KOTTINGER GARDENS PHASE 1 GROUND LEASE - MAR 2016

shall provide Lessor and its authorized agents and representatives access to any books, documents, papers and records of the Project for the purpose of making audits, examinations, excerpts and transcriptions. With 48-hours' notice, during normal business hours and as often as may be deemed necessary. Lessor and its authorized agents and representatives shall be permitted access to and the right to examine the Improvements and the Leased Premises and to interview employees of the Project, for the purpose of verifying compliance with applicable regulations and compliance with the conditions of this Lease. Section 9.11 Non-Discrimination;__Compliance with Fair Housing Laws. Lessee shall not restrict the rental, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Leased Premises, or any portion thereof, on the basis of race, color, religion, creed, sex, sexual orientation, disability, marital status, ancestry. or national origin of any person. Lessee covenants for itself and all persons claiming under or through it, and this Lease is made and accepted upon and subject to the condition that there shall be no discrimination against or segregation of any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code. as those bases are defined in Sections 12926, 12926.1. subdivision (m) and paragraph (I) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Property or part thereof, nor shall Lessee or any person claiming under or through Lessee establish or permit any such practice or practices of discrimination or segregation with reference to the selection- location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees in, of or for the Property or part thereof Lessee shall include such provision in all leases and rental agreements affecting the Leased Premises or part thereof and shall enforce the same diligently and in good faith. Section 9.12 Fair Housing. Lessee shall comply with state and federal fair housing laws in the marketing and rental of the units in the Project. Lessee shall accept as tenants, on the same basis as all other prospective tenants, persons who are recipients of federal certificates or vouchers for rent subsidies pursuant to the existing Section 8 program or any successor thereto. Section 9.13 Management Entity. Lessor approves MidPen Property Management Corporation as the initial property manager. In recognition of Lessor's significant financial contribution to the Project. Lessor shall have the right to review and approve any replacement of the management entity proposed by Lessee for the Project, and shall have the right to review and approve any agreement executed between Lessee and the management entity, which approval of agreement shall not be unreasonably withheld. The contracting of management services to a management entity shall not relieve Lessee of its primary responsibility for proper performance of management duties. Upon Lessor determination and delivery of written notice to Lessee that Lessee has failed to operate the Project in accordance with this Lease, Lessor may. subject to any applicable cure period. require Lessee to contract with a qualified management agent selected by Lessor subject to approval of the Investor and Lenders, if required. to operate the Project, or to make such other arrangements as Lessor deems necessary to ensure performance of the required functions. 34 191A52V1656915.5 OAK#4834-9609-1684 v I