HomeMy WebLinkAbout2009 CON CDC Casa Familiar - Real Property Transaction DocumentsRecording Requested By:
FIRST AMERICAN TITLE
National Commercial Services
411
NO CHARGE ON THIS DOCUMENT
PER CALIFORNIA GOVERNMENT
CODE SECTION 6103
Recording Requested By
And When Recorded Mail To:
City of National City
1243 National City Boulevard
National City, CA 91950-4397
DOC # 2009-0664 63
10111111011011110111111111111111111111111111101
OCT 12, 2009 8:00 AM
OFFICIAL RECORDS
SAN DIEGO COUNTY RECORDERS OFFICE
DAVID L. BUTLER, COUNTY RECORDER
FEES: 0.00
PAGES: 14
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DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS
(TENANT RESTRICTIONS)
THIS DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS
("Declaration") dated as of the 1 S' day of October, 2009, by Casa Familiar, Inc., a California
nonprofit public benefit corporation ("Declarant") in connection with that certain parcel of real
property ("Property") located in the City of National City, County of San Diego, California,
described in Exhibit "A" attached hereto and incorporated herein by reference.
RECITALS
A. Concurrently with the recordation of this Declaration, the Community Development
Commission of the City of National City ("CDC") is funding a loan ("Loan") secured by a deed of
trust ("Deed of Trust") on the Property, as described in the Acquisition, Rehabilitation and
Permanent Financing Loan Agreement of even date herewith ("Agreement").
B. The Agreement and Deed of Trust were conditioned by CDC in part upon the
recordation of a document setting forth certain restrictions upon the use and sale of the Property.
Declarant shall rehabilitate the entire ten (10) dwelling unit affordable housing project (the
"Project"). One of the ten (10) units will be occupied as a manager's unit, and will not be rent
restricted.
NOW, THEREFORE, Declarant hereby declares that the Property shall be subject to the
covenants, conditions and restrictions set forth below:
1. Restrictive Covenants. Declarant agrees and covenants on behalf of itself and its successors
and assigns, and each successor in interest to the Property, that at all times during the term of this
Declaration set forth herein nine (9) residential units at the Project shall be set aside and reserved as
"Affordable Units." As used herein the term "Affordable Units" shall refer to the nine (9) residential
units in the Project which are owned or held available strictly in accordance with the terms and
conditions set forth below.
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(a) Affordable Unit and HOME Unit Restrictions. The following restrictions shall apply
to the nine (9) Affordable Units, including the six (6) floating Affordable HOME Units ('HOME
Units") restricted pursuant to the HOME Program and the balance of three (3) Affordable Units shall
be restricted as set forth herein. The restrictions set forth in the Table below shall establish the
maximum rental rate, from which a utility allowance as approved by CDC shall be deducted:
Number of Affordable Units (Column 1); Unit Type (Column 2); Maximum Rents as Percentage of
AMI (Column 3); Number of HOME Units (Column 4); Limit in Income of Eligible Tenants based
upon percentage of the Median Area Income (Column 5); Years of Restriction (Column 6):
TABLE OF RENT AND INCOME RESTRICTION CRITERIA
MEMBER OF
AFFORDABLE
t INITS
LNI I I1'I'L. SI/.L-
MAXIMUM RENTS
AS %AGE. 01 AMI
NUMBER OF HOME
(NITS
MAXIMUM % OF
AREA MEDIAN
INCOME OF
ELIGIBLE. 7 ENANI S
YEARS OF RENT
RESTRICTION
2-Bedroom
30% of 50%
2***
50%
55***
4
2-Bedroom
30°/o of 60°/
4***
60%
55***
2-Bedroom
IOLAL
Al-I-ORDABLE
ONDS
9
30% of 80%
0***
TOI:AL. I10,ME UNITS
80%
55***
*** Note the HOME Units will be restricted for fifteen (15) years under the HOME -Program. From
year 16 through year 55, the Affordable Units that were previously restricted as HOME Units will
continue to be subject to the restrictions set forth herein.
Note: One (1) one -bedroom unit is not shown above and is not restricted. It will be used as a
manager's unit.
(b) "Eligible Tenants" are those tenants whose aggregate gross annual income does not
exceed the respective percentages set forth in the table above of annual median income, as adjusted
for family size. For purposes of this Declaration, the current annual median income shall be the
median income defined by the Department of Housing and Urban Development (`HUD") as the then
current median income for the San Diego Standard Metropolitan Statistical Area, established
periodically by HUD and published in the Federal Register. as adjusted for family size. The rents
and the occupancy restrictions shall be deemed adjusted, from time to time, in accordance with any
adjustments that are authorized by HUD or any successor agency. In the event HUD ceases to
publish an established median income as aforesaid, CDC may, in its sole discretion, use any other
reasonably comparable method of computing adjustments in median income or HOME Program
rents. Notwithstanding anything contained herein to the contrary, to the extent any other restrictions
applicable to the Property limit the rent and/or occupancy of the Property, the most restrictive shall
apply.
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(c) An adjustment of rents may be performed annually in accordance with the rents
contained in the applicable CDC or HUD rent schedules published by the CDC based upon the HUD
determined median income for the San Diego Standard Metropolitan Statistical Area for the affected
unit type and updated from time to time. However, in no event shall the rents, as adjusted, exceed
the maximum HOME rents for HOME Affordable Units. Further, the rents charged shall be further
limited as set forth in Section 14, hereof.
2. All Affordable Units Occupied By Seniors.
(a) Occupancy by Senior Citizens. All Affordable Units shall be occupied only
by "Senior Citizens." "Qualified Permanent Residents" and/or "Permitted Health Care Residents."
The term "Senior Citizen" as used herein means a person 55 years of age or older.
(b) Qualified Permanent Resident. 1'hc term "Qualified Permanent Resident' as
used herein means a person who meets both of the following requirements: (i) the person was
residing with the Senior Citizen prior to the death, hospitalization, or other prolonged absence of, or
the dissolution of marriage with, the Senior Citizen, and (ii) the person was 45 years of age or older,
or was a spouse, cohabitant, or person providing primary physical or economic support to the Senior
Citizen.
