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    Concerning the debt service coverage this is an RD property with full rental assistance. RD will advise usof the allowable cash flow and will allow us to set rents accordingly. Actual DCR will be whatever isdetermined by them.

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    Report for the Woods Landing Apartments in Damascus, Virginia Page 37

    CAPTURE RATES

    A total of 40 units are to be provided at the proposed development. Thus, this figure represents 69.0

    percent of total need. The 40 one-bedroom units represent 92.0 percent of the calculated net need.

    The capture rates presented above are based on the assumption that the property is considered to be

    entering the market as if new, rather than a fully occupied project with little or no displacement of tenants

    expected. Similarly, the methodology is relatively conservative in that a conservative market area is defined,

    that demand is based on households aged 65 years and older (where the property is open to households

    aged 62 and older, and also to the handicapped and disabled), and that no potential demand from beyond

    the primary market area is included in the calculations. Thus, these capture rates are not considered

    unreasonable.

    ABSORPTION RATES

    Based on the above, the project could expect to lease-up over a period dictated by the rehabilitationschedule, plus 60 days, or so.

    JOHN WALL AND ASSOCIATES - an independent licensee of JWA, Inc - CARY, NORTH CAROLINA 919.233.0670

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    TAB A(Documentation of Development Location)

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    TAB A.1(Qualified Census Tract Certification)

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    SECTION

    NOT

    APPLICABLE

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    TAB A.2(Revitalization Area Certification)

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    TAB A.2(Location Map)

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    TAB A.2(Surveyors Certification of Proximity To Public Transportation)

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    SECTION

    NOT

    APPLICABLE

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    TAB B(Partnership or Operating Agreement)

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    Woods Landing VA

    Limited Partnership

    Co-General Partners:

    Gary D. Ellis (162/3

    %)

    Melvin B. Melton (162/3

    %)Timothy L. Gunderman (16

    2/3%)

    50.00 %

    Initial Limited Partners:

    Gary D. Ellis (162/3

    %)

    Melvin B. Melton (162/3

    %)Timothy L. Gunderman (16

    2/3%)

    50.00 %

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    TAB C(VA SCC Certification)

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    TAB D(Principals Previous Participation Certification)

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    TAB E

    (Nonprofit Questionnaire)

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    SECTION

    NOT

    APPLICABLE

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    TAB F(Architects Certification)

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    TAB G(Relocation Assistance Guidelines)

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    Page 1 of 6

    Relocation Assistance Guidelines

    In general, owners of projects which funding includes federal monies should adhere to

    regulations set forth under the Uniform Relocation Assistance Act of 1970 (URA), whichob jec tives a re:

    To p rov ide uniform, fair and eq uitab le trea tment o f tena nts whose rea l p rop erty isac quired or who a re disp lac ed in co nnec tion with fed erally funde d p rojec ts

    To ensure reloc a tion a ssista nc e is p rovide d to d isp lac ed tena nts to lessen theemo tional and financ ial imp ac t of d isplac eme nt

    To ensure tha t no ind ividua l or fam ily is d isp lac ed unless dec ent, sa fe, and sanita ry(DSS) housing is ava ilab le within the d isp lac ed tena nt's financ ial means

    To he lp imp rove the housing c ond itions of d isp lac ed tena nts living in substandardhousing

    To e nco urag e a nd e xpe dite ac quisit ion b y ag reem ent and without c oercionVHDA guidelines are similar to URA; however, our guidelines focus on residents/tenants who

    are displacedas a d irec t result o f the reha b ilitation, de mo lition a nd / or c onstruc tion of LIHTC

    projects.

    VHDA guide lines must b e followed to qua lify for Low Inc om e Housing Tax Cred its (LIHTC) a nd

    will be inc orporated by reference in and enforced by the Contrac t to Enforc e

    Representations. Furthermore, violation of these guidelines will result in a penalty against

    future Reservation Applications.

    Owner s Responsibility to Tena nts

    Permanent Relocation: A tena nt is displaced(perma nent reloc a tion) if he/ she c anno t return

    to h is/ her origina l unit. If a te na nt isdisplaced, then the o wne r must p rovide the tena nt

    Ad visory Services and Mo ving Co st Reimbursem ent (Full Reloc a tion Assista nc e).

