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shall remain binding and enforceable against the Property, the Project, and the Affordable Units <br />to ensure compliance with the Conditional Grant Agreement, the State Density Bonus Law and <br />City Density Bonus Ordinance, and to ensure the continued supply of Affordable Units in the <br />Project, except as expressly set forth in this Agreement. <br />4.1.2 Prior to the sale of an individual Affordable Unit to a Homebuyer, <br />Developer shall cause each Eligible Household purchasing an Affordable Unit to sign the <br />Affordable Housing Resale Restrictions and, as required by Section 3, the City Deed of Trust, as <br />approved by the City pursuant to Section 4.5, below, and Developer shall record them or cause <br />them to be recorded in the Official Records for Orange County, California. <br />4.2 Occupancy Levels. Subject to state or federal laws and regulations, the number of <br />persons permitted to occupy each three -bedroom Affordable Unit shall not exceed eight (8) <br />occupants. <br />4.3 Use of the Property. All uses conducted on the Property by Developer, including, <br />without limitation, all activities undertaken by the Developer pursuant to this Agreement, shall <br />conform to all applicable provisions of the Santa Ana Municipal Code and other applicable federal, <br />state, and local laws, rules, and regulations. <br />4.4 Maintenance. Developer shall, at all times during the term of this Agreement, cause <br />the Property and the Project to be maintained in a decent, safe and sanitary manner, regardless of <br />cause of the disrepair. Developer and each Homebuyer shall be fully and solely responsible for <br />costs of maintenance, repair, addition and improvements. City, and any of its employees, agents, <br />contractors or designees shall have the right to enter upon the Property at reasonable times and in <br />a reasonable manner to inspect the Project, after providing notice as follows: (i) at least a 24-hour <br />notice to Developer and Tenants / Homebuyer of the Affordable Unit which will be inspected, or <br />(ii) at least 48 hours' notice to Developer, which shall promptly give notice to Tenants / Owners <br />of the Affordable Unit to be inspected. <br />4.5 Preparation and Recordation of Transfer Documents. Developer shall prepare and <br />obtain City's approval, which approval shall not be unreasonably withheld, conditioned or delayed, <br />of the City Loan Documents for each Affordable Unit to Eligible Households required by Section <br />3.5 of this Agreement. Developer shall not sell an Affordable Unit unless and until the City has <br />reviewed and approved the Homebuyer as an Eligible Household for the purchase of the <br />Affordable Unit, and the Homebuyer has executed and submitted to the Program Director, in <br />recordable form, the Homebuyer Loan Agreement, the Affordable Housing Resale Restrictions, <br />the City Promissory Note, the City Deed of Trust, the Notice of Affordability Restrictions, and the <br />approved financing for the Homebuyer, <br />4.6 Selection of Homebu,+�. <br />4.6.1 The Developer shall, at its sole cost and expense, conduct all procedures <br />and comply with all requirements as set forth in this Agreement and the Administrative Procedures <br />Manual in selecting Eligible Homebuyers for each Affordable Unit. Specific procedures are set <br />forth in Attachment C in the Administrative Procedures Manual. <br />13 <br />55394.00101\ 42405923.1 <br />