Housing Consortium of the East Bay Ground Lease 20231030

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8 GROUND LEASE This Ground Lease (the "Ground Lease") is entered into as of October 30, 2023 (the “Commencement Date”), by and between the City of San Leandro, a California municipal corporation ("Lessor"), and Housing Consortium of the East Bay, a California nonprofit public benefit corporation ("Lessee"). RECITALS A. Lessor is the owner of that certain real property located at 555 Lewelling Boulevard, in the City of San Leandro, County of Alameda, State of California, more particularly described in the legal description attached hereto as Exhibit A and depicted on the map attached as Exhibit B (the "Leased Premises"). The Leased Premises is improved with an existing motel and restaurant, together with associated driveways, landscaping, lighting and parking. The existing billboard located on the Leased Premises is not a part of the Leased Premises. B. Lessor and Lessee have entered into a “Predevelopment Grant Agreement,” dated January 20, 2023, pursuant to which Lessor has provided to Lessee a grant of Sixty-Five Thousand Dollars ($65,000) for the purpose of paying for certain predevelopment activities, including architectural and engineering services and environmental and related studies pertaining to the Leased Premises. C. Lessor and Lessee have jointly applied for approval of a Project Homekey grant from the State of California in the amount of approximately Nine Million Three Hundred Thousand Dollars (the “Project Homekey Grant”) to finance the Lessor’s acquisition of the Leased Premises and the conversion of the Leased Premises into an interim homeless shelter and navigation center for homeless persons and persons at risk of homelessness. In the event that the Project Homekey Grant is awarded, Lessor and Lessee will enter into a Standard Agreement with the California Department of Housing and Community Development which sets forth the requirements imposed in connection with the Homekey Grant (the “Project Homekey Agreement”). Pursuant to the Project Homekey Agreement, Lessor and Lessee will also enter into a Declaration of Restrictive Covenants for the benefit of the California Department of Housing and Community Development which sets forth certain requirements with respect to the operation of the Leased Premises (the “Regulatory Agreement”). D. The Parties desire for Lessor to ground lease the Leased Premises to Lessee and convert it into an interim homeless shelter with twenty-nine apartment units, navigation center for homeless persons and persons at risk of homelessness, offices for management and services staff, meeting and conference spaces, community room, laundry room, modular trailer for shower services for navigation center clients, modular trailer for office space, parking, landscaping and lighting (the “Project”). E. The Parties have determined that it is necessary for the financial feasibility of the Project for Lessor to provide a grant to Lessee to assist in the cost of the development of the Project (the “City Rehabilitation Grant”) in the amount of Five Million Two Hundred Thousand Dollars ($5,200,000). The City Rehabilitation Grant Funds will be obtained from a special appropriation from the State of California and other local, state and/or federal funds. DocuSign Envelope ID: 6E2EA799-6D74-41E3-B3EE-3CD67DC0ACD0