HomeMy WebLinkAbout1996-052 Subordination Agrmt - Bank of America.')~;-.[450$, Subordination Agreement :'
FIRST PAGE RECORDING REQUIREMENTS PER ORS 205.234
NAME OF TRANSACTION:
NAME OF PARTIES: Bank of America
DOCUMENT TO BE RETURNED TO:
TRUE AND ACTUAL CONSIDERATION:
UNTIL A CHANGE IS REQUESTED, SEND
TAX STATEMENTS TO:
Subordination agreement.
City of Ashland, Oregon
Barbara M. Christensen, City Recorder,
20 East Main, Ashland, OR 97520
N/A
N/A
Subordination agreement dated this ?~'7 day of
between the City of Ashland, Oregon ("the City") and 'P~,,-~v... ~:'
("the Bank").
,1996
Recitals:
A. On or about January 24, 1994, Cheryl Cullen ("Owner"), being the owner of
the property described on the attached Exhibit A in Jackson County, Oregon,
executed and delivered to the City a trust deed on the property to secure a
promissory note for the performance of the Ashland Affordable Housing Resale
Restriction Agreement, which lien was recorded on August 5, 1994, in the Official
Records of Jackson County, Oregon, as instrument No. 94-28715.
B. The City has never sold or assigned it's lien and at all times since the date of
the lien has been and now is the owner and holder of it and the debt thereby secured.
C. The Bank is about to loan the sum of $ 8~_,000.00 to the Owner of
the property, with interest thereon at a rate not exceeding 7 875 % per annum. This
loan is to be secured by the Owner's trust deed (further referred to in this agreement
as "Bank's lien") upon the property and is to be repaid not more than
((~,s/years) from its date.
D. City's agreement with the Owner does not require its lien to be satisfied if
Owner is refinancing the Owner's existing purchase money first mortgage or trust
deed by securing a new first mortgage or trust deed on the property in an amount not
greater than the present balance of the first mortgage or trust deed plus applicable
loan fees and closing costs.
The City and the Bank agree:
1. Owner is refinancing Owner's existing purchase money first mortgage or trust deed
by securing a new first mortgage or trust deed on the property in an amount not
PAGE 1-SUBORDINATION AGREEMENT (p:real\subordin.agr}
greater th~n the present balance of the first mortgage or trust deed p~us mpp~icab~e
;oran fees and dosing ousts.
2. The City, its successors and assigns, agrees that its lien on the property is and
shall always be subject and subordinate to the lien about to be delivered to the Bank,
and that Bank's lien in all respects shall be first, prior, and superior to that of the City,
provided, however, that if Bank's lien is not duly filed or recorded or an appropriate
financing statement filed within 30 days after the date of this agreement, this
subordination agreement shall be null and void.
3. Nothing contained in this agreement shall be construed to change or impair the
City's lien, except as expressly set forth in this agreement.
City of Ashland, Oregon
A'~,,-~? ~Recorder
State of Oregon
Coun~ of Jackson
~is instrument was acknowledged before me on ~ (~ 27, 1996,
Ashland, Oregon.
OFFICIAL SEAL
SONJA N AKERMAN
NOTARY PUBLIC - OREGON
COMMISSION NO. ~1~
MY ~W~ ~PIR~ ~ & ~
"y~/.,__~.~/¢~ of the City of
N6ta~ P~blic for Oregon
My Goremission expires: ~"-~- ~ ~
State of Oregon
County of
This instrument was acknowledged before me on
by as
as
, 1996,
of
, Inc. and
of
, Inc.
Notary Public for Oregon
My Commission expires:
PAGE 2-SUBORDINATION AGREEMENT (p:real\subordin.agr)
94-28718 96-14501
LP-56676
EXHIBIT A
Lot Twenty-two (22) in CLEAR CREEK SUBDIVISION, a Planned Community to
the City of Ashland, Jackson County, Oregon, according to the official
plat thereof, now of record, together with the right and easement of
enjoyment and use in the common areas, as more fully set forth in the
Declaration of Covenants, Conditions, Restrictions, and Easements for
said Subdivision recorded August 19, 1993 as No. 93-27589 of the Official
Records of Jackson County, Oregon, and amendment thereto recorded
September 7, 1993 as No. 93-29847, said Official Records.
(Code 5-1, Account #1-84022-6, Map #391E10BB, Tax Lot.#913)