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Item 68 - Crossroads at Washington Affordable Housing Project at 1126, 1136, & 1146 East Washigton Ave.
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Item 68 - Crossroads at Washington Affordable Housing Project at 1126, 1136, & 1146 East Washigton Ave.
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Clerk of the Council
Item #
68
Date
6/21/2022
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<br />Page | 47 <br />4894-6811-3695v.2 0017787-000542 <br />4894-6811-3695v.2 0017787-000542 <br />any CPA's management letters prepared in conjunction with their audits of Tenant's operations from <br />the Premises. Copies of management letters shall be provided directly to Lessor by the CPA at the <br />same time Tenant’s copy is provided to Tenant. In the event that when such financial statements are <br />submitted, the Tenant has a budget for the following accounting year, Tenant, at the same time, shall <br />also provide Lessor with such budget. <br />15.1.1. Tenant acknowledges its understanding that any and all of the Financial <br />Statement submitted to the Lessor pursuant to this Lease become Public Records and may be subject <br />to public inspection and copying pursuant to §§ 6250 et. seq. of the California Government Code. <br />15.1.2. All Tenant's books of account and records and supporting source documents <br />related to this Lease or to business operations conducted within or from the Premises shall be kept <br />and made available at one location within the limits of the County unless an alternative location is <br />approved in writing by the Lessor. Lessor shall, through their duly authorized agents or <br />representatives, have the right to examine and audit said books of account and records and supporting <br />source documents at any and all reasonable times for the purpose of determining the accuracy thereof <br />in connection with such Sections of this Lease as the Parties mutually and reasonably agree the audit <br />is relevant thereto. <br />15.2 Reports. In the event that the Tenant commissions, requests or is required to produce <br />any reports related to the physical condition of the Improvements or P remises, Tenant shall submit <br />copies of such reports to Lessor along with the financial statements required above in Section 15.1. <br />ARTICLE XVI <br />OPERATIONAL OBLIGATIONS OF TENANT <br /> <br />16.1 Standards of Operation. <br />16.1.1. Tenant shall operate the Premises in a manner reasonably comparable to other <br />comparable facilities or businesses within the County of Orange. Tenant shall at all times during the <br />Term provide adequate security measures to reasonably protect persons and property on the <br />Premises. <br />16.1.2. The ultimate purpose of this Lease is to permit the construction and operation <br />of a multifamily affordable residential rental development, including permanent supportive housing, <br />in accordance with Section 4.1.1. Accordingly, Tenant covenants and agrees to operate said <br />Premises fully and continuously to accomplish said purposes and not to abandon or vacate the <br />Premises at any time. <br />16.1.3. The facilities on the Premises shall be operated during normal business hours, <br />subject to any temporary interruptions in operations or closures due to ordinary maintenance and <br />repair and any Force Majeure Event, defined in Article XIV above. <br />16.2 Protection of Environment. Tenant shall take all reasonable measures available to: <br />16.2.1. Avoid any pollution of the atmosphere or littering of land or water caused by <br />or originating in, on, or about Tenant’s facilities. <br />EXHIBIT 11
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