(c) Additional Definition of Qualified Permanent Resident. The term "Qualified
Permanent Resident" as used herein also means a disabled person or person with a disabling illness
or injury who is a child or grandchild of the Senior Citizen who needs to live with the Senior Citizen
because of the disabling condition, illness, or injury. For any person who is a Qualified Permanent
Resident under this Section 2(c) whose disabling condition ends, the Declarant may require the
formerly disabled resident to cease residing in the development upon receipt of six months' written
notice; provided. however, that the Declarant may allow the person to remain a resident for up to one
year after the disabling condition ends. The Declarant may take action to prohibit or terminate
occupancy by a person who is a qualified permanent resident under this paragraph if the Declarant
finds, based on credible and objective evidence, that the person is likely to pose a significant thrcat to
the health or safety of others that cannot be ameliorated by means of a reasonable accommodation;
provided, however, that the action to prohibit or terminate the occupancy may be taken only after
doing both of the following: (i) providing reasonable notice to and an opportunity to be heard for the
disabled person whose occupancy is being challenged, and reasonable notice to the co -resident parent
or grandparent of that person, and (ii) giving due consideration to the relevant, credible, and
objective information provided in the hearing. The evidence shall be taken and held in a confidential
manner, pursuant to a closed session. by the Declarant in order to preserve the privacy of the affected
persons. The affected persons shall be entitled to have present at the hearing an attorney or any other
person authorized by them to speak on their behalf or to assist them in the matter.
(d) Permitted Health Care Resident. The term "Permitted Health Care Resident"
as used herein means a person hired to provide live-in, long-term, or terminal health care to a Senior
Citizen or Qualified Permanent Resident residing in the Project, or a family member of the Senior
Citizen or Qualified Permanent Resident residing in the Project providing that care. For the purposes
of this section, the care provided by a Permitted Health Care Resident must he substantial in nature
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and must provide either assistance with necessary daily activities or medical treatment, or both. A
Permitted Health Care Resident shall be entitled to continue his or her occupancy, residency, or use
of the dwelling unit as a permitted resident in the absence of the Senior Citizen from the dwelling
unit only if both of the following are applicable: (i) the Senior Citizen became absent from the
dwelling due to hospitalization or other necessary medical treatment and expects to return to his or
her residence within 90 days from the date the absence began, and (ii) the absent Senior Citizen or an
authorized person acting for the Senior Citizen submits a written request to the Declarant stating that
the Senior Citizen desires that the Permitted Health Care Resident be allowed to remain in order to
be present when the Senior Citizen returns to reside in the development. Upon written request by the
Senior Citizen or an authorized person acting for the Senior Citizen, the Declarant shall have the
discretion to allow a Permitted Health Care Resident to remain for a time period longer than 90 days
from the date that the Senior Citizen's absence began, if it appears that the Senior Citizen will return
within a period of time not to exceed an additional 90 days.
(e) Guests. A guest of a Senior Citizen or Qualified Permanent Resident, under
55 years of age shall be permitted to temporarily reside in an Affordable Unit for periods of time, not
more than 60 days in any year.
3. Affordable Marketing Plan Compliance. Eligible Tenants shall be described in Declarant's
approved Affirmative Marketing Plan and Declarant shall comply with the terms of its approved
Affirmative Marketing Plan, renting to those person(s) referenced in said approved plan, as may be
amended from time to time. Provided, however, nothing herein shall restrict Declarant from
screening tenants through the application of criteria which is lawful and customary in apartment
management in San Diego County and otherwise consistent with federal, state and local regulations
and restrictions related to the financing for the Property.
4. Determination; Annual Requalification. On the July 1 immediately following the calendar
year in which rehabilitation ofthe Affordable Units is completed, and annually on July 1 of each year
thereafter during the term of this Declaration, Declarant shall certify to the CDC under penalty of
perjury, utilizing such forms and providing such backup documentation as the CDC may require, that
Declarant is complying with all provisions of this Declaration. Failure to complete the annual
certification process described in this Section 4 within 15 days ofrcccipt of written notice from CDC
shall constitute a material default under this Declaration. The CDC may resort to the remedies set
forth herein upon such material default, as well as any and all other remedies available at law or in
equity or contained in the Agreement or Deed of Trust.
5. Relationship with Declarant. The term "Eligible Tenant" shall not include Declarant or any
individuals who are partners or shareholders in Declarant or in any entity having an interest in
Declarant or in the Property, or officer, employee, agent or consultant of the owner, developer or
sponsor.
6. No Student Dependents. No Affordable Unit shall be occupied or leased to any person who
is a full-time student, or a household comprised exclusively of persons who are full-time students,
unless such persons are married and eligible to file a joint federal income tax return. The term "full-
time student'. shall be defined as any person who will be or has been a full-time student during five
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calendar months of the calendar year in question at an educational institution (other than a
correspondence school) with regular faculty and students and or a student dependent as defined in the
U.S. Internal Revenue Code, unless the taxpayer (upon whom the student in question is dependent)
resides in the same dwelling unit.
7. Income of Co -tenants, etc. The income of all co -tenants and/or non-dependent occupants
shall be taken into account in determining whether a household is an Eligible Tenant hereunder.
8. Over Income Tenants. In the event that a tenant who was properly certified as an Eligible
Tenant at the commencement of such tenant's occupancy ceases to be eligible, for any reason other
than the tenant being over income, Tenant shall give sixty (60) days written notice to such tenant to
vacate the Affordable Unit. The vacated Affordable Unit shall thereafter be rented to an Eligible
Tenant. Notwithstanding anything to the contrary in this Declaration, no occupant of a HOME
Program Affordable Unit or Affordable Unit who previously and properly qualified as an Eligible
Tenant shall be evicted by Declarant because such occupant fails to requalify as an Eligible Tenant,
because such occupant exceeds the income limits set forth above. as in the case of increased income,
except as provided for in Section 92.252 of the Code of Federal Regulations, as amended from time
to time. Rather, the next available unit shall be designated as a HOME Program Affordable Unit or
Affordable Unit to replace the Unit of the occupant in question. Further, subject to the fair market
limitations set forth in HOME Regulation 92.252, such occupant shall commence paying rent equal
to 30% of such occupant's adjusted income, effective from and after the date of such failure to
requalify. The over -income tenant shall continue to be considered an Eligible Tenant until evicted,
provided this continued occupancy complies with the applicable regulations as referenced below.
depending upon the sources of funds involved:
(a) Non -HOME Funds. A tenant who occupies an Affordable Unit that is not a HOME
Affordable Unit and who becomes over income at the time of recertification shall be given one
hundred eighty (1 80) days notice to vacate the affordable unit, effective from and after the date of
such failure to requalify (i.e., the recertification date, provided the tenant was properly certified
originally). During the time the over -income tenant resides in the Affordable Unit, the tenant shall
continue to pay the restricted rent. The tenant shall continue to be considered an "Eligible Tenant''
until evicted, provided this continued occupancy complies with this Declaration.
