREAS, the Owner is the fee title owner of certain real property located in Renton, King County, Washington, and legally described as follows: Parcel A: LOT 9, BLOCK 42, CORRECTED PLAT OF RENTON HIGHLAND NO. 2, ACCORDING TO THE PLAT THEREOF, RECORDED IN VOLUME 57 OF PLATS, PAGE(S) 92 THROUGH 98, INCLUSIVE, IN KING COUNTY, WASHINGTON. Parcel B: LOT 10, BLOCK 42, CORRECTED PLAT OF RENTON HIGHLANDS NO. 2, ACCORDING TO THE PLAT THEREOF RECORDED IN VOLUME 57 OF PLATS, PAGE(S) 92 THROUGH 98, INCLUSIVE, IN KING COUNTY, WASHINGTON. 425804.1 1 3581871 0002 -1- (hereinafter referred to as "Property"); and WHEREAS, Owner is building 8-units of affordable housing on the Property referred to generally as the Glennwood Townhomes Project. This project is being funded in part by funds received from King County through the Community Development Block Grant Program (CDBG), and is subject to the terms and conditions of a contract between the Owner and King County under King County Contract No. D40906D\E (the "Contract"); and WHEREAS,pursuant to the Contract,the Owner has agreed to operate the Glennwood Townhomes Project in full compliance with the housing operations and management activities described in Exhibit II to the Contract for a period of fifty (50) years and terminating on . December 31, 2062, at 12:00 noon(the "Affordability Period"); and WHEREAS, pursuant to Renton Municipal Code (RMC) 4-1-210C, entitled Rental Housing Incentive, the Owner has applied to the City for a waiver of one hundred percent (100%) of certain development and mitigation fees applicable to rental housing projects, including (1) building permit fees, (2) building permit plan review fees, (3) water, surface water, and wastewater system development charges, (4) Public Works plan review and inspection fees; and (5) fire, transportation, and parks impact mitigation fees (the "Development and Mitigation Fees"); and WHEREAS, the conditions of the Contract between the Owner and King County relating to the housing operations and management activities described in Exhibit II to the Contract also satisfy RMC 4-1-210C relating to the waiver of Development and Mitigation Fees; and WHEREAS, pursuant to RMC 4-1-210C the City has approved of a waiver of one hundred percent (100%) of the Development and Mitigation Fees, provided that the Owner records restrictive covenants that satisfy the requirements of RMC 4-1-210C; and WHEREAS, the Owner in fulfillment of that obligation desires to place certain restrictions on the use of the Property; NOW, THEREFORE, it is hereby covenanted as follows: RESTRICTIVE COVENANTS 1. Restrictive Covenants. During the Affordability Period, the Owner covenants as follows: A. The proposed construction project is for eight (8) new multi-family rental housing units in the RM-F or R-14 zone within the Center Village zone. B. At least fifty percent(50%) of the units will be set aside as affordable housing. 425804.1 35818710002 -2- . • i. Three of the residential units on the Property shall be rented to tenants with gross annual household incomes at the time of initial occupancy no higher than thirty percent (30%) of median income of the median income in King County, Washington adjusted for family size as estimated from time to time by the United States Department of Housing and Urban Development ("HUD"). In addition, five of the residential units in the Property shall be rented to tenants with gross annual household incomes at the time of initial occupancy no higher than fifty percent (50%) of median income of the median income in King County, Washington adjusted for family size as estimated from time to time by HUD. If HUD ceases to provide such estimates of median income, then median income shall mean such comparable figure for King County, Washington published or reported by a federal, state, or local agency as the City shall select. ii. Pursuant to RMC 4-1-210C(2), "affordable housing" means residential housing that is rented by a low-income household whose monthly housing costs, including rent and utilities other than telephone, do not exceed thirty percent (30%) of the household's monthly income. "Low-income household" means a single person, family, or unrelated persons living together whose adjusted income is at or below sixty percent (60%) of the median income. Rents charged to tenants of the target population shall satisfy the definition of "affordable housing." iii. The Owner shall keep any records and make any reports relating to compliance with this Covenant that the City may reasonably require. 2. Cancellation or Modification. Consistent with RCW 4-1-120(C)(7), in the event the Owner fails to comply with the terms of this Covenant, all Development and Mitigation Fees waived by the City pursuant to Section 4-1-210C of the Renton Municipal Code must be paid with interest. After the Covenant is recorded, the Project may not be modified to owner-occupied "For Sale" housing without the advance approval of the City Council. 3. Covenant Running with the Land. This Covenant shall be appurtenant to and run with the Property described herein and shall be binding on the Owner's successors and assigns, heirs, grantees, or lessees of the Property during the Affordability Period, beginning on the date of initial residential occupancy after construction of the Glennwood Townhomes as contemplated by the Contract. 4. Enforcement and Waiver. The City is a beneficiary of this Covenant and as such, the City may after thirty days notice to the Owner, and if applicable, its successors and assigns, heirs, grantees, or lessees of the Property, enforce this Covenant by an action at law or in equity. Any failure of the City to enforce this Covenant shall not be deemed a waiver of the right to do so thereafter. Invalidation of any one of the conditions of this Covenant by 425804.1 1 358187 1 0002 -3- .'r w , . I s judgment or court order shall in no way affect any other conditions which remain in full force and effect. 5. Recording. This Covenant shall be recorded with the King County Office of Records and Elections following its signature. IN WITNESS WHEREOF, the Housing Authority of the City of Renton has executed this Covenant as of the date set forth below. DECLARANT Housing Authority of the City of Renton, a Washingt munici:,alcorporation By. pie,AO Apr Mar ' .ppe Executive Director Dated: 2. C. /2 STATE OF WASHINGTON ) ) ss COUNTY OF KING ) I certify that I know or have satisfactory evidence that Mark R. Gropper is the person who appeared before me, and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Executive Director of the Housing Authority of the City of Renton to be the free and voluntary act of such entity for the uses and purposes mentioned in the instrument. ��l., -� DATED: �Z. - tit 110TA ` :O U1�, • NAME: 13a tlarc, �, ��r k© �,• O �U .2i (Print Name) y��' r' -'+3� � �� Notary Public in and for the State of Washington °F WASN����� Commission Expires: LW-- 06- / 3 425804.1 13581871 0002 -4- 1