020-23 - 2102 Sedgwick, LLC - Contract Amendment 1RUSH DEVELOPMENT COMPANY, INC. 202407300114
Amended Agreement Rec Fee: $308.50
07/30/2024 12:26:11 PM Page 1 of 6
Paul Andrews, Kitsap County Auditor
Name and Mailing Address
2102 Sedgwick LLC
6622 Wollochet Dr
Gig Harbor, WA 98335
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Type or print legibly.
Document Title(s):
First Amendment to Multifamily Housing
Limited Property Tax Exemption
Auditor's File Number of Document (s) Referenced: 202303130121
Grantor(s) person(s) that conveys, sells or grants interest in property:
City of Port Orchard
Grantee(s) person that buys, receives or to whom conveyance of property is made:
2102 Sedgwick LLC
Abbreviated Legal Description:
• Quarter, Quarter, Section, Township, Range (and Government lot # if applicable); OR
• Plat/Condo Name, lot or unit number, building or block number; OR
• Short Plat, Large Lot number, lot number and auditor file number
SW Quarter of the NW Quarter, Section1, Township 23 North,
Range 1 East, AFN 8009020109
Assessor's 14 digit Tax Parcel Number: 012301-2-078-2000
04/25/ 14
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FIRST AMENDMENT TO
CITY OF PORT ORCHARD MULTIFAMILY HOUSING LIMITED PROPERTY
TAX EXEMPTION AGREEMENT WITH;RdSEDGWICK, LLC �5
2102- - o,Z�
THIS FIRST AMENDMENT to the Multifamily Housing Limited Property Tax-7' 3
Exemption Agreement ("First Amendment" or "Amendment") between the City of Port Orchard
("City") and Sedgwick, LLC ("Owner") is dated and effective as of July 15, 2024. The City
and Owner are individually a "Party" and collectively the "Parties".
)A) RECITALS:
WHEREAS, the Parties entered into an Agreement for implementing the Multifamily
Housing Limited Property Tax Exemption offered by the City on January 26, 2023; and
WHEREAS, the Agreement was made under and is governed by Chapter 3.48 of the Port
Orchard Municipal Code (POMC) which has since been repealed; and
WHEREAS, POMC 3.48.080(2)(c) allows the Agreement to be amended within three
years of the date of council approval and allows the City's Community Development Director
("Director") to approve minor changes to the contract that are reasonably within the scope and
intent of the contract approved by the city council, as solely determined by the director; and
WHEREAS, POMC 3.48.020(1) incorporates the affordable housing definition found in
RCW 84.14.010 which provides that "'Affordable Housing' means residential housing that is
rented by a person or household whose monthly housing costs, including utilities other than
telephone, do not exceed thirty percent of the household's monthly income.'; and
WHEREAS, the Agreement does not incorporate a calculation method to ensure that
utilities are factored into the annual maximum rental calculation; and
WHEREAS, the Director has determined that allowing the Director to work with the
Owner to ensure that utilities are factored into this calculation is a "minor change that is reasonably
within the scope and intent of the contract approved by the city council"; and
WHEREAS, there was a typographical error in the Agreement with regard to the number
of affordable units, therefore, that correction should be made to Section 6(C) of the Agreement;
NOW, THEREFORE, in consideration of the terms and conditions set forth herein, the
Parties agree that the recitals set forth above are incorporated herein as if set forth in their entirety
and further agree as follows:
AGREEMENT:
1. New Section. Anew Section 24 is hereby added to the Agreement to read as follows:
24. Maximum Rental Calculation. The Port Orchard Community Development
Director shall have the authority to establish a utility allowance to be factored into
First Amendment to MFTE Agreement (2012 Sedgwick, LLC)
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calculation of the annual maximum rent to be allow consistent with the terms of the
Agreement.
2. Amendment to Section 6(C). The Table in Section 6(C) of the Agreement is hereby
amended to read as follows:
Building
Studio
1-Bedroom
2-Bedroom
3-Bedroom
Total Units
A
9
9
18
B
6
12
6
24
C
6
12
6
24
D
8
14
6
28
E
6
12
6
24
F
6
12
6
24
G
4
8
12
H
6
12
6
24
J
8
6
14
TOTAL
UNITS
(includes
affordable)
55
93
32
12
192
Affordability
Requirements
Studio
(40% MFI)
1-Bedroom
(65% MFI)
2-Bedroom
(75% MFI)
3-Bedroom
(80% MFI)
Total Required
Affordable Units
Required
Affordable
Units by Type
11
4s318
7
3
4039
3. Reaffirmation; Intention to be Bound. Except as expressly amended by this
Amendment, each and every term, condition and agreement contained in the Agreement shall
remain in full force and effect. The Parties reaffirm that the representations and warranties made
by each Party in the Agreement are true and accurate as of the Effective Date. The Parties executing
this First Amendment on behalf of thernselves, their assigns, and successors, hereby acknowledge
and reaffirm their intention to be bound by the terms and conditions of the Agreement. Nothing in
First Amendment to MFTE Agreement (2012 Sedgwick, LLQ
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this Amendment shall be deemed to supersede or otherwise modify any other term or provision of
the Agreement except as expressly stated herein.
4. Recording. This Amendment shall be recorded at the Owner's expense and shall be a
covenant running with the land and shall be binding on the assigns, heirs, and successors of the
Owner.
IN WITNESS WHEREOF, the Pat -ties have caused their properly authorized
representatives to execute this First Amendment on the dates set forth below.
/'t� 3. —1— -�o - ?— 1—(
�1102-
CITY OF PORT ORCHARD
NA Bond, Director
Dept. of Community Development
ATTEST:
Brandy Walla e, CMC, City Clerk
APPROVED AS TO FORM:
Vty
nifer S. obertson
Attorney's Office
SEDGWICK, LLC (OWNER)
Name: ffl kk A w Sm;fh►
Its: M a iv x ye k
First Amendment to MFTE Agreement (2012 Sedgwick, LLC)
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A
NOTARY BLOCK FOR 2 2 SEDGWICK, LLC
STATE OF WASHINGTON )
) ss.
COUNTY OF KITSAP )
I certify that I know or have satisfactory evidence that Mr4VW is the person
who appeared be�f.,�re me, and said person acknowledged that e she) signed this instrument, on
oath stated that &/she) was authorized to execute the instrument and acknowledged it as the
1"1r\a,-1g 6� 11DL tAM LLL ' of edgwick, LLC to be the free and voluntary act of such
party for Yhe uses and purposes mention d in the instrume 30
Dated: ILAL&f �)b , 202t�.
11/11/11111/1/111j
��E3R ENFF9.,,�,
(print or type name)
V' s NOTARY PUBLIC in and for the State of
NpTARY
Washingt0 residing at:
MyCommissi nexpires: 6-13-ZDN
First Amendment to MFTE Agreement (2012 Sedgwick, LLC)
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NOTARY BLOCK FOR CITY OF PORT ORCHARD
STATE OF WASHINGTON )
) ss.
COUNTY OF KITSAP )
I certify that I know or have satisfactory evidence that Nick Bond is the person who appeared
before me, and said person acknowledged that (he/she) signed this instrument, on oath stated that
(he/she) was authorized to execute the instrument and acknowledged it as the of Community
Development Director of City of Port Orchard to be the free and voluntary act of such party for
the uses and purposes mentioned in the instrument.
(print o type name)
NOTARY PUBLIC in and for the State of
W?hh1jgton,,rqjsidin a
My Commission expires:
First Amendment to MFTE Agreement (2012 Sedgwick, LLC)
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