    Ad visory Servic es

    Include:

    Provid ing referra ls for tenants to rep lac em ent p rop erties

    Prov iding te nants with w ritten informa tion Providing a pp rop riate translation a nd c ounseling for tenants who a re unab le to rea d

    and understand notic es

    Communicating the name and telephone number of a contact person who cananswer questions or provide o ther need ed help

    Prov id ing transportation fo r tena nts nee d ing to loo k at other housing , espec ially thosewho a re e lderly or disab led

    Giving spec ial c onsideration to the need s of families with sc hoo l age c hild ren Extending regular business hours, including evenings and weekends, so that tenants

    wo nt have to m iss wo rk

    http://edocket.access.gpo.gov/2005/pdf/05-6.pdfhttp://edocket.access.gpo.gov/2005/pdf/05-6.pdf
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    Page 2 of 6

    Moving C ost Reimb ursem ent

    Owners moving cost reimbursement to the tenant is limited to $100.00 if either of the

    follow ing a pp lies:

    a . A te nant ha s minima l po ssessions and oc c up ies a dormitory style roo m, o rb . A tenants move is pe rformed by a n ag enc y at no c ost to the tenant

    If neither a nor b above applies, and the tenant opts to move his/her belongings, the

    reimburseme nt to the tena nt ma y be ba sed on o ne or a c omb ination of the following:

    1. Based on the Federal Highway Administrations Fixed Residential Moving CostSc hedule (see Virginia)

    2. Based on tena nts ac tual rea sona ble mo ving a nd rela ted expensesThe Fixed Residentia l Moving Cost Sc hedule inc lude s moving costs and utility connection

    expe nses and is based on the numb er of room s of furniture, no t the numbe r of be drooms pe r

    unit.

    Tena nts ac tual rea sona b le m oving a nd rela ted expenses are defined as

    i. The lowe r of two b ids or estima tes prepared by a c om me rc ia l mo ver; orii. Rec eipted bills for lab or and eq uipment

    Hourly labor rates should not exceed the rates paid by a commercial mover to employees

    performing the same activity and, equipment rental fees should be based on the actual

    rental cost of the equipment b ut not to exc eed the c ost pa id b y a c omm erc ial mover.

    Tem po rary Reloc ation: A tenant who is temporarily relocated is not displaced if he/she canreturn to the o riginal unit, e.g. the unit oc c upied by the tena nt. The o wne r do es not ha ve to

    provide Ad visory Servic es, as note d a bove; howe ver, the p rop erty owne r

    1. Gua rantees that the tenant c an return to his/ her same unit2. Pays the tenant s mo ving c osts to a nd from the temp orary loc a tion (two moves)A. The tenant m ay a gree in writing to pe rma nently reloc ate to the unit which ha s been

    de signa ted their tem po ra ry unit. If the tena nt agrees to p ermane ntly relocate to the

    tem porary unit, then managem ent is responsible for co sts of one move. Sa id

    agreement shall be kept b y manag ement in the tenant file; or

    B. Ma y ag ree in writing to p ermanently reloca te to ano ther new ly renovate d unit (twomo ves). Sa id a greement shall be kept b y manag ement in the tena nt file

    The owne r must c onta c t any tenant w ho ha s be en tem porarily relocate d for long er than one

    yea r and p rovide to the te nant Ad visory Servic es and Moving Cost Reimb ursem ent (Full

    Reloc a tion Assista nc e). This assista nc e w ill be in add ition to a ssista nc e the te na nt ha s a lrea dy

    received for temporary relocation and may not be reduced by the amount of temporary

    relocation assistance already received.

    http://www.fhwa.dot.gov/realestate/fixsch96.htmhttp://www.fhwa.dot.gov/realestate/fixsch96.htmhttp://www.fhwa.dot.gov/realestate/fixsch96.htmhttp://www.fhwa.dot.gov/realestate/fixsch96.htm
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    Page 3 of 6

    Tenant Notices (Full Co mmunica tion o f Plans)

    Whether a tenant is permanently or temporarily relocated, the owner must inform him/her in

    writing of relocation and renovation plans as soon as possible. Open communication with

    tenants is helpful for both the owner and tenants as it helps to minimize rumors and

    misund ersta nd ings. The fo llow ing no tices a re req uired :

    Note: It m ay be nec essary for the ow ner to a rrange for an interprete r or interp rete rs to helpnon-English speaking tenants understand the owners plans for the property.

    1. Notic e of Intent to Ac quire. A Notice o f Intent to Ac quire is an ow ners writtenc om munica tion to a te nant to be displac ed , which c lea rly sets forth the owne r s intent

    to acquire the property; it also establishes eligibility for relocation assistance.

