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HomeMy WebLinkAboutCOM 0132.000 2024-2026C. Vjmo Alameda, Ph.D. Mayor William V. Brilhante, Jr. Managing Director Merrick Nishimoto Deputy Managing Director Kehaulani M. Costa Housing Administrator Keiko M. Mercado Assistant Housing Administrator County of Hawai'i Office of Housing and Community Development 1990 Kino'ole Street, Suite 102 - Hilo, Hawai'i 96720 (808) 961-8379 - Fax (808) 961-8685 Existing Housing: (808) 959-4642 Fax (808) 959-9308 Kona: (808) 323-4300 - Fax (808) 323-4301 TRANSMITTAL MEMORANDUM January 30, 2025 TO: Dr. Holeka Goro Inaba, Council Chair And Members of the Hawai'i County Council FROM: Kehaulani M. Costa Housing Administrator SUBJECT: ORDINANCE 23-20 RELATED TO AFFORDABLE HOUSING AFFORDABLE HOUSING AGREEMENT COPIES/ITEMS I DATE I DESCRIPTION One (1) copy 1/28125 Affordable Housing Agreement for Hikina Lani Development, RJL LLC TRANSMITTED FOR: Z Your information and files Fj Your approval F-1 Your signature and return F-1 Your review and comments F-1 Your signature and forwarding M See remarks below as noted below El Returning to you El Per your request REMARKS: Pursuant to Hawai'i County Code Section 11.19(a) Affordable Housing Agreements, within thirty calendar days following the date of execution of any Affordable Housing Agreement executed in satisfaction of this chapter, the Housing Administrator shall submit a copy of the Affordable Housing Agreement to the Council Enclosed is an executed Affordable Housing Agreement for Hikina Lani Development by RJL LLC (Developer) and filed with the Bureau of Conveyances on January 28, 2025. Should you have any questions please contact our office at (808) 961-8379. Thank you. 3540pkrr C o rn rn o IFE R-I' I --- EQUALHOU OPPORTu DEB - 5 2025 0 F STATE OF HAWAII 1959 BUREAU OF CONVEYANCES RECORDED January 28, 2025 8:01 AM Doc No(s) A - 9159000109 L9 Return By Mail X Pick -Up To: RJC LLC TG:AC7311511195P 32 POKO PLACE HILO, HI 96720-2238 AFFORDABLE HOUSING AGREEMENT DEVELOPER: RJL LLC, a Hawaii Limited Liability Company, whose principal place of business and mailing address is 32 Poko Place, Hilo, Hawaii, 96720-2238 COUNTY: COUNTY OF HAWAI'I, a municipal corporation of the State of Hawaii, whose principal place of business and mailing address is 25 Aupuni Street, Hilo, Hawaii 96720 TAX MAP KEY(S): (3) 2-4-039:025 (This document consists of � pages.) AFFORDABLE HOUSING AGREEMENT 0Iik/ This Agreement is made and effective this � day a.'Smu" 2,024 by and between RJL LLC, a Hawaii Limited Liability Company, hereinafter refetred to as "Developer", whose principal place of business and mailing address is: 32 Poko Place, Hilo, Hawaii 96720- 2238, and the COUNTY OF HAWAVI, a municipal corporation of the State of Hawaii, hereinafter referred to as "County", whose principal place of business and mailing address is 25 Aupuni Street, Hilo, Hawaii 96720. 1910111MV WHEREAS, the Developer proposes to develop approximately thirty three (33) finished housing lots on approximately thirteen and one half (13.838) acres of real property situated off of Haihai and Ainaola Streets in Hilo, District of South Hilo, County and State of Hawaii identified as TMK: (3) 2-4-039-.025 (hereinafter the "Project"), and more particularly described in Exhibit "A" attached hereto and made part of; and WHEREAS, on October 4, 2022, the County's Change of Zone Ordinance No. 22-100 ("Ord. 22- 100") became effective, amending the zoning of the Affordable Housing Site from Agricultural — Three Acres (A-3a) to Single Family Residential — 15,000 square feet (RS-1 5) subject to Condition "U", which provides for the development of affordable housing lots as, follows: U. To ensure that the Goals and Policies of the Housing Element of the General Plan are implemented, the applicant shall comply with the requirements of Chapter 11, Article 1, Hawaii County Code relating to Affordable Housing Policy. This requirement shall be approved by the Administrator of the Office of Housing and Community Development prior to Final Subdivision Approval. WHEREAS, the Developer has evaluated the various options available for satisfying the requirements of Chapter 11, Article 1, HawaN County Code ("Chapter 11"); and 33]4pkrr WHEREAS, Hawaii County Code ("HCC") Section 11-5(a)(7) provides that the affordable housing requirements can be satisfied by obtaining affordable housing excess credits from another developer pursuant to HCC Section 11-15; and WHEREAS, the Developer proposes to satisfy the Project's affordable housing requirements through the acquisition of six and one-half (6.5) affordable housing excess credits ("excess credits") in accordance with HCC Section 11-5(a)(7); and WHEREAS, the Developer has alternatively