RecDoc 2022-044651 IQHQ Elco Yards, L.P.

Browse Search

shall survive expiration of the Term or other termination of this Agreement and shall remain in full force and effect. 2.2 Allowable Rent. (a) Low Income Rent. Subject to Section 2.3 below, the Rent charged to Residents of the Low -Income Units shall not exceed one -twelfth (1/121h) of thirty percent (30%) of sixty percent (60%) of Median Income, adjusted for Assumed Household Size. (b) Moderate Income Rent. Subject to Section 2.3 below, the Rent charged to Residents of the Moderate -Income Units shall not exceed one -twelfth (1/12th) of thirty percent (30%) of one hundred ten percent (110%) of Median Income, adjusted for Assumed Household Size. (c) Assumed Household Size. In calculating the allowable Rent for the Units, Assumed Household Size shall be determined pursuant to the terms of Health and Safety Code Section 50052.5(h). (d) No later than November 1 of each calendar year, the City shall provide the Owner with a schedule of permissible maximum Low -Income Rents and Moderate -Income Rents for the succeeding year. Under no circumstance may Owner raise rents above the permissible maximum rents as allowed under the annual rent schedule provided by the City. 2.3 Increased Income of Residents. (a) Low -Income Household to Moderate Income Household. If, upon recertification of a Resident's income, the Owner determines that a former Low Income Household's Adjusted Income has increased and exceeds the qualifying income for a Low - Income Household set forth in Section 1.1 above, but does not exceed the qualifying limit for a Moderate -Income Household as set forth in Section 1.1 above, then, upon expiration of the Resident's lease: (1) Such Resident's Unit may be considered a Moderate -Income Unit; (2) Such Resident's Rent may be increased to a Moderate -Income Rent, upon sixty (60) days written notice to the Resident; and (3) The Owner shall rent the next available Unit to a Low -Income Household at a Low -Income Rent. (b) Non -Qualifying Household. If, upon recertification of the income of a resident, the Owner determines that a former Low Income Household, or Moderate Income Household has an Adjusted Income exceeding the maximum qualifying income for a Moderate Income Household, such Resident shall be permitted to continue occupying the Unit and upon expiration of the Resident's lease and upon sixty (60) days written notice, the Resident may continue to reside in the Unit for a period not to exceed twelve (12) months and the Rent may be increased to the lesser of one -twelfth (1/121h) of thirty percent (30%) of actual Adjusted Income of the Resident, or fair market rent and the Owner shall rent the next available Unit to a Low REV: 04-07-2022 SK ATTY/AGR.2022.067/IQHQ Elco Yards, LP and Kopf & Kopf LLC (Page 5 of 19)