LAND USE RESTRICTION AGREEMENT SHIP HOUSING INITIATIVES PARTNERSHIPS PROGRAMPrepared by and return to:
Terry Malcolm -Smith
City of Clearwater
Economic Development & Housing
P. O. Box 4748
Clearwater, FL 33758-4748
CITY OF CLEARWATER
ECONOMIC DEVELOPMENT AND HOUSING DEPARTMENT
J,AND USE RESTRICTION AGREEMENT
STATE HOUSING INITIATIVES PARTNERSHIPS PROGRAM
THIS LAND USE RESTRICTION AGREEMENT (this "Agreement" or "LURA") is made on October 13, 2023
between CLEARWATER NEIGHBORHOOD HOUSING SERVICES, INC., a Florida not-for-profit
corporation ("Borrower") whose mailing address is 608 N. Garden Ave, Clearwater, Florida 33755, and
the CITY OF CLEARWATER, FLORIDA, a Florida municipal corporation (the "City"), whose
mailing address is P.O. Box 4748, Clearwater, Florida 33758-4748.
WHEREAS, Borrower shall construct a single-family dwelling on certain real property located at
1160 LaSalle Street, Clearwater, FL 33755 (the "Property) for the development of an affordable single-
family unit for a low or moderate -income homebuyer described herein (the "Project") and agrees with the
City that the Property, which is subject to an executed Mortgage and Note of even date herewith, shall be
subject to the restrictive covenants set forth herein; and
WHEREAS, Borrower shall cause the Property to be improved in accordance with the plans and
specifications and any amendments thereto previously submitted by Borrower to the City and which
have been approved by the City; and
WHEREAS, Borrower agrees that the affordability restrictions contained in this Agreement shall
remain in full force and effect against the real property until the end of a fifteen (15) -year affordability
period; and
WHEREAS, this Agreement is executed in accordance with a loan made by the City to the
Borrower in the original principal amount of Two Hundred Eighty -Six Thousand One Hundred Sixty
Dollars & 79/100 Cents ($286,160.79), evidenced by that certain Mortgage Note ("Note") and secured by
that certain Mortgage ("Mortgage"), all of even date herewith; and
WHEREAS, this Agreement shall be properly filed and recorded by the City in the Official Public
Records of Pinellas County, Florida, and shall constitute a restriction upon the use of the property subject
to and in accordance with the terms contained herein; and
NOW, THEREFORE, in consideration of funds the City has provided to Borrower for a loan to
finance the construction of the affordable single-family unit, including closing costs, and other related
cost as associated with the Project in the Pinellas County, Florida, having an address at 1160 LaSalle Street,
Clearwater, FL and more particularly described as: Legal Description attached hereto as Exhibit "A", (also
described as Parcel Number: 10-29-15-33552-005-0630)
Borrower acknowledges that this Agreement is necessary to comply with the affordability requirements of
the SHIP program, as stated at Chapter 67-37 Florida Administrative Code, and Sections 420.907-420.9089,
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Florida Statutes, as may be amended from time to time, from which funds were obtained to finance such
loan, or a portion thereof, and Borrower hereby covenants and agrees that in connection with the construction
of the single-family home, ownership and operation of the Property, the City should approve any transfer or
sale of the Property, and Borrower will comply, and will require any subsequent purchaser of the Project to
comply, with the following:
1. Covenants and Restrictions on Use of Funds. The SHIP Program allocations provided to the
Project will be used for construction of improvements on the Property, plus permissible closing
costs. During the Period of Affordability as defined herein, the unit shall be sold to a homebuyer
having annual income which does not exceed one hundred twenty percent (120%) of the median
family income for the area, as determined and made available by the U.S. Department of Housing
and Urban Development (HUD) with adjustments for smaller and larger families at the time of
purchase of the home. If there is not a ratified sales contract with an eligible homebuyer for the
housing unit within nine (9) months of the date of completion, the housing unit must be rented to an
eligible tenant. The home must be the principal residence of the homebuyer. The income of the
persons who will occupy the unit shall be verified by Borrower by obtaining verification of current
income and verification of assets. Source documentation evidencing annual income may include
wage statements, interest statements, unemployment compensation statements, and other
documentation approved by the City. In the event that neither of the above methods is suitable,
Borrower may use other methods acceptable to the City to verify income. Annual income for the
purpose of this Agreement shall be as defined by 24 CFR Part 5.609. The value of the SHIP -assisted
unit shall not exceed the most current Treasury Value Limits for single-family housing for the area.
The maximum per-unit award shall not exceed the amount stated in the Local Housing Assistance
Plan. The person or persons purchasing the single-family home shall have fee simple title to the
property.
(a) Upon the sale of the housing unit to an eligible homebuyer, the Period of Affordability
shall be enforced on the Property (homebuyer) through this Land Use Restriction
Agreement, which shall run with the land.
(b) During the Period of Affordability, the single-family housing unit must be occupied by the
original homebuyer. In the event that the homebuyer chooses to sell the property, the
homebuyer must sell the Property to another income eligible buyer, who will use the
Property as their principal residence.
