West Orange Township_Fourth Round HEFSP_Final Draft

Section 3, -Residential Rental Property. The Owner hereby represents, covenants. warrants and agrees that: (a) The proposed project is located in the Township of West Orange in the County of Essex, in a residential neighborhood. The project invelves the acquisition and renovation of a three- bedroom condominium home. {b) The Project is to be utilized at all times in accordance with the types of use as permitted by the Act and the Program and as may be approved by the Agency. The Project shall be subject to use and occupancy and/or lease agreements between the Owner and the residents. Section 4, Low Income Tenants. The Owner hercby represents, warrants and covenants that ail of the units shall be occupied or available for occupancy by Low Income Tenants for a period of thirty (30) years from the date hereof. Section 5. Additional Representations, Covenants and Warranties of the Owner. The Owner represents. warranls and covenants that: (a) The Owner (1) is a non-profit corporation, duly organized. validiy existing and in good standing under the laws of the State and duly authorized to transact business in the State; (1) has filed with the Agency a true and complete copy of its Certificate of Incorporation with all amendments, if any, thereto; (iit) has the power and authority to own or lease its properties and assets, including the Project and the Land, and w carry on its business as now being conducted (and as now contemplated), and to borrow the proceeds of the Loans: and (iii) has the power to execute and perfonn all the undertakings of this Agreement and the other Loan Documents. (b) All necessary legal action has been taken te authorize the execution, delivery and performance of the Loan Documents by the Owner. (c) The Loan Documents have been duly executed and delivered by the Owner and constitute the valid and legally binding obligations of the Owner, enforceable against the Owner tn accordance with their respective terms, {d} To the best of the Owner's knowledge after due and diligent inquiry, the execution and performance of this Agreement, the Loan Documents and other instruments required pursuant to this Agreement by the Owner, (i) will not violate or, as applicable, have not violated, any provision of law, rule or regulations, any order of any court or other agency or government or any provision of any document to which the Owner is a

t violate or, as applicable, have not violated, any provision of law, rule or regulations, any order of any court or other agency or government or any provision of any document to which the Owner is a party, and (ii) will not violate or, as applicable, have not violated, any provision of any indenture, agreement or other instrument to which the Owner is a party, or resuit in the creation or imposition of any lien, charge or encumbrance of any nature other than the Permitted Encumbrances. {c) The Owner will, at the time of execution of this Agreement or at the time of the closing of the Loan and subject only to such exceptions as have been discloscd in waiting to the Agency and which will not materially interfere with or impact the beneticial use of the Project and Land for purposes of the Project: have good and marketable title to fee simple interest in the premises 7