LOAN COMMITMENT - 1565 S MARTIN LUTHER KING JR AVENUE - HOME INVESTMENT PARTNERSHIPS AGREEMENTIA:VSIMIC: DIiN I-D/PNF.\"1-
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November 14 , 2024
CITY OF CLEARWATER
Por Omcf Box 4748, Cir RwATFx, FI.oRIDm 33758-4748
6(x CLEVELAND Snrrr, Sim 600, CLEARWATER, FL 33755
EcoNomic: DEAnorAtixr Ta�rnioNE (727) 562-422() FAx (727) 562-4037
Iiol NN(: 1P1.FJ'IIo'F `. 27) 562-4030 FAX (72') 562-4037
Efrain Cornier, Jr.
Clearwater Neighborhood Housing Service, Inc.
608 N. Garden Avenue
Clearwater, FL 33755
RE: Loan Commitment —1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
Clearwater, FL 33755
Dear Frank:
The City of Clearwater Economic Development and Housing Department is pleased to offer a commitment
to finance the construction of a single-family housing unit on real property located at
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756, with the following terms and
conditions:
1. Borrower: Clearwater Neighborhood Housing Services Inc, a Florida not-for-profit corporation.
2. Loan: A non -revolving loan in the amount of Two Hundred Eighty -Nine Thousand Nine Hundred
Fifty -One Dollars and 55/100 Cents ($289 951.55)
3. Purpose: To construct and resell a single-family home for the development of affordable housing.
4. Interest Rate: The interest rate will be zero percent (0%) per annum.
5. Loan Term: The term of the loan shall not exceed twenty-four (24) months.
6. Repayment: Unless the home is sold before the end of the term, no payment of principal shall be
required during the twenty-four (24) month term of the loan, provided that the borrower abides by the
terms of the agreement and no default occurs. The unpaid principal will be paid when the home is sold
or at the end of the term, whichever occurs earlier. If the home is sold before the end of the term, the
agency shall reimburse the City within thirty (30) days from the proceeds of the sale less the twelve
percent (12%) developer fee on the construction cost. Otherwise, the City shall be reimbursed in full
for the remaining principal at the end of the term.
7. Loan Fund Source: HOME Investment Partnerships (HOME) program and State Housing Initiatives
Partnership (SHIP) program.
8. Development: Upon completion of the construction, the property must be at a minimum code standard
and pass all applicable inspections. Licensed subcontractors must perform all work, and work must be
completed in a workman -like manner. Funding will be disbursed on a predetermined draw schedule.
Borrower will request loan proceeds disbursement via a written request and will allow the Housing
Division five days (5) within which to inspect the construction. The borrower will allow fifteen (15)
working days for payment processing upon passing of the construction inspection. No funds will be
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advanced in the event that either the Housing Division or building department does not approve the
work or the percentage of work completed.
9. Sale of Property: Upon completion of the single-family housing unit, the borrower must sell the single-
family housing unit to an individual or family whose income does not exceed eighty percent (80%) of
Area Median Income (AMI) based upon U.S. Department of Housing and Urban Development (HUD)
guidelines in effect at the time of sale. If there is no ratified sale 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 in accordance with 24 CFR §92.252. The home must be the principal residence of
the family. The end user may be eligible for down payment and closing cost assistance through the
City of Clearwater.
10. Collateral: A first mortgage on the following described property:
Legal Description: Lot 77, Carolina Terrace Annex, according to the map or plat thereof, as recorded
in Plat Book 12, Page 30 of the Public Records of Pinellas County, Florida.
Together with all the improvements and appurtenances presently located or hereafter situated thereon.
A Security Agreement constituting a valid first lien on the prior perfected security interest on all
fixtures, furnishings and equipment owned by the borrower then or thereafter acquired or affixed to or
used by the borrower in the operation of the mortgaged premises including without limitation, additions,
replacements and substitutions.
11. This commitment becomes null and void in the event that it is established that there is anyone currently
residing in the above -referenced property or in the event that someone will be displaced as a result of
this transaction.
12. This loan is not assumable by another party without a written request from the borrower and written
approval from the City of Clearwater.
13. The loan will be evidenced by a HOME Agreement, Mortgage, Note, Land Use Restriction Agreement,
and Construction Loan Agreement.
Thank you for your commitment to the provision of affordable housing for the City's residents.
Sincerely,
Jesus Nino
Interim Director, Economic Development & Housing
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The undersigned agrees to the above -referenced terms and conditions and further agrees to abide by the
requirements of the City of Clearwater's Economic Development & Housing Department and the
HOME Investment Partnerships (HOME) program and the State Housing Initiatives Partnership (SHIP)
program.
Efraim Cornier, Jr., President/CEO Date
Clearwater Neighborhood Housing Services Inc
HOME INVESTMENT PARTNERSHIPS AGREEMENT BY AND BETWEEN
CITY OF CLEARWATER, FLORIDA, AND
CLEARWATER NEIGHBORHOOD HOUSING SERVICES INC
This HOME Investment Partnerships Agreement (this "Agreement") is entered into on November 15, 2024,
by and between the CITY OF CLEARWATER, FLORIDA, a Florida municipal corporation (the "City")
and CLEARWATER NEIGHBORHOOD HOUSING SERVICES INC, a Florida not-for-profit
corporation (hereafter designated as "Awardee").
WHEREAS, the City has applied for and has been awarded funds from the United States Department of
Housing and Urban Development (herein called "HUD") for the HOME Investment Partnerships Program,
(referred to herein as the "HOME Program"); and
WHEREAS, Awardee has applied for and been approved to construct a single-family home for sale to a
low or moderate -income homebuyer; and
WHEREAS, Awardee has evidenced the capacity to construct a single-family home, funded in part by this
Agreement, located at 1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756, Clearwater,
FL 33755, Pinellas County; and
WHEREAS, on or about November 1, 2024, the City approved the described use of HOME Program funds
and authorized staff to enter into an Agreement with Awardee to provide Two Hundred Eighty -Nine
Thousand Nine Hundred Fifty -One Dollars and 55/100 Cents ($289,951.55) in HOME/SHIP Program
funds for new construction costs to build an affordable single-family home for sale to an eligible low- and
moderate -income homebuyer.
NOW THEREFORE, the City and Awardee hereby execute this Agreement to undertake the described
affordable housing development.
FURTHERMORE, the City and Awardee agree as follows:
I. SCOPE OF SERVICE
A. Awardee shall complete the new construction of an affordable single-family home (hereinafter
collectively referred to as the "Development"), located at 1565 S. Martin Luther King Jr.
Avenue, Clearwater, Florida 33756, Pinellas County, more particularly described in
Attachment "A" (the "Property").
B. Awardee shall construct the single-family home identified above in accordance with the
standards required in Section IV of this Agreement.
C. Awardee shall affirmatively market the home to low- to moderate -income homebuyers whose
total household income, adjusted for family size, does not exceed eighty percent (80%) of the
adjusted area median income for the area as determined by HUD.
D. Awardee shall complete the construction, marketing, and sale of the home to an eligible, low -
and moderate -income homebuyer within twenty-four (24) months from the date that the Notice
to Proceed has been issued by the City.
Clearwater Neighborhood Housing Services Inc
HOME Investment Partnerships Agreement
State Housing Initiatives Partnership Program
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1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
E. Awardee acknowledges the sales price of the home shall not exceed Three Hundred Seventy -
One Thousand Dollars and 00/100 Cents ($371,000.00), which reflects the current maximum
sales price established by HUD. If the established maximum sales price changes, the sales price
shall not exceed the new maximum price.
F. Awardee shall provide the City with a copy of all lien documents, homebuyer agreement, and
homebuyer's verification of income prior to the sale of the home.
G. Awardee must ensure the HOME -assisted homebuyer(s) receive and complete at least eight (8)
hours of homebuyer counseling from a HUD -approved counseling agency before obtaining a
mortgage loan.
H. If Awardee is unable to enter into a ratified sales contract with an eligible homebuyer within
nine (9) months of the Certificate of Occupancy for the home, the Awardee must convert the
home to rental housing. If converted, this rental housing must comply with all provisions of
24 CFR § 92.252.
II. PROJECT FUNDING
A. The City hereby approves the award of HOME/SHIP Program funds in the amount of
Two Hundred Eighty -Nine Thousand Nine Hundred Fifty -One Dollars and 55/100 Cents
($289,951.55) to Awardee for the development located at the Property. Sources and uses of
funds are identified in Attachment "C" attached hereto and incorporated herein.
B. Awardee shall ensure HOME/SHIP Program funds provided under this Agreement will be
requested for disbursement only in required amounts and as needed for payment of eligible
costs for activities described and approved in this Agreement. Payments will be approved by
the City for eligible expenses actually incurred by Awardee and will not exceed actual cash
requirements. The City reserves the right to liquidate funds available under this Agreement for
eligible costs incurred by the City on behalf of Awardee.
C. The full amount of the loan, Two Hundred Eighty -Nine Thousand Nine Hundred Fifty -
One Dollars and 55/100 Cents ($289,951.55) shall be disbursed as earned by verified
performance of activities to be completed under this Agreement.
D. Awardee shall establish, for property developed with funds provided under this Agreement, a
selling price that does not exceed ninety-five percent (95%) of the median purchase price for
the area, as described in 24 CFR § 92.254.
E. Awardee has established a sales price for the home not to exceed Three Hundred Seventy -
One Thousand Dollars and 00/100 Cents ($371,000.00). If the established maximum sales
price changes, the price shall not exceed the new maximum sales price.
F. The City hereby approves HOME/SHIP Program funds in an amount not to exceed Two
Hundred Eighty -Nine Thousand Nine Hundred Fifty -One Dollars and 55/100 Cents
($289,951.55) for Awardee as reimbursement of actual Project Delivery Costs incurred on the
new construction project described in Attachment "B". Project Delivery Costs shall be
defined as those expenses incurred by Awardee, which can be directly attributed to a specific
HOME -funded project.
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HOME Investment Partnerships Agreement
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G. If for any reason Awardee breaches any term of this Agreement, the City may require full
repayment of any amounts advanced under this Agreement pursuant to Section VIII, Remedies
on Default.
H. Awardee shall repay to the City the net proceeds realized from the sale of the home developed
with funds provided under this Agreement. Net proceeds are defined as the total HOME/SHIP
investment in the housing unit less deductions agreed to by the City.
I. Awardee may retain the proceeds from the sale of the housing, which is defined as the
difference between the sales price and the total HOME/SHIP investment in the housing to use
for housing activities that benefit low- and moderate -income families.
J. Awardee cannot charge servicing, loan origination, processing, inspection, or other fees that
represent the cost of providing the HOME Program assistance under this Agreement.
K. HOME Program funds to be provided under this Agreement are contingent upon the City's
determination to proceed, modify, or cancel the Development based on the results of a
subsequent environmental review in accordance with HUD CPD Notice 01-11.
III. AFFORDABILITY
A. As provided in 24 CFR §92.254, all housing developed with funding provided under this
Agreement shall be affordable and available to a low to moderate -income household for the
requisite affordability period, (the "Affordability Period"), as required under HOME Program
regulations based on the per-unit HOME subsidy provided under this Agreement. If the
housing does not meet the applicable principal residence or affordability requirements for the
full Affordability Period for any reason whatsoever, payment to the City of the outstanding or
remaining unpaid balance of HOME Program funds invested in the Development will be
required according to the repayment terms set forth in Section VIII of this Agreement.
Awardee shall ensure the affordability and principal residence requirements of the housing for
the full Affordability Period through a HUD -approved Land Use Restriction Agreement (the
"User LURA") which shall be placed on the Property on the date that the property is sold to an
eligible homebuyer or rented to an eligible tenant. Affordability requirements shall be
enforced by the City via the User LURA encumbering the home for the full Affordability
Period.
B. The Affordability Period shall commence upon the date of sale to an eligible homebuyer or
rental to an eligible tenant, as evidenced by the User LURA, and end fifteen (15) years
thereafter.
C. Awardee shall ensure, where no direct subsidy is provided, the homeowner understands and
agrees to the resale requirements as defined in 24 CFR §92.254(a)(5)(i). The resale provisions
requires when a HOME -assisted homebuyer sells his or her property, either voluntarily or
involuntarily, during the applicable Affordability Period, the property is sold to another low -
to -moderate -income homebuyer who will use the property as his or her principal residence.
The original homebuyer shall receive a fair return on investment. Fair return on investment is
defined as the average change in the Consumer Price Index (CPI) over the Affordability Period.
The property must be sold at a price that is affordable to a reasonable range of low -to -moderate -
income homebuyers.