purposed, in the event the Developer is not able to acquire six and one-half (6.5) excess credits, to satisfy the affordable housing requirement by constructing and selling a total of seven (7) affordable finished lots in accordance with HCC Section 11-5(a)(2); and WHEREAS, Chapter 11, relating to Affordable Housing Policy, authorizes the Mayor, the Office of Housing and Community Development ("OHCD") or their duly authorized representative to enter into this Agreement with the Developer to perform one or any combination of the options for satisfaction of the affordable housing requirements contained within HCC Sectionl 1-5; and NOW, THEREFORE, in consideration of the mutual covenants in this Agreement, and pursuant to Chapter 11, the parties hereby agree as follows: I. Developer Representations and Warranties Developer hereby represents and warrants following: l . At the time of execution of this Agreement, Developer has good and marketable fee -simple title to the Property, subject only to such encumbrances set forth on Exhibit "A" hereto. 2. Developer is qualified to transact business under the laws of the State of Hawaii and has the full legal right, power and authority to execute this Agreement. --2- 3314pkrr 3. The execution and performance of this Agreement by the Developer will not violate or, as applicable, have not violated any provision of law, rule or regulation or any order of any court or other agency or governmental body. 4. Developer will not knowingly take or permit any action that would result in a violation of the requirements of Chapter 11 of the Hawai` i County Code and. applicable regulations or this Agreement. Further, the Developer will comply with all applicable County, State, and Federal laws, rules, regulations, and requirements. 5. Developer plans on satisfying the affordable housing requirements of the Project utilizing the options set forth in this Agreement, summarized as: Option 1: Complete the acquisition of excess credit(s) from a third party developer(s) for a total of six and one-half (6.5) excess credits which have been verified with written approval by OHCD and recorded with the BOC; or Option 2: Complete the sale of a total of seven (7) lots, six (6) Lots at the eighty percent (80%) adjusted medium income (AN41) level earning one Credit each, and one (1) lot at the one hundred percent (100%) adjusted medium income (AMI) level earning a one-half credit for a total of six and one-half (6.5) credits. II. OPTION 1: Satisfaction by Acquisition and Redemption of Excess Credits 1. Excess Credit Verification. The Developer shall notify the OHCD in writing of its request to use excess credits obtained from a specific Developer whose project has earned excess credits for their use. OHCD shall verify the eligibility of the credits to be purchased from a third party to meet the Developer's housing condition including the 15-mile radius restriction per HCC Section 11-15 and HCC Section 11- 15 (c), and Hawaii Revised Statutes (HRS) Section 46-15.1(b). OHCD shall provide written notification to the Developer of the proposed excess credits eligibilty or non-eligibilty of use for the Project location. 3- 3314pkrr 2. Excess Credit Use. Upon closing of the Developer's purchase of six and one-half (6.5) excess credits from a third party, which were verified by the OHCD as eligible for use for the Project: a. OHCD will acknowledge and approve the third party's Transfer Agreement of the affordable housing excess credits to Developer; and b. Developer is responsible for recording: the Transfer Agreement with the State of Hawaii Bureau of Conveyances (BOC) within 15 days of OHCD's approval, failure to record the Transfer Agreement will null and void this County's approval; and c. Developer shall provide a copy of the recorded Transfer Agreement to OHCD within 30 days; and d. Upon recordation, Developer will be entitled to use the affordable housing excess credits to satisfy the affordable housing requirements for the Project; 3. Redemption of Excess Credits. Upon OHCD's approval of Developer's purchase of the six and one-half (6.5) excess credits, said excess credits will be redeemed by OHCD in satisfaction of the affordable housing requirement of the Project as thirty three (33) finished housing lots development of TMK: (3) 2-4-039:025. 