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TC Res. No. 2000-26TOWN OF AVON RESOLUTION NO. 00-26 SERIES OF 2000 A RESOLUTION APPROVING THE MASTER DEED RESTRICTION AGREEMENT FOR GRANDVIEW, LOT 42, BLOCK 1, BENCHMARK AT BEAVER CREEK SUBDIVISION, TOWN OF AVON, EAGLE COUNTY, COLORADO WHEREAS, the Grandview PUD Zoning and Development Plan for Lot 42, Block 1, Benchmark at Beaver Creek Subdivision (hereinafter referred to as "Grandview") approved by Ordinance 99-4 included 12 employee housing units with the condition that a deed restriction agreement be executed between the property owner and the Town of Avon; and WHEREAS, the Master Deed Restriction Agreement (a copy of which is attached hereto and made a part hereof) complies with Ordinance 99-4 and the Grandview PUD and Development Standards; and WHEREAS, the Master Deed Restriction Agreement includes provisions for selling and leasing the 12 employee housing units, which shall constitute covenants running with the real property and shall be specifically enforceable by the Town. NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO, 1. The Master Deed Restriction Agreement for Grandview complies with Ordinance 99-4 and the Grandview PUD and Development Standards. 2. That the Town Council of the Town of Avon, Colorado does hereby approve the attached Master Deed Restriction Agreement for Grandview. ADOPTED THIS 23 DAY OF May , 2000. TOWN COUNCIL TOWN OF AVON, COLORADO 101y Yo r, A or v Nash, Town Clerk APPROVED AS TO FORM: BurtLevin, Town Attorney MASTER DEED RESTRICTION AGREEMENT FOR THE OCCUPANCY, RENTAL, AND RESALE OF GRANDVIEW, LOT 42, BLOCK 1, BENCHMARK AT BEAVER CREEK SUBDIVISION THIS MASTER DEED RESTRICTION AGREEMENT'(the "Agreement") is made and entered into this _ P day 2000 by the TOWN OF AVON ("the Town") and James G..-"Tylich, he owner of the property, hereinafter referred to as "Declarant"). WITNESSETH: WHEREAS, teclarant owns the real property described Lot 42, Block 1, Benchmark at Beaver Creek Subdivision. For purposes of the Agreement, the real property and all dwellings, appurtenances, improvements and fixtures associated therewith,shall hereinafter be referred to as the "Property." WHEREAS, in accordance with ordinance 99-4, the PUD Zoning and Development plan and standards were approved for the property for 12 employee housing units with the condition that a deed restriction agreement shall be executed between the property owner and The Town of Avon, to establish the deed restrictions; WHEREAS, Declarant intends to own the property for the purpose of renting the 12 units as employee housing units in accordance with the agreement and Ordinance 99-4 and the Grandview PUD and Development Standards; WHEREAS, this Agreement shall constitute covenants running with the real property, as a burden thereon, for the benefit of, and "shall be specifically enforceable by, the Town, by any appropriate legal action including but not limited to specific performance, injunction, reversion or eviction of non-complying owners and/or occupants. WHEREAS, a "Unit" is any of the 12 units located on the Property. NOW THEREFORE, in consideration of the promises above and.the terms and conditions set forth below, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Declarent hereby agrees, covenants and represents as follows: ARTICLE 1 GENERAL Declarant agrees that this agreement shall constitute a resale and rental agreement setting forth the maximum rentals that may be charged and/or the maximum sale price for which the Units may 1 be resold; Declarant agrees to restrict the Units against use and occupancy inconsistent with this Agreement. The use and occupancy of the Units shall henceforth be limited exclusively to housing for natural persons who meet the definition of Qualified Buyers and their families or for employees of an owner who is a Qualified Buyer and/or qualified renters. All occupants of the units must: a) occupy the Unit as their sole place of residence during the time that the Unit is owned or rented, except as specifically permitted under this Agreement; b) not engage in any business activity on or in such Unit, other than permitted in that zone district or by applicable ordinance; c) sell or otherwise transfer such Unit only in accordance with this Agreement; d) not sell or otherwise transfer such Unit for use in a trade or business; and e) not.permit any use or occupancy of such Unit except in compliance with this Agreement. The Units shall be and are to be utilized only as the exclusive and permanent place of residence of any person occupying a unit other than guests of permanent residents. A permanent residence shall mean the home or place in which one's habitation is fixed, and to which one, whenever he or she is absent, has a present intention of returning after a departure or absence therefrom, provided, such absence does not exceed a period of one year or such greater period of time as has been approved by the Town in writing for good cause, including hardship or other extenuating circumstances. In determining residency, the Town staff shall consider the following circumstances relating to the owner: business pursuits, employment, income sources, residence for income or other tax purposes, age, marital status, residence of parents, spouse and children if any, location of personal and real property, and motor vehicle registration. All occupants, other than guests of permanent residents shall be employed a minimum of thirty hours per week in Eagle County or be an eligible retired or disabled person as defined hereinabove under "Qualified Buyer and Renters." In the event occupant changes domicile or ceases to utilize the Unit as his or her sole and exclusive place of residence, the Unit shall be offered for sale or rent pursuant to the provisions of this Agreement. Where the provisions of this Paragraph apply, the Town may require the Owner to rent the Unit in accordance with the provisions of Article 4 below. 2 If at any time the Owner of an individual Unit (other than an Owner who is an employer using the Unit for employee housing or an owner who owns the unit or units for the purpose of renting to tenants in compliance with this agreement), also owns any interest alone or in conjunction with others in any developed residential property or dwelling unit(s) located in Eagle County, Owner agrees to immediately list and actively market said other property or unit for sale and to sell Owner's interest in such property at a sales price comparable to like units or properties in the area in which the.property or dwelling unit(s) are located. In;the event said other property or unit has not been sold by Owner within one hundred eighty (180) days of its listing, then Owner hereby agrees to immediately list this Unit for sale pursuant to the provisions of Paragraph 10 of this Agreement. It is understood and agreed between the parties hereto that, in the case of an Owner whose business is the construction and sale of residential properties or the purchase and resale of such properties, the properties which constitute inventory in such an owner's business shall not constitute "other developed residential property" or "dwelling unit(s)" as those terms are used in this Paragraph. ARTICLE 2 FOR SALE UNITS Declarant agrees to restrict the transfer of the Units to "Qualified Buyers," as defined as follows: a) An owner who occupies the Unit as his or her primary place of residence. b) An owner who is a full time employee working at least thirty hours per week in Avon or Eagle'County, or a retired person who has been a full time employee in Avon or Eagle County a minimum of four years immediately prior to his or her retirement, or a person having a medical disability who has been a full time employee in Avon or Eagle County a minimum of two years immediately prior to his or her determination of disability, or the spouse or dependent of any such persons who resides with them. c) An owner whose household income does not exceed 120 percent of the Eagle County Median Family Income as determined by the Department of Housing and Urban Development guidelines or by the Town in the event such guidelines cease to be maintained by the Department ("the ECMFI"). . d) An owner whose total current family net assets are not in excess of $250,000.00 ($360,000.00 for a retired person) or whose total current family net assets have not been in excess of $250,000.00 ($360,000.00 for a retired person) during the two years preceding if the same were transferred or disposed of to confer eligibility hereunder. The foregoing limitations shall annually be. adjusted for inflation on the basis of the applicable Consumer Price Index. e) An owner who is a person or entity who owns the property 3 for the purpose of renting the units as employee housing in accordance with this agreement. ARTICLE 3 MAXIMUM SALE PRICE The initial maximum sales price for a.2 bedroom individual unit shall be $176,905.00 (based on affordability for a family at 100 percent of the Eagle County Median Family Income, with a 5 percent