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D. Awardee shall ensure, where applicable, that the homeowner understands and agrees that the
acceptable pro -rata amount of the total HOME Program funds invested in their principal
residence, within the applicable Affordability Period, follows the Resale Requirements. The
resale requirements ensure that the price at resale provides the original home -assisted owner a
fair return on investment and ensure that the housing will remain affordable to a reasonable
range of low -to -moderate -income homebuyers. Fair return on investment is defined as the
average change on the Consumer Price Index (CPI) over the period of ownership by the
homebuyer.
IV. PROPERTY STANDARDS
A. All affordable housing developed with HOME Program funds provided under this Agreement
shall, upon completion, meet or exceed all applicable minimum housing code standards, as
established by the City, and all state and local housing, zoning, fire, International Energy
Conservation Code (formerly known as the Model Energy Code), Universal Design, and
building codes, as amended; the City also highly encourages the use of ENERGY STAR'
qualified products, including natural gas where available, in all developed housing. In addition,
all housing assisted under this Agreement shall be maintained in compliance with all applicable
minimum housing code standards, as established by the City, and all state and local housing,
zoning, fire, and building codes, as amended, for the duration of the Agreement and the full
term of the required Affordability Period.
B. Awardee shall establish and maintain records for HOME -assisted housing to ensure adherence
to all applicable minimum housing code standards, as established by the City, and all state and
local housing, zoning, and building codes, as amended. Prior to processing any pay requests
for the Development, Awardee's compliance with all property standards as defined in 24 CFR
§92.251 will be verified by a City inspection.
C. The City reserves the right to inspect, at any time during normal business hours, any and all
construction activities completed under this Agreement to ensure adherence to applicable
property standards, minimum housing codes, as established by the local jurisdiction, and all
state and local housing, zoning, building, and fire codes, as amended.
D. Awardee shall use only qualified and reputable subcontractors, workmen, material suppliers,
and agents acceptable to the City in the construction and marketing of the homes to be
constructed under this Agreement.
E. Awardee shall ensure contractors and subcontractors are not debarred, ineligible, or suspended
from working on federally -assisted projects in accordance with 2 CFR Part 200.
F. Awardee shall ensure contractors comply with the bonding requirements and the City building
codes.
V. NOTICES
A. Notice. All notices provided for herein shall be sent by certified or registered return receipt
requested mail, or by a nationally recognized overnight courier, addressed to the appropriate
party at the address designated for such party specified below, or such other address as the
party who is to receive such notice may designate in writing. Notice by mail shall be completed
by depositing the same in a letterbox or other means provided for the posting of mail addressed
to the party with the proper amount of postage affixed thereto. Actual receipt of notice shall
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1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
not be required to effect notice hereunder. Notices sent by nationally recognized overnight
courier service shall be deemed delivered the next business day after deposit with such courier
unless the records of such courier indicate a later delivery in which case the notice shall be
deemed received on the date of delivery.
The City of Clearwater
Dylan Mayeaux
Interim Housing Manager
P.O. Box 4748
Clearwater, FL 33758-4748
(727) 444-7168
Clearwater Neighborhood Housing Services
Inc
David Harder
Real Estate Development Manager
608 N Garden Avenue
Clearwater, FL 33755
(727) 442-4155
Contact persons may be changed upon fifteen (15) days written notice to the other party.
VI. ADMINISTRATIVE REQUIREMENTS
A. Awardee shall abide by all applicable federal, state, and local laws, regulations, codes, and
ordinances in the performance of all activities required by this Agreement, and specifically
agrees to adhere to applicable requirements of 24 CFR Part 92.
B. Awardee shall adhere to the requirements of 2 CFR Part 200 and applicable requirements of 24
CFR §92.505.
C. Awardee shall make available to the City, at any time during normal business hours, all
financial, compliance, and construction records of activities pertaining to funding and the
Development covered by this Agreement to allow the City to conduct monitoring, performance,
and compliance reviews and evaluations. Notwithstanding any other provision in this
Agreement, the City will monitor the performance of Awardee against goals and performance
standards required herein. Substandard performance, as determined by the City, shall
constitute non-compliance with this Agreement. If action to correct such substandard
performance is not taken by Awardee within thirty (30) calendar days after being notified by
the City, suspension or termination procedures may be initiated as specified in Section VIII or
Section IX.
D. In accordance with 24 CFR §92.353, Awardee shall ensure that no person will be displaced
from his or her dwelling as a direct result of activities assisted with HOME Program funds
provided under this Agreement.
E. Awardee shall affirmatively market the housing unit developed under this Agreement to low -
moderate -income persons in compliance with 24 CFR §92.351 and Public Law 88-352 and
90-284 and ensure maintenance of documentation of affirmative marketing efforts to such
persons. Prior to any funds being disbursed under this Agreement, Awardee shall provide an
Affirmative Marketing Plan to the City documenting the planned affirmative marketing efforts
to be undertaken by Awardee regarding the Development.
F. Awardee shall not pay any part of funds received under this Agreement for lobbying the
Executive or Legislative Branches of the Federal, State, or local government.
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1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
G. Awardee shall adhere to the Conflict of Interest provisions at 24 CFR §92.356 and 2 CFR Part
200.
H. Awardee shall comply with the provisions of the National Environmental Policy Act of 1969,
as applicable to the Development funded under this Agreement, the Flood Disaster Protection
Act of 1973, and the Lead -Based Paint Poisoning Prevention Act, and the regulations
promulgated thereunder, all as amended. Awardee agrees to comply with the following
regulations insofar as they apply to the performance of this Agreement, the Clean Air Act,
Federal Water Pollution Control Act, Environmental Protection Agency regulations pursuant
to 40 CFR Part 50, all as amended, as well as all other applicable environmental laws and
regulations. Awardee shall ensure maintenance of the documentation to evidence compliance
with environmental statutes and regulations.
I. Awardee shall establish and ensure the eligibility of the homebuyer purchasing housing
developed under this Agreement with regard to low-income requirements specified by HUD.
In addition, Awardee shall ensure maintenance of beneficiary information regarding persons
assisted under this Agreement, including names, addresses, family size, social security
numbers, race, sex, income, marital status, and whether the assisted person(s) are elderly,
female head -of -household, or handicapped. Awardee shall also maintain beneficiary
information concerning race and ethnicity to include whether persons assisted under this
Agreement are White, Black/African American, Asian, American Indian/Alaskan Native, and
White, Black/African American and White, American Indian/Alaskan Native and
Black/African American or Other Multi -Racial and a separate count for beneficiaries that also
identify as Hispanic/Latino. The information shall be maintained for each HOME -assisted unit
and person(s) or family assisted under this Agreement. Awardee shall submit the beneficiary
information to the City upon request.
J. Awardee shall provide drug-free workplaces in accordance with the Drug -Free Workplace Act
of 1988.
K. Awardee shall ensure compliance with all requirements of the Davis -Bacon Act, Contract
Work Hours and Safety Standards Act, the Copeland Anti -Kickback Act, and all other
applicable federal, state, and local laws and regulations pertaining to labor standards. Awardee
shall ensure maintenance of adequate records and reports to evidence such compliance, if
applicable.
L. Awardee shall ensure compliance with the requirements of the Fair Housing Act, Executive
Order 11246 (Equal Employment Opportunity), as amended by Executive Order 12086, and
the regulations issued pursuant thereto, Executive Orders I 1625, 12432, and 12138, which
require affirmative actions to encourage participation by minority and women -owned business
enterprises. Awardee shall ensure that the provisions of this paragraph are included in every
subcontract entered into by Awardee associated with this Agreement and Development.
Awardee shall ensure maintenance of records and reports to document compliance with fair
housing and equal opportunity requirements.
M. Awardee will ensure that all records required under this Agreement are retained for a period of
five (5) years after the applicable required Affordability Period has expired. When requested,
Awardee shall furnish, and cause all its subcontractors to furnish, all reports and information
required hereunder, and will permit access to its books, records, and accounts, by the City,
HUD or its agent, or other authorized federal officials for purposes of investigation to ascertain
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compliance with the statutes, rules, regulations, and provisions stated herein.
N. Awardee shall ensure that where employees are engaged in activities not covered under the
Occupational Safety and Health Act of 1970, said employees shall not be required or permitted
to work, be trained in, or receive services in buildings or surroundings, or under working
conditions, which are unsanitary, hazardous, or dangerous to the participants' health of safety.
O. Awardee shall comply with Executive Order 11063, as amended by Executive Order 12259,
and shall not discriminate against persons on the basis of race, color, creed, religion, ancestry,
national origin, sex, disability or other handicap, age, marital or familial status, or status with
regard to public assistance. Awardee shall maintain records and documentation to evidence
compliance with this requirement. Awardee shall take affirmative action to ensure that all
employment practices are free from such discrimination. Such employment practices include,
but are not limited to, the following: hiring, upgrading, demotion, transfer, recruitment or
P. The Awardee must comply with the requirements of the Build America, Buy America (BABA)
Act, 41 USC 8301 note, and all applicable rules and notices, as may be amended, if applicable
to the Awardee's infrastructure project. Pursuant to HUD's Notice, "Public Interest Phased
Implementation Waiver for FY 2022 and 2023 of Build America, Buy America Provisions as
Applied to Recipients of HUD Federal Financial Assistance" (88 FR 17001), any funds
obligated by HUD on or after the applicable listed effective dates, are subject to BABA
requirements, unless excepted by a waiver.
Section 3 of the Housing and Urban Development Act of 1968/Equal Opportunity. Awardee
shall comply with the provisions of Section 3 of the Housing and Urban Development Act of
1968 (12 U.S.C. §1701u) and its implementing regulations contained in 24 CRF Part 75
regarding economic opportunities for low-income persons and the use of local businesses, if
applicable.
Q.
R. Awardee shall comply with Title VIII of the Civil Rights Act of 1968, as amended, Section
109 of Title I of the Housing and Community Development Act of 1974, Section 504 of the
Rehabilitation Act of 1973, the Americans with Disabilities Act of 1990, and the Age
Discrimination Act of 1975, along with all applicable regulations associated therewith, all as
amended. Awardee shall include the provisions of this paragraph in every subcontract entered
into by Awardee associated with this Agreement or this Development. Awardee shall ensure
maintenance of records and reports to document compliance.
S. Awardee agrees that funds received under this Agreement will not be utilized for religious
activities; however, HOME funds may be used for rehabilitation or construction of housing
that is owned by primarily religious organizations and to assist primarily religious
organizations in acquiring housing provided the agreement includes the conditions prescribed
in 24 CFR §5.109 for the use of HOME funds by religious organizations.
T. Awardee shall not further encumber the Development pursuant to this Agreement without the
prior written approval of the City.
U. Awardee shall monitor all subcontracted services on a regular basis to ensure contract
compliance. Results of monitoring efforts shall be summarized in written reports and supported
with documented evidence of follow-up actions taken to correct areas of noncompliance.
Awardee shall cause the applicable provisions of this Agreement to be included in, and made
a part of, any subcontract executed in the performance of this Agreement. Executed copies of
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all subcontracts entered into by Awardee shall be forwarded to the City, along with
documentation concerning the selection process.
VII. DEBARMENT AND SUSPENSION
Awardee certifies that Awardee or its principals:
A. Are not presently debarred, suspended, proposed for debarment, declared ineligible, or
voluntarily excluded from participation from covered transactions by any federal, state, or local
department or agency;
B. Have not, within a three (3) -year period preceding this Agreement, been convicted of or had a
civil judgment rendered against them for commission of embezzlement, theft, forgery, bribery,
falsification or destruction of records, making false statement(s) or receiving stolen property;
C. Are not presently indicted for, or otherwise criminally charged by, a governmental entity
(Federal, State, or local) with commission of any of the offenses enumerated above, and;
D. Have not, within a three (3) -year period preceding this Agreement, had one (1) or more public
transactions (Federal, State, or local) terminated for cause or default.
VIII. REMEDIES ON DEFAULT
In accordance with 2 CFR Part 200, Awardee agrees that in the event the City determines that a
breach of this Agreement has occurred, the City may exercise any and all of its rights and remedies
under applicable regulations, including the right to terminate this Agreement and recapture or
terminate any and all HOME Program funds allocated under this Agreement. More specifically:
A. If the City determines that Awardee has materially failed to comply with any provision of this
Agreement, or with any rules, statutes, regulations, or ordinances referred to herein, the City
will notify Awardee in writing of such Notice of Default in accordance with the requirements
of Section V to the party designated to receive such Notices in Section V of this Agreement.
For purposes of this section, the term "materially" means "an important or essential term of the
Agreement."
B. The City will allow Awardee the opportunity to demonstrate compliance with the Agreement
requirements in question. Awardee shall offer evidence of such compliance within thirty (30)
days from receipt of the written Notice of Default. Substantial compliance shall not constitute
compliance with the terms and conditions of this Agreement unless the City expressly agrees
to the substantial compliance in writing.