4. Timeline. Developer shall have one hundred eighty (180) days from the date of execution of this Agreement to obtain excess credits deemed eligible for the Project by ONCD. if the Developer does not obtain excess credits deemed eligible for the Project by OHCD during this time period, Developer shall complete satisfaction of the Project's affordable housing requirements by completing the terms outlined in Option 2. —4- 3314pkrr T.H. OPTION 2: Satisfaction by the Sale of 7 Affordable Finished Lots In the event Developer is unable to acquire six and one-half (6.5) excess credits in compliance with HCC Chapter 11, as approved by the Housing Administrator, the Developer agrees to meet the affordable housing requirement of the Project, as follows: 1. Development of the Property. Developer is responsible for completing the development of thirty three (33) finished lots with road access drainage, water, electricity, sewer lines, if required, and telephone. As required by HCC Section 11-5(a)(2), the entire Project will be marketed as finished lots. Seven (7) of the thirty-three (33) finished lots will be designated to be sold as an affordable finished lot ("Affordable Lots"), subject to the approval of the Housing Administrator. The Affordable Lots shall not have unusual site conditions that make it difficult to build a home, in accordance with HCC Section 1I- 5(b). Until such time as the conditions set forth in this Agreement are satisfied, the provisions of this Agreement and the requirements to provide the Affordable Lots shall be binding on the Property. Designated Affordable Lots. Developer hereby agrees to construct the following Affordable Lots within the Project site, and to sell those lots exclusively to the indicated Income Eligible Buyer(s) at an Affordable Sale Price: Number of Lofts Income Eligible Buyers Credits Earned per Unit 6 No more than 80% AMI 1.0 1 No more than 100% AMi .5 The calculations above are pursuant to HCC Section I 1-5(d)(2). —5- 3314pkrr A. The designated Affordable Lots shall be acceptable to and approved by the Housing Administrator in writing prior to the sale of market finished lots. B. The designated Affordable Lots shall be of comparable area (square feet) as the market lots, and be completed with road access drainage, water, electricity, sewer lines, if required, and telephone, and shall not have unusual site conditions that make it difficult to build a home. C. If the designated Affordable Lots on the Project site is intended to be developed and marketed in more than one development phase, then at least twenty percent (20°/n) of the lots offered in each phase shall be designated as Affordable Lots. D. Developer may subsequently change the Affordable Lot designation within a Phase if acceptable to and approved by the Housing Administrator and meets all of the requirements outlined in Section B. Changes to the Affordable Housing Lot designation shall not be unreasonably withheld. Any subsequent change to the Affordable Lot designation will be approved in writing. 3. Sale of Affordable Lots. Developer shall comply with the procedures and guidelines outlined by OHCD in relation to the sale of the Affordable Lots. All sales of the Affordable Lots will include a Warranty Deed rider that will outline the affordability period and resale restrictions as required by Chapter 11 and the Housing Administrator. 4. Timeline. If Developer is not able to obtain excess credits as outlined in Option 1, the Developer shall complete the construction of the Project, and sell the Affordable Lots to Income Eligible Buyers within five (5) years from the date of execution of this Agreement. Developer can request an extension of this timeline, subject to the approval of the Housing Administrator. If an extension is granted, such extension will be memorialized in an amendment to this Agreement. IV. General Terms That Apply to This Agreement 1. Completion of Performance; Release. Completion of performance of the affordable housing requirements requires the construction and sale of the thirty three (33) finished w6- 3314pkrr housing lots. Upon satisfaction, a Release of the Agreement or Partial Release of this Agreement, as applicable, shall be executed by the parties hereto and filed by the Developer with the Bureau of Conveyances, or with the Land Court of the State of Hawaii, as applicable, within thirty (30) days of execution. 2. Changes in Development Plans. Any change in the development plans may change the number of excess credits or finished housing lots required to fully satisfy the affordable housing requirements of the Project located at TNIK: (3) 2-4-039:025. If the development plans for the Project located at TMK: (3) 2-4-039:025 change, Developer will renegotiate the terms of satisfying the affordable housing requirements and agree to the amendment of this Agreement as necessary to comply with the Code, any and all applicable rules, regulations, policies, procedures, rulings or other official statements pertaining to the implementation of HCC Chapter 11. 