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(iii) Owner shall rent the next available unit at an Affordable <br />Rent to a household whose gross household income does not exceed Very Low <br />Income or 90% of AMI, as necessary to comply with Section 2.1. <br />2.2.2 Notice of Affordability Restrictions on Transfer of Property. <br />Pursuant to the requirements of California Community Redevelopment Law, Owner and <br />Agency shall execute a Notice of Affordability Restrictions on Transfer of Property <br />substantially in the form attached hereto as Exhibit D, and shall cause such notice to be <br />recorded substantially concurrently with the recordation of this Agreement. <br />2.3 Unit Sizes, Design and Location. The Restricted Units shall be of <br />comparable design quality as unrestricted units in the Project, but may have reduced <br />interior amenities. Tenants of Restricted Units shall have access to all common <br />facilities of the Project equal to that of tenants of Project Units that are not Restricted <br />Units. The Restricted Units shall be allocated among affordability categories as set <br />forth in Exhibit B. <br />2.4 Manager's Unit. One dwelling unit in the Project may be used as a <br />resident manager's unit, and shall be exempt from the occupancy and rent restrictions <br />set forth in this Agreement. <br />2.5 No Condominium Conversion. Owner shall not convert the Project to <br />condominium or cooperative ownership or sell condominium or cooperative rights to the <br />Project or any part thereof during the term of this Agreement. <br />2.6 Non-Discrimination Compliance with Fair Housing Laws. <br />2.6.1 Preferences. In order to ensure that there is an adequate supply of <br />affordable housing within the City of San Leandro for residents and employees of <br />businesses within the City, to the extent permitted by law and consistent with the <br />program regulations for funding sources used for development of the Project, at initial <br />lease up, Owner shall give a preference in the rental of the residential units in the <br />Project to eligible households that include at least one member who lives or works in <br />the City of San Leandro. Owner agrees to use targeted marketing to local residents <br />and employees to increase awareness of the availability of units in the Project, <br />including without limitation, advertising in local media such as the San Leandro Times <br />and local-serving bilingual media and undertaking outreach to the San Leandro Unified <br />School District, City employees and the San Leandro Chamber of Commerce. <br />2.6.2 Fair Housing. Owner shall comply with state and federal fair <br />housing laws in the marketing and rental of the units in the Project. Owner shall accept <br />as tenants, on the same basis as all other prospective tenants, persons who are <br />recipients of federal certificates or vouchers for rent subsidies pursuant to the existing <br />Section 8 program or any successor thereto. <br />2.6.3 Non-Discrimination. Owner shall not restrict the rental, sale, lease, <br />sublease, transfer, use, occupancy, tenure or enjoyment of the Property, or any portion <br /> <br />