(b) HOME Program Funds. When a HOME Eligible Tenant's gross income exceeds the
"low income" definition as defined in CFR 92.252(i), then the tenant shall commence paying rent
equivalent to thirty percent (30%) of the tenant's adjusted income, subject to the fair market rent
ceiling as set forth in HOME Regulation 92.252(i) and the next available comparable sized and
configured unit shall be designated as a HOME Affordable Unit. The tenant shall continue to be
considered an Eligible Tenant, provided this continued occupancy otherwise complies with all
applicable HOME Program requirements.
9. Physical Condition of Affordable Units. After completion of rehabilitation of the Project,
Declarant shall continually maintain the Affordable Units in a condition which satisfies the Housing
Quality Standards promulgated by HUD under its Section 8 Program, as such standards are
interpreted and enforced by CDC under its normal policies and procedures. CDC shall have the right
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to inspect the Affordable Units from time to time, on reasonable notice and at reasonable times, in
order to verify compliance with the foregoing maintenance covenant. Further, each Affordable Unit
shall be requalified annually, as to the foregoing maintenance covenant, as part of the annual tenant
requalification process described in Section 4, above. Any deficiencies in the physical condition of
an Affordable Unit shall be corrected by Declarant at Declarant's expense within thirty (30) days of
the identification of such deficiency by CDC and delivery of written notice of the same to Declarant.
10. CDC Monitoring Functions. It is contemplated that, during the tern of this Declaration,
CDC will perform the following monitoring functions: (a) preparing and making available to
Declarant any general information that CDC possesses regarding income limitations and restrictions
which are applicable to the Affordable Units; (b) reviewing the documentation submitted by
Declarant in connection with the annual certification process for Eligible Tenants described in
Section 4, above; and (c) inspecting the Affordable Units to verify that thcy arc being maintained in
accordance with Section 9, above. Notwithstanding the foregoing description of CDC's functions,
Declarant shall have no claim or right of action against CDC based on any alleged failure to perform
such function, except that Declarant may reasonably rely upon CDC's tenant eligibility
determination.
11. Designation of Affordable HOME Units. The HOME Units, six (6) floating units as
discussed in the "Table of Rent and Income Restriction Criteria" will be designated prior to initial
occupancy at the discretion of CDC. Such designations maybe changed by Declarant, provided that
the units before and after the change in designation are of the same unit types, size, features and
otherwise comply with the terms of 24 C.F.R. §92.252(j).
12. Compliance with HOME Regulations. Declarant shall comply with all regulations, policies
and procedures promulgated by HUD, or by CDC in connection with the HOME Program, under
which the Loan is being made to Declarant. Declarant's failure to so comply shall constitute a
material default hereunder, entitling CDC to the remedies set forth in Section 24, below.
13. Lease Provisions. Declarant agrees that it will include in all of its leases and cause its
successors in interest to include in all of their leases, all provisions required under the terms of the
HOME Program, including the following provisions:
(a) Additional Lease Provisions/Annual Income Verification. Lessee agrees.
upon written request from the landlord or the Community Development Commission
of the City of National City ("CDC"), to certify under penalty of perjury the accuracy
of all information provided in connection with the examination or reexamination of
annual income of the tenant's household. Further, tenant agrees that the annual
income and other eligibility requirements are substantial and material obligations of
the tenancy and that the tenant will comply promptly with all requests for information
with respect to the tenancy from the landlord and/or CDC. Further, tenant
acknowledges that tenant's failure to provide accurate information regarding such
requirements (regardless of whether such inaccuracy is intentional or unintentional)
or the refusal to comply with the request for information with respect thereto, shall be
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deemed a violation of this lease provision, and a material breach of the tenancy and
shall constitute cause for immediate termination of the tenancy.
(b) Term of Lease for HOME Program Restricted Units. LESSEE has been made
aware by Landlord that the unit being leased was assisted with HOME funds. Under
the provisions of 24 C.F.R. §92.253, a lease must be for a period of not less than one
(1) year unless the parties agree by mutual agreement that the term of the lease be
less. The Lessee acknowledges by initialing in the space below that it has been made
aware of the provisions of 24 C.F.R. §92.253.
14. Successors Bound. Declarant covenants, for itself and its successors and assigns, not to sell,
transfer, assign or otherwise dispose of ownership of the Property, without the express written
consent of the CDC. Any prospective purchaser, transferee or assignee shall expressly promise in
writing to be bound by all of the provisions hereof, including the covenant in this Section 14 to
require successors to expressly assume the obligations herein. It is expressly acknowledged that the
covenants and restrictions set forth herein shall survive any repayment of the Loan. Further, the
obligations of Declarant hereunder shall be deemed independent of Declarant's obligations under the
Loan.
15. Maximum Rent To Be Collected by Declarant. In no event, shall all of the rent paid by the
Eligible Tenant for any rent restricted unit exceed the amount of rent set forth in Table 1. Should
Declarant receive rent from a tenant in excess of the allowable maximum rent set forth in Table 1,
Declarant agrees to immediately notify the CDC and reimburse the CDC for any such overpayment.
Acceptance by Declarant or its successors in interest, of rent in excess of the maximum rent set forth
in Table 1 shall constitute a material breach of this Declaration and the Agreement.
16. Cross Default; Occupancy Schedule for Affordable Units. A default under the Agreement,
including without limitation failure to make the annual loan payments to the CDC as set forth in the
Agreement, shall be a material default under this Declaration. The Affordable Units shall be
rehabilitated and receive final inspection approval and shall be occupied by Eligible Tenants no later
than June 30, 2010. Time is of the essence in the rehabilitation and occupancy of the Affordable
Units.
17. Tenn. This Declaration and the covenants and restrictions contained herein shall be effective
upon the completion of the rehabilitation of the Project and shall remain in full force and effect for a
period of fifty-five (55) years from their effective date.
18. Covenant Against Discrimination. Declarant covenants on behalf of itself and its successors
and assigns, and each successor in interest to the Property, not to discriminate against any purchaser
or prospective purchaser of any Affordable Unit on the basis of their race, age, sexual orientation,
marital status, color, religion, sex, handicap. or national origin, as referenced in all applicable state,
local and federal law.
