Agmt 2014 Alameda Housing Associates LP

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FIRST AMENDMENT TO HOME LOAN AGREEMENT THIS FIRST AMENDMENT TO HOME LOAN AGREEMENT (this "Amendment")is effective as of September 23, 2014 by and between the City of San Leandro, a California municipal corporation("City") and Alameda Housing Associates, L.P., a California limited partnership ("Borrower"). City and Borrower are hereinafter collectively referred to as the "Parties." RECITALS A. The City and Borrower entered that certain HOME Loan Agreement dated July 24, 2012,pursuant to which the City is loaning Six Hundred Fifty Thousand Dollars($650,000) in HOME funds to Borrower("Agreement"). B. Since the execution of the Agreement, the"Project"has been modified as follows: the Project shall include one hundred fifteen(115)units of affordable housing, and; the Project will be located on Borrower's leasehold interest in that certain real property more particularly described in the attached Exhibit A. As used in this Agreement, the "Property" shall mean Borrower's leasehold interest in the property described in Exhibit A. In addition the City and Borrower have agreed that a portion of the HOME funds may be used to pay for certain Project soft-costs prior to Borrower's acquisition of the Property. NOW,THEREFORE, in consideration of the mutual covenants contained herein and good and valuable consideration the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows. 1. The second and third sentences of Section 1.0 of the Agreement are amended and restated as follows: 'The Loan shall be evidenced by a promissory note executed by Borrower substantially in the form attached hereto as Exhibit C,bearing simple interest at the rate of three percent(3%)per annum with a term of fifty-five(55)years. The Borrower and City agree that until such time as the Borrower acquires the Property,the Loan will be secured by that certain Assignment of Agreements plans and Specifications dated June 25,2009 between Borrower and City, as housing successor to the former Redevelopment of the City of San Leandro ("Assignment Agreement"). The Assignment Agreement was entered into in connection with the OPLA. Following Borrower's acquisition of the Property,the Loan will be secured by a leasehold deed of trust substantially in the form attached hereto as Exhibit D,which will be recorded against the Property at the Borrower's construction loan closing for the Project(the "Construction Closing")." 2. The following language is added to Section 1.1: "Notwithstanding anything to the contrary in this Agreement,provided that Borrower is not in default under this Agreement,Borrower may terminate this Agreement under the circumstances set forth below by giving written notice of such termination to the City on or prior to Borrower's acquisition of the Property: 2258177.2 1