down payment, and adjusted for average mid-valley homeowner's fees). In the event that an owner shall desire to sell a Unit, he or she shall deliver to the Town a Request to Sell, Exhibit "D".hereto. Upon receipt of written authorization from the Town to proceed,. the Owner may immediately advertise the Unit. for sale to Qualified Buyers. In the case of re-sales, owner may engage a real estate broker, and the sale price shall then be adjusted upward to include a commission of not more than one percent of the sale price. Owner may accept any offer that is not greater than the maximum sale price as defined below; or owner may reject all offers and retain ownership of the Unit. Prior to closing sale of the Unit, Owner shall provide evidence, in the.form attached as Exhibit "E," to show that the Unit is being sold to a Qualified Buyer and for an amount not greater than the maximum sale price as defined herein. When more than one qualified buyer exists, the sale and resale of units shall be awarded based upon income, with the highest priority given to those with the lowest income. Preference will also be granted to persons either residing or working within the Town, and then to those working or living within Eagle County. The Town of Avon Community Development Director or designated representative shall approve all buyers and set the maximum sale price based upon this agreement. In no event shall a Unit be sold for an amount ("Maximum Sale Price") in excess of the maximum sales price outlined in this agreement, plus an increase of three percent (3%) of such price per year (non-compounded), from the date of purchase to the date of Owner's notice of intent to sell (prorated at the rate of .25 percent for each whole month for any part of a year), plus the one percent commission permitted in section 5 and plus the amount permitted in section 7. The sale price of multiple units shall not exceed the sale price of the individual units times the number of units being sold in accordance with this paragraph and section 7 below. Allowance for Capital Improvements a. For the purpose of determining the Maximum Sale Price in accordance with this Section, the Owner may add to the amount specified in Paragraph 6 above, the cost of 4 Permitted Capital "B"). The amount exceed ten percen purchase price se initial ten year from the date of restriction, anot may be added to t improvements. In Permitted Capital "B" hereto shall Permitted Capital over the life of Improvements (as defined in Exhibit for capital improvements shall not t (10 of the initial listed t forth in paragraph 6 above for an period. For every ten year period, original purchase and deed her ten percent of the purchase price he value of the property for capital calculating such amount, only those Improvements identified in Exhibit qualify for inclusion. All such Improvements installed or constructed the Unit shall qualify. b. Permitted Capital Improvements shall not include any changes or additions to the Unit made by the Owner during construction, except in accordance with Paragraph 7a above. Permitted Capital Improvements shall not increase the base price, even if :made or installed during original construction. C. In order to qualify improvements as Permitted Capital Improvements, the Owner must furnish to the Town the following information with respect to the improvements, which the Owner seeks to include in the calculation of Maximum Sale Price: 1) Original or duplicate receipts to verify the actual costs expended by the Owner for the Permitted Capital Improvements; 2) Owner's affidavit verifying that the receipts are valid and correct receipts tendered at the time of purchase; and 3) True and correct copies of any building permit or certificate of occupancy required to be issued by the Town of Avon Department of Community Development with respect to the Permitted Capital Improvements. d. For the purpose of determining the Maximum Sale Price in accordance with this Section, the Owner may also add to the amount specified in Paragraphs 6 and 7a, the cost of any permanent improvements constructed or installed as a result of any requirement imposed by any governmental agency or homeowners association, provided that written certification is provided to the Town of both the applicable requirement and the information required by Paragraph 7c, 1-3. e. In calculating the costs under Paragraphs 7a and 7d, 5 only the Owner's actual out-of-pocket costs and expenses shall be eligible for inclusion. Such amount shall not include an amount attributable to Owner's "sweat equity" or to any appreciation in the value of the improvements. Owner shall not permit any prospective buyer to assume any or all of the Owner's customary closing costs nor accept any other consideration which would cause an increase in the purchase price above the bid price so as to induce the Owner to sell to such prospective buyer. In the. event that title to a Unit vests by descent in individuals and/or entities who are not Qualified Buyers as that term is defined herein (hereinafter "Non-Qualified Transferee(s)") with the exclusion of an owner renting to employees or other owner renting under the terms of this agreement, the Unit shall immediately be listed for sale, and the highest bid by a Qualified Buyer shall be accepted in accordance with the terms of this agreement establishing priority of the sale to buyer. a.. Non-Qualified Transferee(s) shall join in any sale, conveyance or transfer of the Unit to a Qualified Buyer and shall execute any and all documents necessary to do so; and b. Non-Qualified Transferee(s) agree not to: 1) occupy the Unit; 2) rent the Unit, except in strict compliance with Paragraph 14 hereof; 3) engage in any other business activity on or in the Unit; 4) sell or otherwise transfer the Unit except in accordance with this Agreement; or 5) sell or otherwise transfer the Unit for use in a trade or business. C. The Town shall have the right and option to purchase the Unit, exercisable within a period of fifteen (15) calendar days after receipt of any sales offer submitted to the Town by a Non-Qualified Transferee(s), and, in the event of exercising its right and option, shall purchase the Unit from the Non-Qualified Transferee(s) for cash at the Maximum Sale Price, or the appraised market value, whichever is less. The offer to purchase shall be made by the Non-Qualified Transferee within fifteen (15) days of acquisition of the Unit. d. Where the provisions of this Paragraph 10 apply, the Town may require the Owner to rent the Unit in accordance with the provisions of Paragraph 14 below 6 ARTICLE 4-RENTAL OF UNITS Any rental units will be targeted to households earning between 50% and 80% of the Eagle County Median Family Income (ECMFI). a. Owner may rent. the Unit consistent with this agreement and the zoning ordinances of the Town. Vacation rentals shall not be permitted. Prior to occupancy, any tenant must be approved by the Town as meeting the requirements of a Qualified Buyer established herein. The Town shall not approve any lease with a term less than thirty (30) days. A signed copy of the lease must be provided to the Town prior to occupancy by any tenant. b. Notwithstanding any other provision of this Agreement to the contrary, a business owner of the Units may rent the Units to employees or other qualified tenants meeting the requirements of a Qualified Buyer established herein. The amount of the rent, shall not exceed thirty percent of the average Eagle County household wages as reported by the Colorado Department of Labor and Employment. Based upon 2000 income data on file with Eagle County, the amount of rent shall not exceed $684.60-for a one-bedroom unit (based upon a one-wage earner household) and $1369.20 for a two-bedroom unit (based upon a two-wage earner household). The foregoing maximum amounts shall be adjusted annually based upon updated data on file with Eagle County. ARTICLE 5-BREACH OF CONTRACT Declarant further agrees that this agreement shall constitute a resale and rental agreement setting forth the maximum sale price for which the Units may be resold ("Maximum Sale Price") and the terms and provision controlling the resale of the Units and the maximum rents for units. a. It shall be a breach of this Agreement for an Owner to default in making payments or performing other obligations due or to be performed under a promissory note secured by a first deed of trust encumbering the Unit. Owner must notify the Town, in writing, of any notification received from a lender, or its assigns, of past due payments or default in making payments or performing other obligations due or to be performed under a promissory note secured by a first deed of trust, as described herein, within five calendar days of Owner's notification from lender, or its assigns, of said default or past due payments. 