    2. Gene ral Informa tion Notice. As soon as feasible, a tenant scheduled to be displacedshall be furnished with a general written description of the owners relocation program

    which does at lea st the follow ing:

    Informs the tena nt that he or she may be displac ed for the p rojec t and g enerallyde sc ribe s the reloc a tion p aym ent(s) for whic h the tena nt may be eligible, the

    basic c ond itions of eligib ility, and the p roc ed ures for ob ta ining the payment(s);

    Informs the te nant to be d isplac ed that he o r she w ill be given reasona blereloc a tion a dvisory servic es, inc lud ing referra ls to rep lac em ent p rop erties, help in

    filing payme nt c la ims, and o ther nec essary assista nc e to help the tena nt to

    successfully relocate;

    Informs the tenant to b e d isplac ed that he o r she w ill not b e required to m ovewithout a t lea st 120 days adva nc e w ritten notic e (see pa ragraph 4 of this sec tion);

    Informs the tena nt to b e d isp lac ed that a ny tenant who is an a lien, not law fullyp resent in the United Sta tes, is inelig ible fo r reloc a tion a dvisory services and

    reloc ation p aym ents; and

    Desc ribes the te nant s right to a ppea l the o wners assista nc e d ete rmina tion3. Notice of Relocation Eligibility. Elig ibility for reloc a tion a ssista nc e sha ll beg in on the

    da te o f a Notice of Intent to Ac quire, the initiation o f nego tia tions, or ac tual

    acquisition, whichever occurs first. When this occurs, the owner shall promptly notify all

    tena nts in writing o f the ir eligib ility for app lica b le reloc a tion a ssistanc e.

    4. 120-Day Notice. No law ful tena nt sha ll be req uired to m ove unless he o r she ha srec eived a t lea st 120 days ad vance w ritten notice of the ea rliest da te b y which he o r

    she m ay be required to m ove . Virginia State law req uires a 120-day va c ate notice for

    all c ond o a nd c o-op c onversions and for any c hang e in the use o f build ings with at

    least four renta l units. These guide lines extend tha t no tice p eriod to a ll renta l units

    va c a ted as a result of ac quisition, reha b ilitation o r dem olition tha t w ill disp lac e e xisting

    tenants.

    Content of 120-day Notic e - The 120-day not ice sha ll either sta te a spec ific d a te as the

    ea rliest da te b y whic h the tena nt ma y be req uired to m ove o r state that the tena nt will

    rec eive a further notice indicating, at least 30 da ys in ad vanc e, the spe c ific da te b y

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    Page 4 of 6

    whic h he o r she m ust move . If the 120-da y notice is issued befo re a c om parab le

    rep lac em ent d we lling is ma de ava ilab le (i.e. tenant given a spe c ific ad d ress), the

    notice must state c lea rly that the tena nt will not have to m ove ea rlier than 30 da ys

    after such a dwe lling is ma de a va ilab le.

    In unusual c irc umstances, a tena nt ma y be req uired to va c ate the p rop erty on less

    than 120 da ys ad vanc e w ritten no tic e if the ow ner dete rmines that a 120-da y notice is

    imp rac tic able, suc h as whe n the tenant's c ontinued oc c upa nc y of the prope rty wouldc onstitute a substantial da nge r to his/ her hea lth o r safety. A c op y of the o wne rs

    de termination shall be included in the a pp lic ab le tena nt file.

    5. 30-Day Not ice. The 30-day notice sha ll sta te (1) the spec ific d a te b y which the te nant isreq uired to m ove ; (2) if ap plic able, the a dd ress to w hic h the tena nt will be reloc ate d ;

    (3) if ap p lic ab le, the d ate on w hic h the mo ve-in inspe c tion w ill be c om pleted ; and (4)

    if ap plic ab le, the d ate that the te nant will rec eive keys to his/ her unit.

    Proc essing Tenant Mov ing Cost Reimbursem ent Claims

    To support c la ims for reloc a tion, the tena nt must p rov ide d oc ume nta tion, including b ills,c ertified p rices, app ra isa ls and othe r evidenc e o f expenses. In add ition:

    Ow ners must p rov ide reasona b le a ssistanc e ne c essa ry to c om p lete and filetena nts c la ims for payment.