3. Amendment. The Developer agrees that it will take all actions necessary to effect amendment of this Agreement as may be necessary to comply with the Code, any and all applicable rules, regulations, policies, procedures, rulings or other officials statements pertaining to the implementation of Chapter 11, the Affordable Housing Policy, as may be amended. 4. Termination. Immediately upon termination, lapse, disapproval or revocation (as applicable) of Developer's final subdivision approval, or plan approval, this Agreement shall, without further action on the part of any party hereto, terminate and be of no further force or effect. 5. Breach-, Enforcement of Restrictions Developer acknowledges that the purpose of this agreement is to ensure compliance of the Project and Developer with Chapter 11, Affordable Housing Policy, and the applicable rules and regulations. BY REASON THEREOF, THE OWNER HEREBY AGREES, THAT ANY BREACH OF THE AFFORDABILITY PROVISIONS, IF OPTION 2: SALE OF AFFORDABLE LOTS IS -7- 3314pl= REQUIREMENTS OF AN INCOME ELIGIBLE BUYER SHALL BE ENTITLED, IN ADDITION TO ALL OTHER REMEDIES PROVIDED BY LAW OR IN EQUITY, TO ENFORCE SPECIFIC PERFORMANCE BY THE DEVELOPER UNDER THIS AGREEMENT IN A COURT OF COMPETENT JURISDICTION. The Developer hereby further specifically acknowledges that the beneficiaries of the Developer's obligations hereunder cannot be adequately compensated by monetary damages in the event of any default hereunder. In the event the designated Affordable Lots are not sold at the Affordable Sale Price as indicated in this agreement, the County shall have the right to: (i) require the Developer to remit to the County all proceeds above the delineated Affordable Sale Price for the designated Affordable Lot(s), such proceeds will go to the Affordable Housing Production Fund; or (ii) enforce specific performance of the sale of an unsold market finished lot at the Affordable Sale Price to an Income Eligible Buyer following the procedures and restrictions outlined by OHCD; or (iii) purchase from the Developer any unsold market finished lot, equivalent to the designated Affordable Lot(s) that was not sold at the Affordable Sale, for a purchase price of ONE AND NO/100 DOLLARS ($1.00). 6. Recordation. This Agreement shall run with the land and be binding upon and inure to the benefit of the parties hereto, and their respective successors and assigns. This Agreement shall be recorded against the land by the Developer at the BOC or with the Land Court of. the State of Hawaii as applicable, within thirty (30) days after being fully executed by the parties. The parties agree to take such actions and execute whatever other documents as are necessary to effectuate and carry out the intent of this Agreement. 7. Agreement Binding Upon Successors. This Agreement shall run with the land and be binding upon and inure to the benefits parties hereto, their respective successors and assigns. Any subsequent owner of all or any portion of the Project shall, without any 3314pkff further action being required, assume all obligations of the Developer hereunder. 8. Prior Agreements. This Agreement supersedes all other agreement and understandings (whether oral or written) made heretofore or contemporaneously herewith by the parties on the subject matter hereof. The provisions of this Agreement may not be modified, altered, or changed except by another written instrument executed by the parties hereto. 9. Entire Agreement. This Agreement constitutes the entire agreement between the parties and integrates all of the terms and conditions mentioned herein or incidental hereto and supersedes all negotiations or previous agreements between the parties regarding all or any part of the subject matter thereof. Each party to this agreement acknowledges that no representations, inducements, promises or agreements, orally or otherwise, have been made by any party, or anyone acting on behalf of the party, which are not embodied herein, and that any other agreement, statement, or promises not contained in this Agreement shall not be valid or binding. This Agreement may only be amended by written instrument signed by both the County and Owner. 10. Records Availability and Retention. Developer shall submit any information, documents, or certifications requested by OHCD as deemed reasonably necessary to substantiate the Developer's continuing compliance with the provisions this Agreement. Developer will retain all records pertaining to the compliance of this Agreement for ten (10) years after full release from this Agreement. 11. Severabili y. If any term, provision, or covenant of this Agreement is held by a court of competent jurisdictions to be invalid, void or otherwise unenforceable, the remaining terms, provisions, and covenants of this Agreement shall remain in full force and effect and shall in no way be affected, impaired, or invalidated. 