C. If Awardee fails to demonstrate to the City that it has fulfilled the requirement(s), the City may,
in addition to imposing any of the special conditions specified in 2 CFR Part 200, take
corrective or remedial action(s) as follows:
1) Corrective or remedial action will be designed to prevent a continuation of the deficiency,
mitigate any adverse effects, and prevent recurrence of the deficiency.
2) Corrective or remedial action may include:
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a. Temporarily withholding cash payments pending correction of the deficiency by
Awardee.
b. Specific activities required by the City to correct the deficiency and to be accomplished
by Awardee in a specified timeframe.
c. Canceling or revising activities may affect the performance of this Agreement and
create a deficiency in the original Agreement and may be grounds for making this
contract void and trigger remedies available to the City under this Agreement and/or
HOME Program regulations.
d. Reprogramming any balance of HOME Program funds made available under this
Agreement from deficient activities, or any activity funded under this Agreement, to
other eligible activities.
e. Suspension of HOME Program fund disbursements for deficient activities, or any
activities funded under this Agreement and subsequent termination of this Agreement
in its entirety.
f. Termination of this Agreement in its entirety and requiring that Awardee repay to the
City any and all HOME Program funds advanced under this Agreement.
Removing Awardee from participation in any future allocations of HOME Program
funds from the City.
g.
h. Taking other remedial actions that may be legally available to the City.
D. In the event Awardee dissolves the organization, ceases to exist, or becomes unable for any
reason to fulfill its obligations under this Agreement, the City will require Awardee to fully
repay to the City any and all amounts advanced under this Agreement.
E. Notwithstanding any other provision of this Agreement, should there be any fraud,
misrepresentation, embezzlement, or any other criminal activity associated with this
Development, the City may pursue all legal and equitable remedies available to it against
Awardee.
F. Any decision regarding corrective, remedial, legal, or equitable remedies or actions to be taken
regarding this Agreement or Development shall be at the sole option and absolute discretion of
the City. A decision by the City to pursue one course of action shall not constitute a waiver of
any other course of action the City may pursue under this Section VIII, Remedies on Default.
G. Pursuant to 24 CFR §92.205(e), should this Agreement be terminated before completion of the
Development, either voluntarily or otherwise, any HOME Program funds invested in the
Development that is the subject of this Agreement shall be repaid to the City's HOME
Investment Partnerships Program Fund in accordance with 24 CFR §92.503(b).
IX. TERMINATION
Pursuant to 2 CFR Part 200, the City may terminate this Agreement upon thirty (30) calendar days
prior written notice to Awardee contact person indicated in Section V of this Agreement. The
notice of termination shall set forth the reasons for such termination, the effective date of
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termination, and in the case of partial termination the portion of the award to be terminated.
However, in the case of partial termination, if the City, in its sole discretion, determines that the
remaining portion of the funding provided under this Agreement will not accomplish the purposes
for which the award was made, the City may terminate the award in its entirety under this section,
Section VIII, or 2 CFR Part 200.
X. MISCELLANEOUS PROVISIONS
A. The officials who executed this Agreement hereby represent and warrant that they have full
and complete authority to act on behalf of the City and Awardee, respectively, and that their
signatures below, the terms and provisions hereof, constitute valid and enforceable obligations
of each.
B. This Agreement shall be executed in the original, and any number of executed copies. Any
copy of this Agreement so executed shall be deemed an original and shall be deemed authentic
for any other use.
C. The parties may amend or modify this Agreement at any time, provided that such
amendment(s) or modification(s) make specific reference to this Agreement and are executed
in writing by a duly authorized representative of both parties. Such amendment(s) or
modification(s) shall not invalidate this Agreement, nor relieve or release the parties from their
obligations under this Agreement.
D. The terms and conditions of this Agreement shall be binding upon the parties hereto and their
respective successors and assignees.
E. Nothing contained in this Agreement is intended to, or shall be construed in any manner, as
creating or establishing the relationship of employer and employee between the parties.
Awardee shall at all times remain an independent contractor with respect to the services to be
performed under this Agreement.
F. Awardee shall not assign or transfer any interest in this Agreement without the prior written
approval of the City.
G. This Agreement shall be construed according to the laws of the State of Florida.
H. Should any part, term, or provision of this Agreement, or portions thereof, be determined by a
court of competent jurisdiction to be illegal, void, or unenforceable, the validity of the
remaining portions or provisions shall not be affected thereby.
XI. INDEMNITY
Awardee agrees that it shall indemnify and save harmless the City, its officers, agents, directors,
and employees from:
A. Any claims or losses for services rendered by any subcontractor, person, or firm performing or
supplying services, materials, or supplies in connection with the performance of this
Agreement.
B. Any claims or losses resulting to any person or firm injured or damaged by the erroneous,
willful, or negligent acts or omissions, including disregard of Federal, State, and local statutes
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or regulations, by Awardee, its officers, employees, or subcontractors in the performance of
this Agreement.
XII. TIME OF PERFORMANCE
Awardee shall commence Development activities included in Section I, Scope of Services, only
after receipt of the City Notice to Proceed. Awardee shall complete all activities included in Section
I., Scope of Services, within twenty-four (24) months from the date of the Notice to Proceed.
XIII. TERM OF AGREEMENT
This Agreement shall be in full force and effect from the date first written above and shall remain
in force for the full Affordability Period applicable to the development assisted with HOME
Program funds under this Agreement.
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IN WITNESSES WHEREOF, this Agreement has been duly signed and sealed by the parties hereto
on or as of the day and year first above written.
City Awardee
City of Clearwater
Clearwater Neighborhood Housing Services Inc
By: 4 By:
Name: J- rfer of ter Name: Efrain Cornier, Jr.
Its: City Ma ager Its: President/CEO
Date: 6 -ye. tvi l clj ..?Onti Date:
Federal ID Number: 59-6000289 Federal ID Number: 59-189854
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Exhibit "A"
Legal Description
Legal Description: Lot 77, Carolina Terrace Annex, according to the map or plat thereof, as
recorded in Plat Book 12, Page 30 of the Public Records of Pinellas County, Florida.
Parcel I.D. 22-29-15-13680-000-0770
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Attachment "B"
Project Schedule
Activity Completion Date
Plans and Specs
Site Acquisition
Preconstruction Conference
Construction Begins
Construction Complete
Expenditure of Funds
February 28, 2007
February 15, 2025
May 15, 2026
Completion Date
20% $57,346
20% $57,346
20% $57.346
20% $57,346
100% $57,346
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Attachment "C"
Sources and Uses
Source of Funds Amount of Funds
HOME $ 199,000.00
SHIP $ 90,951.55
Total Sources: $ 289,951.55
Uses
Hard Costs: $ 286,730.05
Soft Costs: $ 3,221.50
Project Delivery: $ 2,125.00
Total Development Cost: $ 292.076.55
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EXHIBIT " D "
NO COERCION FOR LABOR OR SERVICES ATTESTATION
Pursuant to Section 787.06(13), F.S., this form must be completed by an officer or
representative of a nongovernmental entity when a contract is executed, renewed, or extended
between the nongovernmental entity and a governmental entity.
does not use coercion for labor or services as defined in this Section
787.06, F.S.
Under penalty of perjury, I declare that I have read the foregoing statement and that the facts
stated in it are true and correct.
Printed Name:
Title:
S ignature:
Date:
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HOME Investment Partnerships Agreement
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1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
Prepared by: Matthew J. Mytych, Esq.
Return to: Terry Malcolm -Smith
City of Clearwater
Economic Development & Housing Department
P.O. Box 4748
Clearwater, FL 33758-4748
CITY OF CLEARWATER
ECONOMIC DEVELOPMENT AND HOUSING DEPARTMENT
LAND USE RESTRICTION AGREEMENT
HOME INVESTMENT PARTNERSHIPS PROGRAM
THIS LAND USE RESTRICTION AGREEMENT (this "Agreement"), is made on November 15, 2024,
by and between CLEARWATER NEIGHBORHOOD HOUSING SERVICES INC, a Florida not-for-
profit corporation ("Borrower") its successors, assigns, and transferees of the project described below,
whose mailing address is 608 N Garden Avenue, Clearwater, FL 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
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756 (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 real property, which is subject to a mortgage and note
executed on even date with this Agreement (the "Mortgage" and "Note" respectively) and shall be subject
to the restrictive covenants set forth herein; and
WHEREAS, Borrower shall cause to be improved in accordance with the plans and specifications
and any amendments thereto previously submitted by the Borrower to the City and which have been
approved by the City; and
WHEREAS, Borrower agrees that the restrictive covenants shall remain in full force and effect
against the real property until the end of the affordability period as provided herein; 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.
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 City of Clearwater, Pinellas County, Florida, described as: Legal
Description attached as Exhibit "A", (also described as Parcel Number: 22-29-15-13680-000-0770,
Borrower will comply, and will require any subsequent purchaser of the Property to comply with the
following:
Borrower acknowledges that this Agreement is necessary to comply with the affordability requirements of
the HOME program stated at 24 CFR § 92.254, from which funds were obtained to finance such loan.
Borrower covenants and agrees that in connection with the construction of the single-family home, the City
should approve any transfer or sale of the subject property.
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1. Covenants and Restrictions on Use of Funds. HOME Investment Partnerships Program
allocations provided to this project will be used for construction of the real 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 eighty percent (80%) 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 (an "Eligible Homebuyer"). 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 (an "Eligible Tenant") in accordance with 24
CFR §92.252. The home must be the principal residence of the Eligible Homebuyer. The income
of the persons who will occupy the unit shall be verified by the Borrower by obtaining third -party
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, the 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 HUD for the HOME
Program. The value of the HOME -assisted unit shall not exceed ninety-five percent (95%) of the
median purchase price for that type of single-family housing for the area. The maximum per-unit
subsidy amount shall not exceed the per -dollar limits established under HUD. The person or
persons purchasing the single-family home shall have fee simple title to the property.
(a) During the period of affordability, the single-family housing unit must be occupied by the
original low to moderate -income homebuyer. In the event that the homebuyer chooses to
sell the property, the homebuyer must sell the Property to another eligible low- and
moderate -income homebuyer and who will use the Property as its principal residence. If
the original homebuyer sells, either voluntarily or involuntarily, during the affordability
period, the homebuyer may receive a fair return on investment.
(b) All proceeds, program income, and recaptured funds associated with the Project shall be
returned to the City of Clearwater within thirty (30) days of receipt by the Borrower.
(c) Any noncompliance with the requirement of this Section 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. The Affordability Period shall commence upon the date of this Agreement
and end on the fifteenth (15th) year after sale to an Eligible Homebuyer or rental to an Eligible
Tenant. This Agreement shall remain in effect until the end of the Affordability Period.
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 HOME -assisted housing unit must meet
all applicable State and local housing quality standards, code requirements, and accessibility
requirements at 24 CFR Part 8, which implements Section 504 of the Rehabilitation Act of 1973
and 24 CFR § 100.20, and must also meet the design and renovation requirements at 24 CFR
§ 100.205, which implements the Fair Housing Act. Design of house must meet the International
Energy Conservation Code (formerly known as the Model Energy Code).; the City also highly
encourages the use of ENERGY STAR® qualified products, including natural gas where available,
in all developed housing.
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4. Location of HOME -Assisted Unit. The location of the unit is as follows: 1565 S. Martin Luther
King Jr. Avenue, Clearwater, Florida 33756. The 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 approved by City that the proposed changes will not adversely affect
the HOME -assisted unit or any provision of this Agreement.
5. No Discrimination. The 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 HOME -assisted unit
or in connection with the employment or application for employment of persons for the operation
and management of the project.
6. Affirmative Marketing Efforts. The Borrower will follow the affirmative marketing procedures
and requirements for the HOME Program to attract an Eligible Homebuyer in the housing market
area to the available housing without regard to race, color, national origin, sex, religion, familial
status, or disability.
7. Environmental Reviews. Each HOME -assisted project must be assessed for environmental
effects in accordance with the provisions of the National Environmental Policy Act of 1969
(NEPA) and related authorities listed in HUD's implementing regulations at 24 CFR Parts 50 and
58.
8. Displacement, Relocation, and Acquisition. The Borrower will take reasonable measures to
minimize displacement of persons as a result of the project being assisted with HOME funds in
accordance with the requirements of the Uniform Relocation Assistance and Real Properties
Acquisition Act. The Borrower shall be responsible for any relocation expenses incurred without
the City of Clearwater approval.
9. Labor. The Borrower shall be responsible for maintaining the prevailing wage rates for HOME -
assisted projects with 12 or more units in accordance with the Davis -Bacon Act (40 U.S.C. 276a -
276a -5).