    Mov ing c ost reimbursements shall be m ad e up on rec eipt o f billing do c umenta tionfrom the te nant.

    Ow ners must p rov ide expe d ited return of sec urity deposits or allow tena nts toapp ly sec urity deposits to the last m onth s rent.

    Ow ners must ma ke ad vanc ed pa yments, if a tenant d em onstrate s the nee d , inorder to avo id o r red uce a hardship.

    If the ow ner disapprove s a ll or pa rt of a p ayme nt c la ime d o r refuses to c onsiderthe c la im on its me rits bec ause of unt imely filing or othe r grounds, it sha ll promp tly

    notify the c la imant in writing o f its dete rmina tion, the b asis for its dete rmina tion a nd

    the proc ed ures for ap pea ling tha t dete rmination.

    An ow ner shall not p rop ose o r req uest tha t a d isplac ed tena nt waive his or herrights or entitlem ents to reloc a tion a ssistanc e and bene fits.

    Owner s Responsibility to VHDA

    At Reservation Ap p lica tion and / or 120 days p rior to c om me nc ing reha b , ow ners a re req uired

    to submit a Renovation and Relocation Plan (the Plan) to VHDAs Tax Cred it Alloc a tion

    Depa rtment and make cop ies ava ilab le to tenants. The Plan should b e p rop erty spe c ific ,c omp rehensive, upd ated as c hange s are ma de and include, at a m inimum:

    1. The nam e, add ress and c ontac t pe rson for the ow ner and ma nag eme nt co mp any2. The sc op e o f the wo rk to be c om p leted , pha sing, inc luding estima ted time tab les3. Planne d measures to minimize c onstruc tion imp ac t on oc c upied units4. Projec ted rents and renta l polic ies a fter reha b , if ap p lica b le5. Advisory servic es to b e o ffered , if pe rma nent reloc a tion

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    Page 6 of 6

    REQUIRED NOTICE WHEN BUILDINGS UNDERGO CHANGE

    Sec tion 55-222 of the Co de o f Virginia requires 120 da ys not ic e to tena nts being va c a ted

    from any building containing at least 4 residential units, if the building is to be renovated,

    demolished, sold on a contract requiring an empty building, or converted to hotel, motel,

    apartment hotel, or other commercial use. Furthermore, the Virginia Condominium Act

    req uires in Sec tion 55-79.94(b), as amended in 1980, tha t tena nts of a ll c om p lexes being

    c onverted to c ondo miniums be given 120 days notic e to vac ate.

    For buildings containing fewer than 4 residential units, VHDA requires the same 120-day

    vac ate no tic e to tenants.

    Virginia Cod e Sec tion 55-222

    A TENANCY FROM YEAR TO YEAR MAY BE TERMINATED BY EITHER PARTY GIVING THREEMONTHS' NOTICE, IN WRITING, PRIOR TO THE END OF ANY YEAR OF THE TENANCY, OFHIS INTENTION TO TERMINATE THE SAME. A TENANCY FROM MONTH TO MONTH MAY BE

    TERMINATED BY EITHER PARTY GIVING 30 DAYS' NOTICE IN WRITING, PRIOR TO THE NEXTRENT DUE DATE, OF HIS INTENTION TO TERMINATE THE SAME. HOWEVER, 120 DAYS'WRITTEN NOTICE IS REQUIRED IF THE TERMINATION IS DUE TO REHABILITATION OR ACHANGE IN THE USE OF ALL OR ANY PART OF A BUILDING CONTAINING AT LEAST FOURRESIDENTIAL UNITS. CHANGES SHALL INCLUDE BUT NOT BE LIMITED TO CONVERSION TOHOTEL, MOTEL, APARTMENT HOTEL OR OTHER COMMERCIAL USE, PLANNED UNITDEVELOPMENT, REHABILITATION, DEMOLITION OR SALE TO A CONTRACT PURCHASERREQUIRING AN EMPTY BUILDING. THIS 120-DAY NO TICE REQUIREMENT SHALL NO T BEWAIVED; HOWEVER, A PERIOD OF LESS THAN 120 DAYS MAY BE AGREED UPON BYBOTH THE LANDLORD AND TENANT IN A WRITTEN AGREEMENT SEPARATE FROM THERENTAL AGREEMENT OR LEASE EXECUTED AFTER SUCH NOTICE IS GIVEN AND

