11-13-2006 EDA Packet - Laserfiche WebLink

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1.7 City has approved the Subject Parcel for use consistent with the proposed Townhome Development. On that basis, City and Authority are willing to approve an assignment of the Contract to Successor Developer and release Master Developer from the terms and conditions of the Contract subject to the terms and conditions of this assignment. THEREFORE, IT IS AGREED AS FOLLOWS: II. Agreement. 2.1 Master Developer hereby assigns, and Successor Developer hereby expressly assumes all of the rights and obligations of Master Developer under the Contract with respect to construction of townhomes on the Subject Parcel with a minimum market value of $4,330,200 (the "Townhome Improvements"). 2.2 The parties hereto agree and understand that the Townhome Improvements constitute a portion of the Owner -Occupied Housing Component of the Minimum Improvements under the Contract. 2.3 The Authority and the City hereby consent to and approve the assignment in sections 2.1 and 2.2 above. 2.2 From and after the effective date set forth above, Master Developer is released from its obligations under the Contract as to the Subject Parcel and as to the portion of the Owner -Occupied Component represented by the Townhome Improvements, subject to the following: (a) Master Developer remains liable under the Contract as to all other parcels subject to the Contract that are not released hereby or previously released, and as to all other provisions of the Contract. (b) Successor Developer agrees and understands that the Subject Parcel is subject to the Assessment Agreement between the Authority and Developer dated July 11, 2006 ("Assessment Agreement"), setting a minimum market value for the Subject Parcel and the Townhome Improvements constructed thereon for the period described in the Assessment Agreement. (c) Satisfactory completion by Successor Developer of the Townhome Improvements will be considered satisfaction of Developer's obligations as to a portion of the market value of Owner -Occupied Component under Section 4.3 of the Contract, such portion being the minimum value of $4,330,200 or the actual value upon completion, whichever is greater. However, nothing in this agreement will relieve Developer of its obligation to construct the remainder of the Owner -Occupied Component in accordance with the Contract. 2 -17-