12. Fair Housing. Notwithstanding anything else herein, the Developer agrees to comply fully with the requirements of the Fair Housing Act as it may from time to time be -q- 3314pkrr amended. 13. Governing Law. The Agreement shall be governed and construed in accordance with the laws of the State and County of Hawaii. No action or proceeding involving this Agreement shall be commenced by either party except in the Circuit or District Courts of the Third Circuit, County of Hawaii, State of Hawaii; nor shall any action commenced in such court be removed or transferred to any other state or federal court. 14. Notices and Demands. All notices to be given pursuant to this Agreement shall be in writing and shall be deemed given when mailed by certified or registered mail, return receipt requested, to the parties hereto at the addresses set forth below, or to such other place as a party may from time to time designate in writing. To the County: Housing Administrator Office of Housing and Community Development 1990 Kino`ole Street, Suite 102 Hilo, Hawaii 96720 To the Developer: RJL LLC ATTN: Roland Higashi 32 Poke, Place Hilo, Hawaii 96720-2238 The OHCD and the Developer may, by notice given hereunder, designate any further or different address to which subsequent notices, certificates or other communications shall be sent. 15. Ethical Considerations. It is mutually agreed that as a condition of this Agreement, neither the Developer nor any subcontract consultant shall employ in his performance any person, either on a part-time or on a full-time basis, for the performance of any of the work required or contemplated -1a- 3314pkrr by this Agreement who is an employee of the County of Hawaii during the period of this Agreement without an advisory opinion from the County ofHawai`i Board of Ethics confirming there is no conflict of interest with such employment. 16. No Party the Drafter. The parties agree that no party shall be deemed to be the drafter of this Agreement, and further that in the event this Agreement is ever construed by a court of law, such court shall not construe this Agreement or any provisions of this Agreement against any party as the drafter of this Agreement. 17. Title of Articles and Sections. In this Agreement, the headings are inserted for convenience, reference, and identification purposes only, and shall neither control, define, limit, alter, nor affect the matters contained in this Agreement or the paragraphs which they head. 18. Counterparts. This instrument may be executed in two or more counterparts, and when all counterparts have been executed, each counterpart shall be considered an original but when assembled shall constitute one and the same instrument and shall have the same force and effect as though all of the signatories had executed a single signature page. Any unexecuted duplicate pages may be omitted from the assembled original document. [TIC REMAIN -DER OF THIS PAGE IS INTENTIONALLY LEFT BLANK.] H 11 -r11� 3314pkrr IN WITNESS WHEREOF, the parties have executed these Presents on the date and year first above written. 16by-11. Kehaulani M. Costa Housing Administrator Office of Housing and Community Development Dated: „ 12 is IuLq APPROVED AS TO FORM AND LEGALITY: S is A.Wan Deputy Corporation Counsel Office of the Corporation Counsel County of Hawai' i Dated: I 63 2� "COUNTY": COUNTY OF HAWAPI Print Name: WILLIAM V. BRILHANTE, JR. Its: Managing Director Dated: JAN G 6 Z "DEVELOPER": RJL LLC A Hawai` i Limited Liability company Its: Dated: / /2&/ -12- 3314pkrr STATE OF HAWAI`I )SS. COUNTY OF HAWAI`I } On this 6' day of January, 2025, before me personally appeared WILLIAM V. BRILHANTE, JR., to me personally known, who, being by me duly sworn, did say that WILLIAM V. BRILHANTE, JR., is the Managing Director of the County of Hawaii, a municipal corporation of the State of Hawaii; that the foregoing instrument was signed on behalf of the County of Hawaii by authority given to said Mayor of the County of Hawaii by Section 5-1.3 and Section 13-13 of the County Charter, County of Hawaii (2024), as amended, and assigned by the Mayor to the Managing Director pursuant to Section 6-1.3(h) of the County Charter; and said WILLIAM V. BRILHANTE, JR., acknowledged said instrument to be the free act and deed of said County of Hawaii. Signature Emarie M.M. Carvalho Print or Type Name Notary Public, State of Hawaii My Commission Expires: 6-14-25 NOTARY CERTIFICATION Doc. Date: 1-6-25 No. of Pages: 26 Not Name Emarie M.M. Carvalho Third Circuit . Affordable Housing r Doc, Description: Agreement Re: TMK 2-4-039-025 x_ O 1-06-25 ; r ' •" { .; .