Item L2
BOARD OF COUNTY COMMISSIONERS
AGENDA ITEM SUMMARY
Meeting Date: January 21, 2004
Division:
Monroe County Housing Authority
Bulk Item: Yes X
No
Department: Special Programs Office
AGENDA ITEM WORDING: A RESOLUTION OF THE BOARD OF COUNTY
COMMISSIONERS OF MONROE COUNTY, FLORIDA AUTHORIZING MONROE COUNTY'S
STATE HOUSING INITIV ATIVE PARTNERSHIP (SHIP) PROGRAM ADMINISTRATOR TO
EXECUTE SHIP MORTGAGE SUBORDINATION ON BEHALF OF BUYERS
KAPLAN/FREEMAN.
ITEM BACKGROUND: Monroe County SHIP Program issued a mortgage loan to the Bahama Conch
Community Land Trust, Inc. (BCCL T) for the construction of an affordable homeownership property in
Key West. BCCL T is in the process of selling the unit to buyers. The BOCC has previously approved
the assignment of said mortgage and all parties are now requesting a mortgage subordination in order for
the buyer to secure primary financing. At the time of funding it had been anticipated that the SHIP loan
would be subordinated to buyers primary financing.
PREVIOUS RELEVANT BOCC ACTION:
Feb. 2002 BOCC authorized to the SHIP Administrators execution of subordination of SHIP
mortgages under certain conditions (specific conditions which were favorable to
the borrowers without jeopardizing Monroe County's interest)
Aug. 2003 BOCC approved the assignment and assumption of SHIP mortgage loan from
Bahama Conch Community land Trust, Inc. to buyers Kaplan/Freeman.
CONTRACT/AGREEMENT CHANGES:
N/A
ST AFF RECOMMENDATION:
Approval.
COST TO COUNTY:
$-0-
$-0-
BUDGETED: Yes nJa No nJa
TOT AL COST:
SOURCE OF FUNDS:
nJa
REVENUE PRODUCING: Yes
No
X
AMOUNT PER: Month nJa Year nJa
APPROVED BY:
County Attny. _
Risk Management _
DIVISION DIRECTOR APPROVAL:
, uel Castillo, Sr., Executive Director
Monroe County Housing Authority
DOCUMENTATION:
Included _X
To Follow
Not Required _
AGENDA ITEM # L 1-
DISPOSITION:
RESOLUTION
- 2004
A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE
COUNTY, FLORIDA AUTHORIZING MONROE COUNTY'S STATE HOUSING
INITIVATIVE PARTNERSHIP (SHIP) PROGRAM ADMINISTRATOR TO EXECUTE SHIP
MORTGAGE SUBORDINATIONS
WHEREAS, Monroe County provided Bahama Conch Community land Trust, Inc, a mortgage loan
under the Monroe County State Housing Initiatives Partnership (SHIP) Programs, Homeownership
Development strategy for the construction of a single family affordable homeownership unit and:
WHEREAS, the Monroe County Board of County Commissioners has previously approved the
assumption and assignment of said mortgages from Bahama Conch Community land Trust, Inc, to the
eligible home buyers Kaplan/Freeman, and;
WHEREAS. buyers KaplanlFreeman have secured a primary loan commitment from Key West Bank
conditioned upon securing a subordination of the existing mortgage with Monroe County to the
proposed mortgage from Key West Bank, and;
WHEREAS, it is customary and had been intended that the Monroe County SHIP mortgages be second
and/or junior to the mortgage of the primary lender, and;
NOW, THEREFORE, BE IT RESOLVED. by the Board of County Commissioners of Monroe County.
Florida. that the County hereby:
Authorizes Monroe County's State Housing Initiatives Partnership (SHIP) Program
Administrator to execute SHIP mortgage subordination in favor of proposed primary
filUlncing from Key West Bonk on behalf of buyers Kaplan/Freeman for the existing SHIP
mortgage to Bahama Conch Community Land Trust. Inc. for the property known as 1031
Howe Street. Key West. as attached hereto.
