AgdaPkt 2009-01-26 clsd and reg - Laserfiche WebLink

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6.1C Page 32 17. Nonliabilitv of the City. In no event shall the City become liable or obligated to Owner or to any successor to Owner by reason of the City's right of first refusal and option to purchase, set forth in Sections 9 and 16, respectively, nor shall the City become obligated or liable to Owner or to any successor to Owner for any failure to purchase the Subject Affordable Unit. 18. Bindina Effect. This Resale Agreement shall bind and the benefrt of this Resale Agreement shall inure to Owner, Owner's successor's an,d assigns, and the City, and the City's successors and assigns. ,""1' 19. Superiority of Resale Aareement. Owner:q()*~~nts that Owner has not, and will not, execute any other agreement with p~#~iSi()n~,'i'90ntradictory to or in opposition to the provisions of this Resale Agre~m,eht, and tl1at,;,in any event, this Resale Agreement is controlling as to the rights.~nd obligations 'b~een and among Owner, the City and their respective successoJ$,aifd assigns. '," : ;,;,.: . ":. .::": 20. Rights of Mortaaaees; Mortaa~Lender:~~Quisition. This"Section 20 exists to accommodate and balance the Cit}ts;.nt~r~sf in maintaining a supply of affordable housing units and the int~rest of properfift:'mortgage lenders ("Lender(s}") in selling Subject Affordable Unit if acquirf3d through fb(~(;losure action or deed in lieu of foreclosure (collectively, "Foreclosur~"). . .. Mortgagees shall notify the Ci~: lwithin;I~)J;ty~ ;(2of:aays of filing a Notice of Default against the SubJec;t~~9rdable lJo.;it.,~~fbrre aCtiUi~jtion of the Subject Affordable Unit through Foreclosllre, the O,ty shall fnaye'the option, but not the obligation, to cure such default. . .,> . . . . ":." ,", ." '. .'. ." .. . . . . .. Upon acquisitiob,of the!~,til:>j~~t~fforda~l,e Unit by a Lender through Foreclosure, the LendershCiII, at leastjSi)cty (60rda~s:,prior to selling, conveying, transferring or otherwis~,(j;jsposipg...of the.'$~bject Affordable Unit, offer to sell the Subject Affordable Unit tathe' City fo(apLJrcha:$~,price equal to the original purchase price of the Subject Affo'rd~ble Unit paid b~r~he defacdting Owner. In the event the City elects to purchase the SUbj~ct Affordable Unil the'i(j~ty and Lender shall open escrow with a mutually agreeabU~.escrow compaliy"and shall share equally in escrow related expenses except that City sha,Unot pay any('~xpenses customarily paid by sellers in San Mateo County, California. Suctrescrow::~~riod shall be no less than thirty (30) days. At any time between receipfof pffeh#fpurchase the Subject Affordable Unit and the close of escrow as described hererh;etien after the City notifies Lender that it exercises its option, the City may assign its right to purchase the Subject Affordable Unit to a person or entity of its choosing. The City may re-assign its right to purchase to succeeding persons or entities of its choosing in the event that the initial assignees withdraws or is disqualified from the purchase, provided that the close of escrow is within the original ninety (90) days or such additional period as is agreed to by Lender. If the City or an assignee of the City fails to complete the purchase for any reason, the City may withdraw from the REDW\0001 \DOC\023-2. DOC 11/24/08730 HilT 13