7 In the event that the Town has reasonable cause to believe the owner is violating the provisions of this Agreement, the Town, by its authorized representative, may inspect the Unit between the hours of 8:00 a.m. and 5:00 p.m., Monday through Friday, after providing the owner with no less than 24 hours written notice. The Town, in the event of a violation of this Agreement, shall send a notice of violation to the Owner detailing the nature of the violation and allowing the Owner thirty (30) days to cure. ARTICLE 7 REMEDIES There is hereby reserved to the parties hereto any and all remedies provided by law for breach of this.Agreement or any of its terms. In the event the parties resort to litigation with respect to any or all provisions of this Agreement, the prevailing party shall be entitled to recover damages and costs, including reasonable attorney's fees. In the event the Unit is sold and/or conveyed without compliance herewith, such sale and/or conveyance shall be wholly null and void and shall confer no title whatsoever upon the purported buyer. Each and every conveyance of a Unit, for all purposes, shall be deemed to include and incorporate by this reference, the covenants herein contained, even without reference therein to, this Agreement. In the event that the owner fails to cure any breach, the. Town may resort to any and all available legal action, including, but not limited to, specific performance of this Agreement or a mandatory injunction requiring sale of the Unit by Owner as specified in Paragraphs 3, 10, 12, and 13. The costs of such sale shall be taxed against the proceeds of the sale with the balance being paid to Owner. In the event of a breach of any of the terms or conditions contained herein by the owner, his or her heirs, successors or assigns, the Town's initial li,sted.purchase price of the Unit as set forth in Paragraph 6 of this Agreement shall, upon the date of such breach as determined by the Town, automatically cease to increase as set out in Paragraph 6 of this Agreement, and shall remain fixed until the date of cure of said breach. ARTICLE 8 FORECLOSURE The Town, pursuant ti Exhibit C, the terms by this reference as waive its ability to continued herein, in of a deed in lieu of D the Option to Buy attached hereto as of which are incorporated in this Agreement if fully set forth herein, shall release and enforce the resale deed restrictions the event of foreclosure or the acceptance foreclosure, provided that said Option to 8 Buy grants to the Town the option to acquire the Unit within thirty (30) days after the issuance of a. public trustee's deed'to the holder (including assigns of the holder) of the promissory note secured by a first deed of trust for an option price not to exceed the redemption price on the last day of all statutory redemption period(s) and any additional reasonable costs incurred by the holder during the option period which are directly related to the foreclosure. In the event that the Town exercises the option pursuant to the terms of that certain Option to Buy, described above, the Town and/or its designee, may sell the Unit to Qualified Buyers as that term is. defined herein, or rent the Unit according to paragraph 14 until such time that the Unit can be sold to a Qualified Buyer in accordance with this Agreement. ARTICLE 9 GENERAL PROVISIONS Notices. Any notice, consent or approval which is required to be given hereunder shall be given by mailing the same, certified mail, return receipt requested, properly addressed and with postage fully prepaid, to any address provided herein or to any subsequent mailing address of the party as long.as prior written notice of the change of address has been given to the other parties to this Agreement. Said notices, consents and approvals shall be sent to the parties hereto at the following addresses unless otherwise notified in writing: To Declarant: To the Town: Town Manager Town of Avon P.O. Box 975 Avon CO 81620 To Owner: To the address shown in the deed to each Unit. Exhibits. All exhibits attached hereto (Exhibits "A," "B," "C,II I'D", "E and""F") are incorporated herein and by this reference made a part'hereof. Severability. Whenever possible, each provision of this. Agreement and any other related document shall be interpreted in such a manner as to be valid under applicable law; but if any provision of any of the foregoing shall be invalid or prohibited 9 under said applicable law, such provisions shall be ineffective to the extent of such invalidity or prohibition without invalidating the remaining provisions of such documents. Choice of Law. This Agreement and each and every related document are to be governed and construed in accordance with the laws of the State of Colorado. Successors. Except as otherwise provided herein, the provisions and covenants contained herein shall inure to and be binding upon the heirs, successors and assigns of the parties. Section Headings. Paragraph or section headings within this Agreement are inserted solely for convenience or reference, and are not intended to, and shall not govern, limit or aid in the construction of any terms or provisions contained herein. Waiver. No claim of waiver, consent or acquiescence with respect to any provision of this Agreement shall be valid against any party hereto except on the basis of a written instrument executed by the parties to this Agreement. However, the party for whose benefit a condition is inserted herein shall have.the unilateral right to waive such condition. Gender and Number. Whenever the context so requires herein, the neuter gender shall include any or all genders and vice versa and the use of the singular shall include the plural and vice versa. Personal Liability. Owner agrees that he or she shall be personally liable for any of the transactions contemplated herein. Further Actions. The parties to this Agreement agree to execute such further documents and take such further actions as may be reasonably required to carry out the provisions and intent of this agreement or any agreement or document relating hereto or entered into in connection herewith. Modifications. The parties to this Agreement agree that any modifications of this Agreement shall be effective only when made by writings signed by both parties and recorded with the Clerk and Recorder of Eagle County, Colorado. Notwithstanding the foregoing, the Town reserves the right to amend this Agreement unilaterally where deemed necessary to effectuate the purpose and intent of this Agreement, and where such unilateral action does not materially impair the owner's rights nor any lender's rights under this Agreement. Owner and Successors. The term "Owner" shall mean the person or persons who shall acquire an ownership interest. in a Unit in compliance with the terms and provisions of this Agreement; it being understood that such person or persons shall be deemed an 10 "Owner"' hereunder only during the period of his or her ownership interest of a Unit and shall be obligated hereunder for the full and complete performance and observance of all covenants, conditions and restrictions contained herein during such period. This Agreement shall therefore be deemed a covenant running with the land and shall bind the parties' successors and assigns. IN WITNESS WHEREOF, the parties hereto have executed this instrument on the day and year first above written. DECLARANT: L 10 By:_ Its: STA' OF COLORADO COUNTY OF EAGLE SS. The foregoing instrument was acknowledg d before me this da o f AA 0" 2 0 0 0, by . Me5 ( , -30 as OW~'1D ,e of L~LE`L ftl~,witness my hand and official seal. Expirss 3-W ' ~'~A~y ; commission expires: Ave 1.®Qr~® otary P - is ~i app ~~yq.%® p ACCEPTANCE BY THE TOWN OF AVON The foregoing Master Deed Restriction Agreement and its terms are hereby adopted and declared by the Town of Avon. TOWN OF AVON By: it-is 11 STATE OF COLORADO ) ) ss. COUNTY OF EAGLE ) The foregoing instrument was acknowledged before me this 2 3 day o f ~-LyR-Y , 2000, by u L-l vc{ ,e as 1.-t ~.-.ofL= of,the Town of Avon. Witness by hand and official seal. My commission expires: If rd Public 12 EXHIBIT "A" Lot'42.; Block 1, Benchmark at Beaver Creek Subdivision, Avon, Colorado 13 EXHIBIT "B" Permitted Capital Improvements 1.. The term "Permitted Capital Improvement" as used in the Agreement shall include only the following: a. Improvements or fixtures erected, installed or attached as permanent, functional, non-decorative improvements to real property, excluding repair, replacement and/or maintenance improvements; b. Improvements for energy and water conservation; C. Improvements for health and safety protection devices; d. Improvements to add and/or finish permanent/fixed storage space; and/or e.. Improvements to finish unfinished space. 2. Permitted Capital Improvements as used in this Agreement shall NOT include the following: a: Upgrades/replacements of appliances, plumbing and mechanical fixtures, carpets and other similar items included as part of the original construction of the unit; b. The cost of adding decks and balconies and any extensions thereto; C. Jacuzzis, saunas, steam showers and other, similar, items; d. Improvements required to repair, replace and maintain existing fixtures, appliances, plumbing and mechanical fixtures, painting, carpeting and other, similar, items; and/or e. Upgrades or addition of decorative items, including lights, window coverings and other similar items. 