(c) All program income associated with the Project shall be returned to the City within thirty
(30) days of receipt by the Borrower.
(d) Any noncompliance with the requirement of this Agreement shall be corrected within thirty
(30) days after such error is first discovered or would have been discovered by the
exercise of reasonable diligence.
2. Affordability Period. For the purpose of this Agreement, the Period of Affordability shall be a
period beginning when the SHIP mortgage, note and this Agreement are executed and end on the
last day of the Fifteenth (15th) year thereafter.
3. Property Standards. The single-family housing unit shall meet and maintain all applicable local
codes, the International Property Maintenance Code, the Florida Building Code, ordinances, and
zoning ordinances at the time of project completion. The City also highly encourages the use of
ENERGY STAR® qualified products, including natural gas where available, in all developed
housing.
4. Location of Assisted Unit. The location of the unit is as follows: 1160 LaSalle Street,
Clearwater, Florida 33755. Borrower agrees that there will be no material changes to the design
of the Project after initial commitment by the City without assurances provided by Borrower and
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approved by the City that the proposed changes will not adversely affect the SHIP assisted unit or
any provision of this Agreement.
5. No Discrimination. Borrower shall not discriminate, as defined by Federal Statutes, on the basis
of race, creed, color, sex, age, or national origin in the occupancy of the SHIP assisted unit or in
connection with the employment or application for employment of persons for the operation and
management of the Project.
6. No Conflicts with Other Documents. Borrower 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.
7. Requests for disbursement of funds. Borrower shall request funding for the SHIP -assisted project
from the City on a reimbursement basis.
8. Records. Borrower shall retain all records pertaining to the Project for a period of five (5) years
after audit and/or resolution of audit findings involving this loan. Borrower shall maintain accurate
information regarding the occupancy for each SHIP assisted unit during the term of the
affordability period and, at the request of the City, shall submit this information to the City for
review and comment. Borrower shall maintain documentation substantiating compliance with
affirmative marketing requirements. These Project records shall be made available to City of
Clearwater, Florida Housing Finance Corporation for audit, inspection, or copying purposes
during normal business hours. The Owner shall maintain project records that include:
(a) A description of the Project assisted with SHIP funds, including the location and form of
assistance;
(b) The source and application of funds for each project, including supporting
documentation with the Local Housing Assistance Plan and 24 CFR Part 5.609;
(c) Records demonstrating compliance with this Agreement and all other agreements
related hereto;
(d) Records documenting required inspections, monitoring reviews and audits, and the
resolution of any findings or concerns; and
(e) Records documenting SHIP related financial activities.
9. Monitoring. Borrower shall permit the City or its designee to inspect all records pertaining to the
unit upon reasonable notice and within normal working hours and shall submit to the City such
documentation, as required, to document compliance with this Agreement and SHIP Program
rules. If the Project is new construction, Borrower shall provide the required documentation
monthly, until the SHIP -assisted unit is sold.
10. Successors Bound. This Agreement and the covenants contained herein shall run with the land
and shall bind, and the benefits shall inure to, respectively, Borrower and its successors and assigns
and all subsequent owners of the Project or any interest therein, and to the City for the Period of
Affordability set forth in this Agreement.
11. Enforcement of Terms. The benefits of this Agreement shall inure to, and may be enforced by,
the City during the Period of Affordability.
12. Severability. The invalidity of any clause, part, or provision of this Agreement shall not affect
the validity of the remaining portion thereof.
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13. Defaults and Remedies. If Borrower shall fail to observe or perform any covenant, condition, or
agreement contained herein on its part to be observed or performed, then and in such event, the City
shall be entitled to after providing written notice of the default and thirty (30) days to cure, in
addition to all other remedies provided by law or in equity:
(a) To compel specific performance by Borrower of its obligations under this Agreement, it
being recognized that the beneficiaries of Borrower obligations hereunder cannot be
adequately compensated by monetary damages in the event of Borrower's default.
(b) To cause Borrower to pay to the City an amount equal to all SHIP funds loaned to
Borrower, less any principal balance previously repaid by Borrower, if any SHIP assisted
unit is knowingly or negligently rented to persons who do not comply with the
requirements for such unit.
(c) In addition, to these remedies, a default by Borrower hereunder shall constitute a default
under the Construction Loan Agreement, Mortgage, and Note all of even date herewith, which
will enable the City, after providing written notice of default and thirty (30) days to cure, to
accelerate Borrower's loan and take such other actions as may be permitted under the terms
of the aforementioned documents.
14. Notice. Except for any notice required under applicable law to be given in another manner, (a)
any notice to Borrower provided for in this Agreement shall be given by mailing such notice by
certified mail, return receipt requested, to Borrower's address stated herein, or at such other
address as Borrower may designate by notice to the City as provided herein, (b) any notice to the
City shall be given by certified mail, return receipt requested, to the City's address stated herein
or at such other address as the City may designate by notice to the Owner as provided herein, and
(c) any notice to the City shall be given by certified mail, return receipt requested, to the City at
Official Records and Legislative Services Department, P.O. Box 4748, Clearwater, Florida 33758-
4748. Any notice provided for in this Agreement shall be deemed to have been given to Borrower
or City when given in the manner designated herein.