10. Lead -Based Paint. The Borrower shall be responsible for maintaining that the HOME -assisted
unit meets the requirements listed in the Lead -Based Paint Poisoning Prevention Act and 24 CFR
Part 35.
11. No Conflicts with Other Documents. The 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.
12. Requests for Disbursement of Funds. The Borrower shall request funding for the HOME -
assisted project from the City on an as -needed basis.
13. Records. The Borrower shall retain all records pertaining to Project for a period of five (5) years
after audit and/or resolution of audit findings involving this loan. The Borrower shall maintain
accurate information regarding the occupancy for each HOME -assisted unit during the term of the
affordability period and, at the request of the City, shall submit this information to the City for the
City's review and comment. The Borrower shall maintain documentation substantiating
compliance with affirmative marketing requirements. These Project records shall be made
available to the City, U.S. Department of Housing and Urban Development and/or representatives
of the Comptroller General of the United States for audit, inspection, or copying purposes during
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normal business hours. The Owner shall maintain project records that include:
(a) A description of the Project assisted with HOME funds, including the location and form
of HOME assistance.
(b) The source and application of funds for each project, including supporting
documentation in accordance with 2 CFR §200.302 and §200.303.
(c) Records demonstrating the homeownership project meets the minimum per-unit subsidy
in accordance with 24 CFR §92.205(c) and §92.250(a) and subsidy guidelines adopted
in accordance with 24 CFR §92.250(b).
(d) Records demonstrating the homeownership project meets the property standards in
accordance with 24 CFR §92.251 and the lead-based paint requirements in accordance
with 24 CFR §92.355.
(e) Records demonstrating the person or persons purchasing the HOME -assisted unit are
income eligible in accordance with 24 CFR §92.203.
(f) Records demonstrating the purchase price or estimated value after construction for the
homeownership project does not exceed 95% of the median purchase price for the area
in accordance with 24 CFR §92.254.
(g) Records demonstrating the homeownership project meets the affordability requirements
of 24 CFR §92.254 for the required period.
(h) Records demonstrating compliance with the written agreements in accordance with
24 CFR §92.504.
(i) Records demonstrating compliance with the applicable requirements in accordance with
24 CFR §92.505.
(j) Records documenting required inspections, monitoring reviews and audits, and the
resolution of any findings or concerns.
(k) Records documenting equal opportunity and fair housing requirements in accordance
with 24 CFR Part 100 Fair Housing Act and certifications according to 24 CFR §91.225,
§91.325, and §91.425 (certifications).
(1) Records documenting HOME -related financial activities.
(m) Records documenting affirmative marketing and Minority Business Enterprise/Woman
Business Enterprise (MBE/WBE) activities.
14. Monitoring. The 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 by the City, to document compliance with this Agreement and HOME
Program rules. If the project is new construction, the Borrower shall provide the required
documentation monthly, until the HOME -assisted unit is sold.
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15. Successors Bound. This Agreement and the covenants contained herein shall run with the land
and shall bind, and the benefits shall inure to, respectively, the 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.
16. Enforcement of Terms. The benefits of this Agreement shall inure to, and may be enforced by,
the City during the Period of Affordability, whether or not the City shall continue to be the holder
of the Mortgage, whether or not the project loan may be paid in full, and whether or not any bonds
issued for the purpose of providing funds for the project are outstanding.
17. Conflict of Interest. The Borrower warrants that no person who exercises or exercised any
functions or responsibilities with respect to HOME activities, or who is in the position to participate
in decisions or gain inside information, may obtain a financial interest or benefit from a HOME
activity; or have an interest in any contract, subcontract, or agreement for themselves or for persons
with business or family ties.
18. Conditions of Religious Organizations. HOME funds may be used for rehabilitation or
construction of housing that is owned by primarily religious organizations and to assist primarily
religious organizations in acquiring housing provided the agreement includes the conditions
prescribed in 24 CFR §5.109 for the use of HOME funds by religious organizations.
19. OMB Guidance for Federal Financial Assistance. If the owner of the HOME -assisted project is
a not- for-profit organization, the owner agrees to comply with applicable federal administrative
requirements and provisions of 2 CFR Part 200 for government entities, or applicable provisions
of 2 CFR Part 200 Subpart E for non-profit entities.
20. Severability. The invalidity of any clause, part, or provision of this Agreement shall not affect the
validity of the remaining portion thereof.
21. Notice. All notices provided for herein shall be sent by certified or registered return receipt
requested mail, or by a nationally recognized overnight courier, addressed to the appropriate party
at the address designated for such party in the preamble to this Agreement, or such other address
as the party who is to receive such notice may designate in writing. Notice by mail shall be
completed by depositing the same in a letterbox or other means provided for the posting of mail
addressed to the party with the proper amount of postage affixed thereto. Actual receipt of notice
shall not be required to effect notice hereunder. Notices sent by a nationally recognized overnight
courier service shall be deemed delivered the next business day after deposit with such courier
unless the records of such courier indicate a later delivery in which case the notice shall be deemed
received on the date of delivery.
22. Defaults and Remedies. If the 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 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 the 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 the Borrower to pay to the City an amount equal to all HOME funds loaned to
Borrower, less any principal balance previously repaid by Borrower, if any HOME -assisted
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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 the Borrower hereunder shall constitute a default
under the Construction Loan Agreement, the HOME Investment Partnership Agreement,
Mortgage, and Note (all of even date herewith), which will enable the City, after notice and an
opportunity to cure as therein provided, to accelerate the Borrower's loan and take such other
actions as may be permitted under the terms of the aforementioned documents.
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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their duly
authorized officials on the date and year first above indicated.
(CITY SIGNATURE PAGE)
Approved as to Form:
Matthew J. Mytych, Esq.
Assistant City Attorney
Date:
I Ida/.2
City of Clearwater, Florida,
a Florida municipal corporation.
Jen P. ier
City Manager
Date: /,()YLn /4/ day
Attest:
QI
Rosemarie Call
City CI k
Date: f, 3 ,X91LI
Clearwater Neighborhood Housing Services Inc
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1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
(BORROWER SIGNATURE PAGE)
Signature of Witness
Name of Witness (Print)
Address of Witness
Signature of Witness
Name of Witness
Address of Witness
STATE OF FLORIDA
COUNTY OF PINELLAS
The foregoing instrument was
this day of
Housing Services Inc, who ❑
identification.
(NOTARIAL SEAL)
Clearwater Neighborhood Housing Services Inc, a
Florida not-for-profit corporation.
By: Efrain Cornier, Jr, President/CEO
acknowledged before me by means physical presence or online notarization,
, 2024 by Efrain Cornier, Jr., President/CEO of Clearwater Neighborhood
is/are personally known to me or who has/have produced a driver's license as
Notary Public, State of Florida
Name of Notary:
My Commission Expires:
My Commission No.
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1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
Exhibit "A"
Legal Description
Legal Description: Lot 77, Carolina Terrace Annex, according to the map or plat thereof, as recorded in
Plat Book 12, Page 30 of the Public Records of Pinellas County, Florida.
Parcel I.D. No.: 22-29-15-13680-000-0770
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1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
CITY OF CLEARWATER
ECONOMIC DEVELOPMENT AND HOUSING DEPARTMENT
CONSTRUCTION LOAN AGREEMENT
This Construction Loan Agreement (this "Agreement") is entered into on November 15, 2024, by and
between THE CITY OF CLEARWATER, FLORIDA, a Florida municipal corporation (herein, "Lender"
or the "City"), whose address is P.O. Box 4748 Clearwater, FL 33758-4748 and CLEARWATER
NEIGHBORHOOD HOUSING SERVICES INC, a Florida not-for-profit corporation (the "Borrower"
and collective with the City the "Parties"), whose address is 608 N Garden Avenue, Clearwater, FL 33755,
and is made in reference to the following facts:
A. Simultaneously with the execution and delivery of this Agreement, the City has made a loan to the
Borrower in the principal amount of Two Hundred Eighty Nine Thousand Nine Hundred Fifty -
One Dollars and 55/100 Cents ($289,951.55) (the "Loan"), or as much thereof as may from time to
time be advanced by the City to the Borrower, evidenced by a note (the "Note") in favor of the City
and a first Mortgage (the "Mortgage") encumbering real property located in Pinellas County, Florida,
more particularly described as follows (the "Property"):
Legal Description: Lot 77, Carolina Terrace Annex, according to the map or plat thereof, as recorded
in Plat Book 12, Page 30 of the Public Records of Pinellas County, Florida.
Parcel I.D. Number: 22-29-15-13680-000-0770
A.K.A. 1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
B. Borrower desires to make improvements on the Property in accordance with plans and specifications
submitted to the City and require advances from the City from time to time during the period of
construction, in order to construct said improvements.
C. The City is agreeable to making the advances set forth in Paragraph A above and Exhibit "A" New
Construction Draw Schedule attached hereto, as long as such advances are in strict compliance with
the terms and conditions of this Agreement and secured by the lien of the Mortgage, and that
construction is completed no later than eighteen (18) months from the date hereof (the "Construction
Date").
NOW THEREFORE, in consideration of the statements as set forth in the above and the agreements herein
made, the agreements and covenants contained in the Note and Mortgage, executed on even date herewith,
the Borrower and the City do hereby make the agreements set forth herein.
ARTICLE I. REPRESENTATIONS AND WARRANTIES OF BORROWER
The Borrower represents and warrants to the City as follows:
(a) Existence. The Borrower is duly authorized, validly existing and in good standing under the laws
of the state of its incorporation and the laws of the state in which the Property is located, and its
CEO executing this Agreement and the Note and Mortgage is duly authorized and has all necessary
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corporate power to enter into these agreements.
(b) No Default. The Borrower is not in default and has not breached in any material respect any
agreement or instrument to which it is a party or by which it may be bound, and the execution and
delivery of this Agreement, the Note and Mortgage, and the consummation of the other transactions
contemplated herein do not conflict with or result in, (i) a violation of any regulation, order, writ,
judgment, injunction or decree of any court or governmental or municipal instrumentality or (ii)
the breach of or default under any agreement or instrument to which the Borrower is a party or by
which it may be bound.
(c) Non -Commencement of Work. There has been no commencement of operation on the Property
incident to the improvements. No activities have occurred prior to the date hereof which could
result in mechanic's lien or similar lien being filed against the Property which would be superior
to the lien of the Mortgage. No Notice of Commencement has been filed in the Public Records of
Pinellas County in which the property is located.
(d) Compliance with Laws. The Borrower has obtained all necessary governmental approvals
necessary to commence construction of the improvements.
(e) Utilities, Land Use and Zoning. Sewer, water, and all other necessary utilities are available to
serve the Property and the improvements in sufficient quality for their intended use, and the current
land use and zoning classifications of the Property and any covenants and restrictions affecting the
Property may permit the construction and intended use of the improvements without the necessity
of obtaining further approvals, authorizations, waivers, consents, exceptions, or variances.
(f) Absence of Proceedings and Actions. There are no actions, suits or proceedings pending or, to
the knowledge of the Borrower, threatened against or affecting the Borrower or the Property, or
any Guarantors of the loans, if any.
(g) Financial Statements. All financial statements of the Borrower and the Guarantors, if any, of the
Loan submitted to the City are true and correct as of the date of this Agreement.
ARTICLE II. COVENANTS OF BORROWER
The Borrower covenants to the City that:
(a) Plans and Specifications. The Borrower shall cause to be constructed certain improvements on
the Property in accordance with the plans and specifications, and any amendments thereto
previously submitted by the Borrower to the City, and which have been approved by the City. The
plans and specifications, and any amendments thereto, as so approved by the City, shall remain the
property of the City.
(b) Development Work Criteria. Development of the Property and construction of the improvements
shall be in accordance with the plans and specifications, all engineering reports and studies, soil
reports and other similar matters which have heretofore been submitted by the Borrower to the City
for the basis of the Loan, and in compliance with all restrictions, conditions, regulations, and
agencies having control over or an interest in the Property and the improvements. No deviation
shall be made in the plans and specifications without the prior written consent of the City and, to
the extent applicable, no change shall be made in any contracts the Borrower has entered into with
respect to construction of the improvements without the prior written consent of the City of
Clearwater.
(c) Commencement and Continuity of Work. Development of the Property and construction of the
improvements shall commence within ninety (90) days from the date of this Agreement and shall
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be carried on diligently and without interruption or delay until completed and the same shall be
constructed in a good and workmanlike manner, and in accordance with the plans and specifications
referred to above. Before or immediately after the recordation of the Mortgage, the Borrower shall
file a Notice of Commencement and post a certified copy thereof on the Property in accordance
with Florida law.