19. Enforcement. Declarant expressly agrees and declares that CDC or any successor public
agency is a proper party and shall have standing to initiate and pursue any and all actions or
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proceedings, at law or in equity to enforce the provisions hereof and,/or to recover damages for any
default hereunder. notwithstanding the fact that such damages or the detriment arising from such
default may have actually been suffered by some other person or the public at large. Further, CDC or
any successor public agency shall be the proper party to waive, relinquish, release or modify the
rights, covenants, obligations or restrictions contained in or arising under this Declaration.
20. Attorneys' Fees. In the event that any litigation for the enforcement or interpretation of this
Declaration, whether an action at law or arbitration or any manner of non -judicial dispute resolution
to this Declaration by reason of the breach of any condition or covenant, representation or warranty
in this Declaration, or otherwise arising out of this Declaration, the prevailing party in such action
shall be entitled to recover from the other reasonable attorneys' fees to be fixed by the court which
shall render a judgment. as well as the costs of suit.
21. Severability. In the event that any provision or covenant of this Declaration is held by a court
of competent jurisdiction to be invalid or unenforceable, then it shall be severed from the remaining
portions of this Declaration which shall remain in full force and effect.
22. Covenants to Run With the Land. The covenants contained herein shall constitute
"covenants running with the land". and shall bind the Property and every person having an interest
therein during the term of this Declaration. Declarant agrees for itself and its successors that, in the
event that, for any reason whatsoever, a court of competent jurisdiction determines that the foregoing
covenants do not run with the land. such covenants shall be enforced as equitable servitudes against
the Property.
23. Recordation; Waiver and Amendment. This Declaration shall be recorded in the Office of
County Recorder of San Diego, California. No provision of this Declaration, or breach of any
provision, can be waived except in writing. Waiver of any provision or breach shall not be deemed
to be a waiver of any other provision, or of any subsequent breach of the same or other provision.
Except as otherwise provided herein, this Declaration may be amended, modified or rescinded only
in writing signed by Declarant and the CDC.
24. Remedies.
(a) Contract Governed by Laws of State of California. This Declaration, its performance,
and all suits and special proceedings under this Declaration, shall be constituted in accordance with
the laws of the State of California and Federal law, to the extent applicable. In any action, special
proceeding, or other proceeding that may be brought arising out of, under or because of this
Declaration, the laws of the State of California and the United States, to the extent applicable, shall
govern to the exclusion of the law of any other forum, without regard to the jurisdiction in which the
action or special proceeding may be instituted.
(b) Standing, Equitable Remedies; Cumulative Remedies. Declarant expressly agrees
and declares that CDC or any successor or public agency shall be the proper party and shall have
standing to initiate and pursue any and all actions or proceedings, at law or in equity, to enforce the
provisions hereof and/or to recover damages for any default hereunder, notwithstanding the fact that
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such damages or the detriment arising from such a default may have actually been suffered by some
other person or by the public at large. Further, Declarant expressly agrees that receivership,
injunctive relief and specific performance are proper pre-trial and/or post -trial remedies hereunder,
and that, upon any default, and to assure compliance with this Declaration. Nothing in this
subparagraph, and no recovery to CDC, shall restrict or limit the rights or remedies of persons or
entities other than CDC, against Declarant in connection with the same or related acts by Declarant.
The remedies set forth in this Section are cumulative and not mutually exclusive, except the extent
that their award is specifically determined to be duplicative by final order of a court of competent
jurisdiction.
(c) Remedies at Law for Breach of Tenant Restrictions. In the event of any material
default under Sections 1 through 23 hereof regarding restrictions on the operation and the transfer of
the Property and the expiration of any applicable cure period provided under the Agreement, the
CDC shall be entitled to, in addition to any and all other remedies available at law or in equity: (i)
declare the Loan to be all due and repayable; and (ii) recover compensatory damages. If the default
in question involves the collection of rents in excess of the rents permitted hereunder, the amount of
such compensatory damages shall be the product of multiplying: (a) the number of months that the
default in question has continued until the time of trial by (b) the result of subtracting the rents
properly chargeable hereunder for the Affordable Units in question from the amount actually charged
for those Affordable Units. Declarant and the CDC agree that it would be extremely difficult or
impracticable to ascertain the precise amount of actual damages accruing to the CDC as a result of
such a default and that the foregoing formula is a fair and reasonable method of approximating such
damages. The CDC shall be entitled to seek and to recover damages in separate actions for
successive and separate breaches which may occur. Further, interest shall accrue on the amount of
such damages from the date of the breach in question at the rate of ten percent (10%) per annum or
the maximum rate than allowed by law, whichever is less. Nothing in this section shall preclude the
award of exemplary damages as allowed by law.
(d) Expert Witness, Attorneys' Fees, and Costs. The parties agree that the prevailing
party in litigation for the breach and/or interpretation and/or enforcement of the terms of this
Declaration and/or the Agreement shall be entitled to their expert witness fees, if any, as part of their
costs of suit, and reasonable attorneys' fees as may be awarded by the court, pursuant to California
Code of Civil Procedure ("CCP") § 1033.5 and any other applicable provisions of California law,
including, without limitation, the provisions of CCP §998.
25. Mortgagees Protection. No violation or breach of the covenants, conditions, restrictions,
provisions or limitations contained in this Declaration shall defeat or render invalid or in any way
impair the lien or charge of any permitted deed of trust recorded on the Property provided, however,
that any subsequent owner of the Property shall be bound by the covenants, conditions, restrictions,
limitations and provisions of this Declaration, whether such owner's title was acquired by
foreclosure, deed in lieu of foreclosure, trustee's sale or otherwise.
26. CDC's Approval of Property Manager. At all timcs that this Declaration is in force and
effect, and CDC has served a thirty (30) day written notice of deficiencies in the property
management for the Property which do not conform to the standards of property management of a
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professional property manager operating similar properties in San Diego County and which
deficiencies have not been rectified by Declarant, within the thirty (30) day period (unless such
deficiency is not reasonably capable of being cured within such thirty (30) day period, then such
reasonable amount of time as is needed not to exceed ninety (90) days, provided Declarant
commences cure within such thirty (30) day period and continues to diligently pursue cure), then,
CDC shall have the right, in its reasonable discretion, and upon thirty (30) days written notice: (i) to
require the retention of a professional property management firm to manage the Property; (ii) to
approve, in advance and in writing, the retention of any such property management firm, including
the terms of the contract governing such retention; and (iii) to require Declarant to terminate any
such property management firm, provided that such termination shall comply with the termination
provisions of the management contract in question. Declarant shall cooperate with CDC to
effectuate CDC's rights.
