HomeMy WebLinkAboutMortgage Assumption Agreement~ocument ~umber
Mortgage Assumption Agreement
Docu,.e~' 1 tde
REGISTF~'S OFFICE
WINNEBAGO COUNTY, WI
RECORDED ON
1~-21-2001 09:38 AM
SUSAN WINNINGHOFF
REGISTER OF DEEDS
RECORDING FEE 19.00
TRANSFER FEE
~ OF PAGES 5
City of Oshkosh
907-0027
The South Twenty (20) feet, fornt and rear, of Lot Forty-eight (48)
in Block Forty-three (43), per LEACH'S MAP OF 1894, in the Seventh Ward
City of Oshkosh, Winnebago County, Wisconsin.
MORTGAGE ASSUMPTION AGREEMENT
THIS MORTGAGE ASSUMPTION AGREEMENT (hereinafter referred to as the "Agreement")
made and entered into as of this 10th day of December, 2001, by and between the City of
Oshkosh, (hereinafter referred to as the "Lender',) and 3710 Lisbon, LLC (hereinafter referred to
as "Borrower").
WITNESSETH:
WHEREAS, Lender is the holder and owner of:the following documents (hereinafter sometimes
collectively referred to as the ,Lo,Documents"):
1. Mortgage given by Original Borrower as "Mortgagor" to Lender as "Mortgagee"
dated the 23~d day of May, 1997, which Mortgage is recorded in the office of the
Winnebago County Register of Deeds on the 30th day of May, 1997 at 9:06 A.M. as
Document No. 971288 (hereinafter referred to as the "Mortgage"), and which Mortgage
encumbers the real property as described therein; and,
WHEREAS, the Original Borrower is desirous of conveying the property encumbered by the
Mortgage, (hereinafter referred to as the "Property") to Borrower; and,
WHEREAS, the Borrower desires to receive said Property and formally assume the Mortgage
and perform all of the covenants and conditions contained in the Mortgage Note, the Mortgage
and all other Loan Documents as partial consideration for its purchase of the Property and as
consideration for the Lender's willingness to consent to the sale of the Property which is
encumbered by he Loan Documents; and,
WHEREAS, the Mortgage expressly prohibits the conveyance of the Property without the
express written consent of the Lender; and,
WHEREAS, the Lender is unwilling to give its consent to the transfer of the Property to the
Borrower unless the Borrower shall assume all of the obligations heretofore imposed by the Loan
Documents upon the Original Borrower;
NOW, THEREFORE, for and in consideration of the sum ofTen and 00/100 Dollars ($10.00)
and in consideration of the Premises and of the mutual covenants contained herein, and for other
good and valuable considerations, the receipt and sufficiency of which are hereby acknowledged
by the parties, the parties hereto agree as follows:
1. Assumption. Borrower expressly assumes the Loan Documents and agrees to perform
all covenants, conditions, duties and obligations contained therein and agrees to pay the
Note and the obligations evidenced thereby in a prompt and timely manner in accordance
with the terms thereof.
2. Consent to Conveyance. Lender hereby consents to the transfer of the Property to the
Borrower, but the Lender expressly reserves the right to withhold its consent to any future
sale or transfer of the Property, as provided for in the Mortgage.
3. Warranties and Representations. Borrowe~: affirms, warrants, represents and covenants
that Borrower has no defenses nor rights of set-off against Lender or against the payment,
collection or enforcement of the indebtedness evidenced by the Note and secured by the
Mortgage and owed to Lender. Borrower further warrants and represents as follows:
a. Borrower has done no acts nor omitted to do any act which might prevent
Lender from, or limit Lender in, acting upon or under any of the provisions
herein, in the Mortgage, in the Note or any other Loan Documents;
b. Borrower is not prohibited under any other agreement with any other person or
any judgment or decree, from the execution and delivery of this Agreement, the
perfonuance of each and every covenant hereunder or under the Mortgage, Note
or any other Loan Documents;
c. No action has been brought or threatened which would in any way interfere
with the right of Borrower to execute this Agreement and perform all of
Borrower's obligations contained herein, in the Note, in the Mortgage, or in any
other Loan Document;
d. All financial statements of Borrower and Guarantors, if any, are true and
correct in all respects, fairly present the respective financial conditions of the
subjects thereof, as of the respective dates thereof and no material adverse change
has occurred that would affect Borrower's or Guarantors', if any, ability to repay
the indebtedness evidenced by the Note and secured by the Mortgage;
e. Borrower is duly formed, validly existing and in good standing under the laws
of the State of Wisconsin and has full power and authority to consummate the
transactions contemplated under this Agreement.