(d) Use of Proceeds and Deficiency in Loan Amount. The Borrower will use the proceeds of the
Loan only for the payment of costs directly associated with the construction of the improvements
and shall not divert such funds for any other purpose. If it appears the construction costs of the
improvements will exceed the net amount available from the Loan, the City, at its discretion, may
require the Borrower to deposit, and the Borrower shall deposit with the City within ten (10) days
after receipt of notice of sufficient sums, which together with a net amount remaining available for
disbursement that will be sufficient to pay all construction and related costs of completing the
improvements in accordance with the plans and specifications. The judgment and determination
of the City as to any such deficiency shall be final and conclusive.
(e) Liens. The Borrower will have any Mechanics' Liens, or other encumbrances which may be filed
against the Property, released or bonded off within ten (10) days of the date the Borrower receives
notice thereof.
(f) Access to Books and Records. The Borrower will permit the City, or its agents, to have at all
reasonable times, unrestricted access to its records, accounting books, contracts, subcontracts, bills
and statements, including any supporting or related vouchers or other instruments, related in any
manner, to the development and construction of the improvements, and the City, or its agents, shall
have the right to copy the same.
(g)
Financial Statements. During the time period encompassing development of the Property and
construction of the improvements, or until the Completion Date, whichever occurs first, the City
reserves the right at any time to require updated financial statements from the Borrower and any
Guarantor, if any. The Borrower will permit the City, through any means deemed appropriate by
the City, to verify the correctness of any such updated financial statements.
(h) Delivery of Materials to Property. The Borrower will cause all materials, supplies, and goods to
be incorporated as part of the improvements to be delivered to the Property free and clear of all
liens and encumbrances so that no other party shall have an interest therein, whether superior or
inferior to the lien of the Mortgage.
(i) Compliance with Mechanics' Lien Law. The Borrower and its general contractor and Agent will
comply in all respects whatsoever with the Florida Mechanics Lien Law as the same may from time
to time exist, and the City shall not be obligated to disburse any funds to the Borrower if, in the
opinion of the City or its counsel, such disbursement would result in a violation of such law.
(j) Access to the Property. The Borrower will permit the City and its agents, at all reasonable times,
to have the right of entry and free access to the Property and the right to inspect the Property and
all work completed, labor performed, and materials furnished thereon or thereabouts.
(k) Services to Benefit the City. INSPECTIONS AND OTHER SERVICES RENDERED BY OR
ON BEHALF OF THE CITY AND WHETHER OR NOT PAID FOR BY BORROWER SHALL
BE RENDERED SOLELY FOR THE PROTECTION AND BENEFIT OF THE CITY, AND THE
BORROWER SHALL NOT BE ENTITLED TO CLAIM ANY LOSS OR DAMAGE AGAINST
THE CITY OR ITS AGENTS OR EMPLOYEES FOR FAILURE TO PROPERLY DISCHARGE
THEIR DUTIES TO THE CITY.
Clearwater Neighborhood Housing Services Inc
HOME Investment Partnerships Construction Loan Agreement Page 3
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
(1) The City's Right to Approve. The City shall have the right to approve all contracts, subcontracts,
purchase orders, or other similar agreements to be entered into by the Borrower with respect to any
portion of the construction of the improvements or any materials, supplies, or labor to be rendered
in connection therewith.
(m) Signage. The Borrower agrees that the City may erect a sign at the construction site in a
conspicuous location indicating that the financing for the project is provided by the City of
Clearwater.
(n) Joinder by Contractor. If the Borrower is employing a General Contractor and/or Agent with
respect to the construction of the improvements, the Borrower will require such Contractor and/or
Agent to join in the execution hereof, and, in the event of a conflict between the terms and
conditions of any such contract and this Agreement, the terms and conditions of this Agreement
shall govern and control.
(o) Further Assurance. The Borrower will, at the City's request, make, do, execute, and deliver to
the City and, where appropriate, shall cause to be recorded or filed at the Borrower's expense any
and all further acts, mortgages, documents, and assurances as may be reasonably necessary to
effectuate, complete, and confirm the transactions sought to be consummated hereunder.
(P)
(q)
Compliance with Note and Mortgage. The Borrower will comply with and abide by all the terms,
conditions, covenants, agreements, representations and warranties contained in the Note and
Mortgage, each of which documents are incorporated herein by this reference thereto. In the event
of a conflict between this Agreement and the Note or Mortgage, the terms and conditions of this
Agreement shall govern and control.
Disputes Between Borrower and the City. In the event any dispute arises between the Borrower
and the City with respect to the construction or meaning of the plans and specifications, the same
shall, at the option of the City, be decided by a competent architect to be selected by the City, but
may be paid for by the Borrower. The decision of such architect or government representative, as
the case may be, shall be conclusive and binding upon the Parties hereto.
(r) Disputes Between Borrower and Contractor and/or Agent. In the event a dispute arises between
the Borrower and Contractor and/or Agent, and the Borrower desires that future disbursements to
Contractor and/or Agent from the construction fund be suspended, the Borrower shall advise the
City in writing of the facts giving rise to the dispute and shall request in writing that disbursements
to the Contractor and/or Agent be suspended. The City shall withhold any disbursements due until
the City receives written instructions signed by the Borrower and the Contractor and/or Agent.
ARTICLE III. DISBURSEMENT OF FUNDS
Disbursement Schedule. Upon satisfaction of all conditions required and specified in the Disbursement
Schedule set forth by Borrower, the City shall disburse funds to the Borrower as set forth in the attached
Draw Schedule — Exhibit "A".
(a) Method of Disbursement. The City, at its option, disburses the loan funds to or for the Borrower,
the Contractor, and/or Agent for the Borrower. Such election shall not prevent the City from
making subsequent disbursements in a different manner or through a different party.
(b) Disbursement Procedures. Requests for loan disbursements shall be submitted by the Borrower
according to a Disbursement Authorization, which by this reference is incorporated herein and
made a part hereof (the "Disbursement Authorization"). Said authorization shall also serve as the
Borrower's written authorization to the City of where and to whom the disbursements are to be
Clearwater Neighborhood Housing Services Inc
HOME Investment Partnerships Construction Loan Agreement Page 4
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
made and the Parties authorized to request such disbursements.
(c) Disbursement Obligation of the City. Nothing contained in this Agreement, the Note, or
Mortgage shall impose upon the City any obligation to see to the proper application of any
disbursements made pursuant to this Loan, and the sole obligation of the City shall be to disburse
funds as set forth herein, provided there exists no default under this Agreement, the Note, and
Mortgage.
ARTICLE IV. PARTIAL RELEASES
Provided there is no default under the terms and conditions of the Commitment Letter, the Land Use
Restriction Agreement (the "LURA"), the HOME Investment Partnership Agreement, the Note, or
Mortgage (all executed on even date herewith), or this Agreement (collectively the "Loan Documents"),
and provided further that the Loan Commitment contemplates partial releases of the Property from the lien
of the Mortgage, partial releases shall be granted upon the terms and conditions set forth, if applicable.
ARTICLE V. EVENTS OF DEFAULT
The happening of any one or more of the following events shall constitute a default under this Agreement,
and the other Loan Documents:
(a) Breach of Condition. The Borrower's violation or breach of any term, condition, covenant,
representation or warranty contained in this Agreement, the Commitment Letter, the LURA, the
HOME Investment Partnership Agreement, Note, or Mortgage, or other instruments executed in
connection herewith, or if the improvements are not completed on or before the Completion Date
set forth in this Agreement, or the existence of a material misrepresentation of a fact contained in
the documents submitted in support of the Loan.
(b) Transfer of Property. The sale, assignment, pledge, transfer, hypothecation, or other disposition
of any proprietary or beneficial interest in the Borrower or the Property by the Borrower without
the prior written consent of the City.
(c) Impairment of the Property. The occurrence of any condition or situation which, in the sole
determination of the City, constitutes a danger to or impairment of the Property or repayment of
the Loan.
ARTICLE VI. THE CITY'S REMEDIES
Upon the occurrence of any event of default hereunder or under the other Loan Documents, the City shall
provide written notice of the default to the Borrower and provide the Borrower thirty (30) days to cure.
Upon providing written notice of a default, the City shall have the absolute right to refuse to disburse any
funds hereunder unless such default is cured within the thirty (30) day period. Upon a failure to cure a
default, the City shall have the absolute right at its option and election and in its sole discretion to:
(a) Possession. Take immediate possession of the Property as well as all other security for the Loan
as is necessary to fully complete the improvements as required hereunder and to do everything in
its sole judgment to fulfill the obligation of the Borrower hereunder.
(b) Exercise. Exercise any of the rights, privileges, or remedies available to the City under the LURA,
the Home Investment Partnership Agreement, Note or Mortgage, or as otherwise may be permitted
by applicable law.
Clearwater Neighborhood Housing Services Inc
HOME Investment Partnerships Construction Loan Agreement Page 5
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
(c) Power of Completion. In the event of the death of the Contractor and/or Agent, or in the event of
the bankruptcy of the Contractor and/or Agent, or in the event of the general assignment to creditors
by the Borrower or Contractor and/or Agent during the period of construction of said building and
before completion thereof, or upon any other occasion which might result in cessation of work, the
City shall have full power to take charge of and complete the construction and make disbursements
against the Loan and for the benefit of the Borrower, but shall not in any way be obligated to do
so.
(d) Acceleration. Accelerate the maturity of the Note and Mortgage and demand payment of the
principal sums due thereunder, advances, costs and attorney's fees, whether incurred at the trial or
appellate level, and enforce collection of such payment by foreclosure of the Mortgage or other
appropriate action in a court of competent jurisdiction.
The remedies and rights of the City hereunder and under the other Loan Documents shall be cumulative
and not mutually exclusive. The City may resort to any one or more or all of the remedies, but not to the
exclusion of any other remedy. No party, whether contractor, materialman, subcontractor, or supplier, shall
have any interest in loan funds withheld because of default, and shall have no right to garnish, require or
compel payment thereof to be applied towards discharge or satisfaction of any claim of lien which such
party may have for work performed or materials supplied for the construction of the improvements.
ARTICLE VII. THE CITY'S LIABILITIES
(a) The Escrow Account. The Borrower approves the deposit of the construction funds in an escrow
account at Somers Title and Settlement Services and releases the City from all loss resulting from
the handling of said funds by the Borrower in the usual course of business. The Borrower agrees
the holding, application, and disbursement of said construction funds delivered by the Borrower to
the City shall be for the account of the Borrower; however, it is expressly understood by the Parties
that the holding, application and disbursement of said construction funds is for the protection of all
Parties.
(b) To Third Persons. This Agreement shall not be construed to make the City liable to materialmen,
contractors, craftsmen, laborers, or other for goods or services delivered by them in or upon said
premises, or for debt or claims accruing to any such parties against the Borrower.
(c) INSPECTION SERVICES. IT IS EXPRESSLY AGREED THAT ALL INSPECTION AND
OTHER SERVICES RENDERED BY THE CITY SHALL BE RENDERED SOLELY FOR THE
PROTECTION AND BENEFIT OF THE CITY, AND THE BORROWER SHALL NOT BE
ENTITLED TO CLAIM ANY LOSS OR DAMAGE AGAINST THE CITY. THE CITY SHALL
NOT BE LIABLE FOR THE FAILURE OF ANY DEALER, CONTRACTOR, CRAFTSMAN
OR LABORER TO DELIVER THE GOODS OR PERFORM THE SERVICES TO BE
DELIVERED OR PERFORMED BY THEM.
(d) To the Borrower. The Borrower has accepted, and hereby accepts, the full responsibility for the
selection of his own contractor and subcontractors and all materials, supplies and equipment to be
used in the construction, and THE CITY ASSUMES NO RESPONSIBILITY FOR THE
COMPLETION OF SAID BUILDING OR BUILDINGS, ACCORDING TO THE PLANS AND
SPECIFICATIONS AND FOR THE CONTRACT PRICE. The Borrower has further accepted,
and hereby accepts full responsibility for compliance with the Florida Mechanics' Lien Law and
hereby relieves the City from any and all liability thereunder of any nature whatsoever. Anything
herein contained to the contrary notwithstanding, there shall be no obligation upon the City to make
any additional disbursements hereunder, if at the time of the request for such disbursements the
Borrower is in default or has failed to perform any provision of this Agreement or of the other Loan
Documents.