27. Declarant Required to Pay Monitoring Fees. Declarant shall pay CDC a set-up fee (the "Set -
Up Fee") in the amount of Five Hundred Dollars ($500.00) which shall be paid by Declarant to CDC
at closing of the Loan. Declarant shall pay to CDC an annual monitoring fee, as determined by CDC
in schedules printed by CDC from time to time. Said fee shall be subject to revision annually, based
upon the increase in the Consumer Price Index for the San Diego Metropolitan Area. Each year the
Monitoring Fees shall be increased based upon the percentage of increase in the Cost of Living as
referenced in the Consumer Price Index for the San Diego Metropolitan Area. In no event, shall the
monitoring fees decrease, however. The schedule of monitoring fees may be requested from CDC.
No fees shall be due and payable for any of the HOME Units, however. Annual Monitoring Fees
shall be paid to CDC annually within ten (10) days after CDC provides a written invoice for the
same. Failure to timely pay such fees shall constitute a material default under the terms and
conditions of the Agreement and this Declaration. Both the Set -Up Fee and the Loan Monitoring Fee
shall be paid to CDC as a consideration for the lending of funds by CDC to Declarant.
28. No Conversion to Condominiums. Declarant agrees during the term of this Declaration, that
Declarant shall not, and shall not allow any other person to, cause all or any portion of the Property
to be converted to condominiums or to otherwise allow a condominium map or condominium plan to
be recorded or filed against all or any portion of the Property. Declarant further agrees that the
conversion of all or any portion of the Property to condominiums and/or the recordation or filing of a
condom inium map or condominium plan against all or any portion of the Property during the term of
this Declaration, shall be a breach of this Declaration, the Agreement, the Note, as defined in the
Agreement, and the Deed of Trust, entitling the CDC to immediately exercise any and all of its rights
and remedies under this Declaration, the Agreement, Note and Deed of Trust, including without
limitation acceleration of the Note and foreclosure under the Deed of Trust.
29. Noticing Requirements Prior to Termination. Prior to termination of this Declaration,
Declarant shall comply with any and all noticing requirements required under any applicable laws or
regulations, including without limitation, the requirements of California Government Code Sections
65863.10 and 65863.11.
30. No Further Encumbrance. Should Declarant agree to or actually sell, convey, transfer, further
encumber or dispose of the Property or any interest in it (or obtain any other funds with respect to the
10
L:ACLIFNTS.NAIIONAI. CnY304 FAST 5111 (CASA FAMILIAR) :FINAI VIFCLARAIION.DOC
421
Property or Declarant's activities at the Property, regardless of whether the source), without first
obtaining the written consent of the CDC, shall be a material breach of this Declaration. The consent
to one transaction of this type will not constitute a waiver of the right to require consent to future or
successive transactions. This Declaration shall remain in effect for its fifty-five (55) year term,
whether or not CDC approves or disapproves a successor -in -interest or further encumbrance.
31. Indemnity. Declarant shall be responsible for all injuries to persons and/or all damages to
real or personal property of the CDC or others, caused by or resulting from the sale, rental,
ownership or operation of the Property, the negligence and/or breach of this Declaration, of itself, its
employees, subcontractors and/or its agents during or arising out of rehabilitation of the Affordable
Units. Declarant shall defend and hold harmless and indemnify the CDC, and all of its officers and
employees from and against all claims, liens, claims of lien, losses, damages, judgments, costs, and
expenses, whether direct or indirect, arising in any way from (i) the sale, rental, ownership or
operation of the Property, including without limitation the Affordable Units; (ii) Declarant's
negligence; (iii) breach of this Declaration, by Declarant, its employees, subcontractors and/or its
agents; and/or (iv) arising out of the rehabilitation of the Affordable Units, except thosc arising from
the sole negligence or willful misconduct of the CDC.
32. Signature Authority. All individuals signing this Declaration for a party which is a
corporation, limited liability company, partnership or other legal entity, or signing under a power of
attorney, or as a trustee, guardian, conservator, or in any other legal capacity, covenant to the CDC
that they have the necessary capacity and authority to act for, sign and bind the respective entity or
principal on whose behalf they are signing.
DECLARANT:
Casa Familiar, Inc., a California nonprofit public benefit corporation
Andrea Skorepa, President and CEO
CDC:
Community Development Commission of the City of National City
By:
Br
xecutive Director
APPROVED AS TO FORM:
Christensen & Spath LLP, Special Counsel to the CDC
By:
I1
E:ACLIENTSINATIONAL CI'IY,304 LAST 5111 (CASA LAMILIARIALINALDECLARATION.DOC
ACKNOWLEDGMENT
State of California
County of San Diego
422
On 7 d4 29O T 2009 before me,frMet e•ifed/40.1 447/ vle- , personally
appeared A-1),MM- 5,enekilif who p proved to me on the basis of
satisfactory evidence to be the person(erwhose nameciOare subscribed to the within instrument
and acknowledged to me that h., hey executed the same in ' j heir authorized capacity(.i.es-),
and that by hisQlreir signaturot-s) on the instrument the person(), or the entity upon behalf of
which the person(15) acted, executed the instrument.
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° feet //,� 1/41 A'
(Seal)
12
L:ACLILNISWATIONA1 CITY`,304 LAS 15111 (1 ASA FAMILIAR).FINA1 •DFCLARATION.DOC
MICHAEL R. FREEDMAN
Commission # 1846675
Notary Public - California i
San Diego County
Comm. Expires Apr 30, 2013
ACKNOWLEDGMENT
State of California
County of San Diego
423
One dT%(� pD 2009before me, x i.�//�i ,[��q/� �/�' / personally
appeared who proved to me on the basis of
satisfactory evidence to be the erson-) whose name( re subscribed to the within instrument
and acknowled ed to me that le she>/they executed the same i is, erttheir authorized capacity(ies};
and that by ei/their signaturetq on the instrument the person(, or the entity upon behalf of
which the person(s4acted, executed the instrument.
1 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.