4. Acknowledgements. Borrower acknowledges that:
a. The Loan Documents are in full force and effect; and,
b. The principal balance of the loan as represented by the aforesaid Note as of the
date of this Agreement is Twenty-nine Thousand Nine Hundred Ninety-eight and
00/100 Dollars ($29,998.00) and principal and interest are unconditionally due
and owing to the Lender as provided in the Note.
5. Costs. Borrower shall pay all costs of the assumption made hereby, to include without
limitation, attorneys~ fees and recording costs, as well as the cost of an endorsement to
Lender's title insurance policy insuring the lien of the Mortgage after the recording of
this Agreement. Such costs shalI be due at closing hereunder and the payment thereof
shall be a condition precedent to Lender's consent to the transfer of the Property to
Borrower. In the event that it is determined that additional costs relating to this
transaction are due, Borrower agrees to pay such costs immediately upon demand.
6. No Novation. It is the intent of the parties that this instrument shall not constitute a
novation and shall in no way adversely affect the lien priority of the Mortgage and other
LoanDocuments referred to above. In the event that this Agreement, or any part hereof,
shall be construed by a court of competent jurisdiction as operating to affect the lien
priority of said Mortgage or the other Loan Documents, or any of them, over the claims
which would otherwise be subordinate thereto, then to the extent so ruled by such court,
and to the extent that third parties acquiring an interest in such property as is encumbered
by the respective Mortgage, the other Loan Docunaents between the time of execution of
Mortgage, the other Loan Documents, and the execution hereof, are prejudiced thereby,
this Agreement, or such portion thereof as shall be so construed, shall be void and of no
force and effect and this Agreement shall constitute, as to that portion, subordinate lien on
the collateral described therein, incorporating by reference the terms of the Mortgage and
other Loan Documents, and which Mortgage and other Loan Documents then shall be
enforced pursuant to the terms therein contained, independent of this Agreement;
provided, however, that notwithstanding the foregoing, the parties hereto, as between
themselves, shall be bound by all terms and conditions hereof until all indebtedness
owing from the Borrower to the Lender shall have been paid in full.
~. ~ k/~r~ 7. Assumption Fee. In co~deration of.~,e~ader's consenting,,~he conveyanflt'ofthe
·" Property to the Borroy~r, Lender is~'fitled to, and has e,,~a~ned, an assurn, l~'mn fee in the
amount of five p.~nt (5%) of/tl~riginal principa,,b~e amount of,,il~e'~ndebtedness
evidenced by.,~ Note~able upon ~,~xecution and delivery
of this Agr, c~ment~edges~at said fee is being
~eS~cYef~r/,~e o~inne~~pcharge solely for co relating to the a ption of the ttgagegage and not as land not as interest for
tion of th~,~~.,x~
8. Recordation. The recording of this Agreement on the Public Records with the
Winnebago County Register of Deeds office shall evidence the closing of the transaction
described herein.
9. Paragraph Headings. The paragraph headings used herein are for convenience of
reference only and shall not be used in the interpretation or construction hereof.
10. Governing Law. This Agreement shall be governed, interpreted and construed by,
through and under the laws of the State of Wisconsin.
11. Time of the Essence. Time is of the essence of this Agreement.
12. Attorneys' Fees. All costs incurred by Lender in enforcing this Agreement and in
collection of sums due Lender from Borrower, to include, without limitation, reasonable
attorneys' fees through all trials, appeals, and proceedings, to include, without limitation,
any proceedings pursuant to the bankruptcy laws of the United States and any arbitration
proceedings, shall be paid by Borro~ver.
13. Binding Effect. This Agreement shall inure to the benefit of and be binding upon the
parties hereto as well as their successors and assigns, heirs and personal representatives.
IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as follows:
As to Lender this 20th day of December, 2001.
"LE',,I>TJ]IEPd'~",=- CITY OF OSHKOSH
P~iaUbring, City Clerk
As to Borrower this day of December, 2001.
"BORROWER"
WITNESSES:
3710 Lisbon, LLC
Dave-Byczek, Men~r
STATE OF WISCONSIN )
COUNTY OF WINNEBAGO) :' ' '? / 7 ,, '
.......... by Richard ~A. Wqll, an~$,,City M.anager &,Parnell g.:~[,r~$~C'i~y Clerk
· ~ vu~uunNu inst~ent was acmcw~age~oemre me tbs ~ay
by City of OShkosh .
My Co~ss~on Expires: /-/~-~oo~
STATE OF WISCONSIN )
)
COUN~BAGO)
BY. ~v .
T~O.l~.~rn_e~ttwt~c_k~(~wledged before me this 20tkday of December, 2001,
b~,~~~, hanie J. Ka~rath-Wr~qht Notary Public