} .y. Y ''. Notary Signature Date STATE OF HAWAI`I ) } ss. COUNTY OF HAWAI`I j On this 13th day of December, 2024, before me personally appeared Roland Higashi, Member of R.JL LLC, a Hawaii Limited Liability Company, to me personally known, who, being by me duly sworn or affirmed, did say that such person(s) executed the foregoing instrument as the free act and deed of such person(s), and if applicable in the capacity shown, having been duly authorized to execute such instrument in such capacity. r,/ IN fiot!ary Public, My commission expires: December 9, 2028 NOTARY CERTIFICATION Doc. Date: �r &Z No. of Pages: ZR Notary Name: Jennifer M. Kualii Doc. Description: AFFORDABLE HOUSING AGREEMENT TAX MAP KEY NO.: (3) 2-4-039:025 r Circuit: Third �`�ti,�giti4#�U'(g1�/1ljJJJt��� ft ZZ 3314pkrr 0 F a STATE OF HAWAII BUREAU OF CONVEYANCES RECORDED 40" January 28, 2022 12:44 PM Doc c No(s) A - 80630780 Doc 1 of 1 Is/ LESLIE T KOBATA Pk9 11954663 KEO REGISTRAR Conveyance Tax: $134.20 LAND COURT SYSTEM REGULAR SYSTEM Return by Mail (X) Pickup ( ) To: Nakamoto, Okamoto & Yamamoto (AMO) 187 Kapiolani Street Hilo, Hawaii 96720 TITLE OF DOCUMENT: CORRECTION AND CONFIRMATION DEED PARTIES TO DOCUMENT: Grantor: HILO ONE, INCORPORATED, a Hawaii corporation, whose address is 32 Poko Place, Hilo, Hawaii 96720; Grantee: RJL LLC, a Hawaii limited liability company, whose address is 32 Poko Place, Hilo, Hawaii 96720, Affects: TMK (3) 2-4-039-026 (Lot 1 -13- 1) TM K (3) 2-4-03 9-025 (Lot I -13-2A) RJ L L1,02021363— M22 01 14 Correction Deed This document contains I I pages. CORRECTION AND CONFIRMATION DEED KNOW ALL MEN BY THESE PRESENTS: WHEREAS, by Deed dated December 7, 2021, and recorded in the Bureau of Conveyances of the State of Hawaii as Document No. A-80120532, HILO ONE, INCORPORATED, a Hawaii corporation, as Grantor, conveyed all of its right, title and interest in the property designated as Tax Map Key No. (3) 2-4-039-026, being Lot I -B-1, Waiakea Homesteads, Second Series, Waiakea, South Hilo, IsWd of Hawaii, Hawaii, to RJL LLC, a Hawaii limited liability company, as Grantee; and WHEREAS, it was intended that said Deed would convey the property designated as Tax Map Key Nos. (3) 2-4-039-025, being Lot I -B-2A, Waiakea Homesteads, Second Series, Waiakea, South Hilo, Island of Hawaii, Hawaii, and WHEREAS, since the wrong property was conveyed by said Deed, the Grantor and the Grantee want to correct the conveyance as hereinafter set forth; The Grantor and the Grantee mutually agree that in consideration of the foregoing,,the Grantor and the Grantee do hereby confirm the conveyance of said real property bearing TMK (3) 2-4-039-025, by the Deed dated December 7, 2021 and recorded in the Bureau of Conveyances of the State of Hawaii as Document No. A-80120532, wherein HILO ONE, INCORPORATED, a Hawaii corporation, as Grantor, conveyed all of its right, title and interest in the property to RJL LLC, a Hawaii limited liability company, as Grantee; RJL LLM2021363—\2022 01 14 Correction Deed 2 NOW THEREFORE, the Grantor and the Grantee confirm and grant their respective interests as follows: That HILO ONE, INCORPORATED, a Hawaii corporation, whose address is 32 Poko Place, Hilo, Hawaii 96720, hereinafter called the Grantor, has sold and by these presents does hereby bargain, sell, assign, convey and transfer unto RJL LLC, a Hawaii limited liability company, whose address is 32 Poko Place, Hilo, Hawaii 96720, hereinafter called the Grantee, as tenant in severalty, all of its right, title and interest in the property described in Exhibit A attached hereto and by reference made a part hereof. TOGETHER, with all and singular the improvements, tenements, rights, easements, privileges, hereditaments and appurtenances thereunto belonging, or in anywise appertaining, and the reversion and reversions, remainder and remainders, rents, issues and profits thereof. TO HAVE AND TO HOLD the same unto the said Grantee, its successors and assigns, forever. And the said Grantor does hereby covenant to and with the said Grantee, its successors and assigns, that it is seized in fee of the said granted premises; that it has good right and lawful authority to sell and convey the same; that the same is free and clear of encumbrance of every kind and character, save and except as noted on said Exhibit A; and that it will and its successors and assigns shall WARRANT and DEFEND the title thereto against the lawful claims of all persons whomsoever. The parties hereto agree that this instrument may be executed in counterparts, each of which shall be deemed an original, and said counterparts shall together constitute one and the same conveyance, binding all of the parties hereto, notwithstanding all of the parties are not signatory to RIL LM2021363...12 U 01 14 Correction Deed 3 the original or sarne counterparts. For