HomeMy WebLinkAboutLeasehold Mortgage 300 East Custer Avenue13138
Document Number
COLLATERAL ASSIGNMENT
OF REAL ESTATE
LEASEHOLD MORTGAGE
This COLLATERAL ASSIGNMENT OF REAL
ESTATE LEASEHOLD MORTGAGE (this
"Assignment") is made as of February , 2018, by
THE HOUSING AUTHORITY OF THE CITY OF
OSHKOSH, WISCONSIN, a public body, corporate and
politic, organized and existing under the laws of the State of
Wisconsin (the "Assignor"), to and in favor of the CITY OF
OSHKOSH, a municipal corporation located in Winnebago
County, Wisconsin (the "City").
Recitals
A. Assignor and City have entered into a Rental
Rehabilitation Promissory Note and Borrower Certification
Agreement (the "Promissory Note and Agreement") that
will allow the use of certain Community Development Block
Grant (CDBG) funds in connection with the redevelopment
of the real property located at 300 East Custer Avenue, in
the City of Oshkosh, Wisconsin and legally described on the
attached Exhibit A (the "Property");
it IIIII�
111111
8 4 0 5 9 5 2
Tx:4296844
DOC* 1761566
NATALIE STROHMEYER
REGISTER OF DEEDS
WINNEBAGO COUNTY, WI
RECORDED ON:
03/08/2018 01.38 PM
RECORDING FEE:
PAGES: 5
After recording return to:
City Attorney's Office
PO Box 1130
Oshkosh, Wisconsin 54902-1130
15058302000
Parcel Identification Number
B. Pursuant to the Promissory Note and Agreement, the City has made or will make a loan using
CDBG funds to Assignor in the amount of $200,000.00. The Assignor has agreed to subsequently loan the
City's CDGB funds to Waite Rug Housing, LLC, a Wisconsin limited liability company (the "LLC"), for
the purpose of the LLC's rehabilitation and redevelopment of the Property for multi -family residential
housing. The LLC is leasing the Property from the Assignor, and is also a party to other agreements with
the Assignor and other parties that will also facilitate the completion of the approved project. One of the
other agreements between the LLC and the Assignor is a particular loan, with the proceeds loaned from the
Assignor to the LLC (the "Loan") being secured by a Real Estate Leasehold Mortgage dated December 22,
2017, made by Waite Rug Housing, LLC, to The Housing Authority of the City of Oshkosh, Wisconsin,
recorded December 28, 2017, as Document No. 1757234, in the Winnebago County Register of Deeds
Office (the "Assignor Mortgage") encumbering title to the Property.
C. In security for the performance of the obligations of Assignor under the Promissory Note and
Agreement, Assignor desires to assign all of its rights, titles, and interests in the Assignor Mortgage to City
on the terms and conditions set forth in this Assignment.
Agreements
In consideration of the Recitals set forth above, which, by this reference, are considered material
assertions and conditions of this Assignment, are made a part of this Assignment, the mutual covenants and
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agreements set forth below, and other good and valuable consideration, the receipt and sufficiency of which
are acknowledged, Assignor and City agree as follows:
1. Assignor hereby grants a security interest in, assigns, transfers, sets over, pledges and delivers
unto the City all of its right title and interest in and to the Assignor Mortgage, together with any and all
proceeds and avails of the foregoing documents. This collateral assignment is made to secure the performance
by Assignor of its obligations under the Promissory Note and Agreement.
2. Until the expiration or earlier termination of the Promissory Note and Agreement City will
retain possession of this Assignment. Upon satisfaction of the Promissory Note and Agreement , or as
otherwise agreed to in writing between the City and the Assignor, the City shall execute and record a release of
this Assignment.
3. Upon an event of default under the Promissory Note and Agreement, the City may, but is not
obligated to, take any lawful action that is consistent with the terms of this Assignment and with the Assignor
Mortgage under the same terms and conditions to which Assignor agreed to and is subject to in said Assignor
Mortgage. Neither the foregoing nor any other term of this Assignment shall be considered a waiver or
limitation of remedy in addressing any default of the Promissory Note and Agreement. Upon default of the
Promissory Note and Agreement, the City may also elect to delay enforcement of the Assignor Mortgage, or
elect to seek other lawful remedies against the assignor and may choose not to enforce the Assignor Mortgage.
However, upon notice from the City, this Assignment shall constitute a direction and full authority to LLC to
take all action with respect to the Assignor Mortgage which the City may from time to time direct.
4. Notwithstanding this Assignment, the City acknowledges and agrees that its rights under the
Assignor Mortgage shall be the same as those of Assignor and limited to the amount due to the City under the
City Note, if any, together with the City's costs and expenses (including but not limited to reasonable attorneys'
fees) of collection.
5. Assignor certifies that Assignor has full power to make this Assignment and has not
otherwise conveyed, sold, hypothecated, pledged, transferred, or assigned the Assignor Mortgage.
6. This Assignment may be executed in counterparts, each of which when so executed shall be
deemed an original, and all of which together shall constitute one and the same instrument.
7. This Assignment shall be governed by the laws of the State of Wisconsin. The Venue for the
resolution of disputes shall be Winnebago County, Wisconsin.
[Signature page follows]
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This Collateral Assignment has been executed as of the date first above written.
ASSIGNOR:
THE HOUSING AUTHORITY OF THE CITY OF OSHKOSH, WISCONSIN
By:_L4.,C`.t ,/oa
Susan van Houwelingen, Executive Director
STATE OF WISCONSIN )
) ss.
COUNTY OF WINNEBAGO )
Personally came before me this + day of February, 2018, the above named
Susan van Houwelingen, the Executive Director of The Housing Authority of the City of Oshkosh,
Wisconsin, and to me known to be the person who executed the foregoing instrument and
acknowledged that she executed the same on behalf of THE HOUSING AUTHORITY OF THE
CITY OF OSHKOSH, WISCONSIN.
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Nom, AUB0G"014411 Will"
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Notary Public, Winnebago County, Wisconsin
My commission expires:
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CITY OF OSHKOSH
By: a--l'i''C��_.
-Ark A. Rohloff,-City-mapa
Pamela R. Ubrig, City
Approved as to form:
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City Attorney
STATE OF WISCONSIN )
) ss.
COUNTY OF WINNEBAGO )
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Personally came before me this day of February, 2018, the above named
Mark A. Rohloff and Pamela R. Ubrig, and to me known to be the persons who executed the
foregoing instrument and acknowledged that they executed the same on behalf of the City of
Oshkosh.
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Notary Public, Winnebago tounty, Wisconsin
My commission expires: 9 2(a 1 12-1
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EXHIBIT A
Legal Description
Parcel 1:
Lot Two (2), Certified Survey Map No. 7294 recorded in the Office of the Register of Deeds for
Winnebago County, Wisconsin on November 29, 2017, in Volume 1 of Certified Survey Maps,
Page 7294, as Document No. 1755133, located in the City of Oshkosh, Winnebago County,
Wisconsin.
Parcel 2:
Easements established by a Declaration of Easements dated as of November 29, 2017 and
recorded December 5, 2017 as Document No. 1755638, in the Winnebago County Register of
Deeds Office, Wisconsin, as amended by a First Amendment to Declaration of Easements dated
as of December 21, 2017 and recorded December 28, 2017 as Document No. 1757159, in the
Winnebago County Register of Deeds Office, Wisconsin.
Drafted by:
Attorney Wayman C. Lawrence
Foley & Lardner LLP
P.O. Box 1497
Madison, W1 53701-1497