Clearwater Neighborhood Housing Services Inc
HOME Investment Partnerships Construction Loan Agreement Page 6
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
ARTICLE VIII. MISCELLANEOUS
(a) Notice. All notices provided for herein shall be sent by certified or registered return receipt
requested mail, or by a nationally recognized overnight courier, addressed to the appropriate party
at the address designated for such party in the preamble to this Agreement, or such other address
as the party who is to receive such notice may designate in writing. Notice by mail shall be
completed by depositing the same in a letterbox or other means provided for the posting of mail
addressed to the party with the proper amount of postage affixed thereto. Actual receipt of notice
shall not be required to effect notice hereunder. Notices sent by a nationally recognized overnight
courier service shall be deemed delivered the next business day after deposit with such courier
unless the records of such courier indicate a later delivery in which case the notice shall be deemed
received on the date of delivery.
(b) Governing Law and Venue. This Agreement and the other Loan Documents shall be governed
and construed in accordance with the laws of the State of Florida and the exclusive venue for any
litigation arising out of these documents shall be in Pinellas County, Florida.
(c) Modification and Waiver. No provision of this Agreement, the Note, or the Mortgage shall be
amended, waived, or modified except by an instrument in writing signed by the Parties against
whom such amendment, waiver, or modification is sought to be enforced.
(d) Severability. The inapplicability or unenforceability of any provision of this Agreement, the Note,
and Mortgage shall not limit or impair the operation or continued validity of any other provision of
this Agreement, the Note, and Mortgage.
(e) Counterparts. This Agreement may be executed in any number of counterparts, each of which,
when executed and delivered, shall be an original, and such counterparts together constitute one
and the same instrument.
(f) Assignability. The Borrower shall not assign this Agreement, or any part of any advance to be
made hereunder, or convey, encumber, mortgage, lease, in whole or in part, any portion of the
Property without the prior written consent of the City. The rights of the City under this Agreement
are assignable by the City, in whole or in part, without the consent of the Borrower. This
Agreement is binding upon the representatives, successors and permitted assigns of the Borrower
and the City.
(g) Waiver of Defaults. Waiver by the City of any breach or default by the Borrower under the terms
of the Note, Mortgage, or this Agreement shall not be deemed to, nor shall the same constitute a
waiver of, any subsequent breach or default on the part of the Borrower.
(h) Expenses. The Borrower shall pay all costs and expenses required to satisfy the condition of this
Agreement or incidental to the Loan, including, without limitation, all taxes, insurance premiums,
recording expenses, stamp taxes, all brokerage fees, appraisal fees, survey costs, and title insurance
costs.
(i) Beneficiaries. This Agreement is an agreement only by and between the Borrower and the City
and for their benefit and the benefit of their successors and assigns permitted by this Agreement.
No other person or party, including any contractor that assents hereto, shall be a beneficiary hereof
or have any rights hereunder, and no rights are conferred by this Agreement upon any other person
or party, whether or not their name may be used or otherwise identified in this Agreement, or in the
assent of contractor below.
Clearwater Neighborhood Housing Services Inc
HOME Investment Partnerships Construction Loan Agreement Page 7
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
(j) Attorney's Fees. Should it become necessary for the City to engage the services of an attorney
due to the failure on the part of the Borrower to promptly and fully perform, comply, and/or abide
by each and every stipulation, agreement, condition and covenant of this Agreement or any related
loan document, the Borrower agrees to pay any and all of the City's attorney fees. The term
"attorney fees" as used in this Agreement includes any and all legal fees of whatever nature,
including, but not limited to, fees resulting from any appeal of any involuntary order, final
judgment, or any other appellate proceedings arising out of any litigation.
[The remainder of this page intentionally left blank]
Clearwater Neighborhood Housing Services Inc
HOME Investment Partnerships Construction Loan Agreement Page 8
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed by their duly
authorized officials on the date and year first above indicated.
By:
STATE OF FLORIDA
COUNTY OF PINELLAS
Clearwater Neighborhood Housing Services,
Inc., a Florida not-for-profit corporation.
Efrain Cornier, President/CEO
Date:
The foregoing instrument was acknowledged before me by means 7 physical presence or ❑ online notarization,
this day of , 2024 by Efrain Cornier as President/CEO of Clearwater
Neighborhood Housing Services, Inc., who ❑ is personally known to me or ❑ who has produced a driver's
license as identification.
Notary Public, State of Florida
(NOTARIAL SEAL) Name of Notary:
My Commission Expires:
My Commission No.
STATE OF FLORIDA
COUNTY OF PINELLAS
The foregoing instrument was acknowledged before
notarization, this Itik day of t3Ok.xit 4T( , 2024
Clearwater, Florida who mare personally known to
as identification.
(NOTARIAL SEAL)
CITY OF CLEARWATER, FLORIDA,
a Florida municipal corporation.
By: • ferIoirr •r
Title: City anager
Date: ��j/. /L,/ -)15 q
me by means 7/hysical presence or online
by Jennifer Poirrier as City Manager of the City of
me or who has/have ,r;Q uceda� 's cense
_°�, ..� CoFmm.: HH387353
;j� , Expires: April 17, 2027
°'��,���°°` NotaryPublic - State of Florida
Notary Public, Stat of\Florida
Name of Notary: J t'&(ic),` \k. \C
My Commission Expires: A kl C7 gz9-7
My Commission No. ` � , 5 3
Clearwater Neighborhood Housing Services Inc
HOME Investment Partnerships Construction Loan Agreement Page 9
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
Exhibit "A"
New Construction Draw Schedule
Borrower: Clearwater Neighborhood Housing Services Inc Contractor:
Address: 151S MttinI lhrKingJr. Rene, Oea er, Flcridi33756 Funding Amount: $289,951.55
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, fumace cubicle framed and ready to set
furnace.
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 Inc
HOME Investment Partnerships Construction Loan Agreement Page 10
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
Notice to Proceed
Date: November 15, 2024
Property Address: 1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
Owner (S): Clearwater Neighborhood Housing Services Inc
Contractor: Arrow Homes, Inc,
Dear Frank:
Pursuant to the construction Contract signed on November 15, 2024, you are hereby
notified to proceed with the development of the property described above. Upon receipt
of this notice, you are responsible for performing the construction work on said property
under the terms and conditions of the contract and in accordance with the specifications
provided to the City of Clearwater. Construction should begin by February 15, 2025.
Pursuant to the provisions of Article 2 of the Contract, you are hereby given Notice to
Proceed with the work within ninety fp.ffi calendar days from the date of this notice. This
notice provides that the work will be completed within eighteen (j months from the date
of this notice.
Please acknowledge receipt and acceptance of this notice by signing in the space
provided below. Keep a copy and return a copy to:
City of Clearwater, Economic Development & Housing
PO Box 4748, Clearwater, Florida 33758
I acknowledge receipt of this notice on
Authorized signature:
Efrain Cornier, Jr., President/CEO,
Clearwater Neighborhood Housing Services Inc
Clearwater Neighborhood Housing Services Inc
HOME Investment Partnerships Construction Loan Agreement Page 11
CHICAGO TITLE
INSURANCE COMPANY -
Transaction Identification Data, for which the Company assumes no liability as set forth in Commitment
Condition 5.e.:
Issuing Agent:Somers Title Company
Issuing Office:1290 Court Street, Clearwater, Florida 33756
Issuing Office's ALTA® Registry ID:1035063
Loan ID Number.
Commitment Number.2407008C
Issuing Office File Number. 2407008C
Property Address: 1561 S. Martin Luther King Jr. Ave., Clearwater, Florida 33755
Revision Number.
L/
1. Commitment ate: 0 4 @ 8:00 AM
2. Policy to be issued:
a.
SCHEDULE A
2021 ALTA® Loan Policy with Florida Modifications
Proposed Insured: City of Clearwater, its successors and/or assigns as their interest may appear
Proposed Amount of Insurance: $2$979815-
The estate or interest to be insured: Fee Simple v9 (Cp ) 5/.63-g
3. The estate or interest in the Land at the Commitment Date is: Fee Simple
4. The Title is, at the Commitment Date, vested in: Clearwater Neighborhood Housing Services, Inc., a Florida
Not For Profit Corporation
5. The Land is described as follows:
Lot 77, Carolina Terrace Annex, according to the map or plat thereof, as recorded in Plat Book 12, Page 30
of the Public Records of Pinellas County, Florida.
SomersTitle Company
By: 41.0-3e
Authorized Signatory
This page is only a part of a 2021 ALTA Commitment for Title Insurance issued by Chicago Title Insurance Company. This Commitment is not valid
without the Notice; the Commitment to Issue Policy, the Commitment Conditions; Schedule A Schedule B, Pan: I—Requirements: and Schedule 9,
Part II—Exceptions; and a counter -signature by the Company or its issuing agent that may be in electronic form.
THE TELEPHONE NUMBER TO PRESENT INQUIRIES OR OBTAIN INFORMATION ABOUT COVERAGE AND TO PROVIDE
ASSISTANCE IS 1-800-669-7450
27C170B09
ALTA Commitment for Title Insurance (7-1-21) w -FL Mod
Copyright 2021 American Land Title Association. All rights reserved.
The use of this Form (or any derivative thereof) is restricted to ALTA licensees and ALTA members in good standing
as of the date of use. All other uses are prohibited. Reprinted under license from the American Land Title Association.
AMERICAN
LAND TITLE
ASSOCIATION
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
Prepared by: Matthew J. Mytych, Esq.
Return to: Terry Malcolm -Smith
City of Clearwater
Economic Development & Housing Department
P.O. Box 4748
Clearwater, FL 33758-4748
CITY OF CLEARWATER
ECONOMIC DEVELOPMENT AND HOUSING DEPARTMENT
MORTGAGE
THIS IS A BALLOON MORTGAGE, AND THE FINAL PRINCIPAL PAYMENT OR THE PRINCIPAL
BALANCE DUE ON MATURITY IS $289,951.55 TOGETHER WITH ACCRUED INTEREST, IF ANY,
AND ALL ADVANCEMENTS MADE BY THE MORTGAGEE UNDER THE TERMS OF THIS
MORTGAGE.
PURPOSE OF LOAN: Construction of a single-family home
THIS MORTGAGE is made on or as of November 15, 2024, between CLEARWATER
NEIGHBORHOOD HOUSING SERVICES INC, a Florida not-for-profit corporation, hereinafter called
"Mortgagor," whose address is 608 N. Garden Avenue, Clearwater, FL 33755, and the CITY OF
CLEARWATER, FLORIDA, a Florida municipal corporation, whose address is P.O. Box 4748,
Clearwater, Florida 33758-4748, County of Pinellas, hereinafter called "Mortgagee" or "Lender".
WITNESSETH, that to secure the payment of an indebtedness in the principal amount of Two Hundred
Eighty -Nine Thousand Nine Hundred Fifty -One Dollars and 55/100 Cents ($289,951.55) with, if
applicable, interest thereon, which shall be payable in accordance with a certain note, bond, or other
obligation, which obligation is hereinafter called "Note", bearing even date herewith, and all other
indebtedness which the Mortgagor is obligated to pay to the Mortgagee pursuant to the provisions of the
Note and this Mortgage, the Mortgagor hereby grants, conveys, and mortgages to the Mortgagee:
ALL that certain lot, piece, or parcel of land situated and being in Pinellas County, Florida, described as
follows: Exhibit "A" attached.
COMMONLY KNOWN AS: 1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
Parcel I.D. No.: 22-29-15-13680-000-0770
TOGETHER with all appurtenances thereto and all the estate and rights of the Mortgagor in and to such
property or in any way appertaining thereto: all buildings and other structures now or hereafter thereon
erected or installed, and all fixtures and articles of personal property now or hereafter attached to, or used
in, or in the operation of, any such land, buildings, or structures which are necessary to the complete use
and occupancy of such buildings or structures for the purposes for which they were or are to be erected or
installed, including, but not limited to, all heating, plumbing, bathroom, lighting, cooking, laundry,
ventilating, refrigerating, incinerating, and air-conditioning equipment and fixtures, and all replacements
thereof and additions thereto, whether or not the same are, or shall be, attached to such land, buildings,
THIS MORTGAGE IS EXEMPT FROM INTANGIBLE TAX
Clearwater Neighborhood Housing Services Inc
HOME Investment Partnerships Mortgage
State Housing Initiatives Partnership (SHIP Program)
Page 1
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
structures in any manner, lot improvements, roads, and all other infrastructure improvements; and
TOGETHER with any and all awards now or hereafter made for the taking of the property mortgaged
hereby, or any part thereof (including any easement) by the exercise of the power of eminent domain,
including any award for change of grade of any street or other roadway, which awards are hereby assigned
to the Mortgagee and are deemed a part of the property mortgaged hereby, and the Mortgagee is hereby
authorized to collect and receive the proceeds of such awards, to give proper receipts and acquaintance
therefore, and to apply the same toward the payment of the indebtedness secured by this Mortgage,
notwithstanding the fact that the amount owing thereon may not then be due and payable; and the Mortgagor
hereby agrees, upon request, to make, execute, and deliver any and all assignments and other instruments
sufficient for the purpose of assigning each such award to the Mortgagee, free, clear, and discharged of any
encumbrances of any kind or nature whatsoever; and
TOGETHER with all right, title, and interest of the Mortgagor in and to the land lying in the streets and
roads in front of and adjoining the above-described land (all of the above-described land, buildings, other
structures, fixtures, articles of personal property, awards and other rights and interests being hereinafter
collectively called the "Mortgaged Property").