13
MICHAEL R. FREEDMAN
Commission # 1846675
Notary Public - California z
San Diego County
My Comm. Expires Apr 30, 2013
(Seal)
F:K'I_IFNI S.NATIONAL ('ITY,304 FAST 5'I I I (CASA FAMILIAR).FINAI.DL('I ARA"IION.DO('
424
Exhibit "A"
Property Description
All that certain real property situated in the City of San Diego, County of San Diego, State of
California, described as follows:
LOTS 1, 2 AND 3 AND THE NORTH HALF OF LOT 4 IN BLOCK 4 OF J.D. O'CONNELL'S
SUBDIVISION OF THE EAST HALF OF THE 10 ACRE TRACT 6, IN QUARTER SECTION 155
OF RANCHO DE LA NACION, IN THE CITY OF NATIONAL CITY. COUNTY OF SAN
DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 468, FILED IN THE
OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, JANUARY 24, 1888.
APN: 556-214-01-00
14
I'.ICLIENTS ',,NATIONAL CFI Y'304 EAST 5111 ICASA FAMII IARI PINK `.DECIARAIIONDO('
Recording Requested By:
FIRST AMERICAN TITLE
National Commercial Services
NO CHARGE ON THIS DOCUMENT
PER CALIFORNIA GOVERNMENT
CODE SECTION 6103
Recording Requested By 438
And When Recorded Mail To:
City of National City
1243 National City Boulevard
National City. CA 91950-4397
IIIIIIII III DIII IIIII IIIII IIIII IIIII IIHI IIIH IIIII �1111 IIIII IIII �111
OCT 12, 2009 8:00 AM
OFFICIAL RECORDS
SAN DIEGO COUNTY RECORDER'S OFFICE
[:AVID L. BUTLER.. COUNTY RECORDER
FEES: 0.00
PAGES: 8
11111111111111111111111111111111111111111111111111111111111111111111111111111111
AGREEMENT AFFECTING REAL PROPERTY
AND CONSENT TO FURTHER ENCUMBRANCE
THIS AGREEMENT AFFECTING REAL PROPERTY AND CONSENT TO FURTHER
ENCUMBRANCE ("Agreement") is made as of this 6th day of October, 2009, by Casa Familiar,
Inc.. a California nonprofit public benefit corporation ('Borrower'), Clearinghouse Community
Development Financial Institution ("Clearinghouse") and Community Development Commission of
the City of National City ("CDC").
Borrower, Clearinghouse and the CDC hereby agree as follows:
1. Borrower is the owner of certain real property in the City ofNational City, County of
San Diego, California (the "Property"), as more particularly described in Exhibit A, attached hereto.
2. Clearinghouse has agreed to loan the Borrower a sum not to exceed Six Hundred
Eighty -Five Thousand and No/100 Dollars ($685,000.00) (the "Senior Loan"). The Senior Loan
will be evidenced by a promissory note, the repayment of which will be secured by, among other
things. a deed of trust by Borrower as trustor, to Clearinghouse as beneficiary recorded as an
encumbrance on the Property in the Official Records (the "Senior Deed of Trust').
3. C'oncurrently with the recordation of this Agreement, the CDC is making a loan to
Borrower in the a sum not to exceed Eight Hundred Thirty -Five Thousand and No/100 Dollars
($835,000.00) ("CDC Loan") and Borrower and the CDC are causing the following documents to be
recorded against the Property: (i) Deed of Trust (-CDC Deed of Trust"); and (ii) Declaration of
Covenants. Conditions and Restrictions (Tenant Restrictions) ("Declaration").
4. Clearinghouse agrees, notwithstanding the prohibition against inferior liens on the
Property contained in the Clearinghouse Deed of Trust or any other agreement between
Clearinghouse and Borrower. to permit the CDC Deed of Trust and the Declaration to be recorded
against the Property against the Property (each of which is subordinate in all respects to the lien of
the Clearinghouse Deed of Trust).
F VCLIENTS\National Citvl.04 Fast 5th (Casa Familiar)AClearinehouse (.onsent doc
439
5. This Agreement may be executed in counterparts. and all counterparts constitute but
one and the same document.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year
first written above.
BORROWER:
Casa Familiar, Inc., a California nonprofit public benefit corporation
Andrea Skorepa. Presiden and CEO
CLEARINGHOUSE:
Clearinghouse Community Development Financial Institution
By:
Print Name:
Its:
CDC:
Community Development Commission of the City of National City
ecutive Director
APPROVED AS TO FORM:
Christensen & Spath LLP. Special Counsel to the Subordinate Lender
By:
Falter Fl
E.ACLIENTS \National Cit' A304 Lust 5th (Casa Familiar)AClearinghouse onsent.doc
440
5. This Agreement may be executed in counterparts, and all counterparts constitute but
one and the same document.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year
first written above.
BORROWER:
Casa Familiar, Inc., a California nonprofit public benefit corporation
By:
Andrea Skorepa, President and CEO
CLEARINGHOUSE:
Clearinghouse Community Development Financial Institution
r
By:
l0
Print Name. Kristen S. (Nlendtwfi
Its: D, iZ . �1(' 1 . 194/
CDC:
Community Development Commission of the City of National City
By:
Brad Raulston, Executive Director
APPROVED AS TO FORM:
Christensen & Spath LLP, Special Counsel to the Subordinate Lender
By:
Walter F. Spath III, Esq.
E:\CLIENCS\National City1304 East 5th (Casa Familiar) \Clearinghouse;onsent.doc
441
ACKNOWLEDGMENT
State of California
County of 5.9AJP;Arra
On OeliT er. , 200 before me,N/CiftWig / rf41 j1 4.14, personally
appeared A ijpie , , L3' who proied to me on the basis of
satisfactory evidence to be the person* whose name( -are subscribed to the within instrument
and acknowledged to me thattR they executed the same in his heir authorized capacity(i.es),
and that by hitheir signature(1) on the instrument the personK), or the entity upon behalf of
which the person(s) acted, executed the instrument.
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.
Signatur
/610/
ElCL1ENFSlNational Cit'v304 East Sth (Casa Familiar)1Clearinghouse 3onscnt.doc
MICHAEL R. FREEDMAN
Commission # 1846675
Notary Public - California
San Diego County
My Comm. Expires Apr 30,2013
(Seal)
ACKNOWLEDGMENT
State of California
County of Zainap
On r D. , 200�i before me,
appeared Kristen S. 011endorff
492
TQ 14o{0,r4 W b ( i
h� J ►� �� V i€ �Y , personally
who proved to me on the basis of
satisfactory evidence to be the person1 whose name(.4 is/Ve subscribed to the within instrument
and acknowledged to me that 1}�/she/th4"executed the same in h /her/thpfr authorized capacity),
and that by Ks/her/thy signaturee) on the instrument the personissi, or the entity upon behalf of
which the personc4 acted, executed the instrument.
