Guam § 5408 - Disposal of Property for Use in Accordance With Plan.

§ 5408. Disposal of Property for Use in Accordance With Plan.

Subject to such requirements and procedures as may be imposed as

a condition of and which shall in any event prevail:

(a) The Authority may sell real property or any interest therein

acquired by it and may enter into contracts with respect thereto in

the subdivision area for residential use in accordance with the

subdivision plan subject to such covenants, conditions and

restrictions, including covenants running with the land as it may

deem to be in the public interest or necessary to assist in preventing

the development or spread of future slums or blighted areas or to

otherwise carry out the purposes of this Article; provided that such

sale may be only after the approval of the subdivision plan and

installation of sewer lines.

(b) The purchasers and their successors and assigns shall be

obligated to devote such real property only to the same specified in

the subdivision plan and may be obligated to comply with such

other requirements as the Authority may determine to be in the

public interest or the Federal Government may determine to be

necessary as a condition of federal aid, including the obligations to

begin and to complete within a reasonable time any improvements

on such real property required by the subdivision plan and the new

uses specified therein; provided that any obligation to begin

construction of improvements shall not apply to mortgagees and

others who acquire an interest in such property as the result of the

enforcement of any lien or claim thereon.

(c) The Authority is authorized to sell the lots in the

subdivision authorized by this Chapter at less than fair market value

of the lots; provided, that the price of a lot shall not exceed Two

Thousand Five Hundred Dollars ($2,500). The Authority shall

collect a down payment of ten percent (10%) of the purchase price

of each lot, but not to exceed Two Hundred Fifty Dollars ($250),

and shall institute a periodic payment plan to cover the payment of

the balance of the purchase price, which plan shall not exceed three

(3) years.

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(d) Except as provided for in §§ 5414 and 5415 of this Article,

the Authority in any instrument of conveyance to a purchaser may

provide that such purchaser shall be without the power to sell, lease

or otherwise transfer the real property without the prior written

consent of the Authority until the person has completed the

construction of any and all improvements which the person has

obligated that person to construct thereon, and the Authority may

provide, in any such instrument of conveyance, that such real

property shall revert to or revest in the Authority, at its discretion,

upon a breach or violation of any condition, covenant, restriction,

undertaking or other requirements relating to the use of the property

or otherwise without relieving any purchaser and successors or

assigns of any obligation assumed by such purchaser, and without

liability on the part of the Authority for any claim arising from such

retesting or reversion. The Authority, upon a certification by it to a

court of competent jurisdiction that any purchaser, their successors

and assigns has breached or violated any condition, covenant,

restriction, undertaking or requirement, shall be entitled to

immediate relief, without bond or liability for damages, restraining

and enjoining any such breach or violation, pending the

determination of the issues in the controversy.

(e) The inclusion in any such contract or conveyance to a

purchaser of any of the covenants, restrictions or conditions

provided in Subsections (a), (b), (c) and (d), including the

incorporation by reference therein of the provisions of a subdivision

plan or any part thereof shall not prevent the filing of such contract

or conveyance in the Department of Land Management in such a

manner as to afford actual or constructive notice thereof.

(f) Real property acquired by the Authority which, in

accordance with the provisions of the subdivision plan is to be

transferred, shall be transferred as rapidly as feasible in the public

interest consistent with the carrying out of the provisions of the

subdivision plan.

(g) Where necessary, the Authority shall assist applicants in

arranging for financing of such purchase at terms favorable to the

applicant and in so doing, the Authority is directed to take

cognizance of such programs as are available from the Farmer’s

Home Administration, Federal Housing Administration, Veterans

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Administration, Guam Housing Corporation and other federal and

local lenders and guarantors, both public and private.