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ATTY/RESO.0020/CC RESO APPROVING AMENDMENTS TO HPP GUIDELINES – EXHIBIT B REV: 05-04-26 LF Page 36 of 86 ATTACHMENT NO. 5 FORM OF NOTE PROMISSORY NOTE (Insert Name/Address of Project) Principal Sum Not to Exceed ___________, 20__ $__________ Redwood City, California FOR VALUE RECEIVED, [INSERT NAME OF DEVELOPER], a [Insert State and type of business entity] (the “Maker” or “Borrower”), having an address at [Insert Borrower Address], promises to pay the CITY OF REDWOOD CITY, a California municipal corporation (“Payee” or “City”), the principal sum not to exceed ______________________________ DOLLARS ($_____________), or so much of such principal as may be advanced, together with interest thereon accruing from the date of this Note at a rate of 3% simple interest. 1. Purpose. This Note is made and delivered pursuant to and in implementation of the Loan Agreement entered into by and between City and Borrower, of even date herewith, which provides for the acquisition by the Maker of the Development described in Section 3 below. The term “Property” means that real property described in the Deed of Trust securing this Note. Capitalized terms used in this Note that are not defined herein have the meaning set forth in the Loan Agreement. 2. Security. Payment of this Note is secured by a Deed of Trust, Assignment of Rents, Security Agreement and Fixture Filing of even date herewith (the “Deed of Trust”) from Maker to Payee recorded upon the Property in the official records of San Mateo County. 3. Project. Maker will operate an affordable housing development on the Property located at [Insert address of Loan Agreement] in the City of Redwood City, all as more fully described in the Loan Agreement (collectively, the “Development”). The Development includes [insert total number of units] apartments units that have been constructed and are in operation on the Property. The Development includes (i) ____________ units that will be available and rented to households whose income does not exceed the maximum income for Extremely Low Income Households (collectively, the “Extremely Low Income Units”), (ii) ________________ units that will be available and rented to households whose income does not exceed the maximum income for Very Low Income Households (the “Very Low Income Units”), and (iii) ________________ units that will be available and rented to households whose income does not exceed the maximum income for Low Income Households (the “Low Income Units”) as a condition of the making of this Loan by City. Additionally, ________________ unit will be an unrestricted managers’ unit. 4. Maturity Date. This Note shall be due and payable in full at the earlier of (i) sale of the Development by Borrower to a Person other than an Affiliate; (ii) an uncured Default under the Loan Agreement or (iii) fifty-five (55) years after the date hereof (the “Maturity Date”).