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Home My WebLink AboutRC 20130222000005 r ' AFTER RECORDING RETURN TO: City Clerk City of Renton 11 11 11 11 i 1111 11 1055 S Grady Way Renton, WA 98057 20130222000005 RENTON HOUSING COV 77.00 PAGE-001 OF 005 02/22/2013 07:38 KING COUNTY, WA AFFORDABLE HOUSING RESTRICTIVE COVENANT Grantor(s): Housing Authority of the City of Renton, a public body corporate and politic under RCW 35.82 and the laws of the State of Washington Grantee(s): City of Renton, a noncharter code city under RCW 35A, and a municipal corporation under the laws of the State of Washington Abbreviated Legal Lots 1, 2, and 4, Block 7, Corrected Plat of Renton Highlands No. 2, Description: Volume 57 of Plats, Pages 92 through 98, inclusive, records of King County, Washington. Full legal description is located on pages 1-2 below. Assessor's Property Tax 7227800-185, 7227800-190, and 7227800-200 Parcel/Account Number(s): This Affordable Housing Restrictive Covenant Agreement ("Covenant"), consistent with RMC 4-1-120.C.6, is made and entered into this Pi day of Ae1^t„cu^y , 2013, by the HousingAuthorityof the •,/ City of Renton 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 (Parcel No. 722780-0185-02): Lot 1, Block 7, Corrected Plat of Renton Highlands No. 2, Volume 57 of Plats, Pages 92 through 98, inclusive, records of King County,Washington Parcel B (Parcel No. 722780-0190-05): Lot 2, Block 7, Corrected Plat of Renton Highlands No. 2, Volume 57 of Plats, Pages 92 through 98, inclusive, records of King County,Washington Affordable Housing Restrictive Covenant -1- 425804.1 I 358187 I 0002 r ' Parcel C (Parcel No. 722780-0200-03): Lot 4, Block 7, Corrected Plat of Renton Highlands No. 2, Volume 57 of Plats, Pages 92 through 98, inclusive, records of King County,Washington (Parcels A, B and C are collectively referred to in this Covenant as "Property"); WHEREAS, the Owner is building eighteen (18) units of affordable housing on the Property referred to generally as the Kirkland Avenue Townhomes Project. This project is being funded in part by funds received from the Washington State Housing Trust Fund and King County through the federal HOME and Veterans Services programs, and is subject to the terms and conditions of the associated contracts between the Owner and the State of Washington, Department of Commerce and King County (the "Contracts"); WHEREAS, pursuant to the Contracts, the Owner has agreed to operate the Kirkland Avenue Townhomes Project in full compliance with the housing operations and management activities described in the Contracts for a period of fifty (50) years and terminating on December 31, 2064, at 12:00 noon (the "Affordability Period"); WHEREAS, pursuant to Renton Municipal Code (RMC) 4-1-210.C, entitled Rental Housing Incentive, the Owner has requested from the City, under RMC 4-1-120.C.4.b.i, entitled Fees, a waiver of one hundred percent (100%) of certain development and mitigation fees applicable to rental housing projects, as provided in RMC 4-1-120.C.4.a, including: (i) Building permit fees; (ii) Building permit plan review fees; (iii) Water, surface water, and wastewater system development charges, (iv) Public Works plan review and inspection fees; and (v) Fire, transportation, and parks impact mitigation fees (the "Development and Mitigation Fees"); and WHEREAS, the conditions of the Contracts between the Owner, the State of Washington and King County relating to the housing operations and management activities described in the Contracts also satisfy RMC 4-1-210.0 relating to the waiver of Development and Mitigation Fees; WHEREAS, RMC 4-1-120.C.3 requires that for the owner to qualify for waived fees the project must be a new construction of rental multi-family housing, and that there will be a minimum of eight (8) units if the project is in the RM-F or R-14 zones within the Center Village Comprehensive Plan designation. WHEREAS, pursuant to RMC 4-1-210.0 the City has approved of a waiver of one hundred percent (100%) of the Development and Mitigation Fees, provided that the Owner timely records restrictive covenants that satisfy the requirements of RMC 4-1-210.C.6; and Affordable Housing Restrictive Covenant -2- 425804.1 I 358187 I 0002 WHEREAS, pursuant to RMC 4-1-120.C.6, in order for the project to obtain a fee waiver the Owner must provide for a restrictive covenant indicating that at least fifty percent (50%) of the units will be set aside and rented as affordable housing. WHEREAS, the Owner in fulfillment of that obligation desires to place certain restrictions on the use of the Property; NOW, THEREFORE, the Owner, adopts and fully incorporates into this Covenant the Recitals, and intentionally and voluntarily enters into the following restrictive covenants: RESTRICTIVE COVENANTS 1. Restrictive Covenants. During the Affordability Period, the Owner covenants as follows: a. The proposed construction project is for eighteen (18) new multi- family rental housing units in the RM-F zone within the Center Village zone. b. At least fifty percent (50%) of the units will be set aside as affordable housing. Three (3) 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 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"). ii. In addition, fifteen (15) 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 the median income in King County, Washington adjusted for family size as estimated from time to time by HUD. 1. "Affordable housing," pursuant to RMC 4-1-210.C.2.a, 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. 2. "Low-income household," pursuant to RMC 4-1- 210.C.2.c, 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." c. 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. Affordable Housing Restrictive Covenant -3- 425804.1 1 358187 I 0002 d. 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 4-1-210.0 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 Kirkland Avenue Townhomes as contemplated by the Washington State and County Contracts. 4. Enforcement and Waiver. The Owner intends for and the City is a beneficiary of this Covenant and as such, the City may after thirty (30) calendar 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 at a later time. Invalidation of any one of the conditions of this Covenant by 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 signature. si nature. 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 public body corporate and politic / By: =.:�I►��j`��i Mark . r.i. Executive Director Dated: O • /41 20/3 Affordable Housing Restrictive Covenant -4- 425804.1 I 358187 I 0002 r ' STATE OF WASHINGTON ) ) ss COUNTY OF KING ) 1 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. ,��` DATED: v,7/ -, 3 B i —\gyp, A. Sys l .'g 14- •' \ON 4,:t;. /i' 11 (:.----Z -3-24-e. iQ140-NARYccto: el ,� �a vt,.,----'"�! % NAME: �ry4s7/As�A_ 5l,<A3' ' 11 KONG b� (Print Name) (ll Ozj01(�?•� Notary Public in and for the State of Washington ti� q�FpFWW = Commission Expires: ,_,,J-.,/ -.7'/6 Affordable Housing Restrictive Covenant -5- 425804.1 I 358187 I 0002