Agmt00 Purchase Agreement Habitat for Humanity - Rolison Haven

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Habitat or the City of Redwood City, or the Redwood City Redevelopment Agency to a subsequent Eligible Household. 11. Repurchase Price - Eligible Sales Price. The Eligible Sales Price for the repurchase of the Property by Peninsula Habitat or the City of Redwood City, or the Redwood City Redevelopment Agency shall be the original Purchase Price of the Property when acquired by the owner from Peninsula Habitat, adjusted by the percentage change, since the date that the owner acquired the Property based upon the date of recordation of the deed conveying the Property to the owner from Peninsula Habitat, to and including the date that Peninsula Habitat or the City of Redwood City, or the Redwood City Redevelopment Agency gives its notice of exercise of its option to repurchase, in the Median Income, adjusted by family size, as provided by the U.S. Department of Housing and Urban Development, or in the event that this statistical index is no longer published, any other appropriate index as determined by Peninsula Habitat. In no case however shall the increase in the original Purchase Price exceed three per cent (3%) compounded annually, except as provided below for Qualifying Improvements as have been made to the Property by the owner, which amount shall be added to the original Purchase Price as set forth in subsection k, below. 12. Qualifying Improvements. A "Qualifying Improvement" shall be any capital improvement, as opposed to repairs and maintenance, installed by the owner, which satisfies all the criteria set forth below. The value of the Qualifvina. Improvements shall be limited to a total of ten percent (10%) of the original Purchase Price. The value of the Qualifying Improvements shall be the sum equal to the original cost of materials and labor prorated over the expected useful life of the improvements. It shall be the obligation of the owner to establish by sufficient evidence that any improvements is a Qualifying improvement and the value thereof. Peninsula Habitat shall have the right to determine the value of any Qualifying Improvement in its sole and absolute discretion. Further, in establishing any value to a Qualifying Improvement, Peninsula Habitat �hall have the right to consider any damage to capital improvements in the Property and may offset the Eligible Sales Price by the reasonable cost of repair on such damage. In order to be deemed a Qualifying Improvement, each improvement must satisfy the following qualifying criteria: (1) The cost of the improvement must exceed one percent (1 %) of the original Purchase Price. (2) The improvements must have a remaining expected useful life of at least five (5) years beyond the completion of the proposed transfer. (3) The owner shall present substantiating documentation showing the original cost of materials and the original cost of labor for the improvement, and the date of its installation. I M. Addendum -h5 FXS:fs 04/14/00