HomeMy WebLinkAboutCDBG Rehab Def Pmt 0700080000 Addendum to ` I I I I
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Document mber Document Title
REGISTER'S O FFIC E
WINNEBAGO COUNTY, WI
RECORDED ON
Addendum to CDBG Rental Rehabilitation Deferred Payment 10/25/n12 09:J-2 AM
Mortgage Note and Borrower Certification between 421 North Main
Street LLC and City of Oshkosh, a municipal corporation, for property
JULI
E
at 421 North Main Street, Oshkosh, Wisconsin REGISTER OF DEEDS
Recording/RECORDING FEE 30.00
Name and Return Address
The north 10 ft of Lot 9, also Lot 2, Block 44, Cottrill's Subdivision, City Attorney's Office
Per Leach's Map of 1894, 7th Ward, City of Oshkosh, Winnebago Oshkosh,WI 54902-1130
County, Wisconsin
907-0008-00000
Parcel Identification No.
Drafted by:
Attorney David Praska
Oshkosh, WI
0 A
ADDRESS: 421 N. Main Street
ADDENDUM TO
CDBG Rental Rehabilitation Deferred Payment Mortgage Note
And Borrower Certification
1. The City of Oshkosh and 421 North Main Street, LLC entered into an agreement
entitled CDBG Rental Rehabilitation Deferred Payment Mortgage Note and Borrower
Certification("Note") on July 9,2007. The parties agree that the actual date
identified on the Note, July 9,2006, is a typographical error and that that the actual
date of agreement is July 9, 2007. A copy of the Note, excluding the Certification
provisions,is attached as Exhibit A and is fully incorporated into this Addendum.
2. Securing the Note is a Mortgage entitled City of Oshkosh Deferred Payment Loan
(Mortgage Instrument), which was recorded with the Winnebago County Register of
Deeds on July 12,2007 as document number 1441198. A copy of this Mortgage is
attached as Exhibit B and is fully incorporated into this Addendum.
3. The property subject to the parties' Note and Mortgage is commonly known as 421
North Main Street, and is more particularly described as:
The north 10 ft. of Lot 9; also Lot 2, Block 44, Cottrill's Subdivision,
as per Leach's Map of 1894, 7th Ward, City of Oshkosh,Winnebago
County,Wisconsin(Tax ID#907-0008-0000)
4. The Note provides only a summary description of the repayment and/or forgiveness
terms. The parties agree that they have a mutually consistent understanding of their
original agreement, and that their understanding is summarized but not described in
the terms of the Note. This Addendum more fully describes the parties' repayment
and/or forgiveness agreement,but does not add new terms between the parties,
constitute a new agreement, or change any existing agreement.
5. The Note makes reference to "a deferred payment loan" (paragraph 1),that the
"balance"will be due if the subject property is transferred to others (paragraph 8)
during the"life of this lien"(paragraph 8). The Note contains no further details
explaining the repayment and/or forgiveness terms.
6. The parties agree that the Note secured by the Mortgage includes the following terms,
noted as subparagraphs a—d, shall be inserted in the Note as paragraph number 12:
a. Provided there is no default in or breach of the terms of the Note and/or
Mortgage,or transfer of the Property in whole or in part, the loan will be forgiven
over a period of ten(10)years starting on July 12,2007, and ending on July 12,
2017.
1
b. Provided there is no default in or breach of the terms of the Note and/or
Mortgage, or transfer of the Property in whole or in part,twenty percent(20%) of
the Note's initial principal will be forgiven every other year starting from July 12,
2007. For example, 20% of the original note principal will be forgiven on the
following dates: July 12, 2009, July 12, 2011,July 12, 2013, July 12, 2015, and
July 12, 2017. There shall be no proration of amounts due in the event that any
loan amount will be paid to the City rather than forgiven.
c. Upon the passing of the ten(10) year term,the City will provide within a
reasonable time,upon written request, all documents necessary to indicate that the
Note has been satisfied and/or the Mortgage has been released. However,prior to
providing these documents,the City shall be provided,upon request, all
documents reasonably necessary to ensure that the terms of the Note and
Mortgage have been complied with.
d. Both parties retain all statutory and common law legal rights and obligations
except where these legal issues have been specifically altered in writing by the
Note,Mortgage, and this Addendum.