3. All Permitted Capital Improvement items and costs shall be approved by the Town staff prior to being added to the Maximum Sale Price as defined in the Agreement: 14 EXHIBIT °C° OPTION TO BUY In the event of a foreclosure by the holder (including assigns of the holder) of the promissory note secured by a first deed of trust on a deed restricted dwelling unit within Grandview, Lot 42, Block 1, Benchmark at Beaver Creek Subdivision(hereinafter "the Property") and subject to the issuance of a public trustee's deed to the. holder following the expiration of all statutory redemptioft rights, the Town of Avon ("the Town") shall have the option to buy the Unit which shall be exercised in the following manner: a. Notice. The holder shall give such notice to the Town as is required by law in the foreclosure proceeding. Said notice shall be sent by certified mail,. return receipt requested, and addressed as follows: Town Manager Town of Avon P.O. Box 975 Avon CO 81620 b. Option to Buy. The Town shall have 30 days after issuance-of the public trustee's deed in which to exercise this opt-ion to Buy by tendering to the holder, in cash or certified funds, an amount equal to the redemption price which would have been required of the borrower or any person who might be liable upon a deficiency on the last day of the statutory redemption period(s) and any additional reasonable costs incurred by the holder during the option period which are directly related to the foreclosure. C. Title. Upon receipt of the option price, the holder shall deliver to the Town.a special warranty deed, conveying the Unit to the Town. The holder shall convey only such title as it received through the public trustee's deed and will not create or participate in the creation 15 of any additional liens or encumbrances against the unit following issuance of the public trustee's deed to the holder: The holder shall not be liable for any of the costs of conveyance to the Town or its designee. d. Release. In the event that the holder is issued a public trustee's deed and the Town does not exercise the Option to Buy, as provided herein, the Town shall cause to be recorded in the records of the Clerk and Recorder of Eagle County a full and complete release. Such release shall be placed of record within 14 days after demand therefor by the holder following expiration of the option and a certified copy of the release shall_ be mailed to the holder upon its recordation. e. Perpetuities Savings Clause. If any of the terms, covenants, conditions, restrictions, uses, limitations, obligations or options created by this Option to Buy shall be unlawful or void for violation of: (a) the rule against perpetuities or some analogous statutory provision, (b) the rule restricting restraints on alienation, or (c) any other statutory or common law rules imposing like or similar time limits, then such provision shall continue only for the period of the lives of the current duly elected and seated Town Council of the Town of Avon, Colorado, their now living descendants, if any, and the survivor of them, plus twenty-one (21) years. f. Successors and Assigns. Except as otherwise provided herein, the provisions and covenants contained herein shall inure to and be binding upon the heirs, successors and assigns of the parties hereto. g. Modifications. The parties hereto agree that any modification to this.. Option to Buy shall be effective only when made by writings signed by both parties and recorded with.the Clerk and Recorder of Eagle County, Colorado. 16 EXHIBIT °D" REQUEST TO SELL Town Planner Town of Avon P.O. Box 975 Avon CO 81620 RE: Resale of Unit , Grandview, Lot 42, Block 1, Benchmark at Beaver Creek Subdivision bear Town Planner: This letter is my request to sell Unit , with*a closing date of I have estimated the maximum sales price, as calculated below in accordance with"the terms of the Master Deed Restriction Agreement for the occupancy and resale of Purchase price of unit Allowed 3% per, annum based on months ownership Condominium assessments (specifically assigned to unit for common area improvements) Property improvements (itemize below) One percent real estate sales commission Maximtim Sale Price $ Sincerely, Owner APPROVED; TOWN OF AVON By: Title: 17 EXHIBIT "E" Affidavit of Purchaser STATE OF COLORADO COUNTY OF EAGLE ss. being duly sworn upon his/her oath, deposes and says, under penalty of.perjury, that: 1. He/she has entered into a contract to Town of Avon; Eagle and State of Colorado for a sale price of 2. He/she is purchasing the Unit to occupy it"as his/her primary place of residence. He/she will not engage in, any business activity in the Unit, other than that permitted,in the applicable zone district or by applicable ordinance, and will not transfer the Unit for use in a trade or business. 3. His/her income does not exceed percent of the Eagle County Median Family Income. Attached hereto is a copy of his/her federal tax return for the tax year immediately prior hereto. 4. He/she is a full time employee working at least thirty hours per week in Avon or Eagle County, or a retired person who has been a full time employee, in Avon or Eagle County a minimum of four years immediately prior to his or her retirement, or a.person having a medical disability who has been a full time employee in Avon or Eagle County a minimum of two years immediately prior to his or her determination of disability, or the spouse or dependent of any such persons who resides with them. 5. His/her total current family net assets are not in excess of $250,000.00 ($360,500 for a retired person) and have not been in excess of $250,000.00 ($360,500.00 for a retired person) during the two years preceding if the same were transferred or-disposed of to confer eligibility for purchase of the Unit. 6. He/she states that he/she has received a copy of and will abide by the terms and conditions of the Master Deed Restriction Agreement for the.Occupancy and Resale of Grandview, Lot 42, Block 1, Benchmark at Beaver Creek Subdivision. purchase Unit County of 18 DATED the day of The foregoing was subscribed and sworn to before me,, the undersigned Notary Public, on the day of by My. commission expires: Witness my hand and seal. Notary Public 19 EXHIBIT nFn STATE OF COLORADO COUNTY OF EAGLE Affidavit of Lessee } ss. being duly sworn upon his/her oath, deposes and says, under penalty of perjury, that: 1. He/she has entered into a contract to rent Unit Grandview, Lot 42, Block 1, Benchmark at Beaver Creek, Town of Avon, County of Eagle and State of Colorado in the amount of a $ per month. 2. He/she is renting the Unit to occupy it as his/her primary place-of residence. He/she will not engage in any business activity in the, Unit, other than,that permitted in the applicable zone district or by applicable ordinance. 3. His/her income does not exceed 120 percent of the Eagle County Median Family Income $ Attached hereto is a copy of his/her federal tax return for the tax year immediately prior hereto. 4. He/she is a full time employee working at least thirty hours,per week in Avon or Eagle County, or a retired person who has been a full time employee in Avon or Eagle County a minimum of four years immediately prior to his or her retirement, or a person having a medical disability who has been a full time employee in Avon or Eagle County a minimum of two years immediately prior to his or her determination of disability,.or the spouse or dependent of any such persons who resides with them. 5. His/her total current family net assets are not in excess of $230,000.00 ($360,500 for a retired person) and have not been in excess of $250,000.00 ($360,500.00 for a retired person) during the two years preceding,if the same were transferred or disposed of to confer eligibility for purchase of the Unit. 6. He/she states that he/she has received a copy of and will abide by the terms and conditions of the Master Deed Restriction Agreement for the Occupancy and Resale of Grandview, 20 Lot 42, Block 1, Benchmark at Beaver Creek Subdivision. 