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.
E:\CLIENTS\National City\304 East 5th (Casa Familiar)\Clearinghouse onsent.doc
/11iiiiii1111IIii1111111111111111111116
_
KATHYJ BONNEY
COMM. #1846280
8o NOTARY PUBLJC • CALJFORNIA crl
ORANGE COUNTY
.
•
.7, My Commission Expires 04/25/2013
11111/11111111111111111111111111111111P
1111111111111i1111111111111111111111M
KATHYJ BONNEY
COMM 81846280
NOTARY PUBLIC CALJFORNW U
. GRANGE COUNTY —
•i'114'111!1111k1,1: " " '111!1111=,
paragraph Is true and correct.
443
ACKNOWLEDGMENT
State of California
County of San Diego
On ®d-e56� j • 2009 before me, /1‘ g /"D /y�'f le: personally
appeared ie4 7-5t/ G who proved fo me on the basis of
satisfactory evidence to be the erson.(rs) whose name _ � re subscribed to the within instrument
and acknowledged to me tha1J/shDlt1 ey executed the same ir'her /their authorized capacity(ies),
and that by is erhfieir signature(e-) on the instrument the person(.eror the entity upon behalf of
which the person(x1acted, executed the instrument.
I certify under penalty of perjury under the laws of thg_S,taae of California_that the foregoing
Commission 1846675 ` MICHAEL R. FREEDMAN L
AI
Notary Public - California I
San Diego County
M Comm. Expires A. r 30, 2013
WITNESS my hand and official seal.
Signature
I:.ACLIi NTS\National City 0.04 East 5th (Casa Familiar)AClearinghouse Consent dox
(Seal)
ACKNOWLEDGMENT
State of California
County of San Diego
- 449
On , 200 before me, , personally
appeared who proved to me on the basis of
satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument
and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of
which the person(s) acted, executed the instrument.
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 (Seal)
E.\CLIENTS\National CinyU04 East 5th (Casa Familiar)\Clearinghouse Consent.doc
445
Exhibit "A"
Property Legal Description
All that certain real property situated in the County of San Diego, State of California, described
as follows:
LOTS 1, 2 AND 3 AND THE NORTH I IALF OF LOT 4 IN BLOCK 4 OF J.D. O'CONNELL'S
SUBDIVISION OF TIIE EAST HALF OF THE 10 ACRE TRACT 6, IN QUARTER SECTION
155 OF RANCHO DE LA NACION, IN THE CITY OF NATIONAL CITY, COUNTY OF SAN
DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 468, FILED IN THE
OFFICE OF TIIE COUNTY RECORDER OF SAN DIEGO COUNTY, JANUARY 24, 1888.
A PN : 556-214-01-00
L:ACLIENTS\National CityA304 East 5111(Casa FamiliarjtClearinghouse Conscnt.doc
A
Recording Requested By:
FIRST AMERICAN TITLE
'National tommercial Services
UCC FINANCING STATEMENT
FOLLOW INSTRUCTIONS (front and back) CAREFULLY
LSO # GVV9'056467
�IIIIHI �11 �II�I III IIIII IIIII IIIII IIIII IIIII IIIII IIIII IIIII �111 �111
452. OCT 12, 2009 8:00 AM
A. NAME & PHONE OF CONTACT AT FILER [optional]
B. SEND ACKNOWLEDGEMENT TO: (Name and Address)
I Community Development Commission
of the City of National City
1243 National City Boulevard
National City, CA 91950-4397
L
OFFICIAL RECORDS
SAN DIEGO COUNTY RECORDER'S OFFICE
DAVID L. BUTLER, COUNTY RECORDER
FEES: 21.00
PAGES: 5
1 IIII11IIIII 11I 11I IIIII IIIII IIIII IIIII 11III IIIII IIIII IIIII III11 IIII NII IHI
THE ABOVE SPACE 15 FOR FILING OFFICE USE ONLY
1 . DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (la or 1 b) - do not abbreviate or combine names
OR
1a. ORGANIZATION'S NAME
Casa Familiar, Inc.
Ib. INDIVIDUAL'S LAST NAME
FIRST NAME
MIDDLE NAME
SUFFIX
1c MAILING ADDRESS
119 West Hall Street
CITY
San Ysidro
STATE
CA
POSTAL CODE
92037
COUNTRY
USA
ADD'L INFO RE le. TYPE OF ORGANIZATION
OGANIZADER TOR TION Corporation
I . JURISDICTION OF ORGANIZATION
California
1y. ORGANIZATIONAL IDN. if any
C0674452
NONE
2. ADDITIONAL DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (2a or 2b) - do not abbreviate or combine names
OR
2a. ORGANIZATION'S NAME
2b. INDIVIDUALS LAST NAME
FIRST NAME
MIDDLE NAME
SUFFIX
2c. MAILING ADDRESS
CITY
STATE
POSTAL CODE
COUNTRY
AUUL INFV lit �Le.
ORGANIZATION
DEBTOR
y. Ili VANILA IVNAL IUA. 11 any
DRONE
3. SECURED PARTY'S NAME (or NAME of TOTAL ASSIGNEE of ASSIGNOR S/P) - insert only one secured party name (3e or 3b)
oR
3a_ ORGANIZATION'S NAME
Community Development Commission of the City of National City
3b. INDIVIDUAL'S LAST NAME
FIRST NAME
MIDDLE NAME
SUFFIX
3c. MAILING ADDRESS
1243 National City Boulevard
CITY
National City
STATE
CA
POSTAL CODE
91950
COUNTRY
USA
4. This FINANCING STATEMENT covers the following collateral:
See Attached Exhibit "1"
5. ALTERNATIVE DESIGNATION [if applicable):❑LESSEE/LESSOR DCONSIGNEEJCONSIGNOR ❑BAILEE,BAILOR ❑ SELLER/BUYER ❑AG. LIEN ❑NON-UCC FILING
j l'.I This FINANCING STATEMENT is to he filed [for record) (or recorded) in 7. Check to REQUEST SEARCH REPORT(S) on Debtor(s) ❑ ❑ ❑
8' 6L}� the REAL ESTATE RECORDS. Attach Addendum a licable[ADDITIONAL FEE[optional]All Dehtors Debtor 1 Debtor 2
[^ applicable] I
8. OPTIONAL FILER REFERENCE DATA
FILING OFFICE COPY -NATIONAL UCC FINANCING STATEMENT (FORM UCC1)- CALIFORNIA (REV. 01/01/08)
1F
453
EXHIBIT "1"
TO UCC-1 FINANCING STATEMENT
DEBTOR: CASA FAMILIAR, INC.