7. All other terms, conditions, requirements, deed restrictions, documents, and other
written agreements in effect as of July 9, 2006 remain in full force and effect.
8. All future changes or clarifications to the parties' agreements shall be in writing and
signed by all parties.
421 North Main Street, LLC
Dated this /...72 day of c L 7e) be/41_ , 2012
/ kfAzi(±, -
Megan lrfang,Member 'ric ".. •apman, -s e er
f/k/a Megan L.Hoopman 6
City of Oshkosh ct
Dated this / ay of /�,� ���� c'
t 1CA/—_--e/ , 2012 � � � �'
Il.c-icuc. a �lc
4,),,„/v,. _5�k CX���`LS•
Darr Buric ,Di ctor of Planning Services
2
ADDRESS: 421 N.MAIN STREET,OSHKOSH
•
DEFERRED PAYMENT MORTGAGE NOTE AND BORROWER CERTIFICATION
•
As an applicant for a deferred payment loan to be financed with Federal Community Development
Block Grant(CDBG)funds through the City of Oshkosh,Department of Community Development,I
hereby acknowledge and agree as follows:
1) The proposed improvements listed on the contract accurately describe how the proceeds of the
deferred payment loan will be used and I will obtain approval from the Dept.of Community
Development staff on all contracts for all work to be funded with said loan proceeds before I enter into
such contracts.
2) All residential improvements will be completed no later than ninety(90)days after the date of
mortgage closing.
3) The applicant agrees to provide access to the City, the U.S. Department of Housing and Urban
Development(HUD),the Comptroller General of the United States,or any of their duly authorized
representatives to any books,documents,papers and records which are directly pertinent to this loan for
the purposes of making audit,examination,excerpts and transcriptions.
4) None of the proceeds of this deferred payment loan will be used to finance any improvements
undertaken prior to the date of application approval.
5) I authorize the City of Oshkosh to make any and all documents pertaining to this deferred
payment loan'available to the U.S. Department of Housing and Urban Development or its duly
authorized representatives.
6) I certify that I have record title to or an equitable interest in the property to be improved.
7) I am aware that any false statement or misrepresentation made in connection with this deferred
payment loan may subject me to criminal and civil penalties under United States and Wisconsin law.
8) I accept from the City of Oshkosh,a deferred payment loan in the amount of FIFTY-NINE
THOUSAND NINE HUNDRED NINETY-SIX DOLLARS AND NO/100($59,996.00)and agree that I
will notify the City of Oshkosh upon the transfer of the property if it is transferred during the life of this
lien,at which time the loan,or balance thereof, will be repaid immediately to the City of Oshkosh,
9) The terms and conditions of the Rental Rehabilitation Deferred Payment Loan and borrower's
certifications of even date herewith shall apply.
•
Exhibit 1 cx-a
•
10) I grant to the City of Oshkosh,and the City of Oshkosh hereby has,a mortgage on the real estate
described below in the full amount necessary to satisfy my repayment obligation for the payment here
made and for any subsequent payments made,and the cost, including reasonable attorney's fees,of
collecting same. The real estate subject to this mortgage is situated in Winnebago County, State of
Wisconsin, and is legally described as follows:
The N 10 ft. of Lot 9,also Lot 2,Block 44, Leach's Map Cottrill's Subdivision,per
Leach's Map of 1894,7th Ward, City of Oshkosh
•
11) If any of the provisions of this promissory note,the,corresponding mortgage note,or any of the
specifications or other documents completed by me are violated by me,or if I am not in compliance with
any of these provisions,then I agree to repay to the City of Oshkosh all amounts granted immediately
upon demand.
Dated this q day of ,2006.