TO HAVE AND TO HOLD the Mortgaged Property and every part thereof unto the Mortgagee, its
successors and assigns forever for the purposes and uses herein set forth.
PROVIDED ALWAYS that if the Mortgagor shall pay unto the Mortgagee all sums required under the
terms of the Note, which Note is in the original principal amount of $289,951.55 and has a maturity date of
November 15, 2026 (Exhibit "B" attached hereto), unless such maturity is accelerated as set forth in the
Note, and shall comply with and abide by each and every one of the stipulations, agreements, conditions,
and covenants of the Loan Documents, as defined below, then in such event this Mortgage and the estate
hereby created shall cease and be null and void.
MORTGAGOR further covenants and agrees with the Mortgagee, as follows:
1. The Mortgagor will promptly pay the principal of and interest on the indebtedness evidenced by the
Note, and all other charges and indebtedness provided therein and, in this Mortgage, at the times and
in the manner provided in the Note and in this Mortgage.
The Commitment Letter, the Note, the Land Use Restriction Agreement, the HOME Investment
Partnership Agreement, and the Construction Loan Agreement (all executed on even date herewith)
together with this Mortgage shall hereinafter collectively be referred to as the "Loan Documents".
2. The Mortgagor will pay when due, as hereinafter provided, all ground rents, if any, and all taxes,
assessments, water rates, and other governmental charges, fines, and impositions, of every kind and
nature whatsoever, now or hereafter imposed on the Mortgaged Property, or any part thereof, and will
pay when due every amount of indebtedness secured by any lien to which the lien of this Mortgage is
expressly subject.
3. This Mortgage and the Note were executed and delivered to secure monies advanced in full to the
Mortgagor by the Mortgagee as or on account of a loan evidenced by the Note, for the purpose of
making improvements to or on the Mortgaged Property, which improvements are hereinafter
collectively called the "Improvements", and for such other purpose, if any, described or referred to
therein, including construction of the Mortgaged Property. The Mortgagor shall make or cause to be
made all the Improvements. If the construction or installation of the improvements shall not be carried
out with reasonable diligence, or shall be discontinued at any time for any reason, other than strikes,
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lock -outs, acts of God, fires, floods, or other similar catastrophes, riots, war, or insurrection, the
Mortgagee, after due notice to the Mortgagor, is hereby authorized (a) to enter upon the Mortgaged
Property and employ any watchmen, protect the Improvements from depreciation or injury and to
preserve and protect the Mortgaged Property, (b) to carry out any and all then -existing contracts
between the Mortgagor and other parties for the purpose of making any of the Improvements, (c) to
make and enter into additional contracts and incur obligations for the purposes of completing the
Improvements pursuant to the obligations of the Mortgagor hereunder, either in the name of the
Mortgagee or the Mortgagor, and (d) to pay and discharge all debts, obligations, and liabilities incurred
by reason of any action taken by the Mortgagee as provided in this paragraph, all of which amounts so
paid by the Mortgagee, with interest thereon from the date of each such payment, at the default rate as
set forth in the Note, shall be payable by the Mortgagor to the Mortgagee on demand and shall be
secured by this Mortgage.
4. No building or other structure or improvement, fixture of personal property mortgaged hereby shall be
removed or demolished without the prior written consent of the Mortgagee. The Mortgagor will not
make, permit, or suffer any alteration of or addition to any building or other structure or improvement
now or which may hereafter be erected or installed upon the Mortgaged Property, or any part thereof,
except the Improvements required to be made pursuant to this Mortgage, nor will the Mortgagor use,
or permit or suffer the use of any of the Mortgaged Property for any purpose other than the purpose or
purposes for which the same is now intended to be used, without the prior written consent of the
Mortgagee. The Mortgagor will maintain the Mortgaged Property in good condition and state of repair
and will not suffer or permit any waste to any part thereof and will promptly comply with all the
requirements of Federal, state, and local governments, or of any departments, divisions or bureaus
thereof, pertaining to the Mortgaged Property or any part thereof.
5. Preservation, Maintenance, and Protection of the Property. Borrower shall not destroy, damage, or
impair the Mortgaged Property, allow the Mortgaged Property to deteriorate, or commit waste on the
Mortgaged Property. Borrower shall maintain the Mortgaged Property in order to prevent the
Mortgaged Property from deterioration or decrease in value due to its condition. Borrower shall comply
with all City Codes relating to maintenance of the Mortgaged Property and shall repair or restore the
Property upon Notice by the City. Failure to comply with this provision may result in Borrower's loan
being placed in default.
6. Transfer of the Property, Encumbrances. Except for the direct sale of the unit to a qualified
owner -occupant, if all or any part of the Property or an interest therein is sold or transferred by
Mortgagor without Lender's prior written consent, including the creation of a lien or encumbrance
subordinate to this Mortgage, the sums hereunder and under the Note shall be immediately due and
payable with interest due from the date of this Mortgage and Note without further notice to Mortgagor,
or Mortgagor's successor or assigns.
7. (a) The Mortgagor will keep all buildings, other structures, and improvements, including equipment,
now existing or which may hereafter be erected or installed on the Mortgage Property hereby, insured
against loss by fire and other hazards, casualties and contingencies, in such amounts and manner, and
for such periods, all as may be required from time to time by the Mortgagee. Unless otherwise required
by the Mortgagee, all such insurance shall be affected by Standard Fire and Extended Coverage
Insurance policies in amounts not less than necessary to comply with the coinsurance clause percentage
of the value applicable to the location and character of the property to be covered. All such insurance
shall be carried in companies approved by the Mortgagee, and all policies therefore shall be in such
form and shall have attached thereto loss payable clauses in favor of the Mortgagee and any other
parties as shall be satisfactory to the Mortgagee. All such policies and attachments thereto shall be
delivered promptly to the Mortgagee, unless they are required to be delivered to the holder of a lien of
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a mortgage or similar instrument to which this Mortgage is expressly subject, in which latter event,
certificates thereof, indicating Mortgagee's interest with the standard mortgage clause, satisfactory to
the Mortgagee, shall be delivered promptly to the Mortgagee. The Mortgagor will pay promptly when
due, as hereinafter provided, any and all premiums on such insurance, and in every case in which
payment thereof is not made from the deposits therefore required by this Mortgage, promptly submit to
the Mortgagee for examination receipts or other evidence of such payment as shall be satisfactory to
the Mortgagee. The Mortgagee may obtain and pay the premium on (but shall be under no obligation
to do so) every kind of insurance required hereby if the amount of such premium has not been deposited
as required by this Mortgage, in which event the Mortgagor will pay to the Mortgagee every premium
so paid by the Mortgagee, as set forth in this Mortgage.
(b) In the event of loss or damage to the Mortgaged Property, the Mortgagor will give to the Mortgagee
immediate notice thereof by mail, and the Mortgagee may make and file proof of loss if not made
otherwise promptly by or on behalf of the Mortgagor. Each insurance company issuing any such policy
is hereby authorized and directed to make payment hereunder for such loss to the Mortgagor and the
Mortgagee jointly, unless the amount of loss is payable first to the holder of a lien under a mortgage or
similar instrument to which this Mortgage is expressly subject; and all the insurance proceeds, or any
part thereof, if received by the Mortgagee, may be applied by the Mortgagee, at its option, either in
reduction of the indebtedness hereby secured, or to the restoration or repair of the Mortgaged Property
damaged. In the event of foreclosure of this Mortgage, or of any transfer of title to the Mortgaged
Property in extinguishment of such indebtedness, all right, title, and interest of the Mortgagor in and to
every such insurance policy then in force, subject to the rights and interest of the holder of any such
prior lien, shall pass to the grantee acquiring title to the Mortgaged Property together with such policy
and appropriate assignment of such right, title and interest which shall be made by the Mortgagor.
8. The Improvements and all plans and specifications therefore shall comply with all applicable municipal
ordinances, regulations and rules made or promulgated by lawful authority, and upon their completion,
shall comply therewith and with the rules of the Board of Fire Underwriters having jurisdiction.
9. Upon any failure by the Mortgagor to comply with or perform any of the terms, covenants, or conditions
of this Mortgage requiring the payment of any amount of money by the Mortgagor, other than the
principal amount of the loan evidenced by the Note, interest, and other charges, as provided in the Note,
the Mortgagee may at its option make such payment. Every payment so made by the Mortgagee
(including reasonable attorney's fees incurred thereby), with interest thereon from the date of such
payment, as set forth in this Mortgage, except any payment for which a different rate of interest is
specified herein, shall be payable by the Mortgagor to the Mortgagee on demand and shall become a
lien secured by this Mortgage. This Mortgage with respect to any such amount and the interest thereon
shall constitute a lien on the Mortgaged Property prior to any other lien attaching or accruing subsequent
to the lien of this Mortgage.
10. The Mortgagee, by any of its agents or representatives, shall have the right to inspect the Mortgaged
Property from time to time at any reasonable hour of the day. Should the Mortgaged Property, or any
part thereof, at any time require inspection, repair, care or attention of any kind or nature not provided
by this Mortgage as determined by the Mortgagee in its sole discretion, the Mortgagee may, after notice
to the Mortgagor, enter or cause entry to be made upon the Mortgaged Property and inspect, repair,
protect, care for or maintain the Mortgaged Property, as the Mortgagee may in its sole discretion deem
necessary, and may pay all amounts of money therefore, as the Mortgagee may in its sole discretion
deem necessary.
11. The principal amount owing on the Note together with interest thereon and all other charges, as therein
provided, and all other amounts of money owing by the Mortgagor to the Mortgagee pursuant to and
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secured by the Mortgage, shall immediately become due and payable without notice or demand upon
the appointment of a receiver or liquidator, whether voluntary or involuntary, for the Mortgagor or any
of the property of the Mortgagor, or upon the filing of a petition by or against the Mortgagor under the
provisions of any State insolvency law, or under the provisions of the Bankruptcy Act of 1898, as
amended, or upon the making by the Mortgagor of an assignment for the benefit of the Mortgagor's
creditors. The following events and any other event or condition of default referenced in the other Loan
Documents shall constitute a default:
(a) Failure to pay the amount of any installment of principal and interest, or other charges
payable on the Note, which shall have become due, prior to the due date of the next such
installment.
(b) Nonperformance by the Mortgagor of any covenant, agreement, term, or condition of this
Mortgage, or of the Note (except as otherwise provided in subdivision (a) hereof) or of any
other agreement heretofore, herewith or hereafter made by the Mortgagor with the Mortgagee
in connection with such indebtedness;
(c) Failure of the Mortgagor to perform any covenant, agreement, term, or condition in any
instrument creating a lien upon the Mortgaged Property, or any part thereof, which shall have
priority over the lien of this Mortgage;
(d) The Mortgagee's discovery of the Mortgagor's failure in any application of the Mortgagor to
the Mortgagee to disclose any fact deemed by the Mortgagee to be material, or of the making
therein, or in any of the agreements entered into by the Mortgagor with the Mortgagee
(including but not limited to the Loan Documents) of any misrepresentation by, on behalf of,
or for the benefit of the Mortgagor; or
(e) Transfer of the Mortgaged Property or encumbrances, except for the direct sale of the unit to
a qualified owner -occupant, if all or any part of the Mortgaged Property or an interest therein
is sold or transferred by Mortgagor without Lender's prior written consent, including the
creation of a lien or encumbrance subordinate to this Mortgage. Upon such occurrence, the
sums hereunder and under the Note shall be immediately due and payable with interest due
from the date of this Mortgage and Note without further notice to Mortgagor, or Mortgagor's
successor or assigns.
In the event of default under this Mortgage, any of the other Loan Documents, or any alternative
promissory note (as referenced in the Note), the City's remedies after providing written notice of default
to Mortgagor and thirty (30) days to cure (except when expressly not required to do so under this
section) shall include but not be limited to the right to acceleration of all sums due under the Note and
foreclose on the land subject to the Mortgage; and the City shall be entitled to collect any costs related
to foreclosure including reasonable attorney's fees. The City retains all other rights and remedies
available at law or in equity.
The Mortgagee's failure to exercise any of its rights hereunder shall not constitute a waiver thereof.
Upon failure to cure any event of default, as detailed in this Section 11, the Note may be declared to be
immediately due and payable.