    APPLICABLE ONLY TO THE 120-DAY NOTICE PERIOD. WHEN SUCH NO TICE IS TO THETENANT IT MAY BE SERVED UPON HIM OR UPON ANYONE HOLDING UNDER HIM THELEASED PREMISES, O R ANY PART THEREOF. WHEN IT IS BY THE TENANT IT MAY BE SERVEDUPON ANYONE WHO, AT THE TIME, OWNS THE PREMISES IN WHOLE OR IN PART, OR THEAGENT OF SUCH OWNER, OR ACCORDING TO THE COMMON LAW. THIS SECTIONSHALL NOT APPLY WHEN, BY SPECIAL AGREEMENT, NO NO TICE IS TO BE GIVEN; NORSHALL NOTICE BE NECESSARY FROM OR TO A TENANT WHOSE TERM IS TO END AT ACERTAIN TIME.

    THE WRITTEN NOTICE REQUIRED BY THIS SECTION TO TERMINATE A TENANCY SHALL NOT BE

    CONTAINED IN THE RENTAL AGREEMENT OR LEASE, BUT SHALL BE A SEPARATE WRITING.

    * * * * * * * * * * * *

    http://leg1.state.va.us/cgi-bin/legp504.exe?000+cod+55-222http://leg1.state.va.us/cgi-bin/legp504.exe?000+cod+55-222
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    TAB H(PHA/Section 8 Notification Letter)

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    TAB I(Local CEO Letter)

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    TAB J(Homeownership Plan)

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    SECTION

    NOT

    APPLICABLE

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    TAB K(Site Control Documentation-

    Documentation of Most Recent Real Estate

    Tax Assessment Acq. Rehab. Only)

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    EXHIBIT A

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    TAB L(Plan of Development Certification Letter)

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    SECTION

    NOT

    APPLICABLE

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    TAB M(Zoning Certification Letter)

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    170/227

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    EXHIBIT A

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    TAB N(Copies of 8609s To Certify Developer Experience)

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    8609 Summary w/Unit #s (Certify Developer Experience)

    Development Name No Units

    Oxford Square Apartments 87

    Tazewell Square Apartments 56

    Hunters Blind Apartments 24

    Indian Hills Apartments 60

    Morgan Hills Apartments 48

    Kings Square Apartments 28

    TOTAL NUMBER 8609 UNITS 303

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    TAB Q(Documentation of Rental Assistance)

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    187/227

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    TAB R(Documentation of Operating Budget)

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    195/227

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    TAB S(Documentation of Project Budget)

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    200/227

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    201/227

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    TAB T

    (Documentation of Financing Sources)

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    TAB U(Documentation include any as applicable to development:)

    To Request Exception To Restriction-Pools With Little/No Increase In RentBurdened Population

    Of site location in an urban development area as defined in 15.2-2223.1 of theCode of Virginia

    Of the development participating in a locally adopted affordable housingdwelling unit program area as described in either 15.2-2304 or 15.2-2305 of

    the Code of Virginia

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    SECTION

    NOT

    APPLICABLE

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    TAB V

    (Nonprofit or LHA Purchase Option or Right of First Refusal)

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    SECTION

    NOT

    APPLICABLE

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    TAB W

    (Original Attorneys Opinion)

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    TAB Y(Marketing Plan for units meeting accessibility

    requirements of HUD section 504)

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    1

    Woods Landing Apartments

    Marketing Plan for Units Which Conform to

    Section 504 of the Rehabilitation Act

    This Marketing Plan for Units Which Conform to Section 504 of the Rehabilitation Act (the MarketingPlan) has been designed to convey to current and potential residents with disabilities that Woods LandingApartments will be a new rental housing experience, with a commitment to excellent management andresident service, as well as an expectation of resident responsibility. Therefore, the majority of this planwill address ways in which property management will endeavor to secure qualified tenants, ensure qualitytenancy, and effective management and maintenance of the property.

    The Management Agent will be responsible for the management of Woods Landing Apartments. GEMManagement Inc. (GEM), the Management Agent, will be responsible for all of the traditional managementfunctions, including rent collection, maintenance, record keeping, reports, development of budgets, andmonitoring resident income qualifications. Additionally, GEM Management will be responsible for thedevelopment and management of community and resident services program.

    I. Affirmative Marketing

    GEM is pledged to the letter and the spirit of the U.S. policy of the achievement of equal housingopportunity throughout the Nation and will actively promote fair housing in the development andmarketing of this project. GEM, its Officers, Directors and employees will not discriminate on the basis ofrace, creed, color, sex, religion, familial status, elderliness, disability or sexual orientation in its programsor housing. They will also comply with all provisions of the Fair Housing Act (42 U.S.C. 3600, et. Seq.).