all purposes, including, without limitation, recordation, filing and delivery of this instrument, duplicate unexecuted and unacknowledged pages of the counterparts may be discarded and the remaining pages assembled as one document. IN WITNESS WHEREOF, the Grantor and the Grantee have executed these presents on 4h the Of day of jjftkat4A- ' "0 2022, HILO ONE, INCORPORATED By ROLAND HIGASFff-- Its President Grantor RJL LLC LAURIE HIGASHI Its Member Grantee RJL LLC12021363 ... \2022 01 14 Correction Deed 4 STATE OF HAWAII ) SS: COUNTY OF HAWAII On this IT' day of 2022, before me personally appeared ROLAND HIGASHI, to me personally known, OR whose identity I proved on the basis of Hawaii Driver License OR whose identity I proved ontheoath/affirmation of a credible witness, who, being by me duly sworn or affirmed, did say that such person executed the foregoing I I -page Correction Deed from Hilo One, Incorporated, to RJL LLC, affecting TMK (3) 2-4-039-026, TMK (3) 2-4-039-025, dated qA"tAA!25 114,1021 as the free act and deed of such person and if applicable in the capacity shown, having been duly authorized to execute such instrument in such capacity. A, (Seal) : Z NOTARY PUBLic Comm, No 18-434 ............ 10-"OF HiN 0" 0A j , I I t I % % � RJL LLC12021363 ... \2022 01 14 Correction Dad Notary Signature) TASHAS. HAI MOTO-LEITE Print Notary Name: Notary'Public, State of Hawaii Third Judicial Circuit My commission expires: STATE OF HAWAII ) SS: COUNTY OF HAWAII On this J* day of q6%AVA!M , _, 2022, before me personally appeared LAURIE HIGASHI, to rne personally known, OR whose identity I proved on the basis of Hawaii Driver License OR whose identity I proved on the oath/affirmation of a credible witness, who, being by me duly sworn or affirined, did say that such person executed the foregoing I I -page Correction Deed from Hilo One, Incorporated, to RJL LLC, affecting TMK (3) 2-4-039-026, TMK (3) 2-4-039-025, dated as the free act and deed of such person and if applicable in the capacity shown, having been duly authorized to execute such instrutnqnt in such capacity. NOTARY (Seal) Z PUBLIC Comm. No. ISA34 Of: RIL LLCU021363 ... \2022 0114 Cortection Deed Totary Signature) Print Notary Name: TASHA S. HAIMOTO-LEITE Notary Public, State of Hawaii Third Judicial Circuit My commission expires: EXHIBIT A LOT I-B-2A Being A Pori= of Grant 11,042. to Kikurrl-. Higa Maedo Waiakea Homesteads, Set�ond Series Situated at Waiakea. South Hilo. Wand of Hawaii, Hawaii Bleginning at the nottlywest corner of this parctrt of land, baing the northeast corner of Lot 1 -B-1, being also a portion of Grant 11.642 to Kikurnt Higa Maedo and -on the south side of Haihat Street, the coordinates of sad potrit of boginnvj referred to Governi-rent Survey Triangulabon Station 'HALM being 16,040.81 feet South and 367-95 feet East, therice running by azimuths; measured c!ockmse from True South: 1. 265* 4U 93078 feet aloregthe south s4eof Haihai Street*, 2. 28* 58' Ill 49 feel along the westerly sLde of Ainaola Drive-, 1 1191 41' 9240 feet along Camp 5-A: 4 29� 41 499 60 feet along Camp I-S-X 5 299" 41' 1 M 39 feet along Camp 5-A: 6 2 8' 14' 59" 60.42 feet along the westerly side of Ainaola Dflvo,, 7 29t 41' 385.07 feet along tha westerly side of Amacila Ofive, R. 299" 41' 5.00 feet along a)tg in Asnaola Drive: 9, 29" 41' 38.43 feet along the westerly side of Ainaola Drive, 10 120" 51' 23,28 feet Mang Lower Wiaiakea-Uka Tank Site*, 11 32" 02* 27.14 feet Wong Loy or Waiakea-Uka Tank Sfte: 12, 122" G2' 50M feet along Triangulation Station "TANK'Lat-, 13 32" 02' 50.00 feet along Triangulation Stali-on "TANK' Lot; LOT 1-8-2A Page 1 of 4 Pages, PUL LLC12021363—\2022 01 14 Carnation Deed 14. 122" 02' 217.20 feet along a portion of Grant 11,642 to Kikumi Higa Wlaedo: 15, 32* 02' 190,01 feet along a portion of Grant 11.642 to Kikumi Higa Maedo-, 16. 854 40' 297,86 feet along Lot 1-A, a portion of Grant 11,642 to Kikumi Higa Maedo; 17. 175' 40' 151.61 feet along Lot I -B-1; 1 a. 265" 40' 60.87 feet along Lot 1 -B- I-, ig. 175' 40' 99.60 feet along Lot 1-B-1; 20, 2W 40' 161.70 feet along Lot I-B-1; 21. 175' 40' 144-25 feet along Lot I-B-1.- 22, 2650 40' 11150 feet along Lot I -B- I and Road Lot', 21 175' 40' 50.00 feet along Road Lot: 24, 265' 40' 10,90 feet along Lot I-B-1-. 26, Thence along Lot 1-B-1. along a curve to the right with a radius of 475.00 feet the chord vimuth and distance being', 2699 09' 5732 feet; 27. 182' 36 110.32 feet along Lot 1-B-1: 28. 175" 40* 195,30 feet along Lot 1-8-1: 27. 85' 40' 58.90 feet along Lot 1-13-1; 28. 