PASSED AND ADOPTED, by the Board of County Commissioners of Monroe County. Florida at a
regular meeting on said Board on the _ day of , A.D., 2004
BOARD OF COUNTY COMMISSIONERS
OF MONROE COUNTY. FLORIDA
Mayor Nelson
Commissioner Rice
Commissioner Neugent
Commissioner McCoy
Commissioner Spehar
By:
Mayor Nelson
Approved as to form and
N\ONROE COUNTY AfTOflNcY
APPROV 0 FORM:
SEAL
ATTEST:
Page I of I
AGREEMENT TO SUBORDINATE LOAN
THIS AGREEMENT made this
day of
, 2004 between MONROE
COUNTY, herein referred to as "Lienholder," having its principal office at Monroe County Courthouse,
500 Whitehead Street, Key West. FL 33040, and KEY WEST BANK, herein referred to as "Lender", a
Corporation organized under the laws of the State of Florida.
THE PARTIES STIPULATE AND RECITE THAT:
A. By reason of that Mortgage given by Lienholder to BAHAMA CONCH COMMUNITY
LAND TRUST, INe. a non-profit Corporation, and Assigned and Assumed by Donna A, Kaplan and
James Freeman, herein referred to as the "Owner", after in the amount of THIRTY SIX THOUSAND
DOLLARS ($36.000.00), dated the 13th day of August. 2001 and recorded the 315t day of December
2002 in Official Records Book 1841, Page 551 upon the property hereinafter described,
On the Island of Key West and known as part of Lot 8 in Sq. 6 of Tract 10 according to C. W.
Tiji 's map of the City of Key West. Florida delineated in 1874. Commence at the Intersection of the
Northeasterly Right of Way Line of Howe Street and the Northwesterly Right of Way Line of Virginia
Street: thence in a Northwesterly direction along the said Northeasterly right of Way Line of Howe
Street jor 51.92 feet to the Point of Beginning; thence continue in a Northwesterly direction along the
said Northeasterly Right of Way Line of Howe Street for 35.00 feet; thence at a right angle and in a
Northeasterly direction for 59.50 feet; thence at a right angle and in a Southeasterly direction for 35.00
feet; thence at a right angle and in a Southwesterly direction for 59.50 feet to the said Northeasterly
Right of Way line of Howe Street and the Point of Beginning. Containing 2082.50 Square Feet. more or
less.
which has the street address of 1031 Howe Street. Kev West. Florida 33040
B. Owner desires to negotiate a loan from Lender, and Lienholder acknowledges that such
loan is in his best interest.
C. Lender is willing to loan money to Owner if Lienholder will subordinate his present lien
against the above-described property of Owner.
FOR THE REASONS SET FORTH ABOVE AND IN CONSIDERATION OF THE MUTUAL
COVENANTS AND PROMISES OF THE PARTIES HERETO, LIENHOLDER AND LENDER
AGREE AS FOLLOWS:
The lien of Lienholder against the above-described property of Owner shall be subordinate to the
claim of Lender under the Mortgage Deed (security agreement) executed by Owner, dated the - day
of 200 and recorded on the of 200 in O.R. Book
, Page , of the Public Records of Monroe County, Florida. Future loans made by
Lender to Owner shall not be subordinate to the claims of Lienholder.
Lienholder shall assign to Lender all sums presently due to Lienholder from Owner until the
above-described loan of Lender is paid in full. Lienholder shall execute such additional assignments as
Lender may require to give effect to this agreement.
IN WITNESS WHEREOF. the parties have executed this agreement at Monroe County. State of
Florida. the day and year first above written.
WITNESSES
MONROE COUNTY
By:
Mark A. Bell, SHIP Administrator
Witness Signature
Printed Name:
Witness Signature
Printed Name:
I HEREBY CERTIFY that on this day of . 20_ before me. an officer duly qualified to take
acknowledgments, personally appeared ' to me
known to be the personls described io and wbo execnted the foregoing instrument and acknowledged before me that he/tbey
executed the same.
ST ATE OF FLORIDA COUNTY OF MONROE
NOTARY PUBLIC SIGNATURE
Printed Name of Notary
Commission No.:
My Commission Expires:
SEAL
KEY WEST BANK
Witness Signature
Printed Name:
By:
Title:
Witness Signature
Printed Name:
I HEREBY CERTIFY that on this day of 20_ before me. an officer duly qualified to take
acknowledgments. personally appeared ' to me
known to be the person/s described in and who executed the foregoing instrument and acknowledged before me that he/they executed the
same. Dnvers License shown as identification.
ST ATE OF FLORIDA COUNTY OF MONROE
NOTARY PUBLIC SIGNATURE
Printed Name of Notary
Commission No.:
My Commission Expires:
SEAL