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LAND USE RESTRICTION AGREEMENTPrepared by: Matthew J. Mytych, Esq. City of Clearwater Dept. of Economic Development & Housing P.O. Box 4748 Clearwater, FL 33758 LAND USE RESTRICTION AGREEMENT HOME INVESTMENT PARTNERSHIPS PROGRAM HOMEBUYER THIS LAND USE RESTRICTION AGREEMENT (this "Agreement") is entered into on March 13, 2026 by and between Marissa Sator Hendrick, a single woman, whose address is 701 South Madison Avenue, #506, Clearwater, FL 33755 (the "Borrower") and the City of Clearwater Florida, a Florida municipal corporation, whose mailing address is P.O. Box 4748, Clearwater, Florida 33758-4748 (the "City"). WHEREAS, the Borrower has purchased certain real property located at 701 South Madison Avenue, #506, Clearwater, FL 33755 (the "Property") which is the subject of a mortgage and note executed by the Borrower of even date herewith (the "Mortgage" and the "Note" respectfully); and WHEREAS, the Borrower agrees that the restrictive covenants described herein shall remain in full force and effect against the Property until the end of the Period of Affordability provided herein; and WHEREAS, these covenants shall be properly filed and recorded by City in the Official Public Records of Pinellas County, Florida and shall constitute a valid restriction upon the use of the Property subject to and in accordance with the terms contained herein; and NOW THEREFORE, in consideration of the funds the City has provided to the Borrower for a loan to finance the down payment, closing costs, and gap assistance (if applicable) for the Property (the "Loan" or the "HOME Funds"), the City and the Borrower hereby agree as follows: 1. Recitals. The recitals set forth above are true and correct and are incorporated herein and made part of this Agreement. 2. Legal Description: The Property is legally described as provided in Exhibit "A" attached hereto. 3. Borrower Acknowledgement. The Borrower acknowledges that the restrictive covenants contained in this Agreement are necessary to comply with the requirements of the HOME Investment Partnerships Program stated at 24 CFR §92.254 from which funds were used to provide homeownership assistance financing through the City and its partners. 4. Covenants and Restrictions on Use of HOME Funds. The HOME Funds provided to the Borrower will be used for homeownership assistance for the acquisition of the Property. At the time of the application for the Loan, the Borrower's annual income should not exceed eighty percent (80%) of the area median income ("AMI"), as determined and made available by the U.S. Department of Housing and Urban Development with adjustments for smaller and larger families at the time of purchase of the new home. The home must be the principal residence of the Borrower. 5. 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 (FHA 203(b) limits). The maximum per unit subsidy amount shall not exceed the per dollar limits established under Section 221(d)(3)(ii) of the National Housing Act. 6. The Borrower shall have fee simple title to the Property. 7. Period of Affordability. For the purpose of this Agreement, the Period of Affordability shall be a period beginning when the HOME Funds are invested and ending ten (10) years thereafter. This Agreement shall terminate at the end of the Period of Affordability. 8. During the Period of Affordability, the HOME -assisted unit must be occupied by the Borrower. Should the Borrower sell the Property to any willing buyer at whatever price the market will bear, the sale will trigger recapture of the HOME Funds. In addition, if the Borrower should rent and/or transfer the property, or if the home shall cease to be the principal/homestead residence of the Borrower, it will trigger repayment of the HOME assistance. 9. Personal Responsibility and Work Opportunity Reconciliation Act. Pursuant to 8 U.S.C. § 1611, the Borrower shall ensure that any non -U.S. citizen that receives a Federal public benefit relating to the HOME -assisted Unit is a qualified alien as defined under 8 U.S.C. § 1641(b) unless an exemption applies. 10. Recapture. The City will use this recapture provision for repayment of the Loan should the Borrower not comply with the Period of Affordability or any other provision in the mortgage, note, or other covenant related to the loan. In the event of default, the Borrower shall repay the City in accordance with the following: A. Upon voluntary conveyance of the home, the City shall recapture from the net proceeds of the sale, the unpaid balance of the HOME Funds. If the Property is transferred without a sale, the City shall recapture the unpaid balance of the HOME Funds. B. After the City has been repaid the unpaid balance of the HOME funds, the Homebuyer may then recover their initial investment of the remaining net proceeds from the sale. The initial investment shall include the amount they contributed to the down payment when the Property was initially purchased and any documented permanent improvements made to the Property at time of acquisition. C. Any balance of the net proceeds remaining after repayment of the unpaid balance of the City's HOME funds and the Homebuyer's recoupment of their initial investment shall be divided proportionally between the Homebuyer and the City in accordance with each parties' initial investment percentage in the Property compared to each other. The City's initial investment percentage shall be calculated to include all grants and loans of HOME or other City funds provided to the Homebuyer, minus any repayments previously made to the City. Pursuant to 24 CFR § 92.254(a)(5)(ii), Under no circumstances may the City recapture funds exceeding the net proceeds. The net proceeds are the sales price minus superior loan repayment (other than HOME funds) and any closing costs. Notwithstanding the above provision, the City may recapture the unpaid balance HOME Funds should the Homebuyer otherwise default under the terms of any mortgage, note, land use restriction agreement, or any other agreement or covenant executed in connection with the acquisition. 11. In the event the Property is conveyed pursuant to a foreclosure sale, the provisions of 24 CFR § 92.254 (a)(5)(ii) of the HOME Program shall apply. The recapture provision provides for shared net proceeds (if any) from the foreclosure sale. If there are no net proceeds from the foreclosure, repayment by the City or the Borrower is not required, and HOME Program requirements are considered to be satisfied. 12. Successors Bound. This Agreement and the covenants contained herein shall run with the Property and shall bind, and the benefits shall inure the Borrower, their successors and assigns, and all subsequent owners of the Property. 13. Enforcement. Violation or breach of any restrictions or covenant herein contained shall give the City the right to institute any proceeding at law or in equity necessary to recover the applicable sum set forth in this Agreement. If action is instituted by the City to recover the sum, the Borrower or its successors in the title agree to pay all costs to collection, including court costs and reasonable attorney's fees. IN WITNESS WHEREOF, this Agreement has been duly signed by the Borrower and the City on the date and year first above written. (CITY OF CLEARWATER SIGNATURE PAGE) Approved as to form: Matthew J. Mytych, Esq. Assistant City Attorney Date: 3f (1/07.41- CITY OF CLEARWATER, FLORIDA, a Florida municipal corporation. By: Date: Attest: Rosemarie Call City Cler Dat; : A 12) (BORROWER SIGNATURE PAGE) Signed, sealed, and delivered in the presence of: *Note: two witnesses are required* Borrower: Marissa Sator Hendrick Witness #1 Signature Print Name: Print Name: Date: Address: Witness #2 Signature Print Name: Address: STATE OF ) COUNTY OF ) The foregoing instrument was acknowledged before me by means of ❑ physical presence or D online notarization, this day of , 2026 by who is D personally known to me or ❑ who has produced as identification. Notary Public, State of Florida (NOTARIAL SEAL) Name of Notary: My Commission Expires: My Commission No.: EXHIBIT "A" LEGAL DESCRIPTION Unit 506 of LAKESIDE CROSSING, a Condominium according to the Declaration of Condominium thereof recorded in Official Records Book 15411, page 2126, of the Public Records of Pinellas County, Florida, and all amendments thereto, together with its undivided share in the common elements.