12. The Mortgagee may from time to time cure each default under any covenant or agreement in any
instrument creating a lien upon the Mortgaged Property, or any part thereof, which shall have priority
over the lien of this Mortgage, to such extent as the Mortgagee may exclusively determine, and each
amount Paid, if any, by the Mortgagee to cure any such default shall be paid by the Mortgagor to the
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Mortgagee, and the Mortgagee shall also become subrogated to whatever rights the holder of the prior
lien might have under such instrument.
13. After failure to cure any default hereunder or upon default if a cure period is not required for a specified
default event, the Mortgagor shall upon demand of the Mortgagee, surrender possession of the
Mortgaged Property to the Mortgagee, and the Mortgagee may enter such property, and let the same
and collect all the rents there from which are due or to become due, and apply the same, after payment
of all charges and expenses, on account of the indebtedness hereby secured, and all such rents and all
leases existing at the time of such default are hereby assigned to the Mortgagee as further security for
the payment of the indebtedness secured hereby, and the Mortgagee may also dispossess, by the usual
summary proceedings, any tenant defaulting in the payment of any rent to the Mortgagee.
14. The Mortgagee in any action to foreclose this Mortgage shall be entitled to the appointment of a receiver
without notice, as a matter of right and without regard to the value of the Mortgaged Property, or the
solvency or insolvency of the Mortgagor or other party liable for the payment of the Note and other
indebtedness secured by this Mortgage.
15. The Mortgagor, within ten (10) days upon request in person or within twenty (20) days upon request
by mail, will furnish promptly a written statement in form satisfactory to the Mortgagee, signed by the
Mortgagor and duly acknowledged, of the amount then owing on the Note and other indebtedness
secured by this Mortgage, and whether any offsets or defenses exist against such indebtedness or any
part thereof.
16. The Mortgagor will give immediate notice by registered or certified mail to the Mortgagee of any fire,
damage, or other casualty affecting the Mortgaged Property, or of any conveyance, transfer, or change
in ownership of such property, or any part thereof.
17. Notice. All notices provided for herein shall be sent by certified or registered return receipt requested
mail, or by a nationally recognized overnight courier, addressed to the appropriate party at the address
designated for such party in the preamble to this Mortgage, or such other address as the party who is to
receive such notice may designate in writing. Notice by mail shall be completed by depositing the
same in a letterbox or other means provided for the posting of mail addressed to the party with the
proper amount of postage affixed thereto. Actual receipt of notice shall not be required to effect notice
hereunder. Notices sent by a nationally recognized overnight courier service shall be deemed delivered
the next business day after deposit with such courier unless the records of such courier indicate a later
delivery in which case the notice shall be deemed received on the date of delivery.
18. In case of a foreclosure sale of the Mortgaged Property, it may be sold as one parcel.
19. The Mortgagor will not assign the rents, if any, in whole or in part, from the Mortgaged Property, or
any part thereof, without the prior written consent of the Mortgagee.
20. The Mortgagor is lawfully seized of the Mortgaged Property and has good right, full power and lawful
authority to sell and convey the same in the manner above provided and will warrant and defend the
same to the Mortgagee forever against the lawful claims and demands of any and all parties whatsoever.
21. The Mortgagor hereby waives the benefit of all homestead exemptions as to the debt secured by this
Mortgage and as to any expenditures for insurance, taxes, levies, assessments, dues, or charges incurred
by the Mortgagee pursuant to any provision of this Mortgage.
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1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
22. This Mortgage and all the covenants, agreements, terms, and conditions herein contained shall be
binding upon and inure to the benefit of the Mortgagor and the heirs, legal representatives and assigns
of the Mortgagor and, to the extent permitted by law, every subsequent owner of the Mortgaged
Property, and shall be binding upon and inure to the benefit of the Mortgagee and its assigns. If the
Mortgagor, as defined herein, consists of two or more parties, this Mortgage shall constitute a grant and
mortgage by all of them jointly and severally, and they shall be obligated jointly and severally under
all the provisions hereof and under the Note. The word "Mortgagee" shall include any person,
corporation, or other party who may from time to time be the holder of this Mortgage. Wherever used
herein, the singular number shall include the plural, the plural number shall include the singular, and
the use of any gender shall be applicable to all genders wherever the sense requires.
23. Land Use Restriction Agreement. This Mortgage shall be subject to all terms and conditions of the
Land Use Restriction Agreement recorded of an even date herewith.
THIS IS A BALLOON MORTGAGE, AND THE FINAL PRINCIPAL PAYMENT OR THE
PRINCIPAL BALANCE DUE ON MATURITY IS $289,951.55 TOGETHER WITH ACCRUED
INTEREST, IF ANY, AND ALL ADVANCEMENTS MADE BY THE MORTGAGEE UNDER THE
TERMS OF THIS MORTGAGE.
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1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
IN WITNESS WHEREOF, this Mortgage has been duly signed and sealed by the Mortgagor on or as of
the day and year first above written.
In the presence of:
Clearwater Neighborhood Housing Services Inc,
a Florida not-for-profit corporation.
Signature of Witness
Name of Witness (Print) BY: Efrain Cornier, Jr. President/CEO
Address of Witness
Signature of Witness
Name of Witness (Print)
Address of Witness
STATE OF FLORIDA )
COUNTY OF PINELLAS )
The foregoing instrument was acknowledged before me by means physical presence or E. online notarization,
this day of , 2024, by Efrain Cornier, Jr., as President/CEO of Clearwater
Neighborhood Housing Services Inc, who E is/are personally known to me or who has/have produced a
driver's license as identification.
Notary Public, State of Florida
(NOTARIAL SEAL) Name of Notary:
My Commission Expires:
My Commission No.
Clearwater Neighborhood Housing Services Inc
HOME Investment Partnerships Mortgage
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1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
Exhibit "A"
Legal Description
Legal Description: Lot 77, Carolina Terrace Annex, according to the map or plat thereof, as recorded in
Plat Book 12, Page 30 of the Public Records of Pinellas County, Florida.
Parcel I.D. No.: 22-29-15-13680-000-0770
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1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
Exhibit "B"
Prepared by: Matthew J. Mytych, Esq.
Return to: Terry Malcolm -Smith
City of Clearwater
Economic Development & Housing Department
P.O. Box 4748
Clearwater, FL 33758-4748
CITY OF CLEARWATER
ECONOMIC DEVELOPMENT AND HOUSING DEPARTMENT
DEFERRED PAYMENT MORTGAGE NOTE
Closing Date: November 15, 2024 Loan Amount: $289,951.55
Borrower(s): Clearwater Neighborhood Housing Services Inc
Borrower Address: 608 N. Garden Avenue, Clearwater, FL 33755
Property Address: 1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
Parcel I.D. Number: 22-29-15-13680-000-0770
THIS NOTE IS SECURED BY A BALLOON MORTGAGE AND THE FINAL PRINCIPAL
PAYMENT OR THE PRINCIPAL BALANCE DUE ON MATURITY IS $289,951.55 TOGETHER
WITH ACCRUED INTEREST, IF ANY, AND ALL ADVANCEMENTS MADE BY THE
MORTGAGEE UNDER THE TERMS OF THE MORTGAGE SECURING THIS NOTE.
FOR VALUE RECEIVED, Clearwater Neighborhood Housing Services Inc, a Florida not-for-profit
corporation, (the "Borrower"), promises to pay to the order of the CITY OF CLEARWATER, FLORIDA,
a Florida municipal corporation (the "City"), its successors and assigns, the sum of Two Hundred Eighty -
Nine Thousand Nine Hundred Fifty -One Dollars and 55/100 Cents ($289.951.55). Payment of the
principal and interest of this NOTE shall be as follows: This NOTE shall be deferred for twenty-four (24)
months from the date of this NOTE unless the single-family home unit is sold before the end of the deferral
period. The interest rate on the loan will be zero percent (0%) per annum. At such time that the Borrower
sells the unit with the address noted above and in that certain Mortgage of even date herewith before the
end of the deferral period, the Borrower will repay the City the full amount of this Note balance less the
twelve percent (12%) developer fee on the construction cost within thirty (30) days from the date of sale.
Otherwise, the entire loan will be due and payable at the end of twenty-four (24) months from the date of
this NOTE (November 15, 2026), (the "Maturity Date"). If at the end of the loan term, the single-family
home is not sold, or if the home does not have a contract, or if the Borrower has not actively pursued the
sale of the home as determined by the City, the entire loan balance will become due and payable to the City.
Default of the terms of the Commitment Letter, the Mortgage, the Construction Loan Agreement, the Land
Use Restriction Agreement (the "LURA"), the HOME Investment Partnership Agreement all executed on
even date herewith, or this NOTE (collectively the "Loan Documents") shall, at the City's option, cause
this NOTE to become immediately due and payable after written notice and opportunity to cure as provided
below.
Clearwater Neighborhood Housing Services Inc
HOME Investment Partnerships Mortgage Note Page 1
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
This NOTE is secured by a Balloon Mortgage, and the final principal payment or the principal
balance agreed upon is due upon maturity together with accrued interest, if any, and all
advancements made by the mortgagee under the terms of the mortgage securing this NOTE.
Upon default under this NOTE or the other Loan Documents, the City, at its option, may prepare an
alternative promissory note requiring monthly payments of principal and interest. All payments on the
alternative note shall be applied first to interest to date of receipt, then to principal, then to late charges due.
Failure of the Borrower to cure a default within thirty (30) days of written notice of a default under any of
the Loan Documents (unless such notice and cure period is otherwise not required for a particular default
event pursuant to any of the Loan Documents) shall entitle the City accelerate the sums due under this Note
and file suit to recover on the amount owed. If suit is instituted by the City to recover on this NOTE, the
Borrower agree(s) to pay all costs of such collection including reasonable attorney's fees and court costs.
Failure of the City to exercise any option to which it may be legally entitled to enforce the terms of this
NOTE shall not constitute a waiver of such default, enforcement of any other terms and conditions, or any
rights or remedies.
In the event of default under any of the Loan Documents or any alternative promissory note, the City's
remedies shall include but not be limited to the right to acceleration of all sums due under this NOTE and
foreclosure on the land subject to the Mortgage; and, the City shall be entitled to collect any costs related
to foreclosure, including reasonable attorney's fees. The City retains all other rights and remedies available
at law or in equity.
During the deferred term, this NOTE will not accrue interest. Upon failure of the Borrower to cure a default
within the specified timeframe, this NOTE will accrue interest at three percent (3%) per annum until the
principal amount of this NOTE is paid.
The Borrower reserve(s) the right to prepay the principal in whole or in part at any time without payment
of premiums or penalties.
The principal amount of this NOTE will be repaid as provided for in this NOTE and the Mortgage.
This NOTE is secured by a mortgage duly filed in the Public Records of Pinellas County, Florida.
DEMAND, protest and notice of demand and protest are hereby waived and the Borrower hereby waives,
to the extent authorized by law, any and all homestead and other exemption rights which otherwise would
apply to the debt evidenced by this NOTE.
This NOTE has been duly executed by the Borrower, as of its date provided below.
[The remainder of this page intentionally left blank]
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HOME Investment Partnerships Mortgage Note Page 2
1565 S. Martin Luther King Jr. Avenue, Clearwater, Florida 33756
THIS NOTE IS SECURED BY A BALLOON MORTGAGE AND THE FINAL PRINCIPAL
PAYMENT OR THE PRINCIPAL BALANCE DUE ON MATURITY IS $289,951.55 TOGETHER
WITH ACCRUED INTEREST, IF ANY, AND ALL ADVANCEMENTS MADE BY THE
MORTGAGEE UNDER THE TERMS OF THE MORTGAGE SECURING THIS NOTE.
Notice to Borrower
Do not sign this Note if it contains blank spaces. All spaces should be completed before you sign.
IN WITNESS WHEREOF, this NOTE has been duly signed by the Borrower on this day of
, 2024.
In the presence of:
Signature of Witness
Clearwater Neighborhood Housing Services Inc, a
Florida not-for-profit corporation.
Name of Witness (Print) By: Efrain Cornier, Jr, President/CEO
Address of Witness
Signature of Witness
Name of Witness (Print)
Address of Witness
STATE OF FLORIDA
COUNTY OF PINELLAS
The foregoing instrument was acknowledged before me by means ❑ physical presence or online notarization,
this day of , 2024 by Efrain Cornier as President/CEO of Clearwater
Neighborhood Housing Services Inc, who ❑ is/are personally known to me or ❑ who has/have produced a
driver's license as identification.
Notary Public, State of Florida
(NOTARIAL SEAL) Name of Notary:
My Commission Expires:
My Commission No.
Clearwater Neighborhood Housing Services Inc
HOME Investment Partnerships Mortgage Note Page 3