    Any employee who has discriminated in the acceptance of a resident will be subject to immediatedismissal. All persons who contact the office will be treated impartially and equally with the only

    qualification necessary for application acceptance being income and credit, and conformity with therequirements of the Section 8 Program and Tax Credit programs. All interested parties will be provided acopy of the apartment brochure. Any resident who has questions not answered by the housing staff will bereferred to the Regional Director or the Director Property Management of GEM Management.

    Any unit which is designated as a unit for people with disabilities and that conforms to Section 504 of theRehabilitation Act will be held vacant for sixty day (60). GEM Management will document its marketingefforts to find households with qualified disabilities. If a qualified tenant is not found, the marketingevidence will be submitted to VHDA. VHDA may then allow the property management company to acceptapplicants that are qualified households that agree to sign a waiver stating that they agree to move to thenext available unit should a qualified 504 tenant apply.

    II. Marketing and Outreach

    Locating people with disabilities to occupy the units which conform to the requirements of Section 504 ofthe Rehabilitation Act will be accomplished as follows:

    1. Networking

    GEM will contact local centers for independent living and disability services boards and other serviceorganizations via phone and printed communication. The contacts will include the following organizations:

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    2

    Department of Rehabilitative Services (276) 676-5565

    Virginia Senior Navigator (804) 525-7728

    People Incorporated of Southwest VA (276) 623-9000 Virginia Board for People with Disabilities (804-786-0016) Virginia Vocational and Rehabilitation Agency (804-662-7000) Centers for Independent Living

    - Disability Resource Center (540-373-2559)- Access Independence (540-662-4452)

    Virginia Rehab Association (804-662-7075)

    2. Print Media

    Print media sources will also be identified in the Town of Damascus / Washington County area that cater topeople with disabilities as well as the public at large. These sources may include, but are not limited to,rental magazines such as the Apartment Shoppers Guide, Apartments For Rent, local newspapers, etc.. Alladvertising materials related to the project will contain the Equal Housing Opportunity logotype, slogan orstatement, in compliance with the Fair Housing Act, as well as the fact the units for people with disabilitiesare available.

    3. Resident Referrals

    An effective Resident Referral program will be set up, in which current residents are rewarded for referringfriends, coworkers, and others who may have disabilities to the property. These referrals are generally thebest form of advertising as it attracts friends who will want to reside together, thus binding the community.Residents will be offered incentives, to be determined, for referring qualified applicants who rent atthe property. Flyers will be distributed to residents along with the project newsletter announcing thetenant referral program.

    4. Marketing Materials

    Additional marketing materials are needed in order to further support the specific marketing effort topeople with disabilities. All printed marketing materials will include the EHO logo. The marketing willalso emphasize the physical and administrative compliance with Americans with Disabilities Act.

    These marketing materials include:

    Brochures A simple, two color brochures can be produced at low cost which will effectivelysell the apartments and community. This brochure will include the floor plans, a listing of featuresand amenities. The floor plans should be printed in as large a format as possible.

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    3

    Flyers - As mentioned earlier, a flyer campaign can be used effectively to market thecommunity. Each flyer should incorporate graphics as well as a small amount of copy and shouldbe designed to generate traffic.

    Resident Referral - The least expensive form of advertising is through Resident Referrals. Aflyer should be created and distributed to all residents. ($50 per referral, paid upon move in). Inaddition to being distributed to all residents, the referral flyer should be left in the Managementoffice and should be included in the move in packet. (People are most inclined to refer theirfriends in the first few weeks of their tenancy.) The flyers should be changed several times eachyear to reflect the season or any type of special referral program.

    III. Public and Community Relations

    Equal Housing Opportunity promotions - all Site Signage containing the EHO logo and Fair Housing

    posters are displayed in English and Spanish in the Rental Office. GEM Management encourages andsupports an affirmative marketing program in which there are no barriers to obtaining housing because of

    race, color, religion, national origin, sex, elderliness, marital status, personal appearance, sexual orientation,

    family responsibilities, physical or mental handicap, political affiliation, source of income, or place of

    residence or business.