7. A copy of the draft lease is attached hereto, with the monthly lease rate filled in. DATED the day of The foregoing was subscribed and sworn to before me, the undersigned Notary Public, on the day Of by - My commission expires: Witness my hand and seal. Notary Public 21 Memo TO. Honorable Mayor and Town Council Tfuu: Bill Efting, Town Manager Froon: Ruth Borne, Community Development z Date May 18, 2000 rt Resolution No. 00-26, Master Deed Restriction Agreement - Grandview PUD and Development Standards Lot 42, Block 1, Benchmark at Beaver Creek Summary: The Grandview PUD and Development Standards approved by Ordinance 99-4 required the owner of the property to execute a. deed restriction agreement for the 12 employee housing units with the Town of Avon. Recommendation: Staff recommends approval of the Master Deed Restriction Agreement. Town Manager Comments: f air, Attachment: Master Deed Restriction Agreement for Grandview Resolution No. 00-26 A ' 1 4 Z I 1~~ MASTER DEED RESTRICTION AGREEMENT FOR THE OCCUPANCY, RENTAL, AND,RESALE OF GRANDVIEW, LOT 42, BLOCK 1, BENCHMARK AT BEAVER CREEK SUBDIVISION THIS MASTER DEED RESTRICTION AGREEMENT (the "Agreement") is made and entered into this I"r day of tLs 2000 by the TOWN OF AVON ("the Town") and James G. Tylich, he. owner of the property, hereinafter referred to as "Declarant"). WITNESSETH: WHEREAS, Declarant owns the real property described Lot 42, Block 1, Benchmark at Beaver Creek Subdivision. For purposes of the Agreement, the real property and all dwellings, appurtenances, improvements and fixtures associated therewith.shall hereinafter be"referred to as.the "Property." WHEREAS, in Development 12 employee restriction N owner and 'T] accordance with Ors plan and standards housing units with agreement shall be ze Town of Avon, to finance 99-4, the PUD Zoning and were approved for the property for the condition that a deed executed between the property establish the deed restrictions; WHEREAS, Declarant intends to own the property for the purpose of renting the 12 units as employee housing units in accordance with the agreement and Ordinance 99-4 and the Grandview PUD and Development Standards; WHEREAS, this Agreement shall constitute covenants running with the real property, as a burden thereon, for the benefit of, and shall be specifically enforceable by, the Town; by any appropriate legal action including but not limited to specific performance, injunction, reversion or eviction of non-complying owners and/or occupants. WHEREAS, a "Unit" is any of the 12 units located on the Property. Now THEREFORE, in consideration of the promises.above and the terms and conditions set forth below, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Declarent hereby agrees, covenants and represents as follows: ARTICLE 1 GENERAL Declarant agrees that this agreement shall constitute a resale and rental agreement setting forth the maximum rentals that may be charged and/or the llmaximum sale price for which the Units may ~ 757239 Page: 1 of 21 05/16/2001 03:290 Sara J Fisher Eagle, CO 23 R 105.00 D 0.00 be resold; Declarant agrees to restrict the Units against use and occupancy inconsistent with this Agreement. The use and occupancy of the Units shall henceforth be limited exclusively to housing for natural persons who meet the definition of Qualified Buyers and their families or for employees of an owner who is a Qualified Buyer and/or qualified renters. All occupants of the units must: a) occupy the Unit as their sole place of residence during the time that the Unit is owned or rented, except as specifically permitted under this Agreement; b) not engage in any business activity on or in such Unit, other than permitted in that zone district or by applicable ordinance; c) sell or otherwise transfer such Unit only in accordance with this Agreement; d).not sell or otherwise transfer such Unit for use in a trade or business; and e) not permit any use or occupancy of such Unit except in compliance with this Agreement. The Units shall be and are to be utilized only as the exclusive and permanent place of residence of any person occupying a unit other than guests of permanent residents. A permanent residence shall mean the home or place in which one's habitation is fixed and to which one, whenever he or she is absent, has a present intention of returning after a departure or absence therefrom, provided, such absence does not exceed a period of one year or such greater period of time as has been approved by the Town in writing for good cause, including hardship or other extenuating circumstances. In determining residency, the Town staff shall consider the following circumstances relating to the owner: business pursuits, employment, income sources, residence for income or other tax purposes, age, marital status, residence of parents, spouse and children if any, location of personal and real property, and motor vehicle registration. All occupants, other than guests of permanent residents shall be employed a minimum of thirty hours per week in Eagle County or be an eligible retired or disabled person as defined hereinabove under "Qualified Buyer and Renters." In the event occupant changes domicile or ceases to utilize the Unit as his or her sole and exclusive place of residence, the Unit shall be offered for sale or rent pursuant to the provisions of this Agreement. Where the provisions of this Paragraph apply, the Town may require the Owner to rent the Unit in accordance with the provisions of Article 4 below. 2 757239 Page: 2 of 21 05/16/2001 03:290, Sara J Fisher Eagle, CO 23 R 105.00 D 0.00 1 If at any time the Owner of an individual Unit (other than an owner who is an employer using the Unit for employee housing or an owner who owns the unit or units for the purpose of renting to tenants in compliance with this agreement), also owns any interest alone or in conjunction with others in any developed residential property or dwelling unit(s) located in Eagle County, owner agrees to immediately list and actively market said other property or unit for sale and to sell Owner's interest in such property at a sales price comparable to like units or properties in the area in which the property or dwelling unit(s) are located. In the event said other property or unit has not been sold by Owner within one hundred eighty (180) days of its listing, then Owner hereby agrees to immediately list this Unit for sale pursuant to the provisions of Paragraph 10 of this Agreement. It is understood and agreed between the parties hereto that, in the case of an Owner whose business is the construction and sale of residential properties or the purchase and resale of such properties, the properties which constitute inventory in such an Owner's business shall not constitute "other developed residential property" or "dwelling unit(s)" as those terms are used in this Paragraph. ARTICLE 2 FOR SALE UNITS Declarant agrees to restrict the transfer of the Units to "Qualified Buyers," as defined as follows: a) An owner who occupies the Unit as his or her primary place of residence. b) An owner who is a full time employee working at least thirty hours per week in Avon or Eagle County, or a retired person who has been a full time employee in Avon or Eagle County a minimum of four years immediately prior to his or her retirement, or a person having a medical disability who has been a full time employee in Avon or Eagle County a minimum of two years immediately prior to his or her determination of disability, or the spouse or dependent of any such persons who resides with them. c) An owner whose household income does not exceed 120 percent of the Eagle County Median Family Income as determined by the Department of Housing and Urban Development guidelines or by the Town in the.event such guidelines cease to be maintained by the Department ("the ECMFI"). d) An owner whose total current family net assets are not in excess of $250,000.00 ($360,000.00 for a retired person) or whose total current family net assets have not been in excess of $250,000.00 ($360,000.00 for a retired person) during the two years preceding if the same were transferred or disposed of to confer eligibility hereunder. The foregoing limitations shall annually be adjusted for inflation on the basis of the applicable Consumer Price Index. e) An owner who is a person or entity who owns the property II II II YnI II IRIII III VIII IR II Page: 3 of 21 Sara J Fisher Eagle, CO 23 R 105. 00 D 0. 00 29P for the purpose of renting the units as employee housing in accordance with this agreement. ARTICLE 3 MAXIMUM SALE PRICE The initial maximum sales price for a 2 bedroom individual unit shall be $176,905.00 (based on affordability for a family at 100 percent of the Eagle County Median Family Income, with a 5 percent down payment, and adjusted for average mid-valley homeowner's fees). In the event that an owner shall desire to sell a Unit, he or she shall-deliver to the Town a Request to Sell, Exhibit."D" hereto. Upon receipt of written authorization from.the Town to proceed, the Owner may immediately advertise the Unit for sale to Qualified Buyers. In the case of re-sales,.owner may engage a real estate broker, and the sale price shall then be adjusted upward to include a commission of not more than one percent:of the sale price. Owner may accept any offer that is not greater than the maximum sale price as defined below; or Owner may reject all offers and retain ownership of the Unit. Prior to closing sale of the Unit, Owner shall provide evidence, in the form attached as Exhibit "E," to show that the Unit is being sold to a Qualified Buyer and for an amount not greater than the maximum sale price as defined herein. When more than one qualified buyer exists, the sale and resale of units shall be awarded based upon income, with the highest priority given to those with the lowest income. Preference