15. Severability. Should any section or any part of any section of this Agreement be rendered void,
invalid, or unenforceable by any court of law, for any reason, such determination shall not render
void, invalid, or unenforceable, any other section or any part of any section in this Agreement
IN WITNESS WHEREOF, the parties hereto have caused their Agreement to be executed by their duly
authorized officials on the date and year first above indicated.
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Approved as to Form:
atthew J. Mytych, Esq.
Assistant City A orney
Date: IO/IQ..3
(CITY SIGNATURE PAGE)
[G M09-1510-047/293530/1] 5
City of Clearwater, Florida,
a Florida municipal corporation.
Jenne irrier
City Man ger
Date: � . /11 3
Attest:
0 at
Rosemarie Call
City CleArAc)•0)--3Date: 1' 1 ('
(BORROWER SIGNATURE PAGE)
Clearwater Neighborhood Housing Services, Inc.,
a Florida not-for-profit corporation
By:
Witness Name: Efrain Cornier, Jr.
Title: President and CEO
Print Name
Witness
Print Name
STATE OF FLORIDA
COUNTY OF PINELLAS
)
)
The foregoing instrument was acknowledged before me by means of 0 physical presence or 0 online
notarization, this day of , 2023, by Efrain Cornier, Jr. as President and
CEO of Clearwater Neighborhood Housing Services, Inc.
NOTARY PUBLIC
Print Name:
My Commission expires:
[G M09-1510-047/293530/1] 6
Exhibit "A"
Legal Description
Legal Description: Lot 63, Block E, Greenwood Park No. 2, according to the map or plat thereof,
as recorded in Plat Book 8, Page(s) 16, of the Public Records of Pinellas County, Florida.
Parcel Number: 10-29-15-33552-005-0630
[G M09-1510-047/293530/1] 7
Exhibit "A"
New Construction Draw Schedule
Borrower: Clearwater Neighborhood Housing Services, Inc. Contractor: Arrow Homes Inc
Address: 1 160 LaSalle Street, Clearwater, FL Funding Amount: $286,160.79
First Draw: 1. Permit
20% 2. Site prepared, filled, and compacted, if necessary.
3. Footer, stem well, rough plumbing, and/or underground ductwork are properly installed in accordance with plan specifications.
4. Footers and/or foundations for stoops, porches, and terraces, with required reinforcement and flashing are framed and floor slab poured.
5. Proof of builders liability insurance.
6. Proof of soil treatment.
7. Tie-in survey.
Second Draw:
20%
Third Draw:
20%
Fourth Draw:
20%
Final Draw:
20%
1. All exterior walls and masonry sills are in.
2. Lintel steel in and poured -or wood substitute.
1. Roof is dried -in (one layer of paper tacked down).
2. Interior has been framed according to plans and specifications.
3. All rough electrical work is in place with wires to boxes, etc.
4. All rough plumbing is in.
5. Tubs are set in place and tub trap poured with hot tar.
6. All central heat ducts are in and insulated for air conditioning. If furnace is in interior of house, furnace cubicle framed and ready to set fumace.
7. Shower base is framed, rough plumbing and paper in place and ready to pour.
8. All window frames are set.
1. Roof completely finished.
2. All exterior carpentry work, fascia, and soffits, are finished.
3. All insulation in walls and ceilings.
4. All exterior doors including garage and glass doors installed.
5. All windows permanently installed.
6. If garage or carport, concrete floor is poured and finished.
7. If block, all stucco work is complete.
8. Rough grading around building for drainage is complete.
9. All sheetrock in and finished.
10. All tile or marble windowsills are in.
11. All floors are ready for final finish.
12. All interior doors are on the job and ready to be hung.
13. Sewer line tied in to main sewer.
1. Sod, seed, or sprigging are in place as per plans & specifications.
2. Landscaping is installed.
3. All exterior light switches and boxes are trimmed out.
4. All concrete work, driveways, sidewalks, stoops, porches, and patios are in and finished.
5. Exterior painting and caulking completed.
6. Interior painting complete/wallpapering complete.
7. All cabinets, vanities, and hardware installed.
8. All plumbing fixtures installed and operable.
9. All kitchen equipment, dishwasher, stoves, refrigerator, disposal, and exhaust hood installed as per contract.
10. Hot water tank installed.
11. Furnace and air conditioning in and working.
12. Sealed floors and floor coverings, as called for in plans and specs, are down, in place, and finished.
13. All Interior doors hung complete with hardware.
14. All shelves and clothes bars or shower rods are in place.
15. All interior light fixtures, switches, receptacles, and phone outlets are in and finished with proper plate covers.
16. House is clean -bathroom, kitchen, windows inside and out- and ready for occupancy.
17. Certificate of Occupancy
Signatures certify that the above -captioned property has been inspected and has been found to be ready for the
draw in accordance with the approved disbursement schedule.
Inspector
Date Owner Date Contractor Date
Clearwater Neighborhood Housing Services October 13, 2023
State Housing Initiatives Partnership (SHIP) Construction Loan Agreement Page 9