    Additionally, a public relations program will be instituted to create a strong relationship betweenmanagement and local disability organizations, neighborhood civic organizations, churches, mosques, andsynagogues, city officials, and other sources of potential qualified residents still to be identified.

    IV. Tenant Selection and Orientation

    The first contact with the management operations is an important one in attracting qualified residents;therefore the management/leasing offices should convey a sense of professionalism, efficiency, andcleanliness. The management/leasing office is designed to provide a professional leasing atmosphere, withspace set aside specifically for resident interviews and application assistance. The leasing interviews will beused to emphasize the respect afforded to the resident and the responsibilities which the resident will beexpected to assume.

    Times of Operation - the Woods Landing Management Office will be open Monday through Friday from8:00 A.M. 4:30 P.M. Applicants will be processed at the Management Office in accordance withapproved criteria. Move-in process and orientation to property - applicants meet with the Housing Manageror designated staff to discuss programs available on the property and will be supplied relevant informationto assist them in their move.

    On-site staff will check previous landlord and personal references, verify income, perform criminal/sexoffender and credit background checks for each application taken. Tenant Selection will include minimumincome limits assigned by the Owner. New tenants will be given an orientation to the property including areview of the rules and regulations, information on the area, proper use of appliances, move-out procedures,maintenance procedures, rent payment procedures, energy conservation, grievance procedures and a reviewof the Lease documents.

    Tenant Selection Criteria

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    4

    Tenant Selection will include maximum income standards under the Low-Income Tax Credit and Section 8programs. New tenants will be given an orientation to the property including a review of the rules andregulations, information on the area, proper use of appliances, move-out procedures, maintenanceprocedures, rent payment procedures, energy conservation, grievance procedures and a review of the Leasedocuments.

    Application Processing

    Application processing will be done by the housing staff at the Management Office, well versed in FairCredit Law. As stated before, the processing will include a review of prior landlord references, personalreferences, criminal/sex offender and credit reporting and income verification. The on-site staff will makefurther review for inaccuracies in the application.

    The annual income and family composition are the key factors for determining eligibility. However, theProperty Manager will also use the following criteria in selecting applicants for occupancy:

    Applicants must be individuals, not agencies or groups. Applicants must meet the current eligibility income limits for tax credits and any other program

    requirements.

    Note- If the applicant's denial is based upon a credit report, the applicant will be advised of thesource of the credit report in accordance with the Federal Fair Reporting Act. Guidelinespublished by the Federal Trade Commission suggest that apartment managers fall under theprovisions of the Act and are obligated to advise the person refused an apartment for creditreasons, the name and address of the credit reporting firm in writing. The credit report will not beshown to the applicant, nor will specific information be revealed.

    We process the Rental Applications through a credit bureau to determine the credit worthiness ofeach applicant. If the score is below your threshold, but you have determined the applicant has nobad credit and no negative rental history and no criminal history and enough income to qualify,then you can conditionally approve the application after you have contacted the prior landlord. Inthese cases, the application must be reviewed by the Associate Director before final approval.

    We process the Rental Application through a credit bureau to determine any possible criminalconduct. Convictions will be considered, regardless of whether "adjudication" was withheld. Acriminal background check will be used as part of the qualifying criteria. An applicant willautomatically be denied if;

    There is a conviction for the manufacture, sale, distribution, or possession with the intentto manufacture, sell or distribute a controlled substance within the past five years.

    There is evidence in the criminal history that reveals that the applicant has developed apattern of criminal behavior, and such behavior presents a real or potential threat to

    residents and/or property.

    The application will be suspended if an applicant or member of the applicant's family hasbeen arrested for a crime but has not yet been tried. The application will be reconsidered,

    within the above guidelines, after such legal proceedings have been concluded.

    Applicants must provide complete and accurate verification of all income of all family members.The households annual income may not exceed the applicable limit and the household must meetthe subsidy or assisted Income Limits as established for the area in which Woods LandingApartments is located. The annual income is compared to the areas Income Limits to determineeligibility.

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    Family composition must be compatible for units available on the property. Applicants must receive satisfactory referrals from all previous Landlords. Applicants must provide verification of full-time student status for all individuals listed on the

    application as full-time student for tax credit units.

    Applicants must not receive a poor credit rating from the Credit Bureau and other credit reportingagencies and must demonstrate an ability to pay rent on time.

    Applicants must provide a doctor's statement and/or other proof of any handicap or disability ifrequired.

    Applicants must provide a birth certificate or other acceptable HUD approved forms of