will also be granted to persons either residing or working within the Town, and then to those working or living within Eagle County. The Town of Avon Community Development Director or designated representative shall approve all buyers and set the maximum sale price based upon this agreement. In no event shall a Unit be sold for an amount ("Maximum,Sale, Price") in excess of the maximum sales price outlined in this agreement, plus an increase of three percent (3%) of such price per year (non-compounded), from the date of purchase to the date of owner's notice of intent to sell (prorated at the rate of .25 percent for each whole month for any part of a year), plus the one percent commission permitted in section 5 and plus the amount permitted in section 7. The sale price of multiple units shall not exceed the sale price of the individual units times the number of units being sold in accordance with this paragraph and section 7 below. Allowance for Capital Improvements a. For the purpose of determining the Maximum Sale Price in accordance with this Section, the Owner may add to the amount specified in Paragraph 6 above, the cost of 757239 I Page: 4 of 21 05/16/2001 Sara J Fisher Eagle, CO 23 R 105.00 1B D2 0.00 3.291/ Permitted Capital Improvements, (as defined in Exhibit "B"). The amount for capital improvements shall not exceed ten percent (10 of the initial listed purchase price set forth in paragraph.6 above for an initial ten year period. For every ten year period, from the date of original purchase and deed restriction, another ten percent of the purchase price may be added.to the value of the property for capital improvements. In calculating such amount, only those Permitted Capital Improvements identified in Exhibit "B" hereto shall qualify for inclusion. All such Permitted Capital Improvements installed"or constructed over the life of the Unit shall qualify. b. Permitted.Capital Improvements shall not include any changes or additions to the Unit made by the owner during construction, except in accordance with Paragraph 7a above. Permitted Capital Improvements shall not increase the base price, even if,made or installed during original construction. C. In order to qualify improvements as Permitted Capital Improvements, the Owner must furnish to the Town the following information with respect to the improvements, which the Owner seeks to include in the calculation of Maximum Sale Price: 1) Original or duplicate receipts to verify the actual costs expended by the'Owner for the Permitted Capital Improvements; 2) Owner's affidavit verifying that the receipts are valid and correct receipts tendered at the time of purchase; and 3) True and correct copies of any building permit or certificate of occupancy required to be issued by the Town of Avon Department of Community Development with respect to the Permitted Capital ,Improvements. d. For the purpose of determining the Maximum Sale Price in accordance with this Section, the owner may also add to the amount specified in Paragraphs 6 and 7a, the cost of any permanent improvements constructed or installed as a result. of any requirement imposed by any governmental agency or homeowners association, provided that written certification is provided to the Town of both the applicable requirement and the information required by Paragraph 7c, 1-3. e. In calculating the costs under Paragraphs 7a and 7d, 5 757239 Page: 5 of 21 05/16/2001 03:29P Sara J Fisher Eagle, CO 23 R 105.00 D 0.00 only the Owner's actual out-of-pocket costs and expenses shall be eligible for inclusion. Such amount shall not include an amount attributable to Owner's "sweat equity" or to any appreciation in the value of the improvements. Owner shall not permit any prospective buyer to assume any or all of the Owner's customary closing costs nor accept any other consideration which would cause an increase in the purchase price above the bid price so as to induce the Owner to sell to such prospective buyer. In the event that title to a Unit vests by descent in individuals and/or entities who are not Qualified Buyers as that term is defined herein (hereinafter "Non-Qualified Transferee(s)") with the exclusion of an Owner renting to employees or other owner renting under the terms of this agreement, the Unit shall immediately be listed for sale, and the highest bid by a Qualified Buyer shall be accepted in accordance with the terms of this agreement establishing priority of the sale to buyer. a. Non-Qualified Transferee(s) shall join in any sale, conveyance or transfer of the Unit to a Qualified Buyer and shall execute any and all documents necessary to do so; and b. Non-Qualified Transferee(s) agree not to: 1) occupy the Unit; 2) rent the Unit, except in strict compliance with Paragraph 14 hereof; 3) engage in any other business activity on or in the Unit; 4) sell or otherwise transfer the Unit except in accordance with this Agreement; or 5) sell or otherwise transfer the Unit for use in a trade or business. C. The Town shall have the right and option to purchase the Unit, exercisable within a period of fifteen (15) calendar days after receipt of any sales offer submitted to the Town by a Non-Qualified Transferee(s), and, in the event of exercising its right.and option, shall purchase the Unit from the Non-Qualified Transferee(s) for cash at the Maximum Sale Price, or the appraised market value, whichever is less. The offer to purchase shall be made by the Non-Qualified Transferee within fifteen (15) days of acquisition of the Unit. d. Where the provisions of this Paragraph 10 apply, the Town may require the Owner to rent the Unit in accordance.with the provisions of Paragraph 14 below 6 ~I~II ^I I~YII IIII III IIdll 11 e%ea?ea9 :iml Sara J Fisher Eagle, CO 23 R 105. 00 D 0. 00 ARTICLE 4-RENTAL OF UNITS Any rental units will be targeted to households earning between 50% and 80% of the Eagle County Median Family Income (ECMFI). a. Owner may rent the Unit consistent with this agreement and the zoning ordinances of the Town. Vacation rentals shall not be permitted. Prior to occupancy, any tenant must be approved by the Town as meeting the requirements of a Qualified Buyer established herein. The.Town,shall not approve any lease with a term less than thirty (30) days. A signed copy of the lease must be provided to the Town prior to occupancy by any tenant. b. Notwithstanding any other provision of this Agreement to the contrary, a business owner of the Units may rent the Units to employees or other qualified tenants meeting the requirements of a Qualified Buyer established herein. The amount of the rent, shall not exceed thirty percent of the average Eagle County household wages as reported by the Colorado Department of Labor and Employment. Based upon 2000 income data on file with Eagle County, the amount of rent shall not exceed $684.60 for a one-bedroom unit (based upon a one-wage earner household) and $1369.20 for a two-bedroom unit (based upon a two-wage earner household). The foregoing maximum amounts shall be adjusted annually based upon updated data on file with Eagle County. ARTICLE 5-BREACH OF CONTRACT Declarant further agrees that this agreement shall constitute a resale and rental agreement setting forth the maximum sale price for which the Units may be resold-("Maximum Sale Price") and the terms and provision controlling the resale of the Units and the maximum rents for units. a. It shall be a breach of this Agreement for an Owner to default in making payments or performing other obligations due or to be performed under a promissory note secured by a first deed of trust encumbering the Unit. Owner must notify the Town, in writing, of any notification received from a lender, or its assigns, of past due payments or default in making payments or performing other obligations due or, to be performed under a promissory note.secured by a first deed of trust, as described herein, within five calendar days of owner's notification from lender, or its assigns, of said default or past due payments. T - - 757239 Page: 7 of 21 05/16/2001 03:29P Sara J Fisher Eagle, CO 23 R 105.00 D 0.00 In the event that the Town has reasonable cause to believe the owner is violating the provisions of this Agreement, the Town, by its authorized representative, may inspect the Unit between the hours of 8:00 a.m. and 5:00 p.m., Monday through Friday, after providing the Owner with no less than 24 hours written notice. The Town, in the event of a violation of this Agreement, shall send a notice of violation to the Owner detailing the nature of the violation and allowing the Owner thirty (30) days to cure. ARTICLE 7 REMEDIES There is hereby reserved to the parties hereto any and all remedies provided by law for breach of this Agreement or any, of its terms. In the event the parties resort to litigation with respect to any or all provisions of this Agreement, the prevailing party shall be entitled to recover damages and costs, including reasonable attorney's fees. In the event the Unit is sold and/or conveyed without compliance herewith, such sale