1750 40' 213-00 fact along Lot I-B-I to the point of beginning and containing an area of 13.838 Acres, more or less. LOT I -B-2A Page 2 of Vages RIL LLC12021363 . - \2022 01 14 Correction Dead 8 SUSJECT TO. a 5-ft. wide setback for future road widenino along Ainaola Drive as described in or disclosed by the instrument recorded July 7, 2011 as Regular System Document No. 2011-106466, RESERVING, EASEMENT 0-1 (is-ft. wide for drainage purposes), being described as follows: Beginning at the northwest corner of this easement parcel, the coordinates of said point of beginning referred to Government Survey Triangulation Station 'HALAI" being 16,203.34 feet South and 370.17 feet East, thence running by azimuths measured clockwise from 'true South: 1, 265" 40' 83.50 feet along the remainder of Lot 1-B-2A: 2. 355° 40' 15.00 feet along the remainder of Lot 1-B-2A: 3, 85' 40' 83-50 feet along the remainder of Lot 1-B-2A; 4_ 175' 40' 15.00 feet along Lot 1-B-1 to the point of beginning and containing an area of 1,253 Square Feet, more or less. Ri 51`RViNG ALSO, THERErkOM, Easoment 0-2 (15-ft. wide for drainage purposes), being described as follows: Beginning at the southwest comer of this easement parcel, being the southeast corner of Lot 1-B-1, a portion of Grant 11.642 to Kikumi Higa Maedo and on northerly boundary of Lot 1-A, a portion of Grant 11,642 to Kikumi Higa Maedo, the coordinates of said point of beginning referred to Government Survey Triangulation Station'HALAI" being 17,024.96 feet South and 82.33 feet East. thence running by azimuths measured clockwse from True South: 1. 175" 40' 15.00 feet along Lot 1-B-1: 2, 265" 40' 17.00 feet along the remainder of Lot 1-8-2A: 3. 355° 40' 15.00 feet along the remainder of Lot 1-B-2A; LOT 1-B-2A Page 3 of 4 Pages R!L LLCC2021363...\2022 01 14 Correction Dmi 9 4_ 85" 40' 17.00 feet along Lot 1-A, a portion of Grant 11,642 to Kikumi Higa Maedo to the point of beginning and containing an area of 255 Square Feet, more or less. AND RESERVING, ALSO, Easement'W-1 (15-ft. wide for waterline purposes), being described as follows: Beginning at the northwest corner of this easement parcel, the coordinates of said point of beginning referred to Government Survey Triangulation Station 'HALM" being 16,613.81 feet South and 274.38 feet East, thence running by azimuths measured clockwise from True South: 1. 265' 40' 15.00 feet along Lot 1-8-1; 2. 355' 40' 15.00 feet along the remainder of Lot 1-B-2A, 3. 85° 40' 15.00 feet along the remainder of Lot 1-B-2A. 4. 175' 40' 15.00 feet along Lot 1-B-1, a portion of Grant 11, 642 to Kikumi Higa fvtaedo to the point of beginning and containing an area of 225 Square Feet, more or less, y INA FNGINEERING, INC. 273'Waianuenue Ave. Atan Z. InaV �^ Hilo, Hawaii 96720 M.,AM Licensed Arofessional Land Surveyor October 5, 2021 Certificate No. 5626 trf,1U$ " License Expires: April 30, 2022 Tax Map Key; 3'A DIV, 2.4-039:025 LOT 1-B-2A Page 4 of 4Pages r ns r. Ds t.^ e'F ac3 PJL LLC12021363...t2022 01 14 Correction Deed 10 Being a portion of the premises conveyed to HILO ONE, INCORPORATED, a Hawaii corporation, as tenant in severalty, by Deed from SONOMURA RENTALS, LLC, a Hawaii limited liability company, dated February 20, 2018, recorded in the Bureau of Conveyances in the State of Hawaii as Document No. A-66280050. Being all of the premises described as "Lot I -B.2A" in Affidavit of Surveyor dated December 2, 2021, recorded in said Bureau of Conveyances as Document No. A - SUBJECT FURTHER, HOWEVER, TO THE FOLLOWING: 1. Terms, provisions, reservations, covenants, conditions and restrictions, but deleting any of the aforementioned indicating a preference, limitation or discrimination based on race, color, religion, sex, handicap, familial status, national origin, sexual orientation, marital status, ancestry, source of income or disability, to the extent such covenants, conditions or restrictions violate Title 42, Section 3604(c), of the United States Codes or Chapter 515 of the Hawaii Revised Statutes, as contained in the Land Patent Grant No. 11,642, dated October IS, 1948. 2. Any lien, or right to a lien, for set -vices, labor or material theretofore or hereafter furnished, imposed by law and not shown by the public records. 3. Easements, claims of easement or encumbrances which are not shown by the public records. 4. Terms, provisions, reservations, covenants, conditions and restrictions as set forth by Declaration ofRestrictive Covenantsfor Waiakea Man! Estates made by Hilo One, Incorporated, a domestic corporation, on November 16, 2021, recorded in the Bureau of Conveyances in the State of Hawaii as Document No. A-79911387, 5. Amended Purchase Money Mortgage dated 1Do-c-ember-1,2021 from RJL LLC, a Hawaii limited liability company, to HILO ONE, INCORPORATED, a Hawaii corporation, being recorded simultaneously with this Deed. END OF EXHIBIT A RJL LM2021363 — \2022) 01 14 Correction Deed I 1