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HomeMy WebLinkAbout1986-56 CRA I . , . - RESOLUTION NO, 86- 56 A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE REFINANCING OF A REHABILITATION LOAN SECURED BY PROPERTY LOCATED AT 116 NORTH SYCAMORE STREET WHEREAS, the Community Redevelopment Agency of the City of Santa Ana made a loan of One Hundred Fifty-Four Thousand Three Hundred Eleven Dollars ($154,311.00) to Harry and Evelyn Greenberg, to provide partial funding for the rehabilitation of The Grand Central Building located at 116 North Sycamore Street in the City of Santa Ana; and WHEREAS, the obligation to repay said loan is evidenced by a promissory note dated October 1, 1982 (hereinafter the "1982 Note") by which Harry and Evelyn Greenberg undertook to pay the principal sum of One Hundred Fifty-Four Thousand Three Hundred Eleven Dollars ($154,311,00) with interest thereon from October 1, 1985 on unpaid principal at the rate of eighteen percent (18.00%) per annum, to the Agency on or before October 1, 1990, and WHEREAS, the said 1982 Note is secured by a deed of trust of the same date on the abovesaid real property, duly recorded in the records of Orange County (hereinafter, the "1982 Trust Deed"); and WHEREAS, Harry and Evelyn Greenberg now requests the refinancing of the abovesaid loan and the Agency agrees to such refinancing on the terms and conditions hereinafter set forth; NOW, THEREFORE, BE IT RESOLVED BY THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AS FOLLOWS: 1. The Executive Director of the Agency is authorized to cancel the 1982 Note and reconvey the Agency's interest under the 1982 Trust Deed, subject to the following terms and conditions: I~ 4R 8 . , . - (a) Grand Central Partnership Santa Ana, a California general partnership, shall duly execute and deliver to the Agency, through escrow, a new promissory note in the principal amount of One Hundred Fifty-Four Thousand Three Hundred Eleven Dollars ($154,311.00) (hereinafter, the .New Note") and a new deed of trust, securing the same with the subject property (hereinafter the "New Deed of Trust"). (b) The New Note shall bear interest at the rate of ten percent (10%) per annum. (Computed and charged on the basis of a 365 day year.) The New Note will begin to accrue interest one year from the date of the note, (c) The balance of said principal sum and all interest and charges then owing on this note shall be due and payable on October 1, 1992. (d) The New Note shall require monthly payments of One Thousand Four Hundred Fifteen Dollars ($1,415.00) beginning twelve (12) months from the date of the note. (e) The lien of the New Trust Deed shall be subordinate only to the liens of trust deeds securing an indebtedness of not more than Six Hundred Forty Thousand Dollars ($640,0Ø0) held by Wells Fargo Bank and Two Hundred Twenty-One Thousand Dollars ($221,000) held by Department of Housing and Urban Development (HUD), and to such other minor liens as the Executive Director may be determine to be acceptable. (f) The borrower shall provide satisfactory evidence of title to the subject property, subject only to such easements or other encumbrances as the Executive Director may determine to be acceptable. (g) The Grand Central Partnership Santa Ana, a California general partnership, shall be allowed to assume the existing Wells Fargo Bank loan, executed by Harry and Evelyn Greenberg and secured by a Six Hundred Fifty Thousand Dollar ($650,0Ø0) Deed of Trust recorded on October 1, 1982 as instrument 182-347452 in the records of Orange County, California. BE IT FURTHER RESOLVED that the Executive Director is authorized to take such actions on behalf of the Agency as are appropriate to carry out the above described refinancing, including, but not limited to the signing of all appropriate documents, the establishment of a loan escrow, and execution of agreements with the borrower, including joint escrow instructions, and in so doing to impose such requirements as he deems appropriate for the protection of the Agency's interest. -2- l~ 4B I . , . - ADOPTED this 16th day of December following vote: ,1986, by the NOES: MEMBERS None MEMBERS Acosta, Griset, Hart, May. McGuigan, Pulido and Young AYES: ABSENT: MEMBERS None ~~ DanJ.el If; YOUr'l:JYj Chairman ~yj¡~ Executive Director and Recording Secretary APPROVED AS TO FORM: -3- .;;2'0 4B