and/or conveyance shall be wholly null and void and shall confer no title whatsoever upon the purported buyer. Each and every. conveyance of a Unit, for all purposes, shall be deemed to include and incorporate by this reference, the covenants herein contained, even without reference therein to this Agreement. In the event that the owner fails to cure any breach, the Town may resort to any and all available legal action, including, but not limited to, specific performance of this Agreement or a mandatory injunction requiring sale of the Unit by owner as specified in Paragraphs 3, 10, 12, and 13. The costs of such sale shall be taxed against the proceeds of the sale with the balance being paid to Owner. In the event of a breach of any of the terms or conditions contained herein by the Owner, his or her heirs, successors or assigns, the Town's initial listed purchase price of the Unit as set forth in Paragraph 6 of this Agreement shall, upon the date of such breach as determined by the Town, automatically cease to increase as set out in Paragraph 6 of this Agreement, and shall remain fixed until the date of cure of said breach. ARTICLE 8 FORECLOSURE The Town, pursuant ti Exhibit C, the terms by this reference as waive its ability to continued herein, in of a deed in lieu of 3 the Option to Buy attached hereto as of which are incorporated in this Agreement if fully set forth herein, shall release and enforce the resale deed restrictions the event of foreclosure or the acceptance foreclosure, provided that said option to 8 IIIIIRUIIII~IwIIIAII~wIIANVIIIIflIIIIVIII n=6~,:9;.21 Sara J Fisher Eagle, CO 23 R 105. 00 D S. 00 Buy grants to the Town the option to acquire the Unit within thirty (30) days after the issuance of a public trustee's deed to the holder (including assigns of the holder) of the promissory note secured by a first deed of trust for an option price not to, exceed the redemption price on the last day of all statutory redemption period(s) and any additional reasonable costs incurred by the holder during the option period which are directly related to the foreclosure. In the event that the Town exercises the option pursuant to the terms of that certain Option to Buy, described above, the Town and/or its designee, may sell the Unit to Qualified Buyers as that term is defined herein, or rent the Unit according to paragraph 14 until such time that the Unit can be sold to a Qualified Buyer in accordance with this Agreement. ARTICLE 9 GENERAL PROVISIONS Notices. Any notice, consent or approval which is required to be given hereunder shall be given by mailing the. same, certified mail, return receipt requested, properly addressed and with postage fully prepaid, to any address provided herein or to any subsequent mailing address of the party as long as prior written notice of the change of address has been given to the other parties to this Agreement. Said notices, consents and approvals shall be sent to the parties hereto at the following addresses unless otherwise notified in writing: To Declarant: To the Town: Town Manager Town of Avon P.O.' Box 975 Avon CO 81620 To Owner: To the address shown in the deed to, each Unit. Exhibits. All exhibits attached hereto (Exhibits "A," "B," "C," "D", "E and "F") are incorporated herein and by this reference made a part hereof. Severability. Whenever possible, each provision of this Agreement and any other related document shall be interpreted in such a manner as to be valid under applicable law; but if any provision of any of the foregoing shall be invalid or prohibited 9 757239 Page: 9 of 21 05/16/2001 03:29F Sara J Fisher Eagle, CO 23 R 105.00 D 0.00 ; under said applicable law, such provisions shall.be ineffective to the extent of such.invalidity or prohibition without invalidating the remaining provisions of such documents. Choice of Law. This Agreement and each and every related document are to be governed and construed in.accordance with the laws of the State of Colorado. Successors. Except as otherwise provided herein, the provisions and covenants contained herein shall inure to and be binding upon the heirs, successors and assigns of the parties. Section Headings. Paragraph or section headings within this Agreement are inserted solely for convenience or reference, and are not intended to, and shall not govern, limit or aid in the construction of any terms or provisions contained herein. Waiver. No claim of waiver, consent or acquiescence with respect to any provision of this Agreement shall be valid against any party hereto except on the basis of a written instrument executed by the parties to this Agreement. However, the party for whose benefit a condition is inserted herein shall have the unilateral right to waive such condition. Gender and Number. whenever the context so requires herein, the neuter gender shall include any or all genders and vice versa and the use of the singular shall include the plural and vice versa. Personal Liability. Owner agrees that he or she shall be personally liable for any of the transactions contemplated herein. Further Actions. The parties to this Agreement agree to execute such further documents and take such further actions as may be reasonably.required to carry out the provisions and intent of this agreement or any agreement or document relating hereto or entered into in connection herewith. Modifications. The parties to this Agreement agree that any modifications of this Agreement shall be effective only when made by writings signed by both parties and recorded with the Clerk and Recorder of Eagle County, Colorado. Notwithstanding the foregoing, the Town reserves the right to amend this Agreement unilaterally where deemed necessary to effectuate the purpose and intent of this'Agreement, and where such unilateral action does not materially impair the Owner's rights nor any lender's rights under this Agreement. Owner and Successors. The term "Owner" shall mean the person or persons who shall acquire an ownership interest in a Unit in compliance with the terms and provisions of this Agreement; it being understood that such person or persons shall be deemed an 10 757239 Page: 10 of 21 05//16/200103:29P I Sara J Fisher Eagle, CO 23 R 105.00 D 0.00 "Owner" hereunder only during the period of his or her ownership interest of a Unit and shall be obligated hereunder for the full and complete performance and observance.of all covenants, conditions and restrictions contained herein during such period. This Agreement shall therefore be deemed a covenant running with the land and shall bind the parties, successors and assigns. IN WITNESS WHEREOF, the parties hereto have executed this instrument on the'day and year first above written. DECLARANT: s S l Y L 100 A. By: Its: STATE.OF COLORADO ) ss. COUNTY OF EAGLE ) The fore oing instrument was acknowledg d before me this 0 da of A &A1 2000, by je5 --T,1,e as " nwhoit- of N~ L. E44 0-,nTitness.my hand and official sea-l'. iMs ~~20DI /V commission expires: Y Notary P is ft- J- ACCEPTANCE- BY THE TOWN OF AVON The foregoing Master Deed Restriction Agreement and its terms are hereby adopted and declared by the Town of Avon. TOWN OF AVON By: 14. 11 757239 Page: 11 of 21 05/16/2001 03:29P Sara J Fisher Eagle, CO 23 R 105.00 D 0.00 J STATE OF COLORADO ) ss. COUNTY OF EAGLE ) The 'foregoing instrument was acknowledged before me this 23 day of 2000, by d..~ dc[ +e as i~-e.-.o1L. of the Town of Avon. Witness by hand and official seal. My commission expires: Public 757239 Page: 12 of 21 05/16/2001 03:29P Sara J Fisher Eagle, CO 23 R 105.00 D 0.00 12 EXHIBIT "A" Lot 42; Block 1, Benchmark at Beaver Creek Subdivision, Avon,, Colorado IaraIIIFi , N~II~I~III~IIIINI,IIIVnVNI~N ~~e'~ .:1 13 EXHIBIT °B° Permitted Capital Improvements 1. The term "Permitted Capital Improvement" as used in the Agreement shall include only the following: a. Improvements or fixtures erected, installed or attached as permanent, functional, non-decorative improvements to real property, excluding repair, replacement and/or maintenance improvements; b. Improvements for energy and water conservation; C. Improvements for health and safety protection devices; d. Improvements to add and/or finish permanent/fixed storage space; and/or e. Improvements to finish unfinished space. 2. Permitted Capital Improvements as used in this Agreement shall NOT include the following: a. Upgrades/replacements of appliances, plumbing and . mechanical fixtures, carpets and other similar items included as part of the original construction of the unit; b. The cost of adding decks and balconies and any extensions thereto; C. Jacuzzis, saunas, steam showers and other, similar, items; d. Improvements required to repair, replace and maintain existing fixtures, appliances, plumbing and mechanical fixtures, painting, carpeting and other, similar, items; and/or e. Upgrades or addition of decorative items, including lights, window coverings and other similar items. 3. All Permitted Capital Improvement items and costs shall be approved by the Town staff prior to being added to the Maximum Sale Price as defined in the Agreement. 