421 NORTH M IN STREET LLC •
•
ik #I 42Ate dir 40191_1•"' -4°
MEGAN I. HOOPMA 0 '' 'OOP •
t
:421 n main cdbg prornis nein
•
Exhibit
•
MORTGAGE INSTRUMENT 1 4.4 1 1 '9$
Document Number WINNEBAGO,COUNTY,, WI
Dotumeal nit
RECORDED OH
07/12/2007 09123A11
CITY OF OSHKOSIi JULIE PAGEL
• DEFERRED PAYMENT LOAN REGISTER OF DEEDS
RECORDING F FEE 13.00
it I hereby mortgage,convey and warrant to the CITY OF OSHKOSH,a OR PAGES 2
• Municipal Corporation located in Winnebago County,Wisconsin Reeordtng Area
(mortgage lender),in consideration of my receiving a deferred payment loan Name and netara Address
in the amount of FIFTY-NINE THOUSAND NINE HUNDRED NINETY-
SIX DOLLARS and No/l00($59,996.00)for the rehabilitation,preservation C1tyAtuorlley's Office
and enhancement of rental residential real properly which is commonly known Oshkosh,{Y)54902-1I30
as 421 NORTH MAIN STREET,Oshkosh,Wisconsin and legally described
as being in Winnebago County,Slate of Wisconsin:
907-0008.0000
Parcel identification No.
• The N II)II.oMLot 9.also Lot 2.Block 44.Leach's Map.Cottrill's Subdivision,as per Leach's Map
of 1894.7th WurJ,Cily orOshkosh
'Ibis is not homestead property. 'Phis is not a purchase money mortgage.
1 certify that l have title to this properly and Ihot the title is free and clear of all encumbrances,excepting only restrictions
and easements of record, municipal and the zoning ordinances,current taxes and assessments not yet clue and any
encumbrance noted below:
Mortgage to US Bank,or its assignee,in the amount of$152,000.00 recorded on 5/20/05 as Doe.No.1135690.
Mortgage to US Bank,or its assignee,in the amount of$37,633.00 recorded on 5/17/07 as Doc.No.1931250.
I will keep the mortgaged property free from any lien or encumbrance superior to the lien of this mortgage,except for those
noted above.
1 agree to this mortgage on a condition that,if I pay to mortgage lender the full amount ofthe deferred payment loan secured
by this mortgage and conform with the terms of the Borrower's Certification and this mortgage,then this Mortgage will
cease and the note(see Borrower's Certification)will be void.
I will pay before they become delinquent all taxes and assessments which may be levied or assessed against this mortgage,
the note secured by this mortgage and the property described above. I will deliver to mortgage lender,upon demand,a
receipt showing due payment of any tax or assessment.
I will keep the mortgaged property insured for fire and extended coverage perils for at least the full and fair market value of
the property and pay the premiums thereon when due.
1 agree to keep the mortgaged property in good condition and repair. I will not do anything to diminish or impair the value
of the mortgaged-property.
Under any foreclosure proceeding,all foreclosure expenses,including reasonable attorney's fees,will also be added to the
amount of the deferred payment loan and become due as incurred,mid In case of judgement,will be included therein.
if I Glii to act according to the henna and conditions of this mortgage or the Borrower's Certification for a period of more
than fifteen(15)days,then the whole amount of the deferred payment loan will,at the option of the mortgage lender,
become due and payable without notice. Under this circumstance,I hereby waive my right to notice.
!understand that the mortgage lender is not responsible for the work performed by any contractor on my property,whether
paid for out of deferred payment loan funds or otherwise.
Unless otherwise required by law,the invalidity or unenforceability of any provision of this mortgage will not affect the
validity or enforceability of any other provision.
All the teams,conditions and covenants of this mortgage will be binding on my heirs,legal representatives,successors or
any other iudh ildual to whom at interest in the mortgaged property or this mortgage Is assigned. .
a ) r�
-- Exhibit U (2Fr)-