SECURED PARTY: COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF
NATIONAL CITY
The following described property and any and all proceeds thereof, whether Debtor now or
hereafter has any right, title or interest in, on, about or concerning the property (the '`Property")
hereinafter described in Exhibit A:
(a) Tangible Property. All existing and future goods and tangible personal property
located on the Property or whenever located and used or useable in connection with the use,
operation or occupancy of the Property or in construction of any improvements now or hereafter
located on the Property ("Improvements"), including, but not limited to, all appliances, furniture and
furnishings, fittings, materials, supplies, equipment and fixtures, and all building material, supplies,
and equipment now or hereafter delivered to the Property and installed or used or intended to be
installed or used therein whether stored on the Property or elsewhere; and all renewals or
replacements thereof or articles in substitution thereof;
(b) General Intangibles. All general intangibles relating to design, development,
operation, management and use of the Property and construction and rehabilitation of the
improvements, including, but not limited to, (i) all names under which or by which the Property of
the improvements may at any time be operated or known, all rights to carry on business under any
such names or any variant thereof, and all goodwill in any way relating to the Property, (ii) all
permits, licenses, authorizations, variances, land use entitlement, approvals and consents issued or
obtained in connection with thc construction of the Improvements, (iii) all permits, licenses,
approvals, consents, authorizations, franchises and agreements issued or obtained in connection with
thc use, occupancy or operation of the Property, (iv) all rights as a declarant (or its equivalent) under
any covenants, conditions and restrictions or other matters now or hereafter of record affecting the
Property, (v) all materials prepared for filing or filed with any governmental agency, (vi) all rights
under any contract in connection with the development, design, use, operation, management and
construction of the Property, and (vii) all books and records prepared and kept in connection with the
acquisition, construction, operation and occupancy of the Property and the Improvements;
(c) Contracts. All construction, service, engineering, consulting, leasing, architectural,
design and other similar contracts of any nature (including, without limitation, those of any general
contractors, subcontractors and materialmen), as such may be modified, amended or supplemented
from time to time, concerning the design, construction, rehabilitation, management, operation,
occupancy, use, and/or disposition of any portion of or all of the Property;
1
L,CLIEN'TS National City\304 East 5th (Casa Familiar)\FinahU.<`.C. Addendum.doe
454
(d) Plans and Reports. All architectural, design and engineering drawings, plans,
specifications, working drawings, shop drawings, general conditions, addenda. soil tests and reports
feasibility studies, appraisals, engineering reports, building permits, grading permits, and other
pennits to construct the Improvements, environmental reports and similar materials relating to any
portion of or all of the Property and all modifications, supplements and amendments thereto.
including without imitation, those more specifically described in the Loan Agreement between
Debtor and Secured Party;
(e) Sureties. All payment and performance bonds or guarantees and any and all
modifications and extensions thereof relating to the Property;
(f) Payments. All reserves, deferred payments, deposits, refunds, cost savings, letters of
credit and payments of any kind relating to the construction, design, development, operation,
occupancy, use and disposition of all or any portion of the Property, including, without limitation,
any property tax rebates now owing or hereafter payable to Debtor, or reimbursement or other
payments now or hereafter payable to Debtor on account of prepayments or overpayments of fees or
payment of costs of infrastructure improvements that benefit real property other than the Property;
(g) Financing Commitments. All proceeds of the loan granted by Secured Party to
Debtor and any commitment by any lender to extend permanent or additional construction financing
to Debtor relating to the Property
(h) Claims. All proceeds and claims arising on account of any damage to or taking of the
Property or any part thereof, and all causes of action and recoveries for any loss of diminution in the
value of the Property;
(i) Insurance. All policies of, and proceeds resulting from, insurance relating to the
Property or any of the above collateral, and any and all riders, amendments, extensions, renewals,
supplements, or extensions thereof, and all proceeds thereof, whether or not the proceeds are from
policies of insurance required by Beneficiary;
(j) Deposits. All deposits made with or other security given to utility companies by
Debtor with respect to the Property and the improvements, and all advance payments of insurance
premiums made by Debtor with respect thereto and claims or demands relating to insurance and all
deposit accounts whenever located;
(k) Stock. All shares of stock or other evidence of ownership of any part of the Property
that is owned by Debtor in common with others, including all water stock relating to the Property, if
any, and all documents or rights of membership in any owners' or members' association or similar
group having responsibility for managing or operating any part of the Property, and all the general
partnership interests in Debtor;
2
E:vCI.IFNrS,National Ciry,304 East 5th (Casa Familiar)U'inal'U.C.C. Addendum.doc
455
(1) Proceeds. All proceeds, whether cash, promissory notes, contract rights or otherwise,
of the sale or other disposition of all or any part of the estate of Debtor in the Property now or
hereafter existing thereon;
(m) Sale Contracts. All sales contracts, escrow agreements and broker's agreements
concerning the sale of any or all of the Property, and all amendments thereto and all amounts
deposited into escrow for payment to Debtor.
(n) Leases and Rents. All the leases, income, rents, issues, deposits, receipts, profits and
proceeds, and accounts receivable generated from the leasing, use and operation, of the Property and
the Collateral to which Debtor may be entitled, whether now due, past due, or to become due;
(o) Other. Without limiting the above items, all Goods, Accounts, Documents, Instruments,
Money, Financial Assets, Investment Properties, Chattel Paper and General Intangibles, as those
terms are defined in the Uniform Commercial Code from time to time in effect in the State of
California.
3
E\CLIENTSyNational City\304 East 5th (Casa FamiliarE Hna1VU.C.C. Addendum.doc
456
Exhibit "A"
Property Description
All that certain real property situated in the County of San Diego, State of California, described as
follows:
LOTS 1, 2 AND 3 AND THE NORTH HALF OF LOT 4 IN BLOCK 4 OF J.D. O'CONNELL'S
SUBDIVISION OF THE EAST HALF OF THE 10 ACRE TRACT 6, IN QUARTER SECTION 155
OF RANCHO DE LA NACION, IN THE CITY OF NATIONAL CITY, COUNTY OF SAN
DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 468, FILED IN THE
OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, JANUARY 24, 1888.
APN: 556-214-01-00
4
F:\CI IENTS'\National City1304 Fast 5th (Casa Familiar.Final\ILC.C. Addendum.doc