14 757239 Page: 14 of 21 05/16/2001 03:29P ,,Sara J Fisher Eagle, CO 23 R 105.00 D 0.00 EXHIBIT "C" OPTION TO BUY In the event of a foreclosure by the holder (including assigns of the holder) of the promissory note secured by a first deed of trust on a deed restricted dwelling unit within Grandview, Lot 42, Block 1, Benchmark at Beaver Creek Subdivision(hereinafter "the.Property") and subject to the issuance of a public trustee's deed to the holder following the expiration of all statutory redemption rights, the Town of Avon ("the Town") shall have the option to buy the Unit which shall be exercised in the following manner: a. Notice. The holder shall give such notice to the Town'as is required by law in the foreclosure proceeding. Said notice shall be sent by certified mail, return receipt requested, and addressed as follows: Town Manager Town of Avon P.O. Box 975 Avon CO 81620 b. Option to Buy. The Town shall have 30 days after issuance of the public trustee's deed in which to exercise this Option to Buy by tendering to the holder, in cash or certified funds, an amount equal to the redemption price which would have been required of the borrower or any person. who might be liable upon a deficiency on the last,day of the statutory redemptiori period(s) and any additional reasonable costs incurred by the holder during the option period which are directly related to the foreclosure. c. Title. Upon receipt of the option price, the holder shall deliver to the Town a special warranty deed, conveying the Unit to the Town. The holder shall convey only such title as it received through the public trustee's deed and will not create or participate in the creation 15 111111 Jill 11111111111111111111111111111111111111111 757239 Page: 15 of 21 05/16/2001 03: Sara J Fisher Eagle, CO 23 R 105.00 D 0.00 of any additional liens or encumbrances against the unit following issuance of the public trustee's deed to the holder. The holder shall not be liable for any of the costs of conveyance to the Town or its designee. d. Release. In the event that the holder is.issued a public trustee's deed and the Town does not exercise the Option to Buy, as provided herein, the Town shall cause to be recorded in the records of the Clerk and Recorder of Eagle.County a full and complete release. Such release shall be placed of record within 14 days after demand therefor by the holder following expiration'of the option and a certified copy of the release shall be mailed to the holder upon its recordation. e. Perpetuities Savings Clause. If any of the terms, covenants, conditions, restrictions, uses, limitations, obligations or options created by this Option to Buy shall be unlawful or void for violation of: (a) the rule against perpetuities or some analogous statutory provision,'(b) the rule restricting restraints on alienation, or (c) any other statutory or common law rules imposing like or similar time limits, then such provision shall continue only for the period of the lives of the current duly elected and seated Town Council of the Town of Avon, Colorado, their now living descendants, if any, and the survivor of'them, plus twenty-one (21) years. f. Successors and Assigns. Except as otherwise provided herein, the provisions and covenants contained herein shall inure to and be binding upon the heirs, successors and assigns of the parties hereto. g. Modifications. The parties hereto agree that any modification to this option to Buy shall be effective only when made by writings signed by both parties and recorded with the Clerk and Recorder of Eagle County, Colorado. 757239 Page: :;~29P -a J Fisher Eagle, CO 23 R 105. 00 D 0. 00 16 EXHIBIT °D° REQUEST TO SELL Town Planner Town of Avon P.O. Box 975 Avon CO 81620 RE: Resale of Unit , Grandview, Lot 42, Block 1, Bencbmark at Beaver Creek Subdivision Dear Town Planner: This letter is my request to sell Unit , with a closing date of I have estimated the maximum sales price, as calculated below in accordance with the terms of the Master Deed Restriction Agreement for the occupancy and resale of Purchase price of unit $ Allowed 3% per annum based on months ownership Condominium assessments (specifically assigned to unit for common area improvements) Property improvements (itemize below) One percent real estate sales commission Maximum Sale, Price Sincerely, Owner APPROVED : 757239 TOWN OF AVON 1111111111111111111111111111111111111111111111111111111 Page : 17 of 21 05/16/2001 03:29P Sara J Fisher Eagle, CO 23 R 105.00 D 0.00 By: Title: 17 EXHIBIT "E" Affidavit of Purchaser STATE OF COLORADO COUNTY OF. EAGLE ) ss. being duly sworn upon his/her oath, deposes and says, under penalty of perjury, that: 1. He/she has entered into a contract to purchase Unit Town of Avon, County of Eagle and State of Colorado for a sale price of $ 2. He/she is purchasing the Unit to occupy it as his/her primary place of residence. He/she will not engage in any business activity in the Unit, other than that permitted in, the applicable zone district or by applicable ordinance, and will not transfer the Unit for use in a trade or business. 3. His/her income does not exceed percent of the Eagle County Median Family Income. Attached hereto is a copy of his/her federal tax return for the tax year immediately prior hereto. 4. He/she is a full time employee working at least thirty hours per week in Avon or Eagle County, or a retired person who has been a full time employee. in Avon or Eagle County a minimum of four years immediately prior to his or her retirement, or a person having a medical disability who has been a full time employee in Avon or Eagle County a minimum of two years immediately prior to his or her determination of disability; or the spouse or dependent of any such persons who resides with them. 5. His/her total current family net assets are not in excess of $250,000.00 ($360,500 for a retired person) and have not been in excess of $250,000.00 ($360,50b.00 for a retired person) during the two years preceding if the same were transferred or disposed of to confer eligibility for purchase of the Unit. 6. He/she states that he/she has received a copy of and will abide by the terms and conditions of the Master Deed Restriction Agreement for the Occupancy and Resale of Grandview, Lot 42, Block 1, Benchmark at Beaver Creek Subdivision. 18 IIBIIIINIIIIIIIIIIII~IBIIIIII~IIIIIIIIIIIIIIIIII ~=~:~u 21 Sara J Fisher Eagle, CO 23 R 105. 00 D 0. 00 DATED the day of , The foregoing was subscribed and sworn to before me, the undersigned Notary Public, on the day' Of by My commission expires: Witness my hand and seal. Notary Public 1111111 Jill 1111111111 11111111111111 Jill 757239 Page: 19 of 21 05/16/2001 03:29P Sara J Fisher Eagle, CO 23 R 105.00 D 0.00 19 EXHIBIT °F° Affidavit of Lessee STATE OF COLORADO ) ss. COUNTY OF EAGLE ) being duly sworn upon his/her oath, deposes and says, under penalty.of perjury, that: . 1. He/she has entered into a contract to rent Unit Grandview, Lot 42, Block 1, Benchmark at Beaver Creek, Town of Avon, County of Eagle and State of Colorado in the amount of a $ per month. 2. He/she is renting the Unit to occupy it as his/her primary place of residence.. He/she will not engage in any business activity in the Unit, other than that permitted in the applicable zone district or by applicable ordinance. 3. His/her income does not exceed 120 percent of the Eagle County Median Family Income $ Attached hereto is a copy of his/her federal tax return for the tax year immediately prior hereto. 4. He/she is a full time employee working at least thirty hours per week in Avon or Eagle County; or,a retired person who has been a full time employee in Avon or Eagle County a minimum of four years immediately prior to his or her retirement, or a person having a medical disability who has been a full time eiriployee in Avon or Eagle County a minimum of two years immediately prior to his or her determination of `'disability, or the spouse or dependent of any such persons who resides with them. 5. His/her total current family net assets are not in excess of $230,000.00 ($360,500 for a retired person) and have not been in excess of $250,000.00 ($360,500.00 for a retired person) during the two years preceding if,the same were transferred or disposed of to confer eligibility for purchase of the Unit. 6. He/she states that he/she has received a copy of and will abide by the terms and conditions of the Master Deed Restriction Agreement for the Occupancy and Resale of Grandview, 20 II II I~~III VIII III II III III VIII ~5u?:9`u:ve ier Eagle, CO 23 R 105. 00 D 0. 00 Lot 42, Block 1, Benchmark at Beaver Creek Subdivision. 7. A copy of the draft lease is attached hereto, with the monthly lease rate filled in. DATED the day of , The foregoing was subscribed and sworn to before me, the undersigned Notary Public, on the day of by My commission expires: Witness my hand and seal. Notary Public nII VIII II I1 Yl ~l lll4 p111 11111 Asu?za9fn:.:m Sara J Fisher Eagle, CO 23 R 105. 00 D 0.00 21 n 07 ,Q a7~ AVOQ 1 C() 1020